Advanced Container (ACTX) 10-Q 24 May 21 2021 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2021	May 21, 2021
Document And Entity Information
Entity Registrant Name	ADVANCED CONTAINER TECHNOLOGIES, INC.,
Entity Central Index Key	0001096950
Document Type	10-Q
Document Period End Date	Mar. 31, 2021
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Shell Company	false
Small Business	true
Emerging Growth Company	true
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	No
Entity Filer Category	Non-accelerated Filer
Entity Ex Transition Period	false
Entity Interactive Data Current	Yes
Entity Common Stock, Shares Outstanding		51,621,524
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2021

Balance Sheets

Balance Sheets - USD ($)	Mar. 31, 2021	Dec. 31, 2020
CURRENT ASSETS:
Cash	$ 447,824	$ 333,368
Accounts receivable	201,624	130,104
Inventories	270,921	105,591
Prepaid expenses	5,500	1,338
Prepaid inventories	165,000	490,000
TOTAL CURRENT ASSETS	1,090,869	1,060,401
Property and equipment, net of accumulated depreciation of $147,309 and $140,762, respectively	46,434	52,981
Intangible assets, net of accumulated amortization of $313,264 and $248,062, respectively	2,118,736	2,183,938
Goodwill	1,020,314	1,020,314
Security deposits	8,699	8,699
TOTAL ASSETS	4,285,052	4,326,333
CURRENT LIABILITIES:
Accounts payable and accrued expenses	474,074	322,542
Accrued interest payable	102,320	113,008
Payroll liabilities payable	212,341	213,708
Customer deposits payable	63,723	754,345
Convertible notes payable	81,172	81,172
Notes payable	412,026	401,254
Loans payables - stockholders	397,199	383,152
TOTAL CURRENT LIABILITIES	1,742,855	2,269,181
LONG –TERM LIABILITIES:
Paycheck Protection Program note payable	14,494	36,234
Notes payable - non stockholder	41,285	47,687
Loan payable - stockholder	12,193	87,033
TOTAL LONG –TERM LIABILITIES	67,972	170,954
TOTAL LIABILITIES	1,810,827	2,440,135
SHAREHOLDERS' EQUITY DEFICIENCY
Preferred stock, without par value, issuable in series; 10,000,000 shares authorized; 1,000,000 shares designated Series A Convertible Preferred stock issued and outstanding
Common stock, $0.00001 par value, 100,000,000 shares authorized; 51,621,524 issued and outstanding at March 31, 2021, and 51,016,524 issued and outstanding at December 31, 2020	516	510
Additional paid In capital	8,285,076	7,400,082
Accumulated deficit	(5,811,367)	(5,514,394)
TOTAL STOCKHOLDERS' EQUITY (DEFICIENCY)	2,474,225	1,886,198
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 4,285,052	$ 4,326,333

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Office Equipment Net Depreciation	$ 147,309	$ 140,762
Intangible Assets, net of accumulated amortization	$ 313,264	$ 248,062
Preferred Stock Par Value	$ 0	$ 0
Preferred Stock Shares Authorized	10,000,000	10,000,000
Preferred Stock Shares Issued	1,000,000	1,000,000
Preferred Stock Shares Outstanding	1,000,000	1,000,000
Common Stock Par Value	$ 0.00001	$ 0.00001
Common Stock Shares Authorized	100,000,000	100,000,000
Common Stock Shares Issued	51,621,524	51,016,524
Common Stock Shares Outstanding	51,621,524	51,016,524

Statements of Operations

Statements of Operations - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Income Statement [Abstract]
Sales	$ 1,872,958	$ 556,129
Cost of sales	1,550,041	275,989
Gross profit	322,917	280,140
Operating expenses:
Advertising and marketing	14,827	13,349
Depreciation and amortization	70,440	24,674
Professional fees	77,073	64,890
Share Based Compernsation	270,000	149,037
Payroll	114,818	285,298
General and administrative	67,728	66,531
Total operating expenses	614,886	603,779
Loss from operations	(291,969)	(323,639)
Non-operating income (expense)
Interest expense	(5,004)	(9,753)
Total non-operating income (expense)	(5,004)	(9,753)
Loss before income taxes	(294,973)	(333,392)
Income tax provision
Net Loss	$ (296,973)	$ (333,392)
Basic and diluted loss per common share	$ (0.01)	$ (0.35)
Basic and diluted weighted average common shares outstanding	51,166,487	961,034

Statements of Cash Flows

Statements of Cash Flows - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
OPERATING ACTIVITIES:
Net loss	$ (296,973)	$ (333,392)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation	6,547	5,590
Amortization	65,202	20,202
Share-based Compensation	270,000	149,037
Increase (decrease) in cash from changes in operating activities:
Accounts receivable	(71,520)	(20,569)
Inventories	(165,330)	5,090
Prepaid expenses	(4,162)	8,967
Accounts payable and accrued expenses	151,532	133,089
Accrued interest payable	(10,688)	(429)
Payroll liabilities payable	(1,367)	32,741
Prepaid inventories	325,000
Customer deposits payable	(690,622)	(36,565)
NET CASH USED IN OPERATING ACTIVITIES	(422,381)	(36,239)
FINANCING ACTIVITIES:
Repayment of debt	(17,370)
Proceeds from issuance of common stock	615,000
Proceeds from stockholder loan		60,238
Repayment of stockholder loan	(60,793)	(10,604)
NET CASH PROVIDED BY FINANCING ACTIVITIES	536,837	49,634
INCREASE IN CASH	114,456	13,395
CASH - BEGINNING OF YEAR	333,368	17,982
CASH - END OF YEAR	447,824	31,377
Supplemental disclosure of cash flow information:
Interest paid	$ 18,081

Shareholders Equity

Shareholders Equity - USD ($)	Series A Preferred Stock	Common Stock	Additonal Paid-In Capital	Accumulated Deficit	Total
Beginning Balance, Shares at Dec. 31, 2019		961,034
Beginning Balance, Value at Dec. 31, 2019		$ 10	$ 5,906,213	$ (4,935,363)	$ 970,860
Share Based Compensation, Amount			149,037		149,037
Net loss				(333,392)	(333,392)
Ending Balance, Shares at Mar. 31, 2020		961,034
Ending Balance, Value at Mar. 31, 2020		$ 10	6,055,250	(5,268,755)	786,505
Beginning Balance, Shares at Dec. 31, 2020	1,000,000	51,016,524
Beginning Balance, Value at Dec. 31, 2020		$ 510	7,400,082	(5,514,394)	1,886,198
Issuance of common stock in private placement, Shares		485,000
Issuance of common stock in private placement, Value		$ 5	614,995		615,000
Common stock issued in directors agreement, Shares		120,000
Common stock issued in directors agreement, Value		$ 1	269,999		270,000
Net loss				(296,973)	(296,973)
Ending Balance, Shares at Mar. 31, 2021	1,000,000	51,621,524
Ending Balance, Value at Mar. 31, 2021		$ 516	$ 8,285,076	$ (5,811,367)	$ 2,474,225

