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Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]

Business and Organization

The SPAR Group, Inc., a Delaware corporation (

"SGRP"), and its subsidiaries (together with SGRP, the "SPAR Group" or the "Company"), is a supplier of merchandising and other marketing services throughout the United States and internationally. The Company also provides in-store event staffing, product sampling, audit services, furniture and other product assembly services, technology services and marketing research services. Assembly services are performed in stores, homes and offices while those other services are primarily performed in mass merchandise, office supply, grocery, drug, home improvement, independent, convenience and electronics stores.

Merchandising services primarily consist of regularly scheduled, special project and other product services provided at the store level, and the Company

may

be engaged by either the retailer or the manufacturer. Those services

may

include restocking and adding new products, removing spoiled or outdated products, resetting categories "on the shelf" in accordance with client or store schematics, confirming and replacing shelf tags, setting new sale or promotional product displays and advertising, replenishing kiosks, providing in-store event staffing and providing assembly services in stores, homes and offices. Other merchandising services include whole store or departmental product sets or resets, including new store openings, new product launches and in-store demonstrations,

audit services, special seasonal or promotional merchandising, focused product support and product recalls. The Company also provides technology services and marketing research services.

The Company operates in

countries and divides its operations into

two

reportable segments: its Domestic Division, which provides those services in the United States of America since certain of its predecessors were formed in

1979,

and its International Division, which began operations in

May 2001

and provides similar merchandising, marketing, audit and in-store event staffing services in Australia, Brazil, Canada, China, India, Japan, Mexico, South Africa, and Turkey.

The Company continues to focus on expanding its merchandising and marketing services business throughout the world.

The Company

's Domestic Division provides nationwide merchandising and other marketing services throughout the United States of America primarily on behalf of consumer product manufacturers and retailers at mass merchandise, office supply, grocery, drug, dollar, home improvement, independent, convenience and electronics stores. Included in its clients are home entertainment, general merchandise, health and beauty care, consumer goods and food products companies. The Company executes the services it provides to its domestic clients through independent field merchandising, auditing, assembly and other field personnel, substantially all of whom are provided by an affiliate to the company, SPAR Business Services, Inc. The Company is reevaluating its domestic business model of using independent contractor Field Specialists provided by others in light of changing client requirements and regulatory environments and intends to begin testing an employee based model for certain domestic clients that are requiring the Company to use employees as its Field Specialists.

The Company

's international business in each territory outside the United States is conducted through a foreign subsidiary incorporated in its primary territory. The primary territory establishment date (which

may

include predecessors), the percentage of the Company's equity ownership, and the principal office location for its US (domestic) subsidiaries and each of its foreign (international) subsidiaries is as follows:

Primary Territory	Date Established	SGRP Percentage Ownership	Principal Office Location
United States of America	1979	100%	White Plains, New York, United States of America
Japan	May 2001	100%	Tokyo, Japan
Canada	June 2003	100%	Vaughan, Ontario , Canada
South Africa	April 2004	51%	Durban, South Africa
India	April 2004	51%	New Delhi, India
Australia	April 2006	51%	Melbourne, Australia
China	March 2010	51%	Shanghai, China
Mexico	August 2011	51%	Mexico City, Mexico
Turkey	November 2011	51%	Istanbul, Turkey
Brazil 1	September 2016	51%	Sao Paulo, Brazil

September 2016,

the Company established a new joint venture subsidiary in Brazil, see Note

to the Company's Consolidated Financial Statements –

Purchase of Interests in Subsidiaries

, below. This new subsidiary purchased stock in

two

Brazilian companies – New Momentum, Ltda. and New Momentum Servicos Temporarios Ltda.

Note 2 - Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2017

Significant Accounting Policies [Text Block]

Summary of Significant Accounting Policies

Principles of Consolidation

The Company consolidates its

100

% owned subsidiaries and all of its

51%

owned joint venture subsidiaries in accordance with the provisions required by the Consolidation Topic

810

of the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC"). All significant intercompany accounts and transactions have been eliminated.

Accounting for Joint Venture

Subsidiarie

For the Company

's less than wholly owned subsidiaries, the Company

first

analyzes to determine if a joint venture subsidiary is a variable interest entity (a "VIE") in accordance with ASC

810

and if so, whether the Company is the primary beneficiary requiring consolidation. A VIE is an entity that has (i) insufficient equity to permit it to finance its activities without additional subordinated financial support or (ii) equity holders that lack the characteristics of a controlling financial interest. VIEs are consolidated by the primary beneficiary, which is the entity that has both the power to direct the activities that most significantly impact the entity's economic performance and the obligation to absorb losses or the right to receive benefits from the entity that potentially could be significant to the entity. Variable interests in a VIE are contractual, ownership, or other financial interests in a VIE that change with changes in the fair value of the VIE's net assets. The Company continuously re-assesses at each level of the joint venture whether the entity is (i) a VIE, and (ii) if the Company is the primary beneficiary of the VIE. If it was determined that an entity in which the Company holds an interest qualified as a VIE and the Company was the primary beneficiary, it would be consolidated.

Based on the Company

's analysis for each of its

51%

owned joint ventures, the Company has determined that each is a VIE and that Company is the primary beneficiary of that VIE. While the Company owns

51%

of the equity interest in these subsidiaries while the other

49%

is owned by local

third

parties, the joint venture agreements with those

third

parties generally provide them with effectively the same approval and veto and veto rights (other than in China and Brazil). Accordingly, the Company consolidates each joint venture under the VIE rules and reflects the

49%

interests in the Company's consolidated financial statements as non-controlling interests. The Company records these non-controlling interests at their initial fair value, adjusting the basis prospectively for their share of the respective consolidated investments' net income or loss or equity contributions and distributions. These non-controlling interests are

not

redeemable by the equity holders and are presented as part of permanent equity. Income and losses are allocated to the non-controlling interest holder based on its economic ownership percentage.

Use of Estimates

The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States

("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the amounts disclosed for contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting year. Actual results could differ from those estimates.

Cash Equivalents

The Company considers all highly liquid short-term investments with

original maturities of

three

months or less at the time of acquisition to be cash equivalents. Cash equivalents are stated at cost, which approximates fair value.

Concentration of Credit Risk

The Company maintains cash balances with high quality financial institutions and periodically evaluates the creditworthiness of such institutions and believes that the Company is

not

exposed to significant credit risk. Cash balances

may

be in excess of the amounts insured by the Federal Deposit Insurance Corporation.

Revenue Recognition

The Company's services are provided to its clients under contracts or agreements. The Company bills its clients based upon service fee or per unit fee arrangements. Revenues under service fee arrangements are recognized when the service is performed. The Company's per unit fee arrangements provide for fees to be earned based on the retail sales of a client's products to consumers. The Company recognizes per unit fees in the period such amounts become determinable and are reported to the Company. Customer deposits, which are considered advances on future work, are recorded as revenue in the period services are provided.

Unbilled Accounts Receivable

Unbilled accounts receivable represent services performed but

not

billed and are included as accounts receivable.

Doubtful Accounts and Credit Risks

The Company continually monitors the

collectability of its accounts receivable based upon current client credit information and financial condition. Balances that are deemed to be uncollectible after the Company has attempted reasonable collection efforts are written off through a charge to the bad debt allowance and a credit to accounts receivable. Accounts receivable balances, net of any applicable reserves or allowances, are stated at the amount that management expects to collect from the outstanding balances. The Company provides for probable uncollectible amounts through a charge to earnings and a credit to bad debt allowance based in part on management's assessment of the current status of individual accounts. Based on management's assessment, the Company established an allowance for doubtful accounts of

$342,000

and

$288,000

December 31, 2017,

and

2016,

respectively. Bad debt expense was

$113,000

and

$347,000

for the years ended

December 31, 2017

and

2016,

respectively.

Property and Equipment and Depreciation

Property and equipment, including leasehold improvements, are stated at cost. Depreciation is calculated on a straight-line basis over estimated useful lives of the related assets, which range from

three

seven

years. Leasehold improvements are depreciated over the shorter of their estimated useful lives or lease term, using the straight-line method. Maintenance and minor repairs are charged to expense as incurred. Depreciation expense for the year

s ended

December 31, 2017

and

2016

(including amortization of capitalized software as described below) was

1.5

million for both periods.

Internal Use Software Development Costs

he Company capitalizes certain costs associated with its internally developed software. Specifically, the Company capitalizes the costs of materials and services incurred in developing or obtaining internal use software. These costs include (but are

not

limited to) the cost to purchase software, the cost to write program code, payroll and related benefits and travel expenses for those employees who are directly involved with and who devote time to the Company's software development projects. Capitalization of such costs ceases when the project is substantially complete and ready for its intended purpose. Costs incurred during preliminary project and post-implementation stages, as well as software maintenance and training costs, are expensed in the period in which they are incurred. Capitalized software development costs are amortized over

three

years on a straight-line basis.

The Company capitalized

$1.0

and

$1.3

million of costs related to software developed for internal use in

2017

and

2016,

respectively, and recognized approximately

1.2

million of amortization of capitalized software for both the years ended

December 31, 2017

and

2016.

Impairment of

Long-Lived

Assets

The Company continually monitors events and changes in circumstances that could indicate that the carrying amounts of the Company

's property and equipment and intangible assets subjected to amortization

may

not

be recoverable. When indicators of potential impairment exist, the Company assesses the recoverability of the assets by estimating whether the

Company will recover

its carrying value through the undiscounted future cash flows generated by the use of the asset and

its eventual disposition. Based on this analysis, if the Company does

not

believe that it will be able to recover the carrying value of the asset, the Company records an impairment loss to the extent that the carrying value exceeds the estimated fair value of the asset. If any assumptions, projections or estimates regarding any asset change in the future, the Company

may

have to record an impairment to reduce the net book value of such individual asset.

Goodwill

may

result from our business acquisitions. Goodwill is assigned to our reporting units based on the expected benefit from the synergies arising from each business combination, determined by using certain financial metrics, including the forecast discounted cash flows associated with each reporting unit. We allocate goodwill acquired in a business combination to the appropriate reporting unit as of the acquisition date.

Goodwill is subject to annual impairment tests

and interim impairment tests if impairment indicators are present. The impairment tests require the Company to

first

assess qualitative factors to determine whether it is necessary to perform a

two

-step quantitative goodwill impairment test. The Company is

not

required to calculate the fair value of a reporting unit unless it determines, based on a qualitative assessment, that it is more likely than

not

that its fair value is less than its carrying amount. If the qualitative assessment indicates a potential impairment, the Company performs the

two

step quantitative impairment test. Step

one

of the

two

step impairment test is to compare the fair value of the reporting unit with the reporting unit's carrying amount including goodwill. If the test indicates that the fair value is less than the carrying value, then step

two

is required to compare the implied fair value of the reporting unit's goodwill with the carrying amount of the reporting unit's goodwill. If the carrying amount of the goodwill exceeds its implied fair value, an impairment loss shall be recognized in an amount equal to that excess. The Company has determined that it has

two

reporting units, and that a

two

-step quantitative goodwill impairment test was

not

necessary, as of

December 31, 2017

and

2016

Accounting for Share Based

Compensation

he Company measures all employee share-based compensation awards using a fair value method and records the related expense in the financial statements over the period during which an employee is required to provide service in exchange for the award. Excess tax benefits are realized from the exercise of stock options and are reported as a financing cash inflow rather than as a reduction of taxes paid in cash flow from operations. For each award that has a graded vesting schedule, the Company recognizes compensation cost on a straight-line basis over the requisite service period for the entire award. Share based employee compensation expense for the years ended

December 31, 2017

and

2016

was

$225

,000

and

$329

,000,

respectively.

Fair Value Measurements

Fair value is defined as the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The

generally accepted accounting principles fair value framework uses a

three

-tiered approach. Fair value measurements are classified and disclosed in

one

of the following

three

categories:

●

Level

– Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities;

●

Level

– Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are

not

active, and model-derived valuations in which significant inputs and significant value drivers are observable in active markets; and

●

Level

– Prices or valuation techniques where little or

market data is available that requires inputs that are significant to the fair value measurement and unobservable.

If the inputs used to measure the fair value fall within different levels of the hierarchy, the

fair value is determined based upon the lowest level input that is significant to the fair value measurement. Whenever possible, the Company uses quoted market prices to determine fair value. In the absence of quoted market prices, the Company uses independent sources and data to determine fair value. Due to their short maturity, the carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, and accrued expenses approximated their fair values (Level

) at

December 31,

2017

and

2016.

The carrying value of the Company's long-term debt with variable interest rates approximates fair value based on instruments with similar terms (Level

Accounting for Income Taxes

Income tax provisions and benefits are made for taxes currently payable or refundable, and for deferred income taxes arising from future tax consequences of events that were recognized in the Company

's financial statements or tax returns and tax credit carry forwards. The effects of income taxes are measured based on enacted tax laws and rates applicable to periods in which the differences are expected to reverse. If necessary, a valuation allowance is established to reduce deferred income tax assets to an amount that will more likely than

not

be realized.

The calculation of income taxes involves dealing with uncertainties in the application of complex tax regulations. The Company recognizes liabilities for uncertain tax positions based on a

two

-step process. The

first

step involves evaluating the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than

not

that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The

second

step involves estimating and measuring the tax benefit as the largest amount that is more than

50%

likely to be realized upon ultimate settlement. It is inherently difficult and subjective to estimate such amounts, as the Company has to determine the probability of various possible outcomes. Our evaluation of uncertain tax positions is based on factors including, but

not

limited to, changes in facts or circumstances, changes in tax law, effectively settled issues under audit, and new audit activity. Such a change in recognition or measurement would result in the recognition of a tax benefit or an additional charge to the tax provision.

The Tax Cuts and Jobs Act ("the Tax Act") signed into law what is a comprehensive U.S. tax reform package that, effective

January 1, 2018,

among other things, lowered the corporate income tax rate from

35%

21%

and moved the country towards a territorial tax system with a

one

-time mandatory tax on previously deferred foreign earnings of foreign subsidiaries. See Note

to the Company's Consolidated Financial Statements

–

Income Taxes

, below, for further information on the tax impacts of the Tax Act.

Net Income Per Share

Basic net income per share amounts are based upon the weighted average number of common shares outstanding. Diluted net income per share amounts are based upon the weighted average number of common and potential common shares outstanding except for periods in which such potential common shares are anti-dilutive. Potential common shares outstanding include stock options and restricted stock and are calculated using the treasury stock method.

Translation of Foreign Currencies

The financial statements of the foreign entities consolidated into

the Company's consolidated financial statements were translated into United States dollar equivalents at exchange rates as follows: balance sheet accounts for assets and liabilities were converted at year-end rates, equity at historical rates and income statement accounts at average exchange rates for the year. The resulting translation gains and losses are reflected in accumulated other comprehensive income or loss in the consolidated statements of equity.

New

Accounting Pronouncements

February 2018,

the FASB issued ASU

No.

2018

02,

Income Statement-Reporting Comprehensive Income (Topic

220

Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“AOCI”). The accounting standard allows for the optional reclassification of stranded tax effects within accumulated other comprehensive income to retained earnings that arise due to the enactment of the Tax Cuts and Jobs Act of

2017

(the “Tax Act”). The amount of the reclassification would reflect the effect of the change in the U.S. federal corporate income tax rate on the gross deferred tax amounts and related valuation allowances, if any, at the date of enactment of the Tax Act and other income tax effects of the Tax Act on items remaining in accumulated other comprehensive income. The standard will be effective for annual periods beginning after

December 15, 2018,

including interim periods within that reporting period with early adoption permitted. The Company is currently evaluating the impact of its pending adoption of the new standard on its consolidated financial statements.

May 2017,

the FASB issued ASU

2017

09,

Compensation-Stock Compensation (Topic

718

): Scope of Modification Accounting ("ASU

2017

09"

). ASU

2017

clarifies when to account for a change to the terms or conditions of a share-based payment award as a modification. Under the new guidance, modification accounting is required only if the fair value, the vesting conditions, or the classification of the award changes as a result of the modification. The guidance is effective for annual periods beginning after

December 15, 2017,

including interim periods within those periods. Early adoption is permitted. This standard will

not

have a material impact on the Company

’s consolidated results of operations or financial position.

April 2015,

the Financial Accounting Standards Board (“FASB”) issued ASU

No.

2015

17,

Income Taxes (Topic

740

): Balance Sheet Classification of Deferred Taxes (“ASU

2015

17”

), eliminating the requirement for companies to present deferred tax assets and liabilities as current and noncurrent. Instead, companies are required to classify all deferred tax assets and liabilities as noncurrent. ASU

2015

is effective for the Company beginning in the

first

quarter of

2017

and

may

be applied either prospectively or retrospectively. The Company has chosen to apply this guidance retrospectively, thus prior periods have been retrospectively adjusted. As a result, the Company reclassified

$471,000

of current assets and

$2.4

million of short-term liabilities to long-term assets as of

December 31, 2016.

January 2017,

the FASB issued Accounting Standard Update

2017

(ASU

2017

), Intangibles-Goodwill and Other (Topic

350

) Simplifying the Test for Goodwill Impairment.

With ASU

2017

04,

an entity will

longer determine goodwill impairment by calculating the implied fair value of goodwill by assigning the fair value of a reporting unit to all of its assets and liabilities as if that reporting unit had been acquired in a business combination. Instead, if the carrying amount of a reporting unit exceeds its fair value an impairment loss shall be recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to the reporting unit. ASU

2017

is effective for annual or any interim goodwill impairment tests in fiscal years beginning after

December 15, 2019.

The Company is currently evaluating the impact the adoption of ASU

2017

will have on our consolidated financial statements.

January 2017,

the FASB issued ASU

2017

01,

Clarifying the Definition of a Business

, which clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. ASU

2017

is required to be applied prospectively for reporting periods beginning after

December 31, 2017.

The impact on the Company's consolidated financial statements will depend on the facts and circumstances of any specific future transactions.

November 2016,

the Financial Accounting Standards Board ("FASB") issued ASU

2016

amending the presentation of restricted cash within the statement of cash flows. The new guidance requires that restricted cash be included within cash and cash equivalents on the statement of cash flows. The ASU is effective retrospectively for reporting periods beginning after

December 15, 2017,

with early adoption permitted.

The adoption of this guidance will

not

have a material impact on the Company's consolidated financial statements.

August 2016,

the FASB issued ASU

2016

15,

Statement of Cash Flows ("ASU

2016

15"

) ASU

2016

which reduces diversity in practi

ce in how certain transactions are classified in the statement of cash flows. The new standard is effective for reporting periods after

December 15, 2017,

with early adoption permitted. The adoption of this guidance will

not

have a material impact on the Company's consolidated financial statements.

June 2016,

the FASB issued ASU

2016

amending how entities will measure credit losses for most financial assets and certain other instruments that are

not

measured at fair value through net income. The guidance requires the application of a current expected credit loss model which is a new impairment model based on expected losses. Under this model, an entity recognizes an allowance for expected credit losses based on historical experience, current conditions and forecasted information rather than the current methodology of delaying recognition of credit losses until it is probable a loss has been incurred. This ASU is effective for interim and annual reporting periods beginning after

December 15, 2019

with early adoption permitted for annual reporting periods beginning after

December 15, 2018.

The Company is currently evaluating the impact of the new guidance on our consolidated financial statements and related disclosures.

