Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Apr. 01, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K/A | ||
Amendment Flag | true | ||
Amendment Description | The purpose of this amendment is to amend Item 12 in the 10-K report originally filed by the Company. | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2021 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity File Number | 000-52942 | ||
Entity Registrant Name | BLUE LINE PROTECTION GROUP, INC | ||
Entity Central Index Key | 0001416697 | ||
Entity Tax Identification Number | 20-5543728 | ||
Entity Incorporation, State or Country Code | NV | ||
Entity Address, Address Line One | 5765 Logan Street | ||
Entity Address, City or Town | Denver | ||
Entity Address, State or Province | CO | ||
Entity Address, Postal Zip Code | 80216 | ||
City Area Code | 800 | ||
Local Phone Number | 844-5576 | ||
Title of 12(g) Security | Common Stock, $0.001 par value | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 11,001,000 | ||
Entity Common Stock, Shares Outstanding | 8,485,144 | ||
Documents Incorporated by Reference [Text Block] | None. | ||
ICFR Auditor Attestation Flag | false | ||
Auditor Firm ID | 2738 | ||
Auditor Name | M&K CPAS, PLLC | ||
Auditor Location | Houston, TX |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and equivalents | $ 662,177 | $ 244,750 |
Accounts receivable | 328,042 | 322,598 |
Prepaid expenses and deposits | 34,378 | 32,216 |
Total current assets | 1,024,597 | 599,564 |
Fixed assets: | ||
Right to use assets | 529,711 | 636,968 |
Machinery and equipment net of accumulated depreciation of $586,130 and $451,759, respectively | 284,776 | 296,410 |
Security Deposit | 28,958 | 32,158 |
Fixed assets of discontinued operations | 2,782 | 2,782 |
Total fixed assets | 846,227 | 968,318 |
Total assets | 1,870,824 | 1,567,882 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 738,221 | 1,160,962 |
Financed lease liabilities | 29,301 | 65,985 |
Notes payable | 85,000 | |
Notes payable - related parties | 541,272 | 696,272 |
Convertible notes payable, net of unamortized discount | 169,218 | |
Convertible notes payable - related parties, net of unamortized discount | 575,000 | 1,830,217 |
Current portion of operating lease obligation | 125,266 | 107,242 |
Derivative liabilities | 712,784 | 2,247,645 |
Total current liabilities | 2,721,844 | 6,362,541 |
Long-term liabilities: | ||
Financed lease liabilities - long term | 16,402 | 1,820 |
Notes payable - related parties | 1,313,817 | |
Operating lease liability-long term | 440,366 | 565,632 |
Total long-term liabilities | 1,770,585 | 567,452 |
Total liabilities | 4,492,429 | 6,929,993 |
Stockholders’ deficit: | ||
Preferred Stock, $0.001 par value, 100,000,000 shares authorized, 20,000,000 shares issued and outstanding as of December 31, 2021 and December 31, 2020, respectively | 20,000 | 20,000 |
Common Stock, $0.001 par value, 14,000,000 shares authorized, 8,485,144 and 8,223,574 issued and outstanding as of December 31, 2021 and December 31, 2020, respectively | 8,486 | 8,224 |
Common Stock, owed but not issued, 129 shares and 129 shares as of December 31, 2021 and December 31, 2020, respectively | 13 | 13 |
Additional paid-in capital | 9,021,126 | 8,031,471 |
Accumulated deficit | (11,671,230) | (13,421,819) |
Total stockholders’ deficit | (2,621,605) | (5,362,111) |
Total liabilities and stockholders’ deficit | $ 1,870,824 | $ 1,567,882 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Accumulated depreciation, property, plant, and equipment | $ 586,130 | $ 451,759 |
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | 20,000,000 | 20,000,000 |
Preferred stock, shares outstanding | 20,000,000 | 20,000,000 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 14,000,000 | 14,000,000 |
Common stock, shares issued | 8,485,144 | 8,223,574 |
Common stock, shares outstanding | 8,485,144 | 8,223,574 |
Common owed but not issued | 129 | 129 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | ||
Revenue | $ 4,659,393 | $ 4,131,650 |
Cost of revenue | (1,284,876) | (1,202,199) |
Gross profit | 3,374,517 | 2,929,451 |
Operating expenses: | ||
General and administrative expenses | 2,118,601 | 2,136,056 |
Total expenses | 2,118,601 | 2,136,056 |
Operating Income | 1,255,916 | 793,395 |
Other income (expenses): | ||
Gain on lease termination | 8,800 | |
Gain on settlement of accounts payable | 533 | 4,500 |
Interest expense | (583,149) | (745,360) |
Income / (Loss) on derivative | 1,077,289 | (995,912) |
Total other income / (expenses) | 494,673 | (1,727,972) |
Net Income / (loss) | $ 1,750,589 | $ (934,577) |
Net Income / (loss) per common share: Basic | $ 0.21 | $ (0.12) |
Net Income / (loss) per common share: Diluted | $ 0.14 | $ (0.12) |
Weighted average number of common shares outstanding- Basic | 8,457,364 | 8,016,204 |
Weighted average number of common shares outstanding- Diluted | 12,314,864 | 8,016,204 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Operating activities | ||
Net loss | $ 1,750,589 | $ (934,577) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation | 134,371 | 126,474 |
Amortization of discounts on notes payable | 116,280 | |
Amortization of right to use | 107,257 | 104,710 |
Loan fees | 10,665 | |
Gain on lease termination | (8,800) | |
Gain on settlement of accounts payable | (4,500) | |
Noncash operating lease expense | ||
Change in fair value of derivative liabilities | (1,077,289) | 915,054 |
Excess derivative | 80,858 | |
Changes in operating assets and liabilities: | ||
(Increase) in accounts receivable | (5,444) | 14,242 |
(Increase) / decrease in deposits and prepaid expenses | 1,038 | (20,236) |
Increase (decrease) in accounts payable and accrued liabilities | 100,094 | 175,687 |
Increase (decrease) in lease obligations | (107,242) | (112,603) |
Net cash provided by operating activities | 903,374 | 463,254 |
Cash flows from investing activities | ||
Purchase of fixed assets | (66,002) | (39,470) |
Net cash provided by/(used in) investing activities | (66,002) | (39,470) |
Financing activities | ||
Proceeds from notes payable | 24,000 | |
Repayments on convertible notes payable - related party | (175,097) | |
Repayments on convertible notes payable | (146,011) | |
Repayments from notes payable - related party | (20,000) | (227,240) |
Payments on notes payable | (78,837) | (20,907) |
Net cash used in financing activities | (419,945) | (224,147) |
Net increase in cash | 417,427 | 199,637 |
Cash - beginning | 244,750 | 45,113 |
Cash - ending | 662,177 | 244,750 |
Supplemental disclosures of cash flow information: | ||
Interest paid | 400,256 | |
Income taxes paid | ||
Non-cash investing and financing activities: | ||
Debt discount due to derivative liability | 96,000 | |
Capitalized leased fixed assets | 56,735 | |
Common stock issued for conversion of debt and interest | 10,010 | 3,480 |
Derivative resolution | 457,572 | 14,327 |
Termination or lease | 106,178 | |
Accounts payable converted to notes payable - related party | 62,000 | |
Gain on the forgiveness of accrued interest - related party | $ 522,334 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Deficit - USD ($) | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Stock Payable [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2019 | $ 20,000 | $ 7,934 | $ 8,013,954 | $ 13 | $ (12,487,242) | $ (4,445,341) |
Balance, shares at Dec. 31, 2019 | 20,000,000 | 7,933,574 | ||||
Common stock issued for conversion of debt and accrued interest | $ 290 | 3,190 | 3,480 | |||
Common stock issued for comversion of debt and accrued interest, shares | 290,000 | |||||
Derivative resolution | 14,327 | 14,327 | ||||
Net income (loss) | (934,577) | (934,577) | ||||
Ending balance, value at Dec. 31, 2020 | $ 20,000 | $ 8,224 | 8,031,471 | 13 | (13,421,819) | (5,362,111) |
Balance, shares at Dec. 31, 2020 | 20,000,000 | 8,223,574 | ||||
Derivative resolution | 457,572 | 457,572 | ||||
Net income (loss) | 1,750,589 | 1,750,589 | ||||
Common stock issued for conversion of debt and fees | $ 260 | 9,750 | 10,010 | |||
Common stock issued for conversion of debt and fees, shares | 260,000 | |||||
Odd lot rounding from reverse stock split | $ 2 | 2 | ||||
Odd lot rounding from reverse stock split, shares | 1,570 | |||||
Gain on the forgiveness of accrued interest - related party | 522,333 | 522,333 | ||||
Ending balance, value at Dec. 31, 2021 | $ 20,000 | $ 8,486 | $ 9,021,126 | $ 13 | $ (11,671,230) | $ (2,621,605) |
Balance, shares at Dec. 31, 2021 | 20,000,000 | 8,485,144 |
History and organization of the
History and organization of the company | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
History and organization of the company | Note 1 – History and organization of the company The Company was originally organized on September 11, 2006 (Date of Inception) under the laws of the State of Nevada, as The Engraving Masters, Inc. The Company was authorized to issue up to 100,000,000 100,000,000 0.001 On March 14, 2014, the Company acquired Blue Line Protection Group, Inc., a Colorado corporation formed in February 2014 (“Blue Line Colorado”), as a wholly-owned subsidiary of the Company. Blue Line Colorado provides protection, compliance, and financial services to the lawful cannabis industry. On May 2, 2014, the Company changed its name from The Engraving Masters, Inc. to Blue Line Protection Group, Inc. (“BLPG”) On May 6, 2014, the Company effected a forward stock split and a pro-rata increase in its authorized common stock on a basis of 14-to-1, whereby each shareholder received 14 newly issued shares of common stock for each 1 share held 1,400,000,000 On July 6, 2021, the Company effected a reverse stock split and a pro-rata decrease in its authorized common stock on a basis of 1-for-100, the authorized capital of the Company concurrently decreased to 14,000,000 The Company provides logistics, and compliance services for businesses engaged in the legal cannabis industry. The Company offers asset logistic services, such as armored transportation service; including shipment protection, money escorts, asset vaulting, financial services, such as handling transportation and storage of currency; training; and compliance services. |
Accounting policies and procedu
Accounting policies and procedures | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Accounting policies and procedures | Note 2 – Accounting policies and procedures Principles of consolidation For the years ended December 31, 2021 and 2020, the consolidated financial statements include the accounts of Blue Line Protection Group, Inc. (formerly The Engraving Masters, Inc.), Blue Line Advisory Services, Inc. (a Nevada corporation; “BLAS”), Blue Line Capital, Inc. (a Colorado corporation; “Blue Line Capital”), Blue Line Protection Group (California), Inc. (a California corporation; “Blue Line California”), Blue Line Colorado, Blue Line Protection Group Illinois, Inc. (an Illinois corporation; “Blue Line Illinois”), BLPG, Inc. (a Nevada corporation; “Blue Line Nevada”), Blue Line Protection Group (Washington), Inc. (a Washington corporation; “Blue Line Washington”). All significant intercompany balances and transactions have been eliminated. BLPG and its subsidiaries are collectively referred herein to as the “Company.” Basis of presentation The financial statements present the balance sheets, statements of operations, stockholder’s equity (deficit) and cash flows of the Company. The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America. The Company has adopted December 31 as its fiscal year end. Use of estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management 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 financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Cash and cash equivalents The Company maintains a cash balance in a non-interest-bearing account that currently does not exceed federally insured limits. For the purpose of the statements of cash flows, all highly liquid investments with an original maturity of three months or less are considered to be cash equivalents. There were no Accounts receivable Accounts receivable are stated at the amount the Company expects to collect from outstanding balances and do not bear interest. The Company provides for probable uncollectible amounts through an allowance for doubtful accounts, if an allowance is deemed necessary. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable; however, changes in circumstances relating to accounts receivable may result in a requirement for additional allowances in the future. On a periodic basis, management evaluates its accounts receivable and determines the requirement for an allowance for doubtful accounts based on its assessment of the current and collectible status of individual accounts with past due balances over 90 days. Account balances are charged against the allowance after all collection efforts have been exhausted and the potential for recovery is considered remote. Allowance for uncollectible accounts The Company estimates losses on receivables based on known troubled accounts, if any, and historical experience of losses incurred. There was no Property and equipment Property and equipment is recorded at cost and capitalized from the initial date of service. Expenditures for major additions and improvements are capitalized and minor replacements, maintenance, and repairs are charged to expense as incurred. When property and equipment is retired or otherwise disposed of, the cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is included in the results of operations for the respective period. Depreciation is provided over the estimated useful lives of the related assets using the straight-line method for financial statement purposes. The Company uses other depreciation methods (generally accelerated) for tax purposes where appropriate. The estimated useful lives for significant property and equipment categories are as follows: Schedule of Estimated useful Lives of Property and Equipment Automotive Vehicles 5 years Furniture and Equipment 7 years Buildings and Improvements 10 years The Company reviews the carrying value of property and equipment for impairment whenever events and circumstances indicate that the carrying value of an asset may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. In cases where undiscounted expected future cash flows are less than the carrying value, an impairment loss is recognized equal to an amount by which the carrying value exceeds the fair value of assets. The factors considered by management in performing this assessment include current operating results, trends and prospects, the manner in which the property is used, and the effects of obsolescence, demand, competition and other economic factors. Based on this assessment there was no 134,371 126,474 Impairment of long-lived assets The Company accounts for its long-lived assets in accordance with ASC Topic 360-10-05, “Accounting for the Impairment or Disposal of Long-Lived Assets.” ASC Topic 360-10-05 requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the historical cost or carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of an asset by estimating the future net cash flows expected to result from the asset, including eventual disposition. If the future net cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset’s carrying value and its fair value or disposable value. As of December 31, 2021 and December 31, 2020, the Company determined that none of its long-lived assets were impaired. Concentration of business and credit risk The Company has no significant off-balance sheet risks such as foreign exchange contracts, option contracts or other hedging arrangements. The Company’s financial instruments that are exposed to concentration of credit risks consist primarily of cash. The Company maintains its cash in bank accounts, which may at times, exceed federally insured limits. The Company had one major customer which generated 22 % of total revenue in the year ended December 31, 2021 and one customer comprised 35 % of the account receivable balance at December 31, 2021. The Company had two major customers which generated 30 17 13 23 12 35 Related party transactions FASB ASC 850, “Related Party Disclosures” requires companies to include in their financial statements disclosures of material related party transactions. The Company discloses all material related party transactions. Related parties are defined to include any principal owner, director or executive officer of the Company and any immediate family members of a principal owner, director or executive officer. Fair value of financial instruments The carrying amounts reflected in the balance sheets for cash, accounts payable and related party payables approximate the respective fair values due to the short maturities of these items. The Company does not hold any investments that are available-for-sale. As required by the Fair Value Measurements and Disclosures Topic of the FASB ASC, fair value is measured based on a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: (Level 1) observable inputs such as quoted prices in active markets; (Level 2) inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and (Level 3) unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The three levels of the fair value hierarchy are described below: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2: Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). The following table presents the derivative financial instruments, the Company’s only financial liabilities, measured and recorded at fair value on the Company’s consolidated balance sheet on a recurring basis, and their level within the fair value hierarchy as of December 31, 2021 and December 31, 2020: December 31, 2021 Schedule of Fair Value of Liabilities Measured on Recurring Basis Amount Level 1 Level 2 Level 3 Embedded conversion derivative liability $ 712,784 $ - $ - $ 712,784 Warrant derivative liabilities $ - $ $ $ - Total $ 712,784 $ - $ - $ 712,784 December 31, 2020 Amount Level 1 Level 2 Level 3 Embedded conversion derivative liability $ 2,246,080 $ $ $ 2,246,080 Warrant derivative liabilities $ 1,565 $ - $ - $ 1,565 Total $ 2,247,645 $ - $ - $ 2,247,645 The embedded conversion feature in the convertible debt instruments that the Company issued that became convertible qualified them as derivative instruments since the number of shares issuable under the notes are indeterminate based on guidance in FASB ASC 815, Derivatives and Hedging. These convertible notes tainted all other equity linked instruments including outstanding warrants and fixed rate convertible debt on the date that the instrument became convertible. The valuation of the derivative liability of the warrants was determined through the use of Black Scholes option-pricing model (See Note 8). Revenue Recognition The Company recognizes revenue when delivery of the promised goods or services is transferred to its customers in an amount that reflects the consideration that the Company expects to be entitled to in exchange for those goods or services. We determine revenue recognition through the following five steps: ● Identify the contract with the customer; ● Identify the performance obligations in the contract; ● Determine the transaction price; ● Allocate the transaction price to the performance obligations in the contract; and ● Recognize revenue when, or as, the performance obligations are satisfied. We generate substantially all our revenue from providing services to customers. The Company records revenue when the 5 steps above have been completed. Effective January 1, 2018, the Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in Topic 605, Revenue Recognition, and most industry-specific revenue recognition guidance throughout the Industry Topics of the Accounting Standards Codification. The updated guidance states that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance also provides for additional disclosures with respect to revenues and cash flows arising from contracts with customers. The Company adopted the standard using the modified retrospective approach effective January 1, 2018. The adoption of these standards did not have an impact on the Company’s Statements of Operations for the year ended December 31, 2018. In general, the Company’s business segmentation is aligned according to the nature and economic characteristics. Revenue is characterized by several lines of services and typically the pricing is fixed. Schedule of Revenue by Major Customers by Reporting Segments Year ended December 31, Revenue Breakdown by Streams 2021 2020 Service: Transportation $ 1,775,594 $ 1,928,289 Service: Currency Processing $ 2,800,377 $ 2,111,966 Service: Compliance $ 83,422 $ 91,395 Total $ 4,659,393 $ 4,131,650 Gain on settlement of accounts payable Represents a $ 533 4,500 Advertising costs The Company expenses all costs of advertising as incurred. Advertising expense for the years ended December 31, 2021 and December 31, 2020 amounted to $ 4,298 3,075 General and administrative expenses The significant components of general and administrative expenses consist mainly of rent and compensation. Share-Based Compensation Share-based compensation expense is recorded as a result of stock options granted in return for services rendered. Previously, the share-based payment arrangements with employees were accounted for under ASC 718, while nonemployee share-based payments issued for goods and services are accounted for under ASC 505-50. ASC 505-50 differs significantly from ASC 718. On June 20, 2018, the FASB issued ASU 2018-07, which simplifies the accounting for share-based payments granted to nonemployees for goods and services. Under the ASU, most of the guidance on such payments to nonemployees would be aligned with the requirements for share-based payments granted to employees. The Company has adopted the new standard and has made some adjustment with regard to the share-based compensation costs. Under the ASU 2018-07, the measurement of equity-classified nonemployee share-based payments is generally fixed on the grant date and the options are no longer revalued on each reporting date. The expenses related to the share-based compensation are recognized on each reporting date. The amount is calculated as the difference between total expenses incurred and the total expenses already recognized. Cost of Revenue The Company’s cost of revenue primarily consists of labor, fuel costs and items purchased by the Company specifically for the benefit of the Company’s clients. Basic and Diluted Earnings per share Net loss per share is provided in accordance with FASB ASC 260-10, “Earnings per Share”. Basic loss per share is computed by dividing losses available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive loss per share excludes all potential common shares if their effect is anti-dilutive. For the periods presented all common stock equivalents were excluded from the calculation of diluted loss per share as their effect would be anti-dilutive. The following is a reconciliation of the numerator and denominator used in the basic and diluted earnings per share (“EPS”) calculations for the year ended December 31, 2021 and December 31, 2020. Schedule of Basic and Diluted Earnings Per Share (“EPS”) Year ended December 31, 2021 Year ended December 31, 2020 Numerator: Net income / (loss) $ 1,750,589 $ (934,577 ) Denominator: Weighted-average shares of common stock 8,457,364 8,016,204 Dilutive effect of warrants - - Dilutive effect of convertible instruments 3,875,500 - Diluted weighted-average of common stock 12,314,864 8,016,204 Net income per common share from: Basic $ 0.21 $ (0.12 ) Diluted $ 0.14 $ (0.12 ) Dividends The Company has not yet adopted any policy regarding payment of dividends. No dividends have been paid or declared since inception. Income Taxes The Company follows FASB Codification Topic 740-10-25 (ASC 740-10-25) for recording the provision for income taxes. Deferred tax assets and liabilities are computed based upon the difference between the financial statement and income tax basis of assets and liabilities using the enacted marginal tax rate applicable when the related asset or liability is expected to be realized or settled. Deferred income tax expenses or benefits are based on the changes in the asset or liability each period. If available evidence suggests that it is more likely than not that some portion or all of the deferred tax assets will not be realized, a valuation allowance is required to reduce the deferred tax assets to the amount that is more likely than not to be realized. Future changes in such valuation allowance are included in the provision for deferred income taxes in the period of change. Deferred income taxes may arise from temporary differences resulting from income and expense items reported for financial accounting and tax purposes in different periods. Deferred taxes are classified as current or non-current, depending on the classification of assets and liabilities to which they relate. Deferred taxes arising from temporary differences that are not related to an asset or liability are classified as current or non-current depending on the periods in which the temporary differences are expected to reverse. Recent Pronouncements In February 2016, the FASB issued ASU 2016-02, Leases The Company evaluated all other recent accounting pronouncements issued and determined that the adoption of these pronouncements would not have a material effect on the financial position, results of operations or cash flows of the Company. |
Going concern
Going concern | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Going concern | Note 3 – Going concern The accompanying financial statements have been prepared assuming the Company will continue as a going concern. As shown in the accompanying financial statements, the Company accumulated deficit and had a working capital deficit as of December 31, 2021. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. In order to continue as a going concern, the Company will need, among other things, additional capital resources. The Company is significantly dependent upon its ability, and will continue to attempt, to secure additional equity and/or debt financing. There are no assurances that the Company will be successful and without sufficient financing it would be unlikely for the Company to continue as a going concern. The financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts of and classification of liabilities that might be necessary in the event the Company cannot continue in existence. These financial statements do not include any adjustments that might arise from this uncertainty. |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | Note 4 – Commitments and contingencies Contingencies On November 6, 2015, Daniel Sullivan sent a wage claim demand to the Company. Mr. Sullivan purports to have had an Independent Contractor Agreement with the Company which provides he is entitled to certain compensation and to be reimbursed for Company expenses. The demand claims unpaid compensation in the amount of $ 8,055 154,409 Mile High Real Estate Group, an entity owned by Mr. Sullivan, sent correspondence to the Company stating the Mr. Sullivan and/or Mile High Real Estate loaned the Company either directly or directly to contractors, material suppliers or utilities for operating and building remodeling in the amount of $ 98,150 On April 14, 2016, the Company entered into an agreement with an unrelated third party to provide the Company with investor relations services. Upon signing the agreement, the Company paid the investor relations consultant $ 75,000 1,500,000 75,000 no During the year ended December 31, 2020 the Company recorded a gain of $ 4,500 Finance leases On July 25, 2017, the Company recorded a finance lease obligation for a leased a vehicle for $ 29,390 621 The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying asset On April 25, 2018, the Company recorded a finance lease obligation for a leased a vehicle for $ 38,388 7,500 36 976 The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying asset On August 16, 2018, the Company recorded a finance lease obligation for a leased a vehicle for $ 58,476 20,000 10,000 1,165 The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying asset On August 16, 2018, the Company recorded a finance lease obligation for a leased a vehicle for $ 58,476 20,000 10,000 1,165 The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying asset On March 1, 2019, the Company recorded finance lease obligation for a leased a vehicle for $ 64,354 30,000 36 1,129 The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying assets On June 2, 2021, the Company recorded finance lease obligation for a leased a vehicle for $ 56,733 3,510 24 2,765 The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying assets Schedule of Future Minimum Leases Payments Future minimum lease payments as December 31, 2021 2022 $ 29,301 Thereafter 16,402 Total minimum lease payments $ 45,703 Operating Leases On October 27, 2016 the Company sold its building located at 5765 Logan Street Denver, Colorado to an unrelated third party for $ 1,400,000 677,681 the option to extend the term of the lease for two additional five-year periods 10,000 2 30,000 On May 29, 2018 the Company leased a building located at 4328 E. Magnolia Street, Phoenix, Arizona. The lease is for an initial term of one year the Company having the option to extend the term of the lease for additional four year periods 3,880 2 4,369 On January 22, 2019 the Company leased a building located at 7490 Bridgewater Road, Huber Heights, Ohio. The lease is for an initial term of 63 3,200 3,400 28 63 3,200 35,760 8,800 The Company adopted ASC 842 and recorded right of use asset and operating lease liability of $ 1,082,241 12 Supplemental balance sheet information related to leases is as follows: Schedule of Operating Leases December 31, 2021 Operating Leases Classification December 31, 2021 Right-of-use assets Operating right of use assets $ 529,711 Total $ 529,711 Current lease liabilities Current operating lease liabilities $ 125,266 Non-current lease liabilities Long-term operating lease liabilities $ 440,366 Total $ 565,632 Lease term and discount rate were as follows: Summary of Operating Lease Liabilities December 31, 2021 Weighted average remaining lease term (years) 3.50 Weighted average discount rate 12 % The following summarizes lease expenses for the year ended December 31, 2021: Summary of Lease Expenses Finance lease expenses: Depreciation/amortization expense $ 107,257 Interest on lease liabilities 77,121 Finance lease expense $ 184,378 Supplemental disclosures of cash flow information related to leases were as follows: Schedule of Cash Flow Information Related to Lease December 31, 2021 Cash paid for operating lease liabilities $ 107,242 Operating right of use assets obtained in exchange for operating lease liabilities $ - Maturities of lease liabilities were as follows as of December 31, 2021: Schedule of Maturities of Lease Liabilities Operating Leases 2022 $ 186,453 2023 $ 158,298 2024 $ 138,532 2025 $ 141,302 2026 $ 107,558 2027 Total $ 732,143 Less: Imputed interest $ (166,511 ) Present value of lease liabilities $ 565,632 December 31, 2020 Operating Leases Classification December 31, 2020 Right-of-use assets Operating right of use assets $ 636,968 Total $ 636,968 Current lease liabilities Current operating lease liabilities $ 107,242 Non-current lease liabilities Long-term operating lease liabilities $ 565,632 Total $ 672,874 Lease term and discount rate were as follows: December 31, 2020 Weighted average remaining lease term (years) 4.50 Weighted average discount rate 12 % The following summarizes lease expenses for the year ended December 31, 2020: Finance lease expenses: Depreciation/amortization expense $ 118,291 Interest on lease liabilities $ 101,934 Finance lease expense $ 220,225 Supplemental disclosures of cash flow information related to leases were as follows: December 31, 2020 Cash paid for operating lease liabilities $ 216,587 Operating right of use assets obtained in exchange for operating lease liabilities $ - Maturities of lease liabilities were as follows as of December 31, 2020: Operating Leases 2021 $ 182,267 2022 $ 186,453 2023 $ 158,298 2024 $ 138,532 2025 $ 141,302 2026 $ 107,558 Total $ 914,410 Less: Imputed interest $ (241,536 ) Present value of lease liabilities $ 672,874 |
Fixed assets
Fixed assets | 12 Months Ended |
Dec. 31, 2021 | |
Fixed assets: | |
Fixed assets | Note 5 – Fixed assets Machinery and equipment consisted of the following at: Schedule of Machinery and Equipment December 31, 2021 December 31, 2020 Automotive vehicles $ 485,701 $ 398,614 Furniture and equipment $ 108,265 $ 85,435 Machinery and Equipment $ 135,706 $ 135,706 Leasehold improvements $ 141,234 $ 128,414 Fixed assets, total $ 870,906 $ 748,169 Total: accumulated depreciation $ (586,130 ) $ (451,759 ) Fixed assets, net $ 284,776 $ 296,410 Depreciation expense for the years ended December 31, 2021 and December 31, 2020 were $ 134,371 126,474 |
Notes payable
Notes payable | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Notes payable | Note 6 – Notes payable Notes payable to non-related parties On January 5, 2016, the Company borrowed $ 10,000 January 5, 2017 5 5 10,000 0 10,000 On May 15, 2019 the Company entered in a 12 100,000 November 1, 2019 100,000 0 Convertible notes payable to non-related parties On October 18, 2017, the Company borrowed $ 150,000 15,250 24 July 16, 2018 The conversion price is the lesser of (1) lowest trading price during the previous 25 days prior to the note agreement or (2) 50% lowest trading price during the 25 days prior to conversion. Covenants: The Borrower shall not, without the Holder’s consent, sell, lease or dispose of any significant portion of its assets outside the ordinary course of business 150,000 May 11, 2019 75,000 134,750 39,478 2,178,825 61,624 0 150,000 400,000 200,000 100,000 th th 250,000 On March 21, 2018, the Company borrowed $ 45,000 from an unrelated third party. The Company paid $ 4,500 of fees associated with the loan and had amortized $ 3,514 of the costs as of December 31, 2018. The note bears an interest rate: 12 % (default interest lesser of 15 % or maximum permitted by law) and matures on March 21, 2019 . The conversion Feature Convertible immediately after the issuance, the Holder has the option to convert the outstanding principal and accrued interest into common stock of the Company. The Conversion price is 55% of the lowest trading price during the 25 Trading Day periods prior to the Conversion. Covenants: The Borrower shall not, without the Holder’s consent, sell, lease or dispose of any significant portion of its assets outside the ordinary course of business . The note was discounted for a derivative (see note 8 for details) and the discount of $ 40,500 is being amortized over the life of the note using the effective interest method resulting in $ 31,623 of interest expense for the year ended December 31, 2018. During the year ended December 31, 2019 $ 23,223 of principle and interest were converted into 841,602 shares of common stock resulting in a loss of $ 32,858 . During the year ended December 31, 2019 the Company recorded amortization expense of $ 9,863 . On September 18, 2020 Crown Bridge Partners, LLC converted notes payable in the principal amount of $ 2,980 and $ 500 of fees into 29,000,000 shares of common stock. No gain or loss was recorded and conversions were made per the terms of agreement. On February 28, 2021 Crown Bridge Partners, LLC converted notes payable in the principal amount of $ 9,510 and $ 500 of fees into 26,000,000 shares of common stock. During the year ended December 31, 2021 the Company repaid the remaining principle balance of $ 9,708 . As of December 31, 2021 and December 31, 2020 there was a balance remaining on the loan of $ 0 and $ 19,218 , respectively. During the year ended December 31, 2021 and 2020, the Company recognized amortization expense of $ 0 8,710 |
Notes payable _ related parties
Notes payable – related parties | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Notes payable – related parties | Note 7 – Notes payable – related parties On July 31, 2014, the Company borrowed $ 98,150 from an entity controlled by a former officer and shareholder of the Company. The loan is due and payable on demand and bears no interest. As of December 31, 2021 and December 31, 2020, the principal balance owed on this loan is $ 98,150 and $ 98,150 , respectively. As of December 31, 2014, a related party loaned the Company $ 10,000 January 1, 2022 20,000 30,000 0 30,000 As of December 31, 2014, a related party loaned the Company $ 180,121 125,500 54,621 54,621 As of December 31, 2021 the Company owed Hypur Inc. $ 688,500 ● On March 3, 2022 the Company paid Hypur $ 137,500 ● On or before each date shown below, the Company will pay Hypur $ 12,500 Schedule of Related Parties Debt Maturity Date Amount March 31, 2022 $ 12,500 April 30, 2022 $ 12,500 May 31, 2022 $ 12,500 June 30, 2022 $ 12,500 ● On or before July 31, 2022 the Company will pay Hypur $ 137,500 ● All principal amounts owed to Hypur under the Promissory Notes will bear interest at 7.5 ● If by July 31, 2022 all payments required by the Company’s agreement with Hypur have been made in a timely fashion, Hypur will forgive $ 250,000 ● After July 31, 2022 future payment plans will be negotiated, provided however that any principal amounts owed to Hypur under the Promissory Notes after July 31, 2022 will not bear interest in excess of 7.5 12 ● Hypur will waive any default rights between January 31, 2022 and August 31, 2022 on a month-to-month basis so long as all payments required by the Company’s agreement with Hypur have been made. During the year ended December 31, 2020, the Company repaid Patrick Deparini $ 575 Convertible notes payable to related parties On November 13, 2015, the Company borrowed $ 25,000 November 12, 2015 18 0.001 24 25,000 0 25,000 In November 2015, the Company entered into an arrangement with a related party, whereby the Company borrowed $ 25,000 5 0.025 November 4, 2016 20,000 45,000 6,767 0 45,000 On September 1, 2016, the Company entered into, an convertible promissory note with Hypur Ventures, L.P., a Delaware limited partnership (the “Hypur Ventures”) which is a related party pursuant to which the Company to borrow $ 75,000 The loan was due 180 days from the date of issuance and bears interest at 10 .05 .50 75,000 75,000 15 150 On October 14, 2016, the Company entered into a convertible promissory note with Hypur Ventures, L.P., a Delaware limited partnership (the “Hypur Ventures”) and a related party, pursuant to which the Company borrowed $ 100,000 The loan was due 180 days from the date of issuance and bears interest at 10% per annum. The note is convertible into common stock at a price of $ .05 .50 100,000 100,000 15 150 On March 7, 2017, the Company borrowed $ 100,000 from Hypur Ventures, L.P., a related party. The loan is due 180 days from March 7, 2017 and bears interest at 10 % per annum. The loan is convertible into shares of the Company’s common stock at a price of $ .05 per share. The loan will automatically convert into shares of the Company’s common stock if the price of the Company’s common stock is over $ .50 per share during any ten-day period. The principal balance owed on this loan December 31, 2021 and December 31, 2020 was $ 100,000 and $ 100,000 respectively. Upon default, the note bears a default rate of interest of 15 % per annum, and if the default has not been remedied within 30 days, the redemption price would be 150 % of the principal amount. As of December 31, 2021 and December 31, 2020, Hyper has waived the default provision until January 1, 2022 . As of December 31, 2021 the Company owed CGDK, LLC $ 1,185,217 , plus accrued interest of $ 452,246 . The amount owed to CGDK was represented by seven Promissory Notes dated between July 9, 2015 and August 6, 2018. CGDK agreed to (i) consolidate the Promissory Notes into a new note in the principal amount of $ 1,185,217 and (ii) forgive the accrued interest of $ 452,246 . The new Promissory Note is due and payable on December 31, 2026 and bears an interest (from January 1, 2022 to the date of payment) of 5 % per year. As of December 31, 2021 the Company owed MKM Capital Advisors and two related entities $ 128,600 70,088.08 128,600 457,572 5 The Company re-measured the fair value of derivative liabilities on December 31, 2021 and December 31, 2020. See Note 8. |
Derivative Liability
Derivative Liability | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Liability | Note 8 – Derivative Liability The Company analyzed the conversion options for derivative accounting consideration under ASC 815, Derivatives and Hedging, and determined that an instrument should be classified as a liability when a conversion option becomes effective. The derivative liability in connection with the conversion feature of the convertible debt is measured using level 3 inputs. The change in the fair value of derivative liabilities is as follows: Schedule of Derivative Liabilities at Fair Value Balance - December 31, 2019 $ 1,170,060 Settlement of derivatives upon conversion $ (14,327 ) Debt discount from derivative liability $ 176,858 Loss on change in fair value of the derivative $ 915,054 Balance - December 31, 2020 $ 2,247,645 Settlement of derivatives upon conversion $ (457,572 ) Gain on change in fair value of the derivative $ (1,077,289 ) Balance – December 31, 2021 $ 712,784 The table below shows the Black-Scholes option-pricing model inputs used by the Company to value the derivative liability at each measurement date: Schedule of Derivative Instruments, Black-Scholes Option-pricing Model Inputs Used Year ended Year ended Expected term 0.25 1.09 0.08 1.01 Expected average volatility 138.34 162.05 % 291.56 378.27 % Expected dividend yield - - Risk-free interest rate 0.06 0.39 % 0.08 0.15 % |
