Barfresh Food (BRFH) 10-Q 14 Aug 23 2023 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2023	Aug. 09, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--12-31
Entity File Number	001-41228
Entity Registrant Name	BARFRESH FOOD GROUP INC.
Entity Central Index Key	0001487197
Entity Tax Identification Number	27-1994406
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	3600 Wilshire Blvd.
Entity Address, Address Line Two	Suite 1720
Entity Address, City or Town	Los Angeles
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	90010
City Area Code	310
Local Phone Number	598-7113
Title of 12(b) Security	Common stock, $0.000001 par value
Trading Symbol	BRFH
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	true
Elected Not To Use the Extended Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		13,037,948
Entity Information, Former Legal or Registered Name	Not Applicable

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Current assets:
Cash	$ 952,000	$ 2,808,000
Restricted cash		211,000
Trade accounts receivable, net	362,000	126,000
Other receivables	108,000	101,000
Inventory, net	970,000	1,048,000
Prepaid expenses and other current assets	99,000	79,000
Total current assets	2,491,000	4,373,000
Property, plant and equipment, net of depreciation	627,000	801,000
Operating lease right-of-use assets, net		18,000
Intangible assets, net of amortization	275,000	306,000
Deposits	7,000	7,000
Total assets	3,400,000	5,505,000
Current liabilities:
Accounts payable	775,000	1,534,000
Disputed co-manufacturer accounts payable (Note 5)	499,000	499,000
Accrued expenses	340,000	286,000
Accrued payroll and employee related	323,000	233,000
Lease liability		20,000
Total current liabilities	1,937,000	2,572,000
Total liabilities	1,937,000	2,572,000
Commitments and contingencies (Note 5)
Stockholders’ equity:
Preferred stock, $0.000001 par value, 400,000 shares authorized, none issued or outstanding
Common stock, $0.000001 par value; 23,000,000 shares authorized; 13,002,603 and 12,934,741 shares issued and outstanding at June 30, 2023 and December 31, 2022, respectively
Additional paid in capital	61,082,000	60,905,000
Accumulated deficit	(59,619,000)	(57,972,000)
Total stockholders’ equity	1,463,000	2,933,000
Total liabilities and stockholders’ equity	$ 3,400,000	$ 5,505,000

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.000001	$ 0.000001
Preferred stock, shares authorized	400,000	400,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.000001	$ 0.000001
Common stock, shares authorized	23,000,000	23,000,000
Common stock, shares issued	13,002,603	12,934,741
Common stock, shares outstanding	13,002,603	12,934,741

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Revenue	$ 1,511,000	$ 2,799,000	$ 3,602,000	$ 5,325,000
Cost of revenue	1,037,000	1,916,000	2,273,000	3,678,000
Gross profit	474,000	883,000	1,329,000	1,647,000
Operating expenses:
Selling, marketing and distribution	625,000	701,000	1,293,000	1,376,000
General and administrative	493,000	802,000	1,487,000	1,624,000
Depreciation and amortization	98,000	96,000	196,000	236,000
Total operating expenses	1,216,000	1,599,000	2,976,000	3,236,000
Net loss	$ (742,000)	$ (716,000)	$ (1,647,000)	$ (1,589,000)
Per share information - basic and fully diluted:
Weighted average shares outstanding - basic	13,003,000	12,915,000	12,990,000	12,915,000
Weighted average shares outstanding - Diluted	13,003,000	12,915,000	12,990,000	12,915,000
Net loss per share - Basic	$ (0.06)	$ (0.06)	$ (0.13)	$ (0.12)
Net loss per share - diluted	$ (0.06)	$ (0.06)	$ (0.13)	$ (0.12)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Statement of Cash Flows [Abstract]
Net loss	$ (1,647,000)	$ (1,589,000)
Adjustments to reconcile net loss to net cash used in operating activities
Depreciation and amortization	205,000	244,000
Stock-based compensation	118,000	93,000
Stock and options issued for services	83,000	98,000
Changes in assets and liabilities
Accounts receivable	(236,000)	(22,000)
Other receivables	(7,000)	(148,000)
Inventories	78,000	(865,000)
Prepaid expenses and other assets	(22,000)	11,000
Accounts payable	(759,000)	303,000
Accrued expenses	120,000	(48,000)
Net cash used in operating activities	(2,067,000)	(1,923,000)
Investing activities
Purchase of property and equipment		(13,000)
Net cash used in investing activities		(13,000)
Financing activities
Proceeds from issuance of stock		5,000
Net cash provided by financing activities		5,000
Net decrease in cash and restricted cash	(2,067,000)	(1,931,000)
Cash and restricted cash, beginning of period	3,019,000	5,675,000
Cash and restricted cash, end of period	952,000	3,744,000
Cash paid during the year for:
Amounts included in the measurement of lease liabilities	20,000	20,000
Non-cash financing and investing activities:
Value of shares relinquished in modification of stock-based compensation awards (Note 6)	$ 24,000

