Minim (MINM) 10-Q 13 Nov 23 2023 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Mar. 31, 2023	Nov. 09, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Mar. 31, 2023
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--12-31
Entity File Number	1-37649
Entity Registrant Name	MINIM, INC.
Entity Central Index Key	0001467761
Entity Tax Identification Number	04-2621506
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	848 Elm Street
Entity Address, City or Town	Manchester
Entity Address, State or Province	NH
Entity Address, Postal Zip Code	03101
City Area Code	(833)
Local Phone Number	966-4646
Title of 12(b) Security	Common Stock, $0.01 per share
Trading Symbol	MINM
Security Exchange Name	NASDAQ
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 Common Stock, Shares Outstanding		1,898,468

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Current assets
Cash and cash equivalents	$ 802,090	$ 530,110
Restricted cash	500,000	500,000
Accounts receivable, net of allowance of doubtful accounts of $209,710 and $138,331 as of March 31, 2023 and December 31, 2022, respectively	3,194,760	2,758,406
Inventories, net	22,766,496	25,415,206
Prepaid expenses and other current assets	441,971	360,735
Total current assets	27,705,317	29,564,457
Equipment, net	552,190	636,973
Operating lease right-of-use assets, net	134,071	173,480
Intangible assets, net	46,256	73,301
Other assets	514,240	511,795
Total assets	28,952,074	30,960,006
Current liabilities
Bank credit line	3,828,380	4,758,663
Accounts payable	5,336,178	2,837,191
Current maturities of bridge loan agreement	1,000,000	1,000,000
Current maturities of operating lease liabilities	125,010	150,968
Accrued expenses	4,729,053	4,440,724
Deferred revenue, current	629,691	633,542
Total current liabilities	15,648,312	13,821,088
Operating lease liabilities, less current maturities	9,061	22,512
Deferred revenue, noncurrent	896,990	771,738
Total liabilities	16,554,363	14,615,338
Commitments and Contingencies (Note 7)
Stockholders’ equity
Preferred Stock, authorized: 2,000,000 shares at $0.01 par value; 0 shares issued and outstanding
Common Stock, authorized: 60,000,000 shares at $0.01 par value; issued and outstanding: 1,887,535 shares at March 31, 2023 and 1,877,970 shares at December 31, 2022 respectively	471,883	469,492
Additional paid-in capital	90,831,139	90,710,030
Accumulated deficit	(78,905,311)	(74,834,854)
Total stockholders’ equity	12,397,711	16,344,668
Total liabilities and stockholders’ equity	$ 28,952,074	$ 30,960,006

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 209,710	$ 138,331
Preferred stock, shares authorized	2,000,000	2,000,000
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, shares authorized	60,000,000	60,000,000
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares issued	1,887,535	1,877,970
Common stock, shares outstanding	1,887,535	1,877,970

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Net sales	$ 10,751,785	$ 13,299,255
Cost of goods sold	8,142,580	9,108,018
Gross profit	2,609,205	4,191,237
Operating expenses:
Selling and marketing	3,723,812	3,652,026
General and administrative	1,326,464	1,451,032
Research and development	1,484,399	1,542,582
Total operating expenses	6,534,675	6,645,640
Operating loss	(3,925,470)	(2,454,403)
Other expense:
Interest expense, net	144,987	78,097
Total other expense	144,987	78,097
Loss before income taxes	(4,070,457)	(2,532,500)
Income tax provision		6,000
Net loss	$ (4,070,457)	$ (2,538,500)
Basic net loss per share	$ (2.16)	$ (1.38)
Diluted net loss per share	$ (2.16)	$ (1.38)
Weighted average common and common equivalent shares basic	1,880,185	1,840,129
Weighted average common and common equivalent shares	1,880,185	1,840,129

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Beginning balance, value at Dec. 31, 2021	$ 458,850	$ 89,313,273	$ (60,673,683)	$ 29,098,440
Beginning balance, shares at Dec. 31, 2021	1,835,402
Net loss			(2,538,500)	(2,538,500)
Stock-based compensation		562,875		562,875
Stock option exercises	$ 1,807	97,362		99,169
Stock option exercises, shares	7,231
Ending balance, value at Mar. 31, 2022	$ 460,657	89,973,510	(63,212,183)	27,221,984
Ending balance, shares at Mar. 31, 2022	1,842,633
Beginning balance, value at Dec. 31, 2021	$ 458,850	89,313,273	(60,673,683)	29,098,440
Beginning balance, shares at Dec. 31, 2021	1,835,402
Ending balance, value at Dec. 31, 2022	$ 469,492	90,710,030	(74,834,854)	16,344,668
Ending balance, shares at Dec. 31, 2022	1,877,970
Net loss			(4,070,457)	(4,070,457)
Common stock issued for vested restricted units	$ 2,391	(2,391)
Common stock issued for vested restricted stock units, shares	9,565
Stock-based compensation		123,500		123,500
Ending balance, value at Mar. 31, 2023	$ 471,883	$ 90,831,139	$ (78,905,311)	$ 12,397,711
Ending balance, shares at Mar. 31, 2023	1,887,535

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Cash flows used in operating activities:
Net loss	$ (4,070,457)	$ (2,538,500)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	229,423	130,727
Amortization of right-of-use assets	39,409	45,805
Amortization of debt issuance costs	15,188	17,605
Amortization of sales contract costs		9,605
Stock based compensation	123,500	562,875
Provision for accounts receivable allowances	71,379	9,714
Provision for inventory reserves		40,266
Changes in operating assets and liabilities:
Accounts receivable	(507,733)	(331,313)
Inventories	2,648,710	2,505,790
Prepaid expenses and other current assets	(81,248)	(53,489)
Other assets	8,410	17,778
Accounts payable	2,498,991	(4,179,887)
Accrued expenses	288,307	(600,100)
Deferred revenue	121,401	97,276
Operating lease liabilities	(39,409)	(46,208)
Net cash provided by (used in) operating activities	1,345,871	(4,312,056)
Cash flows from investing activities:
Purchases of equipment	(6,330)	(115,103)
Certification costs capitalized	(122,120)	(156,300)
Net cash used in investing activities	(128,450)	(271,403)
Cash flows from financing activities:
Net proceeds from the bank credit line	945,441	1,989,222
Repayment of government loan		(26,506)
Proceeds from stock option exercises		99,169
Net cash provided by financing activities	945,441	2,061,885
Net increase (decrease) in cash and cash equivalents	271,980	(2,521,574)
Cash, cash equivalents, and restricted cash - Beginning	1,030,110	13,070,445	$ 13,070,445
Cash, cash equivalents, and restricted cash - Ending	1,302,090	10,548,871	1,030,110
Cash paid during the period for:
Interest	103,950	78,331
Income taxes		6,000
Cash is reported on the condensed consolidated statements of cash flows as follows:
Cash and cash equivalents	802,090	10,048,871	530,110
Restricted cash	500,000	500,000	$ 500,000
Total cash, cash equivalents and restricted cash	$ 1,302,090	$ 10,548,871