Stockholders_ deficit
Stockholders’ deficit | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Stockholders’ deficit | Note 9 – Stockholders’ deficit The Company was originally authorized to issue 100,000,000 100,000,000 1,400,000,000 On July 6, 2021, the Company effected a reverse stock split and a pro-rata decrease in its authorized common stock on a basis of 1-for-100, the authorized capital of the Company concurrently decreased to 14,000,000 shares of common stock. 1,570 Common stock On February 28, 2021, Crown Bridge Partners, LLC converted notes payable in the principal amount of $ 9,510 and $ 500 of fees into 260,000 shares of common stock. Preferred stock On May 3, 2016, the Company entered into, an agreement with Hypur Ventures, L.P., a Delaware limited partnership (the “Hypur Ventures”) which is a related party pursuant to which the Company sold to Hypur Ventures, in a private placement, 10,000,000 5,000,000 five year 0.10 0.05 500,000 114,229 Between July and August of 2016 Hypur Ventures purchased an additional 10,000,000 5,000,000 five year 0.10 0.05 445,000 55,000 0 .50 The preferred stock is convertible at any time at the election of Hypur Ventures. The preferred stock shall automatically convert to common stock if the closing price of the Company’s common stock equals or exceeds $ .50 The Company has reserved thirty million shares of common stock that may be issued upon the conversion and/or exercise of the preferred stock and the warrants. The preferred stock sold to Hypur Ventures will be subject to the terms and conditions of the Certificate of Designation, as well as further documentation to be drafted in accordance with the terms and conditions agreed upon between the Company and Hypur Ventures. |
Options and warrants
Options and warrants | 12 Months Ended |
Dec. 31, 2021 | |
Options And Warrants | |
Options and warrants | Note 10 – Options and warrants Options All stock options have an exercise price equal to the fair market value of the common stock on the date of grant. The fair value of each option award is estimated using a Black-Scholes-Merton option valuation model. The Company has not paid any cash dividends on its common stock and does not anticipate paying any cash dividends in the foreseeable future. Consequently, the Company uses an expected dividend yield of zero in the Black-Scholes-Merton option valuation model. Volatility is an estimate based on the calculated historical volatility of similar entities in industry, in size and in financial leverage, whose share prices are publicly available. The expected life of awards granted represents the period of time that they are expected to be outstanding. The Company has no historical experience with which to establish a basis for determining an expected life of these awards. Therefore, the Company only gave consideration to the contractual terms and did not consider the vesting schedules, exercise patterns and pre-vesting and post-vesting forfeitures significant to the expected life of the option award. The Company bases the risk-free interest rate used in the Black-Scholes-Merton option valuation model on the implied yield currently available on U.S. Treasury issues with an equivalent remaining term equal to the expected life of the award. All of the options granted by the Company expired as of December 31, 2020. The following is a summary of the Company’s stock option activity for the year ended December 31, 2020: Summary of Stock Option Activity Number Of Weighted-Average Exercise Price Outstanding at December 31, 2019 240,117 $ 1.10 Granted - $ - Expired (240,117 ) $ 1.10 Cancelled - $ - Outstanding at December 31, 2020 - $ - Options exercisable at December 31, 2020 - $ No The following tables summarize information about stock options outstanding and exercisable at December 31, 2021 and December 31, 2020: Schedule of Stock Options Outstanding and Exercisable Exercise Price Range OPTIONS OUTSTANDING AND EXERCISABLE AT DECEMBER 31, 2020 Range of Number of Weighted- Weighted- Number Weighted- $ - - - $ - - $ - Total stock-based compensation expense in connection with options and modified awards recognized in the consolidated statement of operations for the years ended December 31, 2021 and 2020 was $ 0 0 Warrants The following is a summary of the Company’s warrant activity for the year ended December 31, 2021: Summary of Warrants Activity Number Of Weighted-Average Exercise Price Outstanding at December 31, 2020 100,000 $ 1.00 Granted - $ - Expired (100,000 ) $ 1.00 Cancelled - $ - Outstanding at December 31, 2021 - $ 1.00 Warrants exercisable at December 31, 2020 100,000 $ 1.00 Warrants exercisable at December 31, 2021 - $ - The following tables summarize information about warrants outstanding and exercisable at December 31, 2020: Schedule of Warrants Outstanding and Exercisable Exercise Price Range WARRANTS OUTSTANDING AND EXERCISABLE AT DECEMBER 31, 2020 Range of Number of Warrants Outstanding Weighted- Average Remaining Contractual Life in Years Weighted- Average Exercise Price Number Exercisable Weighted- Average Exercise Price $ 1.00 100,000 .52 $ 1.00 100,000 $ 1.00 |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Note 11 – Income taxes On December 22, 2017, President Trump signed into law the Tax Cuts and Jobs Act ( the “TCJA”) that significantly reforms the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”). The TCJA, among other things, contains significant changes to corporate taxation, including reduction of the corporate tax rate from a top marginal rate of 35% to a flat rate of 21%, effective as of January 1, 2018; limitation of the tax deduction for interest expense; limitation of the deduction for net operating losses to 80 The staff of the Securities and Exchange Commission issued Staff Accounting Bulletin No. 118 to address the application of GAAP in situations when a registrant does not have the necessary information available, prepared or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the TCJA. In connection with the initial analysis of the impact of the TCJA, the Company remeasured its deferred tax assets and liabilities based on the rates at which they are expected to reverse in the future, which is generally 21%. The remeasurement of the Company’s deferred tax assets and liabilities was offset by a change in the valuation allowance. For the year ended December 31, 2021 the company had an operating profit but had a net operating loss as of December 31, 2020 that exceeded the profit and accordingly, no provision for income taxes has been recorded. In addition, no benefit for income taxes has been recorded due to the uncertainty of the realization of any tax assets. At December 31, 2021 and 2020, the Company had approximately $ 7,144,066 and $ 7,817,366 of federal and state net operating losses. The net operating loss carry forwards, if not utilized, will begin to expire in 2029. The provision for income taxes consisted of the following components for the years ended December 31: Components of net deferred tax assets, including a valuation allowance, are as follows at December 31: Schedule of Components of Deferred Tax Assets 2020 2019 December 31 2021 2020 Deferred tax assets: Net operating loss carry forwards $ 1,500,524 $ 1,641,647 Valuation allowance $ (1,500,524 ) (1,641,647 ) Total deferred tax assets $ - $ - FASB ASC 740, Income Taxes, 1,500,524 and $ 1,641,647 against its net deferred taxes is necessary as of December 31, 2021 and December 31, 2020, respectively. The change in valuation allowance for the years ended December 31, 2021 and 2020 is $ (141,393) and $ 15,096 respectively. At December 31, 2021 and December 31, 2020, respectively, the Company had $ 7,144,066 7,817,366 As a result of certain ownership changes, the Company may be subject to an annual limitation on the utilization of its U.S. net operating loss carryforwards pursuant to Section 382 of the Internal Revenue Code. A study to determine the effect, if any, of this change, has not been undertaken. Tax returns for the years ended December 31, 2021, 2020, 2019, 2018, and 2017 are subject to examination by the Internal Revenue Service. A reconciliation of the Company’s income taxes to amounts calculated at the federal statutory rate is as follows for the years ended December 31: Schedule of Effective Income Tax Rate Reconciliation 2021 2020 Federal statutory taxes (21.00 )% (21.00 )% Change in tax rate estimate — — Change in valuation allowance 21.00 % 21.00 % — % — % The valuation allowance for deferred tax assets as of December 31, 2021 and 2020 was $ 1,500,524 and $ 1,641,647 respectively. In assessing the recovery of the deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in the periods in which those temporary differences become deductible. Management considers the scheduled reversals of future deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. As a result, management determined it was more likely than not the deferred tax assets would not be realized as of December 31, 2021 and 20 and recorded a full valuation allowance. Reconciliation between the statutory rate and the effective tax rate is as follows at December 31: 2021 2020 Federal statutory tax Reconciliation rate (21.0 )% (21.0 )% Permanent difference and other 21.0 % 21.0 % |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent events | Note 12 – Subsequent events The Company has evaluated all other subsequent events from the balance sheet date through the date the financial statements were issued and has determined there are no additional events required to be disclosed. |
Accounting policies and proce_2
Accounting policies and procedures (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Principles of consolidation | Principles of consolidation For the years ended December 31, 2021 and 2020, the consolidated financial statements include the accounts of Blue Line Protection Group, Inc. (formerly The Engraving Masters, Inc.), Blue Line Advisory Services, Inc. (a Nevada corporation; “BLAS”), Blue Line Capital, Inc. (a Colorado corporation; “Blue Line Capital”), Blue Line Protection Group (California), Inc. (a California corporation; “Blue Line California”), Blue Line Colorado, Blue Line Protection Group Illinois, Inc. (an Illinois corporation; “Blue Line Illinois”), BLPG, Inc. (a Nevada corporation; “Blue Line Nevada”), Blue Line Protection Group (Washington), Inc. (a Washington corporation; “Blue Line Washington”). All significant intercompany balances and transactions have been eliminated. BLPG and its subsidiaries are collectively referred herein to as the “Company.” |
Basis of presentation | Basis of presentation The financial statements present the balance sheets, statements of operations, stockholder’s equity (deficit) and cash flows of the Company. The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America. The Company has adopted December 31 as its fiscal year end. |
Use of estimates | Use of estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management 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 financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Cash and cash equivalents | Cash and cash equivalents The Company maintains a cash balance in a non-interest-bearing account that currently does not exceed federally insured limits. For the purpose of the statements of cash flows, all highly liquid investments with an original maturity of three months or less are considered to be cash equivalents. There were no |
Accounts receivable | Accounts receivable Accounts receivable are stated at the amount the Company expects to collect from outstanding balances and do not bear interest. The Company provides for probable uncollectible amounts through an allowance for doubtful accounts, if an allowance is deemed necessary. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable; however, changes in circumstances relating to accounts receivable may result in a requirement for additional allowances in the future. On a periodic basis, management evaluates its accounts receivable and determines the requirement for an allowance for doubtful accounts based on its assessment of the current and collectible status of individual accounts with past due balances over 90 days. Account balances are charged against the allowance after all collection efforts have been exhausted and the potential for recovery is considered remote. |
Allowance for uncollectible accounts | Allowance for uncollectible accounts The Company estimates losses on receivables based on known troubled accounts, if any, and historical experience of losses incurred. There was no |
Property and equipment | Property and equipment Property and equipment is recorded at cost and capitalized from the initial date of service. Expenditures for major additions and improvements are capitalized and minor replacements, maintenance, and repairs are charged to expense as incurred. When property and equipment is retired or otherwise disposed of, the cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is included in the results of operations for the respective period. Depreciation is provided over the estimated useful lives of the related assets using the straight-line method for financial statement purposes. The Company uses other depreciation methods (generally accelerated) for tax purposes where appropriate. The estimated useful lives for significant property and equipment categories are as follows: Schedule of Estimated useful Lives of Property and Equipment Automotive Vehicles 5 years Furniture and Equipment 7 years Buildings and Improvements 10 years The Company reviews the carrying value of property and equipment for impairment whenever events and circumstances indicate that the carrying value of an asset may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. In cases where undiscounted expected future cash flows are less than the carrying value, an impairment loss is recognized equal to an amount by which the carrying value exceeds the fair value of assets. The factors considered by management in performing this assessment include current operating results, trends and prospects, the manner in which the property is used, and the effects of obsolescence, demand, competition and other economic factors. Based on this assessment there was no 134,371 126,474 |
