Quarterly report pursuant to Section 13 or 15(d)

10. Equipment Financing Obligations

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10. Equipment Financing Obligations
9 Months Ended
Sep. 30, 2016
Equipment Financing Obligations Details 1  
10. Equipment Financing Obligations

From time to time, the Company enters into equipment financing or capital lease arrangements to finance the purchase of network hardware and software utilized in its operations. These arrangements require monthly payments over a period of 24 to 48 months with interest rates ranging between 5.3% and 6.6%. The Company’s equipment financing obligations are as follows:

 

    September 30,     December 31,  
    2016     2015  
             
Equipment financing obligations   $ 2,489,647     $ 3,044,796  
Less: current portion     (997,089 )     (959,380 )
Long-term portion   $ 1,492,558     $ 2,085,416  

 

The Company’s payment obligations under the capital leases are as follows:

 

Year     Principal Payments  
Remainder of          
2016     $ 247,693  
2017     1,002,084  
2018     958,846  
2019     268,044  
2020   $ 12,980