Description of Business and Org

Description of Business and Organization	3 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business and Organization	Note 1 – Description of Business and Organization Advanced Container Technologies, Inc. (the “Company”) markets and sells two principal products: (i) beginning in 2021, GrowPods, which are specially modified insulated shipping containers manufactured by GP Solutions, Inc. (“GP”), in which plants, herbs and spices may be grown hydroponically in a controlled environment (“GrowPods”) and (ii) the Medtainer ® ® ® The Company was incorporated under the laws of the state of Florida on September 5, 1997, under the corporate name Synthetic Flowers of America, Inc. It changed its corporate name to Acology, Inc. on January 9, 2014; to Medtainer, Inc. on August 28, 2018; and to its present name on October 3, 2020. On October 9, 2020, the Company acquired all of the outstanding shares of Advanced Container Technologies, Inc., a California corporation (“Advanced”), from its shareholders pursuant to an Exchange Agreement, dated August 14, 2020, and amended on September 9, 2020 (as so amended, the “Exchange Agreement”), in exchange for 50,000,000 shares of the Company’s common stock (“Common Stock”). This exchange resulted in Advanced’s becoming the wholly owned subsidiary of the Company. In connection with this exchange, the Company acquired a Distributorship Agreement, dated August 6, 2020, by and between Advanced and GP (the “Distributorship Agreement”), under which Advanced has the exclusive right to purchase GrowPods and related products from GP at prices to be agreed to from time to time and to sell and distribute them within the United States and its territories for an initial term that will expire on December 31, 2025. ACT may renew the Distributorship Agreement indefinitely as long as it purchases the lesser of (i) 100 GrowPods or (ii) GP’s total output of GrowPods in the last calendar year of any term. On August 27, 2020, the Company incorporated Med X Technologies Inc. (“Med X”) in the State of California, and acquired all of its shares, such that it is the Company’s wholly owned subsidiary. The Company intends to transfer the assets used in its Medtainer ®