NATURE OF OPERATIONS AND BASIS

NATURE OF OPERATIONS AND BASIS OF PRESENTATION	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
NATURE OF OPERATIONS AND BASIS OF PRESENTATION	(1) NATURE OF OPERATIONS AND BASIS OF PRESENTATION Minim, Inc. and its wholly owned subsidiaries, Cadence Connectivity, Inc., MTRLC LLC, and Minim Asia Private Limited, are herein collectively referred to as “Minim” or the “Company”. The Company delivers intelligent networking products that reliably and securely connect homes and offices around the world. We are the exclusive global license holder to the Motorola brand for home networking hardware. The Company designs and manufactures products including cable modems, cable modem/routers, mobile broadband modems, wireless routers, Multimedia over Coax (“MoCA”) adapters and mesh home networking devices. Our AI-driven cloud software platform and applications make network management and security simple for home and business users, as well as the service providers that assist them— leading to higher customer satisfaction and decreased support burden. On January 21, 2022, Zoom Connectivity, Inc. filed with the Secretary of State of the State of Delaware a Certificate of Amendment to its Certificate of Incorporation to change its legal corporate name from “Zoom Connectivity, Inc.” to “Cadence Connectivity, Inc.”, effective as of January 21, 2022. Basis of Presentation The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with the requirements of the U.S. Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. generally accepted accounting principles (“GAAP”) can be condensed or omitted. In the opinion of management, the financial statements include all normal and recurring adjustments that are considered necessary for the fair presentation of the Company’s financial position and operating results. All intercompany balances and transactions have been eliminated in consolidation. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. The results of the Company’s operations can vary during each quarter of the year. Therefore, the results and trends in these interim financial statements may not be the same as those for the full year or any future periods. Certain prior year amounts have been reclassified to conform to the current year presentation. None of the reclassifications impacted the condensed consolidated statements of operations for the three- month period ended March 31, 2023. On April 17, 2023, the Company effected a 25:1 reverse stock split Liquidity The Company’s operations have historically been financed through the issuance of common stock and borrowings. Since inception, the Company has incurred significant losses and negative cash flows from operations. During the three months ended March 31, 2023, the Company incurred a net loss of $ 4.0 1.3 78.9 0.8 The Company’s financial position and operating results raise substantial doubt about the Company’s ability to continue as a going concern.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	(2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company’s significant accounting policies are disclosed in its Annual Report on Form 10-K for the year ended December 31, 2022. The Company’s significant accounting policies did not change during the three months ended March 31, 2023. Recently Issued Accounting Standards In June 2016, the FASB issued ASU No. 2016-13, “ Financial Instruments Credit Losses — Measurement of Credit Losses on Financial Instruments. There have been no other new accounting pronouncements that have significance, or potential significance, to the Company’s financial position, results of operations and cash flows .

REVENUE AND OTHER CONTRACTS WIT

REVENUE AND OTHER CONTRACTS WITH CUSTOMERS	3 Months Ended
	Mar. 31, 2023
Revenue from Contract with Customer [Abstract]
REVENUE AND OTHER CONTRACTS WITH CUSTOMERS	(3) REVENUE AND OTHER CONTRACTS WITH CUSTOMERS Revenue is recognized for each distinct performance obligation as control is transferred to the customer. Revenue attributable to hardware products bundled with Software-as-a-Service (“SaaS”) offerings are recognized at the time control of the product transfers to the customer. The transaction price allocated to the SaaS offering is recognized ratably beginning when the customer is expected to activate their account and over a three-year period that the Company has estimated based on the expected replacement of the hardware. Transaction Price Allocated to the Remaining Performance Obligations The remaining performance obligations represent the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied as of the end of the reporting period. Unsatisfied and partially unsatisfied performance obligations consist of contract liabilities, in-transit orders with destination terms, and non-cancellable backlog. Non-cancellable backlog includes goods for which customer purchase orders have been accepted, that are scheduled or in the process of being scheduled for shipment, and that are not yet invoiced. Contract costs The Company recognizes the incremental costs of obtaining a contract with a customer if the Company expects the benefit of those costs to be longer than one year. The Company has determined that certain sales commissions meet the requirements to be capitalized, and the Company amortizes these costs on a consistent basis with the pattern of transfer of the goods and services in the contract. Total capitalized costs to obtain a contract were immaterial during the periods presented and are included in other current and long-term assets on our condensed consolidated balance sheets. The Company applies a practical expedient to expense costs as incurred for costs to obtain a contract when the amortization period is one year or less. These costs include sales commissions on SaaS contracts with a contract period of one year or less as sales commissions on contract renewals are commensurate with those paid on the initial contract. Contract Balances The Company records accounts receivable when it has an unconditional right to the consideration. Contract liabilities consist of deferred revenue, which represents payments received in advance of revenue recognition related to SaaS agreements and for prepayments for products or services yet to be delivered. Payment terms vary by customer. The time between invoicing and when payment is due is not significant. For certain products or services and customer types, payment is required before the products or services are delivered to the customer. The following table reflects the contract balances as of the periods ended: SCHEDULE OF CONTRACT BALANCES March 31, December 31, 2023 2022 Deferred revenue, current $ 629,691 $ 633,542 Deferred revenue, noncurrent $ 896,990 $ 771,738 During the three months ended March 31, 2023, the change in contract balances was as follows: SCHEDULE OF CHANGE IN CONTRACT BALANCES Balance at December 31, 2022 $ 1,405,280 Billings 296,264 Revenue recognized (174,863 ) Balance at March 31, 2023 $ 1,526,681 Disaggregation of Revenue The following table sets forth our revenues by distribution channel: SCHEDULE OF DISAGGREGATION OF REVENUE BY DISTRIBUTION CHANNEL 2023 2022 Three Months Ended March 31, 2023 2022 Retailers $ 10,281,349 $ 12,341,289 Distributors 44,964 307,207 Other 425,472 650,759 Revenues $ 10,751,785 $ 13,299,255 The following table sets forth our revenues by product: 2023 2022 Three Months Ended March 31, 2023 2022 Cable modems & gateways $ 10,574,055 $ 12,883,047 Other networking products 91,631 272,566 SaaS 86,099 143,642 Revenues $ 10,751,785 $ 13,299,255