February 2016,

the FASB issued ASU

2016

amending the existing accounting standards for lease accounting and requiring lessees to recognize a right of use asset and liability for all leases with lease terms of more than

months, including those classified as operating leases. Both the asset and liability will initially be measured at the present value of the future minimum lease payments, with the asset being subject to adjustments such as initial direct costs. Consistent with current GAAP, the presentation of expenses and cash flows will depend primarily on the classification of the lease as either a finance or an operating lease. The new standard also requires additional quantitative and qualitative disclosures regarding the amount, timing and uncertainty of cash flows arising from leases in order to provide additional information about the nature of an organization's leasing activities. This ASU is effective for annual periods, and interim periods within those annual periods, beginning after

December 15, 2018

and requires modified retrospective application. Early adoption is permitted. The Company is currently evaluating the impact of the new guidance on our consolidated financial statements and related disclosures. Upon adoption, the Company expects the amount recognized for the right of use assets and liabilities to be material to the consolidated financial statements.

May 2014,

the FASB issued new revenue recognition guidance under ASU

2014

that will supersede the existing revenue recognition guidance under U.S. GAAP. The new standard, along with subsequent amendments, focuses on creating a single source of revenue guidance for revenue arising from contracts with customers. The objective of the new standard is for companies to recognize revenue when it transfers the promised goods or services to its customers at an amount that represents what the company expects to be entitled to in exchange for those goods or services. Additionally, the new standard requires enhanced disclosures about the nature, amount, timing, and uncertainty of revenue and cash flows arising from customer contracts, including revenue recognition policies to identify performance obligations, assets recognized from costs incurred to obtain and fulfill a contract, and significant judgments in measurement and recognition. The new standard, as amended, became effective for annual periods beginning after

December 15, 2017,

including interim periods within that reporting period.

The

two

permitted transition methods under the new standard are the full retrospective method, in which the new standard would be applied to each prior reporting period presented and the cumulative effect of applying the new standard would be recognized at the earliest period shown, or the modified retrospective method, in which the cumulative effect of applying the new standard would be recognized at the date of initial application.

The Company has closely assessed the new standard and monitored FASB activity, including the interpretations by the FASB Transition Resource Group for Revenue Recognition, throughout fiscal

2017.

The Company, along with its

third

-party advisor, performed an analysis of what impact, if any, the new standard will have on its revenue for both the domestic and international segments. This analysis included evaluating which, if any, practical expedients the Company will elect upon adoption. Based on the analysis, substantially all of our revenue falls within the right-to-invoice practical expedient. The right-to-invoice practical expedient allows an adopting entity to recognize revenue in the amount for which it has the right to invoice if the entity has a right to payment from a customer in an amount that corresponds directly with the value of the entity

’s performance completed to date (e.g., a service contract in which an entity bills a fixed amount for each hour of service provided). Any revenue that did

not

fall within the “right to invoice” practical expedient was

not

significant.

The Company adopted the requirements of the new standard on

January 1, 2018,

utilizing the modified retrospective method of transition. The modified retrospective transition method allows the Company to recognize the cumulative effect of initially applying the new standard as an adjustment to the opening balance of retained earnings in the period of initial application. We have finalized our assessment of the new standard, including completing our contract reviews.

Based this analysis there is

cumulative effect upon adopting the new standard to retained earnings as our revenue recognition under the new standard is consistent with the current standards, as our customers simultaneously receive and consume the benefits of our performance obligations.

The Company is finalizing the impact of topic

606

on the disclosures for its financial statement footnotes and expects the disclosures to be enhanced in the

first

quarter of

2018.

Reclassifications

Certain reclassifications have been made to the

2016

financial statements to conform to the

2017

presentation. These reclassifications had

effect on reported income, comprehensive loss, cash flows, total assets or equity as previously reported.

Note 3 - Correction of Prior Period Financial Statements

12 Months Ended

Dec. 31, 2017

Accounting Changes and Error Corrections [Text Block]

Correction of Prior Period Financial Statements

In connection with the preparation of the Company's consolidated financial statements for the

three

months ended

March 31, 2017,

the Company identified an error in the recognition of accumulated other comprehensive loss both in the equity section of the consolidated balance sheet, consolidated statement of equity and the comprehensive loss portion of the consolidated statement of income and comprehensive loss.

In accordance with Staff Accounting Bulletin ("SAB")

No.

99,

Materiality, and SAB

No.

108,

Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements, the Company evaluated the error and determined that the related impact was

not

material to the results of operations or financial position for any prior annual or interim period. The correction of this error required reclassification of

$1.6

million between comprehensive loss attributable to the Company and

comprehensive loss attributable to non-controlling interest for the year ended

December 31, 2016.

Accordingly, the Company corrected the consolidated balance sheet and consolidated statement of income and comprehensive loss as of and for the year ended

December 31, 2016.

The impact to the consolidated balance sheet as of

December 31, 2016,

and the consolidated statement of income and comprehensive loss for the year ended

December 31, 2016,

is as follows:

Consolidated Balance Sheet (in thousands):

	As of December 31, 2016									As of January 1, 2016
	As Previously Reported			Adjusted			As Revised			As Previously Reported			Adjusted			As Revised

Accumulated other comprehensive loss	$	(3,995	)	$	1,588		$	(2,407	)	$	(2,869	)	$	1,016		$	(1,853	)
Total SPAR Group, Inc. equity	$	18,089		$	1,588		$	19,677		$	18,702		$	1,016		$	19,718
Non-controlling interest	$	6,993		$	(1,588	)	$	5,405		$	5,696		$	(1,016	)	$	4,680

Consolidated Statement of Income and Comprehensive Loss (in thousands):

	Twelve months ended December 31, 2016
	As Previously Reported			Adjusted		As Revised

Comprehensive income attributable to non-controlling interest	$	(1,583	)	$	572	$	(1,011	)
Comprehensive loss attributable to SPAR Group, Inc.	$	(953	)	$	572	$	(381	)

Note 4 - Supplemental Balance Sheet Information (in Thousands)

12 Months Ended

Dec. 31, 2017

Supplemental Balance Sheet Disclosures [Text Block]

Supplemental Balance Sheet Information (in thousands)

	December 31,
Accounts receivable, net, consists of the following:	20 17			20 16

Trade	$	29,437		$	28,103
Unbilled		5,863			4,805
Non-trade		1,006			1,049
		36,306			33,957
Less allowance for doubtful accounts		(342	)		(288	)
Accounts Receivable, net	$	35,964		$	33,669

	December 31,
Property and equipment consists of the following:	20 17			20 16

Equipment	$	5,873		$	5,588
Furniture and fixtures		853			741
Leasehold improvements		267			267
Capitalized software development costs		10,794			9,666
		17,787			16,262
Less accumulated depreciation and amortization		(15,075	)		(13,726	)
Property and equipment, net	$	2,712		$	2,536

	United States		International			Total
Goodwill:
Balance December 31, 2016	$	1,188	$	659		$	1,847
Change in goodwill due to impact of foreign currency	$	–	$	(11	)	$	(11	)
Balance December 31, 2017	$	1,188	$	648		$	1,836

	December 31,
Intangible assets consist of the following :	20 17			20 16

Customer contracts and lists	$	4,015		$	4,280
Less accumulated amortization		(2,381	)		(1,940	)
Intangible assets, net	$	1,634		$	2,340

The Company is amortizing its customer contracts and lists of $

4.0

million on a straight line basis over lives ranging from

years. Amortization expense for the years ended

December 31, 2017

and

2016

was approximately

$628,000

and

$549,000,

respectively. The annual amortization for each of the following years succeeding

December 31, 2017,

is summarized as follows:

Year	Amount
201 8		339
2019		306
2020		306
2021		273
2022		182
Thereafter		228
Total	$	1,634

	December 31,
Accrued expenses and other current liabilities:	20 17		20 16

Taxes payable	$	2,304	$	2,167
Accrued salaries and wages		3,791		3,664
Accrued accounting and legal expenses		3,240		2,360
Uncertain tax position reserves		170		164
Dividend payable to partners		1,042		–
Other		3,034		1,411
Accrued expenses and other current liabilities	$	13,581	$	9,766

Note 5 - Credit Facilities

12 Months Ended

Dec. 31, 2017

Debt Disclosure [Text Block]

Credit Facilities

PNC Credit Facility

The Company changed its domestic lenders in

January 2018

and entered into a new credit facility with increased availability and improved financial and other covenants. See Note

to the Company's Consolidated Financial Statements –

Subsequent

Events – PNC

Credit Facility

, below.

Sterling

Credit Facility:

SGRP and certain of its US and Canadian subsidiaries

(namely SPAR Marketing Force, Inc., SPAR National Assembly Services, Inc., SPAR Group International, Inc., SPAR Trademarks, Inc., SPAR Acquisition, Inc., SPAR Canada, Inc.), SPAR Canada Company ("SCC"), and SPAR Wings & Ink Company ("SWI") (together with SGRP, SCC and SWI, each a "Borrower"), are parties to a Revolving Loan and Security Agreement dated

July 6, 2010,

as amended in

June 2011,

July 2012,

January 2013,

July 2013,

October 2013,

June 2014,

September 2015,

December 2016,

March 2017,

April 2017,

June

2107

and

September 6, 2017 (

as amended, the "Sterling Loan Agreement"), with Sterling National Bank (the "Lender"), and their Secured Revolving Loan Note in the amended maximum principal amounts of

$9.0

million (see below) to Sterling National Bank (as amended by all loan amendments, the "Sterling Note"), to document and govern their credit facility with the Lender (including such agreement and note, the "Sterling Credit Facility"). The Sterling Credit Facility was scheduled to expire and the Borrowers' loans thereunder were scheduled to become due on

January 15, 2018.

The Sterling Loan Agreement currently requires the Borrowers to pay interest on the loans thereunder equal to the Agent

's floating Prime Rate (as defined in such agreement) plus

one

half of

one

percent (

1/2%

) per annum, and a fee on the maximum unused line thereunder equal to

one

eighth

one

percent (

0.125%

) per annum.

Revolving loans of up to $

9.0

million are available to the Borrowers under the Sterling Credit Facility based upon the borrowing base formula defined in the Sterling Loan Agreement (principally

85%

of "eligible" US and Canadian accounts receivable less certain reserves). The Sterling Credit Facility is secured by substantially all of the assets of the Borrowers (other than SGRP's non-Canadian foreign subsidiaries, certain designated domestic subsidiaries, and their respective equity and assets).

The amendment to the Sterling Loan Agreement dated as of

December 22, 2016,

among other things, increased the maximum principal amount of the Secured Revolving Loan Note to

$9.0

million until

January 31, 2017

and increased the interest rate to Prime plus

one

half of

one

percent. The amendment to the Sterling Loan Agreement dated as of

March 3, 2017,

among other things, extended the Secured Revolving Loan Note of

$9.0

million until

July 6, 2017,

and the amendment dated as of

April 13, 2017,

among other things, provided for a waiver of the Company's default on its Fixed Charge Ratio ("FCR") for the year ended

December 31, 2016,

and provided for an adjustment to the FCR for

2017.

The

June 27, 2017,

amendment to the Sterling Loan Agreement extended the termination date to

September 6, 2017.

The

September 6, 2017,

amendment to the Sterling Loan Agreement extended the termination date to

January 15, 2018.

The Sterling Loan Agreement requires the Borrowers to maintain certain financial covenants, including maintenance by the Borrowers of a minimum combined tangible net worth of $

7.4

million and minimum consolidated tangible net worth of

$10.0

million, with those figures increasing by at least

50%

of combined and consolidated net profit each year,

respectively. In addition, the Borrowers and the Company must

not

exceed a maximum combined indebtedness to tangible net worth ratio of

3.0

1.0,

and the Borrowers must maintain a minimum fixed charge coverage ratio of

1.5

1.0.

Also, capital expenditures for the Borrowers cannot exceed

$2.0

million during any fiscal year, and, on a consolidated basis, the Company

's year-end operations

may

not

result in a loss or deficit, as determined in accordance with GAAP. The Company was in compliance with the financial covenants at

December 31, 2017.

January 16, 2018,

the Sterling Loan was paid in full. See Note

to the Company's Consolidated Financial Statements

–

Subsequent Events

, below.

International Credit Facilities:

SPARFACTS Australia Pty. Ltd., has a secured line of credit facility with National Australia Bank for $

800,000

Australian Dollar or approximately

$624,000

USD (based upon the exchange rate at

December 31, 2017).

The facility provides for borrowing based upon a formula, as defined in the agreement (principally

80%

of eligible accounts receivable less certain deductions). The agreement technically expired on

October 31, 2012,

but is being extended from month to month at the Company's request.

SPAR Brazil has a secured line of credit facility with Itau Bank for

$4.0

million Brazilian Real or approximately

$1.2

million USD (based upon the exchange rate at

December 31, 2017).

The facility provides for borrowing based upon a formula, as defined in the agreement (principally

80%

of eligible accounts receivable less certain deductions). The agreement is from month to month at the Company's request.

SPAR Brazil has a secured line of credit facility with Daycoval Bank for

$5.0

million Brazilian Real or approximately

$1.5

million USD (based upon the exchange rate at

December 31, 2017).

The facility provides for borrowing based upon a formula, as defined in the agreement (principally

80%

of eligible accounts receivable less certain deductions). The agreement is from month to month at the Company's request.

SPAR Todopromo has secured a line of credit facility with BBVA Bancomer Ban for

5.0

million Mexican Pesos or approximately

$254,000

USD (based upon the exchange rate at

December 31, 2017).

The revolving line of credit was secured on

March 15, 2016

and expires

March 2018.

It has been amended to extend the terms until

2020.

The variable interest rate is TIIE (Interbank Interest Rate) +

which resulted in an annual interest rate of

11.6%

at the end of

December.

The outstanding balance at

December 31, 2017

was zero.

The Company had

scheduled future maturities of loans as of

December 31, 2017,

approximately as follows (dollars in thousands):

	Interest Rate as of December 31, 2017			2018
USA - Sterling National Bank		5.0	%	$	5,470
Australia - National Australia Bank		6.3	%		205
Brazil – Itau Bank		46.2	%		151
Brazil – Daycoval Bank		16.2	%		1,013
Total				$	6,839

Summary of

Unused

Company Credit and Other Debt Facilities (in thousands)

	December 31, 2017		December 31, 2016
Unused Availability :
U nited States	$	3,530	$	500
Australia		731		688
Brazil		1,554		–
Mexico		254		241
Total Unused Availability	$	6,069	$	1,429

Management believes that based upon the continuation of the Company

's existing credit facilities, projected results of operations, vendor payment requirements and other financing available to the Company (including amounts due to affiliates), sources of cash availability should be manageable and sufficient to support ongoing operations over the next year. However, delays in collection of receivables due from any of the Company's major clients, or a significant reduction in business from such clients could have a material adverse effect on the Company's cash resources and its ongoing ability to fund operations.

Note 6 - Income Taxes

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Text Block]

. Income Taxes

December 22, 2017,

the Tax Cuts and Jobs Act ("the Act") significantly revised U.S. corporate income tax law. The Act includes, among other things, a reduction in the U.S. federal corporate income tax rate from

35%

21%

effective for taxable years beginning after

December 31, 2017,

and the implementation of a modified territorial tax system that includes a

one

-time transition tax on deemed repatriated earnings of foreign subsidiaries ("Transition Tax") that is payable over a period of up to

eight

years.

Shortly after the Act was enacted, the SEC staff issued Staff Accounting Bulletin

No.

118,

Income Tax Accounting Implications of the Tax Cuts and Jobs Act (“SAB

118”

) which provides guidance on accounting for the Act

’s impact. SAB

118

provides a measurement period, which in

case should extend beyond

one

year from the Act enactment, during which a company acting in good faith

may

complete the accounting for the impacts of the Act. The Company’s current estimate of the impact on its taxes is an approximate

$1,043,000

charge for the revaluation of the Company’s net domestic deferred tax assets and a

one

-time Transition Tax charge of approximately

$798,000.

The Company's accounting for the above items is based upon reasonable estimates of the tax effects of the Act; however, its estimates

may

change upon the finalization of its implementation and additional interpretive guidance from regulatory authorities. Among other things, the Company needs to complete its analysis of historical foreign earnings and related taxes paid and its analysis of foreign cash equivalents. In addition, the Company needs to complete its analysis of deemed repatriation of deferred foreign income and related state tax effects.

The Company will complete its accounting for the above tax effects of the Act during

2018

as provided in SAB

118

and will reflect any adjustments to its provisional amounts as an adjustment to the provision for taxes in the reporting period in which the amounts are finally determined.

Additionally, certain provisions of the Act are

not

effective until

2018.

The Company is in the process of evaluating the impact of these provisions and has

not

yet recorded any impact in the financial statements, nor have we made any accounting policy elections with respect to these items.

Income before

income taxes is summarized as follows (in thousands):

	Year Ended December 31,
	20 17		20 16
Domestic	$	289	$	(183	)
Foreign		3,865		2,380
Total:	$	4,154	$	2,197

The income tax

expense is summarized as follows (in thousands):

	Year Ended December 31,
	20 17			20 16
Current:
Federal	$	79		$	48
Foreign		1,131			810
State		128			9

Deferred expense (benefit):
Federal		1,571			(435	)
Foreign		(117	)		60
State		185			(51	)
Net expense	$	2,977		$	441

The provision for income taxes is different from that which would be obtained by applying the statutory federal income tax rate to income before income taxes. The items causing this difference are as follows (

dollars in thousands):

	Year Ended December 31,
	20 17			Rate			20 16			Rate
Provision for income taxes at federal statutory rate	$	1,421			34.0	%	$	747			34.0	%
State income taxes, net of federal benefit		17			0.4	%		(45	)		(2.1%	)
Permanent differences		85			2.1	%		68			3.1	%
Federal Research and Development Credit		41			1.0	%		(89	)		(4.0%	)
Foreign tax rate differential		(494	)		(11.8%	)		(242	)		(11.0%	)
Foreign dividend tax		798			19.0	%		–			–
Reduction in deferred tax asset – Reduction of corporate tax rate		1,043			24.8	%		–			–
Other		66			1.7	%		2			0.1	%
Net expense	$	2,977			71.2	%	$	441			20.1	%

Deferred taxes consist of the following (in thousands):	December 31,
	20 17		20 16
Deferred tax assets:
Net operating loss carry forwards	$	1,313	$	3,116
Federal Research and Development Credit		240		281
Deferred revenue		360		419
Allowance for doubtful accounts and other receivable		59		49
Share-based compensation expense		646		763
Foreign subsidiaries		588		471
Depreciation		360		529
Other		26		38
Federal Alternative Minimum Tax		156		116
Total deferred tax assets		3,748		5,782

Deferred tax liabilities:
Goodwill		224		307
Capitalized software development costs		469		781
Total deferred tax liabilities		693		1,088
Net deferred tax es	$	3,055	$	4,694

December 31,

2017,

and

December 31, 2016,

the Company has Federal and State NOL carryforwards of

$5.3

million and

$7.7

million, respectively, which if unused will expire in years

2018

through

2036.

Approximately $

300,000

of the NOLs were incurred prior to the acquisition of PIA Merchandising Services, Inc. in

1999.

The acquisition resulted in a change of ownership under Internal Revenue Code ("IRC") section

382

and placed a limit on the amount of pre-acquisition NOLs that

may

be used each year to reduce taxable income. The annual limitation is

$657,500.

A reconciliation of the beginning and ending amount of

uncertain tax position reserves is as follows (in thousands):

	Year Ended December 31,
	20 17		20 16
Beginning balance	$	116	$	116
Additions for tax provisions of prior years		–		–
Ending balance	$	116	$	116

nterest and penalties that the tax law requires to be paid on the underpayment of taxes should be accrued on the difference between the amount claimed or expected to be claimed on the return and the tax benefit recognized in the financial statements. The Company's policy is to record this interest and penalties as additional tax expense.

