Miromatrix Medical (MIRO) 10-K 30 Mar 22 2021 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2021	Mar. 24, 2022	Jun. 30, 2021
Document and Entity Information
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2021
Document Transition Report	false
Entity File Number	001-40518
Entity Registrant Name	Miromatrix Medical Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	27-1285782
Entity Address, Address Line One	6455 Flying Cloud Drive, Suite 107
Entity Address, City or Town	Eden Prairie
Entity Address State Or Province	MN
Entity Address, Postal Zip Code	55344
City Area Code	952
Local Phone Number	942-6000
Title of 12(b) Security	Common Stock
Trading Symbol	MIRO
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
ICFR Auditor Attestation Flag	false
Entity Shell Company	false
Entity Public Float			$ 208,773,639
Entity Common Stock, Shares Outstanding		20,546,583
Auditor Firm ID	23
Auditor Name	BAKER TILLY US, LLP
Auditor Location	Minneapolis, Minnesota
Entity Central Index Key	0001527096
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	FY
Amendment Flag	false

Balance Sheets

Balance Sheets - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 52,811,531	$ 4,444,395
Restricted cash	800,100
Receivable from Reprise Biomedical, Inc.	17,819	15,202
Grant receivable		100,000
Tenant improvement allowance receivable	1,256,950
Prepaid expenses and other current assets	450,873	130,576
Total current assets	55,337,273	4,690,173
Property and equipment, net	5,591,726	324,534
Investment in Reprise Biomedical, Inc		239,721
Total assets	60,928,999	5,254,428
Current liabilities:
Current portion of long-term debt and capital lease obligations	391,886	6,413,733
Current portion of deferred royalties	488,368
Accounts payable	2,094,854	130,160
Current portion of tenant improvement obligation	160,462
Accrued interest expense		612,705
Embedded derivative liability		246,962
Accrued expenses	1,428,622	760,889
Total current liabilities	4,564,192	8,164,449
Deferred royalties, net of current portion	491,733	488,368
Long-term debt and capital lease obligations	438,765	928,623
Deferred rent	207,204
Tenant improvement obligation, net of current portion	1,029,629
Accrued interest	71,592	45,691
Total liabilities	6,803,115	9,627,131
Commitments and contingencies
Shareholders' equity (deficit):
Common stock, par value $0.00001; 190,000,000 shares authorized; 20,385,645 issued and outstanding as of December 31, 2021 and 30,000,000 shares authorized; 2,185,822 issued and outstanding as of December 31, 2020	204	22
Additional paid-in capital	128,177,594	8,346,943
Accumulated deficit	(74,051,914)	(59,381,158)
Total shareholders' equity (deficit)	54,125,884	(51,034,193)
Total Liabilities, Mezzanine Equity and Shareholders' Equity (Deficit)	$ 60,928,999	5,254,428
Convertible preferred stock - Series B-2
Mezzanine equity:
Convertible preferred stock		15,670,097
Convertible preferred stock - Series B
Mezzanine equity:
Convertible preferred stock		23,865,732
Convertible preferred stock - Series A
Mezzanine equity:
Convertible preferred stock		$ 7,125,661

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Convertible preferred stock, outstanding (in shares)	0
Common stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Common stock, authorized (in shares)	190,000,000	30,000,000
Common stock, issued (in shares)	20,385,645	2,185,822
Common stock, outstanding (in shares)	20,385,645	2,185,822
Series B-2 Convertible Preferred Stock
Convertible preferred stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Convertible preferred stock, authorized (in shares)	0	2,500,000
Convertible preferred stock, issued (in shares)	0	2,095,874
Convertible preferred stock, outstanding (in shares)	0	2,095,874
Convertible preferred stock, liquidation preference	$ 0	$ 15,719,055
Series B Convertible Preferred Stock
Convertible preferred stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Convertible preferred stock, authorized (in shares)	0	4,000,000
Convertible preferred stock, issued (in shares)	0	3,218,282
Convertible preferred stock, outstanding (in shares)	0	3,218,282
Convertible preferred stock, liquidation preference	$ 0	$ 24,137,115
Series A Convertible Preferred Stock
Convertible preferred stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Convertible preferred stock, authorized (in shares)	0	3,300,000
Convertible preferred stock, issued (in shares)	0	3,000,380
Convertible preferred stock, outstanding (in shares)	0	3,000,380
Convertible preferred stock, liquidation preference	$ 0	$ 7,500,950

Statements of Operations

Statements of Operations - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Statements of Operations
Licensing revenue	$ 33,066	$ 46,530
Revenue from Contract with Customer, Product and Service [Extensible Enumeration]	us-gaap:LicenseMember	us-gaap:LicenseMember
Cost of goods sold	$ 500,000	$ 500,000
Cost, Product and Service [Extensible Enumeration]	us-gaap:LicenseMember	us-gaap:LicenseMember
Gross loss	$ (466,934)	$ (453,470)
Operating expenses:
Research and development	10,750,500	7,280,798
Regulatory and clinical	551,494	265,885
Quality	547,129	149,199
General and administration	4,643,473	2,109,196
Total operating expenses	16,492,596	9,805,078
Operating loss	(16,959,530)	(10,258,548)
Interest income	1,973	8,733
Interest expense	(613,882)	(656,552)
Loss on disposal of property and equipment	(5,459)
Amortization of discount on note	(62,638)	(108,620)
Change in fair value of derivative	246,962	(51,446)
Research grants	393,034	992,144
Equity loss in affiliate	(223,633)	(2,358,392)
Gain on sale of equity investment	1,983,912	2,123,113
Gain on debt extinguishment	568,505
Net loss	$ (14,670,756)	$ (10,309,568)
Net loss per share, basic (in dollar per share)	$ (1.28)	$ (4.76)
Net loss per share, diluted (in dollar per share)	$ (1.28)	$ (4.76)
Weighted average shares used in computing net loss per share, basic (in shares)	11,484,598	2,165,105
Weighted average shares used in computing net loss per share, diluted (in shares)	11,484,598	2,165,105

Statements of Shareholders' Equ

Statements of Shareholders' Equity (Deficit) - USD ($)	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Balance at beginning of period at Dec. 31, 2019	$ 21	$ 7,638,190	$ (49,071,590)	$ (41,433,379)
Balance at beginning of period (in shares) at Dec. 31, 2019	2,075,822
Increase (Decrease) in Stockholders' Equity
Stock-based compensation expense		644,854		644,854
Exercise of stock options	$ 1	7,649		$ 7,650
Exercise of stock options (in shares)	65,000			65,000
Exercise of stock warrants		56,250		$ 56,250
Exercise of stock warrants (in shares)	45,000
Net loss			(10,309,568)	(10,309,568)
Balance at end of period at Dec. 31, 2020	$ 22	8,346,943	(59,381,158)	(51,034,193)
Balance at end of period (in shares) at Dec. 31, 2020	2,185,822
Increase (Decrease) in Stockholders' Equity
Stock-based compensation expense		622,159		622,159
Exercise of stock options	$ 5	903,575		$ 903,580
Exercise of stock options (in shares)	462,866			462,866
Exercise of stock warrants	$ 1	71,474		$ 71,475
Exercise of stock warrants (in shares)	127,886
Conversion of preferred stock to common stock	$ 111	66,553,049		66,553,160
Conversion of preferred stock to common stock (in shares)	11,092,314
Note payable and accrued interest converted to common stock	$ 10	7,152,389		7,152,399
Note payable and accrued interest converted to common stock (in shares)	996,757
Sales of common stock, net of expenses	$ 55	44,528,005		44,528,060
Sales of common stock, net of expenses (in shares)	5,520,000
Net loss			(14,670,756)	(14,670,756)
Balance at end of period at Dec. 31, 2021	$ 204	$ 128,177,594	$ (74,051,914)	$ 54,125,884
Balance at end of period (in shares) at Dec. 31, 2021	20,385,645

Statements of Cash Flows

Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Cash flows from operating activities:
Net loss	$ (14,670,756)	$ (10,309,568)
Adjustments to reconcile net loss to net cash from operating activities:
Depreciation and amortization	167,907	170,365
Stock-based compensation	622,159	644,854
Loss on disposal of property and equipment	5,459
Deferred rent	207,204
Amortization of tenant improvement allowance	(66,859)
Amortization of discount on note	62,638	108,620
Change in fair value of derivative	(246,962)	51,446
Gain on debt extinguishment	(568,505)
Equity loss in affiliate	223,633	2,358,392
Gain on sale of equity investment	(1,983,912)	(2,123,113)
Changes in operating assets and liabilities:
Accounts receivable		42,175
Receivable from Reprise Biomedical, Inc	(2,617)	213,049
Grant receivable	100,000	157,380
Prepaid expenses	(320,297)	(35,474)
Other assets		26,156
Accounts payable and accrued expenses	1,066,718	(467,604)
Accrued interest	594,961	637,203
Accrued expenses - long-term		488,368
Net cash used in operating activities	(14,809,229)	(8,037,751)
Cash flows from investing activities:
Proceeds from sale of equity-method investment	2,000,000	3,000,000
Purchases of property and equipment	(3,383,116)	(123,166)
Net cash (used in) provided by investing activities	(1,383,116)	2,876,834
Cash flows from financing activities:
Payments on long-term debt	(122,771)	(271,999)
Proceeds from long-term debt	87,567	6,563,397
Proceeds from sale of common stock, net	44,528,060
Proceeds from sale of preferred stock, net	19,891,670
Proceeds from stock warrants exercise	71,475	56,250
Proceeds from stock options exercise	903,580	7,650
Net cash provided by financing activities	65,359,581	6,355,298
Increase in cash and cash equivalents	49,167,236	1,194,381
Cash, cash equivalents and restricted cash at beginning of period	4,444,395	3,250,014
Cash, cash equivalents and restricted cash at end of period	53,611,631	4,444,395
Cash and cash equivalents	52,811,531	4,444,395
Restricted cash	800,100
Cash, cash equivalents and restricted cash at end of period	53,611,631	4,444,395
Supplemental disclosure of cash flow information:
Purchases of property and equipment in accounts payable and accrued expenses	2,057,443
Interest paid	22,453	$ 19,349
Supplemental disclosure of non-cash financing activities:
Forgiveness of paycheck protection program loan	$ 568,505