Description of the Business, Ba

Description of the Business, Basis of Presentation, and Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Description of the Business, Basis of Presentation, and Summary of Significant Accounting Policies	Note 1. Description of the Business, Basis of Presentation, and Summary of Significant Accounting Policies Barfresh Food Group Inc., (“we,” “us,” “our,” and the “Company”) was incorporated on February 25, 2010 in the State of Delaware. The Company is engaged in the manufacturing and distribution of ready-to-drink and ready-to-blend beverages, particularly, smoothies, shakes and frappes. Basis of Presentation The accompanying condensed consolidated financial statements are unaudited. These unaudited interim condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the fiscal year ended December 31, 2022 included in the Company’s Annual Report on Form 10-K, as filed with the SEC on March 2, 2023. In management’s opinion, the unaudited interim condensed consolidated financial statements reflect all adjustments, which are of a normal and recurring nature, that are necessary for a fair presentation of financial results for the interim periods presented. Operating results for any quarter are not necessarily indicative of the results for the full fiscal year. Principles of Consolidation The consolidated financial statements include the financial statements of the Company and our wholly owned subsidiaries, Barfresh Inc. and Barfresh Corporation Inc. (formerly known as Smoothie, Inc.). All inter-company balances and transactions among the companies have been eliminated upon consolidation. Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheets and revenues and expenses during the years reported. Actual results may differ from these estimates. Vendor Concentrations The Company is exposed to supply risk as a result of concentrations in its vendor base resulting from the use of a limited number of contract manufacturers. Purchases from the Company’s significant contract manufacturers as a percentage of all finished goods purchased were as follows: Schedule of Company’s Contract Manufacturers of Finished Goods For the three months ended June 30, For the six months ended June 30, 2023 2022 2023 2022 Manufacturer A 50 % 25 % 49 % 27 % Manufacturer B 34 % 0 % 41 % 0 % Manufacturer C 16 % 4 % 10 % 6 % Manufacturer D 0 % 59 % 0 % 59 % Manufacturer E 0 % 12 % 0 % 8 % Summary of Significant Accounting Policies There have been no changes to our significant accounting policies described in our Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the SEC on March 2, 2023 that have had a material impact on our condensed consolidated financial statements and related notes. Fair Value Measurement and Financial Instruments Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures 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 for similar assets and liabilities in active markets, quoted prices for identical assets and liabilities 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; and Level 3 – Prices or valuation techniques that require inputs that are both significant to the fair value and unobservable (i.e., supported by little or no market activity). The Company’s financial instruments consist of cash, restricted cash, accounts receivable and accounts payable. The carrying value of the Company’s financial instruments approximates their fair value. Restricted Cash At December 31, 2022, the Company had approximately $ 211,000 Accounts Receivable and Allowances Accounts receivable are recorded and carried at the original invoiced amount less allowances for credits and for any potential uncollectible amounts due to credit losses. We make estimates of the expected credit and collectability trends for the allowance for credit losses based on our assessment of various factors, including historical experience, the age of the accounts receivable balances, credit quality of our customers, current economic conditions, and other factors that may affect our ability to collect from our customers. Expected credit losses are recorded as general and administrative expenses on our condensed consolidated statements of operations. As of June 30, 2023 and December 31, 2022, there was no Other Receivables Other receivables consist of the Company’s 2021 Employer Retention Tax Credit claim, amounts due from vendors for materials acquired on their behalf for use in manufacturing the Company’s products, vendor rebates and freight claims. Revenue Recognition In accordance with ASC 606, Revenue from Contracts with Customers, revenue is recognized when a customer obtains ownership of promised goods. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods. The Company applies the following five steps: 1) Identify the contract with a customer A contract with a customer exists when (I) the Company enters into an enforceable contract with a customer that defines each party’s rights, (ii) the contract has commercial substance and, (iii) the Company determines that collection of substantially all consideration for goods or services that are transferred is probable. For the Company, the contract is the approved sales order, which may also be supplemented by other agreements that formalize various terms and conditions with customers. 2) Identify the performance obligation in the contract Performance obligations promised in a contract are identified based on the goods or services that will be transferred to the customer. For the Company, this consists of the delivery of frozen beverages, which provide immediate benefit to the customer. 3) Determine the transaction price The transaction price is determined based on the consideration to which the Company will be entitled in exchange for transferring goods and is generally stated on the approved sales order. Variable consideration, which typically includes rebates or discounts, are estimated utilizing the most likely amount method. Provisions for refunds are generally provided for in the period the related sales are recorded, based on management’s assessment of historical and projected trends. 4) Allocate the transaction price to performance obligations in the contract Since the Company’s contracts contain a single performance obligation, delivery of frozen beverages, the transaction price is allocated to that single performance obligation. 5) Recognize revenue when or as the Company satisfies a performance obligation The Company recognizes revenue from the sale of frozen beverages when title and risk of loss passes and the customer accepts the goods, which generally occurs at the time of delivery to a customer warehouse. Customer sales incentives such as volume-based rebates or discounts are treated as a reduction of sales at the time the sale is recognized. Shipping and handling costs are treated as fulfilment costs and presented in distribution, selling and administrative costs. Payments that are received before performance obligations are recorded are shown as current liabilities. The Company evaluated the requirement to disaggregate revenue and concluded that substantially all of its revenue comes from a single product, frozen beverages. Storage and Shipping Costs Storage and outbound freight costs are included in selling, marketing and distribution expense. For the three months ending June 30, 2023 and 2022, storage and outbound freight totaled approximately $ 251,000 319,000 562,000 768,000 Research and Development Expenditures for research activities relating to product development and improvement are charged to expense as incurred. The Company incurred approximately $ 35,000 96,000 56,000 126,000 Loss Per Share For the three and six months ended June 30, 2023 and 2022 common stock equivalents have not been included in the calculation of net loss per share as their effect is anti-dilutive as a result of losses incurred. Reclassifications Certain reclassifications have been made to the 2022 financial statements to conform to the 2023 presentation, namely the presentation of selling, marketing and distribution expense apart from general and administrative expense in the consolidated statement of operations, the reclassification of materials shipping from selling, marketing and distribution to cost of revenue, and the presentation of the components of cash used in operations. Recent Pronouncements From time to time, new accounting pronouncements are issued that we adopt as of the specified effective date. We have not determined if the impact of recently issued standards that are not yet effective will have an impact on our results of operations and financial position.