Details of the Company

's tax reserves at

December 31, 2017,

are outlined in the table below (in thousands):

	Taxes		Interest		Penalty		Total Tax Liability
Domestic
State	$	116	$	49	$	5	$	170
Federal		–		–		–		–
International		–		–		–		–
Total reserve	$	116	$	49	$	5	$	170

In management

's view, the Company's tax reserves at

December 31, 2017 and 2016,

for potential domestic state tax liabilities were sufficient. The Company has evaluated the tax liabilities of its international subsidiaries and does

not

believe a reserve is necessary at this time.

SPAR and its subsidiaries file numerous consolidated, combined and separate company income tax returns in the U.S. Federal jurisdiction and in many U.S. state

s and foreign jurisdictions. With few exceptions, SPAR is subject to U.S. Federal, state and local income tax examinations for the years

2013

through the present. However, tax authorities have the ability to review years prior to the position taken by the Company to the extent that SPAR utilized tax attributes carried forward from those prior years.

Note 7 - Commitments and Contingencies

12 Months Ended

Dec. 31, 2017

Commitments and Contingencies Disclosure [Text Block]

. Commitments and Contingencies

Lease Commitments

The Company leases equipment and certain office space in several cities, under non-cancelable operating lease agreements. Certain leases require the Company to pay its share of any increases in operating expenses and real estate taxes. Rent expense was approximately

$1,806,000

and

$1,550,000

for the years ended

December 31, 2017

and

2016,

respectively. Equipment lease expense was approximately

$163,000

and

$164,000

for the years ended

December 31, 2017

and

2016,

respectively. At

December

31,

2017,

future minimum commitments under all non-cancelable operating lease arrangements are as follows (in thousands):

Year	Amount
20 18	$	2,103
2019		1,464
2020		1,188
2021		674
2022		387
Total	$	5,816

Legal Matters

The

Company is a party to various legal actions and administrative proceedings arising in the normal course of business. In the opinion of Company's management, disposition of these matters are

not

anticipated to have a material adverse effect on the Company or its

estimated or desired affiliates, assets, business, clients, capital, cash flow, credit, expenses, financial condition, income, liabilities, liquidity, locations, marketing, operations, prospects, sales, strategies, taxation or other achievement, results or condition.

The Company's merchandising, audit, assembly and other services for its domestic clients are performed by field merchandising, auditing, assembly and other field personnel (each a "Field Specialist").

The Company's affiliate, SPAR Business Services, Inc. ("SBS"), during

2017

provided approximately

10,700

Field Specialists (all of whom were engaged as independent contractors by SBS), representing

77%

(or

$25.9

million) of the total cost the Field Specialists utilized by the Company domestically. SBS is

not

a subsidiary or in any way under the control of SGRP, SBS is

not

consolidated in the Company's financial statements, and SGRP does

not

participate in or control the defense by SBS of any litigation against it. For contractual details and payment amounts, see Note

to the Company's Consolidated Financial Statements -

Related Party Transactions

Domestic Related Party Services

, below

The appropriateness of SBS's treatment of its Field Specialists as independent contractors has been periodically subject to legal challenge (both currently and historically) by various states and others. SBS's expenses of defending those challenges and other proceedings have historically been reimbursed by the Company

under SBS's Prior Agreement, and SBS's expenses of defending those challenges and other proceedings were reimbursed by the Company in

2017

and

2016

(in the amounts of

$193,000

and

$736,000,

respectively), after determination (on a case by case basis) that those defense expenses were costs of providing services to the Company.

The Company has advised SBS that, since there is

currently effective comprehensive written services agreement with SBS, the Company will continue to review and decide each request by SBS for reimbursement of its legal defense expenses (including appeals) on a case-by-case basis in its discretion, including the relative costs and benefits to the Company. SBS has disputed the Company's right to review and decide the appropriateness of the reimbursement of any of those defense

(and various other) expenses.

As provided in

SBS's Prior Agreement, the Company is

not

obligated or liable, and

the Company has

not

otherwise agreed and does

not

currently intend, to reimburse SBS for any judgment or similar amount (including any damages, settlement, or related tax, penalty, or interest) in any legal challenge or other proceeding against or involving SBS, and the Company does

not

believe it has ever done so (other than in insignificant nuisance amounts).

Any prolonged continuation of or material increase in the legal defense costs of SBS (and thus the reimbursable expenses SBS

may

charge to and that

may

be paid by the Company to the extent reimbursement is approved by the Company in its discretion)

could continue to be (and have from time to time been) significant, and prolonged litigation and appeals and any adverse determination in any such challenge could have a material adverse effect on SBS's ability to provide services needed by the Company and the Company's costs of doing business.

There can be

assurance that SBS will be able to satisfy any such judgment or similar amount resulting from any adverse legal determination.

In addition, there can be

assurance that SBS or someone else will

not

claim, and

assurance that SBS will be able to successfully shield any claim, that the Company is liable (under applicable law, through reimbursement or indemnification, or otherwise) for any such judgment or similar amount imposed against SBS. Any decrease in SBS's performance (quality or otherwise), any inability by SBS to use its assets without encumbrance or execute the services for the Company, or any increase in the Company's use of employees (rather than independent contractors) as its domestic Field Specialists, in each case in whole or in part, could have a material adverse effect on the Company or its performance or condition (including its assets, business, clients, capital, cash flow, credit, expenses, financial condition, income, liabilities, liquidity, locations, marketing, operations, prospects, sales, strategies, taxation or other achievement, results or condition), whether actual or as planned, intended, anticipated, estimated or otherwise expected.

As the Company utilized the services of SBS to support its in-store merchandising needs in California, management of the Company determined, with the support of SGRP's Audit Committee and Board of Directors, that it will be shifting to an all employee servicing model for its Field Specialists in

May

2018

to support the performance of its services in California for clients in this critical market and nationally for certain domestic clients that are requiring the Company to use employees as its Field Specialists.

As previously noted, management currently estimates that the potential incremental annual cost of this change in California from independent contractors to Company employees could be substantial. The Company is also evaluating whether this all employee model for its Field Specialists should be used in other states.

Current material and potentially material proceedings against SBS and, in

one

instance, the Company are described below. These descriptions are based on an independent review by the Company and do

not

reflect the views of SBS, its management or its counsel.

SBS Clothier Litigation

Melissa Clothier was engaged by SBS (then known as SPAR Marketing Services, Inc.) and provided services pursuant to the terms of an "Independent Merchandiser Agreement" acknowledging her engagement as an independent contractor. On

June 30, 2014,

Ms. Clothier filed suit against SBS and the Company styled Case

No.

RG12

639317,

in the Superior Court in Alameda County, California (the "Clothier Case"), in which Ms. Clothier asserted claims on behalf of herself and a putative class of similarly situated merchandisers in California who are or were classified as independent contractors at any time between

July 16, 2008,

and

June 30, 2014.

Ms. Clothier alleged that she and other class members were misclassified as independent contractors and that, as a result of this misclassification, the defendants improperly underpaid them in violation of various California minimum wage and overtime laws. The Company was originally a defendant in the Clothier Case but was subsequently dismissed from the action without prejudice. The court ordered that the case be heard in

two

phases. Phase

one

was limited to the determination of whether members of the class were misclassified as independent contractors. After hearing evidence, receiving post-trial briefings and considering the issues, the Court issued its Statement of Decision on

September 9, 2016,

finding that the class members had been misclassified as independent contractors rather than employees. The parties have now moved into phase

two

to determine damages (if any), which has included discovery as to the measure of damages in this case.

The Parties are still proceeding with the damages phase of the Clothier Case, which trial is currently scheduled for late

August

2018,

and with a potential final judgment in the Clothier Case expected by the Company later in

2018

(although it could come sooner).

SBS has advised the Company that SBS could appeal the adverse phase

one

determination and any damage award once damages have been determined, when an appeal is permitted under the court's rules.

determination has been made by the Company (in its discretion) as to whether to reimburse the costs of such an appeal. However, the Company (in its discretion) has determined that it will

not

advance or reimburse the funds to SBS to post a bond to stay execution during such an appeal by SBS, SBS must post a bond of

1.5

times the damage award in order to stay execution on the judgment during an appeal, and SBS's assets (including those used in providing services to the Company) are subject to legal process (including levy, attachment and sale) if

bond is posted. Action against SBS's assets could have a material adverse effect on SBS's ability to provide services needed by the Company. The Company is evaluating other potential suppliers of Field Specialists as alternatives should SBS be unable to provide some or all of the services needed by the Company.

Currently the Company is

not

a party to the Clothier Case as the Company was dismissed without prejudice.

However, if SBS is

not

able to meet its obligations under the final judgment, the Company could be drawn back into the Clothier Case. Should this occur, the Plaintiffs will need to further assert and prove that the Company is somehow also liable for damages in the Clothier Case, and the Company is prepared to vigorously challenge that assertion.

Any prolonged continuation of or material increase in the legal defense costs of SBS (and thus the reimbursable expenses SBS

may

charge to and that

may

be paid by the Company to the extent reimbursement is approved by the Company in its discretion), the failure of SBS to satisfy any such judgment or similar amount resulting from any adverse legal determination against SBS, any claim by SBS, SAS, any other related party or any

third

party that the Company is somehow liable for any such judgment or similar amount imposed against SBS or SAS or any other related party, any judicial determination that the Company is somehow liable for any such judgment or similar amount imposed against SBS or SAS or any other related party (in whole or in part), any decrease in SBS's or SAS's performance (quality or otherwise), any inability by SBS or SAS to execute the services for the Company, or any increase in the Company's use of employees (rather than independent contractors) as its domestic Field Specialists, in each case in whole or in part, could have a material adverse effect on the Company or its performance or condition (including its assets, business, clients, capital, cash flow, credit, expenses, financial condition, income, liabilities, liquidity, locations, marketing, operations, prospects, sales, strategies, taxation or other achievement, results or condition), whether actual or as planned, intended, anticipated, estimated or otherwise expected.

SBS Rodgers Litigation

Maceo Rodgers was engaged by and provided services to SBS pursuant to the terms of his "Master Agreements" with SBS acknowledging his engagement as an independent contractor.

February 21, 2014,

Rodgers filed suit against SBS, Robert G. Brown and William H. Bartels, styled Civil Action

No.

3:14

-CV-

00055,

in the U.S. District Court for the Southern District of Texas (Galveston Division). Plaintiff asserted claims on behalf of himself and an alleged class of similarly situated individuals who provided services to SBS as independent contractors at any time on or after

July 15, 2012,

claiming they all were misclassified as independent contractors and that, as a result of this misclassification, the Defendants improperly underpaid them in violation of the Fair Labor Standards Act's overtime and minimum wage provisions. Although the Court conditionally certified the class on

December 8, 2015,

only

individuals joined the action as opt-in plaintiffs, and all but

of them have potentially disqualifying arbitration provisions, residences outside the class's geographic area, or late opt-in filings, and were challenged by the Defendants in various motions, including a motion to decertify the class. The Court, however, did

not

rule on these motions and instead stayed the case on

September 19, 2017

to allow the parties to mediate. On

October 24, 2017,

the Court granted the parties' joint motion to extend the stay order until

January 31, 2018.

A formal mediation was undertaken in this action. However, the mediation was unsuccessful. SBS is now waiting for the Court to rule on (

) Plaintiff

’s motion for nationwide judicial notice and to certify a nationwide collective action, and (

) SBS’s motion to decertify the collective class. It is anticipated that this matter will likely proceed to trial later this year or early next year.

SBS and SGRP Hogan Litigation

Paradise Hogan was engaged by and provided services to SBS as an independent contractor pursuant to the terms of an "Independent Contractor Master Agreement" with SBS acknowledging his engagement as an independent contractor.

January 6, 2017,

Hogan filed suit against SBS and SGRP (and part of the Company), styled Civil Action

No.

1:17

-cv-

10024

-LTS, in the U.S. District Court for District of Massachusetts. Hogan initially asserted claims on behalf of himself and an alleged nationwide class of similarly situated individuals who provided services to SBS and SGRP as independent contractors. Hogan alleged that he and other alleged class members were misclassified as independent contractors, and as a result of this purported misclassification, Hogan asserted claims on behalf of himself and the alleged Massachusetts class members under the Massachusetts Wage Act and Minimum Wage Law for failure to pay overtime and minimum wages, as well as state law claims for breach of contract, unjust enrichment, quantum meruit, and breach of the covenant of good faith and fair dealing. In addition, Hogan asserted claims on behalf of himself and the nationwide class for violation of the Fair Labor Standards Act's overtime and minimum wage provisions. On

March 28,

2017,

the Company moved to refer Hogan's claim to arbitration pursuant to his agreement, to dismiss or stay Hogan's case pending arbitration, and to dismiss Hogan's case for failure to state a specific claim upon which relief could be granted.

November 13, 2017,

the Court convened a status conference call with the parties to discuss the impact on the case of the Supreme Court

’s pending decision in Epic Systems Corp. v. Lewis, in which the Supreme Court heard arguments in

October 2017

and ultimately will decide whether arbitration clauses that include a waiver of a worker’s right to bring or participate in a class action violate the National Labor Relations Act. On

March 12, 2018,

the Court denied both defendants’ Motion to Dismiss for failure to state a claim, denied the Motion to Compel Arbitration as to SGRP, denied the Motion to Stay as to SGRP, and allowed the Motion to Stay as to SBS pending the outcome of the Supreme Court’s decision in Epic Systems), which (depending on the Supreme Court's ruling) could result in all SBS disputes being sent to arbitration. SGRP has decided to appeal the District Court’s decision to the First Circuit Court of Appeals and to seek a stay of the underlying litigation pending the outcome of the appeal, and the court has indicated that it would stay the action against SGRP pending the outcome of its appeal. This means that, if the appeal is unsuccessful, SGRP could have to go to trial without SBS, which SGRP will vigorously contest against all parties.

SBS and SGRP Litigation Generally

Any prolonged continuation of or material increase in the legal defense costs of SBS (and thus the reimbursable expenses SBS

may

charge to and that

may

be paid by the Company to the extent reimbursement is approved by the Company in its discretion) could continue to be (and have from time to time been) significant, and prolonged litigation and appeals and any adverse determination in any such challenge could have a material adverse effect on SBS's ability to provide services needed by the Company and the Company's costs of doing business.

There can be

assurance that SBS will be able to satisfy any such judgment or similar amount resulting from any adverse legal determination. In addition, there can be

assurance that SBS or someone else will

not

claim, and

to the Company's Consolidated Financial Statements –

Related Party Transactions – Domestic Related Party Services

, below.

Note 8 - Treasury Stock	12 Months Ended
Note 8 - Treasury Stock	Dec. 31, 2017
Notes to Financial Statements
Treasury Stock [Text Block]	8. Treasury Stock Pursuant to the Company's 2017 Stock Repurchase Program (the "2018 Repurchase Program"), as approved by SGRP's Audit Committee and adopted by its Board of Directors on November 10, 2017 and ratified on March 14, 2018, the Company may repurchase shares of SGRP Common Stock through November 10, 2020, but not more than 500,000 shares in total, and those repurchases would be made from time to time in the open market and through privately-negotiated transactions, subject to general market and other conditions. SGRP does not intend to repurchase any shares in the market during any blackout period applicable to its officers and directors under the SPAR Group, Inc. Statement of Policy Regarding Personal Securities Transactions in SGRP Stock and Non-Public Information As Adopted, Restated, Effective and Dated as of May 1, 2004, and As Further Amended Through March 10, 2011 ( other than purchases that would otherwise be permitted under the circumstances for anyone covered by such policy). As of December 31, 2017, the Company had 500,000 shares remaining to be purchased under the 2018 Repurchase Program. Under the preceding stock repurchase program (adopted in 2012 and extended and modified in 2015 ), the Company repurchased all 532,235 shares through December 31, 2017.

Note 9 - Preferred Stock	12 Months Ended
Note 9 - Preferred Stock	Dec. 31, 2017
Notes to Financial Statements
Preferred Stock [Text Block]	9 . Preferred Stock SGRP 's certificate of incorporation authorizes it to issue 3,000,000 shares of preferred stock with a par value of $0.01 per share (the "SGRP Preferred Stock"), which may have such preferences and priorities over the SGRP Common Stock and other rights, powers and privileges as the Company's Board of Directors may establish in its discretion from time to time. The Company has created and authorized the issuance of a maximum of 3,000,000 shares of Series A Preferred Stock pursuant to SGRP's Certificate of Designation of Series "A" Preferred Stock (the "SGRP Series A Preferred Stock"), which have dividend and liquidation preferences, have a cumulative dividend of 10% per year, are redeemable at the Company's option and are convertible at the holder's option (and without further consideration) on a one -to- one basis into SGRP Common Stock. The Company issued 554,402 of SGRP shares to affiliated retirement plans which were all converted into common shares in 2011 (including dividends earned thereon), leaving 2,445,598 shares of remaining authorized preferred stock. At December 31, 2017, no shares of SGRP Series A Preferred Stock were issued and outstanding.

Note 10 - Retirement Plans	12 Months Ended
Note 10 - Retirement Plans	Dec. 31, 2017
Notes to Financial Statements
Pension and Other Postretirement Benefits Disclosure [Text Block]	10 . Retirement Plans The Company has a 401 (k) Profit Sharing Plan covering substantially all eligible domestic employees. The Company made contributions of $50,000 and $75,000 for the years ended December 31, 2017 and 2016, respectively.

Note 11 - Related Party Transactions

12 Months Ended

Dec. 31, 2017

. Related Party Transactions

SGRP's policy respecting approval of transactions with related persons, promoters and control persons is contained in the SPAR Group Code of Ethical Conduct for its

Directors, Executives, Officers, Employees, Consultants and other Representatives Amended and Restated (as of)

March 15, 2018 (

the "Ethics Code"). The Ethics Code is intended to promote and reward honest, ethical, respectful and professional conduct by each Covered Person (as defined in the Ethics Code in his or her position with the Company anywhere in the world, including (among other things) serving each customer, dealing with each vendor and treating each other with integrity and respect, and behaving honestly, ethically and professionally with each customer, each vendor, each other and the Company. Article II of the Ethics Code specifically prohibits various forms of self-dealing (including dealing with relatives) and collusion and Article V of the Ethics Code generally prohibits each "Covered Person" (including SGRP's officers and directors) from using or disclosing the Confidential Information of the Company or any of its customers or vendors, seeking or accepting anything of value from any

competitor, customer, vendor, or other person relating to doing business with the Company, or engaging in any business activity that conflicts with his or her duties to the Company, and directs each "Covered Person" to avoid any activity or interest that is inconsistent with the best interests of the SPAR Group, in each case except for any "Approved Activity" (as such terms are defined in the Ethics Code). Examples of violations include (among other things) having any ownership interest in, acting as a director or officer of or otherwise personally benefiting from business with any competitor, customer or vendor of the Company other than pursuant to any Approved Activity. Approved Activities include (among other things) any contract with an affiliated person (each an "Approved Affiliate Contract") or anything else disclosed to and approved by SGRP's Board of Directors (the "Board"), its Governance Committee or its Audit Committee, as the case

may

be, as well as the ownership, board, executive and other positions held in and services and other contributions to affiliates of SGRP and its subsidiaries by certain directors, officers or employees of SGRP, any of its subsidiaries or any of their respective family members. The Company's senior management is generally responsible for monitoring compliance with the Ethics Code and establishing and maintaining compliance systems, including those related to the oversight and approval of conflicting relationships and transactions, subject to the review and oversight of SGRP's Governance Committee as provided in clause

IV.11

of the Governance Committee's Charter, and SGRP's Audit Committee as provided in clause

I.2

(l) of the Audit Committee's Charter. The Governance Committee and Audit Committee each consist solely of independent outside directors.