BALANCE SHEET COMPONENTS

BALANCE SHEET COMPONENTS	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BALANCE SHEET COMPONENTS	(4) BALANCE SHEET COMPONENTS Inventories Inventories, net consists of the following: SCHEDULE OF INVENTORIES March 31, 2023 December 31, 2022 Materials $ 346,926 $ 397,133 Work in process 5,189,184 5,842,251 Finished goods 17,230,386 19,175,822 Total $ 22,766,496 $ 25,415,206 Finished goods includes consigned inventory held by our customers of $ 3.6 4.2 0 2.5 2.5 Accrued expenses Accrued expenses consist of the following: SCHEDULE OF ACCRUED EXPENSES March 31, 2023 December 31, 2022 Inventory purchases $ 27,004 $ 24,901 Payroll & related benefits 510,538 430,358 Professional fees 214,019 290,588 Royalty costs 1,712,500 1,650,000 Sales allowances 1,453,797 1,226,856 Sales and use tax 116,992 113,200 Other 694,203 704,821 Total accrued other expenses $ 4,729,053 $ 4,440,724

BANK CREDIT LINES AND GOVERNMEN

BANK CREDIT LINES AND GOVERNMENT LOANS	3 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
BANK CREDIT LINES AND GOVERNMENT LOANS	(5) BANK CREDIT LINES AND GOVERNMENT LOANS Bank Credit Line On March 12, 2021, the Company terminated its Financing Agreement and entered into a loan and security agreement with Silicon Valley Bank (the “SVB Loan Agreement”). On November 1, 2021, the Company entered into the first amendment to the SVB Loan Agreement (the “First Amendment”). The SVB Loan Agreement, as amended, provides for a revolving facility up to a principal amount of $ 25.0 The borrowing base equals the sum of (a) 85.0 percent of eligible customer receivables, plus (b) the least of (i) 60 percent of the value of eligible inventory (valued at cost), (ii) 85% of the net orderly liquidation value of inventory, and (iii) $6.2 million in each, as determined by SVB from the Company’s most recent borrowing base statement; provided that SVB has the right to decrease the foregoing percentages in its good faith business judgment to mitigate the impact of events, conditions, contingencies, or risks which may adversely affect the collateral or its value. The SVB Loan Agreement is secured by substantially all of the Company’s assets but excludes the Company’s intellectual property. Loans under the credit facility bear interest at a rate per annum equal to (i) at all times when a streamline period is in effect, the greater of (a) one-half of one percent (0.50%) above the Prime Rate or (b) three and three-quarters of one percent (3.75%) and (ii) at all times when a streamline period is not effect, the greater of (a) one percent (1.0%) above the Prime Rate and (b) four and one-quarter of one percent (4.25%). On December 12, 2022, the Company entered into its second Amendment to the SVB Loan Agreement (the “Second Amendment”). The Second Amendment (i) reduced the aggregate amount available under the revolving credit line from $ 25 10 The Company incurred $ 143 15 18 As of March 31, 2023, the Company had $ 3.8 15 395 The interest rate on the bank credit lines was 9.00 On March 10, 2023, Silicon Valley Bank went into receivership with the Federal Deposit Insurance Corporation (FDIC) and is now the Silicon Valley Bridge Bank. The SVB Loan Agreement has been transferred to Silicon Valley Bridge Bank, and the revolving facility remains accessible to the Company. On March 27, 2023, the SVB Loan Agreement was transferred to First-Citizens Bank & Trust Company (“First-Citizens”) upon which First-Citizens entered into a purchase and assumption agreement for all deposits and loans of Silicon Valley Bridge Bank. The Company has had no business service interruptions or funding issues due to the bank transfer. Covenants The SVB Loan Agreement includes a minimum interest expense per month of $ 20 In addition, pursuant to the SVB Loan Agreement, the Company cannot pay any dividends without the prior written consent of SVB. Bridge Loan On November 30, 2022 (the “Effective Date”), the Company and Slingshot Capital, LLC (“Slingshot Capital”) entered into a Bridge Loan Agreement (the “Bridge Loan Agreement”) pursuant to which Slingshot Capital agreed to make available a bridge loan in the principal amount up of up to $ 1,500,000 1,000,000 500,000 Principal amounts borrowed under the Bridge Loan Agreement bear interest for the period from the Effective Date until February 28, 2023 of 8.00 14.00 18 In connection with the Bridge Loan Agreement, the Company, Slingshot Capital, and Silicon Valley Bank (the “Senior Lender”) executed a subordination agreement (the “Subordination Agreement”) on November 30, 2022. The Loan Agreement is subordinated to the outstanding indebtedness and obligations under the Company’s senior credit facility. Subject to the Senior Lender’s written consent, the Company shall grant Slingshot Capital a second-priority security interest in all of the Company’s collateral, which shall be subordinated to any and all security interests granted to the Senior Lender and at all times shall be limited to the same collateral granted to the Senior Lender under the senior credit facility. Principal and interest are not due and payable until the maturity date, which is January 15, 2024, unless the Company’s senior credit facility with the Senior Lender is paid in full in cash on an earlier date. As of March 31, 2023, the accrued interest is $ 33 The Company reimbursed Slingshot Capital $ 20,000 Slingshot Capital is owned by the Company’s Chairperson of the Board and a Board of Director, Jeremy Hitchcock and Elizabeth Hitchcock, respectively. Government Loans During 2020, the Company participated in the Coronavirus Aid, Relief, and Economic Security Act and received an aggregate $ 1,128,000 1 1,068,000 30,000 4,000 4,000 no