Impairment of long-lived assets | Impairment of long-lived assets The Company accounts for its long-lived assets in accordance with ASC Topic 360-10-05, “Accounting for the Impairment or Disposal of Long-Lived Assets.” ASC Topic 360-10-05 requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the historical cost or carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of an asset by estimating the future net cash flows expected to result from the asset, including eventual disposition. If the future net cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset’s carrying value and its fair value or disposable value. As of December 31, 2021 and December 31, 2020, the Company determined that none of its long-lived assets were impaired. |
Concentration of business and credit risk | Concentration of business and credit risk The Company has no significant off-balance sheet risks such as foreign exchange contracts, option contracts or other hedging arrangements. The Company’s financial instruments that are exposed to concentration of credit risks consist primarily of cash. The Company maintains its cash in bank accounts, which may at times, exceed federally insured limits. The Company had one major customer which generated 22 % of total revenue in the year ended December 31, 2021 and one customer comprised 35 % of the account receivable balance at December 31, 2021. The Company had two major customers which generated 30 17 13 23 12 35 |
Related party transactions | Related party transactions FASB ASC 850, “Related Party Disclosures” requires companies to include in their financial statements disclosures of material related party transactions. The Company discloses all material related party transactions. Related parties are defined to include any principal owner, director or executive officer of the Company and any immediate family members of a principal owner, director or executive officer. |
Fair value of financial instruments | Fair value of financial instruments The carrying amounts reflected in the balance sheets for cash, accounts payable and related party payables approximate the respective fair values due to the short maturities of these items. The Company does not hold any investments that are available-for-sale. As required by the Fair Value Measurements and Disclosures Topic of the FASB ASC, fair value is measured based on a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: (Level 1) observable inputs such as quoted prices in active markets; (Level 2) inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and (Level 3) unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The three levels of the fair value hierarchy are described below: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2: Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). The following table presents the derivative financial instruments, the Company’s only financial liabilities, measured and recorded at fair value on the Company’s consolidated balance sheet on a recurring basis, and their level within the fair value hierarchy as of December 31, 2021 and December 31, 2020: December 31, 2021 Schedule of Fair Value of Liabilities Measured on Recurring Basis Amount Level 1 Level 2 Level 3 Embedded conversion derivative liability $ 712,784 $ - $ - $ 712,784 Warrant derivative liabilities $ - $ $ $ - Total $ 712,784 $ - $ - $ 712,784 December 31, 2020 Amount Level 1 Level 2 Level 3 Embedded conversion derivative liability $ 2,246,080 $ $ $ 2,246,080 Warrant derivative liabilities $ 1,565 $ - $ - $ 1,565 Total $ 2,247,645 $ - $ - $ 2,247,645 The embedded conversion feature in the convertible debt instruments that the Company issued that became convertible qualified them as derivative instruments since the number of shares issuable under the notes are indeterminate based on guidance in FASB ASC 815, Derivatives and Hedging. These convertible notes tainted all other equity linked instruments including outstanding warrants and fixed rate convertible debt on the date that the instrument became convertible. The valuation of the derivative liability of the warrants was determined through the use of Black Scholes option-pricing model (See Note 8). |
Revenue Recognition | Revenue Recognition The Company recognizes revenue when delivery of the promised goods or services is transferred to its customers in an amount that reflects the consideration that the Company expects to be entitled to in exchange for those goods or services. We determine revenue recognition through the following five steps: ● Identify the contract with the customer; ● Identify the performance obligations in the contract; ● Determine the transaction price; ● Allocate the transaction price to the performance obligations in the contract; and ● Recognize revenue when, or as, the performance obligations are satisfied. We generate substantially all our revenue from providing services to customers. The Company records revenue when the 5 steps above have been completed. Effective January 1, 2018, the Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in Topic 605, Revenue Recognition, and most industry-specific revenue recognition guidance throughout the Industry Topics of the Accounting Standards Codification. The updated guidance states that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance also provides for additional disclosures with respect to revenues and cash flows arising from contracts with customers. The Company adopted the standard using the modified retrospective approach effective January 1, 2018. The adoption of these standards did not have an impact on the Company’s Statements of Operations for the year ended December 31, 2018. In general, the Company’s business segmentation is aligned according to the nature and economic characteristics. Revenue is characterized by several lines of services and typically the pricing is fixed. Schedule of Revenue by Major Customers by Reporting Segments Year ended December 31, Revenue Breakdown by Streams 2021 2020 Service: Transportation $ 1,775,594 $ 1,928,289 Service: Currency Processing $ 2,800,377 $ 2,111,966 Service: Compliance $ 83,422 $ 91,395 Total $ 4,659,393 $ 4,131,650 |
Gain on settlement of accounts payable | Gain on settlement of accounts payable Represents a $ 533 4,500 |
Advertising costs | Advertising costs The Company expenses all costs of advertising as incurred. Advertising expense for the years ended December 31, 2021 and December 31, 2020 amounted to $ 4,298 3,075 |
General and administrative expenses | General and administrative expenses The significant components of general and administrative expenses consist mainly of rent and compensation. |
Share-Based Compensation | Share-Based Compensation Share-based compensation expense is recorded as a result of stock options granted in return for services rendered. Previously, the share-based payment arrangements with employees were accounted for under ASC 718, while nonemployee share-based payments issued for goods and services are accounted for under ASC 505-50. ASC 505-50 differs significantly from ASC 718. On June 20, 2018, the FASB issued ASU 2018-07, which simplifies the accounting for share-based payments granted to nonemployees for goods and services. Under the ASU, most of the guidance on such payments to nonemployees would be aligned with the requirements for share-based payments granted to employees. The Company has adopted the new standard and has made some adjustment with regard to the share-based compensation costs. Under the ASU 2018-07, the measurement of equity-classified nonemployee share-based payments is generally fixed on the grant date and the options are no longer revalued on each reporting date. The expenses related to the share-based compensation are recognized on each reporting date. The amount is calculated as the difference between total expenses incurred and the total expenses already recognized. |
Cost of Revenue | Cost of Revenue The Company’s cost of revenue primarily consists of labor, fuel costs and items purchased by the Company specifically for the benefit of the Company’s clients. |
Basic and Diluted Earnings per share | Basic and Diluted Earnings per share Net loss per share is provided in accordance with FASB ASC 260-10, “Earnings per Share”. Basic loss per share is computed by dividing losses available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive loss per share excludes all potential common shares if their effect is anti-dilutive. For the periods presented all common stock equivalents were excluded from the calculation of diluted loss per share as their effect would be anti-dilutive. The following is a reconciliation of the numerator and denominator used in the basic and diluted earnings per share (“EPS”) calculations for the year ended December 31, 2021 and December 31, 2020. Schedule of Basic and Diluted Earnings Per Share (“EPS”) Year ended December 31, 2021 Year ended December 31, 2020 Numerator: Net income / (loss) $ 1,750,589 $ (934,577 ) Denominator: Weighted-average shares of common stock 8,457,364 8,016,204 Dilutive effect of warrants - - Dilutive effect of convertible instruments 3,875,500 - Diluted weighted-average of common stock 12,314,864 8,016,204 Net income per common share from: Basic $ 0.21 $ (0.12 ) Diluted $ 0.14 $ (0.12 ) |
Dividends | Dividends The Company has not yet adopted any policy regarding payment of dividends. No dividends have been paid or declared since inception. |
Income Taxes | Income Taxes The Company follows FASB Codification Topic 740-10-25 (ASC 740-10-25) for recording the provision for income taxes. Deferred tax assets and liabilities are computed based upon the difference between the financial statement and income tax basis of assets and liabilities using the enacted marginal tax rate applicable when the related asset or liability is expected to be realized or settled. Deferred income tax expenses or benefits are based on the changes in the asset or liability each period. If available evidence suggests that it is more likely than not that some portion or all of the deferred tax assets will not be realized, a valuation allowance is required to reduce the deferred tax assets to the amount that is more likely than not to be realized. Future changes in such valuation allowance are included in the provision for deferred income taxes in the period of change. Deferred income taxes may arise from temporary differences resulting from income and expense items reported for financial accounting and tax purposes in different periods. Deferred taxes are classified as current or non-current, depending on the classification of assets and liabilities to which they relate. Deferred taxes arising from temporary differences that are not related to an asset or liability are classified as current or non-current depending on the periods in which the temporary differences are expected to reverse. |
Recent Pronouncements | Recent Pronouncements In February 2016, the FASB issued ASU 2016-02, Leases The Company evaluated all other recent accounting pronouncements issued and determined that the adoption of these pronouncements would not have a material effect on the financial position, results of operations or cash flows of the Company. |
Accounting policies and proce_3
Accounting policies and procedures (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Estimated useful Lives of Property and Equipment | Schedule of Estimated useful Lives of Property and Equipment Automotive Vehicles 5 years Furniture and Equipment 7 years Buildings and Improvements 10 years |
Schedule of Fair Value of Liabilities Measured on Recurring Basis | The following table presents the derivative financial instruments, the Company’s only financial liabilities, measured and recorded at fair value on the Company’s consolidated balance sheet on a recurring basis, and their level within the fair value hierarchy as of December 31, 2021 and December 31, 2020: December 31, 2021 Schedule of Fair Value of Liabilities Measured on Recurring Basis Amount Level 1 Level 2 Level 3 Embedded conversion derivative liability $ 712,784 $ - $ - $ 712,784 Warrant derivative liabilities $ - $ $ $ - Total $ 712,784 $ - $ - $ 712,784 December 31, 2020 Amount Level 1 Level 2 Level 3 Embedded conversion derivative liability $ 2,246,080 $ $ $ 2,246,080 Warrant derivative liabilities $ 1,565 $ - $ - $ 1,565 Total $ 2,247,645 $ - $ - $ 2,247,645 |
Schedule of Revenue by Major Customers by Reporting Segments | In general, the Company’s business segmentation is aligned according to the nature and economic characteristics. Revenue is characterized by several lines of services and typically the pricing is fixed. Schedule of Revenue by Major Customers by Reporting Segments Year ended December 31, Revenue Breakdown by Streams 2021 2020 Service: Transportation $ 1,775,594 $ 1,928,289 Service: Currency Processing $ 2,800,377 $ 2,111,966 Service: Compliance $ 83,422 $ 91,395 Total $ 4,659,393 $ 4,131,650 |