SGRP's Audit Committee has the specific duty and responsibility to review and approve the overall fairness and terms of all material related-party transactions. The Audit Committee receives affiliate contracts and amendments thereto for its review and approval (to the extent approval is given), and these contracts are periodically (often annually) again reviewed, in accordance with the Audit Committee Charter, the Ethics Code, the rules of the Nasdaq Stock Market, Inc. ("Nasdaq"), and other applicable law to ensure that the overall economic and other terms will be (or continue to be)

less favorable to the Company than would be the case in an arms-length contract with an unrelated provider of similar services (i.e., its overall fairness to the Company, including pricing, payments to related parties, and the ability to provide services at comparable performance levels). The Audit Committee periodically reviews all related party relationships and transactions described below.

In addition, in order to (among other things) assist the Board and the Audit Committee in connection with an overall review of the Company's related party transactions and certain worker classification-related litigation matters, in

April 2017

the Board formed a special subcommittee of the Audit Committee (the "Special Subcommittee") to (among other things) review the structure, documentation, fairness, conflicts, fidelity, appropriateness, and practices respecting each of the relationships and transactions discussed in this Note.

The Special Subcommittee engaged Morrison Valuation & Forensic Services, LLC ("Morrison"), to perform a

third

-party financial evaluation of certain domestic related party relationships and transactions (principally with SAS and SBS of the Company, which included the review of certain financial records of the Company (but

not

those of its affiliates)) and discussions with management of the Company.

Their task included (among other things) the identification and mapping of and apparent purposes for and benefits from cash flows between the Company and its affiliates. Morrison identified a number of transactions between the parties, while

not

material, were inefficient, time consuming and of limited business value to the parties. They included expense reimbursement for indirect charges for supply purchases, corporate vendor service cost and use of corporate credit cards in the payment of vendor services. These inefficiencies have been and will continue to be addressed by the Company. The Special Subcommittee also engaged Holland & Knight to provide legal advice on related party issues, and Paul Hastings to provide legal advice on independent contractor classification issues, including the SBS Clothier Case (see Note

to the Company's Consolidated Financial Statements,

Commitments and Contingencies

Legal Matters

SBS Clothier Litigation

, above), and their advice is ongoing.

The Company is currently unable to predict the remaining duration and final results of this review by the Special Subcommittee.

Domestic Related Party Services:

SPAR Business Services, Inc. ("

SBS"), SPAR Administrative Services, Inc. ("SAS"), and SPAR InfoTech, Inc. ("SIT"), are affiliates of SGRP but are

not

under the control or part of the consolidated Company. Mr. Robert G. Brown, a Director, Chairman and a major stockholder of SGRP, and Mr. William H. Bartels, a Director, Vice Chairman and a major stockholder of SGRP, are the sole stockholders of SBS. Mr. Brown is the sole stockholder of SIT. Mr. Brown is a director and officer of SBS and SIT. Mr. Bartels is a director and officer of SAS. The stockholders of SAS were Mr. Bartels and parties related to Mr. Brown and his family, each of whom is considered an affiliate of the Company for related party purposes because of their family relationships with Mr. Brown.

The Company executes the services it provides to its domestic clients primarily through field merchandising, auditing, assembly and other field personnel (each a "Field Specialist"), substantially all of whom have been independent contractors provided by SBS, and administers those services through local, regional, district and other personnel (each a "Field Administrator"), substantially all of whom have been provided by SAS.

The Company paid

$25.9

million and

$22.7

million during the year ended

December 31, 2017

and

2016,

respectively, to SBS for its provision as needed of approximately

10,700

of SBS's available Field Specialists in the U.S.A. (which amounted to approximately

77%

and

79%

of the Company's total domestic Field Specialist expense for the year ended

December 31, 2017

and

2016,

respectively). The Company paid

$4.2

million and

$4.3

million for the year ended

December 31, 2017

and

2016,

respectively, to SAS for its provision of its

full-time regional and district administrators (which amounted to approximately

91%

and

92%

of the Company's total domestic field administrative service cost for the

twelve

months ended

December 31, 2017

and

2016

). In addition

to these field service and administration expenses, SAS also incurs other administrative expenses related to benefit and employment tax expenses of SAS and payroll processing, legal and other administrative expenses and SBS incurs expenses for processing vendor payments, legal defense and other administrative expenses (but those expenses are only reimbursed by SGRP to the extent approved by the Company as described below).

The total cost recorded by the Company for the expenses of SBS and SAS in providing their services to the Company, including the "Cost Plus Fee" arrangement (as defined and discussed below) and other expenses paid directly by the Company on behalf of and invoiced to SBS and SAS, was

$30.1

million and

$27.0

million, for the years ended

December 31, 2017

and

2016,

respectively.

The terms of the Amended and Restated Field Service Agreement with SBS dated as of

January 1, 2004,

as amended in

2011,

and the Amended and Restated Field Management Agreement with SAS dated as of

January 1, 2004 (

each a "Prior Agreement"), defined reimbursable expenses and established a "Cost Plus Fee" arrangement where the Company paid SBS and SAS for their costs of providing those services plus a fixed percentage of such reimbursable expenses (the "Cost Plus Fee"). The parties have had negotiations respecting replacement agreements since the Prior Agreements expired on

November 30, 2014.

As further described below, a new Field Administration Agreement was entered into with SAS in

2016.

The Company and SBS have agreed to an arrangement for a revised Cost Plus Fee equal to

2.96%

of the Field Specialists costs and certain other approved reimbursable expenses incurred by SBS in performing services for the Company, subject to certain offsetting credits.

This arrangement went into effect on and has applied since

December 1, 2014.

The Company has offered a new agreement to SBS confirming that reimbursable expenses are subject review and approval by the Company, but SBS has rejected that proposal.

The Company believes its net costs for Field Specialists in

2017

could have been approximately

$1.0

million less if it had been feasible for the Company to directly engage those Field Specialists on terms substantially similar to SBS.

SBS compensation to any officer, director or other related party has been reimbursed or approved to date by the Company, and

such compensation reimbursements were made or approved under SBS's Prior Agreement.

This is

not

a restriction on SBS since SBS is

not

controlled by the Company and

may

pay any compensation to any person that SBS desires out of its own funds. However, SBS has invoiced the Company monthly for certain such compensation payments from

July

2015

through

December 2016,

and again from

July 2017

December 31, 2017,

but the Company has rejected those invoices as non-reimbursable expenses. Since SBS is a "Subchapter S" corporation, all income from SBS is allocated to its stockholders (see above).

The Company has determined that the rates charged by SBS for the services of its field merchandising, auditing, assembly and other field personnel (each a "Field Specialist") are favorable to the Company when compared to other possible non-affiliate providers. SBS has advised the Company that those favorable rates are dependent (at least in part) on SBS's ability to continue to use independent contractors as its Field Specialists, that such Field Specialists generally provide greater flexibility and performance quality at lower total costs as a result of their business independence and initiative, and that it has an agreement with each Field Specialist clearly confirming his, her, or its status as an independent contractor.

The appropriateness of SBS's treatment of its Field Specialists as independent contractors has been periodically subject to legal challenge (both currently and historically) by various states and others, SBS's expenses of defending those challenges and other proceedings have historically been reimbursed by the Company under SBS's Prior Agreement, and SBS's expenses of defending those challenges and other proceedings were reimbursed by the Company in

2017

and

2016

(in the amounts of

$193,000

and

$736,000,

respectively), after determination (on a case by case basis) that those defense expenses were costs of providing services to the Company. The Company has advised SBS that, since there is

not

agreed, and does

not

believe it has ever done so (other than in insignificant nuisance amounts). However, there can be

assurance that SBS will be able to satisfy any such judgment or similar amount resulting from any adverse legal determination, that SBS or someone else will

not

claim, or that SBS will be able to successfully defend any claim, that the Company is liable (under

applicable law, through reimbursement or indemnification, or otherwise) for any such judgment or similar amount imposed against SBS.

Furthermore, there can be

assurance that SBS will succeed in defending any such legal challenge, the legal expenses of prolonged litigation and appeals could continue to be (and have from time to time been) significant, and prolonged litigation and appeals and any adverse determination in any such challenge could have a material adverse effect on SBS's ability to provide services needed by the Company and the Company's costs of doing business.

Current material and potentially material proceedings against SBS and, in

one

instance, the Company are described in Note

to the Company's Consolidated Financial Statements - Commitments and Contingencies - Legal Matters, above. These descriptions are based on an independent review by the Company and do

not

reflect the views of SBS, its management or its counsel.

Any prolonged continuation of or material increase in the legal defense costs of SBS (and thus the reimbursable expenses SBS

may

charge to and that

may

third

June 14, 2016,

SAS and SPAR Marketing Force, Inc. ("SMF") entered into a new Field Administration Agreement (the "SAS Agreement"). In order to provide continuity with SAS's Prior Agreement, the SAS Agreement is effective and governs the relationship of the parties as of

December 1, 2014,

and amends, restates and completely replaces SAS's Prior Agreement.

The SAS Agreement more clearly defines reimbursable and excluded expenses and the budget and approval procedures and continues the indemnifications and releases provided by SAS's Prior Agreement (which indemnifications and releases were and are comparable to those applicable to SGRP's directors and executive officers under its By-Laws and applicable law).

Specifically, the SAS Agreement reduced the Cost Plus Fee from

effective as of

June 1, 2016.

SGRP's Audit Committee has approved the SAS Agreement pursuant to its specific duty and responsibility to review and approve the overall fairness of all material related-party transactions, as more fully provided above in this note

SAS compensation to any officer, director or other related party (other than to Mr. Peter W. Brown, a related party as noted below,

pursuant to previously approved budgets) has been reimbursed or approved to date by the Company, and

such compensation reimbursements were made or approved under SAS's Prior Agreement. This is

not

a restriction on SAS since SAS is

not

controlled by the Company and

may

pay any compensation to any person that SAS desires out of its own funds. Since SAS is a "Subchapter S" corporation, all income from SAS is allocated to its stockholders (see above). Peter W. Brown ("Peter Brown") is an employee of SAS, is the nephew of SGRP's Chairman, Mr. Robert G. Brown, and is a director of SPAR BSMT and owns EILLC (see

International Related Party Services

, below). Peter Brown was an official observer at the meetings of SGRP's Board from

2014

through

December 2016.

Accordingly, Peter Brown is a related party in respect of the Company.

National Merchandising Services, LLC ("NMS"), is a consolidated domestic subsidiary of the Company and is owned jointly by SGRP through its indirect ownership of

51%

of the NMS membership interests and by National Merchandising of America, Inc. ("NMA"), through its ownership of the other

49%

of the NMS membership interests. Mr. Edward Burdekin is the Chief Executive Officer and President and a director of NMS and also is an executive officer and director of NMA. Ms. Andrea Burdekin, Mr. Burdekin's wife, is the sole stockholder and a director of NMA and a director of NMS. NMA is an affiliate of the Company but is

not

under the control of or consolidated with the Company.

International Related Party Services:

SGRP Meridian (Pty), Ltd. ("Meridian") is a consolidated international subsidiary of the Company and is owned

51%

by SGRP and

49%

by the following individuals: Mr. Brian Mason, Mr. Garry Bristow, and Mr. Adrian Wingfield. Mr. Mason is President and a director and Mr. Bristow is an officer and director of Meridian. Mr. Mason is also an officer and director and

50%

shareholder of Merhold Property Trust ("MPT"). Mr. Mason and Mr. Bristow are both officers and directors and both own

50%

of Merhold Cape Property Trust ("MCPT").

Mr. Mason, Mr. Bristow and Mr. Wingfield are all officers and own

46.7%,

20%

and

33.3%,

respectively of Merhold Holding Trust ("MHT") which provides similar services like MPT. MPT owns the building where Meridian is headquartered and also owns

vehicles both of which are subleased to Meridian. MCPT provides a fleet of

126

vehicles to Meridian under a

year lease program. These leases are provided to Meridian at local market rates included in the summary table below.

SPAR Todopromo is a consolidated international subsidiary of the Company and is owned

51%

by SGRP and

49%

by the following individuals: Mr. Juan F. Medina Domenzain, Juan Medina Staines, Julia Cesar Hernandez Vanegas, and Jorge Medina Staines. Mr. Juan F. Medina Domenzain is an officer and director of SPAR Todopromo and is also majority shareholder (

90%

) of CONAPAD

("CON") which supplied administrative and operational consulting support to SPAR Todopromo in

2016.

August 2016,

Mr. Juan F. Medina Domenzain ("JFMD"), partner in SPAR Todopromo, purchased the warehouse that was being leased by SPAR Todopromo. A lease

expired on

December 31, 2017,

and was renewed until

December 31, 2020

at the same terms and cost.

September 8, 2016,

the Company (through its Cayman Islands subsidiary) acquired

100%

ownership of SGRP Brasil Participações Ltda. ("SGRP Holdings"), a Brazilian limitada (which is a form of limited liability company), from its affiliate, SIT, at cost (including approved expenses). See

Related Party Transactions and Arrangements in the Brazil Acquisition in this Note, below. SGRP Holdings then completed the formation and acquired a majority of the stock of SPAR Brasil Serviços de Merchandising e Tecnologia S.A., a Brazilian corporation ("SPAR BSMT"). SGRP Holdings and SPAR BSMT are consolidated subsidiaries of the Company. SPAR BSMT is owned

51%

by the Company,

39%

by JK Consultoria Empresarial Ltda.-ME, a Brazilian limitada ("JKC"), and

10%

by Earth Investments, LLC, a Nevada limited liability company ("EILLC").

JKC is owned by Mr. Jonathan Dagues Martins, a Brazilian citizen and resident ("JDM") and his sister, Ms. Karla Dagues Martins, a Brazilian citizen and resident. JDM is the Chief Executive Officer and President of each SPAR Brazil company pursuant to a Management Agreement between JDM and SPAR BSMT dated

September 13, 2016.

JDM also is a director of SPAR BSMT. Accordingly, JKC and JDM are each a related party in respect of the Company. EILLC is owned by Mr. Peter W. Brown, a citizen and resident of the USA ("PWB"). Accordingly, PWB and EILLC are each a related party in respect of the Company.

SPAR BSMT has contracted with Ms. Karla Dagues Martins, a Brazilian citizen and resident and JDM's sister to handle the labor litigation cases for SPAR BSMT and its subsidiaries. These legal services are being provided to them at local market rates by Ms. Martins's company, Karla Martins Sociedade de Advogados ("KMSA").

The Company believes it is the largest and most important customer of SBS, SAS, MPT, MCPT, MHT, CON, JFMD and KMSA (and from time to time

may

be their only customer), and accordingly the Company generally has been able to negotiate better terms, receives more personal and responsive service and is more likely to receive credits and other financial accommodations from SBS, SAS, MPT, MCPT, MHT, CON, JFMD and KMSA than the Company could reasonably expect to receive from an unrelated service provider who has significant other customers and business.

SBS, SAS and other material affiliate contracts and arrangements are annually reviewed and considered for approval by SGRP's Audit Committee, subject to the ongoing negotiations with SBS as described above.

Related Party Transaction Summary:

The following costs of affiliates were charged to the Company (in thousands):

	Year Ended December 31 ,
	201 7		201 6
Services provided by affiliates:
Field Specialist expenses * (SBS)	$	25,866	$	22,749
Field administration expenses * (SAS)	$	4,215	$	4,276
Office and vehicle rental expenses (MPT)	$	62	$	50
Vehicle rental expenses (MCPT)	$	1,146	$	879
Office and vehicle rental expenses (MHT)	$	170	$	121
Field administration expenses* (NDS Reklam)	$	2	$	2
Consulting and administrative services (CON)	$	244	$	309
Warehouse Rental (JFMD)	$	47	$	10
Legal Services (KMSA)	$	10	$	7

Total services provided by affiliates	$	31,762	$	28,403

Includes substantially all overhead (in the case of SAS and SBS), or related overhead, plus any applicable markup.

Due to affiliates consists of the following (in thousands):	December 31 ,
	201 7		201 6
Loans from local investors: (1)
Australia	$	250	$	231
Mexico		1,001		1,001
Brazil		139		139
China		719		761
NMS LLC		–		348
South Africa		24		–
Accrued Expenses due to affiliates:
SBS/SAS		893		869
Total due to affiliates	$	3,026	$	3,349

(

)

Represent loans from the local investors into the Company's subsidiaries (representing their proportionate share of working capital loans). The loans have

payment terms and are due on demand and as such have been classified as current liabilities in the Company's consolidated financial statements.

Other Related Party Transactions and Arrangements

July 1999,

SMF, SBS and

SIT entered into a perpetual software ownership agreement providing that each party independently owned an undivided share of and had the right to unilaterally license and exploit their "Business Manager" internet job scheduling software (which had been jointly developed by such parties), and all related improvements, revisions, developments and documentation from time to time voluntarily made or procured by any of them at its own expense. Business Manager and its other proprietary software and applications are used by the Company for (among other things) the scheduling, tracking, coordination and reporting of its merchandising and marketing services and are accessible via the internet or other applicable telecommunication network by the authorized representatives of the Company and its clients through their respective computers and mobile devices. In addition, SPAR Trademarks, Inc. ("STM"), a wholly owned subsidiary of SGRP, SBS and SIT entered into separate perpetual trademark licensing agreements whereby STM has granted non-exclusive royalty-free licenses to SIT and SBS (and through them to their commonly controlled subsidiaries and affiliates by sublicenses, including SAS) for their continued use of the name "SPAR" and certain other trademarks and related rights of STM. SBS and SAS provide services to the Company, as described above, SIT assisted in the Brazilian acquisition at a cost to the Company of

$49,000,

as described below, and SIT

longer provides services to and does

not

compete with the Company.

Through arrangements with the Company, SBS, SAS and other companies owned by Mr. Brown or Mr. Bartels participate in various benefit plans, insurance policies and similar group purchases by the Company, for which the Company charges them their allocable shares of the costs of those group items and the actual costs of all items paid specifically for them. All such transactions between the Company and the above affiliates are paid and/or collected by the Company in the normal course of business.

In addition to the above, SAS purchases insurance coverage for worker compensation, casualty and property insurance risk for itself, for SBS on behalf of its Field Specialists that require such insurance coverage (all who do

not

provide their own), and for the Company from Affinity Insurance, Ltd. ("Affinity"). SAS owns a minority (less than

) of the common stock in Affinity.

Based on informal arrangements between the parties, the Affinity insurance premiums for such coverage are ultimately charged (through SAS) for their fair share of the costs of that insurance to SMF, SAS (which then charges the Company) and SBS.

In addition to those required periodic premiums, Affinity also requires payment of cash collateral deposits ("Cash Collateral"), and Cash Collateral amounts are initially determined and from time to time re-determined (upward or downward) by Affinity.

The Cash Collateral deposit with Affinity since

2012

now totals

$965,023;

$378,838

of that Cash Collateral was allocable to SBS;

$109,387

of that Cash Collateral was allocable to SAS; and

$296,474

of that Cash Collateral was allocable to SMF and the balance of

$180,324

was allocated to another affiliate, SR Services, Inc. The Cash Collateral deposits allocable to SBS have been paid by SAS on behalf of SBS, SAS received advances to make such payments from SBS, and SBS in turn received advances to make such payments from SMF. The Cash Collateral deposits allocable to SAS have been paid by SAS on behalf of itself. The Cash Collateral deposits allocable to SMF have been paid by SAS on behalf of SMF, and SAS received advances to make such payments from SMF. Affinity from time to time

may (

in the case of a downward adjustment in such periodic premiums or the Cash Collateral) make refunds, rebates or other returns of such periodic premiums and Cash Collateral deposits to SAS for the benefit of itself, SBS and SMF (as returned, "Affinity Refunds"). SAS is obligated to return to SBS, and SBS is obligated to return to SMF, any and all Affinity Refunds allocable to SBS in repayment of the corresponding advances. SAS is obligated to return to SMF any and all Affinity Refunds allocable to SMF in repayment of the corresponding advances. SAS, SBS and SMF are currently negotiating reimbursement and security agreements to document and confirm those advances totaling approximately

$675,000

and repayment obligations.