DESCRIPTION OF BUSINESS AND SIG

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2021
DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES
DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES	MIROMATRIX MEDICAL INC. Notes to the Financial Statements NOTE 1 — DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES Description of Business The Company is a life sciences company pioneering a novel technology for bioengineering fully transplantable organs to help save and improve patients’ lives. Founded in 2009, the Company is one of a small group of companies at the forefront of developing alternatives to human-donor organ transplants, and within this small group of companies there are important differences between the technologies being developed. The Company’s proprietary technology is a scalable platform that uses a two-step method of decellularization and recellularization designed to remove the porcine cells from the organs obtained from pigs and replace them with unmodified human cells. The Company’s initial development focus is on bioengineering livers and kidneys, and the Company’s technology platform is also applicable to bioengineering other organs including, hearts, lungs and pancreases. The Company has collaborations with the Mayo Clinic, Mount Sinai Health System and the Texas Heart Institute, and have received strategic investments from Baxter International, Inc., CareDx, Inc. and DaVita, Inc. Basis of Preparation The accompanying financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the rules of the Securities and Exchange Commission (“SEC”) applicable to annual reports of companies filing as a smaller reporting company. In the opinion of management, the accompanying financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operation, stockholders’ equity and cash flows for the presented periods. The Company has evaluated subsequent events occurring after the date of the financial statements for events requiring recording or disclosure in the consolidating financial statements. Amended and Restated Charter On May 20, 2021, the Company’s Board of Directors (the “Board”) and stockholders approved an amendment and restatement of the Company’s then-existing certificate of incorporation (the “Pre-IPO Certificate”) to create, among other changes, a Series C Convertible Preferred Stock (“Series C Stock”). The Series C Stock would convert into shares of the Company’s common stock upon the Company’s initial public offering at 80% of the price at which the common stock is being sold in the initial public offering (see Note 8). June 2021 Amended and Restated Charter Prior to the completion of the initial public offering of the Company’s common stock (the “IPO”), the Company's Board and stockholders approved an amendment (the “Charter Amendment”) to the Pre-IPO Certificate and an amended and restated certificate of incorporation (“Post-IPO Certificate”) that became effective on June 23, 2021. The Charter Amendment increased the number of authorized shares of the Company’s common stock from 30,000,000 to 190,000,000 and authorized 10,000,000 shares of undesignated preferred stock. Under the Post-IPO Certificate, the Company is authorized to issue two classes of stock, Common Stock and Preferred Stock. Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. The carrying amount approximates fair value because of the short maturity of those instruments. The Company deposits its cash in high credit quality financial institutions. The balances, at times, may exceed federally insured limits. The Company has not experienced any losses from maintaining balances in excess of the federally insured limits. As of December 31, 2021 and 2020, the Company had $49,577,583 and $1,575,720, respectively, invested in money market funds which are classified as a Level 1 fair valued measured asset since these funds are traded on a regular basis. Equity Method Investments Investments in 20% to 50%-owned companies are accounted for under the equity method as the Company can exercise significant influence, but not control, over such investments. The equity method requires that gains (losses) are recognized in other income (expense), net in the statements of operations. The Company spun out the Acellular Business to Reprise Biomedical, Inc. (“Reprise”) on June 30, 2019, retaining a 45% ownership in Reprise. In November 2020, the Company’s ownership decreased to 18%. Even though the Company’s ownership dropped below 20% in November 2020, the Company still had significant influence over the activities of Reprise due to common board members. In March 2021, the Company sold its remaining ownership interest in Reprise. A gain on equity investment in Reprise resulted from recording the fair value of the Company’s investment in Reprise upon losing a controlling interest in the Company on June 30, 2019. The Company recorded its equity method share of losses in Reprise from January 1, 2020 to December 31, 2020 and from January 1, 2021 to March 15, 2021 in the statements of operations (see Note 4). Property and Equipment Property and equipment are stated at cost. Depreciation and amortization is computed using the straight-line method over the estimated useful lives of related assets which range from three Patents Costs associated with the submission of a patent application are expensed as incurred given the uncertainty of the patents resulting in probable future economic benefits to the Company and are included in general & administration expenses on the statements of operations. Revenue Recognition The Company recognizes revenue in accordance with Accounting Standards Codification, Topic 606, Revenue from Contracts with Customers (ASC 606), which the Company adopted effective January 1, 2019. The Company recognizes revenue for product sales when its customers obtain control of the products, which occurs at a point in time, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods. In determining the appropriate amount of revenue to be recognized as we fulfill our obligations under our agreements, we perform the following steps: (i) identify the contract with the customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations; and (v) recognize revenue when (or as) each performance obligation is satisfied. For agreements that include sales-based royalties and the license is deemed to be the predominant item to which the royalties relate, the Company recognizes revenue at the later of (i) when the related sales occur after the minimum guarantee is satisfied, or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied). The Company assesses the collectability of the consideration and only recognizes revenue when the collectability of the consideration is deemed probable. The Company re-assesses the collectability of the consideration on a periodic basis, typically quarterly, and recognizes revenue deemed probable of being collected. Cost of Goods Sold Cost of goods sold consists of royalty expenses. Research and Development Costs Research and development expenses consist primarily of engineering, product development, consulting services, materials, depreciation and other costs associated with products and technologies in development. These expenses include employee and non-employee compensation, including stock-based compensation, supplies, materials, consulting, related travel expenses and facility costs. Expenditures for research and development activities are charged to operations as incurred. Stock-Based Compensation The Company is required to determine the fair value of equity incentive awards and recognize compensation expense for all equity incentive awards made to employees and directors, including employee stock options. The Company also determines the fair value of non-statutory stock options issued to consultants based on the fair value of the consultant’s commitment at the date of grant. Such expense is recognized over the requisite service period. In addition, stock-based compensation expense recognized in the statements of operations is based on awards expected to vest and therefore the amount of expense has been reduced for estimated forfeitures. The Company uses the straight-line method for expense attribution, except for awards issued with performance-based conditions which require an accelerated attribution method over the requisite performance and service periods. Under the applicable accounting guidance for equity incentive awards issued to non-employees, the date at which the fair value of such awards is measured is equal to the earlier of: 1) the date at which a commitment for performance by the counterparty to earn the equity instrument is reached; or 2) the date at which the counterparty ’ s performance is complete. The Company recognizes stock-based compensation expense for the fair value of the vested portion of the non-employee awards in the statements of operations. The valuation model used for calculating the fair value of awards for stock-based compensation expense is the Black-Scholes option-pricing model (the “Black-Scholes model”). The Black-Scholes model requires the Company to make assumptions and judgments about the variables used in the calculation, including the expected term (weighted average period of time that the options granted are expected to be outstanding), the volatility of common stock and an assumed risk-free interest rate. The Company uses the “simplified method” to determine the expected term of the stock option. Volatility is based on an average of the historical volatilities of the common stock of publicly-traded companies with characteristics similar to those of the Company. The risk-free rate is based on the United States (“U.S.”) Treasury yield curve in effect at the time of grant for periods corresponding with the expected term of the option. The expected dividend assumption is based on the Company’s history of not paying dividends and its expectation that it will not declare dividends for the foreseeable future. Potential forfeitures of awards are estimated based on the Company’s historical forfeiture experience. The estimate of forfeitures will be adjusted over the service period to the extent that actual forfeitures differ, or are expected to differ, from prior estimates. Concentration of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of cash, cash equivalents, and accounts payable. Historically, the Company’s credit losses have been insignificant. Income Taxes The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority. As of December 31, 2021 and 2020, the Company did not have any material uncertain tax positions. Deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial statement carrying amount and the tax basis of assets and liabilities. The Company provides for deferred taxes at the enacted tax rate that is expected to apply when the temporary differences reverse. The Company has recorded a full valuation allowance against the net deferred tax asset due to the uncertainty of realizing the related benefits. The Company has elected to recognize interest on tax deficiencies as interest expense and income tax penalties as general & administration expense. For the years ended December 31, 2021 and 2020, the Company recognized no interest or penalties. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Emerging Growth Company Status The Company is an emerging growth company, as defined in the Jumpstart Our Business Startups Act of 2012 (“JOBS Act”). Under the JOBS Act, emerging growth companies can delay adopting new or revised accounting standards issued subsequent to the enactment of the JOBS Act, until such time as to those standards apply to private companies. The Company has elected to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and private companies until the earlier of the date that it (i) is no longer an emerging growth company or (ii) affirmatively and irrevocably opts out of the extended transition period provided in the JOBS Act. As a result, these financial statements may not be comparable to companies that comply with the new or revised accounting pronouncements as of public company effective dates. Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of an asset may not be fully recoverable. An impairment loss would be recognized when the estimated future cash flows from the use of the asset are less than the carrying amount of that asset. Net Loss Per Share Basic net loss per share is computed by dividing the net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by dividing the net loss by the weighted average number of shares of common stock and dilutive potential shares of common stock outstanding during the period. Because we have reported a net loss for all periods presented, diluted net loss per share is the same as basic net loss per share for those periods as all potentially dilutive shares consisting of stock options and warrants were antidilutive in those periods (see Note 14). Recent Accounting Pronouncements Recently Adopted Accounting Pronouncements In August 2020, the FASB issued ASU No. 2020-06, “Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020-06”), which simplifies accounting for convertible instruments by removing major separation models required under current U.S. GAAP. This guidance removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception, and it also simplifies the diluted earnings per share calculation in certain areas. ASU 2020-06 is effective for smaller reporting companies for the fiscal years beginning after December 15, 2023. Early adoption is permitted for fiscal years beginning after December 15, 2020, but an entity must early adopt the guidance at the beginning of the fiscal year. The Company elected to early adopt ASU 2020-06 effective January 1, 2021. The Company determined that the conversion feature of the preferred stock did not need to be bifurcated under ASC 815 and therefore was accounted for as single units of mezzanine equity. Accounting Pronouncements Not Yet Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, “Leases (Topic 842).” ASU No. 2016-02 requires lessees to recognize the assets and liabilities that arise from leases on the balance sheet. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. During 2018, the FASB also issued ASU No. 2018-10, “Codification Improvements to Topic 842, Leases”, which addresses narrow aspects of the guidance originally issued in ASU No. 2016-02; ASU 2018-11, “Targeted Improvements”, which provides entities with an additional (and optional) transition method whereby an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption and also provides lessors with a practical expedient, by class of underlying asset, to not separate non-lease components from the associated lease component and, instead, to account for those components as a single component. During 2019, the FASB also issued ASU No. 2019-01, which clarified Topic 842’s interim disclosure requirements and amend certain industry-specific guidance related to determining the fair value of leased assets and the cash flow presentation of principal payments received under sales-type and direct finance leases. Topic 842 (as amended) is effective for annual periods beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022. Early adoption is permitted. The Company will adopt the new standard effective January 1, 2022 using the modified retrospective approach. As a result of adopting the new standard, the Company will recognized right-of-use assets of approximately $1.9 million and lease liabilities of approximately $2.0 million as of January 1, 2022. The difference between the amount of right-of-use assets and lease liabilities includes a tenant improvement allowance. The adoption of the new standard is not expected to have a material impact on net income or cash flows. In June 2016, the FASB issued ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments.” In November 2018, the FASB issued an updated, ASU 2018-19, that clarifies the scope of the standard in the amendments in ASU 2016-13. This guidance introduces a new model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. Financial instruments impacted are trade and other receivables, held-to-maturity debt securities, loans and other instruments. There are various transition methods available upon adoption. As an emerging growth company, the Company is permitted to defer adoption until the non-public company adoption date of annual periods started after December 15, 2022. The Company is currently evaluating the impact of adoption on its financial statements. ​

INITIAL PUBLIC OFFERING

INITIAL PUBLIC OFFERING	12 Months Ended
	Dec. 31, 2021
INITIAL PUBLIC OFFERING
INITIAL PUBLIC OFFERING	NOTE 2 — INITIAL PUBLIC OFFERING In June 2021, the Company completed the IPO in which the Company sold 5,520,000 shares of its common stock at a price to the public of $9.00 per share, which included the sale of 720,000 shares of common stock as a result of the full exercise of the underwriter’s overallotment option. The Company received proceeds of $49,679,945, excluding underwriting discounts and commissions, which was recorded to additional paid-in capital. The Company’s common stock commenced trading on the Nasdaq Capital Market on June 24, 2021 under the trading symbol “MIRO.” Upon the closing of the IPO, all shares of the then-outstanding convertible preferred stock were converted on their respective terms into a total of 12,139,071 shares of common stock. This resulted in a reclassification of $73,705,437 to additional paid-in capital. Offering costs incurred by the Company were $1,707,673, excluding underwriting commissions and discounts, which were recorded to additional paid-in capital. The Company issued the underwriter in the IPO a warrant to purchase up to 276,000 shares of its common stock.

LAB EQUIPMENT, FURNITURE, LEASE

LAB EQUIPMENT, FURNITURE, LEASEHOLD IMPROVEMENTS AND CONSTRUCTION IN PROGRESS	12 Months Ended
	Dec. 31, 2021
LAB EQUIPMENT, FURNITURE, LEASEHOLD IMPROVEMENTS AND CONSTRUCTION IN PROGRESS
LAB EQUIPMENT, FURNITURE, LEASEHOLD IMPROVEMENTS AND CONSTRUCTION IN PROGRESS	NOTE 3 — PROPERTY AND EQUIPMENT Property and equipment consisted of the following as of: ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ ​ 2021 ​ 2020 Lab equipment ​ $ 1,549,416 ​ $ 1,480,952 Leasehold improvements ​ 3,239,307 ​ 310,225 Furniture and fixtures & computers ​ 1,671,793 ​ 112,302 ​ ​ 6,460,516 ​ 1,903,479 Less accumulated depreciation and amortization ​ (868,790) ​ (1,578,945) ​ ​ $ 5,591,726 ​ $ 324,534 ​ Depreciation and amortization expense was $167,907 and $170,365 for the years ended December 31, 2021 and 2020, respectively.

EQUITY METHOD INVESTMENT

EQUITY METHOD INVESTMENT	12 Months Ended
	Dec. 31, 2021
EQUITY METHOD INVESTMENT
EQUITY METHOD INVESTMENT	NOTE 4 — EQUITY METHOD INVESTMENT The Company previously manufactured and sold acellular medical devices in the hernia mesh and wound care markets through a separately identifiable business unit (the “Acellular Business”). On June 30, 2019, the Acellular Business was spun-out to Reprise. At the time of the spin-out the common stock of Reprise was valued at $1.00 per share and therefore the Company recognized a gain of $4,495,500 on its Reprise common stock holdings. At the time of the spin-out and until November 15, 2020, the Company owned 4,500,000 shares of common stock of Reprise, which represented 45% ownership in Reprise. In November 2020, the Company sold 2,700,000 shares of common stock of Reprise for $3,000,000 and retained an 18% ownership interest in Reprise. The Company sold its remaining shares of Reprise in March 2021 for $2,000,000. As of December 31, 2020, the Company had an investment in Reprise that it accounts for under the equity method (see Note 1). The Company considers its investment in Reprise to be significant to its income as of December 31, 2020. Financial information from the financial statements of Reprise are summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ March 15, December 31, ​ ​ 2021 ​ 2020 Current assets ​ $ — ​ $ 4,309,045 Total assets ​ $ — ​ $ 5,312,350 Current liabilities ​ $ — ​ $ 2,534,673 Non-current liabilities ​ $ — ​ $ 489,785 Shareholders’ equity ​ $ — ​ $ 2,287,892 Miromatrix Medical Inc. share of shareholders’ equity ​ $ — ​ $ 411,821 ​ ​ ​ ​ ​ ​ ​ ​ ​ Period Ended ​ Year Ended ​ ​ March 15, ​ December 31, ​ 2021 2020 ​ ​ ​ ​ ​ ​ Net sales ​ $ 93,985 ​ $ 704,867 Gross margin (loss) ​ $ 47,708 ​ $ (61,155) Net loss ​ $ (1,376,522) ​ $ (6,389,453) Miromatrix Medical Inc. share of net loss ​ $ (223,633) ​ $ (2,358,392) ​