Restatement of Prior Financial

Restatement of Prior Financial Information	6 Months Ended
	Jun. 30, 2023
Accounting Changes and Error Corrections [Abstract]
Restatement of Prior Financial Information	Note 2. Restatement of Prior Financial Information This Company’s previously filed unaudited statement of operations and cash flow statement and audited balance sheets have been restated to correct errors in calculating depreciation. From a quantitative and qualitative perspective, the Company determined that correcting the previously filed financial statements would not require amendment to its previously filed reports on Form 10-Q and 10-K. The effect of the correction of previously issued financial statements is summarized below: Schedule of Prior Financial Information December 31, 2022 As Previously Reported Adjustment Restated Consolidated Balance Sheet Property, plant and equipment, net of depreciation $ 389,000 $ 412,000 $ 801,000 Total assets $ 5,093,000 $ 412,000 $ 5,505,000 Accumulated deficit $ (58,384,000 ) $ 412,000 $ (57,972,000 ) Total stockholders’ equity $ 2,521,000 $ 412,000 $ 2,933,000 Total liabilities and stockholders’ equity $ 5,093,000 $ 412,000 $ 5,505,000 Three-months ended June 30, 2022 As Previously Reported Adjustment Restated Consolidated Statement of Operations Depreciation and amortization $ 117,000 $ (21,000 ) $ 96,000 Total operating expenses $ 1,620,000 $ (21,000 ) $ 1,599,000 Net loss $ (737,000 ) $ 21,000 $ (716,000 ) Six-months ended June 30, 2022 As Previously Reported Adjustment Restated Consolidated Statement of Operations Depreciation and amortization $ 278,000 $ (42,000 ) $ 236,000 Total operating expenses $ 3,278,000 $ (42,000 ) $ 3,236,000 Net loss $ (1,631,000 ) $ 42,000 $ (1,589,000 ) Consolidated Statement of Cash Flows Net loss $ (1,631,000 ) $ 42,000 $ (1,589,000 ) Depreciation and amortization $ 286,000 $ (42,000 ) $ 244,000 Net cash used in operating activities $ (1,923,000 ) $ - $ (1,923,000 )

Inventory

Inventory	6 Months Ended
	Jun. 30, 2023
Inventory Disclosure [Abstract]
Inventory	Note 3. Inventory Inventory consists of the following: Schedule of Inventory June 30, December 31, Raw materials $ 25,000 $ 65,000 Finished goods 945,000 983,000 Inventory, net $ 970,000 $ 1,048,000

Property Plant and Equipment

Property Plant and Equipment	6 Months Ended
	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
Property Plant and Equipment	Note 4. Property Plant and Equipment Property and equipment, net consist of the following: Schedule of Property and Equipment, Net June 30, December 31, June 30, December 31, Manufacturing equipment $ 1,618,000 $ 1,618,000 Customer equipment 1,417,000 1,417,000 Property and equipment, gross 3,035,000 3,035,000 Less: accumulated depreciation (2,408,000 ) (2,234,000 ) Property and equipment, net of depreciation $ 627,000 $ 801,000 Depreciation expense related to these assets was approximately $ 87,000 90,000 174,000 212,000 5,000 10,000 10,000

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 5. Commitments and Contingencies Lease Commitments The Company leases office space under a non-cancellable operating lease which expired on March 31, 2023 extended through September 30, 2023 20,000 40,000 Legal Proceedings Schreiber Dispute The Company’s products are produced to its specifications through several contract manufacturers. One of the Company’s contract manufacturers (the “Manufacturer”) provided approximately 52 42 Over the course of 2022, the Company experienced numerous quality issues with the case packaging utilized by the Manufacturer. In addition, in July of 2022, the Company began receiving customer complaints about the texture of the Company’s smoothie products produced by the Manufacturer. In response, the Company withdrew product from the market and destroyed on-hand inventory, withholding $ 499,000 The Company attempted to resolve the issues based on the contractual procedures described in the Supply Agreement. However, on November 4, 2022, in response to a formal proposal of alternate resolutions, the Company received notification from the Manufacturer that it was denying any responsibility for the defective manufacture of the product. In response, on November 10, 2022, the Company filed a complaint in the United States District Court for the Central District of California, Western Division (the “Complaint”), claiming that the Manufacturer had not met its obligations under the Supply Agreement, and seeking economic damages. In response, the Manufacturer terminated the Supply Agreement. On January 20, 2023, the Company filed a voluntary dismissal of the Complaint which allows the parties to reach a potential resolution outside of the court system. However, if the parties are once again unable to come to an agreement, the Company has informed the Manufacturer that it intends to re-file the Complaint in California State Court by the end of August Due to the uncertainties surrounding the claim, the Company is not able to predict either the outcome or a range of reasonably possible recoveries that could result from its actions against the Manufacturer, and no gain contingencies have been recorded. The disruption in its supply resulting from the dispute has and will continue to adversely impact the Company’s results of operations and cash flow until a suitable resolution is reached or new sources of reliable supply at sufficient volume can be identified and developed, the timing of which is uncertain. The Company has partially mitigated the impact of the supply disruption with the introduction of its single-serve smoothie cartons. Other legal matters From time to time, various lawsuits and legal proceedings may arise in the ordinary course of business. However, litigation is subject to inherent uncertainties and an adverse result in these or other matters may arise from time to time that may harm our business. We are currently the defendant in one legal proceeding for an amount less than $100,000. Our legal counsel and management believe the probability of a material unfavorable outcome is remote.

