Annual report pursuant to Section 13 and 15(d)

18. Segment Reporting

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18. Segment Reporting
12 Months Ended
Sep. 30, 2014
Segment Reporting [Abstract]  
18. Segment Reporting

The Company operates in two segments which are characterized as:  (1) legacy merchant’s services and (2) online marketplace platform. The legacy/merchants’ services consists of LEC business and Velocity Local and the online marketplace platform consists of livedeal.com and the recent acquisitions of consumer products entities.

 

The following tables summarize segment information for the years ended September 30, 2014 and 2013:

 

    Year Ended September 30,  
    2014     2013  
             
Net revenues                
Marketplace platform   $ 5,270,508     $ 0  
Services     1,994,768       2,351,868  
    $ 7,265,276     $ 2,351,868  
                 
Gross profit                
Marketplace platform   $ 435,830     $ 0  
Services     1,602,809       1,435,537  
    $ 2,038,639     $ 1,435,537  
                 
Operating income (loss)                
Marketplace platform   $ (5,535,360 )   $ (3,052,935 )
Services     1,036,076       314,841  
    $ (4,499,284 )   $ (2,738,094 )
                 
Depreciation and amortization                
Marketplace platform   $ 473,292     $ 247,473  
Services     16,964       16,639  
    $ 490,256     $ 264,112  
                 
Interest Expenses                
Marketplace platform   $ 458,934     $ 3,291,031  
Services     0       0  
    $ 458,934     $ 3,291,031  
                 
Net income (loss)                
Marketplace platform   $ (5,822,732 )   $ (6,156,289 )
Services     1,161,351       409,275  
    $ (4,661,381 )   $ (5,747,014 )

 

    As of September 30,  
    2014     2013  
Total Assets                
Marketplace platform   $ 18,118,425     $ 3,670,208  
Services     171,021       323,042  
    $ 18,289,446     $ 3,993,250  
                 
Intangible assets                
Marketplace platform   $ 4,234,692     $ 2,839,557  
Services     6,422       8,844  
    $ 4,241,114     $ 2,848,401