ACCRUED EXPENSES

ACCRUED EXPENSES	12 Months Ended
	Dec. 31, 2021
ACCRUED EXPENSES
ACCRUED EXPENSES	NOTE 5 — ACCRUED EXPENSES Accrued expenses consisted of the following as of: ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ ​ 2021 ​ 2020 Wages ​ $ 704,502 ​ $ 217,825 Facility costs ​ ​ 242,892 ​ ​ — Supplies ​ ​ 127,505 ​ ​ — Taxes ​ ​ 101,221 ​ ​ — Legal ​ 37,000 ​ 452,778 Key opinion leader compensation ​ 25,500 ​ 34,000 Royalties ​ 2,000 ​ 3,800 Other ​ 188,002 ​ 52,486 Accrued expenses ​ $ 1,428,622 ​ $ 760,889 ​

FAIR VALUE MEASUREMENT

FAIR VALUE MEASUREMENT	12 Months Ended
	Dec. 31, 2021
FAIR VALUE MEASUREMENT
FAIR VALUE MEASUREMENT	NOTE 6 — FAIR VALUE MEASUREMENT The fair value of the Company’s financial instruments reflects the amount that the Company estimates that it would receive in connection with the sale of an asset or paid in connection with the transfer of a liability in an orderly transaction between market participants at the measurement date (exit price). ASC 820, Fair Value Measurements and Disclosures ● Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. ● Level 2: Directly or indirectly observable inputs as of the reporting date through correlation with market data, including quoted prices for similar assets and liabilities in active markets and quoted prices in markets that are not active. Level 2 also includes assets and liabilities that are valued using models or other pricing methodologies that do not require significant judgment since the input assumptions used in the models, such as interest rates and volatility factors, are corroborated by readily observable data from actively quoted markets for substantially the full term of the financial instrument. ● Level 3: Unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions. In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considers counterparty credit risk in its assessment of fair value. The Company classified its equity method investments as Level 3 securities. The Company determined that a promissory note issued in March 2020 (“March 2020 Note”) contained a change in control provision which is a level 3 embedded derivative and is required to be bifurcated. In accordance with ASC 815, Derivatives and Hedging The table below discloses changes in value of the Company’s embedded derivative liabilities discussed above. ​ ​ ​ ​ ​ Derivative liability balance at December 31, 2019 $ — Derivative instrument related to March 2020 Note ​ 195,516 Loss recognized to revalue derivative instrument at fair value ​ 51,446 Derivative liability balance at December 31, 2020 ​ 246,962 Gain recognized to revalue derivative instrument at fair value ​ (246,962) Derivative liability balance at December 31, 2021 ​ $ — ​

DEBT AND CAPITAL LEASE OBLIGATI

DEBT AND CAPITAL LEASE OBLIGATION	12 Months Ended
	Dec. 31, 2021
DEBT AND CAPITAL LEASE OBLIGATION
DEBT AND CAPITAL LEASE OBLIGATION	NOTE 7 — DEBT AND CAPITAL LEASE OBLIGATION In December 2010, the Company entered into a loan and security agreement with the Minnesota Agricultural and Economic Development Board under which the Company borrowed $250,000. The loan had a maturity date of November 1, 2020. Commencing on December 1, 2014, the loan started to bear interest at a rate of 6.0% per annum. Per the loan agreement, the Company began making monthly principal and interest payments on December 1, 2015 in the amount of $3,000. The Company made 59 monthly payments, plus one final payment equal to the then unpaid principal and interest. The loan was secured by the Company’s accounts receivable. As of December 31, 2021 and 2020, the principal outstanding on this loan was $0. In January 2012, the Company signed a promissory note with the Regents of the University of Minnesota (the “University”) for $405,559. Commencing on January 1, 2016 the promissory note bears interest at 3.0% per annum, compounded monthly. On or before January 31, 2018, the Company is required to make monthly principal and interest payments of $7,737 until the note is paid in full. The note has a maturity date of December 31, 2022 and is unsecured. In association with the promissory note, the Company issued the University warrants to purchase 80,000 shares of the Company’s common stock at an exercise price of $1.69. As of December 31, 2021 and 2020, the principal outstanding on this loan was $83,849 and $172,731, respectively. In May 2015, the Company entered into a loan agreement with the Minnesota Department of Employment & Economic Development under which the Company borrowed $250,000. The loan does not bear interest, is due in a lump sum payment on April 1, 2022 and is uncollateralized. If there is a substantial ownership change in the Company (greater than 50% to one entity), the Company will pay the Minnesota Department of Employment & Economic Development additional compensation of $75,000. As of both December 31, 2021 and 2020, the balance outstanding on this loan was $250,000. In October 2018, the Company signed a lease agreement for a piece of equipment that is being accounted for as a capitalized lease. The total cost of the equipment was $102,026. The lease bears interest at 7.2% and the Company will make 60 monthly payments of $1,863 until the lease is paid in full. As of December 31, 2021 and 2020, the amount outstanding on the lease was $38,271 and $57,127, respectively. The lease is secured by the piece of equipment. In January 2019, Company issued the University a promissory note in the amount of $385,997 in satisfaction of the Company’s minimum royalty obligation for the year ended December 31, 2018. The note bears interest at 6.0% per annum and is due on January 31, 2025. In addition, the Company issued the University a 10-year In March 2020, the Company entered into a note and warrant purchase agreement (the “Purchase Agreement”) with one of the Company’s shareholders under which the Company borrowed $6,000,000. As part of the Purchase Agreement, the Company signed a convertible promissory note (the “Note”) and issued the shareholder a warrant (the “Warrant”). The Note was unsecured and had a maturity date of September 6, 2021. If the Company completed a preferred stock offering of at least $34,000,000 prior to the maturity date, the Note and all accrued interest would have automatically converted into preferred shares of such offering at the offering price. The Note initially bore interest at 5.0% per annum. If the Note was not converted prior to May 1, 2020, the interest rate increased to 7.0% on May 1, 2020 and by an additional 2.0% on the first day of each subsequent month prior to the maturity date starting on June 1, 2020, provided that the interest rate shall not exceed 20.0%. The 5-year accordance with its terms prior to May 1, 2020, the Company will issue an additional warrant on May 1, 2020, and the first day of each additional month the Note remains outstanding, for $75,000 of warrant coverage. In June 2021, the Note and all accrued interest was converted into 956,887 shares of the Company’s Series C Convertible Preferred Stock. As of December 31, 2021 and 2020, the balance outstanding on the Note was $0 and $6,000,000, respectively. On April 16, 2020, the Company issued a promissory note for $563,397 under the Paycheck Protection Program (“PPP”) through the U.S. Small Business Administration (SBA). The PPP was authorized in the Coronavirus Aid, Relief and Economic Security (CARES) Act. The promissory note is uncollateralized and is fully guaranteed by the Federal government. The outstanding balance of the promissory note bears interest at 1% per annum and is due on April 16, 2022. Per the PPP’s terms, some or all of the debt may be forgiven based upon the Company’s use of the funds. On March 4, 2021, $513,520 of the principal balance under the promissory note and associated interest of $4,530 were forgiven by the SBA. On August 6, 2021, the remaining principal balance of $49,877 along with associated interest of $578 were forgiven by the SBA. As of December 31, 2021 and 2020, the balance outstanding on the promissory note was $0 and $563,397 respectively. In July 2021, the Company signed a lease agreement for a piece of equipment that is being accounted for as a capitalized lease. The total cost of the equipment was $44,251. The lease bears interest at 5.0% and the Company will make 24 monthly payments of $1,941 until the lease is paid in full. As of December 31, 2021, the amount outstanding on the lease was $33,597. The lease is secured by the piece of equipment. In September 2021, the Company signed a lease agreement for a piece of equipment that is being accounted for as a capitalized lease. The total cost of the equipment was $43,317. The lease bears interest at 6.8% and the Company will make 36 monthly payments of $1,337 until the lease is paid in full. As of December 31, 2021, the amount outstanding on the lease was $38,937. The lease is secured by the piece of equipment. Future principal maturities for debt were as follows as December 31, 2021: ​ ​ ​ ​ ​ Amounts Due in Year Ending December 31, ​ 2022 ​ $ 333,849 2023 ​ — 2024 ​ — 2025 ​ 385,997 Total future maturities payments ​ ​ 719,846 Less current portion ​ ​ (333,849) Long-term debt ​ $ 385,997 ​ The weighted average interest rate on the current portion of debt was 0.8% and 18.6% as of December 31, 2021 and 2020, respectively. Future lease payments under the Company’s capital lease obligation were as follows as of December 31, 2021: ​ ​ ​ ​ ​ Amounts Due in Year Ending December 31, ​ 2022 ​ $ 63,634 2023 ​ 44,355 2024 ​ 10,694 Total future lease payments ​ ​ 118,683 Less amounts representing interest ​ ​ (7,878) Present value of future lease payments ​ ​ 110,805 Less current portion ​ ​ (58,037) Long-term capital lease obligation ​ $ 52,768 ​ The weighted average interest rate of the current portion of capital leases was 6.2% and 7.2% as of December 31, 2021 and 2020, respectively.