Leases

Leases	3 Months Ended
	Mar. 31, 2023
Leases
Leases	(6) Leases The Company has entered into agreements to lease its warehouses and distribution centers and certain office space under operating leases. The Company recognizes lease expense for these leases on a straight-line basis over the lease term. Right-of-use (“ROU”) assets and lease liabilities are recorded on the balance sheet for all leases, except leases with an initial term of 12 months or less The components of lease costs were as follows: SCHEDULE OF COMPONENTS OF LEASE COSTS 2023 2022 Three Months ended March 31, 2023 2022 Operating lease costs $ 40,253 $ 48,231 Short-term lease costs 8,900 — Total lease costs $ 49,153 $ 48,231 The weighted-average remaining lease term and discount rate were as follows: SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERM AND DISCOUNT RATE Period Ended March 31, 2023 2022 Operating leases: Weighted average remaining lease term (years) 0.9 1.5 Weighted average discount rate 3.8 % 5.6 % Supplemental cash flow information and non-cash activity related to our operating leases are as follows: SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO OPERATING LEASES 2023 2022 Three Months ended March 31, 2023 2022 Operating cash flow information: Amounts included in measurement of lease liabilities $ 41,132 $ 48,632 Non-cash activities: ROU asset obtained in exchange for lease liability $ — $ — The maturity of the Company’s operating lease liabilities as of March 31, 2023 were as follows: SCHEDULE OF MATURITY OF OPERATING LEASE LIABILITIES Years ended December 31, 2023 (remainder) $ 114,247 2024 22,794 Total lease payments $ 137,041 Less: imputed interest (2,970 ) Present value of operating lease liabilities $ 134,071 Operating lease liabilities, current $ 125,010 Operating lease liabilities, noncurrent $ 9,061

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	( 7) COMMITMENTS AND CONTINGENCIES (a) Commitments The Company is party to a license agreement with Motorola Mobility LLC pursuant to which the Company has an exclusive license to use certain trademarks owned by Motorola Trademark Holdings, LLC for the manufacture, sale and marketing of consumer cable modem products, consumer routers, WiFi range extenders, MoCa adapters, cellular sensors, home powerline network adapters, and access points worldwide through a wide range of authorized sales channels. The license agreement has a term ending December 31, 2025. In connection with the License Agreement, the Company has committed to reserve a certain percentage of wholesale prices for use in advertising, merchandising and promotion of the related products. Additionally, the Company is required to make quarterly royalty payments equal to a certain percentage of the preceding quarter’s net sales with minimum annual royalty payments as follows: SCHEDULE OF MINIMUM ANNUAL ROYALTY PAYMENTS Years ended December 31, 2023 (remaining) $ 6,850,000 2024 7,100,000 2025 7,100,000 Total $ 21,050,000 Royalty expense under the License Agreement was $ 1.7 1.6 2.7 1.6 1.0 0 1.7 1.6 (b) Contingencies The Company is party to various lawsuits and administrative proceedings arising in the ordinary course of business. The Company evaluates such lawsuits and proceedings on a case-by-case basis, and its policy is to vigorously contest any such claims which it believes are without merit. The Company reviews the status of its legal proceedings and records a provision for a liability when it is considered probable that both a liability has been incurred and the amount of the loss can be reasonably estimated. This review is updated periodically as additional information becomes available. If both of the criteria are not met, the Company reassesses whether there is at least a reasonable possibility that a loss, or additional losses, may be incurred. If there is a reasonable possibility that a loss may be incurred, the Company discloses the estimate of the amount of the loss or range of losses, that the amount is not material, or that an estimate of the loss cannot be made. At March 31, 2023, the Company is not currently a party to any legal proceedings that, if determined adversely to the Company, in management’s opinion, are currently expected to individually or in the aggregate have a material adverse effect on the Company’s business, operating results or financial condition taken as a whole. The Company expenses its legal fees as incurred. In the ordinary course of its business, the Company is subject to lawsuits, arbitrations, claims, and other legal proceedings in connection with their business. Some of the legal actions include claims for substantial or unspecified compensatory and/or punitive damages. A substantial adverse judgment or other unfavorable resolution of these matters could have a material adverse effect on the Company’s financial condition, results of operations, and cash flows. Management believes that the Company has adequate legal defenses with respect to the legal proceedings to which it is a defendant or respondent and that the outcome of these pending proceedings is not likely to have a material adverse effect on the financial condition, results of operations, or cash flows of the Company. However, the Company is unable to predict the outcome of these matters.

SIGNIFICANT CUSTOMER AND DEPEND

SIGNIFICANT CUSTOMER AND DEPENDENCY ON KEY SUPPLIERS	3 Months Ended
	Mar. 31, 2023
Risks and Uncertainties [Abstract]
SIGNIFICANT CUSTOMER AND DEPENDENCY ON KEY SUPPLIERS	(8) SIGNIFICANT CUSTOMER AND DEPENDENCY ON KEY SUPPLIERS Relatively few companies account for a substantial portion of the Company’s revenues. In the three months ended March 31, 2023, two companies, including a marketplace facilitator, accounted for 10% or greater individually and 88 84 90 88 The Company’s customers generally do not enter into long-term agreements obligating them to purchase products. The Company may not continue to receive significant revenues from any of these or from other large customers. A reduction or delay in orders from any of the Company’s significant customers, or a delay or default in payment by any significant customer could materially harm the Company’s business and prospects. Because of the Company’s significant customer concentration, its net sales and operating income could fluctuate significantly due to changes in political or economic conditions, or the loss, reduction of business, or less favorable terms for any of the Company’s significant customers. The Company participates in the PC peripherals industry, which is characterized by aggressive pricing practices, continually changing customer demand patterns and rapid technological developments. The Company’s operating results could be adversely affected should the Company be unable to successfully anticipate customer demand accurately; manage its product transitions, inventory levels and manufacturing process efficiently; distribute its products quickly in response to customer demand; differentiate its products from those of its competitors or compete successfully in the markets for its new products. The Company depends on many third-party suppliers for key components contained in its product offerings. For some of these components, the Company may only use a single source supplier, in part due to the lack of alternative sources of supply. During the three months ended March 31, 2023 and 2022, the Company had one supplier and two suppliers, respectively, that provided 90 99

