The Joint Corp. Quarterly report pursuant to Section 13 or 15(d)

Note 6 - Property and Equipment

9 Months Ended

Sep. 30, 2019

Note

Property and Equipment

Property and equipment consist of the following:

	September 30,			December 31,
	2019			2018

Office and computer equipment	$	1,440,985		$	1,243,104
Leasehold improvements		6,062,235			5,407,915
Software developed		1,193,007			1,145,742
Finance lease assets		80,604			-
		8,776,831			7,796,761
Accumulated depreciation and amortization		(5,437,237	)		(4,909,002	)
		3,339,594			2,887,759
Construction in progress		2,358,549			770,248
Property and equipment, net	$	5,698,143		$	3,658,007

Depreciation expense was

$195,304

and

$595,719

for the

three

and

nine

months ended

September 30, 2019,

respectively. Depreciation expense was

$258,007

and

$806,625

for the

three

and

nine

months ended

September 30, 2018,

respectively.

Amortization expense related to finance lease assets was

$6,169

and

$18,506

for the

three

and

nine

months ended

September 30, 2019,

respectively.

Construction in progress at

September 30, 2019

and

December 31, 2018

principally relate to development costs for a software to be used by clinics for operations and by the Company for the management of operations.