CAPITAL STOCK

CAPITAL STOCK	12 Months Ended
	Dec. 31, 2021
CAPITAL STOCK
CAPITAL STOCK	NOTE 8 — CAPITAL STOCK Common Stock The Company is authorized to issue 190,000,000 shares of common stock, with a par value of $0.00001. Holders of common stock are entitled to one vote for each share held on all matters submitted to a vote of common shareholders. Subject to preferences that may be applicable to any outstanding preferred shares, each share of common stock is entitled to share pro rata in any distributions. In any distribution of capital assets, holders of common stock are entitled to receive pro rata the assets remaining after payment of liabilities and liquidation preferences on any outstanding preferred stock. At December 31, 2021 and 2020, there were 20,385,645 and 2,185,822 shares of common stock issued and outstanding Convertible Preferred Stock Immediately prior to the IPO, the Company had the following outstanding convertible preferred stock: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Aggregate ​ Shares Shares Liquidation ​ ​ Authorized ​ Outstanding ​ Preference ​ ​ ​ ​ ​ ​ Convertible Preferred Stock - Series C ​ 6,100,000 ​ 3,671,554 $ 27,536,655 Convertible Preferred Stock - Series B-2 2,500,000 2,095,874 ​ 15,719,055 Convertible Preferred Stock - Series B 4,000,000 3,218,282 ​ 24,137,115 Convertible Preferred Stock - Series A 3,300,000 3,000,380 ​ 7,500,950 ​ 15,900,000 11,986,090 ​ $ 74,893,775 ​ Upon the closing of the IPO, all shares of convertible preferred stock then outstanding were automatically converted into an aggregate of 12,139,071 shares of common stock, resulting in the reclassification of the related convertible preferred stock into $121 of common stock and $73,705,437 into additional paid-in capital. As of December 31, 2021, there were no shares of convertible preferred stock outstanding. Preferred Stock The Company is authorized to issue 10,000,000 shares of preferred stock, with a par value of $0.00001, as provided in the Post-IPO Certificate. As of December 31, 2021, there were no shares of preferred stock issued The Company previously classified its Series A Convertible Preferred Stock, Series B Convertible Preferred Stock, Series B-2 Convertible Preferred Stock, and Series C Convertible Preferred Stock as mezzanine equity due to their liquidation provisions under a change in control. Series C Convertible Preferred Stock In May 2021, the Company entered into two stock purchase agreements under which it sold an aggregate of 2,666,667 shares of Series C Preferred Stock at $7.50 per share for gross proceeds of $20,000,003. In June 2021, the $6,000,000 Note issue by the Company in March 2020 (see Note 7) and all accrued interest was converted into 956,887 shares of Series C Preferred Stock. On the same date, the Warrant issued in connection with the Note was converted into 48,000 shares of Series C Preferred Stock via a cashless exercise. The Series C Preferred Stock converted into common stock at a 20% discount to the price to the public in the IPO. As of December 31, 2021, all 3,671,554 shares of the Series C Preferred Stock had been converted into common stock and none remained outstanding. Stock Options In February 2010, the Company adopted a stock option plan (the “2010 Plan”) which authorized options to acquire 375,000 shares of the Company’s common stock. On June 20, 2011, the number of shares authorized to be issued as options under the 2010 Plan was increased to 600,000. On September 30, 2013, the number of shares authorized to be issued as options under the 2010 Plan was increased to 1,300,000. On March 1, 2014, the number of shares authorized to be issued as options under the 2010 Plan was increased to 1,700,000. On July 31, 2015, the number of shares authorized to be issued as options under the 2010 Plan was increased to 2,500,000 shares. On August 12, 2016, the number of shares authorized to be issued as options under the 2010 Plan was increased to 3,250,000 shares. On December 13, 2017, the number of shares authorized to be issued as options under the 2010 Plan was increased to 3,850,000 shares. At December 31, 2021, there were 2,740,305 options outstanding under the 2010 Plan and 0 options available for grant. At December 31, 2020, there were 3,287,230 options outstanding under the 2010 Plan and 0 options available for grant. The Company ceased making awards under the 2010 Plan upon approval of the 2019 Plan. In July 2019, the Company adopted a stock option plan (the “2019 Plan”) which authorized options to acquire 1,000,000 shares of the Company’s common stock. At December 31, 2021, there were 366,500 options outstanding under the 2019 Plan and 0 options available for grant. At December 31, 2020, there were 481,500 options outstanding under the 2019 Plan and 518,500 options available for grant. The Company ceased making awards under the 2019 Plan upon stockholder approval of the 2021 Plan. On May 20, 2021, the Company’s stockholders approved the 2021 Equity Incentive Plan (the “2021 Plan”). The 2021 Plan provides for the issuance of stock options, restricted stock units and other awards to employees, directors and consultants of the Company. The number of shares of common stock that may be the subject of awards issued under the 2021 plan is 1,000,000. In addition, shares of common stock that would have otherwise been available under our 2019 Plan will increase the number of shares of common stock available for issuance under our 2021 plan. Shares of common stock subject to outstanding awards under the 2019 Plan that would otherwise return to the share reserve of the 2019 plan upon expiration, forfeiture, retention by the Company to satisfy any exercise price or any tax withholding, repurchase by the Company at their original purchase price, or settlement in cash of awards outstanding under the 2019 Plan may be added to the number of shares of common stock available for issuance under the 2021 Plan. The number of shares of common stock reserved for issuance under our 2021 Plan will automatically increase on the first day of each year, beginning on January 1, 2022, in amount equal to the lesser of (a) 4.5% of the total number of shares of common stock outstanding on December 31 of the immediately preceding calendar year, (b) 600,000 shares of common stock, or (c) such lesser number of shares as determined by the Board. At December 31, 2021, there were 419,333 options and 51,331 restricted stock units outstanding under the 2021 Plan and 1,095,836 awards available for grant. The following is a summary of options to purchase common stock during the years ended December 31: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2021 2020 ​ ​ ​ ​ Weighted ​ ​ ​ Weighted ​ ​ ​ ​ Average ​ ​ ​ Average ​ ​ ​ ​ Exercise ​ ​ ​ Exercise ​ Shares Price Shares Price Options outstanding at beginning of the year ​ 3,768,730 ​ $ 3.15 ​ 3,804,750 ​ $ 3.07 Granted ​ 424,833 ​ $ 8.59 ​ 338,000 ​ $ 4.03 Exercised ​ (462,866) ​ $ 1.95 ​ (65,000) ​ $ 0.12 Canceled or expired ​ (204,559) ​ $ 2.62 ​ (309,020) ​ $ 3.70 Options outstanding at end of the year ​ 3,526,138 ​ $ 3.99 ​ 3,768,730 ​ $ 3.15 Options exercisable 2,976,089 ​ $ 3.42 3,426,440 ​ $ 3.09 ​ The weighted average fair value of options granted for the years ending December 31, 2021 and 2020 was $3.42 and $0.88 per share, respectively. As of December 31, 2021, there were 3,526,138 common stock options outstanding with a weighted average remaining contractual life of 4.94 years. . As of December 31, 2021, there were 2,976,089 common stock options exercisable with a weighted average remaining contractual life of 4.17 years. The intrinsic value of the outstanding options as of December 31, 2021 and 2020 was $4,155,492 and $1,906,200, respectively. The intrinsic value of the exercisable options as of December 31, 2021 and 2020 was $3,995,176 and $1,906,200, respectively. The intrinsic value of options exercised was $2,412,480 for the year ended December 31, 2021. The Company recognized $514,318 and $655,443 of stock-based compensation expense related to option grants during the years ending December 31, 2021 and 2020, respectively. As of December 31, 2021, there was $1,433,087 of unrecognized compensation costs related to stock option grants which is expected to be recognized over the remaining vesting period during the years ending December 31, 2022, 2023, 2024, and 2025. The Company issues new common shares for options exercised. Black-Scholes Assumptions The Company uses the Black-Scholes option pricing model to estimate the fair value of stock option grants with the following weighted average assumptions: ​ ​ ​ ​ ​ ​ ​ ​ 2021 2020 Expected life (years) 6.0 5.7 ​ Risk-free interest rate 1.23 % 0.63 % Expected dividend yield — — ​ Expected volatility 40.0 % 35.0 % ​ Restricted Stock Units During the year ending December 31, 2021, the Company granted restricted stock unit (“RSU”) awards totaling 51,331 shares of common stock under the 2021 Plan to directors and certain executives. Each RSU is eligible to vest over time and settled into one newly issued share of Company common stock. The Company recognized $107,841 of stock-based compensation expense related to restricted stock units during the year ended December 31, 2021. The following is a summary of restricted stock units during the year ended December 31: ​ ​ ​ ​ ​ ​ ​ ​ 2021 ​ ​ ​ ​ Weighted ​ ​ ​ ​ Average Grant ​ ​ ​ ​ Date Fair ​ Shares Value Unvested at beginning of the year ​ — ​ $ — Granted ​ 51,331 ​ $ 8.29 Vested ​ — ​ $ — Canceled ​ — ​ $ — Unvested at end of the year ​ 51,331 ​ $ 8.29 ​ As of December 31, 2021, there was $317,619 of unrecognized compensation costs related to restricted stock units which is expected to be recognized over the remaining vesting period during the years ending December 31, 2022, 2023, 2024 and 2025. 2021 Employee Stock Purchase Plan On May 20, 2021, the Company’s stockholders adopted the 2021 Employee Stock Purchase Plan (“2021 ESPP”), which became effective in connection with the Company’s IPO. The 2021 ESPP allows eligible employees to purchase shares of the Company’s common stock on each purchase date no less than 85% of the lower of (i) the closing market price per share of common stock on the first day of the applicable purchase period or (ii) the closing market price per share of common stock on the purchase date at the end of the applicable six-month purchase period. No participant will have the right to purchase shares in an amount that has a fair value of more than $25,000 determined as of the first day of the applicable purchase period, for each calendar year, nor purchase more than 5,000 shares of common stock on any one purchase date. There were 300,000 shares of common stock initially reserved for issuance under the 2021 ESPP. In addition the 2021 ESPP contains a provision which provides for an automatic annual share increase on January 1 of each year, in an amount equal to the lesser of (i) 1% of the total number of shares outstanding as of December 31 of the immediately preceding calendar year, (ii) 200,000 shares or (iii) such number of shares as determined by the Board. The Company accounts for employee stock purchases made under its 2021 ESPP using the estimated grant date fair value of accounting in accordance with ASC 718, Stock Compensation There were no shares issued under the 2021 ESPP during the year ending December 31, 2021. Stock Warrants Information with respect to warrants is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Series A Preferred ​ ​ ​ warrants ​ Common warrants Warrants outstanding December 31, 2019 ​ 40,000 ​ ​ 752,669 Granted ​ — ​ ​ — Exercised ​ — ​ ​ (45,000) Terminated ​ ​ (40,000) ​ ​ — Warrants outstanding December 31, 2020 ​ ​ — ​ ​ 707,669 Granted ​ — ​ ​ 276,000 Exercised ​ — ​ ​ (82,790) Terminated ​ ​ — ​ ​ (105,500) Warrants outstanding December 31, 2021 ​ ​ — ​ ​ 795,379 ​ ​ ​ ​ ​ ​ ​ Weighted average exercise price: ​ ​ ​ ​ ​ ​ December 31, 2021 ​ $ — ​ $ 1.66 December 31, 2020 ​ $ — ​ $ 2.34 ​ ​ ​ ​ ​ ​ ​ Weighted average remaining contractual life in years: ​ ​ ​ ​ ​ ​ December 31, 2021 ​ $ — ​ $ 2.79 December 31, 2020 ​ $ — ​ $ 2.32 ​

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2021
INCOME TAXES
INCOME TAXES	NOTE 9 — INCOME TAXES The Company recorded a net loss for financial and tax reporting purposes during the years ended December 31, 2021 and 2020. As a result of cumulative net operating loss and credit carryforwards, no income taxes were provided. The effective tax rates for the years ended December 31, 2021 and 2020 differ from the federal and state statutory tax rates primarily due to the change in full valuation allowance, nondeductible incentive stock option expense, meals and entertainment expense, and officer life insurance expense the major deferred tax items are as follows at December 31: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2021 ​ 2020 Assets: ​ ​ Asset valuation reserves and other ​ $ 89,000 ​ $ 30,000 Depreciation and amortization ​ 14,000 ​ 64,000 Capitalized research and development expenses ​ 66,000 ​ 115,000 Option and warrant expense ​ 1,910,000 ​ 1,629,000 Research and development credit ​ 4,113,000 ​ 3,138,000 Net operating loss carryforwards ​ 6,939,000 ​ 5,644,000 ​ ​ 13,131,000 ​ 10,620,000 Valuation allowance ​ (13,131,000) ​ (10,620,000) ​ ​ $ — ​ $ — ​ The valuation allowance increased $2,511,000 and $2,622,000 for the years ended December 31, 2021 and 2020, respectively. The valuation allowance increased in the current year primarily due to the Company’s operating losses. At December 31, 2021, the Company has available for U.S. federal income tax purposes net operating loss carry-forwards of approximately $31,147,000 and state net operating loss carryforwards of $6,870,000. These carryforwards expire in the years 2031 through 2041. The ultimate utilization of the net operating loss carryforwards may be limited in the future due to changes in the ownership of the Company. This limitation, if applicable, has not been determined by the Company. The realization of the Company’s deferred tax assets is dependent upon the Company’s ability to generate taxable income in the future. The Company has recorded a 100% valuation allowance against all of the deferred tax assets due to the uncertainty regarding their realizability.

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS	12 Months Ended
	Dec. 31, 2021
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS	NOTE 10 — EMPLOYEE BENEFIT PLANS The Company’s employees are eligible to participate in a defined contribution benefit plan. Employees may contribute a percentage of their wages, subject to limits established by the Internal Revenue Code. The Company may elect to make discretionary contributions to the plan. There were no discretionary contributions during the years ended December 31, 2021 and 2020.

SIGNIFICANT CUSTOMERS

SIGNIFICANT CUSTOMERS	12 Months Ended
	Dec. 31, 2021
SIGNIFICANT CUSTOMERS
SIGNIFICANT CUSTOMERS	NOTE 11 — SIGNIFICANT CUSTOMERS The Company had one customer that accounted for 100% of total revenue for the years ended December 31, 2021 and 2020. The current receivable for this customer is included in Receivable From Reprise Biomedical, Inc. The long-term receivable related to minimum royalties from this customer has been completely reserved against due to uncertainty regarding collectability.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2021
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 12 — COMMITMENTS AND CONTINGENCIES Patent License Agreement Under an Exclusive Patent License Agreement between the Company and the University, the Company is required to make minimum royalty payments to the University of $500,000 per year. Under the Patent and Know-How License Agreement with Reprise, Reprise has minimum royalty obligations to the Company of $500,000 per year (see Note 13). Leases In February 2015, the Company executed a lease for a facility in Eden Prairie, Minnesota. The Company had leased this facility through March 31, 2020 at a rate of $13,100 per month with yearly rent increases of approximately 3% per year. In November 2019, the lease for the facility was extended to December 31, 2020 at a rate of $15,100 per month starting April 1, 2020. In August 2020, the lease for this facility was extended to December 31, 2021 at a rate of $16,600 per month starting in January 2021. The Company vacated the lease premises on December 31, 2021. In May 2020, the Company executed a lease for a second facility in the same Eden Prairie, Minnesota office park as its other facility. The Company leased this space through December 31, 2020 at a rate of $2,500 per month starting in May 2020. In August 2020, the lease for this facility was extended to December 31, 2021 at a rate of $3,400 per month starting in January 2021. The Company vacated the lease premises on December 31, 2021. On August 2, 2021, the Company entered into a Multi-Tenant Industrial Triple Net Lease (the “Lease”) with B9 Polar Prairie Oaks Corporate LLC, a Delaware limited liability company (the “Landlord”), for research and development and office space located at 6455 Flying Cloud Drive, Eden Prairie, Minnesota 55344 (the “Building”). Under the terms of the Lease, starting on August 3, 2021 (the “Commencement Date”) the Company will lease approximately 42,278 square feet of the Building (the “Premises”) as the sole tenant at the Premises, which replaced the Company’s previous leased premises. The base rent under the Lease is $41,397 per month for the 12-month period beginning on the Commencement Date and ending on December 31, 2022, and thereafter is subject to scheduled annual increases of approximately 3% during the term of the Lease. However, under the terms of the Lease, the Company’s monthly base rent will be abated for the period beginning on the Commencement Date and ending on May 31, 2022, provided the Lease is not terminated due to default. In addition to base rent, the Company is obligated under the Lease to pay to the Landlord certain costs, operating expenses and taxes, including approximately 61.08% of the real property taxes of the Building and the land on which it is located and approximately 61.08% of the Landlord’s management fee, which equals an amount of up to 5% of the Landlord’s gross receipts from leases at the Building. Under the terms of the Lease, the Company is entitled to a tenant improvement allowance of $1,256,950. The tenant improvement allowance is amortized against rent expense over the lease term. As of December 31, 2021, the Company had a tenant improvement allowance receivable of $1,256,950 in current assets on the balance sheet, and a corresponding tenant improvement obligation of $160,462 in current liabilities and $1,029,629 in long-term liabilities on the balance sheet. The term of the Lease begins on the Commencement Date of August 3, 2021 and ends on May 31, 2029. The Company has one option to extend the term for a period of five years beginning on June 1, 2029. The rent expense is recognized on a straight-line basis through the end of the lease term, excluding option renewals. The difference between the straight-line rent amounts and amounts payable under the lease is recorded as deferred rent. Deferred rent of $207,204 associated with this lease was included in long term-liabilities on the balance sheet as of December 31, 2021. During the fourth quarter of 2021, the Company delivered a security deposit to the Landlord through an irrevocable, standby letter of credit (“LOC”) issued by Park State Bank in the amount of $800,000 (“Security Amount”), which will be retained by the Landlord as security for the Company’s performance and observance of its obligations under the Lease. To secure the LOC, the Company is required to hold the Security Amount in a restricted cash account at Park State Bank, which may be drawn from in limited circumstances. The LOC is included in restricted cash on the Company’s balance sheet. Total rent expense under operating leases was $384,903 and $201,290 for the years ended December 31, 2021 and 2020, respectively. The Company has future minimum non-cancelable lease commitments as follows: ​ ​ ​ ​ ​ ​ ​ ​ 2022 $ 531,186 2023 ​ ​ 753,076 2024 ​ ​ 768,423 2025 ​ ​ 784,239 2026 ​ ​ 800,523 Thereafter ​ ​ 2,007,019 Total $ 5,644,466 ​ License Contract On December 1, 2014, the Company entered into a research and development contract with an outside developer. The term of the contract was set to expire on December 31, 2016, but in September 2016 the expiration date was extended to December 31, 2017; in January 2018 the expiration date was extended to June 30, 2019; in May 2019 the expiration date was extended to March 30, 2020; in February 2020 the expiration date was extended to February 28, 2021. In February 2021 the contract was extended to December 31, 2021. As partial consideration for the developer’s services, on January 1, 2015, the Company issued a one-time grant of 26,667 shares of Series B preferred stock at a fair value of $7.50 per share. The value of these shares was charged to research & development expenses in the statements of operations.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2021
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE 13 — RELATED PARTY TRANSACTIONS A corporation owned by a former director of the Company that resigned as a director in June 2021 received payments for providing a consultant to the Company of $6,690 and $6,912 for the years ended December 31, 2021 and 2020, respectively. The Company received $33,066 and $46,530 for the years ended December 31, 2021 and 2020, respectively, as royalty related to the spin-out of the Acellular Business to Reprise. As of December 31, 2021 and 2020 the Company had long term receivables of $920,404 and $453,470, respectively, related to the minimum royalty due from Reprise, but due to the uncertainty regarding collectability the Company fully reserved receivables