INCOME TAXES

INCOME TAXES	3 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
INCOME TAXES	(9) INCOME TAXES During the three months ended March 31, 2023, we recorded no We have evaluated the positive and negative evidence bearing upon the Company’s ability to realize its deferred tax assets, which primarily consist of net operating loss carryforwards and research and development tax credits. We considered the history of cumulative net losses, estimated future taxable income and prudent and feasible tax planning strategies and we have concluded that it is more likely than not that we will not realize the benefits of our deferred tax assets. As a result, as of March 31, 2023 and December 31, 2022, we recorded a full valuation allowance against our net deferred tax assets. As of March 31, 2023 and December 31, 2022, the Company had federal net operating loss carry forwards of approximately $ 57.9 60.6 They are due to expire in varying amounts from 2023 to 2041. 23.4 31.6 29.8 They are due to expire in varying amounts from 2033 through 2041. 6 6

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	3 Months Ended
	Mar. 31, 2023
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	(10) RELATED PARTY TRANSACTIONS The Company leases office space located at 848 Elm Street, Manchester, NH. The landlord is an affiliate entity owned by Mr. Hitchcock. The two-year facility lease agreement was effective from August 1, 2019, to July 31, 2021 and was extended to July 31, 2022. On July 18, 2022, the lease agreement was amended to a month-to-month lease arrangement and may be terminated by either party with a 60-day notice. The facility lease agreement provides for 2,656 9 8 On November 30, 2022, the Company and Slingshot Capital, LLC (“Slingshot Capital”) entered into a Bridge Loan Agreement (the “Bridge Loan Agreement”) pursuant to which Slingshot Capital agreed to make available a bridge loan in the principal amount up of up to $ 1,500,000 1,000,000 500,000 Slingshot Capital is owned by the Company’s Executive Chairperson of the Board and a Board of Director, Jeremy Hitchcock and Elizabeth Hitchcock, respectively. On April 7, 2023, the previous principal executive officer Mehul Patel, resigned from Minim Inc. Jeremy Hitch, Executive Chairman of the Board became the acting principal executive officer of the Company. See additional information in the Company’s Subsequent Events footnote.

EARNINGS (LOSS) PER SHARE

EARNINGS (LOSS) PER SHARE	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
EARNINGS (LOSS) PER SHARE	(11) EARNINGS (LOSS) PER SHARE Net loss per share for the three months ended March 31, 2023 and 2022, respectively, are as follows: SCHEDULE OF NET INCOME (LOSS) PER SHARE 2023 2022 Three Months ended March 31, 2023 2022 Numerator: Net loss $ (4,070,457 ) $ (2,538,500 ) Denominator: Weighted average common shares – basic 1,880,185 1,840,129 Effect of dilutive common share equivalents — — Weighted average common shares – dilutive 1,880,185 1,840,129 Basic and diluted net loss per share $ (2.16 ) $ (1.38 ) Diluted loss per common share for the three months ended March 31, 2023 and 2022 excludes the effects of 49,402 9,981

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Mar. 31, 2023
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	(12) SUBSEQUENT EVENTS Reverse Stock Split On March 30, 2023, the Board of Directors of Minim, Inc. approved a 1-for-25 The reverse stock split was subject to shareholder approval at a Special Shareholders Meeting (the “Special Meeting”), which took place on March 28, 2023. A majority of shareholders voted in favor of the reverse stock split. The Company’s definitive proxy statement relating to the Special Meeting filed on March 14, 2023, includes additional details regarding the Amendment. On April 17, 2023, Minim, Inc. completed a 1-for-25 25 All of the Company’s historical shares and per share information related to issued and outstanding common stock and outstanding equity awards exercisable into common stock in these consolidated financial statements have been adjusted, on a retroactive basis, to reflect the reverse stock split in quarter ending March 31, 2023. The following unaudited pro forma selected financial information reflects the impact of the reverse stock split had the effective date of the reverse stock been as of December 31, 2022. The pro forma results have been prepared for comparative purposes only and are not intended to be a projection of future operating results. SCHEDULE OF PRO FORMA FINANCIAL INFORMATION Selected financial information As Reported Pro forma Preferred Stock authorized 2,000,000 2,000,000 Preferred Stock issued 0 0 Common Stock authorized 60,000,000 60,000,000 Common Stock issued 46,949,240 1,887,969 Net Loss $ (15,549,244 ) $ (15,549,244 ) Basic and diluted net loss per share $ (0.34 ) $ (8.38 ) Weighted average common and common equivalent shares: Basic and diluted 46,399,137 1,855,965 Non-binding letter of intent that may result in the Company being acquired On September 29, 2023, the Company entered into a non-binding letter of intent with an investor whereby the investor would purchase $ 2.4 If the Transaction were to occur, the Letter of Intent contemplates the investor would be appointed as the Company’s chief executive officer and the investor and its nominees would be appointed to the Company’s board of directors to which they would constitute a majority of the then-board of directors. The Company and the investor are working on completing definitive transaction documents regarding the Transaction, but, as the Letter of Intent is non-binding, there can be no assurances that such definitive transaction documentation will be executed or that the Transaction will be completed. The Company has evaluated subsequent events from March 31, 2023 through the date of this filing and has determined that there are no such events, other than those noted above, requiring recognition or disclosure in the financial statements.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Recently Issued Accounting Standards	Recently Issued Accounting Standards In June 2016, the FASB issued ASU No. 2016-13, “ Financial Instruments Credit Losses — Measurement of Credit Losses on Financial Instruments. There have been no other new accounting pronouncements that have significance, or potential significance, to the Company’s financial position, results of operations and cash flows .

