Operating Leases

The Company leases its facility under a long-term operating lease agreement through May 2021. Rent expense was $104,487 and $103,007 for the years ended December 31, 2018 and 2017, respectively.

The future minimum rental payments to be made under long-term operating leases are as follows:

The above minimum lease payments reflect the base rent under the lease agreements. However, these base rents can be adjusted each year to reflect the Company’s proportionate share of increases in the building’s operating costs and the Company’s proportionate share of real estate tax increases on the leased property.