NET LOSS PER SHARE

NET LOSS PER SHARE	12 Months Ended
	Dec. 31, 2021
NET LOSS PER SHARE
NET LOSS PER SHARE	NOTE 14 — NET LOSS PER SHARE Under the two-class method, for periods with net income, basic net income per common share is computed by dividing the net income attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period. Net income attributable to common stockholders is computed by subtracting from net income the portion of current year earnings that participating securities would have been entitled to receive pursuant to their dividend rights had all of the year’s earnings been distributed. No such adjustment to earnings is made during periods with a net loss as the holders of the participating securities have no obligation to fund losses. Diluted net loss per common share is computed under the two-class method by using the weighted average number of shares of common stock outstanding plus, for periods with net income attributable to common stockholders, the potential dilutive effects of stock options and warrants. In addition, the Company analyzes the potential dilutive effect of the outstanding participating securities under the if-converted method when calculating diluted earnings per share in which it is assumed that the outstanding participating securities convert into common stock at the beginning of the period. The Company reports the more dilutive of the approaches (two-class or if-converted) as its diluted net income per share during the period. Due to the existence of net losses for the years ended December 31, 2021 and 2020, basic and diluted loss per share were the same, as the effect of potentially dilutive securities would have been anti-dilutive. The following potentially dilutive securities outstanding have been excluded from the computations of diluted weighted average shares outstanding because such securities have an antidilutive impact due to losses reported: ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2021 2020 Convertible preferred stock outstanding — ​ 8,314,536 Common stock options outstanding ​ 3,526,138 3,768,730 Common stock warrants ​ 795,379 707,669 Restricted stock units ​ 51,331 ​ — Total common stock equivalents ​ 4,372,848 12,790,935 ​

DESCRIPTION OF BUSINESS AND S_2

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2021
DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES
Basis of Preparation	The Company is a life sciences company pioneering a novel technology for bioengineering fully transplantable organs to help save and improve patients’ lives. Founded in 2009, the Company is one of a small group of companies at the forefront of developing alternatives to human-donor organ transplants, and within this small group of companies there are important differences between the technologies being developed. The Company’s proprietary technology is a scalable platform that uses a two-step method of decellularization and recellularization designed to remove the porcine cells from the organs obtained from pigs and replace them with unmodified human cells. The Company’s initial development focus is on bioengineering livers and kidneys, and the Company’s technology platform is also applicable to bioengineering other organs including, hearts, lungs and pancreases. The Company has collaborations with the Mayo Clinic, Mount Sinai Health System and the Texas Heart Institute, and have received strategic investments from Baxter International, Inc., CareDx, Inc. and DaVita, Inc. Basis of Preparation The accompanying financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the rules of the Securities and Exchange Commission (“SEC”) applicable to annual reports of companies filing as a smaller reporting company. In the opinion of management, the accompanying financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operation, stockholders’ equity and cash flows for the presented periods. The Company has evaluated subsequent events occurring after the date of the financial statements for events requiring recording or disclosure in the consolidating financial statements.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. The carrying amount approximates fair value because of the short maturity of those instruments. The Company deposits its cash in high credit quality financial institutions. The balances, at times, may exceed federally insured limits. The Company has not experienced any losses from maintaining balances in excess of the federally insured limits. As of December 31, 2021 and 2020, the Company had $49,577,583 and $1,575,720, respectively, invested in money market funds which are classified as a Level 1 fair valued measured asset since these funds are traded on a regular basis.
Equity Method Investments	Equity Method Investments Investments in 20% to 50%-owned companies are accounted for under the equity method as the Company can exercise significant influence, but not control, over such investments. The equity method requires that gains (losses) are recognized in other income (expense), net in the statements of operations. The Company spun out the Acellular Business to Reprise Biomedical, Inc. (“Reprise”) on June 30, 2019, retaining a 45% ownership in Reprise. In November 2020, the Company’s ownership decreased to 18%. Even though the Company’s ownership dropped below 20% in November 2020, the Company still had significant influence over the activities of Reprise due to common board members. In March 2021, the Company sold its remaining ownership interest in Reprise. A gain on equity investment in Reprise resulted from recording the fair value of the Company’s investment in Reprise upon losing a controlling interest in the Company on June 30, 2019. The Company recorded its equity method share of losses in Reprise from January 1, 2020 to December 31, 2020 and from January 1, 2021 to March 15, 2021 in the statements of operations (see Note 4).
Property and Equipment	Property and Equipment Property and equipment are stated at cost. Depreciation and amortization is computed using the straight-line method over the estimated useful lives of related assets which range from three
Patents	Patents Costs associated with the submission of a patent application are expensed as incurred given the uncertainty of the patents resulting in probable future economic benefits to the Company and are included in general & administration expenses on the statements of operations.
Revenue Recognition	Revenue Recognition The Company recognizes revenue in accordance with Accounting Standards Codification, Topic 606, Revenue from Contracts with Customers (ASC 606), which the Company adopted effective January 1, 2019. The Company recognizes revenue for product sales when its customers obtain control of the products, which occurs at a point in time, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods. In determining the appropriate amount of revenue to be recognized as we fulfill our obligations under our agreements, we perform the following steps: (i) identify the contract with the customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations; and (v) recognize revenue when (or as) each performance obligation is satisfied. For agreements that include sales-based royalties and the license is deemed to be the predominant item to which the royalties relate, the Company recognizes revenue at the later of (i) when the related sales occur after the minimum guarantee is satisfied, or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied). The Company assesses the collectability of the consideration and only recognizes revenue when the collectability of the consideration is deemed probable. The Company re-assesses the collectability of the consideration on a periodic basis, typically quarterly, and recognizes revenue deemed probable of being collected.
Cost of Goods Sold	Cost of Goods Sold Cost of goods sold consists of royalty expenses.
Research and Development Costs	Research and Development Costs Research and development expenses consist primarily of engineering, product development, consulting services, materials, depreciation and other costs associated with products and technologies in development. These expenses include employee and non-employee compensation, including stock-based compensation, supplies, materials, consulting, related travel expenses and facility costs. Expenditures for research and development activities are charged to operations as incurred.
Stock-Based Compensation	Stock-Based Compensation The Company is required to determine the fair value of equity incentive awards and recognize compensation expense for all equity incentive awards made to employees and directors, including employee stock options. The Company also determines the fair value of non-statutory stock options issued to consultants based on the fair value of the consultant’s commitment at the date of grant. Such expense is recognized over the requisite service period. In addition, stock-based compensation expense recognized in the statements of operations is based on awards expected to vest and therefore the amount of expense has been reduced for estimated forfeitures. The Company uses the straight-line method for expense attribution, except for awards issued with performance-based conditions which require an accelerated attribution method over the requisite performance and service periods. Under the applicable accounting guidance for equity incentive awards issued to non-employees, the date at which the fair value of such awards is measured is equal to the earlier of: 1) the date at which a commitment for performance by the counterparty to earn the equity instrument is reached; or 2) the date at which the counterparty ’ s performance is complete. The Company recognizes stock-based compensation expense for the fair value of the vested portion of the non-employee awards in the statements of operations. The valuation model used for calculating the fair value of awards for stock-based compensation expense is the Black-Scholes option-pricing model (the “Black-Scholes model”). The Black-Scholes model requires the Company to make assumptions and judgments about the variables used in the calculation, including the expected term (weighted average period of time that the options granted are expected to be outstanding), the volatility of common stock and an assumed risk-free interest rate. The Company uses the “simplified method” to determine the expected term of the stock option. Volatility is based on an average of the historical volatilities of the common stock of publicly-traded companies with characteristics similar to those of the Company. The risk-free rate is based on the United States (“U.S.”) Treasury yield curve in effect at the time of grant for periods corresponding with the expected term of the option. The expected dividend assumption is based on the Company’s history of not paying dividends and its expectation that it will not declare dividends for the foreseeable future. Potential forfeitures of awards are estimated based on the Company’s historical forfeiture experience. The estimate of forfeitures will be adjusted over the service period to the extent that actual forfeitures differ, or are expected to differ, from prior estimates.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of cash, cash equivalents, and accounts payable. Historically, the Company’s credit losses have been insignificant.
Income Taxes	Income Taxes The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority. As of December 31, 2021 and 2020, the Company did not have any material uncertain tax positions. Deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial statement carrying amount and the tax basis of assets and liabilities. The Company provides for deferred taxes at the enacted tax rate that is expected to apply when the temporary differences reverse. The Company has recorded a full valuation allowance against the net deferred tax asset due to the uncertainty of realizing the related benefits. The Company has elected to recognize interest on tax deficiencies as interest expense and income tax penalties as general & administration expense. For the years ended December 31, 2021 and 2020, the Company recognized no interest or penalties.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Emerging Growth Company Status	Emerging Growth Company Status The Company is an emerging growth company, as defined in the Jumpstart Our Business Startups Act of 2012 (“JOBS Act”). Under the JOBS Act, emerging growth companies can delay adopting new or revised accounting standards issued subsequent to the enactment of the JOBS Act, until such time as to those standards apply to private companies. The Company has elected to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and private companies until the earlier of the date that it (i) is no longer an emerging growth company or (ii) affirmatively and irrevocably opts out of the extended transition period provided in the JOBS Act. As a result, these financial statements may not be comparable to companies that comply with the new or revised accounting pronouncements as of public company effective dates.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of an asset may not be fully recoverable. An impairment loss would be recognized when the estimated future cash flows from the use of the asset are less than the carrying amount of that asset.
Net Loss Per Share	Net Loss Per Share Basic net loss per share is computed by dividing the net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by dividing the net loss by the weighted average number of shares of common stock and dilutive potential shares of common stock outstanding during the period. Because we have reported a net loss for all periods presented, diluted net loss per share is the same as basic net loss per share for those periods as all potentially dilutive shares consisting of stock options and warrants were antidilutive in those periods (see Note 14).
Recent Accounting Pronouncements	Recent Accounting Pronouncements Recently Adopted Accounting Pronouncements In August 2020, the FASB issued ASU No. 2020-06, “Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020-06”), which simplifies accounting for convertible instruments by removing major separation models required under current U.S. GAAP. This guidance removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception, and it also simplifies the diluted earnings per share calculation in certain areas. ASU 2020-06 is effective for smaller reporting companies for the fiscal years beginning after December 15, 2023. Early adoption is permitted for fiscal years beginning after December 15, 2020, but an entity must early adopt the guidance at the beginning of the fiscal year. The Company elected to early adopt ASU 2020-06 effective January 1, 2021. The Company determined that the conversion feature of the preferred stock did not need to be bifurcated under ASC 815 and therefore was accounted for as single units of mezzanine equity. Accounting Pronouncements Not Yet Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, “Leases (Topic 842).” ASU No. 2016-02 requires lessees to recognize the assets and liabilities that arise from leases on the balance sheet. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. During 2018, the FASB also issued ASU No. 2018-10, “Codification Improvements to Topic 842, Leases”, which addresses narrow aspects of the guidance originally issued in ASU No. 2016-02; ASU 2018-11, “Targeted Improvements”, which provides entities with an additional (and optional) transition method whereby an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption and also provides lessors with a practical expedient, by class of underlying asset, to not separate non-lease components from the associated lease component and, instead, to account for those components as a single component. During 2019, the FASB also issued ASU No. 2019-01, which clarified Topic 842’s interim disclosure requirements and amend certain industry-specific guidance related to determining the fair value of leased assets and the cash flow presentation of principal payments received under sales-type and direct finance leases. Topic 842 (as amended) is effective for annual periods beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022. Early adoption is permitted. The Company will adopt the new standard effective January 1, 2022 using the modified retrospective approach. As a result of adopting the new standard, the Company will recognized right-of-use assets of approximately $1.9 million and lease liabilities of approximately $2.0 million as of January 1, 2022. The difference between the amount of right-of-use assets and lease liabilities includes a tenant improvement allowance. The adoption of the new standard is not expected to have a material impact on net income or cash flows. In June 2016, the FASB issued ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments.” In November 2018, the FASB issued an updated, ASU 2018-19, that clarifies the scope of the standard in the amendments in ASU 2016-13. This guidance introduces a new model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. Financial instruments impacted are trade and other receivables, held-to-maturity debt securities, loans and other instruments. There are various transition methods available upon adoption. As an emerging growth company, the Company is permitted to defer adoption until the non-public company adoption date of annual periods started after December 15, 2022. The Company is currently evaluating the impact of adoption on its financial statements.