Stockholders_ Equity

Stockholders’ Equity	6 Months Ended
	Jun. 30, 2023
Equity [Abstract]
Stockholders’ Equity	Note 6. Stockholders’ Equity The following are changes in stockholders’ equity for the six months ended June 30, 2022 and 2023: Schedule of Changes in Stockholders' Equity Additional Common Stock paid in Accumulated Shares Amount Capital (Deficit) Total Balance December 31, 2021 12,905,112 $ - $ 60,341,000 $ (51,838,000 ) $ 8,503,000 Shares issued for warrant exercise 986 - 5,000 - 5,000 Equity-based compensation - - 93,000 - 93,000 Issuance of stock and options for services 13,801 - 98,000 - 98,000 Net loss - - - (1,589,000 ) (1,589,000 ) Balance June 30, 2022 12,919,899 $ - $ 60,537,000 $ (53,427,000 ) $ 7,110,000 Additional Common Stock paid in Accumulated Shares Amount Capital (Deficit) Total Balance December 31, 2022 12,934,741 $ - $ 60,905,000 $ (57,972,000 ) $ 2,933,000 Balance 12,934,741 $ - $ 60,905,000 $ (57,972,000 ) $ 2,933,000 Equity-based compensation 35,659 - 118,000 - 118,000 Cash settlement of equity-based compensation - - (24,000 ) - (24,000 ) Issuance of stock and options for services 32,203 - 83,000 - 83,000 Net loss - - - (1,647,000 ) (1,647,000 ) Balance June 30, 2023 13,002,603 $ - $ 61,082,000 $ (59,619,000 ) $ 1,463,000 Balance 13,002,603 $ - $ 61,082,000 $ (59,619,000 ) $ 1,463,000 Warrants During the six months ended June 30, 2023, 684,639 5.85 Equity Incentive Plan Through 2022, the Company issued equity awards under the 2015 Equity Incentive Plan (the “2015 Plan”) and outside the Plan. In June 2023, the Company’s stockholders adopted the 2023 Equity Incentive Plan (the “2023 Plan”), reserving 650,000 As of June 30, 2023, the Company has $ 194,000 1.7 Stock Options The following is a summary of stock option activity for the six months ended June 30, 2023: Summary of Stock Options Activity Number of Options Weighted Remaining Outstanding on December 31, 2022 682,939 $ 7.30 3.2 Issued 42,045 $ 1.48 8.0 Cancelled/expired (108,871 ) $ 8.38 Outstanding on June 30, 2023 616,113 $ 6.71 3.6 Exercisable, June 30, 2023 554,902 $ 6.96 2.8 The fair value of the options issued was calculated using the Black-Scholes option pricing model, based on the following: Summary of Fair Value of Options Using Black-Sholes Option Pricing Model 2023 Expected term (in years) 8.0 Expected volatility 84.4 % Risk-free interest rate 3.6 % Expected dividends $ - Weighted average grant date fair value per share $ 1.19 Restricted Stock The following is a summary of restricted stock award and restricted stock unit activity for the six months ended June 30, 2023: Summary of Restricted Stock Award and Restricted Stock Unit Activity Number of Weighted Unvested at January 1, 2023 41,923 $ 4.92 Granted 5,000 $ 1.25 Vested (4,386 ) $ 5.06 Forfeited (9,931 ) $ 3.33 Unvested at June 30, 2023 32,606 $ 4.82 Performance Stock Units During 2022 and 2023, the Company issued performance share units (“PSUs”) that represented shares potentially issuable based upon Company and individual performance in the years of issuance. The following table summarizes the activity for the Company’s unvested PSUs for the three months ended June 30, 2023: Summary of Performance Stock Unit Activity Number of shares Weighted Unvested at January 1, 2023 17,678 $ 4.50 Cash settled (17,678 ) $ 4.50 Granted 281,934 $ 1.58 Vested (45,251 ) $ 1.36 Unvested at June 30, 2023 236,683 $ 1.63 In February 2023, the unvested awards issued for individual performance and outstanding at January 1, 2023 were modified to cash-settle the original grant-date fair value of approximately $ 80,000 56,000 24,000 71,000 26,000 64,000 The Company adopted a 2023 PSU program in April 2023, granting approximately 211,000 67,000 no

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Note 7. Income Taxes ASC 740 requires a valuation allowance to reduce the deferred tax assets reported if, based on the weight of evidence, it is more than likely than not that some portion or all the deferred tax assets will not be recognized. Accordingly, at this time the Company has placed a valuation allowance on all tax assets. As of June 30, 2023, the estimated effective tax rate for 2023 was zero There are open statutes of limitations for taxing authorities in federal and state jurisdictions to audit our tax returns from 2018 through the current period. Our policy is to account for income tax related interest and penalties in income tax expense in the statement of operations. For the three and six months ended June 30, 2023 and 2022, the Company did not incur any interest and penalties associated with tax positions. As of June 30, 2023, the Company did not have any significant unrecognized uncertain tax positions.

Subsequent Event

Subsequent Event	6 Months Ended
	Jun. 30, 2023
Subsequent Events [Abstract]
Subsequent Event	Note 8. Subsequent Event In August 2023, the Company received subscriptions of approximately $ 1,130,000 2,000,000 The debt may be drawn in 25% increments, matures on the anniversary of the draw, bears interest at 10% per annum for the term, regardless of earlier payment or conversion, and is mandatorily convertible as to principal and interest into shares of the Company’s common stock at any time prior to maturity at the greater of $1.20 or 85% of the volume-weighted average price of the common stock for the ten trading days immediately preceding the written notice of the conversion (the “Conversion Price”).

Liquidity

Liquidity	6 Months Ended
	Jun. 30, 2023
Liquidity
Liquidity	Note 9. Liquidity During the six months ended June 30, 2023, the Company used cash for operations of $ 2,067,000 However, as of June 30, 2023, the Company has $ 952,000 1,130,000