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2 – Summary of Significant Accounting Policies Accounting Principles The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial statements and with the instructions to Form 10-Q and Article 10 of Regulation S-X of the U.S. Securities and Exchange Commission (the “SEC”). Accordingly, they do not contain all information and footnotes required by GAAP for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited consolidated financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company as of March 31, 2021, and the results of operations and cash flows for the periods presented. The results of operations for the three months ended March 31, 2021, are not necessarily indicative of the operating results for the full fiscal year or for any future period. These unaudited consolidated financial statements should be read in conjunction with the financial statements and related notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020, filed with the SEC on April 16, 2021. Principles of Consolidation The unaudited consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are wholly owned. All intercompany balances and transactions have been eliminated. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make significant estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates. Certain of these estimates could be affected by external conditions, including those unique to the Company’s industries, and general economic conditions. It is possible that these external conditions could have an effect on the Company’s estimates that could cause actual results to differ materially from its estimates. The Company re-evaluates all of its accounting estimates at least quarterly based on these conditions and records adjustments when necessary. Significant estimates relied upon in preparing these consolidated financial statements include revenue recognition, accounts receivable reserves, inventory and related reserves, valuations and purchase price allocations related to business combinations, expected future cash flows used to evaluate the recoverability of long-lived assets, estimated fair values of long-lived assets used to record impairment charges related to intangible assets and goodwill, amortization periods, accrued expenses, share-based compensation, and recoverability of the Company’s net deferred tax assets and any related valuation allowance. Cash and Cash Equivalents The Company considers all short-term highly liquid investments with an original maturity at the date of purchase of 3 months or less to be cash equivalents. The Company had no cash equivalents at March 31, 2021, or December 31, 2020. Accounts Receivable Included in accounts receivable on the consolidated balance sheets are amounts primarily related to customers. The Company estimates losses on receivables based on known troubled accounts and historical experience of losses incurred. Receivables are considered impaired and written off when it is probable that all contractual payments due will not be collected in accordance with the terms of the related agreement. Based on experience and the judgment of management, the allowance for doubtful accounts was $0 as of March 31, 2021, and December 31, 2020. Inventories Inventories, which consist of products held for resale, are stated at the lower of cost (determined using the first-in first-out method) and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs to complete and dispose of the product. If the Company identifies excess, obsolete or unsalable items, its inventories are written down to their realizable value in the period in which the impairment is first identified. Shipping and handling costs incurred for inventory purchases and product shipments are recorded in cost of sales in the Company’s consolidated statements of operations. Property and Equipment Property and equipment are stated at cost less accumulated depreciation. Depreciation is provided for on a straight-line basis over the useful lives of the assets. Furniture and fixtures are depreciated over the useful life of 7 years. Machinery, equipment, and computers are depreciated over the useful life of 3 to 7 years. Leasehold improvements are depreciated over 2 years and were fully depreciated as of March 31, 2021. Expenditures for additions and improvements are capitalized and repairs and maintenance are expensed as incurred. Goodwill and Intangible Assets Goodwill and intangible assets that have indefinite useful lives are not amortized but are evaluated for impairment annually or whenever events or changes in circumstances indicate that their carrying value may not be recoverable. The Company records intangible assets at fair value, estimated using a discounted cash flow approach. The Company amortizes intangible assets that have finite lives using either the straight-line method or based upon estimated future cash flows to approximate the pattern in which the economic benefit of the assets will be utilized. Amortization is recorded over estimated useful lives ranging from 5 to 20 years. The Company reviews intangible assets subject to amortization at least quarterly to determine whether any adverse conditions exist or a change in circumstances has occurred that would indicate impairment or a change in the remaining useful life. Conditions that would indicate impairment and trigger a more frequent than quarterly impairment assessment include, but are not limited to, a significant adverse change in legal factors or business climate that could affect the value of an asset or an adverse action or assessment by a regulator. If the carrying value of an intangible asset exceeds its undiscounted cash flows, the Company will write down the carrying value to its fair value in the period identified. The Company generally calculates fair value as the present value of estimated future cash flows to be generated by the asset using a risk-adjusted discount rate. If the estimate of an intangible asset’s remaining useful life is changed, the Company will amortize its remaining carrying value prospectively over its revised remaining useful life. The Company has conducted its annual impairment test of goodwill during the fourth quarter of each year. The estimation of fair value requires significant judgment. There was no impairment of intangible assets, long-lived assets or goodwill during the quarters ended March 31, 2021, or March 31, 2020. Loss resulting from an impairment test will be reflected in operating income in the Company’s consolidated statements of operations. The annual impairment testing process is subjective and requires judgment at many points. If these estimates or their related assumptions change, the Company may be required to record impairment charges for these assets not previously recorded. Revenue Recognition In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 20l4-09, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net); Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing; Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients; and Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers. The new revenue standards became effective for the Company on January 1, 2018, and were adopted using the modified retrospective method. Adoption of the new revenue standards did not change the Company’s revenue recognition, as substantially all of its revenues continued to be recognized when a customer takes control of its product. As the Company did not identify any accounting changes that impacted the amount of reported revenues with respect to its product revenues, no adjustment to accumulated deficit was required upon adoption of the new revenue standards. Under the new revenue standards, the Company recognizes revenues when a customer obtains control of promised goods or services, or when they are shipped to a customer, in an amount that reflects the consideration that it expects to receive in exchange for them. The Company recognizes revenues following the five-step model prescribed under ASU No. 2014-09: (a) it identifies a contract with a customer; (b) it identifies the performance obligations in the contract; (c) it determines the transaction price; (d) it allocates the transaction price to the performance obligations in the contract; and (e) it recognizes revenues when (or as) it satisfies its performance obligation. Revenues from product sales are recognized when a customer obtains control of the Company’s product, which occurs at a point in time, typically upon shipment or delivery to the customer. The Company expenses incremental costs of obtaining a contract as and when incurred if the expected amortization period of the asset that it would have been recognized is 1 year or less or the amount is immaterial. Revenue from sales of items sold by the Company for the three months ended March 31, 2021, and March 31, 2020, and the percentage of sales allocable to each item to the Company’s total revenues were as follows: Three Months Ended March 31, 2021 2020 Revenues % Revenues % GrowPods and related products $ 1,325,000 71 $ — — Medtainers ® 224,831 12 344,499 62 Humidity pack inserts 151,254 8 125,410 23 Lighters 82,259 4 29,681 5 Plastic lighter holders 29,686 2 18,869 3 Shipping charges 17,844 1 17,072 3 Others 24,455 1 6,691 1 Printing 9,489 <1 13,254 2 Jars 8,140 <1 4,883 1 Total revenues $ 1,872,958 100 $ 556,129 100 The table below presents the customer deposits payable balance and the significant activity affecting customer deposits during the period ended March 31, 2021: Beginning balance at December 31, 2020 $ 754,345 New customer deposits received 16,223 Revenue recognized from customer deposits (706,845 ) Ending balance at March 31, 2021 $ 63,723 Share-Based Payments ASC 718, “ Compensation – Stock Compensation Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, Equity – Equity-Based Payments to Non-Employees. Fair Value Measurements The Company has adopted ASC Topic 820, Fair Value Measurements, The estimated fair value of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued expenses, is carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. The carrying amounts of the Company’s short- and long-term credit obligations approximate fair value because the effective yields on these obligations, which include contractual interest rates taken together with other features, such as concurrent issuances of warrants and/or embedded conversion options, are comparable to rates of returns for instruments of similar credit risk. ASC Topic 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 also establishes a fair-value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC Topic 820 describes three levels of inputs that may be used to measure fair value: Level 1 – Quoted prices in active markets for identical assets or liabilities. Level 2 – Quoted prices for similar assets and liabilities in active markets or inputs that are observable. Level 3 – Inputs that are unobservable (for example cash flow modeling inputs based on assumptions). Advertising Advertising and marketing expenses are charged to operations as incurred. These expenses totaled $14,827 and $13,349 for the three months ended March 31, 2021, and March 31, 2020, respectively. Income Taxes The Company uses the asset and liability method of accounting for income taxes in accordance with ASC Topic 740, Income Taxes. ASC Topic 740.10.30 clarifies accounting for uncertainty in income taxes recognized in an entity’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC Topic 740.10.40 provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. The Company has no material uncertain tax positions. Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in financial institutions, which at times, may exceed the federal deposit insurance coverage of $250,000. The Company has not experienced losses on these accounts and believes that it is not exposed to significant risks on such accounts. The Company has not experienced losses on accounts receivable and the Company believes that it is not exposed to significant risks with respect to them. Loss per Share Basic loss per share is calculated by dividing the Company's net loss attributable to Common Stock by the basic weighted average number of shares of Common Stock outstanding during the year. The diluted loss per share is calculated by dividing the Company’s net loss attributable to Common Stock by the diluted weighted average number of shares outstanding during the year. No dilutive effective was calculated for the three months ended March 31, 2021, and March 31, 2020, as the Company reported a net loss for each period. Recent Accounting Pronouncements In February 2016, FASB issued ASU 2016-02, Leases (Topic 842), In August 2020, FASB issued ASU 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): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity” In December 2019, FASB issued ASU 2019-12 , Income Taxes In June 2016, FASB issued ASU 2016-13 regarding ASC Topic 326, “Measurement of Credit Losses on Financial Instruments.” This pronouncement changes the impairment model for most financial assets and will require the use of an “expected loss” model for instruments measured at amortized cost. Under this model, entities will be required to estimate the lifetime expected credit loss on such instruments and record an allowance to offset the amortized cost basis of the financial asset, resulting in a net presentation of the amount expected to be collected on the financial asset. Subsequently, FASB issued an amendment to clarify the implementation dates and items that fall within the scope of this pronouncement. This standard is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Management is currently evaluating the effect on the Company’s financials. This update does not affect the Company's current financial statements. The Company does not believe there are any other recently issued, but not yet effective, accounting standards that would have a significant impact on the Company’s financial position or results of operations.

Going Concern

Going Concern	3 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Going Concern	Note 3 – Going Concern The consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. At March 31, 2021, the Company had a working capital deficit of $651,986 and an accumulated deficit of $5,811,367. In addition, the Company has generated operating losses since its inception and has notes payable that are currently in default. These factors, among others, raise substantial doubt about the ability of the Company to continue as a going concern. The ability of the Company to continue as going concern is dependent on the successful execution of its operating plan, which includes increasing sales of existing products and services, introducing additional products and services, controlling operating expenses, negotiating extensions of overdue notes payable and raising either debt or equity financing. There is no assurance that the Company will be able to implement any of the measures set forth in the previous sentence.

