Air Industries (AIRI) 10-Q 12 Nov 21 2021 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2021	Nov. 05, 2021
Document Information Line Items
Entity Registrant Name	AIR INDUSTRIES GROUP
Trading Symbol	AIRI
Document Type	10-Q
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		32,128,006
Amendment Flag	false
Entity Central Index Key	0001009891
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Document Period End Date	Sep. 30, 2021
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-35927
Entity Incorporation, State or Country Code	NV
Entity Tax Identification Number	80-0948413
Entity Address, Address Line One	1460 Fifth Avenue
Entity Address, Address Line Two	Bay Shore
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	11706
City Area Code	(631)
Local Phone Number	968-5000
Title of 12(b) Security	Common Stock
Security Exchange Name	NYSEAMER
Entity Interactive Data Current	Yes

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Current Assets
Cash and Cash Equivalents	$ 692,000	$ 2,505,000
Accounts Receivable, Net of Allowance for Doubtful Accounts of $620,000 and $964,000	10,546,000	8,798,000
Inventory	29,359,000	32,120,000
Prepaid Expenses and Other Current Assets	328,000	173,000
Prepaid Taxes	19,000	15,000
Total Current Assets	40,944,000	43,611,000
Property and Equipment, Net	8,459,000	9,581,000
Operating Lease Right-Of-Use-Asset	3,146,000	3,510,000
Deferred Financing Costs, Net, Deposits and Other Assets	809,000	912,000
Goodwill	163,000	163,000
TOTAL ASSETS	53,521,000	57,777,000
Current Liabilities
Notes Payable and Finance Lease Obligations - Current Portion	14,285,000	16,475,000
Accounts Payable and Accrued Expenses	7,023,000	8,682,000
Operating Lease Liabilities - Current Portion	664,000	701,000
Deferred Gain on Sale - Current Portion	38,000	38,000
Deferred Revenue	1,488,000	917,000
Liability Related to the Sale of Future Proceeds from Disposition of Subsidiary - Current Portion	130,000	200,000
Deferred payroll tax liability - CARES Act - Current Portion	314,000	314,000
Total Current Liabilities	23,942,000	27,327,000
Long Term Liabilities
Notes Payable and Finance Lease Obligations - Net of Current Portion	3,632,000	4,786,000
Notes Payable - Related Party - Net of Current Portion	6,412,000	6,012,000
Operating Lease Liabilities - Net of Current Portion	3,423,000	3,927,000
Deferred Gain on Sale - Net of Current Portion	152,000	181,000
Liability Related to the Sale of Future Proceeds from Disposition of Subsidiary - Net of Current Portion		122,000
Deferred payroll tax liability - CARES Act - Net of Current Portion	313,000	313,000
TOTAL LIABILITIES	37,874,000	42,668,000
Commitments and Contingencies
Stockholders' Equity
Preferred Stock, par value $.001 - Authorized 3,000,000 shares, 0 shares outstanding, at both September 30, 2021 and December 31, 2020.
Common Stock - Par Value $.001 - Authorized 60,000,000 Shares, 32,077,530 and 31,906,971 Shares Issued and Outstanding as of September 30, 2021 and December 31, 2020, respectively	32,000	32,000
Additional Paid-In Capital	81,755,000	81,238,000
Accumulated Deficit	(66,140,000)	(66,161,000)
TOTAL STOCKHOLDERS' EQUITY	15,647,000	15,109,000
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 53,521,000	$ 57,777,000

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parentheticals) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Allowance for doubtful accounts (in Dollars)	$ 620,000	$ 964,000
Preferred stock, par value (in Dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	3,000,000	3,000,000
Preferred stock, shares outstanding	0	0
Common stock, par value (in Dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	60,000,000	60,000,000
Common stock, shares issued	32,077,530	31,906,971
Common stock, shares outstanding	32,077,530	31,906,971

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Statement of Comprehensive Income [Abstract]
Net Sales	$ 14,354,000	$ 13,662,000	$ 43,519,000	$ 35,603,000
Cost of Sales	12,340,000	12,006,000	37,105,000	31,152,000
Gross Profit	2,014,000	1,656,000	6,414,000	4,451,000
Operating Expenses	1,837,000	1,896,000	5,770,000	6,064,000
Income (loss) from Operations	177,000	(240,000)	644,000	(1,613,000)
Interest and Financing Costs	(205,000)	(234,000)	(585,000)	(789,000)
Interest Expense - Related Parties	(126,000)	(125,000)	(376,000)	(378,000)
Other Income, Net	88,000	122,000	338,000	363,000
(Loss) Income before Benefit From Income Taxes	(66,000)	(477,000)	21,000	(2,417,000)
Provision for (Benefit) from Income Taxes				(1,414,000)
Net (Loss) Income	$ (66,000)	$ (477,000)	$ 21,000	$ (1,003,000)
Net Income (Loss) per share - Basic (in Dollars per share)	$ 0	$ (0.02)	$ 0	$ (0.03)
Net Income (Loss) per share - Diluted (in Dollars per share)	$ 0	$ (0.02)	$ 0	$ (0.03)
Weighted Average Shares Outstanding - basic (in Shares)	32,074,053	30,620,990	32,022,873	30,524,874
Weighted Average Shares Outstanding - diluted (in Shares)	32,074,053	30,620,990	38,743,765	30,524,874

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders’ Equity (Unaudited) - USD ($)	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Balance at Dec. 31, 2019	$ 29,000	$ 77,434,000	$ (67,257,000)	$ 10,206,000
Balance (in Shares) at Dec. 31, 2019	29,478,338
Common Stock issued for directors fees		55,000		55,000
Common Stock issued for directors fees (in Shares)	43,771
Costs related to issuance of stock		(145,000)		(145,000)
Issuance of Common Stock	$ 1,000	983,000		984,000
Issuance of Common Stock (in Shares)	419,597
Common Stock Issued for Convertible Notes		885,000		885,000
Common Stock Issued for Convertible Notes (in Shares)	590,243
Stock Compensation		140,000		140,000
Net Income (Loss)			1,058,000	1,058,000
Balance at Mar. 31, 2020	$ 30,000	79,352,000	(66,199,000)	13,183,000
Balance (in Shares) at Mar. 31, 2020	30,531,949
Common Stock issued for directors fees		46,000		46,000
Common Stock issued for directors fees (in Shares)	47,126
Stock Compensation		74,000		74,000
Net Income (Loss)			(1,584,000)	(1,584,000)
Balance at Jun. 30, 2020	$ 30,000	79,472,000	(67,783,000)	11,719,000
Balance (in Shares) at Jun. 30, 2020	30,579,075
Common Stock issued for directors fees		58,000		58,000
Common Stock issued for directors fees (in Shares)	41,915
Stock Compensation		52,000		52,000
Net Income (Loss)			(477,000)	(477,000)
Balance at Sep. 30, 2020	$ 30,000	79,582,000	(68,260,000)	11,352,000
Balance (in Shares) at Sep. 30, 2020	30,620,990
Balance at Dec. 31, 2020	$ 32,000	81,238,000	(66,161,000)	15,109,000
Balance (in Shares) at Dec. 31, 2020	31,906,971
Common Stock issued for directors fees		52,000		52,000
Common Stock issued for directors fees (in Shares)	41,960
Stock Compensation		157,000		157,000
Stock Options exercised
Stock Options exercised (in Shares)	51,224
Net Income (Loss)			(152,000)	(152,000)
Balance at Mar. 31, 2021	$ 32,000	81,447,000	(66,313,000)	15,166,000
Balance (in Shares) at Mar. 31, 2021	32,000,155
Common Stock issued for directors fees		52,000		52,000
Common Stock issued for directors fees (in Shares)	37,392
Stock Compensation		57,000		57,000
Net Income (Loss)			239,000	239,000
Balance at Jun. 30, 2021	$ 32,000	81,556,000	(66,074,000)	15,514,000
Balance (in Shares) at Jun. 30, 2021	32,037,547
Common Stock issued for directors fees		52,000		52,000
Common Stock issued for directors fees (in Shares)	39,983
Stock Compensation		147,000		147,000
Net Income (Loss)			(66,000)	(66,000)
Balance at Sep. 30, 2021	$ 32,000	$ 81,755,000	$ (66,140,000)	$ 15,647,000
Balance (in Shares) at Sep. 30, 2021	32,077,530

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income (Loss)	$ 21,000	$ (1,003,000)
Adjustments to reconcile net income (loss) to net cash used in operating activities
Depreciation of property and equipment	2,105,000	1,920,000
Non-cash employee compensation expense	361,000	266,000
Non-cash directors compensation	156,000	159,000
Non-cash other income recognized	(274,000)	(302,000)
Non-cash interest expense	82,000	90,000
Non-cash deferred payroll tax expense - CARES Act		429,000
Amortization of Right-of-Use Asset	364,000	366,000
Deferred gain on sale of real estate	(29,000)	(29,000)
Loss on sale of equipment		16,000
Amortization of debt discount on convertible notes payable		196,000
Bad debt expense (recovery)	(54,000)	367,000
Amortization of deferred financing costs	118,000	73,000
(Increase) Decrease in Operating Assets:
Accounts receivable	(1,692,000)	(2,257,000)
Inventory	2,761,000	(4,194,000)
Prepaid expenses and other current assets	(159,000)	53,000
Prepaid taxes		(6,000)
Deposits and other assets	(15,000)	(213,000)
Accounts payable and accrued expenses	(1,261,000)	1,594,000
Operating lease liabilities	(541,000)	(506,000)
Income taxes payable		(27,000)
Deferred revenue	571,000	(176,000)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	2,514,000	(3,184,000)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment	(983,000)	(1,471,000)
NET CASH USED IN INVESTING ACTIVITIES	(983,000)	(1,471,000)
CASH FLOWS FROM FINANCING ACTIVITIES
Note payable - revolver - net - Sterling National Bank	(2,187,000)	3,340,000
Payments of note payable - term note - Sterling National Bank	(1,147,000)	(414,000)
SBA Loan Proceeds - Sterling National Bank		2,414,000
Payments of finance lease obligations	(3,000)	(11,000)
Proceeds from issuance of common stock		984,000
Share issuance costs		(145,000)
Payments of notes payable issuances- related party		(1,032,000)
Payments of notes payable - third party		(100,000)
Payments of loan payable - financed asset	(7,000)	(215,000)
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES	(3,344,000)	4,821,000
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(1,813,000)	166,000
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	2,505,000	1,294,000
CASH AND CASH EQUIVALENTS AT END OF PERIOD	692,000	1,460,000
Supplemental cash flow information
Cash paid during the period for interest	918,000	680,000
Cash received for income taxes		1,416,000
investing and financing activities
Right of Use Asset additions under ASC 842		642,000
Operating Lease Liabilities under ASC 842		642,000
Common Stock issued for conversion of notes payable and accrued interest		$ 885,000