Description of the Business, _2

Description of the Business, Basis of Presentation, and Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying condensed consolidated financial statements are unaudited. These unaudited interim condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the fiscal year ended December 31, 2022 included in the Company’s Annual Report on Form 10-K, as filed with the SEC on March 2, 2023. In management’s opinion, the unaudited interim condensed consolidated financial statements reflect all adjustments, which are of a normal and recurring nature, that are necessary for a fair presentation of financial results for the interim periods presented. Operating results for any quarter are not necessarily indicative of the results for the full fiscal year.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the financial statements of the Company and our wholly owned subsidiaries, Barfresh Inc. and Barfresh Corporation Inc. (formerly known as Smoothie, Inc.). All inter-company balances and transactions among the companies have been eliminated upon consolidation.
Use of Estimates	Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheets and revenues and expenses during the years reported. Actual results may differ from these estimates.
Vendor Concentrations	Vendor Concentrations The Company is exposed to supply risk as a result of concentrations in its vendor base resulting from the use of a limited number of contract manufacturers. Purchases from the Company’s significant contract manufacturers as a percentage of all finished goods purchased were as follows: Schedule of Company’s Contract Manufacturers of Finished Goods For the three months ended June 30, For the six months ended June 30, 2023 2022 2023 2022 Manufacturer A 50 % 25 % 49 % 27 % Manufacturer B 34 % 0 % 41 % 0 % Manufacturer C 16 % 4 % 10 % 6 % Manufacturer D 0 % 59 % 0 % 59 % Manufacturer E 0 % 12 % 0 % 8 %
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies There have been no changes to our significant accounting policies described in our Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the SEC on March 2, 2023 that have had a material impact on our condensed consolidated financial statements and related notes.
Fair Value Measurement and Financial Instruments	Fair Value Measurement and Financial Instruments Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures 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 for similar assets and liabilities in active markets, quoted prices for identical assets and liabilities 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; and Level 3 – Prices or valuation techniques that require inputs that are both significant to the fair value and unobservable (i.e., supported by little or no market activity). The Company’s financial instruments consist of cash, restricted cash, accounts receivable and accounts payable. The carrying value of the Company’s financial instruments approximates their fair value.
Restricted Cash	Restricted Cash At December 31, 2022, the Company had approximately $ 211,000
Accounts Receivable and Allowances	Accounts Receivable and Allowances Accounts receivable are recorded and carried at the original invoiced amount less allowances for credits and for any potential uncollectible amounts due to credit losses. We make estimates of the expected credit and collectability trends for the allowance for credit losses based on our assessment of various factors, including historical experience, the age of the accounts receivable balances, credit quality of our customers, current economic conditions, and other factors that may affect our ability to collect from our customers. Expected credit losses are recorded as general and administrative expenses on our condensed consolidated statements of operations. As of June 30, 2023 and December 31, 2022, there was no
Other Receivables	Other Receivables Other receivables consist of the Company’s 2021 Employer Retention Tax Credit claim, amounts due from vendors for materials acquired on their behalf for use in manufacturing the Company’s products, vendor rebates and freight claims.
Revenue Recognition	Revenue Recognition In accordance with ASC 606, Revenue from Contracts with Customers, revenue is recognized when a customer obtains ownership of promised goods. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods. The Company applies the following five steps: 1) Identify the contract with a customer A contract with a customer exists when (I) the Company enters into an enforceable contract with a customer that defines each party’s rights, (ii) the contract has commercial substance and, (iii) the Company determines that collection of substantially all consideration for goods or services that are transferred is probable. For the Company, the contract is the approved sales order, which may also be supplemented by other agreements that formalize various terms and conditions with customers. 2) Identify the performance obligation in the contract Performance obligations promised in a contract are identified based on the goods or services that will be transferred to the customer. For the Company, this consists of the delivery of frozen beverages, which provide immediate benefit to the customer. 3) Determine the transaction price The transaction price is determined based on the consideration to which the Company will be entitled in exchange for transferring goods and is generally stated on the approved sales order. Variable consideration, which typically includes rebates or discounts, are estimated utilizing the most likely amount method. Provisions for refunds are generally provided for in the period the related sales are recorded, based on management’s assessment of historical and projected trends. 4) Allocate the transaction price to performance obligations in the contract Since the Company’s contracts contain a single performance obligation, delivery of frozen beverages, the transaction price is allocated to that single performance obligation. 5) Recognize revenue when or as the Company satisfies a performance obligation The Company recognizes revenue from the sale of frozen beverages when title and risk of loss passes and the customer accepts the goods, which generally occurs at the time of delivery to a customer warehouse. Customer sales incentives such as volume-based rebates or discounts are treated as a reduction of sales at the time the sale is recognized. Shipping and handling costs are treated as fulfilment costs and presented in distribution, selling and administrative costs. Payments that are received before performance obligations are recorded are shown as current liabilities. The Company evaluated the requirement to disaggregate revenue and concluded that substantially all of its revenue comes from a single product, frozen beverages.
Storage and Shipping Costs	Storage and Shipping Costs Storage and outbound freight costs are included in selling, marketing and distribution expense. For the three months ending June 30, 2023 and 2022, storage and outbound freight totaled approximately $ 251,000 319,000 562,000 768,000
Research and Development	Research and Development Expenditures for research activities relating to product development and improvement are charged to expense as incurred. The Company incurred approximately $ 35,000 96,000 56,000 126,000
Loss Per Share	Loss Per Share For the three and six months ended June 30, 2023 and 2022 common stock equivalents have not been included in the calculation of net loss per share as their effect is anti-dilutive as a result of losses incurred.
Reclassifications	Reclassifications Certain reclassifications have been made to the 2022 financial statements to conform to the 2023 presentation, namely the presentation of selling, marketing and distribution expense apart from general and administrative expense in the consolidated statement of operations, the reclassification of materials shipping from selling, marketing and distribution to cost of revenue, and the presentation of the components of cash used in operations.
Recent Pronouncements	Recent Pronouncements From time to time, new accounting pronouncements are issued that we adopt as of the specified effective date. We have not determined if the impact of recently issued standards that are not yet effective will have an impact on our results of operations and financial position.