The following related party transactions occurred in connection with the Company's

September 2016

acquisition in Brazil of the NM Companies (as defined and more fully described in Note

to Company's Consolidated Financial Statements -

Purchase of Interests in Subsidiaries

, below).

September 8, 2016,

the Company (through its Cayman Islands subsidiary) acquired

100%

ownership of SGRP Brasil Participações Ltda. ("SGRP Holdings"), a Brazilian limitada (which is a form of limited liability company), from its affiliate, SIT, for

plus approved expenses of

$49,000.

SGRP Holdings then completed the formation and acquired a majority of the stock of SPAR Brasil Serviços de Merchandising e Tecnologia S.A., a Brazilian corporation ("SPAR BSMT").

SGRP Holdings, JK Consultoria Empresarial Ltda.-ME, a Brazilian limitada ("JKC"), and Earth Investments, LLC, a Nevada limited liability company ("EILLC"), entered into a Joint Venture Agreement respecting SPAR BSMT dated and effective as of

September 13, 2016 (

the "JV Agreement"). See below respecting the ownership and related party status of JKC and EILLC. The JV Agreement (among other things) provided for the NM Acquisition described (and defined) below, provided for the capitalization of and loans to SPAR BSMT to fund the NM Acquisition and its working capital, and established terms for the election of officers and directors and governance of SPAR BSMT. In addition, the JV Agreement provided for the issuance of shares by SPAR BSMT in the necessary amounts to give SGRP Holdings

51%,

JKC

39%

and EILLC

10%

of the outstanding shares of SPAR BSMT

's stock. Under the JV Agreement, SPAR BSMT has

five

directors,

three

of which are nominated by SGRP Holdings,

one

of which is nominated by JKC and

one

of which is nominated by EILLC.

September 13, 2016.

JDM also

held equivalent positions with each NM Company prior to their acquisition by SPAR BSMT. JDM also is a director of SPAR BSMT. Accordingly, JKC and JDM are each a related party in respect of the Company.

SGRP Holdings

and JKC are parties to separate Loan Agreements with SPAR BSMT dated

September 14, 2016,

pursuant to which funds were loaned to SPAR BSMT for operating working capital and purchase of the NM Acquisition. SGRP Holdings loaned

R$1,400,000

(approximately

US$448,000

) and JKC loaned

R$453,673

(approximately

US$145,175

) to SPAR BSMT as required by the JV Agreement. JKC funded that loan in part through a loan of

R$120,423

(approximately

US$38,700

) to JKC from SGRP Holdings pursuant to a Loan Agreement between them dated

September 14, 2016.

EILLC is owned by Mr. Peter W. Brown, a citizen and resident of the USA ("PWB"). PWB is an officer and employee of the Company

's affiliate, SIT, which is owned by SGRP's Chairman, Mr. Robert G. Brown, PWB was an official observer at the meetings of SGRP's Board for

2014

through

December 2016,

and PWB also is the nephew of Mr. Robert G. Brown. PWB also is a director of SPAR BSMT. Accordingly, PWB and EILLC are each a related party in respect of the Company. In consideration of PWB's efforts in finding and pursuing the NM Acquisition, the Company agreed to grant his company, EILLC, a

10%

interest in SPAR BSMT and have SGRP Holdings take over and make the initial loans to SPAR BSMT that would otherwise have been required to have been made by EILLC (aggregating

R$116,326

or approximately

US$37,200

). The Company also agreed to reimburse SIT for PWB's approved expenses.

The NM Acquisition and associated related party transactions were reviewed and approved by the Audit Committee of SGRP

's Board of Directors.

Note 12 - Stock Based Compensation Plans

12 Months Ended

Dec. 31, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

12.

Stock Based Compensation Plans

The Company believes that it is desirable to align the interests of its directors, executives, employees and consultants with those of its stockholders through their ownership of

shares of Common Stock issued by SGRP ("SGRP Shares"). Although the Company does

not

require its directors, executives, employees or consultants to own SGRP Shares, the Company believes that it can help achieve this objective by providing long term equity incentives through the issuance to its eligible directors, executives, employees or consultants of options to purchase SGRP Shares and other stock-based awards pursuant to the

2008

Plan (as defined below) and facilitating the purchase of SGRP Shares at a modest discount by all of its eligible executives, employees and consultants who elect to participate in its Employee or Consultant Stock Purchase Plans (as defined below). In particular, the Company believes that granting stock based awards (including restricted stock and options to purchase SGRP Shares) to such directors, executives, employees and consultants encourages growth in their ownership of SGRP Shares, which in turn leads to the expansion of their stake in the long-term performance and success of the Company.

SGRP

has granted stock option and restricted stock awards to its eligible directors, officers and employees and certain employees of its affiliates to purchase SGRP Shares pursuant to the

2008

Stock Compensation Plan (as amended, the

"2008

Plan"). SGRP's stockholders approved and adopted the

2008

Plan in

May 2008,

as the successor to various predecessor stock option plans (each a "Prior Plan") with respect to all new awards issued, and an amendment to the

2008

Plan in

May 2009,

permitting the discretionary repricing of existing awards. SGRP also has granted stock options that continue to be outstanding under the Prior Plans. Each Prior Plan will continue to be active for the purposes of any remaining outstanding options issued under it for so long as such options are outstanding.

The

2008

Plan provides for the granting of

restricted SGRP Shares, stock options to purchase SGRP Shares (either incentive or nonqualified), and restricted stock units, stock appreciation rights and other awards based on SGRP Shares ("Awards") to SGRP Directors and the Company's specified executives, employees and consultants (which are employees of certain of its affiliates). Unless terminated sooner as provided therein, the

2008

Plan will terminate on

May 28, 2018,

which is

ten

years from the

2008

Plan Effective Date, and

further Awards

may

be made under it. However, any existing Awards made prior to such termination will continue in accordance with their respective terms and will continue to be governed by the

2008

Plan. Stock options granted under the

2008

Plan have a maximum term of

ten

years, except in the case of incentive stock options granted to greater than

10%

stockholders (whose terms are limited to a maximum of

five

years), and SGRP has generally issued options having those maximum terms.

The

2008

Plan limits the number of SGRP

Shares that

may

be covered by Awards ("Outstanding Covered Shares") to

5,600,000

SGRP Shares in the aggregate (the "Maximum Covered Shares"), which Outstanding Covered Shares for this purpose consist of the sum of (i) the SGRP Shares covered by all Awards issued under the

2008

Plan on or after

May 29, 2008 (

"New Awards"), plus (ii) and the SGRP Shares covered by all stock options issued at any time under the prior Plans to the extent they were still outstanding on

May 29, 2008 (

"Continuing Awards"). SGRP Shares covered by New Awards or Continuing Awards that expire, lapse, terminate, are forfeited, become void or otherwise cease to exist (other

than as a result of exercise) are

longer Outstanding Covered Shares, are added back to remaining availability under the Maximum Covered Shares and thus become available for new Award grants, while those SGRP Shares covered by exercised New Awards or Continuing Awards continue to be Outstanding Covered Shares and are

not

added back to, and thus continue to reduce, the remaining availability under the Maximum Covered Shares under the

2008

Plan.

The Outstanding Covered Shares and Maximum Covered Shares (as well as the SGRP Shares covered by a particular Award) are all subject to certain adjustments that

may

be made by the Compensation Committee upon the occurrence of certain changes in SGRP's capitalization or structure as provided in the

2008

Plan. Except for the adjustments described above, an increase in the Maximum Covered Shares requires the consent of the SGRP stockholders under the terms of the

2008

Plan, Nasdaq rules and applicable law.

As of

December 31,

2017,

approximately

365,000

shares were available for grant under the amended

2008

Plan.

The

2008

Plan (as amended in

2009

) gives SGRP

's Compensation Committee the full authority and complete flexibility from time to time to designate and modify (in its discretion)

one

or more of the outstanding Awards (including their exercise and base prices and other components and terms) to (among other things) restore their intended values and incentives to their holders. However, the exercise price, base value or similar component (if equal to SGRP's full stock price at issuance) of any Award cannot be lowered to an amount that is less than the Fair Market Value (as defined in the

2008

Plan) on the date of the applicable modification, and

modification can adversely affect an awardee's rights or obligations under an award without the awardee's consent.

further consent of SGRP's stockholders is required for any repricing or other modification of any outstanding or other aware under the

2008

Plan, including those previously issued under the Prior Plans. To date, Awards have only been repriced once (in

2009

) pursuant to this authority.

Restricted stock, stock

options and other stock based awards under the

2008

Plan

may

be issued from time to time by SGRP in its discretion to the Company's executives and other employees and generally are included in the annual incentive plans of SGRP's executives. Each year the Compensation Committee establishes (with recommendations from management) a budget for the maximum number of SGRP Shares that

may

be awarded in the applicable year (although Awards to new employees

may

not

be covered by such budget in the Committee's discretion). The Company's management

may

present recommendations for such awards to the Compensation Committee at any of its regular quarterly meetings, although recently most recommendations have been made at the

August

meeting other than those for new employees. The Chairman of the Board or the Compensation Committee

may

make those recommendations respecting the Company's Chief Executive Officer, and the Chief Executive Officer makes those recommendations respecting the Company's other executive and senior officers, as well as for any new officer or employee, and each of those executive officers in turn are allocated potential award shares for their departments and make recommendations respecting those under their supervision (subject to review and approval by the Chief Executive Officer). In recommending to the Compensation Committee the actual number of restricted stock, stock options (and options shares covered) or other stock based Award to be granted to each individual, the person making the recommendation makes an assessment of the individual's contribution to these or decrease in the participant's abilities, responsibilities and performance of his or her duties. The Compensation Committee reviews and discusses managements' recommendations at its meeting and determines whether and to what extent to approve and grant the proposed restricted stock, stock options (and options shares covered) or other stock based Awards to executives, employees and consultants of the Company pursuant to the

2008

Plan.

The stock

option Awards issued under the

2008

Plan are typically "nonqualified" (as a tax matter), have a

ten

(

) year maximum life (term) and vest during the

first

four

years following issuance at the rate of

25%

on each anniversary date of their issuance so long as the holder continues to be employed by the Company. Stock-based compensation cost is measured on the grant date, based on the fair value of the stock options Award calculated at that date, and is recognized as compensation expense on a straight-line basis over the requisite service period, which generally is the options' vesting period. Fair value is calculated using the Black-Scholes option pricing model.

The Restricted Stock Awards issued under the

2008

Plan vest during the

first

four

years following issuance at the rate of

25%

on each anniversary date of their issuance so long as the holder continues to be employed by the Company. Restricted Stock is measured at fair value on the date of the grant, based on the number of shares granted and the quoted price of the Company

's common stock. The shares of stock are issued and value is recognized as compensation ratably over the requisite period which generally is the Award's vesting period.

Following are the specific valuation assumptions used for options granted in

2017:

Expected volatility	45.0	%
Expected dividend yields	0.0	%
Expected term (in years)	5
Risk free interest rate	1.83	%
Expected forfeiture rate	5.0	%

Stock option

Award activity for the years ended

December 31, 2017

and

2016

is summarized below:

					Weighted-
			Weighted-		Average		Aggregate
			Average		Remaining		Intrinsic
	Covered		Exercise		Contractual		Value
Option Awards	Shares		Price		Term (Years)		(thousands)
Outstanding at January 1, 2016		2,839,784	$	1.04		5.17	$	753
Granted		635,000		0.97		–		–
Exercised/cancelled		54,497		–		–		–
Forfeited or expired		309,235		–		–		–

Outstanding at December 31, 2016		3,111,052	$	0.98		4.74	$	678

Granted		943,000		1.05		–		–
Exercised/cancelled		110,187		0.87		–		–
Forfeited or expired		592,288		–		–		–

Outstanding at December 31, 2017		3,351,577	$	0.96		5.17	$	1,221
Exercisable at December 31, 2017		2,234,327	$	0.92		3.05	$	1,000

The weighted-average grant-date fair value of

stock option Awards granted during the year ended

December 31, 2017

was

$0.47.

The total intrinsic value of stock option Awards exercised during the year ended

December 31, 2017

and

2016

was

$16,000

and

$33,000,

respectively.

The Company recognized $

187,000

and

$279,000

in stock-based compensation expense relating to stock option Awards during the years ended

December 31, 2017

and

2016,

respectively. The recognized tax benefit on stock based compensation expense related to stock options during the years ended

December 31, 2017

and

2016,

was approximately

$71,000

and

$106,000,

respectively.

As of

December 31,

2017,

total unrecognized stock-based compensation expense related to stock options was

$472,000.

This expense is expected to be recognized over a weighted average period of approximately

3.0

years, and will be adjusted for changes in estimated forfeitures.

Restricted Stock

The restricted stock Awards previously issued under the

2008

Plan vested during the

first

four

years following issuance at the rate of

25%

on each anniversary date of their issuance so long as the holder continues to be employed by the Company. Restricted stock granted under the

2008

Plan is measured at fair value on the date of the grant, based on the number of shares granted and the quoted price of the Company's common stock. The shares of stock are issued and value is recognized as compensation expense ratably over the requisite service period which generally is the Award's vesting period. In

2017,

the Company did

not

issue restricted stock Awards to its employees or Directors.

The following table summarizes the activity for restricted stock

Awards during the years ended

December 31, 2017

and

2016:

				Weighted-
				Average
				Grant Date
				Fair Value
	Shares			per Share
Unvested at January 1, 2016		183,450		$	1.39
Granted		25,000			0.92
Vested		(33,875	)		1.46
Forfeited		(42,575	)		1.30
Unvested at December 31, 2016		132,000			1.32
Granted		–			–
Vested		(22,800	)		1.53
Forfeited		(40,800	)		1.08
Unvested at December 31, 2017		68,400		$	1.38

During the years ended

December 31,

2017

and

2016,

the Company recognized approximately

$38,000

and

$50,000,

respectively, of stock-based compensation expense related to restricted stock. The recognized tax benefit on stock based compensation expense related to restricted stock during the years ended

December 31, 2017

and

2016

was approximately

$14,000

and

$19,000,

respectively.

During the years ended

December 31,

2017

and

2016,

the total fair value of restricted stock vested was

$24,000

and

$34,000,

respectively.

As of

December 31,

2017,

total unrecognized stock-based compensation expense related to unvested restricted stock Awards was

$16,000,

which is expected to be expensed over a weighted-average period of

year.

Stock Purchase Plans

2001,

SGRP adopted its

2001

Employee Stock Purchase Plan (the "ESP Plan"), which replaced its earlier existing plan, and its

2001

Consultant Stock Purchase Plan (the "CSP Plan"). These plans were each effective as of

June 1, 2001.

The ESP Plan allows employees of the Company, and the CSP Plan allows employees of the affiliates of the Company to purchase SGRP

's Common Stock from SGRP without having to pay any brokerage commissions. On

August 8, 2002,

SGRP's Board approved a

15%

discount for employee purchases of Common Stock under the ESP Plan and recommended that its affiliates pay

15%

of the value of the stock purchased as a cash bonus for affiliate consultant purchases of Common Stock under the CSP Plan.

Note 13 - Segment Information

12 Months Ended

Dec. 31, 2017

Segment Reporting Disclosure [Text Block]

13.

Segment Information

The Company reports net revenue

s from operating income by reportable segment. Reportable segments are components of the Company for which separate financial information is available that is evaluated on a regular basis by the chief operating decision maker in deciding how to allocate resources and in assessing performance.

The Company

provides similar merchandising and marketing services throughout the world, operating within

two

reportable segments, its Domestic Division and its International Division. The Company uses those divisions to improve its administration and operational and strategic focuses, and it tracks and reports certain financial information separately for each of those divisions. The Company measures the performance of its Domestic and International Divisions and subsidiaries using the same metrics. The primary measurement utilized by management is operating profits, historically the key indicator of long-term growth and profitability, as the Company is focused on reinvesting the operating profits of each of its international subsidiaries back into its local markets in an effort to improve market share and continued expansion efforts.

The accounting policies of each of the reportable segments are the same as those described in the Summary of Significant Accounting Policies. Management evaluates performance as follows (in thousands):

	Year Ended December 31,
	2017			2016
Revenue, net:
United States	$	52,273		$	44,979
International		129,108			89,345
Total revenue	$	181,381		$	134,324

Operating income (loss):
United States	$	518		$	(53	)
International		3,572			2,255
Total operating income	$	4,090		$	2,202

Interest expense :
United States	$	221		$	130
International		116			3
Total interest expense	$	337		$	133

Other expense (income), net:
United States	$	8		$	–
International		(409	)		(128	)
Total other (income), net	$	(401	)	$	(128	)

I ncome (loss) before income tax expense:
United States	$	289		$	(183	)
International		3,865			2,380
Total income before income tax expense	$	4,154		$	2,197

Income tax expense (benefit):
United States	$	1,956		$	(428	)
International		1,021			869
Total income tax expense	$	2,977		$	441

Net (loss) income:
United States	$	(1,667	)	$	245
International		2,844			1,511
Total net income	$	1,177		$	1,756


Net income attributable to non-controlling interest:
United States	$	99		$	182
International		2,001			1,401
Total net income attributable to non-controlling interest	$	2,100		$	1,583


Net (loss) income attributable to SPAR Group, Inc.:
United States	$	(1,766	)	$	63
International		843			110
Total net (loss) income attributable to SPAR Group, Inc.	$	(923	)	$	173

Depreciation and amortization:
United States	$	1,378		$	1,356
International		748			744
Total depreciation and amortization	$	2,126		$	2,100


Capital expenditures:
United States	$	942		$	991
International		506			564
Total capital expenditures	$	1,448		$	1,555

Note: There were

inter-company sales for

2017

2016.

	December 31,
	201 7		201 6
Assets:
United States	$	17,511	$	22,189
International		40,477		32,662
Total assets	$	57,988	$	54,851

Geographic Data

(in thousands)

	Year Ended December 31,
	201 7					201 6
Net international revenues:			% of consolidated net revenue					% of consolidated net revenue
Brazil	$	42,853		23.6	%	$	11,688		8.7	%
South Africa		26,661		14.7			21,299		15.9
Mexico		22,128		12.2			20,809		15.5
China		11,045		6.1			12,290		9.1
Japan		8,125		4.5			6,919		5.2
India		7,308		4.0			5,865		4.4
Canada		6,913		3.8			6,725		5.0
Australia		3,798		2.1			3,435		2.6
Turkey		277		0.2			315		0.2
Total international revenue	$	129,108		71.2	%	$	89,345		66.6	%

	Year Ended December 31 ,
	20 17		20 16
Long term and lived assets:
United States	$	7,109	$	9,065
International		4,057		3,494
Total long term and lived assets	$	11,166	$	12,559

Note 14 - Purchase of Interests in Subsidiaries

12 Months Ended

Dec. 31, 2017

Business Combination Disclosure [Text Block]

14.

Purchase of Interests in Subsidiaries

The following contains descriptions of the Company's purchase of interests in its operating subsidiary during the year ended

December 31, 2016.

There were

acquisitions during the year ended

December 31, 2017.