Formation and Basis of Presenta

Formation and Basis of Presentation	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
FORMATION AND BASIS OF PRESENTATION	Note 1. FORMATION AND BASIS OF PRESENTATION Organization Air Industries Group is a Nevada corporation (“AIRI”). As of and for the three and nine months ended September 30, 2021 and 2020, the accompanying condensed consolidated financial statements presented are those of AIRI, and its wholly-owned subsidiaries; Air Industries Machining Corp. (“AIM”), Nassau Tool Works, Inc. (“NTW”), and the Sterling Engineering Corporation (“Sterling”), (together, the “Company”). Basis of Presentation The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and with Rule 8-03 of Regulation S-X. These principles require us to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the condensed unaudited consolidated financial statements, and the reported amount of net sales and expenses during the reported period. Actual results could differ from those estimates. Changes in facts and circumstances may result in revised estimates, which would be recorded in the period in which they become known. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2021 are not necessarily indicative of the results that may be expected for the year ending December 31, 2021. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020, as filed with the Securities and Exchange Commission, from which the accompanying condensed consolidated balance sheet dated December 31, 2020 was derived. Reclassifications Reclassification occurred to certain 2020 amounts to conform to the 2021 classification. These reclassifications had no impact on the statement of operations. Liquidity At each reporting period, management evaluates whether there are conditions or events that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued. The Company is required to make certain additional disclosures if management concludes that substantial doubt exists about the Company’s ability to continue as a going concern and such doubt is not alleviated by the Company’s plans or when the Company’s plans alleviate substantial doubt about its ability to continue as a going concern. The evaluation entails analyzing prospective operating budgets and forecasts for expectations regarding cash needs and comparing those needs to the current cash and cash equivalent balance and expectations regarding cash to be generated over the following year. Although the global outbreak of COVID-19 negatively impacted the Company’s revenues, earnings and operating cash flows in 2020, management believes the Company’s operations substantially returned to normal in fiscal 2021. With nine months of fiscal 2021 now completed and the Company beginning to see the benefits from its recent investments in machinery and equipment, management believes the Company will continue to improve its liquidity. As such, based on the Company generating operating income of $177,000 and $644,000 for the three and nine months ended September 30, 2021, respectively, its current best estimates of fourth quarter fiscal 2021 and the first quarter of fiscal 2022 sales, confirmed and expected orders, the strength of existing backlog, overall market demand, expected timing of future cash receipts and expenditures and the Company’s ability to access additional liquidity, if needed, the Company believes it will have adequate cash to support operations through at least November 30, 2022. Subsequent Events Management has evaluated subsequent events through the date of this filing.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Note 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Inventory Valuation For annual periods, the Company values inventory at the lower of cost on a first-in-first-out basis or estimated net realizable value. The Company does not take physical inventories at interim quarterly reporting periods. For interim periods, substantially all of the inventory value has been estimated using a gross profit percentage based on annual gross profit percentages of the immediately preceding year as applied to the net sales of the current period. During the three and nine months ended September 30, 2021, the Company increased its estimate of its gross profit percentage from the percentage for the prior year based on the better absorption of Manufacturing Overhead which results from increased sales. Adjustments to reconcile the annual physical inventory to the Company’s records are recorded in the fourth quarter. Credit and Concentration Risks There were two customers that represented 67.7% and three customers that represented 70.6% of total net sales for the three months ended September 30, 2021 and 2020, respectively. This is set forth in the table below. Customer Percentage of Sales September 30, September 30, (Unaudited) (Unaudited) 1 41.6 % 23.2 % 2 26.1 % 25.8 % 3 * 21.6 % * Customer was less than 10% of sales for the three months ended September 30, 2021. There were three customers that represented 75.5% and 74.2% of total sales for the nine months ended September 30, 2021 and 2020, respectively. This is set forth in the table below. Customer Percentage of Sales September 30, September 30, (Unaudited) (Unaudited) 1 36.8 % 28.2 % 2 26.2 % 32.1 % 3 12.5 % 13.9 % There were two customers that represented 68.9% and three customers that represented 80.3% of gross accounts receivable at September 30, 2021 and December 31, 2020, respectively. This is set forth in the table below. Percentage of Receivables Customer September 30, December 31, (Unaudited) 1 53.5 % 57.1 % 2 15.4 % * 3 ** 12.0 % 4 ** 11.2 % * Customer was less than 10% of accounts receivable at December 31, 2020. ** Customer was less than 10% of accounts receivable at September 30, 2021. Cash and Cash Equivalents During the year, the Company had occasionally maintained balances in its bank accounts that were in excess of the FDIC insurance limit. The Company has not experienced any losses on these accounts. Major Suppliers The Company has several key sole-source suppliers of various parts that are important for one or more of its products. These suppliers are its only source for such parts and, therefore, in the event any of them were to go out of business or be unable or unwilling to provide parts for any reason, its business could be severely harmed. To date, global supply chain constraints that have been impacting the aerospace and defense industry have not materially impacted our ability to source parts or operate our business. Leases The Company accounts for leases under ASC 842, “Leases.” All leases are required to be recorded on the balance sheet and are classified as either operating leases or finance leases. The lease classification affects the expense recognition in the income statement. Operating lease charges are recorded entirely in operating expenses. Finance lease charges are split, where amortization of the right-of- use asset is recorded in operating expenses and an implied interest component is recorded in interest expense. See Note 4. Earnings (Loss) per share Basic earnings (loss) per share (“EPS”) is computed by dividing the net income (loss) applicable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. For purposes of calculating diluted earnings per common share, the numerator includes net income plus interest on convertible notes payable assumed converted as of the first day of the period. The denominator includes both the weighted-average number of shares of common stock outstanding during the period and the number of common stock equivalents if the inclusion of such common stock equivalents is dilutive. Dilutive common stock equivalents potentially include stock options and warrants using the treasury stock method and convertible notes payable using the if-converted method. The following is the calculation of net (loss) income applicable to common stockholders utilized to calculate the EPS: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Net (Loss) Income per statement of operations $ (66,000 ) $ (477,000 ) $ 21,000 $ (1,003,000 ) Add: Convertible Note Interest for Potential Note Conversion - - 232,000 - (Loss) Income used to calculate diluted earnings per share $ (66,000 ) $ (477,000 ) $ 253,000 $ (1,003,000 ) The following is a reconciliation of the denominators of basic and diluted earnings per share computations: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Weighted average shares outstanding used to compute basic earnings per share 32,074,053 30,620,990 32,022,873 30,524,874 Effect of dilutive stock options and warrants - - 2,663,000 - Effect of dilutive convertible notes payable - - 4,057,892 - Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share 32,074,053 30,620,990 38,743,765 30,524,874 The following securities have been excluded from the calculation as the exercise price was greater than the average market price of the common shares: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Stock Options 1,178,000 163,000 186,000 163,000 Warrants 1,828,000 1,423,000 1,068,000 1,423,000 3,006,000 1,586,000 1,254,000 1,586,000 The following securities have been excluded from the calculation even though the exercise price was less than the average market price of the common shares during the periods set forth below because the effect of including these potential shares was anti-dilutive due to the net loss incurred during these periods: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Stock Options 1,330,000 1,696,000 - 1,696,000 Warrants - 760,000 - 760,000 Convertible notes payable 5,092,000 5,092,000 - 5,092,000 6,422,000 7,548,000 - 7,548,000 Stock-Based Compensation The Company accounts for stock-based compensation in accordance with FASB ASC 718, “Compensation – Stock Compensation.” Under the fair value recognition provision of the ASC, stock-based compensation cost is estimated at the grant date based on the fair value of the award. The Company estimates the fair value of stock options and warrants granted using the Black-Scholes-Merton option pricing model. Stock based compensation expense for employees amounted to $147,000 and $52,000 for the three months ended September 30, 2021 and 2020, respectively, and $361,000 and $266,000 for the nine months ended September 30, 2021 and 2020, respectively. Stock compensation expense for directors amounted to $52,000 and $58,000 for the three months ended September 30, 2021 and 2020, respectively and $156,000 and $159,000 for the nine months ended September 30, 2021 and 2020, respectively. Stock compensation expense for employees and directors was included in operating expenses on the accompanying Condensed Consolidated Statements of Operations. Goodwill Goodwill represents the excess of the acquisition cost of businesses over the fair value of the identifiable net assets acquired. The goodwill amount of $163,000 at September 30, 2021 and December 31, 2020 relates to the acquisition of NTW. Goodwill is not amortized, but is tested at least annually for impairment, or if circumstances occur that more likely than not reduce the fair value of the reporting unit below its carrying amount. The Company will test Goodwill for impairment at December 31, 2021, and has determined that there has been no impairment of goodwill as of December 31, 2020. Recently Issued Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326) (“ASU 2016- 13”), which significantly changes how entities will account for credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. ASU 2016-13 replaces the existing incurred loss model with an expected credit loss model that requires entities to estimate an expected lifetime credit loss on most financial assets and certain other instruments. Under ASU 2016-13 credit impairment is recognized as an allowance for credit losses, rather than as a direct write-down of the amortized cost basis of a financial asset. The impairment allowance is a valuation account deducted from the amortized cost basis of financial assets to present the net amount expected to be collected on the financial asset. Once the new pronouncement is adopted by the Company, the allowance for credit losses must be adjusted for management’s current estimate at each reporting date. The new guidance provides no threshold for recognition of impairment allowance. Therefore, entities must also measure expected credit losses on assets that have a low risk of loss. For instance, trade receivables that are either current or not yet due may not require an allowance reserve under currently generally accepted accounting principles, but under the new standard, the Company will have to estimate an allowance for expected credit losses on trade receivables under ASU 2016-13. ASU 2016-13 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2022 for smaller reporting companies. Early adoption is permitted. The Company will evaluate the impact of ASU 2016-13 on the Company’s consolidated financial statements in a future period closer to the date of adoption. In August 2020, the FASB issued ASU No. 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU 2020-06), which is intended to address issues identified as a result of the complexity associated with applying GAAP for certain financial instruments with characteristics of liabilities and equity. For convertible instruments, ASU 2020-06 reduces the number of accounting models for convertible debt instruments and convertible preferred stock, and enhances information transparency by making targeted improvements to the disclosures for convertible instruments and earnings-per-share guidance on the basis of feedback from financial statement users. ASU 2020-06 is effective for fiscal years, and interim periods in those fiscal years, beginning after December 15, 2021. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods with those fiscal years. The Company is evaluating the effect of adopting this new accounting guidance on its financial statements. On January 1, 2021, the Company adopted ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. The adoption of ASU 2019-12 did not have a material impact on the Company’s condensed consolidated financial statements. On January 1, 2021, the Company adopted ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional guidance for a limited time to ease the potential burden in accounting for reference rate reform. In January 2021, the FASB issued ASU 2021-01, “Reference Rate Reform” (Topic 848): Scope: which clarified the scope of ASU 2020-04. The new guidance provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform. These amendments may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2022. The adoption of these ASU’s did not have a material impact on the Company’s condensed consolidated financial statements. In May 2021, the FASB issued ASU No. 2021-04, Earnings Per Share (Topic 260), Debt – Modifications and Extinguishments (Subtopic 470-50), Compensation – Stock Compensation (Topic 718), and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40): Issuer’s Accounting for Certain Modification or Exchanges of Freestanding Equity-Classified Written Call Options (“ASU 2021-04”), which will clarify and reduce diversity in practice. Specifically, the new standard includes a recognition model comprising four categories of transactions and corresponding accounting treatment for each category. The category that would apply to a modification or an exchange of an equity-classified warrant would depend on the substance of the modification transaction (e.g. a financing transaction to raise equity versus one to raise debt). This recognition model is premised on the idea that the accounting for the transaction should not differ from what it would have been had the issuer of the warrants paid cash instead of modifying the warrants. ASU 2021-04 will be effective for fiscal years beginning after December 15, 2021 and interim periods within those fiscal years. Early adoption is permitted. This ASU will be applied prospectively to modifications or exchanges occurring on or after the effective date of the ASU. The Company is currently evaluating the impact this new guidance will have on its condensed consolidated financial statements. The Company does not believe that any other recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying condensed consolidated financial statements.

