Assets

Accounts receivable – related parties, net of $504,578 and $333,911 at September 30, 2016 and December 31, 2015, respectively, represents the net realizable value of advances made to related, but independent, entities under common management, of which $260,080 and $182,227, respectively, represents amounts owed to the Company in connection with expense sharing agreements as described below.

Investments

See Note 6 – Investments and Fair Value of Financial Instruments, for information related to investments in related parties.

Revenues

For the three and nine months ended September 30, 2016, the Company recorded $1,511 and $88,344 of private equity and venture capital fees arising from private placement transactions on behalf of a related, but independent, entity under common management. The Company recorded an accrual reversal during the three months ended September 30, 2016, such that, of the total fees earned, $(6,815) and $60,641 respectively, represent cash fees earned during the three and nine months ended September 30, 2016, and $5,304 and $27,703 respectively, represent fees in the form of warrants for the three and nine months ended September 30, 2016. Fees in the form of warrants were recorded at fair value as of the grant date using the Black-Scholes option pricing model. For both the three and nine months ended September 30, 2015, CAP recorded $238,517 of private equity and venture capital fees arising from private placement transactions on behalf of a related, but independent, entity under common management. Of this amount, $185,589 represent cash fees and $52,928 represent fees in the form of warrants, which were recorded at fair value as of the grant date using the Black-Scholes option pricing model.

Expense Sharing

On April 1, 2010, the Company entered into an agreement with a related entity of which AWLD’s CEO is Chairman and Chief Executive Officer, and AWLD’s CFO is an executive officer, to share expenses such as office space, support staff and other operating expenses. General and administrative expenses were reduced by $14,138 and $82,528 during the three and nine months ended September 30, 2016 and $39,196 and $124,133 during the three and nine months ended September 30, 2015, respectively. The entity owed $245,003 and $177,755 to the Company under the expense sharing agreement as of September 30, 2016 and December 31, 2015, respectively, which is included in accounts receivable – related parties, net on the accompanying condensed consolidated balance sheets.

In addition, the Company has an expense sharing agreement with a related, but independent entity to share expenses such as office space and other clerical services. The owners of more than 5% of that entity include (i) AWLD’s chairman, and (ii) a more than 5% owner of AWLD. General and administrative expenses were reduced by $3,990 and $11,970 during the three and nine months ended September 30, 2016, respectively and $3,990 and $11,970 during the three and nine months ended September 30, 2015, respectively. The entity owed $392,077 and $380,472 to the Company under the expense sharing agreement as of September 30, 2016 and December 31, 2015, respectively, of which $377,000 and $376,000, respectively, is deemed unrecoverable and written off.