Eastside Distilling (BLNE) 10-Q 14 Nov 23 2023 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2023	Nov. 14, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2023
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--12-31
Entity File Number	001-38182
Entity Registrant Name	EASTSIDE DISTILLING, INC.
Entity Central Index Key	0001534708
Entity Tax Identification Number	20-3937596
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	2321 NE Argyle Street
Entity Address, Address Line Two	Unit D
Entity Address, City or Town	Portland
Entity Address, State or Province	OR
Entity Address, Postal Zip Code	97211
City Area Code	971
Local Phone Number	888-4264
Title of 12(b) Security	Common Stock, $0.0001 par value
Trading Symbol	EAST
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		1,561,953

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash	$ 358	$ 723
Trade receivables, net	1,089	876
Inventories	3,563	4,442
Prepaid expenses and other current assets	739	579
Total current assets	5,749	6,620
Property and equipment, net	4,995	5,741
Right-of-use assets	2,237	2,988
Intangible assets, net	5,473	5,758
Other assets, net	326	369
Total Assets	18,780	21,476
Current liabilities:
Accounts payable	1,958	1,728
Accrued liabilities	709	1,509
Deferred revenue	53	18
Current portion of secured credit facilities, net of debt issuance costs		3,442
Current portion of note payable, related party	92	4,598
Current portion of notes payable	486
Current portion of lease liabilities	719	991
Other current liability, related party		725
Total current liabilities	4,017	13,011
Lease liabilities, net of current portion	1,634	2,140
Secured credit facilities, related party	2,639
Secured credit facilities, net of debt issuance costs	319
Note payable, related party		92
Notes payable, net of current portion	7,517	7,749
Total liabilities	16,126	22,992
Commitments and contingencies (Note 13)
Stockholders’ equity (deficit):
Common stock, $0.0001 par value; 1,750,000 shares authorized; 1,538,407 and 809,963 shares issued and outstanding as of September 30, 2023 and December 31, 2022, respectively
Additional paid-in capital	83,185	73,505
Accumulated deficit	(80,531)	(75,021)
Total stockholders’ equity (deficit)	2,654	(1,516)
Total Liabilities and Stockholders’ Equity (Deficit)	18,780	21,476
Series B Preferred Stock [Member]
Stockholders’ equity (deficit):
Preferred stock, value
Series C Preferred Stock [Member]
Stockholders’ equity (deficit):
Preferred stock, value

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2023	Dec. 31, 2022
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	1,750,000	1,750,000
Common stock, shares issued	1,538,407	809,963
Common stock, shares outstanding	1,538,407	809,963
Series B Preferred Stock [Member]
Preferred Stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock, shares issued	2,500,000	2,500,000
Preferred stock, shares outstanding	2,500,000	2,500,000
Series C Preferred Stock [Member]
Preferred Stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	240,000	240,000
Preferred stock, shares issued	200,000	0
Preferred stock, shares outstanding	200,000	0

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Statement [Abstract]
Sales	$ 3,081	$ 3,064	$ 8,717	$ 11,967
Less customer programs and excise taxes	98	87	220	393
Net sales	2,983	2,977	8,497	11,574
Cost of sales	2,471	2,787	7,318	8,985
Gross profit	512	190	1,179	2,589
Operating expenses:
Sales and marketing expenses	381	702	1,261	2,078
General and administrative expenses	832	1,438	3,390	5,116
(Gain) loss on disposal of property and equipment	(39)		(168)	101
Total operating expenses	1,174	2,140	4,483	7,295
Loss from operations	(662)	(1,950)	(3,304)	(4,706)
Other income (expense), net
Interest expense	(207)	(808)	(862)	(1,976)
Loss on debt to equity conversion	(1,321)		(1,321)
Other income	34	25	90	125
Total other income (expense), net	(1,494)	(783)	(2,093)	(1,851)
Loss before income taxes	(2,156)	(2,733)	(5,397)	(6,557)
Provision for income taxes
Net loss	(2,156)	(2,733)	(5,397)	(6,557)
Preferred stock dividends	(38)	(38)	(113)	(113)
Net loss attributable to common shareholders	$ (2,194)	$ (2,771)	$ (5,510)	$ (6,670)
Basic net loss per common share	$ (2)	$ (3.59)	$ (5.93)	$ (8.76)
Diluted net loss per common share	$ (2)	$ (3.59)	$ (5.93)	$ (8.76)
Basic weighted average common shares outstanding	1,097	772	929	761
Diluted weighted average common shares outstanding	1,097	772	929	761