Property and Equipment

Property and Equipment	9 Months Ended
	Sep. 30, 2021
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	Note 3. PROPERTY AND EQUIPMENT The components of property and equipment at September 30, 2021 and December 31, 2020 consisted of the following: September 30, December 31, 2021 2020 Land $ 300,000 $ 300,000 Buildings and Improvements 1,697,000 1,683,000 31.50 years Machinery and Equipment 22,035,000 21,738,000 5 - 8 years Finance Lease Machinery and Equipment 78,000 78,000 5 - 8 years Tools and Instruments 12,593,000 12,116,000 1.50 - 7 years Automotive Equipment 148,000 148,000 5 years Furniture and Fixtures 290,000 290,000 5 - 8 years Leasehold Improvements 882,000 855,000 Term of Lease Computers and Software 583,000 436,000 4 - 6 years Total Property and Equipment 38,606,000 37,644,000 Less: Accumulated Depreciation (30,147,000 ) (28,063,000 ) Property and Equipment, net $ 8,459,000 $ 9,581,000 Depreciation expense for the three months ended September 30, 2021 and 2020 was $688,000 and $576,000, respectively. Depreciation expense for the nine months ended September 30, 2021 and 2020 was $2,105,000 and $1,920,000, respectively. Assets held under financed lease obligations are depreciated over the shorter of their related lease terms or their estimated productive lives. Depreciation of assets under finance leases is included in depreciation expense for 2021 and 2020. Accumulated depreciation on these assets was approximately $32,000 and $28,000 as of September 30, 2021 and December 31, 2020, respectively.

Leases

Leases	9 Months Ended
	Sep. 30, 2021
Leases Abstract
LEASES	Note 4. LEASES The Company has operating and finance leases for leased office and manufacturing facilities and equipment leases. The Company leases certain machinery and equipment under finance leases and leases its offices and manufacturing facilities under operating leases. The leases have remaining lease terms of one to six years, some of which include options to extend or terminate the leases. September 30, December 31, 2021 2020 (unaudited) Weighted Average Remaining Lease Term - in years 4.87 5.53 Weighted Average discount rate - % 8.89 % 8.90 % The aggregate undiscounted cash flows of operating lease payments for leases with remaining terms greater than one year are as follows: Amount December 31, 2021 (remainder of the year) $ 249,000 December 31, 2022 1,007,000 December 31, 2023 1,038,000 December 31, 2024 1,070,000 December 31, 2025 992,000 Thereafter 730,000 Total future minimum lease payments 5,086,000 Less: discount (999,000 ) Total operating lease maturities 4,087,000 Less: current portion of operating lease liabilities (664,000 ) Total long term portion of operating lease maturities $ 3,423,000 On April 29, 2021 the Company entered into an agreement to surrender possession of the premises of the former corporate office, located in Hauppauge, NY. The Company made a one-time payment of 40% of the remaining balance due to the landlord as of May 1, 2021, of approximately $37,000. The Company had previously recognized a lease impairment of $275,000 to its Operating Lease Right-of-Use-Asset for the year-ended December 31, 2019.

Notes Payable, Related Party No

Notes Payable, Related Party Notes Payable and Finance Lease Obligations	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
NOTES PAYABLE, RELATED PARTY NOTES PAYABLE AND FINANCE LEASE OBLIGATIONS	Note 5. NOTES PAYABLE, RELATED PARTY NOTES PAYABLE AND FINANCE LEASE OBLIGATIONS Notes payable and finance lease obligations at September 30, 2021 and December 31, 2020 consisted of the following: September 30, December 31, 2021 2020 Revolving credit note payable to Sterling National Bank ("SNB") $ 13,463,000 $ 15,649,000 Term loan, SNB 4,411,000 5,558,000 Finance lease obligations 2,000 6,000 Loans Payable - financed assets 41,000 48,000 Related party notes payable, net of debt discount 6,412,000 6,012,000 Subtotal 24,329,000 27,273,000 Less: Current portion of notes payable, related party notes payable and finance lease obligations (14,285,000 ) (16,475,000 ) Notes payable, related party notes payable and finance lease obligations, net of current portion $ 10,044,000 $ 10,798,000 Sterling National Bank (“SNB”) On December 31, 2019, the Company entered into a loan facility (“SNB Facility”) with SNB expiring on December 30, 2022. The loan facility provides for a $16,000,000 revolving loan (“SNB revolving line of credit”) and a term loan (“SNB term loan”). In 2020, the Company entered into the First Amendment to the Loan and Security Agreement (“First Amendment”). The terms of the amendment increase the Term Loan to $5,685,000. The repayment terms of the term loan were amended to provide monthly principal installments in the amount of $67,679 beginning on December 1, 2020, with a final payment of any unpaid balance of principal and interest payable on December 30, 2022. Additionally, the date by which certain subordinated third-party notes need to be extended was changed from September 30, 2020 to November 30, 2020. The Company paid an amendment fee of $20,000. On June 14, 2021, the Company entered into the Second Amendment to the Loan and Security Agreement (“Second Amendment”). The purpose of the Second Amendment was to clarify the definition and calculation of Excess Cash Flow, and to confirm the extension of the due date for the payment of the Excess Cash Flow payment. For so long as the SNB term loan remains outstanding, if Excess Cash Flow (as defined) is a positive number for any fiscal year the Company shall pay to SNB an amount equal to the lesser of (i) twenty-five percent (25%) of the excess Cash flow for such fiscal year and (ii) the outstanding principal balance of the term loan. Such payment shall be made to SNB and applied to the outstanding principal balance of the term loan, on or prior to the close of the fiscal year immediately following such fiscal year. The amount of the Excess Cash Flow payment for the year ended December 31, 2020 was calculated to be $558,750. Per the terms of the Second Amendment, the Excess Cash Flow is payable in three instalments of $186,250 on each of June 15, 2021, June 30, 2021, and September 15, 2021. As of September 30, 2021, the Company paid this in full. Additionally, the Company paid an amendment fee of $10,000. The terms of the SNB Facility require that, among other things, the Company maintain a specified Fixed Charge Coverage Ratio of 1.25 to 1.00 at the end of each Fiscal Quarter beginning with the Fiscal Quarter ending March 31, 2020. In addition, the Company is limited in the amount of Capital Expenditures it can make. As of September 30, 2021, the Company was in compliance with all loan covenants. The SNB Facility also restricts the amount of dividends the Company may pay to its stockholders. Substantially all of the Company’s assets are pledged as collateral under the SNB Facility. The aggregate payments for the term note at September 30, 2021 are as follows: For the twelve months ending Amount December 31, 2021 (remainder of the year) $ 203,000 December 31, 2022 4,247,000 SNB Term Loan payable 4,450,000 Less: debt issuance costs (39,000 ) Total SNB Term Loan payable, net of debt issuance costs 4,411,000 Less: Current portion of SNB Term Loan payable (812,000 ) Total long-term portion of SNB Term Loan payable $ 3,599,000 Under the terms of the SNB Facility, both the SNB revolving line of credit and the SNB term loan bear an interest rate equal to 30-day LIBOR (with a 1% floor) plus 2.5%. The average interest rate charged during the period ended September 30, 2021 was 3.5%. As of September 30, 2021, the debt to SNB in the amount of $17,874,000 consisted of the SNB revolving line of credit note in the amount of $13,463,000 and the SNB term loan in the amount of $4,411,000. As of December 31, 2020, the debt to SNB in the amount of $21,207,000 consisted of the SNB revolving line of credit note in the amount of $15,649,000 and the SNB term loan in the amount of $5,558,000. Interest expense related to the SNB Facility amounted to approximately $181,000 and $147,000 for the three months ended September 30, 2021 and 2020, respectively, and $542,000 and $420,000 for the nine months ended September 30, 2021 and 2021, respectively. Loans Payable – Financed Assets The Company financed the purchase of a delivery vehicle in July 2020. The loan obligation totaled $41,000 and $48,000 as of September 30, 2021 and December 31, 2020, respectively. The loan bears no interest and a final payment is due and payable for all unpaid principal on July 20, 2026. Annual maturities of this loan are as follows: For the twelve months ending Amount December 31, 2021 (remainder of the year) $ 2,000 December 31, 2022 9,000 December 31, 2023 9,000 December 31, 2024 9,000 December 31, 2025 9,000 Thereafter 3,000 Loans Payable - financed assets 41,000 Less: Current portion (9,000 ) Long-term portion $ 32,000 Related Party Notes Payable Taglich Brothers, Inc. is a corporation co-founded by two directors of the Company, Michael and Robert Taglich. Taglich Brothers, Inc. has acted as placement agent for various debt and equity financing transactions and has received cash and equity compensation for their services. From 2016 through 2020, the Company entered into various subordinated notes payable and convertible subordinated notes payable with Michael and Robert Taglich. These notes resulted in proceeds to the Company totaling $6,550,000. In connection with these notes, Michael and Robert were issued a total of 355,082 shares of common stock and Taglich Brothers Inc. was issued promissory notes totaling $554,000 for placement agency fees. On January 1, 2021, the related party subordinated notes due to Michael and Robert Taglich and Taglich Brothers, Inc., were amended to include all accrued interest through December 31, 2020 in the principal balance of the notes. Per the terms of the SNB Facility, these notes remain subordinate to the SNB Facility and are due on July 1, 2023. Approximately $2,732,000 of the related party subordinated notes can be converted at the option of the holder into Common Stock of the Company at $0.93 per share, while the remaining $2,080,000 of the related party subordinated notes can be converted at the option of the holder into Common Stock of the Company at $1.50 per share. There are no principal payments due on these notes until such time. The note holders and the principal balance of the notes as amended on January 1, 2021 are shown below: Michael Taglich, Robert Taglich, Taglich Brothers, Chairman Director Inc. Total Convertible Subordinated Notes $ 2,666,000 $ 1,905,000 $ 241,000 $ 4,812,000 Subordinated Notes 1,250,000 350,000 - 1,600,000 Total $ 3,916,000 $ 2,255,000 $ 241,000 $ 6,412,000 For the three and nine months ended September 30, 2021, no principal payments have been made on these notes and the principal balances remain unchanged from the table above. Interest expense for the three months ended September 30, 2021 and 2020 on all related party notes payable was $126,000 and $125,000, respectively, and $376,000 and $378,000 for the nine months ended September 30, 2021 and 2020, respectively. Convertible Notes Payable – Third Parties As of both September 30, 2021 and December 31, 2020, the notes payable to third parties totaled $0 as the notes were converted into shares of common stock in 2020. Interest incurred on these notes amounted to approximately $38,000 and $118,000 for the three and nine months ended September 30, 2020, respectively. Amortization of debt discount on these notes amounted to approximately $0 and $7,000 for the three and nine months ended September 30, 2020, respectively. These costs are included in interest and financing costs in the Condensed Consolidated Statement of Operations.