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2021
LAB EQUIPMENT, FURNITURE, LEASEHOLD IMPROVEMENTS AND CONSTRUCTION IN PROGRESS
Schedule of lab equipment, furniture, leasehold improvements and construction in progress	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ ​ 2021 ​ 2020 Lab equipment ​ $ 1,549,416 ​ $ 1,480,952 Leasehold improvements ​ 3,239,307 ​ 310,225 Furniture and fixtures & computers ​ 1,671,793 ​ 112,302 ​ ​ 6,460,516 ​ 1,903,479 Less accumulated depreciation and amortization ​ (868,790) ​ (1,578,945) ​ ​ $ 5,591,726 ​ $ 324,534

EQUITY METHOD INVESTMENT (Table

EQUITY METHOD INVESTMENT (Tables)	12 Months Ended
	Dec. 31, 2021
EQUITY METHOD INVESTMENT
Schedule of financial information from the financial statements of Reprise	​ ​ ​ ​ ​ ​ ​ ​ ​ March 15, December 31, ​ ​ 2021 ​ 2020 Current assets ​ $ — ​ $ 4,309,045 Total assets ​ $ — ​ $ 5,312,350 Current liabilities ​ $ — ​ $ 2,534,673 Non-current liabilities ​ $ — ​ $ 489,785 Shareholders’ equity ​ $ — ​ $ 2,287,892 Miromatrix Medical Inc. share of shareholders’ equity ​ $ — ​ $ 411,821 ​ ​ ​ ​ ​ ​ ​ ​ ​ Period Ended ​ Year Ended ​ ​ March 15, ​ December 31, ​ 2021 2020 ​ ​ ​ ​ ​ ​ Net sales ​ $ 93,985 ​ $ 704,867 Gross margin (loss) ​ $ 47,708 ​ $ (61,155) Net loss ​ $ (1,376,522) ​ $ (6,389,453) Miromatrix Medical Inc. share of net loss ​ $ (223,633) ​ $ (2,358,392)

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	12 Months Ended
	Dec. 31, 2021
ACCRUED EXPENSES
Schedule of current accrued expenses	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ ​ 2021 ​ 2020 Wages ​ $ 704,502 ​ $ 217,825 Facility costs ​ ​ 242,892 ​ ​ — Supplies ​ ​ 127,505 ​ ​ — Taxes ​ ​ 101,221 ​ ​ — Legal ​ 37,000 ​ 452,778 Key opinion leader compensation ​ 25,500 ​ 34,000 Royalties ​ 2,000 ​ 3,800 Other ​ 188,002 ​ 52,486 Accrued expenses ​ $ 1,428,622 ​ $ 760,889

FAIR VALUE MEASUREMENT (Tables)

FAIR VALUE MEASUREMENT (Tables)	12 Months Ended
	Dec. 31, 2021
FAIR VALUE MEASUREMENT
Schedule of changes in value of the Company's embedded derivative liabilities	​ ​ ​ ​ ​ Derivative liability balance at December 31, 2019 $ — Derivative instrument related to March 2020 Note ​ 195,516 Loss recognized to revalue derivative instrument at fair value ​ 51,446 Derivative liability balance at December 31, 2020 ​ 246,962 Gain recognized to revalue derivative instrument at fair value ​ (246,962) Derivative liability balance at December 31, 2021 ​ $ —

DEBT AND CAPITAL LEASE OBLIGA_2

DEBT AND CAPITAL LEASE OBLIGATION (Tables)	12 Months Ended
	Dec. 31, 2021
DEBT AND CAPITAL LEASE OBLIGATION
Schedule of future principal maturities for debt	​ ​ ​ ​ ​ Amounts Due in Year Ending December 31, ​ 2022 ​ $ 333,849 2023 ​ — 2024 ​ — 2025 ​ 385,997 Total future maturities payments ​ ​ 719,846 Less current portion ​ ​ (333,849) Long-term debt ​ $ 385,997
Schedule of future lease payments under capital lease obligations	​ ​ ​ ​ ​ Amounts Due in Year Ending December 31, ​ 2022 ​ $ 63,634 2023 ​ 44,355 2024 ​ 10,694 Total future lease payments ​ ​ 118,683 Less amounts representing interest ​ ​ (7,878) Present value of future lease payments ​ ​ 110,805 Less current portion ​ ​ (58,037) Long-term capital lease obligation ​ $ 52,768

CAPITAL STOCK (Tables)

CAPITAL STOCK (Tables)	12 Months Ended
	Dec. 31, 2021
Share-based compensation
Schedule of convertible preferred stock	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Aggregate ​ Shares Shares Liquidation ​ ​ Authorized ​ Outstanding ​ Preference ​ ​ ​ ​ ​ ​ Convertible Preferred Stock - Series C ​ 6,100,000 ​ 3,671,554 $ 27,536,655 Convertible Preferred Stock - Series B-2 2,500,000 2,095,874 ​ 15,719,055 Convertible Preferred Stock - Series B 4,000,000 3,218,282 ​ 24,137,115 Convertible Preferred Stock - Series A 3,300,000 3,000,380 ​ 7,500,950 ​ 15,900,000 11,986,090 ​ $ 74,893,775
Schedule of stock option activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2021 2020 ​ ​ ​ ​ Weighted ​ ​ ​ Weighted ​ ​ ​ ​ Average ​ ​ ​ Average ​ ​ ​ ​ Exercise ​ ​ ​ Exercise ​ Shares Price Shares Price Options outstanding at beginning of the year ​ 3,768,730 ​ $ 3.15 ​ 3,804,750 ​ $ 3.07 Granted ​ 424,833 ​ $ 8.59 ​ 338,000 ​ $ 4.03 Exercised ​ (462,866) ​ $ 1.95 ​ (65,000) ​ $ 0.12 Canceled or expired ​ (204,559) ​ $ 2.62 ​ (309,020) ​ $ 3.70 Options outstanding at end of the year ​ 3,526,138 ​ $ 3.99 ​ 3,768,730 ​ $ 3.15 Options exercisable 2,976,089 ​ $ 3.42 3,426,440 ​ $ 3.09
Schedule of weighted average assumptions	​ ​ ​ ​ ​ ​ ​ ​ 2021 2020 Expected life (years) 6.0 5.7 ​ Risk-free interest rate 1.23 % 0.63 % Expected dividend yield — — ​ Expected volatility 40.0 % 35.0 %
Schedule of warrants	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Series A Preferred ​ ​ ​ warrants ​ Common warrants Warrants outstanding December 31, 2019 ​ 40,000 ​ ​ 752,669 Granted ​ — ​ ​ — Exercised ​ — ​ ​ (45,000) Terminated ​ ​ (40,000) ​ ​ — Warrants outstanding December 31, 2020 ​ ​ — ​ ​ 707,669 Granted ​ — ​ ​ 276,000 Exercised ​ — ​ ​ (82,790) Terminated ​ ​ — ​ ​ (105,500) Warrants outstanding December 31, 2021 ​ ​ — ​ ​ 795,379 ​ ​ ​ ​ ​ ​ ​ Weighted average exercise price: ​ ​ ​ ​ ​ ​ December 31, 2021 ​ $ — ​ $ 1.66 December 31, 2020 ​ $ — ​ $ 2.34 ​ ​ ​ ​ ​ ​ ​ Weighted average remaining contractual life in years: ​ ​ ​ ​ ​ ​ December 31, 2021 ​ $ — ​ $ 2.79 December 31, 2020 ​ $ — ​ $ 2.32
Restricted stock units
Share-based compensation
Summary of restricted stock unit activity	​ ​ ​ ​ ​ ​ ​ ​ 2021 ​ ​ ​ ​ Weighted ​ ​ ​ ​ Average Grant ​ ​ ​ ​ Date Fair ​ Shares Value Unvested at beginning of the year ​ — ​ $ — Granted ​ 51,331 ​ $ 8.29 Vested ​ — ​ $ — Canceled ​ — ​ $ — Unvested at end of the year ​ 51,331 ​ $ 8.29

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2021
INCOME TAXES
Schedule of deferred tax assets and liabilities	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2021 ​ 2020 Assets: ​ ​ Asset valuation reserves and other ​ $ 89,000 ​ $ 30,000 Depreciation and amortization ​ 14,000 ​ 64,000 Capitalized research and development expenses ​ 66,000 ​ 115,000 Option and warrant expense ​ 1,910,000 ​ 1,629,000 Research and development credit ​ 4,113,000 ​ 3,138,000 Net operating loss carryforwards ​ 6,939,000 ​ 5,644,000 ​ ​ 13,131,000 ​ 10,620,000 Valuation allowance ​ (13,131,000) ​ (10,620,000) ​ ​ $ — ​ $ —

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	12 Months Ended
	Dec. 31, 2021
COMMITMENTS AND CONTINGENCIES
Schedule of future minimum non-cancelable lease commitments	​ ​ ​ ​ ​ ​ ​ ​ 2022 $ 531,186 2023 ​ ​ 753,076 2024 ​ ​ 768,423 2025 ​ ​ 784,239 2026 ​ ​ 800,523 Thereafter ​ ​ 2,007,019 Total $ 5,644,466

NET LOSS PER SHARE (Tables)

NET LOSS PER SHARE (Tables)	12 Months Ended
	Dec. 31, 2021
NET LOSS PER SHARE
Schedule of potentially dilutive securities	​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2021 2020 Convertible preferred stock outstanding — ​ 8,314,536 Common stock options outstanding ​ 3,526,138 3,768,730 Common stock warrants ​ 795,379 707,669 Restricted stock units ​ 51,331 ​ — Total common stock equivalents ​ 4,372,848 12,790,935

DESCRIPTION OF BUSINESS AND S_3

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES - Charter (Details)	Jun. 23, 2021classshares	Dec. 31, 2021shares	May 20, 2021	Dec. 31, 2020shares
Capital stock
Common stock, authorized (in shares)	190,000,000	190,000,000		30,000,000
Preferred stock , authorized (in shares)	10,000,000	10,000,000
Number of classes of stock | class	2
Series C Convertible Preferred Stock
Capital stock
Stock conversion, percentage common stock price			80.00%

DESCRIPTION OF BUSINESS AND S_4

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES - Cash and Cash Equivalents (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Cash and Cash Equivalents
Cash and cash equivalents	$ 52,811,531	$ 4,444,395
Money market funds
Cash and Cash Equivalents
Cash and cash equivalents	$ 49,577,583	$ 1,575,720

DESCRIPTION OF BUSINESS AND S_5

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES - Equity Method Investments (Details) - Reprise	Nov. 30, 2020	Nov. 14, 2020	Jun. 30, 2019
Equity method investments
Ownership interest (as a percent)	18.00%	45.00%	45.00%
Maximum
Equity method investments
Ownership interest (as a percent)	20.00%

DESCRIPTION OF BUSINESS AND S_6

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES - Property and Equipment (Details) - Machinery and equipment	12 Months Ended
	Dec. 31, 2021
Minimum
Property, plant and equipment
Estimated useful lives	3 years
Maximum
Property, plant and equipment
Estimated useful lives	5 years

DESCRIPTION OF BUSINESS AND S_7

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES - Income Taxes (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES
Interest and penalties	$ 0	$ 0