Description of the Business, _3

Description of the Business, Basis of Presentation, and Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Schedule of Company’s Contract Manufacturers of Finished Goods	Schedule of Company’s Contract Manufacturers of Finished Goods For the three months ended June 30, For the six months ended June 30, 2023 2022 2023 2022 Manufacturer A 50 % 25 % 49 % 27 % Manufacturer B 34 % 0 % 41 % 0 % Manufacturer C 16 % 4 % 10 % 6 % Manufacturer D 0 % 59 % 0 % 59 % Manufacturer E 0 % 12 % 0 % 8 %

Restatement of Prior Financia_2

Restatement of Prior Financial Information (Tables)	6 Months Ended
	Jun. 30, 2023
Accounting Changes and Error Corrections [Abstract]
Schedule of Prior Financial Information	Schedule of Prior Financial Information December 31, 2022 As Previously Reported Adjustment Restated Consolidated Balance Sheet Property, plant and equipment, net of depreciation $ 389,000 $ 412,000 $ 801,000 Total assets $ 5,093,000 $ 412,000 $ 5,505,000 Accumulated deficit $ (58,384,000 ) $ 412,000 $ (57,972,000 ) Total stockholders’ equity $ 2,521,000 $ 412,000 $ 2,933,000 Total liabilities and stockholders’ equity $ 5,093,000 $ 412,000 $ 5,505,000 Three-months ended June 30, 2022 As Previously Reported Adjustment Restated Consolidated Statement of Operations Depreciation and amortization $ 117,000 $ (21,000 ) $ 96,000 Total operating expenses $ 1,620,000 $ (21,000 ) $ 1,599,000 Net loss $ (737,000 ) $ 21,000 $ (716,000 ) Six-months ended June 30, 2022 As Previously Reported Adjustment Restated Consolidated Statement of Operations Depreciation and amortization $ 278,000 $ (42,000 ) $ 236,000 Total operating expenses $ 3,278,000 $ (42,000 ) $ 3,236,000 Net loss $ (1,631,000 ) $ 42,000 $ (1,589,000 ) Consolidated Statement of Cash Flows Net loss $ (1,631,000 ) $ 42,000 $ (1,589,000 ) Depreciation and amortization $ 286,000 $ (42,000 ) $ 244,000 Net cash used in operating activities $ (1,923,000 ) $ - $ (1,923,000 )

Inventory (Tables)

Inventory (Tables)	6 Months Ended
	Jun. 30, 2023
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventory consists of the following: Schedule of Inventory June 30, December 31, Raw materials $ 25,000 $ 65,000 Finished goods 945,000 983,000 Inventory, net $ 970,000 $ 1,048,000

Property Plant and Equipment (T

Property Plant and Equipment (Tables)	6 Months Ended
	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment, Net	Property and equipment, net consist of the following: Schedule of Property and Equipment, Net June 30, December 31, June 30, December 31, Manufacturing equipment $ 1,618,000 $ 1,618,000 Customer equipment 1,417,000 1,417,000 Property and equipment, gross 3,035,000 3,035,000 Less: accumulated depreciation (2,408,000 ) (2,234,000 ) Property and equipment, net of depreciation $ 627,000 $ 801,000

Stockholders_ Equity (Tables)

Stockholders’ Equity (Tables)	6 Months Ended
	Jun. 30, 2023
Equity [Abstract]
Schedule of Changes in Stockholders' Equity	The following are changes in stockholders’ equity for the six months ended June 30, 2022 and 2023: Schedule of Changes in Stockholders' Equity Additional Common Stock paid in Accumulated Shares Amount Capital (Deficit) Total Balance December 31, 2021 12,905,112 $ - $ 60,341,000 $ (51,838,000 ) $ 8,503,000 Shares issued for warrant exercise 986 - 5,000 - 5,000 Equity-based compensation - - 93,000 - 93,000 Issuance of stock and options for services 13,801 - 98,000 - 98,000 Net loss - - - (1,589,000 ) (1,589,000 ) Balance June 30, 2022 12,919,899 $ - $ 60,537,000 $ (53,427,000 ) $ 7,110,000 Additional Common Stock paid in Accumulated Shares Amount Capital (Deficit) Total Balance December 31, 2022 12,934,741 $ - $ 60,905,000 $ (57,972,000 ) $ 2,933,000 Balance 12,934,741 $ - $ 60,905,000 $ (57,972,000 ) $ 2,933,000 Equity-based compensation 35,659 - 118,000 - 118,000 Cash settlement of equity-based compensation - - (24,000 ) - (24,000 ) Issuance of stock and options for services 32,203 - 83,000 - 83,000 Net loss - - - (1,647,000 ) (1,647,000 ) Balance June 30, 2023 13,002,603 $ - $ 61,082,000 $ (59,619,000 ) $ 1,463,000 Balance 13,002,603 $ - $ 61,082,000 $ (59,619,000 ) $ 1,463,000
Summary of Stock Options Activity	The following is a summary of stock option activity for the six months ended June 30, 2023: Summary of Stock Options Activity Number of Options Weighted Remaining Outstanding on December 31, 2022 682,939 $ 7.30 3.2 Issued 42,045 $ 1.48 8.0 Cancelled/expired (108,871 ) $ 8.38 Outstanding on June 30, 2023 616,113 $ 6.71 3.6 Exercisable, June 30, 2023 554,902 $ 6.96 2.8
Summary of Fair Value of Options Using Black-Sholes Option Pricing Model	The fair value of the options issued was calculated using the Black-Scholes option pricing model, based on the following: Summary of Fair Value of Options Using Black-Sholes Option Pricing Model 2023 Expected term (in years) 8.0 Expected volatility 84.4 % Risk-free interest rate 3.6 % Expected dividends $ - Weighted average grant date fair value per share $ 1.19
Summary of Restricted Stock Award and Restricted Stock Unit Activity	The following is a summary of restricted stock award and restricted stock unit activity for the six months ended June 30, 2023: Summary of Restricted Stock Award and Restricted Stock Unit Activity Number of Weighted Unvested at January 1, 2023 41,923 $ 4.92 Granted 5,000 $ 1.25 Vested (4,386 ) $ 5.06 Forfeited (9,931 ) $ 3.33 Unvested at June 30, 2023 32,606 $ 4.82
Summary of Performance Stock Unit Activity	The following table summarizes the activity for the Company’s unvested PSUs for the three months ended June 30, 2023: Summary of Performance Stock Unit Activity Number of shares Weighted Unvested at January 1, 2023 17,678 $ 4.50 Cash settled (17,678 ) $ 4.50 Granted 281,934 $ 1.58 Vested (45,251 ) $ 1.36 Unvested at June 30, 2023 236,683 $ 1.63