REVENUE AND OTHER CONTRACTS W_2

REVENUE AND OTHER CONTRACTS WITH CUSTOMERS (Tables)	3 Months Ended
	Mar. 31, 2023
Revenue from Contract with Customer [Abstract]
SCHEDULE OF CONTRACT BALANCES	The following table reflects the contract balances as of the periods ended: SCHEDULE OF CONTRACT BALANCES March 31, December 31, 2023 2022 Deferred revenue, current $ 629,691 $ 633,542 Deferred revenue, noncurrent $ 896,990 $ 771,738
SCHEDULE OF CHANGE IN CONTRACT BALANCES	During the three months ended March 31, 2023, the change in contract balances was as follows: SCHEDULE OF CHANGE IN CONTRACT BALANCES Balance at December 31, 2022 $ 1,405,280 Billings 296,264 Revenue recognized (174,863 ) Balance at March 31, 2023 $ 1,526,681
SCHEDULE OF DISAGGREGATION OF REVENUE BY DISTRIBUTION CHANNEL	The following table sets forth our revenues by distribution channel: SCHEDULE OF DISAGGREGATION OF REVENUE BY DISTRIBUTION CHANNEL 2023 2022 Three Months Ended March 31, 2023 2022 Retailers $ 10,281,349 $ 12,341,289 Distributors 44,964 307,207 Other 425,472 650,759 Revenues $ 10,751,785 $ 13,299,255 The following table sets forth our revenues by product: 2023 2022 Three Months Ended March 31, 2023 2022 Cable modems & gateways $ 10,574,055 $ 12,883,047 Other networking products 91,631 272,566 SaaS 86,099 143,642 Revenues $ 10,751,785 $ 13,299,255

BALANCE SHEET COMPONENTS (Table

BALANCE SHEET COMPONENTS (Tables)	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
SCHEDULE OF INVENTORIES	Inventories, net consists of the following: SCHEDULE OF INVENTORIES March 31, 2023 December 31, 2022 Materials $ 346,926 $ 397,133 Work in process 5,189,184 5,842,251 Finished goods 17,230,386 19,175,822 Total $ 22,766,496 $ 25,415,206
SCHEDULE OF ACCRUED EXPENSES	Accrued expenses consist of the following: SCHEDULE OF ACCRUED EXPENSES March 31, 2023 December 31, 2022 Inventory purchases $ 27,004 $ 24,901 Payroll & related benefits 510,538 430,358 Professional fees 214,019 290,588 Royalty costs 1,712,500 1,650,000 Sales allowances 1,453,797 1,226,856 Sales and use tax 116,992 113,200 Other 694,203 704,821 Total accrued other expenses $ 4,729,053 $ 4,440,724

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2023
Leases
SCHEDULE OF COMPONENTS OF LEASE COSTS	The components of lease costs were as follows: SCHEDULE OF COMPONENTS OF LEASE COSTS 2023 2022 Three Months ended March 31, 2023 2022 Operating lease costs $ 40,253 $ 48,231 Short-term lease costs 8,900 — Total lease costs $ 49,153 $ 48,231
SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERM AND DISCOUNT RATE	The weighted-average remaining lease term and discount rate were as follows: SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERM AND DISCOUNT RATE Period Ended March 31, 2023 2022 Operating leases: Weighted average remaining lease term (years) 0.9 1.5 Weighted average discount rate 3.8 % 5.6 %
SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO OPERATING LEASES	Supplemental cash flow information and non-cash activity related to our operating leases are as follows: SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO OPERATING LEASES 2023 2022 Three Months ended March 31, 2023 2022 Operating cash flow information: Amounts included in measurement of lease liabilities $ 41,132 $ 48,632 Non-cash activities: ROU asset obtained in exchange for lease liability $ — $ —
SCHEDULE OF MATURITY OF OPERATING LEASE LIABILITIES	The maturity of the Company’s operating lease liabilities as of March 31, 2023 were as follows: SCHEDULE OF MATURITY OF OPERATING LEASE LIABILITIES Years ended December 31, 2023 (remainder) $ 114,247 2024 22,794 Total lease payments $ 137,041 Less: imputed interest (2,970 ) Present value of operating lease liabilities $ 134,071 Operating lease liabilities, current $ 125,010 Operating lease liabilities, noncurrent $ 9,061

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
SCHEDULE OF MINIMUM ANNUAL ROYALTY PAYMENTS	In connection with the License Agreement, the Company has committed to reserve a certain percentage of wholesale prices for use in advertising, merchandising and promotion of the related products. Additionally, the Company is required to make quarterly royalty payments equal to a certain percentage of the preceding quarter’s net sales with minimum annual royalty payments as follows: SCHEDULE OF MINIMUM ANNUAL ROYALTY PAYMENTS Years ended December 31, 2023 (remaining) $ 6,850,000 2024 7,100,000 2025 7,100,000 Total $ 21,050,000

EARNINGS (LOSS) PER SHARE (Tabl

EARNINGS (LOSS) PER SHARE (Tables)	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
SCHEDULE OF NET INCOME (LOSS) PER SHARE	Net loss per share for the three months ended March 31, 2023 and 2022, respectively, are as follows: SCHEDULE OF NET INCOME (LOSS) PER SHARE 2023 2022 Three Months ended March 31, 2023 2022 Numerator: Net loss $ (4,070,457 ) $ (2,538,500 ) Denominator: Weighted average common shares – basic 1,880,185 1,840,129 Effect of dilutive common share equivalents — — Weighted average common shares – dilutive 1,880,185 1,840,129 Basic and diluted net loss per share $ (2.16 ) $ (1.38 )

SUBSEQUENT EVENTS (Tables)

SUBSEQUENT EVENTS (Tables)	3 Months Ended
	Mar. 31, 2023
Subsequent Events [Abstract]
SCHEDULE OF PRO FORMA FINANCIAL INFORMATION	SCHEDULE OF PRO FORMA FINANCIAL INFORMATION Selected financial information As Reported Pro forma Preferred Stock authorized 2,000,000 2,000,000 Preferred Stock issued 0 0 Common Stock authorized 60,000,000 60,000,000 Common Stock issued 46,949,240 1,887,969 Net Loss $ (15,549,244 ) $ (15,549,244 ) Basic and diluted net loss per share $ (0.34 ) $ (8.38 ) Weighted average common and common equivalent shares: Basic and diluted 46,399,137 1,855,965

NATURE OF OPERATIONS AND BASI_2

NATURE OF OPERATIONS AND BASIS OF PRESENTATION (Details Narrative) - USD ($)			3 Months Ended
	Apr. 17, 2023	Mar. 30, 2023	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Subsequent Event [Line Items]
Reverse stock split, description		1-for-25
Net loss			$ 4,000,000
Cash flows from operating activities			1,345,871	$ (4,312,056)
Accumulated deficit			78,905,311		$ 74,834,854
Cash and cash equivalents			$ 802,090	$ 10,048,871	$ 530,110
Subsequent Event [Member]
Subsequent Event [Line Items]
Reverse stock split, description	1-for-25
Subsequent Event [Member] | Common Stock [Member]
Subsequent Event [Line Items]
Reverse stock split, description	25:1 reverse stock split