Consolidated Statements of Stoc

Consolidated Statements of Stockholder's Equity (Deficit) - USD ($) shares in Thousands, $ in Thousands	Preferred Stock [Member] Series B Preferred Stock [Member]	Preferred Stock [Member] Series C Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Balance at Dec. 31, 2021				$ 72,004	$ (58,605)	$ 13,399
Balance, shares at Dec. 31, 2021	2,500		740
Stock-based compensation				2		2
Issuance of common stock for services by third parties				119		119
Issuance of common stock for services by third parties, shares			6
Issuance of common stock for services by employees				207		207
Issuance of common stock for services by employees, shares			8
Issuance of detachable warrants on notes payable				948		948
Preferred stock dividends					(38)	(38)
Net loss					(2,036)	(2,036)
Balance at Mar. 31, 2022				73,280	(60,679)	12,601
Balance, shares at Mar. 31, 2022	2,500		754
Balance at Dec. 31, 2021				72,004	(58,605)	13,399
Balance, shares at Dec. 31, 2021	2,500		740
Net loss						(6,557)
Balance at Sep. 30, 2022				74,230	(65,275)	8,955
Balance, shares at Sep. 30, 2022	2,500		773
Balance at Mar. 31, 2022				73,280	(60,679)	12,601
Balance, shares at Mar. 31, 2022	2,500		754
Stock-based compensation
Issuance of common stock for services by third parties				111		111
Issuance of common stock for services by third parties, shares			8
Issuance of common stock for services by employees
Issuance of common stock for services by employees, shares			1
Issuance of detachable warrants on notes payable				506		506
Preferred stock dividends					(37)	(37)
Net loss					(1,788)	(1,788)
Shares issued for cash				197		197
Shares issued for cash, shares			10
Balance at Jun. 30, 2022				74,094	(62,504)	11,590
Balance, shares at Jun. 30, 2022	2,500		773
Issuance of detachable warrants on notes payable				136		136
Preferred stock dividends					(38)	(38)
Net loss					(2,733)	(2,733)
Balance at Sep. 30, 2022				74,230	(65,275)	8,955
Balance, shares at Sep. 30, 2022	2,500		773
Balance at Dec. 31, 2022				73,505	(75,021)	(1,516)
Balance, shares at Dec. 31, 2022	2,500		810
Issuance of common stock for services by third parties				83		83
Issuance of common stock for services by third parties, shares			11
Issuance of common stock for services by employees				60		60
Issuance of common stock for services by employees, shares			12
Preferred stock dividends					(38)	(38)
Net loss					(1,598)	(1,598)
Balance at Mar. 31, 2023				73,648	(76,657)	(3,009)
Balance, shares at Mar. 31, 2023	2,500		833
Balance at Dec. 31, 2022				73,505	(75,021)	(1,516)
Balance, shares at Dec. 31, 2022	2,500		810
Net loss						(5,397)
Balance at Sep. 30, 2023				83,185	(80,531)	2,654
Balance, shares at Sep. 30, 2023	2,500	200	1,538
Balance at Mar. 31, 2023				73,648	(76,657)	(3,009)
Balance, shares at Mar. 31, 2023	2,500		833
Preferred stock dividends					(37)	(37)
Net loss					(1,643)	(1,643)
Shares issued for cash				651		651
Shares issued for cash, shares			135
Balance at Jun. 30, 2023				74,299	(78,337)	(4,038)
Balance, shares at Jun. 30, 2023	2,500		968
Issuance of common stock for services by third parties				373		373
Issuance of common stock for services by third parties, shares			121
Issuance of common stock for services by employees				33		33
Issuance of common stock for services by employees, shares			11
Preferred stock dividends					(38)	(38)
Net loss					(2,156)	(2,156)
Shares issued for cash				649		649
Shares issued for cash, shares			141
Debt to equity conversion				7,831		7,831
Debt to equity conversion, shares		200	297
Balance at Sep. 30, 2023				$ 83,185	$ (80,531)	$ 2,654
Balance, shares at Sep. 30, 2023	2,500	200	1,538