Liability Related to the Sale o

Liability Related to the Sale of Future Proceeds from Disposition of Subsidiary	9 Months Ended
	Sep. 30, 2021
Liability Related To Sale Of Future Proceeds From Disposition Of Subsidiary [Abstract]
LIABILITY RELATED TO THE SALE OF FUTURE PROCEEDS FROM DISPOSITION OF SUBSIDIARY	NOTE 6. LIABILITY RELATED TO THE SALE OF FUTURE PROCEEDS FROM DISPOSITION OF SUBSIDIARY In connection with the sale of the Company’s wholly-owned subsidiary, AMK Welding, Inc. (“AMK”) to Meyer Tool, Inc., (“Meyer”) in 2017, Meyer was obligated to pay the Company within 30 days after the end of each calendar quarter, commencing April 1, 2017, an amount equal to five (5%) percent of the net sales of AMK for that quarter until the aggregate payments made to the Company (the “Meyer Agreement”) equals $1,500,000 (the “Maximum Amount”). In order to increase liquidity, on January 15, 2019, the Company entered into a “Purchase Agreement” with 15 accredited investors (the “Purchasers”), including Michael and Robert Taglich, pursuant to which the Company assigned to the Purchasers all of its rights, title and interest to the remaining $1,137,000 of the $1,500,000 in payments due from Meyer for the sale of AMK (the “Remaining Amount”) for an immediate payment of $800,000, including $100,000 from each of Michael and Robert Taglich, and $75,000 for the benefit of the children of Michael Taglich. The timing of the payments is based upon the net sales of AMK. If the Purchasers have not received the entire Remaining Amount by March 31, 2023, they have the right to demand payment of their pro rata portion of the unpaid Remaining Amount from the Company (“Put Right”). To the extent the Purchasers exercise their Put Right, the remaining payments from Meyer will be retained by the Company. The Company recognized $79,000 and $91,000 of non-cash income for the three months ended September 30, 2021 and 2020, respectively, and $274,000 and $302,000 of non-cash income for the nine months ended September 30, 2021 and 2020, respectively, reflected in “other income, net” on the condensed consolidated statements of operations and recorded $24,000 and $26,000 of related non-cash interest expense related to the Purchase Agreement for the three months ended September 30, 2021 and 2020, respectively, and $82,000 and $90,000 for the nine months ended September 30, 2021 and 2020, respectively. The table below shows the activity within the liability account for the nine months ended September 30, 2021 and the year ended December 31, 2020: September 30, December 31, (Unaudited) Liabilities related to sale of future proceeds from disposition of subsidiaries - beginning balance $ 322,000 $ 602,000 Non-Cash other income recognized (274,000 ) (402,000 ) Non-Cash interest expense recognized 82,000 122,000 Liabilities related to sale of future proceeds from disposition of subsidiary - ending balance 130,000 322,000 Less: unamortized transaction costs (3,000 ) (3,000 ) Liability related to sale of future proceeds from disposition of subsidiary, net $ 127,000 $ 319,000

Stockholders' Equity

Stockholders' Equity	9 Months Ended
	Sep. 30, 2021
Stockholders' Equity Note [Abstract]
STOCKHOLDERS' EQUITY	Note 7. STOCKHOLDERS’ EQUITY Common Stock – Sale of Securities The Company issued 39,983 and 41,915 shares of common stock in payment of director fees totaling $52,000 and $58,000 for the three months ended September 30, 2021 and 2020, respectively, and 119,335 and 132,812 shares totaling $156,000 and $159,000 for the nine months ended September 30, 2021 and 2020, respectively. Additionally, the Company issued 51,224 shares of common stock upon the cashless exercise of stock options during the nine months ended September 30, 2021. In January 2020, the Company issued and sold 419,597 shares of our common stock for gross proceeds of $984,000 pursuant to a Form S-3 filed on October 10, 2019 as updated on January 15, 2020. Costs of the sale amounted to $145,000. During the nine months ended September 30, 2020, the Company issued 590,243 shares of common stock to convert third party subordinated debt totaling $885,000 to equity. On or about October 1, 2021, the Company issued 50,476 shares of common stock in payment of directors’ fees totaling $54,000. Issuance of Stock Options On January 11, 2021, the Company granted to its directors, stock options to purchase an aggregate of 70,000 shares of the Company’s common stock at a price of $1.32 per share. The options expire on the seventh anniversary of the grant date and vest over a term of one year. On March 24, 2021, the Company granted to certain members of management and certain employees, stock options to purchase an aggregate of 327,500 shares of the Company’s common stock at a price of $1.39 per share. The options expire on the fifth anniversary of the grant date and vest over a term of three years. On July 30, 2021, the Company granted to certain members of management and certain employees, stock options to purchase an aggregate of 415,000 shares of the Company’s common stock at a price of $1.22 per share. The options expire on the fifth anniversary of the grant date and vest over a term of one to three years.

Contingencies

Contingencies	9 Months Ended
	Sep. 30, 2021
Loss Contingency [Abstract]
CONTINGENCIES	Note 8. CONTINGENCIES A number of actions have been commenced against the Company by vendors, landlords and former landlords, including a third party claim as a result of an injury suffered on a portion of a leased property not occupied by the Company. As certain portions of these claims represent amounts included in accounts payable they are not specifically discussed herein. Contract Pharmacal Corp. (“Contact Pharmacal”) commenced an action on October 2, 2018, relating to a Sublease entered into between the Company and Contract Pharmacal in May 2018 with respect to the property at 110 Plant Avenue, Hauppauge, New York. In the action Contract Pharmacal originally sought damages in excess of $1,000,000 for the Company’s failure to make the entire premises available by the Sublease commencement date. On July 8, 2021, the Court denied Contract Pharmacal’s Motion for Summary Judgement. In the Order, the Court granted Contract Pharmacal’s Motions to drop its claim for specific performance and to amend its Complaint to reduce its claim for damages to $700,000. The Company continues to dispute the validity of the claims asserted by Contract Pharmacal and believes it has meritorious defenses to those claims. As of September 30, 2021, it is not possible to estimate if a loss will be incurred, as such there has been no accrual. From time to time the Company may be engaged in various lawsuits and legal proceedings in the ordinary course of business. Currently management is not aware of any legal proceedings the ultimate outcome of which, in its judgment based on information currently available, would have a material adverse effect on the Company’s business, financial condition or operating results. There are no proceedings in which any of the Company’s directors, officers or affiliates, or any registered or beneficial stockholder of its common stock, is an adverse party or has a material interest averse to our interest.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2021
Income Tax Disclosure [Abstract]
INCOME TAXES	Note 9. INCOME TAXES The Company recorded no income tax expense for the three and nine months ended September 30, 2021 and 2020 because the estimated annual effective tax rate was zero. In determining the estimated annual effective income tax rate, the Company analyzes various factors, including projections of the Company’s annual earnings and taxing jurisdictions in which the earnings will be generated, the impact of state and local income taxes, the ability to use tax credits and net operating loss carry forwards, and available tax planning alternatives. As a result of the passage of the CARES Act, the Company filed for a net operating loss carryback claim of $1,416,000 in March 2020. The refund was received in April 2020. As of September 30, 2021 and December 31, 2020, the Company provided a full valuation allowance against its net deferred tax assets since the Company believes it is more likely than not that its deferred tax assets will not be realized.