DESCRIPTION OF BUSINESS AND S_8

DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES - Recent Accounting Pronouncements (Details) - USD ($) $ in Millions	Dec. 31, 2021	Jan. 01, 2021
ASU 2020-06, Accounting for Convertible Instruments and Contracts in an Entity's Own Equity
Accounting Pronouncements
Change in Accounting Principle, Accounting Standards Update, Adopted		true
Change in Accounting Principle, Accounting Standards Update, Early Adoption		true
Pro Forma | ASU 2016 02, Leases
Accounting Pronouncements
Change in Accounting Principle, Accounting Standards Update, Adopted	false
Cumulative Effect, Period of Adoption, Adjustment | Pro Forma
Accounting Pronouncements
Right-of-use assets	$ 1.9
Lease liabilities	$ 2

INITIAL PUBLIC OFFERING (Detail

INITIAL PUBLIC OFFERING (Details) - USD ($)	1 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2021
Common Warrants
IPO
Warrants issued (in shares)	276,000	276,000
Common Stock
IPO
Sale of common stock (in shares)		5,520,000
Conversion of preferred stock to common stock (in shares)	12,139,071
Conversion of preferred stock to common stock	$ 121
Additional Paid-in Capital
IPO
Conversion of preferred stock to common stock	$ 73,705,437
Public offering
IPO
Sale of common stock (in shares)	5,520,000
Share price (in dollars per share)	$ 9
Proceeds from sale of common stock	$ 49,679,945
Offering costs	$ 1,707,673
Over-allotment option
IPO
Sale of common stock (in shares)	720,000

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Property, plant and equipment
Lab equipment, furniture, leasehold improvements and construction in progress, gross	$ 6,460,516	$ 1,903,479
Less accumulated depreciation and amortization	(868,790)	(1,578,945)
Lab equipment, furniture, leasehold improvements and construction in progress, net, net	5,591,726	324,534
Depreciation and amortization	167,907	170,365
Lab equipment
Property, plant and equipment
Lab equipment, furniture, leasehold improvements and construction in progress, gross	1,549,416	1,480,952
Leasehold improvements
Property, plant and equipment
Lab equipment, furniture, leasehold improvements and construction in progress, gross	3,239,307	310,225
Furniture and fixtures & computers
Property, plant and equipment
Lab equipment, furniture, leasehold improvements and construction in progress, gross	$ 1,671,793	$ 112,302

EQUITY METHOD INVESTMENT - Repr

EQUITY METHOD INVESTMENT - Reprise (Details) - USD ($) $ / shares in Units, shares in Millions	1 Months Ended			12 Months Ended
	Mar. 31, 2021	Nov. 30, 2020	Jun. 30, 2019	Dec. 31, 2021	Dec. 31, 2020	Nov. 15, 2020	Nov. 14, 2020
Schedule of Equity Method Investments [Line Items]
Proceeds from sale of equity-method investment				$ 2,000,000	$ 3,000,000
Reprise Biomedical, Inc.
Schedule of Equity Method Investments [Line Items]
Gain on sale of equity method investment			$ 4,495,500
Number of equity method investment shares owned						4.5
Ownership interest (as a percent)		18.00%	45.00%				45.00%
Number of equity method investment shares sold		2.7
Proceeds from sale of equity-method investment	$ 2,000,000	$ 3,000,000
Reprise Biomedical, Inc.
Schedule of Equity Method Investments [Line Items]
Share price (in dollars per share)			$ 1

EQUITY METHOD INVESTMENT - Bala

EQUITY METHOD INVESTMENT - Balance Sheet (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Equity method investments
Current assets	$ 55,337,273	$ 4,690,173
Total assets	60,928,999	5,254,428
Current liabilities	4,564,192	8,164,449
Miromatrix Medical Inc. share of shareholders' equity	$ 54,125,884	(51,034,193)	$ (41,433,379)
Reprise Biomedical, Inc.
Equity method investments
Current assets		4,309,045
Total assets		5,312,350
Current liabilities		2,534,673
Non-current liabilities		489,785
Shareholders' equity		2,287,892
Miromatrix Medical Inc. share of shareholders' equity		$ 411,821

EQUITY METHOD INVESTMENT - Inco

EQUITY METHOD INVESTMENT - Income Statement (Details) - USD ($)	2 Months Ended	12 Months Ended
	Mar. 15, 2021	Dec. 31, 2021	Dec. 31, 2020
Equity method investments
Net sales		$ 33,066	$ 46,530
Gross margin (loss)		(466,934)	(453,470)
Miromatrix Medical Inc. share of net loss		$ (14,670,756)	(10,309,568)
Reprise Biomedical, Inc.
Equity method investments
Net sales	$ 93,985		704,867
Gross margin (loss)	47,708		(61,155)
Net loss	(1,376,522)		(6,389,453)
Miromatrix Medical Inc. share of net loss	$ (223,633)		$ (2,358,392)

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
ACCRUED EXPENSES
Wages	$ 704,502	$ 217,825
Facility costs	242,892
Supplies	127,505
Taxes	101,221
Legal	37,000	452,778
Key opinion leader compensation	25,500	34,000
Royalties	2,000	3,800
Other	188,002	52,486
Accrued expenses	$ 1,428,622	$ 760,889

FAIR VALUE MEASUREMENT - Change

FAIR VALUE MEASUREMENT - Changes (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Mar. 31, 2020
FAIR VALUE MEASUREMENT
Embedded derivative liability		$ 246,962	$ 195,516
Derivative liability beginning balance	$ 246,962
(Gain) Loss recognized to revalue derivative instrument at fair value	(246,962)	51,446
Derivative liability ending balance		246,962
Level 3
FAIR VALUE MEASUREMENT
Embedded derivative liability		246,962
Derivative liability beginning balance	246,962
Derivative instrument related to March 2020 Note		195,516
(Gain) Loss recognized to revalue derivative instrument at fair value	$ (246,962)	51,446
Derivative liability ending balance		$ 246,962

DEBT AND CAPITAL LEASE OBLIGA_3

DEBT AND CAPITAL LEASE OBLIGATION - Agreements (Details)

Aug. 06, 2021USD ($)

Mar. 04, 2021USD ($)

Jun. 01, 2020

Dec. 01, 2015USD ($)payment

Sep. 30, 2021USD ($)payment

Jul. 31, 2021USD ($)payment

Jun. 30, 2021shares

Mar. 31, 2020USD ($)shareholder

Jan. 31, 2019USD ($)$ / sharesshares

Oct. 31, 2018USD ($)payment

Jan. 31, 2018USD ($)

Jan. 31, 2012USD ($)$ / sharesshares

Dec. 31, 2021USD ($)

Dec. 31, 2020USD ($)

May 31, 2020USD ($)

May 01, 2020

Apr. 16, 2020USD ($)

Jan. 01, 2016

May 31, 2015USD ($)

Dec. 01, 2014

Dec. 31, 2010USD ($)

DEBT AND CAPITAL LEASE OBLIGATION

Lease outstanding

$ 110,805

Long-term debt outstanding

719,846

Warrants, Regents of the University of Minnesota

DEBT AND CAPITAL LEASE OBLIGATION

Number of warrants issued | shares

80,000

Warrant exercise price (in dollars per share) | $ / shares

$ 1.69

Warrants, University of Minnesota

DEBT AND CAPITAL LEASE OBLIGATION

Number of warrants issued | shares

20,587

Term of warrant

10 years

Warrant exercise price (in dollars per share) | $ / shares

$ 3.75

Warrants, Company shareholder

DEBT AND CAPITAL LEASE OBLIGATION

Term of warrant

5 years

Warrant coverage amount

$ 750,000

Additional warrant coverage

$ 75,000

Loan, Minnesota Agricultural and Economic Development Board, Due November 1, 2020

DEBT AND CAPITAL LEASE OBLIGATION

Face value of debt

$ 250,000

Interest rate (as a percent)

6.00%

Number of monthly payments | payment

59

Number of final payment | payment

1

Periodic payment frequency

monthly

Amount of periodic principal and interest payments

$ 3,000

Long-term debt outstanding

0

$ 0

Promissory Note, Regents of the University of Minnesota, Due December 31, 2022

DEBT AND CAPITAL LEASE OBLIGATION

Face value of debt

$ 405,559

Interest rate (as a percent)

3.00%

Periodic payment frequency

monthly

Amount of periodic principal and interest payments

$ 7,737

Long-term debt outstanding

83,849

172,731

Loan, Minnesota Department of Employment and Economic Development

DEBT AND CAPITAL LEASE OBLIGATION

Face value of debt

$ 250,000

Substantial ownership change threshold (as a percent)

50.00%

Potential additional compensation

$ 75,000

Long-term debt outstanding

250,000

250,000

Capital Lease, October 2018

DEBT AND CAPITAL LEASE OBLIGATION

Capitalized lease

$ 102,026

Interest rate (as a percent)

7.20%

Number of monthly payments | payment

60

Periodic payment frequency

monthly

Amount of periodic principal and interest payments

$ 1,863

Lease outstanding

38,271

57,127

Promissory Note, University of Minnesota, Due January 31, 2025

DEBT AND CAPITAL LEASE OBLIGATION

Face value of debt

$ 385,997

Interest rate (as a percent)

6.00%

Long-term debt outstanding

385,997

385,997

Note, Company shareholder

DEBT AND CAPITAL LEASE OBLIGATION

Number of shareholders | shareholder

1

Face value of debt

$ 6,000,000

Interest rate (as a percent)

5.00%

7.00%

Minimum amount of preferred stock offering for conversion of debt

$ 34,000,000

Increase in interest rate (as a percent)

2.00%

Long-term debt outstanding

0

6,000,000

Note, Company shareholder | Series C Convertible Preferred Stock

DEBT AND CAPITAL LEASE OBLIGATION

Face value of debt

$ 6,000,000

Temporary equity issued upon conversion of note and accrued interest (in shares) | shares

956,887

Note, Company shareholder | Maximum

DEBT AND CAPITAL LEASE OBLIGATION

Interest rate during period (as a percent)

20.00%

Paycheck Protection Program Note

DEBT AND CAPITAL LEASE OBLIGATION

Face value of debt

$ 563,397

Interest rate (as a percent)

1.00%

Amount of principal forgiven

$ 49,877

$ 513,520

Amount of interest forgiven

$ 578

$ 4,530

Long-term debt outstanding

0

$ 563,397

Capital Lease, July 2021

DEBT AND CAPITAL LEASE OBLIGATION

Capitalized lease

$ 44,251

Interest rate (as a percent)

5.00%

Number of monthly payments | payment

24

Periodic payment frequency

monthly

Amount of periodic principal and interest payments

$ 1,941

Lease outstanding

33,597

Capital Lease, September 2021

DEBT AND CAPITAL LEASE OBLIGATION

Capitalized lease

$ 43,317

Interest rate (as a percent)

6.80%

Number of monthly payments | payment

36

Periodic payment frequency

monthly

Amount of periodic principal and interest payments

$ 1,337

Lease outstanding

$ 38,937

DEBT AND CAPITAL LEASE OBLIGA_4

DEBT AND CAPITAL LEASE OBLIGATION - Debt Maturity (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Future principal maturities for debt
2022	$ 333,849
2025	385,997
Total future maturities payments	719,846
Less current portion	(333,849)
Long-term debt	$ 385,997
Current portion of debt
Future principal maturities for debt
Weighted average interest rate (as a percent)	0.80%	18.60%

DEBT AND CAPITAL LEASE OBLIGA_5

DEBT AND CAPITAL LEASE OBLIGATION - Capital Lease Maturity (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Future lease payments under capital lease obligations
2022	$ 63,634
2023	44,355
2024	10,694
Total future lease payments	118,683
Less amounts representing interest	7,878
Present value of future lease payments	110,805
Less current portion	(58,037)
Long-term capital lease obligation	$ 52,768
Current portion of capital leases
Future lease payments under capital lease obligations
Weighted average interest rate (as a percent)	6.20%	7.20%

CAPITAL STOCK - Common Stock (D

CAPITAL STOCK - Common Stock (Details)	Dec. 31, 2021Vote$ / sharesshares	Jun. 23, 2021shares	Dec. 31, 2020$ / sharesshares
CAPITAL STOCK
Common stock, authorized (in shares)	190,000,000	190,000,000	30,000,000
Common stock, par value (in dollars per share) | $ / shares	$ 0.00001		$ 0.00001
Number of votes | Vote	1
Common stock, issued (in shares)	20,385,645		2,185,822
Common stock, outstanding (in shares)	20,385,645		2,185,822

CAPITAL STOCK - Convertible Pre

CAPITAL STOCK - Convertible Preferred Stock, Prior to IPO (Details) - USD ($)	1 Months Ended
	Jun. 30, 2021	Dec. 31, 2021	May 31, 2021	Dec. 31, 2020
Capital stock
Convertible preferred stock, authorized (in shares)			15,900,000
Convertible preferred stock, outstanding (in shares)		0	11,986,090
Convertible preferred stock, liquidation preference			$ 74,893,775
Common Stock
Capital stock
Conversion of preferred stock to common stock (in shares)	12,139,071
Conversion of preferred stock to common stock	$ 121
Additional Paid-in Capital
Capital stock
Conversion of preferred stock to common stock	$ 73,705,437
Convertible Preferred Stock - Series C
Capital stock
Convertible preferred stock, authorized (in shares)			6,100,000
Convertible preferred stock, outstanding (in shares)		0	3,671,554
Convertible preferred stock, liquidation preference			$ 27,536,655
Convertible preferred stock - Series B-2
Capital stock
Convertible preferred stock, authorized (in shares)		0	2,500,000	2,500,000
Convertible preferred stock, outstanding (in shares)		0	2,095,874	2,095,874
Convertible preferred stock, liquidation preference		$ 0	$ 15,719,055	$ 15,719,055
Convertible preferred stock - Series B
Capital stock
Convertible preferred stock, authorized (in shares)		0	4,000,000	4,000,000
Convertible preferred stock, outstanding (in shares)		0	3,218,282	3,218,282
Convertible preferred stock, liquidation preference		$ 0	$ 24,137,115	$ 24,137,115
Convertible preferred stock - Series A
Capital stock
Convertible preferred stock, authorized (in shares)		0	3,300,000	3,300,000
Convertible preferred stock, outstanding (in shares)		0	3,000,380	3,000,380
Convertible preferred stock, liquidation preference		$ 0	$ 7,500,950	$ 7,500,950