SCHEDULE OF CONTRACT BALANCES (

SCHEDULE OF CONTRACT BALANCES (Details) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Revenue from Contract with Customer [Abstract]
Deferred revenue, current	$ 629,691	$ 633,542
Deferred revenue, noncurrent	$ 896,990	$ 771,738

SCHEDULE OF CHANGE IN CONTRACT

SCHEDULE OF CHANGE IN CONTRACT BALANCES (Details)	3 Months Ended
	Mar. 31, 2023 USD ($)
Revenue from Contract with Customer [Abstract]
Beginning balance	$ 1,405,280
Billings	296,264
Revenue recognized	(174,863)
Beginning balance	$ 1,526,681

SCHEDULE OF DISAGGREGATION OF R

SCHEDULE OF DISAGGREGATION OF REVENUE BY DISTRIBUTION CHANNEL (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disaggregation of Revenue [Line Items]
Revenues	$ 10,751,785	$ 13,299,255
Retailers [Member]
Disaggregation of Revenue [Line Items]
Revenues	10,281,349	12,341,289
Distributors [Member]
Disaggregation of Revenue [Line Items]
Revenues	44,964	307,207
Other [Member]
Disaggregation of Revenue [Line Items]
Revenues	425,472	650,759
Cable Modems And Gateways [Member]
Disaggregation of Revenue [Line Items]
Revenues	10,574,055	12,883,047
Other Networking Product [Member]
Disaggregation of Revenue [Line Items]
Revenues	91,631	272,566
SaaS [Member]
Disaggregation of Revenue [Line Items]
Revenues	$ 86,099	$ 143,642

SCHEDULE OF INVENTORIES (Detail

SCHEDULE OF INVENTORIES (Details) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Materials	$ 346,926	$ 397,133
Work in process	5,189,184	5,842,251
Finished goods	17,230,386	19,175,822
Total	$ 22,766,496	$ 25,415,206

SCHEDULE OF ACCRUED EXPENSES (D

SCHEDULE OF ACCRUED EXPENSES (Details) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Inventory purchases	$ 27,004	$ 24,901
Payroll & related benefits	510,538	430,358
Professional fees	214,019	290,588
Royalty costs	1,712,500	1,650,000
Sales allowances	1,453,797	1,226,856
Sales and use tax	116,992	113,200
Other	694,203	704,821
Total accrued other expenses	$ 4,729,053	$ 4,440,724

BALANCE SHEET COMPONENTS (Detai

BALANCE SHEET COMPONENTS (Details Narrative) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Finished goods held by customer	$ 3,600,000	$ 4,200,000
In-transit inventory	0	0
Inventory reserves	$ 2,500,000	$ 2,500,000

BANK CREDIT LINES AND GOVERNM_2

BANK CREDIT LINES AND GOVERNMENT LOANS (Details Narrative) - USD ($)				3 Months Ended		12 Months Ended
	Nov. 30, 2022	Apr. 30, 2022	Mar. 12, 2021	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2020	Dec. 31, 2022	Dec. 12, 2022
Line of Credit Facility [Line Items]
Amortization of debt issuance costs				$ 15,188	$ 17,605
Lines of credit				3,828,380			$ 4,758,663
Interest expense				144,987	78,097
Paycheck Protection Program [Member]
Line of Credit Facility [Line Items]
Interest rate						1%
Outstanding balance				0	4,000
Repayments of debt		$ 4,000			30,000
Unsecured debt						$ 1,128,000
Debt instrument forgiveness						$ 1,068,000
SVB Loan Agreement [Member]
Line of Credit Facility [Line Items]
Line of credit facility, description			The borrowing base equals the sum of (a) 85.0 percent of eligible customer receivables, plus (b) the least of (i) 60 percent of the value of eligible inventory (valued at cost), (ii) 85% of the net orderly liquidation value of inventory, and (iii) $6.2 million in each, as determined by SVB from the Company’s most recent borrowing base statement; provided that SVB has the right to decrease the foregoing percentages in its good faith business judgment to mitigate the impact of events, conditions, contingencies, or risks which may adversely affect the collateral or its value.
Interest expense				20,000
Bridge Loan Agreement [Member]
Line of Credit Facility [Line Items]
Interest rate	8%
Unpaid bear interest rate	14%
Annual interest rate	18%
Annual interest				33,000
Repayments of debt	$ 20,000
Bridge Loan Agreement [Member] | Slingshot Capital LLC [Member]
Line of Credit Facility [Line Items]
Proceeds from short term debt	1,000,000
Proceeds from other drawn	500,000
Bridge Loan Agreement [Member] | Maximum [Member] | Slingshot Capital LLC [Member]
Line of Credit Facility [Line Items]
Outstanding balance	$ 1,500,000
Revolving Credit Facility [Member] | SVB Loan Agreement [Member]
Line of Credit Facility [Line Items]
Line of credit facility, principal amount			$ 25,000,000
Line of credit facility, interest rate description			Loans under the credit facility bear interest at a rate per annum equal to (i) at all times when a streamline period is in effect, the greater of (a) one-half of one percent (0.50%) above the Prime Rate or (b) three and three-quarters of one percent (3.75%) and (ii) at all times when a streamline period is not effect, the greater of (a) one percent (1.0%) above the Prime Rate and (b) four and one-quarter of one percent (4.25%).
Unamortized discount								$ 143,000
Amortization of debt issuance costs				15,000	$ 18,000
Lines of credit				3,800,000
Deferred finance costs				15,000
Line of credit facility remaining borrowing capacity				$ 395,000
Interest rate				9%
Revolving Credit Facility [Member] | SVB Loan Agreement [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Line of credit, value								25,000,000
Revolving Credit Facility [Member] | SVB Loan Agreement [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Line of credit, value								$ 10,000,000

SCHEDULE OF COMPONENTS OF LEASE

SCHEDULE OF COMPONENTS OF LEASE COSTS (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases
Operating lease costs	$ 40,253	$ 48,231
Short-term lease costs	8,900
Total lease costs	$ 49,153	$ 48,231

