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OPERATING LEASES
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12 Months Ended | |||||||||||||||||||||||||
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Dec. 31, 2014
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| OPERATING LEASES [Abstract] | ||||||||||||||||||||||||||
| OPERATING LEASES |
NOTE 11 OPERATING LEASES
Vehicles
The Company leases vehicles under noncancelable operating leases. Total lease expense under the agreements was approximately $30,000, $28,000 and $48,000 for the years ended December 31, 2014, 2013, and 2012, respectively.
Minimum future lease payments under these vehicle leases are approximately $45,000 in 2015, $45,000 in 2016, $41,000 in 2017 and 30,000 in 2018.
Building
Effective November 2011, the Company extended their original operating lease agreement on 3,044 square feet of office space and added an additional 1,609 square feet of office space, for a total of 4,653 square feet. The two leases require initial gross monthly lease payments of $18,612. The monthly payments increase by 4% on each anniversary date. The leases expire in November 2015. The Company also has annual and month to month lease agreements related to storage and parking spaces. Total rent expense under the agreements was approximately $267,000, $249,000 and $217,000 for the years ended December 31, 2014, 2013, and 2012, respectively.
Minimum future lease payments under the building leases are as follows:
The Company received $91,320 of landlord incentives under the original lease agreement and an additional $58,620 under the lease for the additional 1,609 square feet. The Company has recorded a deferred rent liability for these amounts that are being amortized over the term of the leases.
Effective October 2014, the Company entered into an operating lease agreement on 1,900 square feet of office space for its Denver location. The lease requires an initial monthly lease payment of $4,750. The monthly payments increase by 2% on each anniversary date. The lease expires in November, 2017. Total rent expense under the agreement was approximately $15,000 for the year ended December 31, 2014.
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