CareCloud, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2014

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]

The following table summarizes the Company’s financial instruments that are not measured at fair value on a recurring basis by fair value hierarchy as of September 30, 2014 and December 31, 2013:

	Carrying Value at		Fair Value as of September 30, 2014, using,
	September 30, 2014		Level 1		Level 2		Level 3		Total
Financial Assets
Cash	$	2,493,652	$	2,493,652	$	-	$	-	$	2,493,652
Financial Liabilities
Borrowings under line of credit		1,200,000		-		1,200,000		-		1,200,000
Notes payable - Other⁽¹⁾		868,340		-		-		873,500		873,500

	Carrying Value at		Fair Value as of December 31, 2013, using,
	December 31, 2013		Level 1		Level 2		Level 3		Total
Financial Assets
Cash	$	497,944	$	497,944	$	-	$	-	$	497,944
Financial Liabilities
Borrowings under line of credit		1,015,000		-		1,015,000		-		1,015,000
Notes payable - Other⁽¹⁾		1,341,691		-		-		1,349,308		1,349,308
Convertible note		472,429		-		-		473,042		473,042

(1) Excludes note payable to the CEO.

Schedule of Business Acquisitions by Acquisition, Contingent Consideration [Table Text Block]

The following table provides a reconciliation of the beginning and ending balances for the contingent consideration measured at fair value using significant unobservable inputs (Level 3):

	Fair Value Measurement
Balance at December 31, 2013	$	-
Contingent consideration from 2014 acquisitions		4,618,507
Change in fair value		(424,885)
Balance at September 30, 2014	$	4,193,622