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 30, 2021
Segment Reporting [Abstract]
SEGMENT REPORTING	Note 10. SEGMENT REPORTING In accordance with FASB ASC 280, “Segment Reporting” (“ASC 280”), the Company discloses financial and descriptive information about its reportable operating segments. Operating segments are components of an enterprise about which separate financial information is available and regularly evaluated by the chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company follows ASC 280, which establishes standards for reporting information about operating segments in annual and interim financial statements, and requires that companies report financial and descriptive information about their reportable segments based on a management approach. ASC 280 also establishes standards for related disclosures about products and services, geographic areas and major customers. The Company currently divides its operations into two operating segments: Complex Machining, which consists of AIM and NTW; and Turbine Engine Components, which consists of Sterling. Along with its operating subsidiaries, the Company reports the results of its corporate division as an independent segment. The accounting policies of each of the segments are the same as those described in the Summary of Significant Accounting Policies. Intersegment transfers are recorded at the transferor’s cost, and there is no intercompany profit or loss on intersegment transfers. Management evaluates performance based on revenue, gross profit contribution and assets employed. Financial information about the Company’s reporting segments for the three and nine months ended September 30, 2021 and 2020 are as follows: For the Three Months For the Nine Months Ended September 30, Ended September 30, 2021 2020 2021 2020 (unaudited) (unaudited) (unaudited) (unaudited) COMPLEX MACHINING Net Sales $ 13,043,000 $ 12,423,000 $ 38,992,000 $ 31,795,000 Gross Profit 2,022,000 1,735,000 5,966,000 4,584,000 Income before benefit from income taxes 1,420,000 912,000 3,973,000 2,072,000 Assets 49,275,000 52,963,000 49,275,000 52,963,000 TURBINE ENGINE COMPONENTS Net Sales 1,311,000 1,239,000 4,527,000 3,808,000 Gross (loss) Profit (8,000 ) (79,000 ) 448,000 (133,000 ) Loss before benefit from income taxes (119,000 ) (251,000 ) (20,000 ) (594,000 ) Assets 3,443,000 3,941,000 3,443,000 3,941,000 CORPORATE Net Sales - - - - Gross Profit - - - - Loss before benefit from income taxes (1,367,000 ) (1,138,000 ) (3,932,000 ) (3,895,000 ) Assets 803,000 1,860,000 803,000 1,860,000 CONSOLIDATED Net Sales 14,354,000 13,662,000 43,519,000 35,603,000 Gross Profit 2,014,000 1,656,000 6,414,000 4,451,000 (Loss) Income before benefit from income taxes (66,000 ) (477,000 ) 21,000 (2,417,000 ) Benefit from Income Taxes - - - (1,414,000 ) Net (Loss) Income (66,000 ) (477,000 ) 21,000 (1,003,000 ) Assets $ 53,521,000 $ 58,764,000 $ 53,521,000 $ 58,764,000

Accounting Policies, by Policy

Accounting Policies, by Policy (Policies)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Inventory Valuation	Inventory Valuation For annual periods, the Company values inventory at the lower of cost on a first-in-first-out basis or estimated net realizable value. The Company does not take physical inventories at interim quarterly reporting periods. For interim periods, substantially all of the inventory value has been estimated using a gross profit percentage based on annual gross profit percentages of the immediately preceding year as applied to the net sales of the current period. During the three and nine months ended September 30, 2021, the Company increased its estimate of its gross profit percentage from the percentage for the prior year based on the better absorption of Manufacturing Overhead which results from increased sales. Adjustments to reconcile the annual physical inventory to the Company’s records are recorded in the fourth quarter.
Credit and Concentration Risks	Credit and Concentration Risks There were two customers that represented 67.7% and three customers that represented 70.6% of total net sales for the three months ended September 30, 2021 and 2020, respectively. This is set forth in the table below. Customer Percentage of Sales September 30, September 30, (Unaudited) (Unaudited) 1 41.6 % 23.2 % 2 26.1 % 25.8 % 3 * 21.6 % * Customer was less than 10% of sales for the three months ended September 30, 2021. There were three customers that represented 75.5% and 74.2% of total sales for the nine months ended September 30, 2021 and 2020, respectively. This is set forth in the table below. Customer Percentage of Sales September 30, September 30, (Unaudited) (Unaudited) 1 36.8 % 28.2 % 2 26.2 % 32.1 % 3 12.5 % 13.9 % There were two customers that represented 68.9% and three customers that represented 80.3% of gross accounts receivable at September 30, 2021 and December 31, 2020, respectively. This is set forth in the table below. Percentage of Receivables Customer September 30, December 31, (Unaudited) 1 53.5 % 57.1 % 2 15.4 % * 3 ** 12.0 % 4 ** 11.2 % * Customer was less than 10% of accounts receivable at December 31, 2020. ** Customer was less than 10% of accounts receivable at September 30, 2021. Cash and Cash Equivalents During the year, the Company had occasionally maintained balances in its bank accounts that were in excess of the FDIC insurance limit. The Company has not experienced any losses on these accounts. Major Suppliers The Company has several key sole-source suppliers of various parts that are important for one or more of its products. These suppliers are its only source for such parts and, therefore, in the event any of them were to go out of business or be unable or unwilling to provide parts for any reason, its business could be severely harmed. To date, global supply chain constraints that have been impacting the aerospace and defense industry have not materially impacted our ability to source parts or operate our business.
Leases	Leases The Company accounts for leases under ASC 842, “Leases.” All leases are required to be recorded on the balance sheet and are classified as either operating leases or finance leases. The lease classification affects the expense recognition in the income statement. Operating lease charges are recorded entirely in operating expenses. Finance lease charges are split, where amortization of the right-of- use asset is recorded in operating expenses and an implied interest component is recorded in interest expense. See Note 4.
Earnings (Loss) per share	Earnings (Loss) per share Basic earnings (loss) per share (“EPS”) is computed by dividing the net income (loss) applicable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. For purposes of calculating diluted earnings per common share, the numerator includes net income plus interest on convertible notes payable assumed converted as of the first day of the period. The denominator includes both the weighted-average number of shares of common stock outstanding during the period and the number of common stock equivalents if the inclusion of such common stock equivalents is dilutive. Dilutive common stock equivalents potentially include stock options and warrants using the treasury stock method and convertible notes payable using the if-converted method. The following is the calculation of net (loss) income applicable to common stockholders utilized to calculate the EPS: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Net (Loss) Income per statement of operations $ (66,000 ) $ (477,000 ) $ 21,000 $ (1,003,000 ) Add: Convertible Note Interest for Potential Note Conversion - - 232,000 - (Loss) Income used to calculate diluted earnings per share $ (66,000 ) $ (477,000 ) $ 253,000 $ (1,003,000 ) The following is a reconciliation of the denominators of basic and diluted earnings per share computations: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Weighted average shares outstanding used to compute basic earnings per share 32,074,053 30,620,990 32,022,873 30,524,874 Effect of dilutive stock options and warrants - - 2,663,000 - Effect of dilutive convertible notes payable - - 4,057,892 - Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share 32,074,053 30,620,990 38,743,765 30,524,874 The following securities have been excluded from the calculation as the exercise price was greater than the average market price of the common shares: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Stock Options 1,178,000 163,000 186,000 163,000 Warrants 1,828,000 1,423,000 1,068,000 1,423,000 3,006,000 1,586,000 1,254,000 1,586,000 The following securities have been excluded from the calculation even though the exercise price was less than the average market price of the common shares during the periods set forth below because the effect of including these potential shares was anti-dilutive due to the net loss incurred during these periods: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Stock Options 1,330,000 1,696,000 - 1,696,000 Warrants - 760,000 - 760,000 Convertible notes payable 5,092,000 5,092,000 - 5,092,000 6,422,000 7,548,000 - 7,548,000
Stock-Based Compensation	Stock-Based Compensation The Company accounts for stock-based compensation in accordance with FASB ASC 718, “Compensation – Stock Compensation.” Under the fair value recognition provision of the ASC, stock-based compensation cost is estimated at the grant date based on the fair value of the award. The Company estimates the fair value of stock options and warrants granted using the Black-Scholes-Merton option pricing model. Stock based compensation expense for employees amounted to $147,000 and $52,000 for the three months ended September 30, 2021 and 2020, respectively, and $361,000 and $266,000 for the nine months ended September 30, 2021 and 2020, respectively. Stock compensation expense for directors amounted to $52,000 and $58,000 for the three months ended September 30, 2021 and 2020, respectively and $156,000 and $159,000 for the nine months ended September 30, 2021 and 2020, respectively. Stock compensation expense for employees and directors was included in operating expenses on the accompanying Condensed Consolidated Statements of Operations.
Goodwill	Goodwill Goodwill represents the excess of the acquisition cost of businesses over the fair value of the identifiable net assets acquired. The goodwill amount of $163,000 at September 30, 2021 and December 31, 2020 relates to the acquisition of NTW. Goodwill is not amortized, but is tested at least annually for impairment, or if circumstances occur that more likely than not reduce the fair value of the reporting unit below its carrying amount. The Company will test Goodwill for impairment at December 31, 2021, and has determined that there has been no impairment of goodwill as of December 31, 2020.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326) (“ASU 2016- 13”), which significantly changes how entities will account for credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. ASU 2016-13 replaces the existing incurred loss model with an expected credit loss model that requires entities to estimate an expected lifetime credit loss on most financial assets and certain other instruments. Under ASU 2016-13 credit impairment is recognized as an allowance for credit losses, rather than as a direct write-down of the amortized cost basis of a financial asset. The impairment allowance is a valuation account deducted from the amortized cost basis of financial assets to present the net amount expected to be collected on the financial asset. Once the new pronouncement is adopted by the Company, the allowance for credit losses must be adjusted for management’s current estimate at each reporting date. The new guidance provides no threshold for recognition of impairment allowance. Therefore, entities must also measure expected credit losses on assets that have a low risk of loss. For instance, trade receivables that are either current or not yet due may not require an allowance reserve under currently generally accepted accounting principles, but under the new standard, the Company will have to estimate an allowance for expected credit losses on trade receivables under ASU 2016-13. ASU 2016-13 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2022 for smaller reporting companies. Early adoption is permitted. The Company will evaluate the impact of ASU 2016-13 on the Company’s consolidated financial statements in a future period closer to the date of adoption. In August 2020, the FASB issued ASU No. 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU 2020-06), which is intended to address issues identified as a result of the complexity associated with applying GAAP for certain financial instruments with characteristics of liabilities and equity. For convertible instruments, ASU 2020-06 reduces the number of accounting models for convertible debt instruments and convertible preferred stock, and enhances information transparency by making targeted improvements to the disclosures for convertible instruments and earnings-per-share guidance on the basis of feedback from financial statement users. ASU 2020-06 is effective for fiscal years, and interim periods in those fiscal years, beginning after December 15, 2021. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods with those fiscal years. The Company is evaluating the effect of adopting this new accounting guidance on its financial statements. On January 1, 2021, the Company adopted ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. The adoption of ASU 2019-12 did not have a material impact on the Company’s condensed consolidated financial statements. On January 1, 2021, the Company adopted ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional guidance for a limited time to ease the potential burden in accounting for reference rate reform. In January 2021, the FASB issued ASU 2021-01, “Reference Rate Reform” (Topic 848): Scope: which clarified the scope of ASU 2020-04. The new guidance provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform. These amendments may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2022. The adoption of these ASU’s did not have a material impact on the Company’s condensed consolidated financial statements. In May 2021, the FASB issued ASU No. 2021-04, Earnings Per Share (Topic 260), Debt – Modifications and Extinguishments (Subtopic 470-50), Compensation – Stock Compensation (Topic 718), and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40): Issuer’s Accounting for Certain Modification or Exchanges of Freestanding Equity-Classified Written Call Options (“ASU 2021-04”), which will clarify and reduce diversity in practice. Specifically, the new standard includes a recognition model comprising four categories of transactions and corresponding accounting treatment for each category. The category that would apply to a modification or an exchange of an equity-classified warrant would depend on the substance of the modification transaction (e.g. a financing transaction to raise equity versus one to raise debt). This recognition model is premised on the idea that the accounting for the transaction should not differ from what it would have been had the issuer of the warrants paid cash instead of modifying the warrants. ASU 2021-04 will be effective for fiscal years beginning after December 15, 2021 and interim periods within those fiscal years. Early adoption is permitted. This ASU will be applied prospectively to modifications or exchanges occurring on or after the effective date of the ASU. The Company is currently evaluating the impact this new guidance will have on its condensed consolidated financial statements. The Company does not believe that any other recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying condensed consolidated financial statements.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Schedule of credit and concentration risks	Customer Percentage of Sales September 30, September 30, (Unaudited) (Unaudited) 1 41.6 % 23.2 % 2 26.1 % 25.8 % 3 * 21.6 % Customer Percentage of Sales September 30, September 30, (Unaudited) (Unaudited) 1 36.8 % 28.2 % 2 26.2 % 32.1 % 3 12.5 % 13.9 % Percentage of Receivables Customer September 30, December 31, (Unaudited) 1 53.5 % 57.1 % 2 15.4 % * 3 ** 12.0 % 4 ** 11.2 %
Schedule of calculation of net income (loss)	Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Net (Loss) Income per statement of operations $ (66,000 ) $ (477,000 ) $ 21,000 $ (1,003,000 ) Add: Convertible Note Interest for Potential Note Conversion - - 232,000 - (Loss) Income used to calculate diluted earnings per share $ (66,000 ) $ (477,000 ) $ 253,000 $ (1,003,000 )
Schedule of basic and diluted earnings per share	Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Weighted average shares outstanding used to compute basic earnings per share 32,074,053 30,620,990 32,022,873 30,524,874 Effect of dilutive stock options and warrants - - 2,663,000 - Effect of dilutive convertible notes payable - - 4,057,892 - Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share 32,074,053 30,620,990 38,743,765 30,524,874
Schedule of anti-dilutive securities	Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Stock Options 1,178,000 163,000 186,000 163,000 Warrants 1,828,000 1,423,000 1,068,000 1,423,000 3,006,000 1,586,000 1,254,000 1,586,000 Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (Unaudited) (Unaudited) (Unaudited) (Unaudited) Stock Options 1,330,000 1,696,000 - 1,696,000 Warrants - 760,000 - 760,000 Convertible notes payable 5,092,000 5,092,000 - 5,092,000 6,422,000 7,548,000 - 7,548,000