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash Flows From Operating Activities:
Net loss	$ (5,397)	$ (6,557)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities
Depreciation and amortization	1,122	1,104
Bad debt expense	68	126
Other income	(25)
(Gain) loss on disposal of assets	(168)	101
Inventory reserve	(8)	(32)
Loss on debt to equity conversion	1,321
Stock dividend payable	(113)	(113)
Amortization of debt issuance costs		1,225
Interest accrued to secured credit facilities	71	119
Payment of accrued interest on secured credit facilities	(142)
Interest accrued for amounts due to related parties	363
Payment of accrued interest on amounts due to related parties	(348)
Issuance of common stock in exchange for services of related parties	93	206
Issuance of common stock in exchange of services of third parties	456	230
Stock-based compensation		3
Changes in operating assets and liabilities:
Trade receivables, net	(89)	408
Inventories	887	1,567
Prepaid expenses and other assets	(160)	(197)
Right-of-use assets	751	721
Accounts payable	469	881
Accrued liabilities	(661)	899
Other liabilities, related party	556
Deferred revenue	35	62
Net lease liabilities	(778)	(602)
Net cash (used in) provided by operating activities	(1,697)	151
Cash Flows From Investing Activities:
Proceeds from sale of fixed assets	175	12
Purchases of property and equipment	(199)	(2,495)
Net cash used in investing activities	(24)	(2,483)
Cash Flows From Financing Activities:
Proceeds from issuance of stock	1,300	197
Proceeds from secured credit facilities	56
Proceeds from note payable, related party		3,500
Payments of principal on notes payable, related party		(275)
Payments of principal on secured credit facilities		(2,933)
Payments of principal on notes payable		(1,001)
Net cash provided by (used in) financing activities	1,356	(512)
Net decrease in cash	(365)	(2,844)
Cash at the beginning of the period	723	3,276
Cash at the end of the period	358	432
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest	1,068	772
Cash paid for amounts included in measurement of lease liabilities	1,031	705
Supplemental Disclosure of Non-Cash Financing Activity
Debt exchanged for equity	6,510
Accrued interest rolled into notes payable	241
Exchange of assets for services	42
Future proceeds related to installment sales of equipment	211
Issuance of detachable warrants on notes payable		1,590
Right-of-use assets obtained in exchange for lease obligations		$ 527

Description of Business

Description of Business	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business	1. Description of Business Eastside Distilling (the “Company” or “Eastside Distilling”) was incorporated under the laws of Nevada in 2004 under the name of Eurocan Holdings, Ltd. In December 2014, the Company changed its corporate name to Eastside Distilling, Inc. to reflect the acquisition of Eastside Distilling, LLC. The Company manufactures, acquires, blends, bottles, imports, markets and sells a wide variety of alcoholic beverages under recognized brands. The Company currently employs 51 people in the United States. The Company operates a beverage packaging and services business that operates in the beverage segment. During 2022, the Company made substantial investments to expand its product offerings to include digital can printing in the Pacific Northwest (together Craft Canning + Printing, “Craft C+P”). Craft C+P operates mobile filling lines and offers co-packing services with end-to-end production capabilities in Portland, Oregon. The Company’s spirits’ brands span several alcoholic beverage categories, including whiskey, vodka, rum, and tequila. The Company sells products on a wholesale basis to distributors in open states and through brokers in control states.