September 2016,

after acquiring SGRP Brasil Participações Ltda. ("SGRP Holdings"), a Brazilian limitada (which is a form of limited liability company), and establishing SPAR Brasil Serviços de Merchandising e Tecnologia S.A., a Brazilian corporation ("SPAR BSMT"), in a series of related party transactions (See Note

to the Company's Consolidated Financial Statements -

Related Party Transactions - Related Party Transactions and Arrangements in the

Brazil Acquisition

, above), SGRP Holdings and SPAR BSMT (the "Purchasers") entered into a Quota Purchase Agreement dated

September 13, 2016 (

the "NM QPA"), with Interservice Publicidade Sociedade Ltda., a Brazilian limitada, Momentum Promoções Ltda., a Brazilian limitada, and IPG Nederland B.V., a Netherlands company (collectively, the "Sellers"). The Sellers were subsidiaries of The Interpublic Group of Companies, Inc., a Delaware corporation ("Interpublic"), which is a global provider of advertising, media and other business services. The NM QPA provided for the acquisition by the Purchasers from the Sellers (the "NM Acquisition") of all of the equity shares (called "quotas") in New Momentum Ltda., a Brazilian limitada, and New Momentum Serviços Temporários Ltda., a Brazilian limitada (each a "NM Company" or collectively the "NM Companies"),

two

of Interpublic's "In Store" companies in Brazil. SPAR BSMT acquired

99%

of the quotas issued by each NM Company and SGRP Holdings acquired

of the quotas issued by each NM Company pursuant to the NM QPA. The closing of the acquisition of the NM Companies was completed with the disbursement of the purchase price to the Sellers on

September 19, 2016,

effective as of close of business on

September 13, 2016.

The purchase price for the NM Companies was

R$1,312,000

(approximately

US$401,000

). The Company has since changed the names of the NM Companies to SPAR Brasil Serviços LTDA. and SPAR Brasil Serviços Temporários LTDA.

Momentum Promoções Ltda.,

one

of the Sellers, also agreed to provide certain transition services and continued use of certain existing office space to SPAR BSMT and each of the NM Companies (collectively, "SPAR Brazil"), pursuant to a Transition Services Agreement dated

September 13, 2016 (

the "Transition Agreement"), and a Sublease Agreement dated

September 13, 2016 (

the "Sublease"), respectively. The Sublease

had a term of

months and required monthly rent and back office support payments of

R$205,417

(approximately

US$65,700

). The Transition Agreement relating to Accounting Service, terminated on

April 30, 2017

and the Sublease Agreement, terminated on

September 13, 2017.

For the

Resource Plus Acquisition, see Note

to the Company's Consolidated Financial Statements –

Subsequent Events– Resource Plus Acquisition.

The Company has completed its preliminary calculation of the fair value and related allocation of assets between goodwill and other.

A summary of assets acquired, goodwill and liabilities assumed and net of purchase price are as follows (in thousands):

Cash	$	484
Net Working Capital, net of cash		(155	)
Fixed Assets		22
Intangible Assets		336
Goodwill		133
Assumed Liabilities		(419	)
Net Fair Value of Assets Acquired	$	401

For the

period for

September 14, 2016

through

December 31, 2016,

the Company reported revenue of

$11.7

million and a net loss of

$144,000

related to this acquisition. The following table contains unaudited pro forma revenue and net income for SPAR Group, Inc. assuming SPAR Brasil closed on

January 1, 2016 (

in thousands):

		Revenue				Net (Loss)
Consolidated supplemental pro forma, Jan uary 1 to December 31, 2016		$	156,475			$	(207	)

The pro forma in the table above includes adjustments for, amortization of intangible assets and acquisition costs to reflect results that are more representative of the results of the transactions as if the SPAR Brasil acquisition closed on

January 1,

2015.

This pro forma information utilizes certain estimates, is presented for illustrative purposes only and

may

not

be indicative of the results of operation that would have actually occurred. In addition, future results

may

vary significantly from the results reflected in the pro forma information. The unaudited pro forma financial information does

not

reflect the impact of future events that

may

occur after the acquisition, such as anticipated cost savings from operating synergies.

Note 15 - Net Income Per Share

12 Months Ended

Dec. 31, 2017

Earnings Per Share [Text Block]

15.

Net Income Per Share

The following table sets forth the computations of basic and diluted net income per share (in thousands, except per share data):

	Year Ended December 31,
	20 17			20 16
Numerator:
Net (loss) income attributable to SPAR Group, Inc.	$	(923	)	$	173

Denominator:
Shares used in basic net income per share calculation		20,617			20,595
Effect of diluted securities:
Stock options and unvested restricted shares		-			714
Shares used in diluted net income per share calculations		20,617			21,309

Basic net (loss) income per common share:	$	(0.04	)	$	0.01
D iluted net (loss) income per common share:	$	(0.04	)	$	0.01

The dilutive effect of outstanding securities of approximately

380,000

and

1,000,000

for the years ended

December 31, 2017

and

2016,

respectively, were excluded from the computation of diluted earnings per share because the options' exercise price was greater than the average market price of the common stock.

Note 16 - Subsequent Events	12 Months Ended
Note 16 - Subsequent Events	Dec. 31, 2017
Notes to Financial Statements
Subsequent Events [Text Block]	16. Subsequent Events Resource Plus Acquisition On January 9, 2018, the Company completed its acquisition of a 51% equity interest (the "Acquisition") in Resource Plus, Inc. ("RPI"), a supplier of professional fixture installation and product merchandising services; and a 51% equity interest in both of its sister companies, Mobex of North Florida, Inc. ("Mobex"), a proprietary retail fixture mobilization system manufacturer, and Leasex, LLC ("Leasex"), a company formed to lease Mobex's proprietary equipment. RPI owns a 70% interest in BDA Resource, LLC, a Florida limited liability company ("BDA"), and RPI, Leasex, Mobex and BDA may be referred to individually and collectively as "Resource Plus". SGRP's subsidiary, SPAR Marketing Force, Inc. ("SMF"), purchased those equity interests in Resource Plus from Joseph L. Paulk and Richard Justus pursuant to separate Stock Purchase Agreements each dated as of October 13, 2017 ( each a "SPA"), which were subject to due diligence and completion of definitive documents. The base purchase prices under the SPAs for those Resource Plus equity interests were $3,000,000 for Mr. Paulk and $150,000 for Mr. Justus, subject to adjustment and potential bonuses as provided in their respective SPAs. At the closing on January 9, 2018, Mr. Paulk received the base purchase price in $400,000 cash and a Promissory Note for $2,600,000; and Mr. Justus received the base purchase price in $50,000 cash and a Promissory Note for $100,000. Those notes were issued by SMF, guarantied by SGRP pursuant to separate Guaranties, and secured by SMF pursuant to separate Securities Pledge and Escrow Agreements to the sellers of the respective acquired equity interests, with each of those documents dated and effective as of January 1, 2018. Mr. Paulk's note is repayable in installments of $300,000, plus applicable interest, per year on December 31 of each year (commencing in 2018 ), with the balance due on December 31, 2023; and Mr. Justus's note on December 31 of each such year (commencing in 2018 ) is repayable in installments of $33,333 per year, plus applicable interest, on December 31 of each year, with the balance of $33,334 due on December 31, 2020. In connection with that closing, Mr. Paulk retired, while Mr. Justus continued as President of Resource Plus and received an Executive Officer Employment Terms and Severance Agreement with RPI ("ETSA"), with a base salary of $200,000 per year (plus an incentive bonus), and a term of office and severance protection through January 1, 2020, subject to annual extensions in the discretion of the parties. This acquisition will be accounted for using the purchase method of accounting with the purchase price allocated to the assets purchased and liabilities assumed based upon their estimated fair values at the date of acquisition. PNC Credit Facility On January 16, 2018, the Company repaid and replaced its existing Sterling Credit Facility (See Note 5 – Credit Facilities – Sterling Credit Facility , above) with a new secured revolving credit facility in the United States and Canada (the "PNC Credit Facility") with PNC Bank, National Association ("PNC"). In order to obtain, document and govern the new PNC Credit Facility: SGRP and certain of its direct and indirect subsidiaries in the United States and Canada, namely SPAR Marketing Force, Inc., SPAR Assembly & Installation, Inc., and SPAR Canada Company (each, a "PNC Borrower" and collectively, the "PNC Borrowers"), and SPAR Canada, Inc., SPAR Acquisition, Inc., SPAR Group International, Inc., and SPAR Trademarks, Inc. (together with SGRP, each a "PNC Guarantor" and collectively, the "PNC Guarantors), entered into a Loan Agreement with PNC dated as of January 16, 2018 ( the "PNC Loan Agreement"); the PNC Borrowers issued their $9 million Committed Line Of Credit Note to PNC dated January 16, 2018 ( the "PNC Note"), which evidences the PNC Borrowers' loans and other obligations to PNC; the PNC Guarantors entered into a Guaranty and Suretyship Agreement with PNC dated as of January 16, 2018 ( the "PNC Guaranty"), which guaranties the PNC Borrowers' loans and other obligations to PNC; and the PNC Borrowers and PNC Guarantors (each, a "PNC Loan Party" and collectively, the "PNC Loan Parties") entered into a Security Agreement with PNC dated as of January 16, 2018 ( the "PNC Security Agreement"), which secures the obligations of the PNC Loan Parties to PNC with pledges of substantially all of the assets of the PNC Loan Parties (other than SGRP's foreign subsidiaries, certain designated domestic subsidiaries, and their respective equity and assets). The PNC Note currently requires the PNC Borrowers to pay interest on the loans thereunder equal to (A) the Daily LIBOR Rate (as defined therein) per annum, plus (B) two hundred fifty basis points ( 2.50% ). On January 16, 2018, the aggregate interest rate under that formula was 4.06% per annum Revolving loans of up to $9 million are available to the Company under the PNC Credit Facility based upon the borrowing base formula defined in the PNC Loan Agreement (principally 85% of "eligible" accounts receivable less certain reserves. The PNC Credit Facility is currently scheduled to become due on January 16, 2020, when (among other things) the loans and other monetary obligations of the Company must be repaid in full and the ability ends to borrow additional loans. On January 16, 2018, the Company drew down an initial advance under the PNC Credit Facility of approximately $7.6 million, which was used to repay the existing Sterling Credit Facility. The new Credit Facility contains certain financial and other restrictive covenants and also limits certain expenditures by the PNC Loan Parties, including, but not limited to, capital expenditures and other investments. On January 16, 2018, the PNC Loan Parties were in compliance with the covenants and does not expect to be in violation at future measurement dates. However, there can be no assurances that the PNC Loan Parties Company will not be in violation of certain covenants in the future, and should the PNC Loan Parties be in violation; there can be no assurances that PNC will issue waivers for any such future violations.

Note 17 - Capital Lease Obligations

12 Months Ended

Dec. 31, 2017

Capital Leases in Financial Statements of Lessee Disclosure [Text Block]

17.

Capital Lease Obligations

The Company has

two

outstanding capital lease obligations with interest rates as follows. The related capital lease asset balances are detailed below (in thousands):

Start Date:	Interest Rate			Original Cost		Accumulated Amortization		Net Book Value at December 31, 2017
January 2017		5.8	%	$	76	$	26	$	50
August 2017		6.4	%	$	147	$	20	$	127

Annual future minimum lease payments required under the leases, together with the present value as of

December 31, 2017,

are as follows (in thousands):

Year Ending December 31,	Amount

201 8	$	82
201 9		82
20 20		31
Total		195
Less amount representing interest		15
Present value of net minimum lease payments included in accrued expenses and other current liabilities, and long term debt	$	180

Schedule II - Valuation and Qualifying Accounts

12 Months Ended

Dec. 31, 2017

Schedule of Valuation and Qualifying Accounts Disclosure [Text Block]

Schedule II

– Valuation and Qualifying Accounts

(In thousands)

	Balance at Beginning of Period		(Recovered From)/ Charged to Costs and Expenses		Deductions (1)		Balance at End of Period
Year ended December 31, 2017:

Deducted from asset accounts:
Allowance for doubtful accounts	$	288		113		59	$	342

Year ended December 31, 2016:

Deducted from asset accounts:
Allowance for doubtful accounts	$	542		347		601	$	288

(

)

Uncollectible accounts written off, net of recoveries

Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Consolidation, Policy [Policy Text Block]

Principles of Consolidation

The Company consolidates its

100

% owned subsidiaries and all of its

51%

owned joint venture subsidiaries in accordance with the provisions required by the Consolidation Topic

810

of the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC"). All significant intercompany accounts and transactions have been eliminated.

Consolidation, Variable Interest Entity, Policy [Policy Text Block]

Accounting for Joint Venture

Subsidiarie

For the Company

's less than wholly owned subsidiaries, the Company

first

analyzes to determine if a joint venture subsidiary is a variable interest entity (a "VIE") in accordance with ASC

810

Based on the Company

's analysis for each of its

51%

owned joint ventures, the Company has determined that each is a VIE and that Company is the primary beneficiary of that VIE. While the Company owns

51%

of the equity interest in these subsidiaries while the other

49%

is owned by local

third

parties, the joint venture agreements with those

third

49%

not

redeemable by the equity holders and are presented as part of permanent equity. Income and losses are allocated to the non-controlling interest holder based on its economic ownership percentage.

Use of Estimates, Policy [Policy Text Block]

Use of Estimates

The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States

Cash and Cash Equivalents, Policy [Policy Text Block]

Cash Equivalents

The Company considers all highly liquid short-term investments with

original maturities of

three

months or less at the time of acquisition to be cash equivalents. Cash equivalents are stated at cost, which approximates fair value.

Concentration Risk, Credit Risk, Policy [Policy Text Block]

Concentration of Credit Risk

The Company maintains cash balances with high quality financial institutions and periodically evaluates the creditworthiness of such institutions and believes that the Company is

not

exposed to significant credit risk. Cash balances

may

be in excess of the amounts insured by the Federal Deposit Insurance Corporation.

Revenue Recognition, Policy [Policy Text Block]

Revenue Recognition

Receivables, Policy [Policy Text Block]

Unbilled Accounts Receivable

Unbilled accounts receivable represent services performed but

not

billed and are included as accounts receivable.

Doubtful Accounts and Credit Risks

The Company continually monitors the

$342,000

and

$288,000

December 31, 2017,

and

2016,

respectively. Bad debt expense was

$113,000

and

$347,000

for the years ended

December 31, 2017

and

2016,

respectively.

Property, Plant and Equipment, Policy [Policy Text Block]

Property and Equipment and Depreciation

Property and equipment, including leasehold improvements, are stated at cost. Depreciation is calculated on a straight-line basis over estimated useful lives of the related assets, which range from

three

seven

s ended

December 31, 2017

and

2016

(including amortization of capitalized software as described below) was

$1.5

million for both periods.

Internal Use Software, Policy [Policy Text Block]

Internal Use Software Development Costs

not

three

years on a straight-line basis.

The Company capitalized

$1.0

and

$1.3

million of costs related to software developed for internal use in

2017

and

2016,

respectively, and recognized approximately

$1.2

million of amortization of capitalized software for both the years ended

December 31, 2017

and

2016.

Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]

Impairment of

Long-Lived

Assets

The Company continually monitors events and changes in circumstances that could indicate that the carrying amounts of the Company

's property and equipment and intangible assets subjected to amortization

may

not

be recoverable. When indicators of potential impairment exist, the Company assesses the recoverability of the assets by estimating whether the

Company will recover

its carrying value through the undiscounted future cash flows generated by the use of the asset and

its eventual disposition. Based on this analysis, if the Company does

not

may

have to record an impairment to reduce the net book value of such individual asset.

Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block]

Goodwill

may

Goodwill is subject to annual impairment tests

and interim impairment tests if impairment indicators are present. The impairment tests require the Company to

first

assess qualitative factors to determine whether it is necessary to perform a

two

-step quantitative goodwill impairment test. The Company is

not

required to calculate the fair value of a reporting unit unless it determines, based on a qualitative assessment, that it is more likely than

not

that its fair value is less than its carrying amount. If the qualitative assessment indicates a potential impairment, the Company performs the

two

step quantitative impairment test. Step

one

of the

two

reporting units, and that a

two

-step quantitative goodwill impairment test was

not

necessary, as of

December 31, 2017

and

2016

Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]

Accounting for Share Based

Compensation

December 31, 2017

and

2016

was

$225

,000

and

$329

,000,

respectively.

Fair Value Measurement, Policy [Policy Text Block]

Fair Value Measurements

Fair value is defined as the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The

generally accepted accounting principles fair value framework uses a

three

-tiered approach. Fair value measurements are classified and disclosed in

one

of the following

three

categories:

●

Level

– Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities;

●

Level

– Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are

not

active, and model-derived valuations in which significant inputs and significant value drivers are observable in active markets; and

●

Level

– Prices or valuation techniques where little or

market data is available that requires inputs that are significant to the fair value measurement and unobservable.

If the inputs used to measure the fair value fall within different levels of the hierarchy, the

) at

December 31,

2017

and

2016.

The carrying value of the Company's long-term debt with variable interest rates approximates fair value based on instruments with similar terms (Level

Income Tax, Policy [Policy Text Block]

Accounting for Income Taxes

Income tax provisions and benefits are made for taxes currently payable or refundable, and for deferred income taxes arising from future tax consequences of events that were recognized in the Company

not

be realized.

The calculation of income taxes involves dealing with uncertainties in the application of complex tax regulations. The Company recognizes liabilities for uncertain tax positions based on a

two

-step process. The

first

step involves evaluating the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than

not

that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The

second

step involves estimating and measuring the tax benefit as the largest amount that is more than

50%

not

The Tax Cuts and Jobs Act ("the Tax Act") signed into law what is a comprehensive U.S. tax reform package that, effective

January 1, 2018,

among other things, lowered the corporate income tax rate from

35%

21%

and moved the country towards a territorial tax system with a

one

-time mandatory tax on previously deferred foreign earnings of foreign subsidiaries. See Note

to the Company's Consolidated Financial Statements

–

Income Taxes

, below, for further information on the tax impacts of the Tax Act.

Earnings Per Share, Policy [Policy Text Block]

Net Income Per Share

Foreign Currency Transactions and Translations Policy [Policy Text Block]

Translation of Foreign Currencies

The financial statements of the foreign entities consolidated into

New Accounting Pronouncements, Policy [Policy Text Block]

New

Accounting Pronouncements

February 2018,

the FASB issued ASU

No.

2018

02,

Income Statement-Reporting Comprehensive Income (Topic

220

2017

December 15, 2018,

May 2017,

the FASB issued ASU

2017

09,

Compensation-Stock Compensation (Topic

718

): Scope of Modification Accounting ("ASU

2017

09"

). ASU

2017

December 15, 2017,

including interim periods within those periods. Early adoption is permitted. This standard will

not

have a material impact on the Company

’s consolidated results of operations or financial position.

April 2015,

the Financial Accounting Standards Board (“FASB”) issued ASU

No.

2015

17,

Income Taxes (Topic

740

): Balance Sheet Classification of Deferred Taxes (“ASU

2015

17”

2015

is effective for the Company beginning in the

first

quarter of

2017

and

may

$471,000

of current assets and

$2.4

million of short-term liabilities to long-term assets as of

December 31, 2016.

January 2017,

the FASB issued Accounting Standard Update

2017

(ASU

2017

), Intangibles-Goodwill and Other (Topic

350

) Simplifying the Test for Goodwill Impairment.

With ASU

2017

04,

an entity will

2017

is effective for annual or any interim goodwill impairment tests in fiscal years beginning after

December 15, 2019.

The Company is currently evaluating the impact the adoption of ASU

2017

will have on our consolidated financial statements.

January 2017,

the FASB issued ASU

2017

01,

Clarifying the Definition of a Business

2017

is required to be applied prospectively for reporting periods beginning after

December 31, 2017.

The impact on the Company's consolidated financial statements will depend on the facts and circumstances of any specific future transactions.

November 2016,

the Financial Accounting Standards Board ("FASB") issued ASU

2016

December 15, 2017,

with early adoption permitted.

The adoption of this guidance will

not

have a material impact on the Company's consolidated financial statements.