Property and Equipment (Tables)

Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2021
Property, Plant and Equipment [Abstract]
Schedule of property and equipment	September 30, December 31, 2021 2020 Land $ 300,000 $ 300,000 Buildings and Improvements 1,697,000 1,683,000 31.50 years Machinery and Equipment 22,035,000 21,738,000 5 - 8 years Finance Lease Machinery and Equipment 78,000 78,000 5 - 8 years Tools and Instruments 12,593,000 12,116,000 1.50 - 7 years Automotive Equipment 148,000 148,000 5 years Furniture and Fixtures 290,000 290,000 5 - 8 years Leasehold Improvements 882,000 855,000 Term of Lease Computers and Software 583,000 436,000 4 - 6 years Total Property and Equipment 38,606,000 37,644,000 Less: Accumulated Depreciation (30,147,000 ) (28,063,000 ) Property and Equipment, net $ 8,459,000 $ 9,581,000

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2021
Leases, Operating [Abstract]
Schedule of operating and finance leases	September 30, December 31, 2021 2020 (unaudited) Weighted Average Remaining Lease Term - in years 4.87 5.53 Weighted Average discount rate - % 8.89 % 8.90 %
Schedule of aggregate undiscounted cash flows of operating lease payments	Amount December 31, 2021 (remainder of the year) $ 249,000 December 31, 2022 1,007,000 December 31, 2023 1,038,000 December 31, 2024 1,070,000 December 31, 2025 992,000 Thereafter 730,000 Total future minimum lease payments 5,086,000 Less: discount (999,000 ) Total operating lease maturities 4,087,000 Less: current portion of operating lease liabilities (664,000 ) Total long term portion of operating lease maturities $ 3,423,000

Notes Payable, Related Party _2

Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Tables)	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Schedule of notes payable, related party notes payable and finance lease obligations	September 30, December 31, 2021 2020 Revolving credit note payable to Sterling National Bank ("SNB") $ 13,463,000 $ 15,649,000 Term loan, SNB 4,411,000 5,558,000 Finance lease obligations 2,000 6,000 Loans Payable - financed assets 41,000 48,000 Related party notes payable, net of debt discount 6,412,000 6,012,000 Subtotal 24,329,000 27,273,000 Less: Current portion of notes payable, related party notes payable and finance lease obligations (14,285,000 ) (16,475,000 ) Notes payable, related party notes payable and finance lease obligations, net of current portion $ 10,044,000 $ 10,798,000
Schedule of payments for the term note	For the twelve months ending Amount December 31, 2021 (remainder of the year) $ 203,000 December 31, 2022 4,247,000 SNB Term Loan payable 4,450,000 Less: debt issuance costs (39,000 ) Total SNB Term Loan payable, net of debt issuance costs 4,411,000 Less: Current portion of SNB Term Loan payable (812,000 ) Total long-term portion of SNB Term Loan payable $ 3,599,000
Schedule of SBA Loans future minimum loan payments	For the twelve months ending Amount December 31, 2021 (remainder of the year) $ 2,000 December 31, 2022 9,000 December 31, 2023 9,000 December 31, 2024 9,000 December 31, 2025 9,000 Thereafter 3,000 Loans Payable - financed assets 41,000 Less: Current portion (9,000 ) Long-term portion $ 32,000
Schedule of subordinated principal balance of the notes	Michael Taglich, Robert Taglich, Taglich Brothers, Chairman Director Inc. Total Convertible Subordinated Notes $ 2,666,000 $ 1,905,000 $ 241,000 $ 4,812,000 Subordinated Notes 1,250,000 350,000 - 1,600,000 Total $ 3,916,000 $ 2,255,000 $ 241,000 $ 6,412,000

Liability Related to the Sale_2

Liability Related to the Sale of Future Proceeds from Disposition of Subsidiary (Tables)	9 Months Ended
	Sep. 30, 2021
Liability Related To Sale Of Future Proceeds From Disposition Of Subsidiary [Abstract]
Schedule of activity within the liability account	September 30, December 31, (Unaudited) Liabilities related to sale of future proceeds from disposition of subsidiaries - beginning balance $ 322,000 $ 602,000 Non-Cash other income recognized (274,000 ) (402,000 ) Non-Cash interest expense recognized 82,000 122,000 Liabilities related to sale of future proceeds from disposition of subsidiary - ending balance 130,000 322,000 Less: unamortized transaction costs (3,000 ) (3,000 ) Liability related to sale of future proceeds from disposition of subsidiary, net $ 127,000 $ 319,000

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
	Sep. 30, 2021
Segment Reporting [Abstract]
Schedule of operating segments	For the Three Months For the Nine Months Ended September 30, Ended September 30, 2021 2020 2021 2020 (unaudited) (unaudited) (unaudited) (unaudited) COMPLEX MACHINING Net Sales $ 13,043,000 $ 12,423,000 $ 38,992,000 $ 31,795,000 Gross Profit 2,022,000 1,735,000 5,966,000 4,584,000 Income before benefit from income taxes 1,420,000 912,000 3,973,000 2,072,000 Assets 49,275,000 52,963,000 49,275,000 52,963,000 TURBINE ENGINE COMPONENTS Net Sales 1,311,000 1,239,000 4,527,000 3,808,000 Gross (loss) Profit (8,000 ) (79,000 ) 448,000 (133,000 ) Loss before benefit from income taxes (119,000 ) (251,000 ) (20,000 ) (594,000 ) Assets 3,443,000 3,941,000 3,443,000 3,941,000 CORPORATE Net Sales - - - - Gross Profit - - - - Loss before benefit from income taxes (1,367,000 ) (1,138,000 ) (3,932,000 ) (3,895,000 ) Assets 803,000 1,860,000 803,000 1,860,000 CONSOLIDATED Net Sales 14,354,000 13,662,000 43,519,000 35,603,000 Gross Profit 2,014,000 1,656,000 6,414,000 4,451,000 (Loss) Income before benefit from income taxes (66,000 ) (477,000 ) 21,000 (2,417,000 ) Benefit from Income Taxes - - - (1,414,000 ) Net (Loss) Income (66,000 ) (477,000 ) 21,000 (1,003,000 ) Assets $ 53,521,000 $ 58,764,000 $ 53,521,000 $ 58,764,000