Intangible Assets

Intangible Assets	3 Months Ended
	Mar. 31, 2021
Intangible Assets
Intangible Assets	Note 4 – Intangible Assets Intangible assets, including patents and patent applications, a trademark and an internet domain related to Medtainer ® Intangible Assets and Goodwill at March 31, 2021 Description Weighted Average Estimated Useful Life Gross Carrying Value Accumulated Amortization Net Amount Distributorship Agreement 5 years $ 900,000 $ (85,932 ) $ 814,068 U.S. patents 15 years 435,000 (80,213 ) 354,787 U.S. patents 16 years 435,000 (77,198 ) 357,802 Canadian patents 20 years 260,000 (36,393 ) 223,607 European patents 14 years 30,000 (5,871 ) 24,129 Molds 15 years 150,000 (27,657 ) 122,343 Trademark Indefinite life 220,000 — 220,000 Domain name Indefinite life 2,000 — 2,000 Intangible totals $ 2,432,000 $ (313,264 ) $ 2,118,736 Goodwill $ 1,020,314 $ — $ 1,020,314 Intangible Assets and Goodwill at December 31, 2020 Description Weighted Average Estimated Useful Life Gross Carrying Value Accumulated Amortization Net Amount Distribution Agreement 5 years $ 900,000 $ (40,932 ) $ 859,068 U.S. patents 15 years 435,000 (73,085 ) 361,915 U.S. patents 15 years 435,000 (40,337 ) 364,663 Canadian patents 20 years 260,000 (33,159 ) 226,841 European patents 14 years 30,000 (5,349 ) 24,651 Molds 15 years 150,000 (25,200 ) 124,800 Trademark Indefinite life 220,000 — 220,000 Domain name Indefinite life 2,000 — 2,000 Intangible totals $ 2,432,000 $ (248,062 ) $ 2,183,938 Goodwill $ 1,020,314 $ — $ 1,020,314

Convertible Notes Payable and N

Convertible Notes Payable and Notes Payable	3 Months Ended
	Mar. 31, 2021
Debt Disclosure [Abstract]
Convertible Notes Payable and Notes Payable	Note 5 – Convertible Notes Payable and Promissory Notes Payable As of March 31, 2021, and December 31, 2020, the Company had the following Convertible Notes Payable and Notes Payable Outstanding: March 31, 2021 December 31, 2020 Accrued Accrued Principal Interest Principal Interest Convertible Notes Payable July 2014 $75,000 note, convertible into common stock at $5.00 per share, 10% interest, in default (a) $ 66,172 $ 31,983 $ 66,172 $ 30,329 July 2014 $15,000 note, convertible into Common Stock at $5.00 per share, 10% interest, in default (a) 15,000 11,500 15,000 10,625 $ 81,172 $ 43,483 $ 81,172 $ 40,954 Notes Payable February 2018 $298,959 note, due February 2019, $ 268,682 $ — $ 282,969 $ — 10% interest, in default (b) August 2015 $75,000 note, with one-time interest 61,163 57,960 64,246 71,356 charge of $75,000 (c) May 4, 2020 Paycheck Protection Note (d) 137,960 877 137,960 698 $ 467,805 $ 58,837 $ 485,175 $ 72,054 Total $ 548,977 $ 102,320 $ 566,347 $ 113,008 (a) The Company entered into promissory note conversion agreements in the aggregate amount of $90,000 and made payments of $8,828 on them as of March 31, 2021. These notes are convertible into shares of the Common Stock at a conversion price of $295 per share. The loans under these agreements are non-interest-bearing and have no stated maturity date; however, the Company is accruing interest at a 10% annual rate. (b) On February 22, 2018, the Company made a promissory note in the principal amount of $298,959 in favor of an unrelated party, which comprised the unpaid principal amount of $200,000 due on a prior note in favor of that party and $98,959 of accrued interest thereon. At March 31, 2021, there was no accrued interest. The outstanding balance of this note was $268,682 and $282,969 at March 31, 2021, and December 31, 2020, respectively. The Note was due on February 22, 2019. The Company is negotiating an extension. (c) On August 15, 2015, the Company made a promissory note in the principal amount of $150,000 in favor of an unrelated party. The note bears interest at 0.48% per annum, provided that the note is paid on or before maturity date, or 2 percentage points over the Wall Street Journal Prime Rate, if not repaid on or before the maturity date. Upon an event of default, as defined in the note, interest will be compounded daily. This note matured on August 11, 2016. During the year ended December 31, 2017, the holder of this note agreed to exchange $75,000 of principal and $663 of accrued interest on this note for 500,000 shares of common stock. This exchange was accounted for as an extinguishment of debt resulting in a loss of $683,337. In connection with this exchange, the Company agreed to pay the holder a fee of $75,000 in consideration of his waiving the default under the promissory note, as additional consideration for his agreeing to the exchange and as compensation for his foregoing the interest that would have accrued on the promissory note at the default rate but for the waiver. During the three months ended March 31, 2021, and year ended December 31, 2020, the Company made payments of $3,083 and $10,754, respectively, on the principle and $11,917 and $4,246, respectively, on interest accrued on this note. At March 31, 2021, and December 31, 2020, the balance of the note was $61,163 and $64,246, respectively, and accrued interest, including the $75,000 fee included therein, was $57,960 and $71,356, respectively. (d) The Company made this note pursuant to the terms of the Paycheck Protection Program authorized by the Coronavirus Aid, Relief, and Economic Security (CARES) Act and pursuant to all regulations and guidance promulgated or provided by the SBA and other Federal agencies that are now, or may become, applicable to the loan. The loan bears interest at the rate of 1% per annum. No interest or principal payment was required during the first six months after the loan amount was disbursed, although interest accrued during this period. After the deferral period and after taking into account any loan forgiveness applicable to the loan pursuant to the program, as approved by SBA, any remaining principal and accrued interest will be payable in substantially equal monthly installments over the remaining 18-month term of the loan, in the amount and according to the payment schedule provided by lender. The processes relating to loan forgiveness have not yet been finalized, as the result of which the Company has not applied for loan forgiveness, but the Company believes that when they are finalized and forgiveness is applied for, the entire loan will be forgiven. Interest of $877 and $698 had accrued on this note at March 31, 2021, and December 31, 2020.

Stockholders Equity

Stockholders Equity	3 Months Ended
	Mar. 31, 2021
Equity [Abstract]
Stockholders Equity	Note 6 – Stockholders’ Equity On March 22, 2019, the Company combined the outstanding shares of its common stock on the basis of 1 share of common stock for each 100 shares of common stock. Also, on that date, the Company reduced the number of shares of its authorized common stock from 6,000,000,000 to 100,000,000. The number of authorized shares of preferred stock remained 10,000,000. On October 8, 2020, the Company combined the outstanding shares of its common stock on the basis of 1 share of common stock for each 59 shares of common stock. The effects of these combinations have been retroactively applied to all periods presented in the unaudited consolidated financial statements. On July 30, 2020, the Company filed articles of amendment with the Secretary of State of the State of Florida, pursuant to which a series of 1,000,000 of its 10,000,000 authorized shares was created, which series is named Series A Convertible Preferred Stock (“Series A Preferred”). Each share of Series A Preferred is convertible into 0.3051 shares of Common Stock, has the dividend and distribution rights and redemption rights of the shares of Common Stock into which it is convertible, is not redeemable and has voting power equal to the combined voting power of all other of classes and series of the Company’s capital stock. On June 24, 2020, the Company issued all of the shares of this series to a related party in exchange for 305,085 shares of Common Stock. On October 9, 2020, the Company issued 50,000,000 shares of Common Stock to the shareholders of Advanced in exchange for their shares in Advanced pursuant to the Exchange Agreement. See Note 1. As a result, Advanced became the wholly owned subsidiary of the Company and the Company acquire the Distributorship Agreement, which has been valued as an intangible asset at $900,000 (see Note 4) and $86,293 in cash. Under the Distributorship Agreement, Advanced has the exclusive right acquire GrowPods and related products at prices to be agreed to from time to time and to sell and distribute them within the United States and its territories for an initial term that will expire on December 31, 2025. ACT may renew the Distributorship Agreement indefinitely as long as it purchases the lesser of (i) 100 GrowPods or (ii) GP’s total output of GrowPods in the last calendar year of any term. On January 1, 2021, the Company issued 120,000 shares of Common Stock to one of the Company’s directors, as compensation pursuant to a Director Agreement between the Company and him, dated as of that date. Between January 1, 2021, and March 31, 2021, the Company issued 485,000 shares of Common Stock to eight unrelated persons. The aggregate purchase price of these shares was $615,000.