August 2016,

the FASB issued ASU

2016

15,

Statement of Cash Flows ("ASU

2016

15"

) ASU

2016

which reduces diversity in practi

ce in how certain transactions are classified in the statement of cash flows. The new standard is effective for reporting periods after

December 15, 2017,

with early adoption permitted. The adoption of this guidance will

not

have a material impact on the Company's consolidated financial statements.

June 2016,

the FASB issued ASU

2016

amending how entities will measure credit losses for most financial assets and certain other instruments that are

not

December 15, 2019

with early adoption permitted for annual reporting periods beginning after

December 15, 2018.

The Company is currently evaluating the impact of the new guidance on our consolidated financial statements and related disclosures.

February 2016,

the FASB issued ASU

2016

amending the existing accounting standards for lease accounting and requiring lessees to recognize a right of use asset and liability for all leases with lease terms of more than

December 15, 2018

May 2014,

the FASB issued new revenue recognition guidance under ASU

2014

December 15, 2017,

including interim periods within that reporting period.

The

two

The Company has closely assessed the new standard and monitored FASB activity, including the interpretations by the FASB Transition Resource Group for Revenue Recognition, throughout fiscal

2017.

The Company, along with its

third

’s performance completed to date (e.g., a service contract in which an entity bills a fixed amount for each hour of service provided). Any revenue that did

not

fall within the “right to invoice” practical expedient was

not

significant.

The Company adopted the requirements of the new standard on

January 1, 2018,

Based this analysis there is

The Company is finalizing the impact of topic

606

on the disclosures for its financial statement footnotes and expects the disclosures to be enhanced in the

first

quarter of

2018.

Reclassification, Policy [Policy Text Block]

Reclassifications

Certain reclassifications have been made to the

2016

financial statements to conform to the

2017

presentation. These reclassifications had

effect on reported income, comprehensive loss, cash flows, total assets or equity as previously reported.

Note 1 - Basis and Organization (Tables)

12 Months Ended

Dec. 31, 2017

Equity Ownership Of Subsidiaries [Table Text Block]

Primary Territory	Date Established	SGRP Percentage Ownership	Principal Office Location
United States of America	1979	100%	White Plains, New York, United States of America
Japan	May 2001	100%	Tokyo, Japan
Canada	June 2003	100%	Vaughan, Ontario , Canada
South Africa	April 2004	51%	Durban, South Africa
India	April 2004	51%	New Delhi, India
Australia	April 2006	51%	Melbourne, Australia
China	March 2010	51%	Shanghai, China
Mexico	August 2011	51%	Mexico City, Mexico
Turkey	November 2011	51%	Istanbul, Turkey
Brazil 1	September 2016	51%	Sao Paulo, Brazil

Note 3 - Correction of Prior Period Financial Statements (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Error Corrections and Prior Period Adjustments [Table Text Block]

	As of December 31, 2016									As of January 1, 2016
	As Previously Reported			Adjusted			As Revised			As Previously Reported			Adjusted			As Revised

Accumulated other comprehensive loss	$	(3,995	)	$	1,588		$	(2,407	)	$	(2,869	)	$	1,016		$	(1,853	)
Total SPAR Group, Inc. equity	$	18,089		$	1,588		$	19,677		$	18,702		$	1,016		$	19,718
Non-controlling interest	$	6,993		$	(1,588	)	$	5,405		$	5,696		$	(1,016	)	$	4,680

	Twelve months ended December 31, 2016
	As Previously Reported			Adjusted		As Revised

Comprehensive income attributable to non-controlling interest	$	(1,583	)	$	572	$	(1,011	)
Comprehensive loss attributable to SPAR Group, Inc.	$	(953	)	$	572	$	(381	)

Note 4 - Supplemental Balance Sheet Information (in Thousands) (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]

	December 31,
Accounts receivable, net, consists of the following:	20 17			20 16

Trade	$	29,437		$	28,103
Unbilled		5,863			4,805
Non-trade		1,006			1,049
		36,306			33,957
Less allowance for doubtful accounts		(342	)		(288	)
Accounts Receivable, net	$	35,964		$	33,669

Schedule Of Property Plant And Equipment [Table Text Block]

	December 31,
Property and equipment consists of the following:	20 17			20 16

Equipment	$	5,873		$	5,588
Furniture and fixtures		853			741
Leasehold improvements		267			267
Capitalized software development costs		10,794			9,666
		17,787			16,262
Less accumulated depreciation and amortization		(15,075	)		(13,726	)
Property and equipment, net	$	2,712		$	2,536

Schedule of Goodwill [Table Text Block]

	United States		International			Total
Goodwill:
Balance December 31, 2016	$	1,188	$	659		$	1,847
Change in goodwill due to impact of foreign currency	$	–	$	(11	)	$	(11	)
Balance December 31, 2017	$	1,188	$	648		$	1,836

Schedule of Finite-Lived Intangible Assets [Table Text Block]

	December 31,
Intangible assets consist of the following :	20 17			20 16

Customer contracts and lists	$	4,015		$	4,280
Less accumulated amortization		(2,381	)		(1,940	)
Intangible assets, net	$	1,634		$	2,340

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]

Year	Amount
201 8		339
2019		306
2020		306
2021		273
2022		182
Thereafter		228
Total	$	1,634

Schedule of Accounts Payable and Accrued Liabilities [Table Text Block]

	December 31,
Accrued expenses and other current liabilities:	20 17		20 16

Taxes payable	$	2,304	$	2,167
Accrued salaries and wages		3,791		3,664
Accrued accounting and legal expenses		3,240		2,360
Uncertain tax position reserves		170		164
Dividend payable to partners		1,042		–
Other		3,034		1,411
Accrued expenses and other current liabilities	$	13,581	$	9,766

Note 5 - Credit Facilities (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Debt [Table Text Block]

	Interest Rate as of December 31, 2017			2018
USA - Sterling National Bank		5.0	%	$	5,470
Australia - National Australia Bank		6.3	%		205
Brazil – Itau Bank		46.2	%		151
Brazil – Daycoval Bank		16.2	%		1,013
Total				$	6,839

Credit And Debt Facilities Unused Availability [Table Text Block]

	December 31, 2017		December 31, 2016
Unused Availability :
U nited States	$	3,530	$	500
Australia		731		688
Brazil		1,554		–
Mexico		254		241
Total Unused Availability	$	6,069	$	1,429

Note 6 - Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]

	Year Ended December 31,
	20 17		20 16
Domestic	$	289	$	(183	)
Foreign		3,865		2,380
Total:	$	4,154	$	2,197

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

	Year Ended December 31,
	20 17			20 16
Current:
Federal	$	79		$	48
Foreign		1,131			810
State		128			9

Deferred expense (benefit):
Federal		1,571			(435	)
Foreign		(117	)		60
State		185			(51	)
Net expense	$	2,977		$	441

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

	Year Ended December 31,
	20 17			Rate			20 16			Rate
Provision for income taxes at federal statutory rate	$	1,421			34.0	%	$	747			34.0	%
State income taxes, net of federal benefit		17			0.4	%		(45	)		(2.1%	)
Permanent differences		85			2.1	%		68			3.1	%
Federal Research and Development Credit		41			1.0	%		(89	)		(4.0%	)
Foreign tax rate differential		(494	)		(11.8%	)		(242	)		(11.0%	)
Foreign dividend tax		798			19.0	%		–			–
Reduction in deferred tax asset – Reduction of corporate tax rate		1,043			24.8	%		–			–
Other		66			1.7	%		2			0.1	%
Net expense	$	2,977			71.2	%	$	441			20.1	%

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

Deferred taxes consist of the following (in thousands):	December 31,
	20 17		20 16
Deferred tax assets:
Net operating loss carry forwards	$	1,313	$	3,116
Federal Research and Development Credit		240		281
Deferred revenue		360		419
Allowance for doubtful accounts and other receivable		59		49
Share-based compensation expense		646		763
Foreign subsidiaries		588		471
Depreciation		360		529
Other		26		38
Federal Alternative Minimum Tax		156		116
Total deferred tax assets		3,748		5,782

Deferred tax liabilities:
Goodwill		224		307
Capitalized software development costs		469		781
Total deferred tax liabilities		693		1,088
Net deferred tax es	$	3,055	$	4,694

Summary of Income Tax Contingencies [Table Text Block]

	Year Ended December 31,
	20 17		20 16
Beginning balance	$	116	$	116
Additions for tax provisions of prior years		–		–
Ending balance	$	116	$	116

Schedule Of Tax Reserves [Table Text Block]

	Taxes		Interest		Penalty		Total Tax Liability
Domestic
State	$	116	$	49	$	5	$	170
Federal		–		–		–		–
International		–		–		–		–
Total reserve	$	116	$	49	$	5	$	170

Note 7 - Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]

Year	Amount
20 18	$	2,103
2019		1,464
2020		1,188
2021		674
2022		387
Total	$	5,816

Note 11 - Related Party Transactions (Tables)

12 Months Ended

Dec. 31, 2017

	Year Ended December 31 ,
	201 7		201 6
Services provided by affiliates:
Field Specialist expenses * (SBS)	$	25,866	$	22,749
Field administration expenses * (SAS)	$	4,215	$	4,276
Office and vehicle rental expenses (MPT)	$	62	$	50
Vehicle rental expenses (MCPT)	$	1,146	$	879
Office and vehicle rental expenses (MHT)	$	170	$	121
Field administration expenses* (NDS Reklam)	$	2	$	2
Consulting and administrative services (CON)	$	244	$	309
Warehouse Rental (JFMD)	$	47	$	10
Legal Services (KMSA)	$	10	$	7

Total services provided by affiliates	$	31,762	$	28,403

Due to affiliates consists of the following (in thousands):	December 31 ,
	201 7		201 6
Loans from local investors: (1)
Australia	$	250	$	231
Mexico		1,001		1,001
Brazil		139		139
China		719		761
NMS LLC		–		348
South Africa		24		–
Accrued Expenses due to affiliates:
SBS/SAS		893		869
Total due to affiliates	$	3,026	$	3,349

Note 12 - Stock Based Compensation Plans (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]

Expected volatility	45.0	%
Expected dividend yields	0.0	%
Expected term (in years)	5
Risk free interest rate	1.83	%
Expected forfeiture rate	5.0	%

Share-based Compensation, Stock Options, Activity [Table Text Block]

					Weighted-
			Weighted-		Average		Aggregate
			Average		Remaining		Intrinsic
	Covered		Exercise		Contractual		Value
Option Awards	Shares		Price		Term (Years)		(thousands)
Outstanding at January 1, 2016		2,839,784	$	1.04		5.17	$	753
Granted		635,000		0.97		–		–
Exercised/cancelled		54,497		–		–		–
Forfeited or expired		309,235		–		–		–

Outstanding at December 31, 2016		3,111,052	$	0.98		4.74	$	678

Granted		943,000		1.05		–		–
Exercised/cancelled		110,187		0.87		–		–
Forfeited or expired		592,288		–		–		–

Outstanding at December 31, 2017		3,351,577	$	0.96		5.17	$	1,221
Exercisable at December 31, 2017		2,234,327	$	0.92		3.05	$	1,000

Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block]

				Weighted-
				Average
				Grant Date
				Fair Value
	Shares			per Share
Unvested at January 1, 2016		183,450		$	1.39
Granted		25,000			0.92
Vested		(33,875	)		1.46
Forfeited		(42,575	)		1.30
Unvested at December 31, 2016		132,000			1.32
Granted		–			–
Vested		(22,800	)		1.53
Forfeited		(40,800	)		1.08
Unvested at December 31, 2017		68,400		$	1.38

Note 13 - Segment Information (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Segment Reporting Information, by Segment [Table Text Block]

	Year Ended December 31,
	2017			2016
Revenue, net:
United States	$	52,273		$	44,979
International		129,108			89,345
Total revenue	$	181,381		$	134,324

Operating income (loss):
United States	$	518		$	(53	)
International		3,572			2,255
Total operating income	$	4,090		$	2,202

Interest expense :
United States	$	221		$	130
International		116			3
Total interest expense	$	337		$	133

Other expense (income), net:
United States	$	8		$	–
International		(409	)		(128	)
Total other (income), net	$	(401	)	$	(128	)

I ncome (loss) before income tax expense:
United States	$	289		$	(183	)
International		3,865			2,380
Total income before income tax expense	$	4,154		$	2,197

Income tax expense (benefit):
United States	$	1,956		$	(428	)
International		1,021			869
Total income tax expense	$	2,977		$	441

Net (loss) income:
United States	$	(1,667	)	$	245
International		2,844			1,511
Total net income	$	1,177		$	1,756


Net income attributable to non-controlling interest:
United States	$	99		$	182
International		2,001			1,401
Total net income attributable to non-controlling interest	$	2,100		$	1,583


Net (loss) income attributable to SPAR Group, Inc.:
United States	$	(1,766	)	$	63
International		843			110
Total net (loss) income attributable to SPAR Group, Inc.	$	(923	)	$	173

Depreciation and amortization:
United States	$	1,378		$	1,356
International		748			744
Total depreciation and amortization	$	2,126		$	2,100


Capital expenditures:
United States	$	942		$	991
International		506			564
Total capital expenditures	$	1,448		$	1,555

Reconciliation of Assets from Segment to Consolidated [Table Text Block]

	December 31,
	201 7		201 6
Assets:
United States	$	17,511	$	22,189
International		40,477		32,662
Total assets	$	57,988	$	54,851

Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]

	Year Ended December 31,
	201 7					201 6
Net international revenues:			% of consolidated net revenue					% of consolidated net revenue
Brazil	$	42,853		23.6	%	$	11,688		8.7	%
South Africa		26,661		14.7			21,299		15.9
Mexico		22,128		12.2			20,809		15.5
China		11,045		6.1			12,290		9.1
Japan		8,125		4.5			6,919		5.2
India		7,308		4.0			5,865		4.4
Canada		6,913		3.8			6,725		5.0
Australia		3,798		2.1			3,435		2.6
Turkey		277		0.2			315		0.2
Total international revenue	$	129,108		71.2	%	$	89,345		66.6	%

Reconciliation Of Long Lived Assets From Segments To Consolidated [Table Text Block]

	Year Ended December 31 ,
	20 17		20 16
Long term and lived assets:
United States	$	7,109	$	9,065
International		4,057		3,494
Total long term and lived assets	$	11,166	$	12,559

Note 14 - Purchase of Interests in Subsidiaries (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block]

Cash	$	484
Net Working Capital, net of cash		(155	)
Fixed Assets		22
Intangible Assets		336
Goodwill		133
Assumed Liabilities		(419	)
Net Fair Value of Assets Acquired	$	401

Business Acquisition, Pro Forma Information [Table Text Block]

		Revenue				Net (Loss)
Consolidated supplemental pro forma, Jan uary 1 to December 31, 2016		$	156,475			$	(207	)

Note 15 - Net Income Per Share (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]

	Year Ended December 31,
	20 17			20 16
Numerator:
Net (loss) income attributable to SPAR Group, Inc.	$	(923	)	$	173

Denominator:
Shares used in basic net income per share calculation		20,617			20,595
Effect of diluted securities:
Stock options and unvested restricted shares		-			714
Shares used in diluted net income per share calculations		20,617			21,309

Basic net (loss) income per common share:	$	(0.04	)	$	0.01
D iluted net (loss) income per common share:	$	(0.04	)	$	0.01

Note 17 - Capital Lease Obligations (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Capital Leased Assets [Table Text Block]

Start Date:	Interest Rate			Original Cost		Accumulated Amortization		Net Book Value at December 31, 2017
January 2017		5.8	%	$	76	$	26	$	50
August 2017		6.4	%	$	147	$	20	$	127

Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block]

Year Ending December 31,	Amount

201 8	$	82
201 9		82
20 20		31
Total		195
Less amount representing interest		15
Present value of net minimum lease payments included in accrued expenses and other current liabilities, and long term debt	$	180

Schedule II - Valuation and Qualifying Accounts (Tables)

12 Months Ended

Dec. 31, 2017

Valuation and Qualifying Accounts Disclosure [Table Text Block]

	Balance at Beginning of Period		(Recovered From)/ Charged to Costs and Expenses		Deductions (1)		Balance at End of Period
Year ended December 31, 2017:

Deducted from asset accounts:
Allowance for doubtful accounts	$	288		113		59	$	342

Year ended December 31, 2016:

Deducted from asset accounts:
Allowance for doubtful accounts	$	542		347		601	$	288

Note 1 - Basis and Organization (Details Textual)	12 Months Ended
Note 1 - Basis and Organization (Details Textual)	Dec. 31, 2017
Number of Reportable Segments	2

Note 1 - Basis of Presentation - Percentage of the Company's Equity Ownership (Details)

Dec. 31, 2017

UNITED STATES

100.00%

JAPAN

100.00%

CANADA

100.00%

SOUTH AFRICA

51.00%

INDIA

51.00%

AUSTRALIA

51.00%

CHINA

51.00%

MEXICO

51.00%

TURKEY

51.00%

BRAZIL

51.00%

^[1]

[1]

In September 2016, the Company established a new joint venture subsidiary in Brazil, see Note 14 to the Company's Consolidated Financial Statements - Purchase of Interests in Subsidiaries, below. This new subsidiary purchased stock in two Brazilian companies - New Momentum, Ltda. and New Momentum Servicos Temporarios Ltda.