Schedule of Company_s Contract

Schedule of Company’s Contract Manufacturers of Finished Goods (Details) - Customer Concentration Risk [Member] - Vendor [Member]	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Manufacturer A [Member]
Product Information [Line Items]
Manufacturer percentage	50%	25%	49%	27%
Manufacturer B [Member]
Product Information [Line Items]
Manufacturer percentage	34%	0%	41%	0%
Manufacturer C [Member]
Product Information [Line Items]
Manufacturer percentage	16%	4%	10%	6%
Manufacturer D [Member]
Product Information [Line Items]
Manufacturer percentage	0%	59%	0%	59%
Manufacturer E [Member]
Product Information [Line Items]
Manufacturer percentage	0%	12%	0%	8%

Description of the Business, _4

Description of the Business, Basis of Presentation, and Summary of Significant Accounting Policies (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Accounting Policies [Abstract]
Restricted cash					$ 211,000
Allowance for doubtful accounts	0		0		$ 0
Shipping and handling costs	251,000	$ 319,000	562,000	$ 768,000
Research and development expenses	$ 35,000	$ 96,000	$ 56,000	$ 126,000

Schedule of Prior Financial Inf

Schedule of Prior Financial Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, net of depreciation	$ 627,000		$ 627,000		$ 801,000
Total assets	3,400,000		3,400,000		5,505,000
Accumulated deficit	(59,619,000)		(59,619,000)		(57,972,000)
Total stockholders’ equity	1,463,000	$ 7,110,000	1,463,000	$ 7,110,000	2,933,000	$ 8,503,000
Total liabilities and stockholders’ equity	3,400,000		3,400,000		5,505,000
Depreciation and amortization	98,000	96,000	196,000	236,000
Total operating expenses	1,216,000	1,599,000	2,976,000	3,236,000
Net loss	$ (742,000)	(716,000)	(1,647,000)	(1,589,000)
Depreciation and amortization			205,000	244,000
Net cash used in operating activities			$ (2,067,000)	(1,923,000)
Previously Reported [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, net of depreciation					389,000
Total assets					5,093,000
Accumulated deficit					(58,384,000)
Total stockholders’ equity					2,521,000
Total liabilities and stockholders’ equity					5,093,000
Depreciation and amortization		117,000		278,000
Total operating expenses		1,620,000		3,278,000
Net loss		(737,000)		(1,631,000)
Depreciation and amortization				286,000
Net cash used in operating activities				(1,923,000)
Revision of Prior Period, Adjustment [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, net of depreciation					412,000
Total assets					412,000
Accumulated deficit					412,000
Total stockholders’ equity					412,000
Total liabilities and stockholders’ equity					$ 412,000
Depreciation and amortization		(21,000)		(42,000)
Total operating expenses		(21,000)		(42,000)
Net loss		$ 21,000		42,000
Depreciation and amortization				(42,000)
Net cash used in operating activities

Schedule of Inventory (Details)

Schedule of Inventory (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Raw materials	$ 25,000	$ 65,000
Finished goods	945,000	983,000
Inventory, net	$ 970,000	$ 1,048,000

Schedule of Property and Equipm

Schedule of Property and Equipment, Net (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 3,035,000	$ 3,035,000
Less: accumulated depreciation	(2,408,000)	(2,234,000)
Property and equipment, net of depreciation	627,000	801,000
Manufacturing Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,618,000	1,618,000
Customer Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 1,417,000	$ 1,417,000

Property Plant and Equipment (D

Property Plant and Equipment (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 87,000	$ 90,000	$ 174,000	$ 212,000
Depreciation expense in cost of revenue	$ 5,000	$ 10,000	$ 10,000	$ 10,000

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Jul. 31, 2022
Defined Benefit Plan Disclosure [Line Items]
Lease expiration date			Mar. 31, 2023
Operating lease extension description			extended through September 30, 2023
Operating lease expense	$ 20,000	$ 20,000	$ 40,000	$ 40,000
Companies product holdings					52%	42%
Payment due	$ 775,000		$ 775,000		$ 1,534,000
Related Party [Member]
Defined Benefit Plan Disclosure [Line Items]
Payment due							$ 499,000

Schedule of Changes in Stockhol

Schedule of Changes in Stockholders' Equity (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance			$ 2,933,000	$ 8,503,000
Shares issued for warrant exercise				5,000
Equity-based compensation			118,000	93,000
Issuance of stock and options for services			83,000	98,000
Net loss	$ (742,000)	$ (716,000)	(1,647,000)	(1,589,000)
Balance	1,463,000	7,110,000	1,463,000	7,110,000
Cash settlement of equity-based compensation			(24,000)
Common Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance
Balance, shares			12,934,741	12,905,112
Shares issued for warrant exercise
Shares issued for warrant exercise, shares				986
Equity-based compensation
Equity-based compensation, shares			35,659
Issuance of stock and options for services
Issuance of stock and options for services, shares			32,203	13,801
Net loss
Balance
Balance, shares	13,002,603	12,919,899	13,002,603	12,919,899
Cash settlement of equity-based compensation
Additional Paid-in Capital [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance			60,905,000	$ 60,341,000
Shares issued for warrant exercise				5,000
Equity-based compensation			118,000	93,000
Issuance of stock and options for services			83,000	98,000
Net loss
Balance	$ 61,082,000	$ 60,537,000	61,082,000	60,537,000
Cash settlement of equity-based compensation			(24,000)
Retained Earnings [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance			(57,972,000)	(51,838,000)
Shares issued for warrant exercise
Equity-based compensation
Issuance of stock and options for services
Net loss			(1,647,000)	(1,589,000)
Balance	$ (59,619,000)	$ (53,427,000)	(59,619,000)	$ (53,427,000)
Cash settlement of equity-based compensation