Share Based Compensation

Share Based Compensation	3 Months Ended
	Mar. 31, 2021
Compensation Related Costs [Abstract]
Share Based Compensation	Note 7 – Share-Based Compensation The Company’s 2018 Incentive Award Plan (the “2018 Plan”) became effective on December 1, 2018, under which the Company was authorized to issue up to 33,898 shares of Common Stock as incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock awards, restricted stock unit awards, and other forms of compensation to employees, directors and consultants. In addition, the 2018 Plan provides for the grant of performance cash awards to employees, directors and consultants. All these shares were reserved on that date. On December 1, 2018, 22,882 shares of common stock were awarded to employees in the form of restricted shares and 5,678 shares of common stock were awarded to consultants as compensation. The fair value of these shares on the grant date was $0.59 per share. As of March 31, 2021, all of these shares had vested. The following table shows vesting for financial reporting purposes under GAAP of the shares issued under the 2018 Plan: Shares of Common Stock Vesting Dates Employees Consultants December 31, 2018 — 3,136 January 1, 2019 12,712 — March 31, 2019 — 2,542 June 30, 2019 5,085 — June 30, 2020 5,085 — Total vested at March 31, 2021 22,882 5,678 The Company made no awards in any other form during the three months ended March 31, 2021, and March 31, 2020. The Company expensed $0 and $149,037, for share-based compensation under the 2018 Plan in the three months ended March 31, 2021, and March 31, 2020, respectively, for its employees and consultants in the accompanying consolidated statements of operations. On January 1, 2021, the Company issued 120,000 shares of Common Stock to one of its directors, as compensation pursuant to a Director Agreement, dated as of that date and, in the three months ended March 31, 2021, the Company expensed $270,000 for share-based compensation in respect of these shares (see Note 6) based on their fair market value of $2.25 per share on their date of issuance.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Note 8 – Income Taxes As of December 31, 2020, the Company had approximately $1,800,000 and $1,700,000 of net operating loss carryforwards (“NOLs”) available to reduce future Federal and California, respectively, taxable income, which will begin to expire in 2031. In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on the assessment, management has established a full valuation allowance against all the deferred tax assets for every period because it is more likely than not that the deferred tax assets will not be realized. On December 22, 2017, the Tax Cuts and Jobs Act of 2017 (the “2017 Tax Act”) was enacted, making significant changes to the Internal Revenue Code. Changes include a federal corporate tax rate decrease from 35% to 21% for tax years beginning after December 31, 2017, the transition of U.S. international taxation from a worldwide tax system to a territorial system and a one-time transition tax on the mandatory deemed repatriation of foreign earnings. The Company has estimated its provision for income taxes in accordance with the 2017 Tax Act and the guidance available and, based thereon, has determined that the 2017 Tax Act does not change the determination that it is more likely than not that the deferred tax assets will not be realized. Accordingly, the Company has kept the full valuation allowance. As a result, the Company recorded no income tax expense during the three months ended March 31, 2021 and March 31, 2020.

Related-Party Transactions

Related-Party Transactions	3 Months Ended
	Mar. 31, 2021
Notes to Financial Statements
Related-Party Transactions	Note 9 – Related-Party Transactions Loans The Company has received loans from its officers and directors from time to time since its inception. During the three months ended March 31, 2021, the Company did not receive any loans from its officers and directors and repaid $60,793 of these loans. During the three months ended March 31, 2020, the Company received no such loans and repaid $10,603 of these loans. The balance of these loans at March 31, 2021, and December 31, 2020, was $409,392 and $470,185, respectively. All of these loans are non-interest-bearing and have no set maturity date. The Company expects to repay these loans when cash flows become available. Contracts The Company makes building lease payments and purchases products for resale from entities owned by a related party, who is also one of its executive officers. Payments made to related parties for the three months ended March 31, 2021, and March 31, 2020, were as follows: Three Months Ended March 31, 2021 2020 Building lease payments $ 27,201 $ 21,521 Purchase of products for resale 74,126 26,942 Total $ 101,327 $ 48,463 Director Compensation On January 1, 2021, the Company issued 120,000 shares of Common Stock to one of its directors, as compensation pursuant to a Director Agreement, dated as of that date. (See Note 7.)

Concentrations

Concentrations	3 Months Ended
	Mar. 31, 2021
Risks and Uncertainties [Abstract]
Concentrations	Note 10 – Concentrations For the three months ended March 31, 2021, two of the Company's customers accounted for approximately 46% and 25% of total revenues. For the three months ended March 31, 2020, two of the Company's customers accounted for 7% and 3% of total revenues. For the three months ended March 31, 2021, and March 31, 2020, the Company purchased approximately 82% and 48%, respectively, of its products for cost of goods sold from one distributor. For the three months ended March 31, 2021, two of the Company's customers accounted for 43% and 34% of its accounts receivables. As of December 31, 2020, two of the Company’s customers accounted for 87% and 5% of its accounts receivable.

Commitments

Commitments	3 Months Ended
	Mar. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments	Note 11 – Commitments On September 1, 2018, the Company entered into an operating lease with an entity owned by a related party calling for monthly payments of $8,641, plus 100% of operating expenses, for a term expiring on August 31, 2019. On September 1, 2019, this lease was amended such that it expired on August 31, 2020, and the rent thereunder was increased to $8,967 per month. On September 1, 2020, this lease was amended such that its term will expire on August 31, 2021, and the rent thereunder was increased to $9,007 per month. Under an agreement with the supplier of Medtainers ®