Note 2 - Summary of Significant Accounting Policies (Details Textual) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Equity Method Investment, Ownership Percentage	51.00%
Allowance for Doubtful Accounts Receivable	$ 342,000	$ 288,000
Provision for Doubtful Accounts	113,000	347,000
Depreciation, Amortization and Accretion, Net	1,500,000	1,500,000
Capitalized Computer Software, Gross	1,000,000	1,300,000
Capitalized Computer Software, Amortization	1,200,000	1,200,000
Allocated Share-based Compensation Expense	225,000	$ 329,000
Reclassification of Deferred Tax Assets from Current Assets to Noncurrent Assets [Member] \| December 31, 2016 [Member]
Prior Period Reclassification Adjustment	471,000
Reclassification of Deferred Tax Liabilities to Noncurrent Assets [Member] \| December 31, 2016 [Member]
Prior Period Reclassification Adjustment	$ 2,400,000
Computer Software, Intangible Asset [Member]
Finite-Lived Intangible Asset, Useful Life	3 years
Minimum [Member]
Property, Plant and Equipment, Useful Life	3 years
Finite-Lived Intangible Asset, Useful Life	5 years
Maximum [Member]
Property, Plant and Equipment, Useful Life	7 years
Finite-Lived Intangible Asset, Useful Life	10 years

Note 3 - Correction of Prior Period Financial Statements (Details Textual) $ in Millions	12 Months Ended
	Dec. 31, 2016 USD ($)
Reclassification Between Comprehensive Loss Attributable to SPAR Group, Inc. and Comprehensive Loss Attributable to Non-controlling Interest [Member] \| Year Ended December 31, 2016 [Member]
Prior Period Reclassification Adjustment	$ 1.6

Note 3 - Correction of Prior Period Financial Statements - Adjustments to Prior Period Financials (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Jan. 01, 2016
Accumulated other comprehensive loss	$ (1,690)	$ (2,407)	$ (1,853)
Total SPAR Group, Inc. equity	19,650	19,677	19,718
Non-controlling interest	5,905	5,405	4,680
Comprehensive income attributable to non-controlling interest	(2,698)	(1,011)
Comprehensive loss attributable to SPAR Group, Inc.	$ (206)	(381)
Scenario, Previously Reported [Member]
Accumulated other comprehensive loss		(3,995)	(2,869)
Total SPAR Group, Inc. equity		18,089	18,702
Non-controlling interest		6,993	5,696
Comprehensive income attributable to non-controlling interest		(1,583)
Comprehensive loss attributable to SPAR Group, Inc.		(953)
Restatement Adjustment [Member]
Accumulated other comprehensive loss		1,588	1,016
Total SPAR Group, Inc. equity		1,588	1,016
Non-controlling interest		(1,588)	$ (1,016)
Comprehensive income attributable to non-controlling interest		572
Comprehensive loss attributable to SPAR Group, Inc.		$ 572

Note 4 - Supplemental Balance Sheet Information (in Thousands) (Details Textual) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets, Gross	$ 4,015,000	$ 4,280,000
Minimum [Member]
Finite-Lived Intangible Asset, Useful Life	5 years
Maximum [Member]
Finite-Lived Intangible Asset, Useful Life	10 years
Customer Contracts And Lists [Member]
Finite-Lived Intangible Assets, Gross	$ 4,000,000
Customer Relationships [Member]
Amortization of Intangible Assets	$ 628,000	$ 549,000

Note 4 - Supplemental Balance Sheet Information (in Thousands) - Accounts Receivable (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Accounts receivable	$ 36,306	$ 33,957
Less allowance for doubtful accounts	(342)	(288)
Accounts Receivable, net	35,964	33,669
Trade Accounts Receivable [Member]
Accounts receivable	29,437	28,103
Unbilled [Member]
Accounts receivable	5,863	4,805
Non-Trade [Member]
Accounts receivable	$ 1,006	$ 1,049

Note 4 - Supplemental Balance Sheet Information (in Thousands) - Property and Equipment (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Property and equipment	$ 17,787	$ 16,262
Less accumulated depreciation and amortization	(15,075)	(13,726)
Property and equipment, net	2,712	2,536
Equipment [Member]
Property and equipment	5,873	5,588
Furniture and Fixtures [Member]
Property and equipment	853	741
Leaseholds and Leasehold Improvements [Member]
Property and equipment	267	267
Software Development [Member]
Property and equipment	$ 10,794	$ 9,666

Note 4 - Supplemental Balance Sheet Information (in Thousands) - Goodwill Rollforward (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($)
Balance	$ 1,847
Change in goodwill due to impact of foreign currency	11
Balance	1,836
UNITED STATES
Balance	1,188
Change in goodwill due to impact of foreign currency
Balance	1,188
International [Member]
Balance	659
Change in goodwill due to impact of foreign currency	11
Balance	$ 648

Note 4 - Supplemental Balance Sheet Information (in Thousands) - Intangible Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets, Gross	$ 4,015	$ 4,280
Less accumulated amortization	(2,381)	(1,940)
Total	$ 1,634	$ 2,340

Note 4 - Supplemental Balance Sheet Information (in Thousands) - Annual Amortization Expense (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
2018	$ 339
2019	306
2020	306
2021	273
2022	182
Thereafter	228
Total	$ 1,634	$ 2,340

Note 4 - Supplemental Balance Sheet Information (in Thousands) - Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Taxes payable	$ 2,304	$ 2,167
Accrued salaries and wages	3,791	3,664
Accrued accounting and legal expenses	3,240	2,360
Uncertain tax position reserves	170	164
Dividend payable to partners	1,042
Other	3,034	1,411
Accrued expenses and other current liabilities	$ 13,581	$ 9,766

Note 5 - Credit Facilities (Details Textual) R$ in Millions, $ in Millions		12 Months Ended
	Dec. 22, 2016 USD ($)	Dec. 31, 2017 USD ($)	Dec. 31, 2017 MXN ($)	Dec. 31, 2017 AUD ($)	Dec. 31, 2017 BRL (R$)	Mar. 03, 2017 USD ($)
Line of Credit Facility, Interest Rate at Period End
National Australia Bank [Member]
Line of Credit Facility, Interest Rate at Period End		6.30%	6.30%	6.30%	6.30%
Itau Bank [Member]
Line of Credit Facility, Interest Rate at Period End		46.20%	46.20%	46.20%	46.20%
Daycoval Bank [Member]
Line of Credit Facility, Interest Rate at Period End		16.20%	16.20%	16.20%	16.20%
Sterling Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 9,000,000	$ 9,000,000				$ 9,000,000
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage		0.125%
Percent Of Eligible Domestic Accounts Receivable Less Certain Reserves To Calculate Borrowing Availability		85.00%	85.00%	85.00%	85.00%
Line of Credit Facility, Covenant Terms, Minimum Tangible Net Worth		$ 7,400,000
Line of Credit Facility, Covenant Terms, Minimum Consolidated Tangible Net Worth		$ 10,000,000
Line of Credit Facility, Covenant Terms, Percent of Increase in Net Profit		50.00%
Line of Credit Facility, Covenant Terms, Maximum Indebtedness to Tangible Net Worth Ratio		3	3	3	3
Line of Credit Facility, Covenant Terms, Minimum Fixed Charge Coverage Ratio		1.5	1.5	1.5	1.5
Line of Credit Facility, Covenant Terms, Maximum Capital Expenditures		$ 2,000,000
Sterling Credit Facility [Member] \| Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate	0.50%	0.50%
Revolving Credit Facility [Member] \| National Australia Bank [Member]
Line of Credit Facility, Maximum Borrowing Capacity		$ 624,000		$ 800,000
Percent Of Eligible Domestic Accounts Receivable Less Certain Reserves To Calculate Borrowing Availability		80.00%	80.00%	80.00%	80.00%
Revolving Credit Facility [Member] \| Itau Bank [Member]
Line of Credit Facility, Maximum Borrowing Capacity		$ 1,200,000			R$ 4
Percent Of Eligible Domestic Accounts Receivable Less Certain Reserves To Calculate Borrowing Availability		80.00%	80.00%	80.00%	80.00%
Revolving Credit Facility [Member] \| Daycoval Bank [Member]
Line of Credit Facility, Maximum Borrowing Capacity		$ 1,500,000			R$ 5
Percent Of Eligible Domestic Accounts Receivable Less Certain Reserves To Calculate Borrowing Availability		80.00%	80.00%	80.00%	80.00%
Revolving Credit Facility [Member] \| BBVA Bancomer Bank [Member]
Line of Credit Facility, Maximum Borrowing Capacity		$ 254,000	$ 5
Line of Credit Facility, Interest Rate at Period End		11.60%	11.60%	11.60%	11.60%
Revolving Credit Facility [Member] \| Interbank Interest Rate [Member] \| BBVA Bancomer Bank [Member]
Debt Instrument, Basis Spread on Variable Rate		4.00%

Note 5 - Credit Facilities - Summary of Credit and Other Debt Facilities (Details) $ in Thousands	Dec. 31, 2017 USD ($)
Line of Credit Facility, Interest Rate at Period End
2018	$ 6,839
Sterling Credit Facility [Member]
Line of Credit Facility, Interest Rate at Period End	5.00%
2018	$ 5,470
National Australia Bank [Member]
Line of Credit Facility, Interest Rate at Period End	6.30%
2018	$ 205
Itau Bank [Member]
Line of Credit Facility, Interest Rate at Period End	46.20%
2018	$ 151
Daycoval Bank [Member]
Line of Credit Facility, Interest Rate at Period End	16.20%
2018	$ 1,013

Note 5 - Credit Facilities - Unused Availability (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Unused Availability	$ 6,069	$ 1,429
UNITED STATES
Unused Availability	3,530	500
AUSTRALIA
Unused Availability	731	688
BRAZIL
Unused Availability	1,554
MEXICO
Unused Availability	$ 254	$ 241

Note 6 - Income Taxes (Details Textual) - USD ($)	12 Months Ended
Note 6 - Income Taxes (Details Textual) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability	$ 1,043,000
One-Time Transition Tax Charge	798,000
Operating Loss Carryforwards	5,300,000	$ 7,700,000
Operating Loss Carryforwards Limitation on Use Amount	$ 657,500
Earliest Tax Year [Member]
Open Tax Year	2013
Second Subsidiary Acquired March 2010 [Member]
Operating Loss Carryforwards	$ 300,000

Note 6 - Income Taxes - Income Before Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Domestic	$ 289	$ (183)
Foreign	3,865	2,380
Total:	$ 4,154	$ 2,197

Note 6 - Income Taxes - Income Tax Benefit (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Federal	$ 79	$ 48
Foreign	1,131	810
State	128	9
Federal	1,571	(435)
Foreign	(117)	60
State	185	(51)
Net expense	$ 2,977	$ 441

Note 6 - Income Taxes - Income Taxes Reconciliation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Provision for income taxes at federal statutory rate	$ 1,421	$ 747
Provision for income taxes at federal statutory rate, rate	34.00%	34.00%
State income taxes, net of federal benefit	$ 17	$ (45)
State income taxes, net of federal benefit, rate	0.40%	(2.10%)
Permanent differences	$ 85	$ 68
Permanent differences, rate	2.10%	3.10%
Federal Research and Development Credit	$ 41	$ (89)
Federal Research and Development Credit, rate	1.00%	(4.00%)
Foreign tax rate differential	$ 494	$ 242
Foreign tax rate differential	11.80%	11.00%
Foreign dividend tax	$ 798
Foreign dividend tax, rate	19.00%
Reduction in deferred tax asset – Reduction of corporate tax rate	$ 1,043
Reduction in deferred tax asset – Reduction of corporate tax rate, rate	24.80%
Other	$ 66	$ 2
Other	1.70%	0.10%
Net expense	$ 2,977	$ 441
Net expense, rate	71.20%	20.10%

Note 6 - Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Deferred tax assets:
Net operating loss carry forwards	$ 1,313	$ 3,116
Federal Research and Development Credit	240	281
Deferred revenue	360	419
Allowance for doubtful accounts and other receivable	59	49
Share-based compensation expense	646	763
Foreign subsidiaries	588	471
Depreciation	360	529
Other	26	38
Federal Alternative Minimum Tax	156	116
Total deferred tax assets	3,748	5,782
Deferred tax liabilities:
Goodwill	224	307
Capitalized software development costs	469	781
Total deferred tax liabilities	693	1,088
Net deferred taxes	$ 3,055	$ 4,694

Note 6 - Income Taxes - Reconciliation of the Beginning and Ending Amount of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Unrecognized tax benefits	$ 116	$ 116
Additions for tax provisions of prior years
Unrecognized tax benefits	$ 116	$ 116

Note 6 - Income Taxes - Tax Reserves (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Unrecognized Tax Benefits	$ 116	$ 116	$ 116
Unrecognized Tax Benefits, Interest on Income Taxes Accrued	49
Unrecognized Tax Benefits, Penalty on Income Taxes Accrued	5
Taxes Payable	170
State and Local Jurisdiction [Member]
Unrecognized Tax Benefits	116
Unrecognized Tax Benefits, Interest on Income Taxes Accrued	49
Unrecognized Tax Benefits, Penalty on Income Taxes Accrued	5
Taxes Payable	170
Domestic Tax Authority [Member]
Unrecognized Tax Benefits
Unrecognized Tax Benefits, Interest on Income Taxes Accrued
Unrecognized Tax Benefits, Penalty on Income Taxes Accrued
Taxes Payable
Foreign Tax Authority [Member]
Unrecognized Tax Benefits
Unrecognized Tax Benefits, Interest on Income Taxes Accrued
Unrecognized Tax Benefits, Penalty on Income Taxes Accrued
Taxes Payable

Note 7 - Commitments and Contingencies (Details Textual) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Operating Leases, Rent Expense	$ 1,806,000	$ 1,550,000
SBS [Member]
Related Party Transaction, Reimbursement of Legal Expenses from Transaction with Related Party	$ 193,000	$ 736,000
SBS [Member] \| Domestic Merchandising Specialists Field Force [Member]
Percent Of Service Provided By Related Party	77.00%	79.00%
Payments for Related Party Services	$ 25,900,000	$ 22,700,000
Equipment [Member]
Operating Leases, Rent Expense	$ 163,000	$ 164,000

Note 7 - Commitments and Contingencies - Future Minimum Commitments Under Non-cancelable Operating Lease Arrangements (Details) $ in Thousands	Dec. 31, 2017 USD ($)
2018	$ 2,103
2019	1,464
2020	1,188
2021	674
2022	387
Total	$ 5,816

Note 8 - Treasury Stock (Details Textual) - shares	12 Months Ended
Note 8 - Treasury Stock (Details Textual) - shares	Dec. 31, 2017	Nov. 10, 2017
Stock Repurchase Program, Number of Shares Authorized to be Repurchased	500,000	500,000
Treasury Stock, Shares, Acquired	532,235

Note 9 - Preferred Stock (Details Textual) - $ / shares	12 Months Ended
Note 9 - Preferred Stock (Details Textual) - $ / shares	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2011	Dec. 31, 2010
Preferred Stock, Shares Authorized	2,445,598	2,445,598		3,000,000
Preferred Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Preferred Stock, Shares Outstanding	0	0
Preferred Stock, Shares Issued	0	0
Series A Preferred Stock [Member]
Preferred Stock, Shares Authorized	3,000,000
Preferred Stock, Dividend Rate, Percentage	10.00%
Preferred Stock, Conversion Basis	1
Common Stock For Conversion			554,402
Preferred Stock Number Of Authorized Shares Remaining			2,445,598
Preferred Stock, Shares Outstanding	0
Preferred Stock, Shares Issued	0

Note 10 - Retirement Plans (Details Textual) - USD ($)	12 Months Ended
Note 10 - Retirement Plans (Details Textual) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Defined Benefit Plan, Plan Assets, Contributions by Employer	$ 50,000	$ 75,000

Note 11 - Related Party Transactions (Details Textual)					5 Months Ended	12 Months Ended		19 Months Ended
Note 11 - Related Party Transactions (Details Textual)	Sep. 14, 2016 USD ($)	Sep. 14, 2016 BRL (R$)	Sep. 13, 2016	Sep. 08, 2016 USD ($)	May 31, 2016	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2017
Related Party Transaction, Expenses from Transactions with Related Party						$ 31,762,000	$ 28,403,000
Payments for Cash Collateral Deposit, Allocated to Non-Related Party						180,324
Affinity Insurance [Member]
Payments for Cash Collateral Deposits						$ 965,023
SGRP Holdings [Member]
Business Acquisition, Percentage of Voting Interests Acquired				100.00%
Payments to Acquire Businesses, Gross				$ 1
Business Acquisition, Transaction Costs				$ 49,000
Merhold Property Trust [Member]
Number Of Vehicles Subleased						2
Number Of Vehicles Leased						126
Lessee, Operating Lease, Term of Contract						4 years
SGRP Holdings [Member] \| SPAR BSMT Joint Venture [Member]
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage			51.00%	51.00%
JKC [Member] \| SPAR BSMT Joint Venture [Member]
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage			39.00%	39.00%
EILLC [Member] \| SPAR BSMT Joint Venture [Member]
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage			10.00%	10.00%
JV Agreement [Member] \| SPAR BSMT [Member]
Number of Directors			5
Loan From SGRP Holdings on Behalf of EILLC [Member] \| SPAR BSMT [Member]
Proceeds from Related Party Debt	$ 37,200	R$ 116,326
SBS [Member]
Number of Merchandising Specialists						10,700
Number of National, Regional, and District Administrators						57
Related Party Transaction, Reimbursement of Legal Expenses from Transaction with Related Party						$ 193,000	736,000
Payments for Cash Collateral Deposits, Allocated to Related Party						378,838
SBS [Member] \| Domestic Merchandising Specialists Field Force [Member]
Payments for Related Party Services						$ 25,900,000	$ 22,700,000
Percent Of Service Provided By Related Party						77.00%	79.00%
SBS [Member] \| Domestic Field Management [Member]
Payments for Related Party Services						$ 4,200,000	$ 4,300,000
Percent Of Service Provided By Related Party						91.00%	92.00%
SBS [Member] \| Cost Plus Fees [Member]
Related Party Transaction, Rate					4.00%	2.96%		2.00%
Related Party Transaction, Overpayment Amount						$ 1,000,000
SBS And SAS [Member] \| Domestic Field Management [Member]
Related Party Transaction, Expenses from Transactions with Related Party						$ 30,100,000	$ 27,000,000
NRS [Member]
Majority Interest Ownership Percentage By Parent						51.00%		51.00%
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners						49.00%		49.00%
C M R Meridien [Member]
Majority Interest Ownership Percentage By Parent						51.00%		51.00%
Mr. Brian Mason Mr. Garry Bristow And Mr. Adrian Wingfield [Member]
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners						49.00%		49.00%
Mr. Mason [Member] \| Merhold Property Trust [Member]
Related Party Ownership Percentage						50.00%
Mr. Mason [Member] \| Merhold Holding Trust [Member]
Related Party Ownership Percentage						46.70%
Mr. Mason and Mr. Bristow [Member] \| Merhold Cape Property Trust [Member]
Related Party Ownership Percentage						50.00%
Mr. Bristow [Member] \| Merhold Holding Trust [Member]
Related Party Ownership Percentage						20.00%
Mr. Wingfield [Member] \| Merhold Holding Trust [Member]
Related Party Ownership Percentage						33.30%
NDS [Member]
Majority Interest Ownership Percentage By Parent						51.00%		51.00%
Mr And Ms Yilmaz [Member]
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners						49.00%		49.00%
Mr. Juan F. Medina Domenzain [Member] \| CON [Member]
Related Party Ownership Percentage						90.00%
SPAR InfoTech, Inc. [Member] \| Assistance Provided in Connection to Brazilian Acquisition [Member]
Related Party Transaction, Amounts of Transaction				$ 49,000
SAS [Member]
Payments for Cash Collateral Deposits, Allocated to Related Party						$ 109,387
SMF [Member]
Payments for Cash Collateral Deposits, Allocated to Related Party						296,474
SAS, SBS, and SMF [Member] \| Affinity Insurance [Member]
Estimated Reimbursement on Advances						$ 675,000
SGRP Holdings [Member] \| JV Agreement [Member] \| SPAR BSMT [Member]
Number of Directors			3
Proceeds from Related Party Debt	448,000	1,400,000
SGRP Holdings [Member] \| Loan Agreement [Member] \| JKC [Member]
Proceeds from Related Party Debt	38,700	120,423
SPAR BSMT [Member] \| JV Agreement [Member] \| JKC [Member]
Number of Directors			1
EILLC [Member] \| JV Agreement [Member] \| SPAR BSMT [Member]
Number of Directors			1
JKC [Member] \| JV Agreement [Member] \| SPAR BSMT [Member]
Proceeds from Related Party Debt	$ 145,175	R$ 453,673

Note 11 - Related Party Transactions - Transactions Between the Company and Affiliates (Details) - USD ($)
$ in Thousands

12 Months Ended

Dec. 31, 2017

Dec. 31, 2016

$ 31,762

$ 28,403

Loans Due to Affiliates [Member] | Local Investors in Australia [Member]

3,026

3,349

Loans Due to Affiliates [Member] | Local Investors in Mexico [Member]

^[1]

250

231

Loans Due to Affiliates [Member] | Local Investors in Brazil [Member]

^[1]

1,001

Loans Due to Affiliates [Member] | Local Investors in China [Member]

^[1]

139

Loans Due to Affiliates [Member] | NMS LLC [Member]

^[1]

719

761

Loans Due to Affiliates [Member] | Local Investors In South Africa [Member]

^[1]

348

Accrued Expenses Due to Affiliates [Member] | SBS [Member]

^[1]

Field Merchandiser Services SBS [Member]

893

869

Field Administration Expenses SAS [Member]

^[2]

25,866

22,749

Office And Vehicle Rental MPT [Member]

^[2]

4,215

4,276

Vehicle Rental MCPT [Member]

Office And Vehicle Rental MHT [Member]

1,146

879

Field Merchandiser Services NDS Reklam [Member]

170

121

Consulting and Administrative Services (CON) [Member]

^[2]

Warehouse Rental (JFMD) [Member]

244

309

Legal Services (KMSA) [Member]