Formation and Basis of Presen_2

Formation and Basis of Presentation (Details) - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2021
Accounting Policies [Abstract]
Generating operating income	$ 177,000	$ 644,000

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Dec. 31, 2020USD ($)
Summary of Significant Accounting Policies (Details) [Line Items]
Goodwill (in Dollars)	$ 163,000		$ 163,000		$ 163,000
Percentage of sales [Member]
Summary of Significant Accounting Policies (Details) [Line Items]
Number of customers	2	3	3	3
Concentration risk percentage	67.70%	70.60%	75.50%	74.20%
Net sales percentage	10.00%
Percentage of Receivables [Member]
Summary of Significant Accounting Policies (Details) [Line Items]
Number of customers			2		3
Concentration risk percentage			68.90%		80.30%
Net sales percentage			10.00%		10.00%
Director [Member]
Summary of Significant Accounting Policies (Details) [Line Items]
Stock based compensation expense (in Dollars)	$ 52,000	$ 58,000	$ 156,000	$ 159,000
Employees [Member]
Summary of Significant Accounting Policies (Details) [Line Items]
Stock based compensation expense (in Dollars)	$ 147,000	$ 52,000	$ 361,000	$ 266,000

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) - Schedule of credit and concentration risks	3 Months Ended			9 Months Ended			12 Months Ended
	Sep. 30, 2021		Sep. 30, 2020	Sep. 30, 2021		Sep. 30, 2020	Dec. 31, 2020
Customer One [Member]
Concentration Risk [Line Items]
Percentage of Sales	41.60%		23.20%	36.80%		28.20%
Percentage of Receivables				53.50%			57.10%
Customers Two [Member]
Concentration Risk [Line Items]
Percentage of Sales	26.10%		25.80%	26.20%		32.10%
Percentage of Receivables				15.40%				[1]
Customers Three [Member]
Concentration Risk [Line Items]
Percentage of Sales		[2]	21.60%	12.50%		13.90%
Percentage of Receivables					[3]		12.00%
Customers Four [Member]
Concentration Risk [Line Items]
Percentage of Receivables					[3]		11.20%
[1]	Customer was less than 10% of accounts receivable at December 31, 2020.
[2]	Customer was less than 10% of sales for the three months ended September 30, 2021.
[3]	Customer was less than 10% of accounts receivable at September 30, 2021.

Summary of Significant Accoun_5

Summary of Significant Accounting Policies (Details) - Schedule of calculation of net income (loss) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Schedule of calculation of net income (loss) [Abstract]
Net (Loss) Income per statement of operations	$ (66,000)	$ (477,000)	$ 21,000	$ (1,003,000)
Add: Convertible Note Interest for Potential Note Conversion			232,000
(Loss) Income used to calculate diluted earnings per share	$ (66,000)	$ (477,000)	$ 253,000	$ (1,003,000)

Summary of Significant Accoun_6

Summary of Significant Accounting Policies (Details) - Schedule of basic and diluted earnings per share - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Schedule of basic and diluted earnings per share [Abstract]
Weighted average shares outstanding used to compute basic earnings per share	32,074,053	30,620,990	32,022,873	30,524,874
Effect of dilutive stock options and warrants			2,663,000
Effect of dilutive convertible notes payable			4,057,892
Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share	32,074,053	30,620,990	38,743,765	30,524,874

Summary of Significant Accoun_7

Summary of Significant Accounting Policies (Details) - Schedule of anti-dilutive securities - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Exercise Price Was Greater Than The Average Market Price [Member]
Summary of Significant Accounting Policies (Details) - Schedule of anti-dilutive securities [Line Items]
Stock Options	1,178,000	163,000	186,000	163,000
Warrants	1,828,000	1,423,000	1,068,000	1,423,000
Exercise price	3,006,000	1,586,000	1,254,000	1,586,000
Exercise Price Was Less Than The Average Market Price [Member]
Summary of Significant Accounting Policies (Details) - Schedule of anti-dilutive securities [Line Items]
Stock Options	1,330,000	1,696,000		1,696,000
Warrants		760,000		760,000
Convertible notes payable	5,092,000	5,092,000		5,092,000
Total	6,422,000	7,548,000		7,548,000

Property and Equipment (Details

Property and Equipment (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Property and Equipment (Details) [Line Items]
Depreciation expense	$ 688,000	$ 576,000	$ 2,105,000	$ 1,920,000
Property, Plant and Equipment [Member]
Property and Equipment (Details) [Line Items]
Accumulated depreciation	$ 32,000		$ 32,000		$ 28,000

Property and Equipment (Detai_2

Property and Equipment (Details) - Schedule of property and equipment - USD ($)	12 Months Ended
	Dec. 31, 2020	Sep. 30, 2021
Property, Plant and Equipment [Line Items]
Total Property and Equipment	$ 37,644,000	$ 38,606,000
Less: Accumulated Depreciation	(28,063,000)	(30,147,000)
Property and Equipment, net	9,581,000	8,459,000
Land [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	300,000	300,000
Buildings and Improvements [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	$ 1,683,000	1,697,000
Useful Life, Property and Equipment	31.50
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	$ 21,738,000	22,035,000
Finance Lease Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	78,000	78,000
Tools and Instruments [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	12,116,000	12,593,000
Automotive Equipment [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	$ 148,000	148,000
Useful Life, Property and Equipment	5
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	$ 290,000	290,000
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	$ 855,000	882,000
Useful Life, Property and Equipment	Term of Lease
Computers and Software [Member]
Property, Plant and Equipment [Line Items]
Total Property and Equipment	$ 436,000	$ 583,000
Minimum [Member] | Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	5
Minimum [Member] | Finance Lease Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	5
Minimum [Member] | Tools and Instruments [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	1.50
Minimum [Member] | Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	5
Minimum [Member] | Computers and Software [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	4
Maximum [Member] | Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	8
Maximum [Member] | Finance Lease Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	8
Maximum [Member] | Tools and Instruments [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	7
Maximum [Member] | Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	8
Maximum [Member] | Computers and Software [Member]
Property, Plant and Equipment [Line Items]
Useful Life, Property and Equipment	6

Leases (Details)

Leases (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2019	May 01, 2021
Leases Abstract
Operating lease term description	The leases have remaining lease terms of one to six years, some of which include options to extend or terminate the leases.
Payment percentage			40.00%
Due to landlord			$ 37,000
Lease impairment		$ 275,000

Leases (Details) - Schedule of

Leases (Details) - Schedule of operating and finance leases	Sep. 30, 2021	Dec. 31, 2020
Schedule of operating and finance leases [Abstract]
Weighted Average Remaining Lease Term - in years	4 years 10 months 13 days	5 years 6 months 10 days
Weighted Average discount rate - %	8.89%	8.90%

Leases (Details) - Schedule o_2

Leases (Details) - Schedule of aggregate undiscounted cash flows of operating lease payments - Operating lease payments [Member]	9 Months Ended
	Sep. 30, 2021USD ($)
Leases (Details) - Schedule of aggregate undiscounted cash flows of operating lease payments [Line Items]
December 31, 2021 (remainder of the year)	$ 249,000
December 31, 2022	1,007,000
December 31, 2023	1,038,000
December 31, 2024	1,070,000
December 31, 2025	992,000
Thereafter	730,000
Total future minimum lease payments	5,086,000
Less: discount	(999,000)
Total operating lease maturities	4,087,000
Less: current portion of operating lease liabilities	(664,000)
Total long term portion of operating lease maturities	$ 3,423,000

Notes Payable, Related Party _3

Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - USD ($)	Jun. 14, 2021	Dec. 31, 2019	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) [Line Items]
Debt expiring date		Dec. 30, 2022
Loan and security agreement, description					the Company entered into the First Amendment to the Loan and Security Agreement (“First Amendment”). The terms of the amendment increase the Term Loan to $5,685,000. The repayment terms of the term loan were amended to provide monthly principal installments in the amount of $67,679 beginning on December 1, 2020, with a final payment of any unpaid balance of principal and interest payable on December 30, 2022. Additionally, the date by which certain subordinated third-party notes need to be extended was changed from September 30, 2020 to November 30, 2020. The Company paid an amendment fee of $20,000.
SNB facility, description	On June 14, 2021, the Company entered into the Second Amendment to the Loan and Security Agreement (“Second Amendment”). The purpose of the Second Amendment was to clarify the definition and calculation of Excess Cash Flow, and to confirm the extension of the due date for the payment of the Excess Cash Flow payment. For so long as the SNB term loan remains outstanding, if Excess Cash Flow (as defined) is a positive number for any fiscal year the Company shall pay to SNB an amount equal to the lesser of (i) twenty-five percent (25%) of the excess Cash flow for such fiscal year and (ii) the outstanding principal balance of the term loan. Such payment shall be made to SNB and applied to the outstanding principal balance of the term loan, on or prior to the close of the fiscal year immediately following such fiscal year. The amount of the Excess Cash Flow payment for the year ended December 31, 2020 was calculated to be $558,750. Per the terms of the Second Amendment, the Excess Cash Flow is payable in three instalments of $186,250 on each of June 15, 2021, June 30, 2021, and September 15, 2021. As of September 30, 2021, the Company paid this in full. Additionally, the Company paid an amendment fee of $10,000.				Under the terms of the SNB Facility, both the SNB revolving line of credit and the SNB term loan bear an interest rate equal to 30-day LIBOR (with a 1% floor) plus 2.5%. The average interest rate charged during the period ended September 30, 2021 was 3.5%.
Amendment fee					$ 10,000
Interest expense			$ 126,000	$ 125,000	$ 376,000	$ 378,000
Interest incurred on notes to third parties				38,000		118,000
Amortization of debt discount				0		7,000
Robert and Michael Taglich [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) [Line Items]
Loan facility, description					From 2016 through 2020, the Company entered into various subordinated notes payable and convertible subordinated notes payable with Michael and Robert Taglich. These notes resulted in proceeds to the Company totaling $6,550,000. In connection with these notes, Michael and Robert were issued a total of 355,082 shares of common stock and Taglich Brothers Inc. was issued promissory notes totaling $554,000 for placement agency fees. On January 1, 2021, the related party subordinated notes due to Michael and Robert Taglich and Taglich Brothers, Inc., were amended to include all accrued interest through December 31, 2020 in the principal balance of the notes. Per the terms of the SNB Facility, these notes remain subordinate to the SNB Facility and are due on July 1, 2023. Approximately $2,732,000 of the related party subordinated notes can be converted at the option of the holder into Common Stock of the Company at $0.93 per share, while the remaining $2,080,000 of the related party subordinated notes can be converted at the option of the holder into Common Stock of the Company at $1.50 per share. There are no principal payments due on these notes until such time. The note holders and the principal balance of the notes as amended on January 1, 2021 are shown below
Three Installments [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) [Line Items]
Excess cash flow paid			186,250		$ 558,750
Loan Payable – Financed Asset [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) [Line Items]
Loan obligation			41,000		41,000		$ 48,000
Convertible Notes Payable – Third Parties [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) [Line Items]
Interest payable related parties			0		0		0
SBA Loans [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) [Line Items]
Revolving credit loan term amount					$ 16,000,000
SNB Bank [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) [Line Items]
Loan facility, description					The terms of the SNB Facility require that, among other things, the Company maintain a specified Fixed Charge Coverage Ratio of 1.25 to 1.00 at the end of each Fiscal Quarter beginning with the Fiscal Quarter ending March 31, 2020.
Principal amount			17,874,000		$ 17,874,000		21,207,000
Revolving credit loan debt to SNB					13,463,000		15,649,000
Term loan amount					4,411,000		$ 5,558,000
Interest expense			$ 181,000	$ 147,000	$ 542,000	$ 420,000