Schedule of Basic and Diluted Earnings Per Share (“EPS”) | The following is a reconciliation of the numerator and denominator used in the basic and diluted earnings per share (“EPS”) calculations for the year ended December 31, 2021 and December 31, 2020. Schedule of Basic and Diluted Earnings Per Share (“EPS”) Year ended December 31, 2021 Year ended December 31, 2020 Numerator: Net income / (loss) $ 1,750,589 $ (934,577 ) Denominator: Weighted-average shares of common stock 8,457,364 8,016,204 Dilutive effect of warrants - - Dilutive effect of convertible instruments 3,875,500 - Diluted weighted-average of common stock 12,314,864 8,016,204 Net income per common share from: Basic $ 0.21 $ (0.12 ) Diluted $ 0.14 $ (0.12 ) |
Commitments and contingencies (
Commitments and contingencies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Leases Payments | Schedule of Future Minimum Leases Payments Future minimum lease payments as December 31, 2021 2022 $ 29,301 Thereafter 16,402 Total minimum lease payments $ 45,703 |
Schedule of Operating Leases | Supplemental balance sheet information related to leases is as follows: Schedule of Operating Leases December 31, 2021 Operating Leases Classification December 31, 2021 Right-of-use assets Operating right of use assets $ 529,711 Total $ 529,711 Current lease liabilities Current operating lease liabilities $ 125,266 Non-current lease liabilities Long-term operating lease liabilities $ 440,366 Total $ 565,632 Operating Leases Classification December 31, 2020 Right-of-use assets Operating right of use assets $ 636,968 Total $ 636,968 Current lease liabilities Current operating lease liabilities $ 107,242 Non-current lease liabilities Long-term operating lease liabilities $ 565,632 Total $ 672,874 |
Summary of Operating Lease Liabilities | Lease term and discount rate were as follows: Summary of Operating Lease Liabilities December 31, 2021 Weighted average remaining lease term (years) 3.50 Weighted average discount rate 12 % Lease term and discount rate were as follows: December 31, 2020 Weighted average remaining lease term (years) 4.50 Weighted average discount rate 12 % |
Summary of Lease Expenses | The following summarizes lease expenses for the year ended December 31, 2021: Summary of Lease Expenses Finance lease expenses: Depreciation/amortization expense $ 107,257 Interest on lease liabilities 77,121 Finance lease expense $ 184,378 The following summarizes lease expenses for the year ended December 31, 2020: Finance lease expenses: Depreciation/amortization expense $ 118,291 Interest on lease liabilities $ 101,934 Finance lease expense $ 220,225 |
Schedule of Cash Flow Information Related to Lease | Supplemental disclosures of cash flow information related to leases were as follows: Schedule of Cash Flow Information Related to Lease December 31, 2021 Cash paid for operating lease liabilities $ 107,242 Operating right of use assets obtained in exchange for operating lease liabilities $ - Supplemental disclosures of cash flow information related to leases were as follows: December 31, 2020 Cash paid for operating lease liabilities $ 216,587 Operating right of use assets obtained in exchange for operating lease liabilities $ - |
Schedule of Maturities of Lease Liabilities | Maturities of lease liabilities were as follows as of December 31, 2021: Schedule of Maturities of Lease Liabilities Operating Leases 2022 $ 186,453 2023 $ 158,298 2024 $ 138,532 2025 $ 141,302 2026 $ 107,558 2027 Total $ 732,143 Less: Imputed interest $ (166,511 ) Present value of lease liabilities $ 565,632 Maturities of lease liabilities were as follows as of December 31, 2020: Operating Leases 2021 $ 182,267 2022 $ 186,453 2023 $ 158,298 2024 $ 138,532 2025 $ 141,302 2026 $ 107,558 Total $ 914,410 Less: Imputed interest $ (241,536 ) Present value of lease liabilities $ 672,874 |
Fixed assets (Tables)
Fixed assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fixed assets: | |
Schedule of Machinery and Equipment | Machinery and equipment consisted of the following at: Schedule of Machinery and Equipment December 31, 2021 December 31, 2020 Automotive vehicles $ 485,701 $ 398,614 Furniture and equipment $ 108,265 $ 85,435 Machinery and Equipment $ 135,706 $ 135,706 Leasehold improvements $ 141,234 $ 128,414 Fixed assets, total $ 870,906 $ 748,169 Total: accumulated depreciation $ (586,130 ) $ (451,759 ) Fixed assets, net $ 284,776 $ 296,410 |
Notes payable _ related parti_2
Notes payable – related parties (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Schedule of Related Parties Debt Maturity | Schedule of Related Parties Debt Maturity Date Amount March 31, 2022 $ 12,500 April 30, 2022 $ 12,500 May 31, 2022 $ 12,500 June 30, 2022 $ 12,500 |
Derivative Liability (Tables)
Derivative Liability (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Liabilities at Fair Value | The change in the fair value of derivative liabilities is as follows: Schedule of Derivative Liabilities at Fair Value Balance - December 31, 2019 $ 1,170,060 Settlement of derivatives upon conversion $ (14,327 ) Debt discount from derivative liability $ 176,858 Loss on change in fair value of the derivative $ 915,054 Balance - December 31, 2020 $ 2,247,645 Settlement of derivatives upon conversion $ (457,572 ) Gain on change in fair value of the derivative $ (1,077,289 ) Balance – December 31, 2021 $ 712,784 |
Schedule of Derivative Instruments, Black-Scholes Option-pricing Model Inputs Used | The table below shows the Black-Scholes option-pricing model inputs used by the Company to value the derivative liability at each measurement date: Schedule of Derivative Instruments, Black-Scholes Option-pricing Model Inputs Used Year ended Year ended Expected term 0.25 1.09 0.08 1.01 Expected average volatility 138.34 162.05 % 291.56 378.27 % Expected dividend yield - - Risk-free interest rate 0.06 0.39 % 0.08 0.15 % |
Options and warrants (Tables)
Options and warrants (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Options And Warrants | |
Summary of Stock Option Activity | The following is a summary of the Company’s stock option activity for the year ended December 31, 2020: Summary of Stock Option Activity Number Of Weighted-Average Exercise Price Outstanding at December 31, 2019 240,117 $ 1.10 Granted - $ - Expired (240,117 ) $ 1.10 Cancelled - $ - Outstanding at December 31, 2020 - $ - Options exercisable at December 31, 2020 - $ |
Schedule of Stock Options Outstanding and Exercisable Exercise Price Range | The following tables summarize information about stock options outstanding and exercisable at December 31, 2021 and December 31, 2020: Schedule of Stock Options Outstanding and Exercisable Exercise Price Range OPTIONS OUTSTANDING AND EXERCISABLE AT DECEMBER 31, 2020 Range of Number of Weighted- Weighted- Number Weighted- $ - - - $ - - $ - |
Summary of Warrants Activity | The following is a summary of the Company’s warrant activity for the year ended December 31, 2021: Summary of Warrants Activity Number Of Weighted-Average Exercise Price Outstanding at December 31, 2020 100,000 $ 1.00 Granted - $ - Expired (100,000 ) $ 1.00 Cancelled - $ - Outstanding at December 31, 2021 - $ 1.00 Warrants exercisable at December 31, 2020 100,000 $ 1.00 Warrants exercisable at December 31, 2021 - $ - |
Schedule of Warrants Outstanding and Exercisable Exercise Price Range | The following tables summarize information about warrants outstanding and exercisable at December 31, 2020: Schedule of Warrants Outstanding and Exercisable Exercise Price Range WARRANTS OUTSTANDING AND EXERCISABLE AT DECEMBER 31, 2020 Range of Number of Warrants Outstanding Weighted- Average Remaining Contractual Life in Years Weighted- Average Exercise Price Number Exercisable Weighted- Average Exercise Price $ 1.00 100,000 .52 $ 1.00 100,000 $ 1.00 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Deferred Tax Assets | Schedule of Components of Deferred Tax Assets 2020 2019 December 31 2021 2020 Deferred tax assets: Net operating loss carry forwards $ 1,500,524 $ 1,641,647 Valuation allowance $ (1,500,524 ) (1,641,647 ) Total deferred tax assets $ - $ - |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the Company’s income taxes to amounts calculated at the federal statutory rate is as follows for the years ended December 31: Schedule of Effective Income Tax Rate Reconciliation 2021 2020 Federal statutory taxes (21.00 )% (21.00 )% Change in tax rate estimate — — Change in valuation allowance 21.00 % 21.00 % — % — % 2021 2020 Federal statutory tax Reconciliation rate (21.0 )% (21.0 )% Permanent difference and other 21.0 % 21.0 % |
History and organization of t_2
History and organization of the company (Details Narrative) - $ / shares | Jul. 06, 2021 | May 06, 2014 | Dec. 31, 2021 | Dec. 31, 2020 | May 05, 2014 | Sep. 11, 2006 |
Common stock, shares authorized | 14,000,000 | 1,400,000,000 | 14,000,000 | 14,000,000 | 100,000,000 | |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | ||
Preferred stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | |||
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | |||
Stockholders' Equity Note, Stock Split | On July 6, 2021, the Company effected a reverse stock split and a pro-rata decrease in its authorized common stock on a basis of 1-for-100, the authorized capital of the Company concurrently decreased to 14,000,000 shares of common stock. | On May 6, 2014, the Company effected a forward stock split and a pro-rata increase in its authorized common stock on a basis of 14-to-1, whereby each shareholder received 14 newly issued shares of common stock for each 1 share held | ||||
Maximum [Member] | ||||||
Common stock, shares authorized | 100,000,000 |
Schedule of Estimated useful Li
Schedule of Estimated useful Lives of Property and Equipment (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Automobiles [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 5 years |
Furniture and Fixtures [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 7 years |
Building Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, useful lives | 10 years |
Schedule of Fair Value of Liabi
Schedule of Fair Value of Liabilities Measured on Recurring Basis (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Defined Benefit Plan Disclosure [Line Items] | |||
Embedded conversion derivative liability | $ 712,784 | $ 2,246,080 | |
Warrant derivative liabilities | 1,565 | ||
Total | 712,784 | 2,247,645 | $ 1,170,060 |
Fair Value, Inputs, Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Embedded conversion derivative liability | |||
Warrant derivative liabilities | |||
Total | |||
Fair Value, Inputs, Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Embedded conversion derivative liability | |||
Warrant derivative liabilities | |||
Total | |||
Fair Value, Inputs, Level 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Embedded conversion derivative liability | 712,784 | 2,246,080 | |
Warrant derivative liabilities | 1,565 | ||
Total | $ 712,784 | $ 2,247,645 |
Schedule of Revenue by Major Cu
Schedule of Revenue by Major Customers by Reporting Segments (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Product Information [Line Items] | ||
Total | $ 4,659,393 | $ 4,131,650 |
Service: Transportation [Member] | ||
Product Information [Line Items] | ||
Total | 1,775,594 | 1,928,289 |
Service: Currency Processing [Member] | ||
Product Information [Line Items] | ||
Total | 2,800,377 | 2,111,966 |
Service: Compliance [Member] | ||
Product Information [Line Items] | ||
Total | $ 83,422 | $ 91,395 |
Schedule of Basic and Diluted E
Schedule of Basic and Diluted Earnings Per Share (“EPS”) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Accounting Policies [Abstract] | ||
Net income / (loss) | $ 1,750,589 | $ (934,577) |
Weighted-average shares of common stock | 8,457,364 | 8,016,204 |
Dilutive effect of warrants | ||
Dilutive effect of convertible instruments | 3,875,500 | |
Diluted weighted-average of common stock | 12,314,864 | 8,016,204 |
Basic | $ 0.21 | $ (0.12) |
Diluted | $ 0.14 | $ (0.12) |
Accounting policies and proce_4
Accounting policies and procedures (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Product Information [Line Items] | ||
Cash equivalents | $ 0 | $ 0 |
Allowance for doubtful receivables | 0 | 0 |
Asset Impairment Charges | 0 | 0 |
Depreciation | 134,371 | 126,474 |
Gain on settlement of accounts payable | 4,500 | |
Advertising Expense | 4,298 | 3,075 |
Vendor [Member] | ||
Product Information [Line Items] | ||
Gain on settlement of accounts payable | $ 533 | $ 4,500 |
One Major Customers [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Product Information [Line Items] | ||
Concentration credit risk, percentage | 22.00% | |
One Major Customers [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Product Information [Line Items] | ||
Concentration credit risk, percentage | 35.00% | |
Two Major Customers [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Product Information [Line Items] | ||
Concentration credit risk, percentage | 30.00% | |
Two Major Customers [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Product Information [Line Items] | ||
Concentration credit risk, percentage | 35.00% | |
Customer One [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Product Information [Line Items] | ||
Concentration credit risk, percentage | 17.00% | |
Customer One [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Product Information [Line Items] | ||
Concentration credit risk, percentage | 23.00% | |
Customer Two [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member] | ||
Product Information [Line Items] | ||
Concentration credit risk, percentage | 12.00% | 13.00% |
Schedule of Future Minimum Leas
Schedule of Future Minimum Leases Payments (Details) | Dec. 31, 2021USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2022 | $ 29,301 |
Thereafter | 16,402 |
Total minimum lease payments | $ 45,703 |
Schedule of Operating Leases (D
Schedule of Operating Leases (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Loss Contingencies [Line Items] | ||