Subsequent events

Subsequent events	3 Months Ended
	Mar. 31, 2021
Subsequent Events [Abstract]
Subsequent events	Note 12 – Subsequent Events Management has evaluated all other subsequent events when the consolidated financial statements were issued and determined that none of them requires this disclosure herein.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Accounting Principles	Accounting Principles The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial statements and with the instructions to Form 10-Q and Article 10 of Regulation S-X of the U.S. Securities and Exchange Commission (the “SEC”). Accordingly, they do not contain all information and footnotes required by GAAP for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited consolidated financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company as of March 31, 2021, and the results of operations and cash flows for the periods presented. The results of operations for the three months ended March 31, 2021, are not necessarily indicative of the operating results for the full fiscal year or for any future period. These unaudited consolidated financial statements should be read in conjunction with the financial statements and related notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020, filed with the SEC on April 16, 2021.
Principles of Consolidation	Principles of Consolidation The unaudited consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are wholly owned. All intercompany balances and transactions have been eliminated.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make significant estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from those estimates. Certain of these estimates could be affected by external conditions, including those unique to the Company’s industries, and general economic conditions. It is possible that these external conditions could have an effect on the Company’s estimates that could cause actual results to differ materially from its estimates. The Company re-evaluates all of its accounting estimates at least quarterly based on these conditions and records adjustments when necessary. Significant estimates relied upon in preparing these consolidated financial statements include revenue recognition, accounts receivable reserves, inventory and related reserves, valuations and purchase price allocations related to business combinations, expected future cash flows used to evaluate the recoverability of long-lived assets, estimated fair values of long-lived assets used to record impairment charges related to intangible assets and goodwill, amortization periods, accrued expenses, share-based compensation, and recoverability of the Company’s net deferred tax assets and any related valuation allowance.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all short-term highly liquid investments with an original maturity at the date of purchase of 3 months or less to be cash equivalents. The Company had no cash equivalents at March 31, 2021, or December 31, 2020.
Accounts Receivable	Accounts Receivable Included in accounts receivable on the consolidated balance sheets are amounts primarily related to customers. The Company estimates losses on receivables based on known troubled accounts and historical experience of losses incurred. Receivables are considered impaired and written off when it is probable that all contractual payments due will not be collected in accordance with the terms of the related agreement. Based on experience and the judgment of management, the allowance for doubtful accounts was $0 as of March 31, 2021, and December 31, 2020.
Inventories	Inventories Inventories, which consist of products held for resale, are stated at the lower of cost (determined using the first-in first-out method) and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs to complete and dispose of the product. If the Company identifies excess, obsolete or unsalable items, its inventories are written down to their realizable value in the period in which the impairment is first identified. Shipping and handling costs incurred for inventory purchases and product shipments are recorded in cost of sales in the Company’s consolidated statements of operations.
Property and Equipment	Property and Equipment Property and equipment are stated at cost less accumulated depreciation. Depreciation is provided for on a straight-line basis over the useful lives of the assets. Furniture and fixtures are depreciated over the useful life of 7 years. Machinery, equipment, and computers are depreciated over the useful life of 3 to 7 years. Leasehold improvements are depreciated over 2 years and were fully depreciated as of March 31, 2021. Expenditures for additions and improvements are capitalized and repairs and maintenance are expensed as incurred.
Goodwill and Intangible Assets	Goodwill and Intangible Assets Goodwill and intangible assets that have indefinite useful lives are not amortized but are evaluated for impairment annually or whenever events or changes in circumstances indicate that their carrying value may not be recoverable. The Company records intangible assets at fair value, estimated using a discounted cash flow approach. The Company amortizes intangible assets that have finite lives using either the straight-line method or based upon estimated future cash flows to approximate the pattern in which the economic benefit of the assets will be utilized. Amortization is recorded over estimated useful lives ranging from 5 to 20 years. The Company reviews intangible assets subject to amortization at least quarterly to determine whether any adverse conditions exist or a change in circumstances has occurred that would indicate impairment or a change in the remaining useful life. Conditions that would indicate impairment and trigger a more frequent than quarterly impairment assessment include, but are not limited to, a significant adverse change in legal factors or business climate that could affect the value of an asset or an adverse action or assessment by a regulator. If the carrying value of an intangible asset exceeds its undiscounted cash flows, the Company will write down the carrying value to its fair value in the period identified. The Company generally calculates fair value as the present value of estimated future cash flows to be generated by the asset using a risk-adjusted discount rate. If the estimate of an intangible asset’s remaining useful life is changed, the Company will amortize its remaining carrying value prospectively over its revised remaining useful life. The Company has conducted its annual impairment test of goodwill during the fourth quarter of each year. The estimation of fair value requires significant judgment. There was no impairment of intangible assets, long-lived assets or goodwill during the quarters ended March 31, 2021, or March 31, 2020. Loss resulting from an impairment test will be reflected in operating income in the Company’s consolidated statements of operations. The annual impairment testing process is subjective and requires judgment at many points. If these estimates or their related assumptions change, the Company may be required to record impairment charges for these assets not previously recorded.
Revenue Recognition	Revenue Recognition In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 20l4-09, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net); Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing; Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients; and Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers. The new revenue standards became effective for the Company on January 1, 2018, and were adopted using the modified retrospective method. Adoption of the new revenue standards did not change the Company’s revenue recognition, as substantially all of its revenues continued to be recognized when a customer takes control of its product. As the Company did not identify any accounting changes that impacted the amount of reported revenues with respect to its product revenues, no adjustment to accumulated deficit was required upon adoption of the new revenue standards. Under the new revenue standards, the Company recognizes revenues when a customer obtains control of promised goods or services, or when they are shipped to a customer, in an amount that reflects the consideration that it expects to receive in exchange for them. The Company recognizes revenues following the five-step model prescribed under ASU No. 2014-09: (a) it identifies a contract with a customer; (b) it identifies the performance obligations in the contract; (c) it determines the transaction price; (d) it allocates the transaction price to the performance obligations in the contract; and (e) it recognizes revenues when (or as) it satisfies its performance obligation. Revenues from product sales are recognized when a customer obtains control of the Company’s product, which occurs at a point in time, typically upon shipment or delivery to the customer. The Company expenses incremental costs of obtaining a contract as and when incurred if the expected amortization period of the asset that it would have been recognized is 1 year or less or the amount is immaterial. Revenue from sales of items sold by the Company for the three months ended March 31, 2021, and March 31, 2020, and the percentage of sales allocable to each item to the Company’s total revenues were as follows: Three Months Ended March 31, 2021 2020 Revenues % Revenues % GrowPods and related products $ 1,325,000 71 $ — — Medtainers ® 224,831 12 344,499 62 Humidity pack inserts 151,254 8 125,410 23 Lighters 82,259 4 29,681 5 Plastic lighter holders 29,686 2 18,869 3 Shipping charges 17,844 1 17,072 3 Others 24,455 1 6,691 1 Printing 9,489 <1 13,254 2 Jars 8,140 <1 4,883 1 Total revenues $ 1,872,958 100 $ 556,129 100 The table below presents the customer deposits payable balance and the significant activity affecting customer deposits during the period ended March 31, 2021: Beginning balance at December 31, 2020 $ 754,345 New customer deposits received 16,223 Revenue recognized from customer deposits (706,845 ) Ending balance at March 31, 2021 $ 63,723
Share-Based Payments	Share-Based Payments ASC 718, “ Compensation – Stock Compensation Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, Equity – Equity-Based Payments to Non-Employees.
Fair Value Measurements	Fair Value Measurements The Company has adopted ASC Topic 820, Fair Value Measurements, The estimated fair value of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued expenses, is carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. The carrying amounts of the Company’s short- and long-term credit obligations approximate fair value because the effective yields on these obligations, which include contractual interest rates taken together with other features, such as concurrent issuances of warrants and/or embedded conversion options, are comparable to rates of returns for instruments of similar credit risk. ASC Topic 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 also establishes a fair-value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC Topic 820 describes three levels of inputs that may be used to measure fair value: Level 1 – Quoted prices in active markets for identical assets or liabilities. Level 2 – Quoted prices for similar assets and liabilities in active markets or inputs that are observable. Level 3 – Inputs that are unobservable (for example cash flow modeling inputs based on assumptions).
Advertising	Advertising Advertising and marketing expenses are charged to operations as incurred. These expenses totaled $14,827 and $13,349 for the three months ended March 31, 2021, and March 31, 2020, respectively.
Income Taxes	Income Taxes The Company uses the asset and liability method of accounting for income taxes in accordance with ASC Topic 740, Income Taxes. ASC Topic 740.10.30 clarifies accounting for uncertainty in income taxes recognized in an entity’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC Topic 740.10.40 provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. The Company has no material uncertain tax positions.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash accounts in financial institutions, which at times, may exceed the federal deposit insurance coverage of $250,000. The Company has not experienced losses on these accounts and believes that it is not exposed to significant risks on such accounts. The Company has not experienced losses on accounts receivable and the Company believes that it is not exposed to significant risks with respect to them.
Loss per Share	Loss per Share Basic loss per share is calculated by dividing the Company's net loss attributable to Common Stock by the basic weighted average number of shares of Common Stock outstanding during the year. The diluted loss per share is calculated by dividing the Company’s net loss attributable to Common Stock by the diluted weighted average number of shares outstanding during the year. No dilutive effective was calculated for the three months ended March 31, 2021, and March 31, 2020, as the Company reported a net loss for each period.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In February 2016, FASB issued ASU 2016-02, Leases (Topic 842), In August 2020, FASB issued ASU 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): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity” In December 2019, FASB issued ASU 2019-12 , Income Taxes In June 2016, FASB issued ASU 2016-13 regarding ASC Topic 326, “Measurement of Credit Losses on Financial Instruments.” This pronouncement changes the impairment model for most financial assets and will require the use of an “expected loss” model for instruments measured at amortized cost. Under this model, entities will be required to estimate the lifetime expected credit loss on such instruments and record an allowance to offset the amortized cost basis of the financial asset, resulting in a net presentation of the amount expected to be collected on the financial asset. Subsequently, FASB issued an amendment to clarify the implementation dates and items that fall within the scope of this pronouncement. This standard is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Management is currently evaluating the effect on the Company’s financials. This update does not affect the Company's current financial statements. The Company does not believe there are any other recently issued, but not yet effective, accounting standards that would have a significant impact on the Company’s financial position or results of operations.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2021
Summary Of Significant Accounting Policies Tables
Schedule of revenuees	Revenue from sales of items sold by the Company for the three months ended March 31, 2021 and March 31, 2020, and the percentage of sales allocable to each item to the Company’s total revenues were as follows: Three Months Ended March 31, 2021 2020 Revenues % Revenues % GrowPods and related products $ 1,325,000 71 $ — — Medtainers ® 224,831 12 $ 344,499 62 Humidity pack inserts 151,254 8 125,410 23 Lighters 82,259 4 29,681 5 Plastic lighter holders 29,686 2 18,869 3 Shipping charges 17,844 1 17,072 3 Others 24,455 1 6,691 1 Printing 9,489 <1 13,254 2 Jars 8,140 <1 4,883 1 Total revenues $ 1,872,958 100 $ 556,129 100
Schedule of customer deposits	The table below presents the customer deposits payable balance and the significant activity affecting customer deposits during the period ended March 31, 2021: Beginning balance at December 31, 2020 $ 754,345 New customer deposits received 16,223 Revenue recognized from customer deposits (706,845 ) Ending balance at March 31, 2021 $ 63,723