SCHEDULE OF WEIGHTED AVERAGE RE

SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERM AND DISCOUNT RATE (Details)	Mar. 31, 2023	Mar. 31, 2022
Leases
Weighted average remaining lease term	10 months 24 days	1 year 6 months
Weighted average discount rate	3.80%	5.60%

SCHEDULE OF SUPPLEMENTAL CASH F

SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO OPERATING LEASES (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases
Amounts included in measurement of lease liabilities	$ 41,132	$ 48,632
ROU asset obtained in exchange for lease liability

SCHEDULE OF MATURITY OF OPERATI

SCHEDULE OF MATURITY OF OPERATING LEASE LIABILITIES (Details) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Leases
2023 (remainder)	$ 114,247
2024	22,794
Total lease payments	137,041
Less: imputed interest	(2,970)
Present value of operating lease liabilities	134,071
Operating lease liabilities, current	125,010	$ 150,968
Operating lease liabilities, noncurrent	$ 9,061	$ 22,512

Leases (Details Narrative)

Leases (Details Narrative)	3 Months Ended
	Mar. 31, 2023
Leases
Lease term	initial term of 12 months or less

SCHEDULE OF MINIMUM ANNUAL ROYA

SCHEDULE OF MINIMUM ANNUAL ROYALTY PAYMENTS (Details)	Mar. 31, 2023 USD ($)
Commitments and Contingencies Disclosure [Abstract]
2023 (remaining)	$ 6,850,000
2024	7,100,000
2025	7,100,000
Total	$ 21,050,000

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Royalty expense	$ 1.7	$ 1.6
Outstanding in royalty payments	2.7	1.6
Accounts payable	1	0
Accrued liabilities	$ 1.7	$ 1.6

SIGNIFICANT CUSTOMER AND DEPE_2

SIGNIFICANT CUSTOMER AND DEPENDENCY ON KEY SUPPLIERS (Details Narrative)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Two Companies [Member]
Concentration Risk [Line Items]
Concentration risk percentage	88%	90%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Three Companies [Member]
Concentration Risk [Line Items]
Concentration risk percentage	84%	88%
Inventories [Member] | Supplier Concentration Risk [Member] | Two Suppliers [Member]
Concentration Risk [Line Items]
Concentration risk percentage	90%
Inventories [Member] | Supplier Concentration Risk [Member] | One Supplier [Member]
Concentration Risk [Line Items]
Concentration risk percentage		99%

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Operating Loss Carryforwards [Line Items]
Research and development tax credits	$ 0
Income tax expense		$ 6,000
MEXICO
Operating Loss Carryforwards [Line Items]
Income tax expense	6,000	$ 6,000
Domestic Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Net operating loss carry forwards	$ 57,900,000		$ 60,600,000
Expiration term	They are due to expire in varying amounts from 2023 to 2041.
Net operating loss carry forwards expiration	$ 23,400,000
State and Local Jurisdiction [Member]
Operating Loss Carryforwards [Line Items]
Net operating loss carry forwards	$ 31,600,000		$ 29,800,000
Expiration term	They are due to expire in varying amounts from 2033 through 2041.

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative)		3 Months Ended
	Nov. 30, 2022 USD ($)	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($)	Jul. 18, 2022 ft²
Related Party Transaction [Line Items]
Area of land | ft²				2,656
Rent expense		$ 9,000	$ 8,000
Bridge Loan Agreement [Member] | Slingshot Capital LLC [Member]
Related Party Transaction [Line Items]
Proceeds from short term debt	$ 1,000,000
Proceeds from other drawn	500,000
Bridge Loan Agreement [Member] | Slingshot Capital LLC [Member] | Maximum [Member]
Related Party Transaction [Line Items]
Principal amount	$ 1,500,000

SCHEDULE OF NET INCOME (LOSS) P

SCHEDULE OF NET INCOME (LOSS) PER SHARE (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Net loss	$ (4,070,457)	$ (2,538,500)
Weighted average common shares – basic	1,880,185	1,840,129
Effect of dilutive common share equivalents
Weighted average common shares – dilutive	1,880,185	1,840,129
Basic net loss per share	$ (2.16)	$ (1.38)
Diluted net loss per share	$ (2.16)	$ (1.38)

EARNINGS (LOSS) PER SHARE (Deta

EARNINGS (LOSS) PER SHARE (Details Narrative) - shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Anti-dilutive securities	49,402	9,981

SCHEDULE OF PRO FORMA FINANCIAL

SCHEDULE OF PRO FORMA FINANCIAL INFORMATION (Details) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Preferred Stock authorized	2,000,000		2,000,000
Preferred Stock issued	0		0
Common Stock authorized	60,000,000		60,000,000
Common Stock issued	1,887,535		1,877,970
Net Loss	$ (4,070,457)	$ (2,538,500)
Basic net loss per share	$ (2.16)	$ (1.38)
Diluted net loss per share	$ (2.16)	$ (1.38)
Weighted average common and common equivalent shares, basic	1,880,185	1,840,129
Weighted average common and common equivalent shares, diluted	1,880,185	1,840,129
Reverse Stock Split [Member]
Preferred Stock authorized			2,000,000
Preferred Stock authorized, pro forma			2,000,000
Preferred Stock issued			0
Preferred Stock issued, pro forma			0
Common Stock authorized			60,000,000
Common Stock authorized, pro forma			60,000,000
Common Stock issued			46,949,240
Common Stock issued, pro forma			1,887,969
Net Loss			$ (15,549,244)
Net Loss, pro forma			$ (15,549,244)
Basic net loss per share			$ (0.34)
Diluted net loss per share			(0.34)
Basic net loss per share, pro forma			(8.38)
Diluted net loss per share, pro forma			$ (8.38)
Weighted average common and common equivalent shares, basic			46,399,137
Weighted average common and common equivalent shares, diluted			46,399,137
Weighted average common and common equivalent shares, basic pro forma			1,855,965
Weighted average common and common equivalent shares, diluted pro forma			1,855,965

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - USD ($) $ in Millions	Sep. 29, 2023	Apr. 17, 2023	Mar. 30, 2023
Subsequent Event [Line Items]
Stockholders' equity, reverse stock split			1-for-25
Forecast [Member]
Subsequent Event [Line Items]
Convertible preferred stock	$ 2.4
Subsequent Event [Member]
Subsequent Event [Line Items]
Stockholders' equity, reverse stock split		1-for-25
Number of common shares		25