Total | $ 529,711 | $ 636,968 |
Current lease liabilities | 125,266 | 107,242 |
Non-current lease liabilities | 440,366 | 565,632 |
Total | 565,632 | 672,874 |
Operating Right of Use Assets [Member] | ||
Loss Contingencies [Line Items] | ||
Total | 529,711 | 636,968 |
Current Operating Lease Liabilities [Member] | ||
Loss Contingencies [Line Items] | ||
Current lease liabilities | 125,266 | 107,242 |
Long-Term Operating Lease Liabilities [Member] | ||
Loss Contingencies [Line Items] | ||
Non-current lease liabilities | $ 440,366 | $ 565,632 |
Summary of Operating Lease Liab
Summary of Operating Lease Liabilities (Details) | Dec. 31, 2021 | Dec. 31, 2020 |
Commitments and Contingencies Disclosure [Abstract] | ||
Weighted average remaining lease term (years) | 3 years 6 months | 4 years 6 months |
Weighted average discount rate | 12.00% | 12.00% |
Summary of Lease Expenses (Deta
Summary of Lease Expenses (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Depreciation/amortization expense | $ 107,257 | $ 118,291 |
Interest on lease liabilities | 77,121 | 101,934 |
Finance lease expense | $ 184,378 | $ 220,225 |
Schedule of Cash Flow Informati
Schedule of Cash Flow Information Related to Lease (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Cash paid for operating lease liabilities | $ 107,242 | $ 216,587 |
Operating right of use assets obtained in exchange for operating lease liabilities | $ 0 | $ 0 |
Schedule of Maturities of Lease
Schedule of Maturities of Lease Liabilities (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Commitments and Contingencies Disclosure [Abstract] | ||
2021 | $ 186,453 | $ 182,267 |
2022 | 158,298 | 186,453 |
2023 | 138,532 | 158,298 |
2024 | 141,302 | 138,532 |
2025 | 107,558 | 141,302 |
2026 | 107,558 | |
Total | 732,143 | 914,410 |
Less: Imputed interest | (166,511) | (241,536) |
Present value of lease liabilities | $ 565,632 | $ 672,874 |
Commitments and contingencies_2
Commitments and contingencies (Details Narrative) - USD ($) | Jun. 02, 2021 | Mar. 01, 2019 | Jan. 22, 2019 | Aug. 16, 2018 | May 29, 2018 | Apr. 25, 2018 | Jul. 25, 2017 | Oct. 27, 2016 | Jun. 14, 2016 | Apr. 14, 2016 | Nov. 06, 2015 | Sep. 30, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Mar. 01, 2021 |
Loss Contingencies [Line Items] | |||||||||||||||
Accounts payable | $ 0 | $ 0 | |||||||||||||
Gain on settlement of a vendor payable | 4,500 | ||||||||||||||
Operating Lease, Payments | 107,242 | 216,587 | |||||||||||||
Gain loss on termination of lease | 8,800 | ||||||||||||||
Operating lease liability | 565,632 | 672,874 | |||||||||||||
Right to use assets | $ 529,711 | 636,968 | |||||||||||||
Incremental borrowing rate | 12.00% | ||||||||||||||
Accounting Standards Update 2016-02 [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Operating lease liability | $ 1,082,241 | ||||||||||||||
Right to use assets | 1,082,241 | ||||||||||||||
Vehicle [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Operating Lease, Payments | $ 56,733 | $ 64,354 | $ 58,476 | $ 38,388 | $ 29,390 | ||||||||||
Lease payment including sales tax | $ 2,765 | $ 1,129 | $ 1,165 | $ 976 | $ 621 | ||||||||||
Operating lease description | The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying assets | The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying assets | The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying asset | The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying asset | The Company recognized this arrangement as a finance lease based on the determination that the lease exceeded 75% of the economic life of the underlying asset | ||||||||||
Operating lease down payment | $ 3,510 | $ 30,000 | $ 20,000 | $ 7,500 | |||||||||||
Number of monthly payment | 24 months | 36 months | 36 months | ||||||||||||
Other Expenses | $ 10,000 | ||||||||||||||
Building [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Repayments of Debt | $ 677,681 | ||||||||||||||
Operating lease, option to extend | the Company having the option to extend the term of the lease for additional four year periods | the option to extend the term of the lease for two additional five-year periods | |||||||||||||
Operating leases, rent expense, net | 3,200 | $ 3,880 | $ 10,000 | ||||||||||||
Rent increase annually, percentage | 2.00% | 2.00% | |||||||||||||
Lease requires rental paid as deposit | $ 3,200 | $ 4,369 | $ 30,000 | ||||||||||||
Operating lease term | 63 months | 1 year | |||||||||||||
Operating lease cancellation fee | 35,760 | ||||||||||||||
Gain loss on termination of lease | $ 8,800 | ||||||||||||||
Building [Member] | Maximum [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Operating lease term | 63 months | ||||||||||||||
Building [Member] | Maximum [Member] | 28 Through 63 Months [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Operating leases, rent expense, net | $ 3,400 | ||||||||||||||
Building [Member] | Minimum [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Operating lease term | 28 months | ||||||||||||||
Daniel Sullivan [Member] | Mile High Real Estate Group [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Utilities for operating and building remodeling amount | $ 98,150 | ||||||||||||||
Daniel Sullivan [Member] | Independent Contractor Agreement [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Claim for unpaid wages | 8,055 | ||||||||||||||
Unreimbursed compensation | $ 154,409 | ||||||||||||||
Unrelated Third Party [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Consultant fee | $ 75,000 | $ 75,000 | |||||||||||||
Number of restricted common stock issue | 1,500,000 | ||||||||||||||
Unrelated Third Party [Member] | Building [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Proceeds from Sale of Buildings | $ 1,400,000 |
Schedule of Machinery and Equip
Schedule of Machinery and Equipment (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Fixed assets, total | $ 870,906 | $ 748,169 |
Total : accumulated depreciation | (586,130) | (451,759) |
Fixed assets, net | 284,776 | 296,410 |
Automobiles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, total | 485,701 | 398,614 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, total | 108,265 | 85,435 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, total | 135,706 | 135,706 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Fixed assets, total | $ 141,234 | $ 128,414 |
Fixed assets (Details Narrative
Fixed assets (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Fixed assets: | ||
Depreciation | $ 134,371 | $ 126,474 |
Notes payable (Details Narrativ
Notes payable (Details Narrative) - USD ($) | May 28, 2021 | Feb. 28, 2021 | Sep. 18, 2020 | May 15, 2019 | Mar. 21, 2018 | Oct. 18, 2017 | Jan. 05, 2016 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Short-term Debt [Line Items] | |||||||||||
Repayment of notes payable | $ 78,837 | $ 20,907 | |||||||||
Amortization expenses from deferred financing cost | 0 | 8,710 | |||||||||
Helix Funding, LLC [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt principal amount | $ 100,000 | ||||||||||
Maturity date | Nov. 1, 2019 | ||||||||||
Interest rate | 12.00% | ||||||||||
Notes payable | 0 | ||||||||||
Crown Bridge Partners, LLC [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt Instrument, Fee Amount | $ 500 | ||||||||||
Debt Conversion, Original Debt, Amount | 9,510 | ||||||||||
Debt conversion fee | $ 500 | ||||||||||
Debt Conversion, Converted Instrument, Shares Issued | 26,000,000 | ||||||||||
Convertible Notes Payable [Member] | Settlement And Release Agreement [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Repayment of debt | $ 200,000 | ||||||||||
Interest expense | 400,000 | ||||||||||
Addditional interest expense | 250,000 | ||||||||||
Convertible Notes Payable [Member] | Settlement And Release Agreement [Member] | 30th Day After Signing [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Repayment of debt | $ 100,000 | ||||||||||
Convertible Notes Payable [Member] | Crown Bridge Partners, LLC [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt Conversion, Original Debt, Amount | $ 9,510 | ||||||||||
Non-Related Parties [Member] | Notes Payable Two [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt principal amount | $ 10,000 | ||||||||||
Maturity date | Jan. 5, 2017 | ||||||||||
Interest rate | 5.00% | ||||||||||
Debt default penalty percentage | 5.00% | ||||||||||
Notes payable | 10,000 | ||||||||||
Non-Related Parties [Member] | Convertible Notes Payable [Member] | Crown Bridge Partners, LLC [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt principal amount | $ 2,980 | ||||||||||
Debt converted into shares of common stock | 29,000,000 | ||||||||||
Debt Instrument, Fee Amount | $ 500 | ||||||||||
Non-Related Party [Member] | Notes Payable Two [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Notes payable | 0 | 10,000 | |||||||||
Unrelated Third Party [Member] | Convertible Notes Payable [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt principal amount | $ 150,000 | ||||||||||
Maturity date | Jul. 16, 2018 | May 11, 2019 | |||||||||
Notes payable | 0 | 150,000 | |||||||||
Debt Instrument, Unamortized Discount | $ 15,250 | ||||||||||
Debt default interest | 24.00% | ||||||||||
Debt instrument convertible terms of conversion feature | The conversion price is the lesser of (1) lowest trading price during the previous 25 days prior to the note agreement or (2) 50% lowest trading price during the 25 days prior to conversion. Covenants: The Borrower shall not, without the Holder’s consent, sell, lease or dispose of any significant portion of its assets outside the ordinary course of business | ||||||||||
Repayment of debt | $ 150,000 | ||||||||||
Extension fees | $ 75,000 | ||||||||||
Amortization of debt discount | 134,750 | ||||||||||
Interest Payable | $ 39,478 | ||||||||||
Debt converted into shares of common stock | 2,178,825 | ||||||||||
Loss on debt instrument | $ 61,624 | ||||||||||
Unrelated Third Party [Member] | Convertible Notes Payable [Member] | Helix Funding, LLC [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Repayment of notes payable | 100,000 | ||||||||||
Unrelated Third Party [Member] | Convertible Notes Payable Three [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt principal amount | $ 45,000 | $ 23,223 | |||||||||
Maturity date | Mar. 21, 2019 | ||||||||||
Interest rate | 12.00% | ||||||||||
Notes payable | 0 | $ 19,218 | |||||||||
Debt default interest | 15.00% | ||||||||||
Debt instrument convertible terms of conversion feature | The conversion Feature Convertible immediately after the issuance, the Holder has the option to convert the outstanding principal and accrued interest into common stock of the Company. The Conversion price is 55% of the lowest trading price during the 25 Trading Day periods prior to the Conversion. Covenants: The Borrower shall not, without the Holder’s consent, sell, lease or dispose of any significant portion of its assets outside the ordinary course of business | ||||||||||
Repayment of debt | $ 9,708 | ||||||||||
Amortization of debt discount | $ 40,500 | ||||||||||
Debt converted into shares of common stock | 841,602 | ||||||||||
Loss on debt instrument | $ 32,858 | ||||||||||
Interest expense | 31,623 | ||||||||||
Debt Instrument, Fee Amount | 4,500 | ||||||||||
Amortization | $ 9,863 | $ 3,514 |
Schedule of Related Parties Deb
Schedule of Related Parties Debt Maturity (Details) | 12 Months Ended |
Dec. 31, 2021USD ($) | |
March 31, 2022 [Member] | |
Short-term Debt [Line Items] | |
Maturity date | Mar. 31, 2022 |
Notes payable | $ 12,500 |
April 30, 2022 [Member] | |
Short-term Debt [Line Items] | |
Maturity date | Apr. 30, 2022 |
Notes payable | $ 12,500 |
May 31, 2022 [Member] | |
Short-term Debt [Line Items] | |
Maturity date | May 31, 2022 |
Notes payable | $ 12,500 |
June 30, 2022 [Member] | |
Short-term Debt [Line Items] | |
Maturity date | Jun. 30, 2022 |
Notes payable | $ 12,500 |
Notes payable _ related parti_3
Notes payable – related parties (Details Narrative) - USD ($) | Jul. 31, 2022 | Mar. 03, 2022 | Mar. 07, 2017 | Oct. 14, 2016 | Sep. 01, 2016 | Sep. 01, 2016 | Nov. 13, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Nov. 30, 2015 | Jul. 31, 2014 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2015 | Sep. 30, 2021 | Sep. 11, 2006 |
Related Party Transaction [Line Items] | ||||||||||||||||
Repayments of related party debt | $ 175,097 | |||||||||||||||
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | |||||||||||||
Patrick Deparini [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Repayment of debt | $ 575 | |||||||||||||||
Subsequent Event [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Repayments of related party debt | $ 137,500 | $ 137,500 | ||||||||||||||
Debt Instrument, Periodic Payment, Principal | $ 12,500 | |||||||||||||||
Interest rate | 7.50% | |||||||||||||||
Accrued interest debt forgive | $ 250,000 | |||||||||||||||
Default rate percentage | 12.00% | |||||||||||||||
Convertible Notes [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Proceeds from related party debt | $ 20,000 | $ 25,000 | ||||||||||||||
Debt due date | Nov. 4, 2016 | |||||||||||||||
Repayment of debt | $ 45,000 | |||||||||||||||
Interest rate | 5.00% | |||||||||||||||
Conversion price per share | $ 0.025 | |||||||||||||||
Accrued interest | $ 6,767 | |||||||||||||||
Convertible notes payable | 0 | 45,000 | ||||||||||||||
Convertible Promissory Note [Member] | Hypur Ventures, L.P., [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Proceeds from related party debt | $ 75,000 | |||||||||||||||
Debt principal amount | 75,000 | 75,000 | ||||||||||||||
Convertible Promissory Note One [Member] | Hypur Ventures, L.P., [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Proceeds from related party debt | $ 100,000 | |||||||||||||||