Intangible Assets (Tables)

Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	Intangible Assets and Goodwill at March 31, 2021 Description Weighted Average Estimated Useful Life Gross Carrying Value Accumulated Amortization Net Amount Distributorship Agreement 5 years $ 900,000 $ (85,932 ) $ 814,068 U.S. patents 15 years 435,000 (80,213 ) 354,787 U.S. patents 16 years 435,000 (77,198 ) 357,802 Canadian patents 20 years 260,000 (36,393 ) 223,607 European patents 14 years 30,000 (5,871 ) 24,129 Molds 15 years 150,000 (27,657 ) 122,343 Trademark Indefinite life 220,000 — 220,000 Domain name Indefinite life 2,000 — 2,000 Intangible totals $ 2,432,000 $ (313,264 ) $ 2,118,736 Goodwill $ 1,020,314 $ — $ 1,020,314 Intangible Assets and Goodwill at December 31, 2020 Description Weighted Average Estimated Useful Life Gross Carrying Value Accumulated Amortization Net Amount Distribution Agreement 5 years $ 900,000 $ (40,932 ) $ 859,068 U.S. patents 15 years 435,000 (73,085 ) 361,915 U.S. patents 15 years 435,000 (40,337 ) 364,663 Canadian patents 20 years 260,000 (33,159 ) 226,841 European patents 14 years 30,000 (5,349 ) 24,651 Molds 15 years 150,000 (25,200 ) 124,800 Trademark Indefinite life 220,000 — 220,000 Domain name Indefinite life 2,000 — 2,000 Intangible totals $ 2,432,000 $ (248,062 ) $ 2,183,938 Goodwill $ 1,020,314 $ — $ 1,020,314

Convertible Notes Payable and P

Convertible Notes Payable and Promissory Notes Payable (Tables)	3 Months Ended
	Mar. 31, 2021
Convertible Notes Payable And Promissory Notes Payable
Schedule of Convertible Notes Payable and Promissory Notes Payable	As of March 31, 2021, and December 31, 2020, the Company had the following Convertible Notes Payable and Notes Payable Outstanding: March 31, 2021 December 31, 2020 Accrued Accrued Principal Interest Principal Interest Convertible Notes Payable July 2014 $75,000 note, convertible into common stock at $5.00 per share, 10% interest, in default (a) $ 66,172 $ 31,983 $ 66,172 $ 30,329 July 2014 $15,000 note, convertible into Common Stock at $5.00 per share, 10% interest, in default (a) 15,000 11,500 15,000 10,625 $ 81,172 $ 43,483 $ 81,172 $ 40,954 Notes Payable February 2018 $298,959 note, due February 2019, $ 268,682 $ — $ 282,969 $ — 10% interest, in default (b) August 2015 $75,000 note, with one-time interest 61,163 57,960 64,246 71,356 charge of $75,000 (c) May 4, 2020 Paycheck Protection Note (d) 137,960 877 137,960 698 $ 467,805 $ 58,837 $ 485,175 $ 72,054 Total $ 548,977 $ 102,320 $ 566,347 $ 113,008