Notes Payable, Related Party _4

Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of notes payable, related party notes payable and finance lease obligations - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Schedule of notes payable, related party notes payable and finance lease obligations [Abstract]
Revolving credit note payable to Sterling National Bank (“SNB”)	$ 13,463,000	$ 15,649,000
Term loan, SNB	4,411,000	5,558,000
Finance lease obligations	2,000	6,000
Loans Payable - financed assets	41,000	48,000
Related party notes payable, net of debt discount	6,412,000	6,012,000
Subtotal	24,329,000	27,273,000
Less: Current portion of notes payable, related party notes payable and finance lease obligations	(14,285,000)	(16,475,000)
Notes payable, related party notes payable and finance lease obligations, net of current portion	$ 10,044,000	$ 10,798,000

Notes Payable, Related Party _5

Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of payments for the term note - Term Loans [Member]	Sep. 30, 2021USD ($)
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of payments for the term note [Line Items]
December 31, 2021 (remainder of the year)	$ 203,000
December 31, 2022	4,247,000
SNB Term Loan payable	4,450,000
Less: debt issuance costs	(39,000)
Total SNB Term Loan payable, net of debt issuance costs	4,411,000
Less: Current portion of SNB Term Loan payable	(812,000)
Total long-term portion of SNB Term Loan payable	$ 3,599,000

Notes Payable, Related Party _6

Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of SBA Loans future minimum loan payments - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Schedule of SBA Loans future minimum loan payments [Abstract]
December 31, 2021 (remainder of the year)	$ 2,000
December 31, 2022	9,000
December 31, 2023	9,000
December 31, 2024	9,000
December 31, 2025	9,000
Thereafter	3,000
Loans Payable - financed assets	41,000	$ 48,000
Less: Current portion	(9,000)
Long-term portion	$ 32,000

Notes Payable, Related Party _7

Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of subordinated principal balance of the notes	Sep. 30, 2021USD ($)
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of subordinated principal balance of the notes [Line Items]
Convertible Subordinated Notes	$ 4,812,000
Subordinated Notes	1,600,000
Total	6,412,000
Michael Taglich, Chairman [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of subordinated principal balance of the notes [Line Items]
Convertible Subordinated Notes	2,666,000
Subordinated Notes	1,250,000
Total	3,916,000
Robert Taglich, Director [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of subordinated principal balance of the notes [Line Items]
Convertible Subordinated Notes	1,905,000
Subordinated Notes	350,000
Total	2,255,000
Taglich Brothers, Inc. [Member]
Notes Payable, Related Party Notes Payable and Finance Lease Obligations (Details) - Schedule of subordinated principal balance of the notes [Line Items]
Convertible Subordinated Notes	241,000
Subordinated Notes
Total	$ 241,000

Liability Related to the Sale_3

Liability Related to the Sale of Future Proceeds from Disposition of Subsidiary (Details) - USD ($)	Jan. 15, 2019	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Liability Related To Sale Of Future Proceeds From Disposition Of Subsidiary [Abstract]
Sale of subsidiary, description				In connection with the sale of the Company’s wholly-owned subsidiary, AMK Welding, Inc. (“AMK”) to Meyer Tool, Inc., (“Meyer”) in 2017, Meyer was obligated to pay the Company within 30 days after the end of each calendar quarter, commencing April 1, 2017, an amount equal to five (5%) percent of the net sales of AMK for that quarter until the aggregate payments made to the Company (the “Meyer Agreement”) equals $1,500,000 (the “Maximum Amount”).
Purchase agreement, description	the Company entered into a “Purchase Agreement” with 15 accredited investors (the “Purchasers”), including Michael and Robert Taglich, pursuant to which the Company assigned to the Purchasers all of its rights, title and interest to the remaining $1,137,000 of the $1,500,000 in payments due from Meyer for the sale of AMK (the “Remaining Amount”) for an immediate payment of $800,000, including $100,000 from each of Michael and Robert Taglich, and $75,000 for the benefit of the children of Michael Taglich. The timing of the payments is based upon the net sales of AMK. If the Purchasers have not received the entire Remaining Amount by March 31, 2023, they have the right to demand payment of their pro rata portion of the unpaid Remaining Amount from the Company (“Put Right”). To the extent the Purchasers exercise their Put Right, the remaining payments from Meyer will be retained by the Company.
Non-Cash other income		$ 79,000	$ 91,000	$ 274,000	$ 302,000
Non-Cash interest expense		$ 24,000	$ 26,000	$ 82,000	$ 90,000

Liability Related to the Sale_4

Liability Related to the Sale of Future Proceeds from Disposition of Subsidiary (Details) - Schedule of activity within the liability account - Subsidiary [Member] - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Liability Related to the Sale of Future Proceeds from Disposition of Subsidiary (Details) - Schedule of activity within the liability account [Line Items]
Liabilities related to sale of future proceeds from disposition of subsidiaries - beginning balance	$ 322,000	$ 602,000
Non-Cash other income recognized	(274,000)	(402,000)
Non-Cash interest expense recognized	82,000	122,000
Liabilities related to sale of future proceeds from disposition of subsidiary - ending balance	130,000	322,000
Less: unamortized transaction costs	(3,000)	(3,000)
Liability related to sale of future proceeds from disposition of subsidiary, net	$ 127,000	$ 319,000

Stockholders' Equity (Details)

Stockholders' Equity (Details) - USD ($)	Jan. 11, 2021	Jan. 15, 2020	Oct. 01, 2021	Jul. 30, 2021	Mar. 24, 2021	Jan. 31, 2020	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Stockholders' Equity (Details) [Line Items]
Issuance of common stock							39,983	41,915	119,335	132,812
Directors’ fees (in Dollars)							$ 52,000	$ 58,000	$ 156,000	$ 159,000
Common stock share									51,224
Issuance of common stock, shares						419,597
Issuance of common stock (in Dollars)						$ 984,000
Costs of sales (in Dollars)		$ 145,000
Common stock issued for directors fees, shares									590,243
Subordinated debt (in Dollars)									$ 885,000
Aggregate of stock options	70,000			415,000	327,500
Common stock price per share (in Dollars per share)	$ 1.32			$ 1.22	$ 1.39
Issuance of stock options, description	The options expire on the seventh anniversary of the grant date and vest over a term of one year.
Subsequent Event [Member]
Stockholders' Equity (Details) [Line Items]
Directors’ fees (in Dollars)			$ 54,000
Issuance of common stock, shares			50,476

Contingencies (Details)

Contingencies (Details) - USD ($)	Jul. 08, 2021	Sep. 30, 2021
Loss Contingency [Abstract]
Damages value		$ 1,000,000
Damages claim	$ 700,000

Income Taxes (Details)

Income Taxes (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Mar. 31, 2020
Income Tax Disclosure [Abstract]
Annual effective tax rate	0.00%	0.00%	0.00%	0.00%
Net operating loss carryback claim (in Dollars)					$ 1,416,000

Segment Reporting (Details) - S

Segment Reporting (Details) - Schedule of operating segments - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
COMPLEX MACHINING
Segment Reporting, Revenue Reconciling Item [Line Items]
Net Sales	$ 13,043,000	$ 12,423,000	$ 38,992,000	$ 31,795,000
Gross Profit (loss)	2,022,000	1,735,000	5,966,000	4,584,000
Income (Loss) before benefit from income taxes	1,420,000	912,000	3,973,000	2,072,000
Assets	49,275,000	52,963,000	49,275,000	52,963,000
TURBINE ENGINE COMPONENTS
Segment Reporting, Revenue Reconciling Item [Line Items]
Net Sales	1,311,000	1,239,000	4,527,000	3,808,000
Gross Profit (loss)	(8,000)	(79,000)	448,000	(133,000)
Income (Loss) before benefit from income taxes	(119,000)	(251,000)	(20,000)	(594,000)
Assets	3,443,000	3,941,000	3,443,000	3,941,000
CORPORATE
Segment Reporting, Revenue Reconciling Item [Line Items]
Net Sales
Gross Profit (loss)
Income (Loss) before benefit from income taxes	(1,367,000)	(1,138,000)	(3,932,000)	(3,895,000)
Assets	803,000	1,860,000	803,000	1,860,000
CONSOLIDATED
Segment Reporting, Revenue Reconciling Item [Line Items]
Net Sales	14,354,000	13,662,000	43,519,000	35,603,000
Gross Profit (loss)	2,014,000	1,656,000	6,414,000	4,451,000
Income (Loss) before benefit from income taxes	(66,000)	(477,000)	21,000	(2,417,000)
Benefit from Income Taxes				(1,414,000)
Net Income (loss)	(66,000)	(477,000)	21,000	(1,003,000)
Assets	$ 53,521,000	$ 58,764,000	$ 53,521,000	$ 58,764,000