Debt principal amount | 100,000 | 100,000 | ||||||||||||||
Interest rate | 10.00% | |||||||||||||||
Debt default interest rate | 15.00% | |||||||||||||||
Conversion price per share | $ 0.05 | |||||||||||||||
Debt instrument due, description | The loan was due 180 days from the date of issuance and bears interest at 10% per annum. The note is convertible into common stock at a price of $.05 per share. The note is mandatory redeemable into common stock if the price per share is over $.50 per share during a 10 day period. The principal balance owed on this loan at December 31, 2021 and December 31, 2020 was $100,000 and $100,000, respectively. Upon default, the note bears a default rate of interest of 15% per annum, and if the default has not been remedied within 30 days, the redemption price would be 150% of the principal amount. As of December 31, 2021 and December 31, 2020, Hyper has waived the default provision until January 1, 2022 | The loan was due 180 days from the date of issuance and bears interest at 10% per annum. The note is convertible into common stock at a price of $.05 per share. The note is mandatory redeemable into common stock if the price per share is over $.50 per share during a 10 day period. The principal balance owed on this loan at December 31, 2021 and December 31, 2020 was $75,000 and $75,000, respectively. Upon default, the note bears a default rate of interest of 15% per annum, and if the default has not been remedied within 30 days, the redemption price would be 150% of the principal amount. As of December 31, 2021 and December 31, 2020, Hyper has waived the default provision until January 1, 2022 | ||||||||||||||
Debt instrument redeem price, percentage | 150.00% | |||||||||||||||
Convertible Promissory Note One [Member] | Hypur Ventures, L.P., [Member] | Ten-Day Period [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Conversion price per share | $ 0.50 | |||||||||||||||
Related Party Loan One [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Debt principal amount | 0 | 30,000 | ||||||||||||||
Cash and expenses, related party | $ 10,000 | |||||||||||||||
Debt due date | Jan. 1, 2022 | |||||||||||||||
Repayment of debt | 30,000 | |||||||||||||||
Related Party Loan One [Member] | Hypur Ventures, L.P., [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Proceeds from related party debt | $ 100,000 | |||||||||||||||
Debt principal amount | 100,000 | 100,000 | ||||||||||||||
Interest rate | 10.00% | |||||||||||||||
Debt default interest rate | 15.00% | |||||||||||||||
Conversion price per share | $ 0.05 | |||||||||||||||
Debt instrument due, description | The loan is convertible into shares of the Company’s common stock at a price of $ | |||||||||||||||
Debt instrument redeem price, percentage | 150.00% | |||||||||||||||
Related Party Loan One [Member] | Hypur Ventures, L.P., [Member] | Ten-Day Period [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Conversion price per share | $ 0.50 | |||||||||||||||
Related Party Loan Two [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Debt principal amount | 54,621 | 54,621 | ||||||||||||||
Cash and expenses, related party | $ 180,121 | |||||||||||||||
Repayment of debt | $ 125,500 | |||||||||||||||
Hypur Inc [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Notes payable | 688,500 | |||||||||||||||
Related Party Loan Three [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Proceeds from related party debt | $ 25,000 | |||||||||||||||
Debt principal amount | 0 | 25,000 | ||||||||||||||
Debt due date | Nov. 12, 2015 | |||||||||||||||
Repayment of debt | 25,000 | |||||||||||||||
Interest rate | 18.00% | |||||||||||||||
Common stock, par value | $ 0.001 | |||||||||||||||
Debt default interest rate | 24.00% | |||||||||||||||
Cgdk Llc [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Debt principal amount | 1,185,217 | |||||||||||||||
Notes payable | $ 452,246 | |||||||||||||||
Interest rate | 5.00% | |||||||||||||||
Mkm Capital Advisors [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Debt principal amount | $ 128,600 | |||||||||||||||
Notes payable | $ 70,088.08 | |||||||||||||||
Interest rate | 5.00% | |||||||||||||||
Accrued interest debt forgive | $ 457,572 | |||||||||||||||
Former Officer and Shareholder [Member] | ||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||
Proceeds from related party debt | $ 98,150 | |||||||||||||||
Debt principal amount | $ 98,150 | $ 98,150 |
Schedule of Derivative Liabilit
Schedule of Derivative Liabilities at Fair Value (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Begining balance | $ 2,247,645 | $ 1,170,060 |
Settlement of derivatives upon conversion | (457,572) | (14,327) |
Debt discount from derivative liability | 176,858 | |
Gain on change in fair value of the derivative | (1,077,289) | 915,054 |
Ending balance | $ 712,784 | $ 2,247,645 |
Schedule of Derivative Instrume
Schedule of Derivative Instruments, Black-Scholes Option-pricing Model Inputs Used (Details) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Measurement Input, Expected Dividend Rate [Member] | ||
Derivative [Line Items] | ||
Fair value assumptions, measurement input, percentages | 0 | 0 |
Minimum [Member] | Measurement Input, Expected Term [Member] | ||
Derivative [Line Items] | ||
Fair value assumptions, measurement input, term | 3 months | 29 days |
Minimum [Member] | Measurement Input, Option Volatility [Member] | ||
Derivative [Line Items] | ||
Fair value assumptions, measurement input, percentages | 1.3834 | 2.9156 |
Minimum [Member] | Measurement Input, Risk Free Interest Rate [Member] | ||
Derivative [Line Items] | ||
Fair value assumptions, measurement input, percentages | 0.0006 | 0.0008 |
Maximum [Member] | Measurement Input, Expected Term [Member] | ||
Derivative [Line Items] | ||
Fair value assumptions, measurement input, term | 1 year 1 month 2 days | 1 year 3 days |
Maximum [Member] | Measurement Input, Option Volatility [Member] | ||
Derivative [Line Items] | ||
Fair value assumptions, measurement input, percentages | 1.6205 | 3.7827 |
Maximum [Member] | Measurement Input, Risk Free Interest Rate [Member] | ||
Derivative [Line Items] | ||
Fair value assumptions, measurement input, percentages | 0.0039 | 0.0015 |
Stockholders_ deficit (Details
Stockholders’ deficit (Details Narrative) - USD ($) | Jul. 06, 2021 | Feb. 28, 2021 | May 03, 2016 | May 03, 2016 | May 06, 2014 | Aug. 31, 2016 | Dec. 31, 2021 | Dec. 31, 2020 | May 05, 2014 | Sep. 11, 2006 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Common stock, shares authorized | 14,000,000 | 1,400,000,000 | 14,000,000 | 14,000,000 | 100,000,000 | |||||
Preferred stock, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | ||||||
Stockholders' equity note, stock split | On July 6, 2021, the Company effected a reverse stock split and a pro-rata decrease in its authorized common stock on a basis of 1-for-100, the authorized capital of the Company concurrently decreased to 14,000,000 shares of common stock. | On May 6, 2014, the Company effected a forward stock split and a pro-rata increase in its authorized common stock on a basis of 14-to-1, whereby each shareholder received 14 newly issued shares of common stock for each 1 share held | ||||||||
Warrants exercise price per shares | $ 1 | |||||||||
Crown Bridge Partners, LLC [Member] | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Debt Conversion, Original Debt, Amount | $ 9,510 | |||||||||
Debt Instrument, Fee Amount | $ 500 | |||||||||
Debt Conversion, Converted Instrument, Shares Issued | 26,000,000 | |||||||||
Crown Bridge Partners, LLC [Member] | Common Stock [Member] | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Debt Conversion, Converted Instrument, Shares Issued | 260,000 | |||||||||
Common Stock [Member] | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Rounding from reverse stock split, shares | 1,570 | |||||||||
Preferred Stock [Member] | Hypur Ventures, L.P., [Member] | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Issuance of common stock, shares | 10,000,000 | 10,000,000 | ||||||||
Issuance of common stock warrants | 5,000,000 | 5,000,000 | 5,000,000 | |||||||
Warrants and Rights Outstanding, Term | 5 years | 5 years | 5 years | |||||||
Warrants exercise price per shares | $ 0.10 | $ 0.10 | $ 0.10 | |||||||
Purchase price per share | $ 0.05 | $ 0.05 | $ 0.05 | |||||||
Proceeds from issuance of warrants | $ 500,000 | $ 445,000 | ||||||||
Conversion of beneficial features, intrinsic value | $ 114,229 | 0 | ||||||||
Legal fees | $ 55,000 | |||||||||
Debt conversion trading conversion price per shares | $ 0.50 | $ 0.50 |
Summary of Stock Option Activit
Summary of Stock Option Activity (Details) | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Options And Warrants | |
Number of Options, Outstanding, Beginning | shares | 240,117 |
Weighted-Average Exercise Price, Outstanding, Beginning | $ / shares | $ 1.10 |
Number of Options, Granted | shares | |
Weighted-Average Exercise Price, Granted | $ / shares | |
Number of Options, Expired | shares | (240,117) |
Weighted-Average Exercise Price, Expired | $ / shares | $ 1.10 |
Number of Options, Cancelled | shares | |
Weighted-Average Exercise Price, Cancelled | $ / shares | |
Number of Options, Outstanding, Ending | shares | |
Weighted-Average Exercise Price, Outstanding, Ending | $ / shares | |
Number of Options, Exercisable, Ending | shares | |
Weighted-Average Exercise Price, Exercisable, Ending | $ / shares |
Schedule of Stock Options Outst
Schedule of Stock Options Outstanding and Exercisable Exercise Price Range (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Options And Warrants | ||
Range of Exercise Prices | ||
Number of Options Outstanding | ||
Weighted-Average Remaining Contractual Life in Years | 0 years | 0 years |
Weighted- Average Exercise Price | ||
Number Exercisable | ||
Weighted- Average Exercise Price |
Summary of Warrants Activity (D
Summary of Warrants Activity (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Options And Warrants | ||
Number of Warrants, Outstanding, Beginning | 100,000 | |
Weighted-Average Exercise Price, Outstanding, Beginning | $ 1 | |
Number of Warrants, Granted | ||
Weighted-Average Exercise Price, Granted | ||
Number of Warrants, Expired | (100,000) | |
Weighted-Average Exercise Price, Expired | $ 1 | |
Number of Warrants, Cancelled | ||
Weighted-Average Exercise Price, Cancelled | ||
Number of Warrants, Outstanding, Ending | ||
Weighted-Average Exercise Price, Outstanding, Ending | $ 1 | |
Number of Warrants, Exercisable | 100,000 | |
Weighted-Average Exercise Price, Exercisable | $ 1 |
Schedule of Warrants Outstandin
Schedule of Warrants Outstanding and Exercisable Exercise Price Range (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | |
Options And Warrants | ||
Range of Exercise Prices | $ 1 | |
Number of Warrants Outstanding | 100,000 | |
Weighted-Average Remaining Contractual Life in Years | 6 months 7 days | |
Weighted - Average Exercise Price | $ 1 | |
Number Exercisable | 100,000 | |
Weighted - Average Exercise Price | $ 1 |
Options and warrants (Details N
Options and warrants (Details Narrative) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Options And Warrants | |||
Stock option grant | 0 | 240,117 | |
Stock-based compensation expense | $ 0 | $ 0 |
Schedule of Components of Defer
Schedule of Components of Deferred Tax Assets (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Income Tax Disclosure [Abstract] | ||
Net operating loss carry forwards | $ 1,500,524 | $ 1,641,647 |
Valuation allowance | (1,500,524) | (1,641,647) |
Total deferred tax assets |
Schedule of Effective Income Ta
Schedule of Effective Income Tax Rate Reconciliation (Details) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Operating Loss Carryforwards [Line Items] | ||
Federal statutory tax Reconciliation rate | (21.00%) | (21.00%) |
Effective Income Tax Rate Reconciliation, Percent | ||
Permanent difference and other | 21.00% | 21.00% |
Federal Statutory [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Federal statutory tax Reconciliation rate | (21.00%) | (21.00%) |
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Percent | ||
Change in valuation allowance | 21.00% | 21.00% |
Effective Income Tax Rate Reconciliation, Percent |
Income taxes (Details Narrative
Income taxes (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Operating Loss Carryforwards [Line Items] | ||
Income tax deduction percentage | 80.00% | |
Operating income (loss) | $ 1,255,916 | $ 793,395 |
Valuation allowance for deferred tax assets | 1,500,524 | 1,641,647 |
Change in valuation allowance | (141,393) | 15,096 |
Operating loss carryforwards | $ 7,144,066 | 7,817,366 |
Tax Cuts And Jobs Act [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Income tax, description | the “TCJA”) that significantly reforms the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”). The TCJA, among other things, contains significant changes to corporate taxation, including reduction of the corporate tax rate from a top marginal rate of 35% to a flat rate of 21%, effective as of January 1, 2018; limitation of the tax deduction for interest expense; limitation of the deduction for net operating losses to 80% of current year taxable income and elimination of net operating loss carry backs, in each case, for losses arising in taxable years beginning after December 31, 2017 (though any such tax losses may be carried forward indefinitely); modifying or repealing many business deductions and credits, including reducing the business tax credit for certain clinical testing expenses incurred in the testing of certain drugs for rare diseases or conditions generally referred to as “orphan drugs”; and repeal of the federal Alternative Minimum Tax (“AMT”) | |
State and Local Jurisdiction [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating income (loss) | $ 7,144,066 | $ 7,817,366 |