Summary of Stock Options Activi

Summary of Stock Options Activity (Details) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Equity [Abstract]
Number of Options, Outstanding, Beginning	682,939
Weighted average exercise price per share, Outstanding, Beginning	$ 7.30
Remaining term in years, Outstanding	3 years 7 months 6 days	3 years 2 months 12 days
Number of Options, Issued	42,045
Weighted average exercise price per share, Issued	$ 1.48
Remaining term in years, Issued	8 years
Number of Options, Cancelled/Expired	(108,871)
Weighted average exercise price per share, Cancelled/Expired	$ 8.38
Number of Options, Outstanding, Ending	616,113	682,939
Weighted average exercise price per share, Outstanding, ending balance	$ 6.71	$ 7.30
Number of Options, Exercisable	554,902
Weighted average exercise price per share, Exercisable	$ 6.96
Remaining term in years, Exercisable	2 years 9 months 18 days

Summary of Fair Value of Option

Summary of Fair Value of Options Using Black-Sholes Option Pricing Model (Details)	6 Months Ended
	Jun. 30, 2023 $ / shares
Equity [Abstract]
Expected life (in years)	8 years
Expected volatility	84.40%
Risk-free interest rate	3.60%
Expected dividends
Weighted average grant date fair value per share	$ 1.19

Summary of Restricted Stock Awa

Summary of Restricted Stock Award and Restricted Stock Unit Activity (Details)	6 Months Ended
	Jun. 30, 2023 $ / shares shares
Equity [Abstract]
Number of shares, Unvested | shares	41,923
Weighted average grant date fair value, Unvested | $ / shares	$ 4.92
Number of shares, Granted | shares	5,000
Weighted average grant date fair value, Granted | $ / shares	$ 1.25
Number of shares, Vested | shares	(4,386)
Weighted average grant date fair value, Vested | $ / shares	$ 5.06
Number of shares, Forfeited | shares	(9,931)
Weighted average grant date fair value, Forfeited | $ / shares	$ 3.33
Number of shares, Unvested | shares	32,606
Weighted average grant date fair value, Unvested | $ / shares	$ 4.82

Summary of Performance Stock Un

Summary of Performance Stock Unit Activity (Details)	6 Months Ended
	Jun. 30, 2023 $ / shares shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares, Unvested | shares	41,923
Weighted average grant date fair value, Unvested | $ / shares	$ 4.92
Number of shares, Granted | shares	5,000
Weighted average grant date fair value, Granted | $ / shares	$ 1.25
Number of shares, Vested | shares	(4,386)
Weighted average grant date fair value, Vested | $ / shares	$ 5.06
Number of shares, Unvested | shares	32,606
Weighted average grant date fair value, Unvested | $ / shares	$ 4.82
Performance Shares [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares, Unvested | shares	17,678
Weighted average grant date fair value, Unvested | $ / shares	$ 4.50
Number of shares, Cash settled | shares	(17,678)
Weighted average grant date fair value, Cash Settled | $ / shares	$ 4.50
Number of shares, Granted | shares	281,934
Weighted average grant date fair value, Granted | $ / shares	$ 1.58
Number of shares, Vested | shares	(45,251)
Weighted average grant date fair value, Vested | $ / shares	$ 1.36
Number of shares, Unvested | shares	236,683
Weighted average grant date fair value, Unvested | $ / shares	$ 1.63

Stockholders_ Equity (Details N

Stockholders’ Equity (Details Narrative) - USD ($)	1 Months Ended		3 Months Ended	6 Months Ended
	Apr. 30, 2023	Feb. 28, 2023	Jun. 30, 2023	Jun. 30, 2023	Jun. 30, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Warrants issued			684,639	684,639
Exercise price			$ 5.85	$ 5.85
Unrecognized stock based compensation			$ 194,000	$ 194,000
Unrecognized share-based compensation weighted average period				1 year 8 months 12 days
Grant date fair value		$ 24,000
Stock-based compensation				$ 118,000	$ 93,000
Shares granted				5,000
Performance Shares [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Grant date fair value		80,000
Incremental compensation		$ 56,000
Modified to vest				71,000
Stock-based compensation				$ 64,000
Shares granted				281,934
Stock-based compensation			$ 67,000	$ 0
Performance Shares [Member] | Time-Based Vesting [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Modified to vest				26,000
2023 Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Reserve shares for future issuance			650,000	650,000
2023 Plan [Member] | Performance Shares [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Shares granted	211,000

Income Taxes (Details Narrative

Income Taxes (Details Narrative)	6 Months Ended
	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Estimated effective tax rate	0%

Subsequent Event (Details Narra

Subsequent Event (Details Narrative) - Subsequent Event [Member]	Aug. 31, 2023 USD ($)
Subsequent Event [Line Items]
Subscription received	$ 1,130,000
Convertible debt	$ 2,000,000
Debt instrument, description	The debt may be drawn in 25% increments, matures on the anniversary of the draw, bears interest at 10% per annum for the term, regardless of earlier payment or conversion, and is mandatorily convertible as to principal and interest into shares of the Company’s common stock at any time prior to maturity at the greater of $1.20 or 85% of the volume-weighted average price of the common stock for the ten trading days immediately preceding the written notice of the conversion (the “Conversion Price”).

Liquidity (Details Narrative)

Liquidity (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Liquidity
Cash for operations	$ 2,067,000	$ 1,923,000
Cash	952,000		$ 2,808,000
Subscription receivable	$ 1,130,000