Share Based Compensation (Table

Share Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2021
Share Based Compensation Tables Abstract
Schedule of share based compensation	Schedule Of Share Based Compensation Shares of Common Stock Vesting Dates Employees Consultants December 31, 2018 — 3,136 January 1, 2019 12,712 — March 31, 2019 — 2,542 June 30, 2019 5,085 — June 30, 2020 5,085 — Total vested at March 31, 2021 22,882 5,678

Related-Party Transactions (Tab

Related-Party Transactions (Tables)	3 Months Ended
	Mar. 31, 2021
Related-party Transactions
Schedule of related party transactions	Payments made to related parties for the three months ended March 31, 2021, and March 31, 2020, were as follows: Three Months Ended March 31, 2021 2020 Building lease payments $ 27,201 $ 21,521 Purchase of products for resale 74,126 26,942 Total $ 101,327 $ 48,463

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Summary Of Significant Accounting Policies
GrowPods and related products, Revenue	$ 1,325,000
GrowPods and related products, Percentage	71.00%
Medtainers®, Revenue	$ 224,831	$ 344,499
Medtainers®, Percentage	12.00%	62.00%
Humidity pack inserts, Revenue	$ 151,254	$ 125,410
Humidity pack inserts, Percentage	8.00%	23.00%
Lighters, Revenue	$ 82,259	$ 29,681
Lighters, Percentage	4.00%	5.00%
Plastic lighter holders, Revenue	$ 29,686	$ 18,869
Plastic lighter holders, Percentage	2.00%	3.00%
Shipping charges, Revenue	$ 17,844	$ 17,072
Shipping charges, Percentage	1.00%	3.00%
Others, Revenue	$ 24,455	$ 6,691
Others, Percentage	1.00%	1.00%
Printing, Revenue	$ 9,489	$ 13,254
Printing, Percentage	1.00%	2.00%
Jars, Revenue	$ 8,140	$ 4,883
Jars, Percentage	1.00%	1.00%
Total revenues, Revenue	$ 1,872,958	$ 556,129
Total revenues, Percentage	100.00%	100.00%

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Customer Deposits (Details)	3 Months Ended
	Mar. 31, 2021USD ($)
Summary Of Significant Accounting Policies - Customer Deposits
Beginning balance at December 31, 2020	$ 754,345
New customer deposits received	16,223
Revenue recognized from customer deposits	(706,845)
Ending balance at March 31, 2021	$ 63,723

Going Concern (Details Narrativ

Going Concern (Details Narrative) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Working Capital Deficit	$ 651,986
Accumulated deficit	$ (5,811,367)	$ (5,514,394)

Intangible Assets (Details)

Intangible Assets (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Net Amount	$ 2,118,736	$ 2,183,938
Distribution Agreement
Weighted Average Estimated Useful Life	5 years	5 years
Gross Carrying Value	$ 900,000	$ 900,000
Accumulated Amortization	(85,932)	(40,932)
Net Amount	$ 814,068	$ 859,068
Certain US Patents 1
Weighted Average Estimated Useful Life	15 years	15 years
Gross Carrying Value	$ 435,000	$ 435,000
Accumulated Amortization	(80,213)	(73,085)
Net Amount	$ 354,787	$ 361,915
Certain US Patents 2
Weighted Average Estimated Useful Life	15 years	15 years
Gross Carrying Value	$ 435,000	$ 435,000
Accumulated Amortization	(77,198)	(40,337)
Net Amount	$ 357,802	$ 364,663
Certain Canadian Patents
Weighted Average Estimated Useful Life	20 years	20 years
Gross Carrying Value	$ 260,000	$ 260,000
Accumulated Amortization	(36,393)	(33,159)
Net Amount	$ 223,607	$ 226,841
Certain European Patents
Weighted Average Estimated Useful Life	14 years	14 years
Gross Carrying Value	$ 30,000	$ 30,000
Accumulated Amortization	(5,871)	(5,349)
Net Amount	$ 24,129	$ 24,651
Molds
Weighted Average Estimated Useful Life	15 years	15 years
Gross Carrying Value	$ 150,000	$ 2,000
Accumulated Amortization	(27,657)
Net Amount	122,343	2,000
Trademark
Gross Carrying Value	220,000	150,000
Accumulated Amortization		(25,200)
Net Amount	220,000	124,800
Domain Name
Gross Carrying Value	2,000	220,000
Accumulated Amortization
Net Amount	2,000	220,000
Intangible Totals
Gross Carrying Value	2,432,000	2,432,000
Accumulated Amortization	(313,264)	(248,062)
Net Amount	2,118,736	2,183,938
Goodwill
Gross Carrying Value	1,020,314	1,020,314
Accumulated Amortization
Net Amount	$ 1,020,314	$ 1,020,314

Convertible Notes Payable and_2

Convertible Notes Payable and Promissory Notes Payable (Details) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
July 2014 $75,000 note, convertible into common stock at $5.00 per share, 10% interest, currently in default (a)
Principal	$ 66,172	$ 66,172
Accrued Interest	31,983	30,329
July 2014 $15,000 note, convertible into common stock at $5.00 per share, 10% interest, currently in default (a)
Principal	15,000	15,000
Accrued Interest	11,500	10,625
February 2018 $298,959 note, due February 2019, 10% interest, in default (b)
Principal	268,682	282,969
Accrued Interest
August 2015 $75,000 note, with one-time interest charge of $75,000, currently in default (c)
Principal	61,163	64,246
Accrued Interest	57,960	71,356
May 4, 2020 Paycheck Protection Note (d)
Principal	137,960	137,960
Accrued Interest	$ 877	$ 698

Share Based Compensation (Detai

Share Based Compensation (Details)	3 Months Ended
	Mar. 31, 2021USD ($)
December 31, 2018
Employees
Consultants	3,136
January 1, 2019
Employees	12,712
Consultants
March 31, 2019
Employees
Consultants	2,542
June 30, 2019
Employees	5,085
Consultants
June 30, 2020
Employees	5,085
Consultants
Total vested at March 31, 2021
Employees	22,882
Consultants	$ 5,678

Related-Party Transactions (Det

Related-Party Transactions (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Relatedparty Transactions Details Abstract
Building lease payments	$ 27,201	$ 21,521
Purchase of products for resale	74,126	26,942
Total paid to related party	$ 101,327	$ 48,463

Concentrations (Details Narrati

Concentrations (Details Narrative)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Risks and Uncertainties [Abstract]
Concentration risk percentage-cost of goods sold	82.00%	48.00%