CAPITAL STOCK - Preferred Stock

CAPITAL STOCK - Preferred Stock (Details) - $ / shares	Dec. 31, 2021	Jun. 23, 2021
CAPITAL STOCK
Preferred stock , authorized (in shares)	10,000,000	10,000,000
Preferred stock, par value (in dollars per share)	$ 0.00001
Preferred stock, issued (in shares)	0
Preferred stock, outstanding (in shares)	0

CAPITAL STOCK - Series C Conver

CAPITAL STOCK - Series C Convertible Preferred Stock (Details)	1 Months Ended		12 Months Ended
	Jun. 30, 2021shares	May 31, 2021USD ($)agreement$ / sharesshares	Dec. 31, 2021shares	Mar. 31, 2020USD ($)
Capital stock
Convertible preferred stock, outstanding (in shares)		11,986,090	0
Convertible preferred stock, authorized (in shares)		15,900,000
Note, Company shareholder
Capital stock
Face value of debt | $				$ 6,000,000
Series C Convertible Preferred Stock
Capital stock
Number of stock purchase agreements entered into | agreement		2
Shares issued (in shares)		2,666,667
Share issue price (in dollars per share) | $ / shares		$ 7.50
Gross proceeds | $		$ 20,000,003
Conversion discount (as a percent)	20.00%
Number of shares converted to common stock			3,671,554
Convertible preferred stock, outstanding (in shares)		3,671,554	0
Convertible preferred stock, authorized (in shares)		6,100,000
Series C Convertible Preferred Stock | Warrants, Company shareholder
Capital stock
Exercise of stock warrants (in shares)	48,000
Series C Convertible Preferred Stock | Note, Company shareholder
Capital stock
Face value of debt | $				$ 6,000,000
Temporary equity issued upon conversion of note and accrued interest (in shares)	956,887

CAPITAL STOCK - Stock Options (

CAPITAL STOCK - Stock Options (Details) - USD ($)	May 20, 2021	Dec. 31, 2021	Dec. 31, 2020	Jul. 31, 2019	Dec. 13, 2017	Aug. 12, 2016	Jul. 31, 2015	Mar. 01, 2014	Sep. 30, 2013	Jun. 20, 2011	Feb. 28, 2010
Summary of options granted - Shares
Options outstanding at beginning of the period (in shares)		3,768,730	3,804,750
Granted (in shares)		424,833	338,000
Exercised (in shares)		(462,866)	(65,000)
Canceled or expired (in shares)		(204,559)	(309,020)
Options outstanding at end of the period (in shares)		3,526,138	3,768,730
Options exercisable (in shares)		2,976,089	3,426,440
Summary of options granted - Weighted Average Exercise Price
Options outstanding at beginning of the period (in dollars per share)		$ 3.15	$ 3.07
Granted (in dollars per share)		8.59	4.03
Exercised (in dollars per share)		1.95	0.12
Canceled or expired (in dollars per share)		2.62	3.70
Options outstanding at end of the period (in dollars per share)		3.99	3.15
Options Exercisable (in dollars per share)		3.42	3.09
Weighted average fair value of options granted (in dollars per share)		$ 3.42	$ 0.88
Weighted average remaining contractual term, Options outstanding		4 years 11 months 8 days	5 years 29 days
Weighted average remaining contractual term, Options exercisable		4 years 2 months 1 day	4 years 8 months 26 days
Intrinsic value, Options outstanding		$ 4,155,492	$ 1,906,200
Intrinsic value, Options exercisable		3,995,176	1,906,200
Intrinsic value, Options exercised		2,412,480
Stock based compensation		514,318	$ 655,443
Unrecognized compensation costs		$ 1,433,087
Restricted stock units
Share-based compensation
Awards outstanding (in shares)		51,331	0
Summary of options granted - Weighted Average Exercise Price
Stock based compensation		$ 107,841
2010 Plan
Share-based compensation
Number of shares authorized					3,850,000	3,250,000	2,500,000	1,700,000	1,300,000	600,000	375,000
Awards available for grant (in shares)		0	0
Summary of options granted - Shares
Options outstanding at beginning of the period (in shares)		3,287,230
Options outstanding at end of the period (in shares)		2,740,305	3,287,230
2019 Plan
Share-based compensation
Number of shares authorized				1,000,000
Awards available for grant (in shares)		0	518,500
Summary of options granted - Shares
Options outstanding at beginning of the period (in shares)		481,500
Options outstanding at end of the period (in shares)		366,500	481,500
2021 Plan
Share-based compensation
Number of shares authorized	1,000,000
Awards available for grant (in shares)		1,095,836
Maximum annual increase in shares reserved for issuance, as a percent of total shares of common stock outstanding	4.50%
Maximum number of additional shares reserved for issuance annually	600,000
Summary of options granted - Shares
Options outstanding at end of the period (in shares)		419,333
2021 Plan | Restricted stock units
Share-based compensation
Awards outstanding (in shares)		51,331

CAPITAL STOCK - Black-Scholes A

CAPITAL STOCK - Black-Scholes Assumptions (Details) - Stock options	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Share-based compensation
Expected life (years)	6 years	5 years 8 months 12 days
Risk-free interest rate	1.23%	0.63%
Expected volatility	40.00%	35.00%

CAPITAL STOCK - Restricted Stoc

CAPITAL STOCK - Restricted Stock Units (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Share-based compensation
Stock based compensation	$ 514,318	$ 655,443
Restricted stock units
Share-based compensation
Stock based compensation	$ 107,841
Unvested at beginning of the year	0
Granted (in shares)	51,331
Unvested at end of the year	51,331	0
Granted, Weighted average grant date fair value (in dollars per share)	$ 8.29
Unvested, Weighted average grant date fair value (in dollars per share)	$ 8.29
Unrecognized compensation costs	$ 317,619

CAPITAL STOCK - Employee Stock

CAPITAL STOCK - Employee Stock Purchase Plan (Details) - 2021 ESPP - USD ($)	May 20, 2021	Dec. 31, 2021
Share-based compensation
Purchase period	6 months
Maximum fair value of shares employee may purchase per purchase period	$ 25,000
Maximum number of shares employee may purchase per purchase period	5,000
Number of shares reserved for issuance		300,000
Maximum annual increase in shares reserved for issuance, as a percent of total shares of common stock outstanding		1.00%
Maximum number of additional shares reserved for issuance annually		200,000
Number of shares issued, ESPP		0
Minimum
Share-based compensation
Purchase price as a percent of market price	85.00%

CAPITAL STOCK - Stock Warrants

CAPITAL STOCK - Stock Warrants (Details) - $ / shares	1 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2021	Dec. 31, 2020
Series A Preferred Warrants
SHAREHOLDERS' DEFICIT AND MEZZANINE EQUITY
Warrants outstanding, beginning balance			40,000
Terminated			(40,000)
Common Warrants
SHAREHOLDERS' DEFICIT AND MEZZANINE EQUITY
Warrants outstanding, beginning balance		707,669	752,669
Granted (in shares)	276,000	276,000
Exercised		(82,790)	(45,000)
Terminated		(105,500)
Warrants outstanding, ending balance		795,379	707,669
Weighted average exercise price		$ 1.66	$ 2.34
Weighted average remaining contractual life in years		2 years 9 months 14 days	2 years 3 months 25 days

INCOME TAXES - Deferred Tax (De

INCOME TAXES - Deferred Tax (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
INCOME TAXES
Income taxes	$ 0	$ 0
Assets:
Asset valuation reserves and other	89,000	30,000
Depreciation and amortization	14,000	64,000
Capitalized research and development expenses	66,000	115,000
Option and warrant expense	1,910,000	1,629,000
Research and development credit	4,113,000	3,138,000
Net operating loss carryforwards	6,939,000	5,644,000
Total deferred tax assets	13,131,000	10,620,000
Valuation allowance	(13,131,000)	(10,620,000)
Net deferred tax assets
Increase in valuation allowance	$ 2,511,000	$ 2,622,000

INCOME TAXES - Operating loss c

INCOME TAXES - Operating loss carry forwards (Details)	Dec. 31, 2021USD ($)
INCOME TAXES
Valuation allowances percentage	100.00%
Federal income tax
INCOME TAXES
Operating loss carry-forwards	$ 31,147,000
State income tax
INCOME TAXES
Operating loss carry-forwards	$ 6,870,000

EMPLOYEE BENEFIT PLANS (Details

EMPLOYEE BENEFIT PLANS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
EMPLOYEE BENEFIT PLANS
Discretionary contributions	$ 0	$ 0

SIGNIFICANT CUSTOMERS (Details)

SIGNIFICANT CUSTOMERS (Details) - Revenue - Customer - One customer - customer	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
SIGNIFICANT CUSTOMERS
Concentration risk, percentage	100.00%	100.00%
Number of Customers	1	1

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Patent License Agreement (Details)	Dec. 31, 2021USD ($)
Reprise Biomedical, Inc. | Patent and Know-How License Agreement
Agreements
Minimum royalty payments to be received per year	$ 500,000
University | Patent License Agreement
Agreements
Minimum royalty payments to be paid per year	$ 500,000

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES - Leases (Details)	Aug. 02, 2021USD ($)ft²item	May 31, 2020USD ($)	Nov. 30, 2019USD ($)	Feb. 28, 2015USD ($)	Dec. 31, 2021USD ($)	Dec. 31, 2020USD ($)
Leases
Operating lease rent expense					$ 384,903	$ 201,290
Tenant improvement allowance receivable					1,256,950
Current portion of tenant improvement obligation					160,462
Tenant improvement obligation, net of current portion					1,029,629
Deferred rent					207,204
Future minimum non-cancelable lease commitments
2022					531,186
2023					753,076
2024					768,423
2025					784,239
2026					800,523
Thereafter					2,007,019
Total					5,644,466
First facility
Leases
Annual rent increase (as a percent)				3.00%
First facility | Up to March 31, 2020
Leases
Monthly rent				$ 13,100
First facility | April 1, 2020 to December 31, 2020
Leases
Monthly rent			$ 15,100
First facility | January 1, 2021 to December 31, 2021
Leases
Monthly rent					16,600
Second facility | April 1, 2020 to December 31, 2020
Leases
Monthly rent		$ 2,500
Second facility | January 1, 2021 to December 31, 2021
Leases
Monthly rent					3,400
Building
Leases
Leased space (in square feet) | ft²	42,278
Monthly rent	$ 41,397
Annual rent increase (as a percent)	3.00%
Lease term	12 months
Real property taxes (as a percent)	61.08%
Management fee (as a percent)	61.08%
Maximum management fee to be paid as a percent of Landlord's gross receipts	5.00%
Tenant improvement allowance receivable					1,256,950
Current portion of tenant improvement obligation					160,462
Tenant improvement obligation, net of current portion					1,029,629
Number of options to extend | item	1
Option to extend term	5 years
Security amount	$ 800,000
Deferred rent					$ 207,204

COMMITMENTS AND CONTINGENCIES_3

COMMITMENTS AND CONTINGENCIES - License Contract (Details) - Research and development contract - Series B Convertible Preferred Stock	Jan. 01, 2015$ / sharesshares
Agreements
Consideration for the developer's services | shares	26,667
Share price (in dollars per share) | $ / shares	$ 7.50

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($)	3 Months Ended		12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2021	Dec. 31, 2020
Corporation owned by director | Consulting services
RELATED PARTY TRANSACTIONS
Consulting services			$ 6,690	$ 6,912
Reprise Biomedical, Inc. | Patent and Know-How License Agreement
RELATED PARTY TRANSACTIONS
Royalty	$ 33,066	$ 46,530
Long term receivables	920,404	453,470	920,404	453,470
Reserve against receivable	$ 920,404	$ 453,470	$ 920,404	$ 453,470

NET LOSS PER SHARE (Details)

NET LOSS PER SHARE (Details) - shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
NET LOSS PER SHARE
Potentially dilutive securities	4,372,848	12,790,935
Convertible preferred stock outstanding
NET LOSS PER SHARE
Potentially dilutive securities		8,314,536
Stock options
NET LOSS PER SHARE
Potentially dilutive securities	3,526,138	3,768,730
Common stock warrants
NET LOSS PER SHARE
Potentially dilutive securities	795,379	707,669
Restricted stock units
NET LOSS PER SHARE
Potentially dilutive securities	51,331