Liquidity

Liquidity	9 Months Ended
	Sep. 30, 2023
Liquidity
Liquidity	2. Liquidity The Company’s primary capital requirements are for cash used in operating activities and the repayment of debt. Funds for the Company’s cash and liquidity needs have historically not been generated from operations but rather from loans as well as from convertible debt and equity financings. The Company has been dependent on raising capital from debt and equity financings to meet the Company’s operating needs. The Company had an accumulated deficit of $ 80.5 5.4 The Company’s ability to meet its ongoing operating cash needs over the next 12 months depends on growing revenues and gross margins, and generating positive operating cash flow primarily through increased sales, improved profit growth, and controlling expenses. In addition, the Company has been negotiating with creditors to reduce the interest burden and improve cash flow. If the Company is unable to reach an agreement with creditors or obtain additional financing, or additional financing is not available on acceptable terms, the Company may seek to sell assets, reduce operating expenses, reduce or eliminate marketing initiatives, and take other measures that could impair its ability to be successful. Although the Company’s audited financial statements for the year ended December 31, 2022 were prepared under the assumption that it would continue operations as a going concern, the report of its independent registered public accounting firm that accompanied the financial statements for the year ended December 31, 2022 contained a going concern explanatory paragraph in which such firm expressed substantial doubt about the Company’s ability to continue as a going concern, based on the financial statements at that time. If the Company cannot continue as a going concern, its stockholders would likely lose most or all of their investment in it.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	3. Summary of Significant Accounting Policies Basis of Presentation and Consolidation The accompanying unaudited consolidated financial statements for Eastside Distilling, Inc. and subsidiaries were prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements in accordance with GAAP have been condensed or eliminated as permitted under the SEC’s rules and regulations. In management’s opinion, the unaudited consolidated financial statements include all material adjustments, all of which are of a normal and recurring nature, necessary to present fairly the Company’s financial position as of September 30, 2023, its operating results for the three and nine months ended September 30, 2023 and 2022 and its cash flows for the nine months ended September 30, 2023 and 2022. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. Interim results are not necessarily indicative of the results that may be expected for an entire fiscal year. The consolidated financial statements include the accounts of Eastside Distilling, Inc.’s wholly-owned subsidiaries, including Craft Canning + Bottling, LLC (doing business as Craft Canning + Printing) and its wholly-owned subsidiary Galactic Unicorn Packaging, LLC (the Company’s newly acquired fixed co-packing assets) and MotherLode LLC. All intercompany balances and transactions have been eliminated on consolidation. Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities 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. Revenue Recognition Net sales include product sales, less excise taxes and customer programs and incentives. The Company recognizes revenue by applying the following steps in accordance with Accounting Standards Codification (“ASC”) Topic 606 – Revenue from Contracts with Customers The Company recognizes sales when merchandise is shipped from a warehouse directly to wholesale customers (except in the case of a consignment sale). For consignment sales, which include sales to the Oregon Liquor Control Commission, the Company recognizes sales upon the consignee’s shipment to the customer. Postage and handling charges billed to customers are also recognized as sales upon shipment of the related merchandise. Shipping terms are generally FOB shipping point, and title passes to the customer at the time and place of shipment or purchase by customers at a retail location. For consignment sales, title passes to the consignee concurrent with the consignee’s shipment to the customer. The customer has no cancellation privileges after shipment or upon purchase at retail locations, other than customary rights of return. Customer Programs Customer programs, which include customer promotional discount programs, are a common practice in the alcoholic beverage industry. The Company reimburses wholesalers for an agreed amount to promote sales of products and to maintain competitive pricing. Amounts paid in connection with customer programs are recorded as reductions to net sales in accordance with ASC 606 - Revenue from Contracts with Customers 0.1 0.2 Excise Taxes The Company is responsible for compliance with the Alcohol and Tobacco Tax and Trade Bureau (“TTB”) regulations, which includes making timely and accurate excise tax payments. The Company is subject to periodic compliance audits by the TTB. Individual states also impose excise taxes on alcoholic beverages in varying amounts. The Company calculates its excise tax expense based upon units produced and on its understanding of the applicable excise tax laws. Excise taxes totaled $ 0.1 0.2 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) Cost of Sales Cost of sales consists of all direct costs related to both spirits and canning for service, labor, overhead, packaging, and in-bound freight charges. Ingredients account for the largest portion of the cost of sales, followed by packaging and production costs. Sales and Marketing Expenses Sales and marketing expenses consist of sponsorships, agency fees, digital media, salary and benefit expenses, travel and entertainment expenses. Sales and marketing costs are expensed as incurred. Advertising and marketing expenses totaled $ 0.1 0.6 General and Administrative Expenses General and administrative expenses consist of salary and benefit expenses, travel and entertainment expenses for executive and administrative staff, rent and utilities, professional fees, insurance, and amortization and depreciation expense. General and administrative costs are expensed as incurred. Stock-Based Compensation The Company recognizes as compensation expense all stock-based awards issued to employees. The compensation cost is measured based on the grant-date fair value of the related stock-based awards and is recognized over the service period of stock-based awards, which is generally the same as the vesting period. The fair value of stock options is determined using the Black-Scholes valuation model, which estimates the fair value of each award on the date of grant based on a variety of assumptions including expected stock price volatility, expected terms of the awards, risk-free interest rate, and dividend rates, if applicable. Stock-based awards issued to nonemployees are recorded at fair value on the measurement date and are subject to periodic market adjustments at the end of each reporting period and as the underlying stock-based awards vest. Concentrations Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of trade receivables. As of September 30, 2023, one distributor represented 7 15 17 43 Fair Value Measurements GAAP defines fair value, establishes a framework for measuring fair value, and requires certain disclosures about fair value measurements. GAAP permits an entity to choose to measure many financial instruments and certain other items at fair value and contains financial statement presentation and disclosure requirements for assets and liabilities for which the fair value option is elected. As of September 30, 2023 and December 31, 2022, management has not elected to report any of the Company’s assets or liabilities at fair value under the “fair value option” provided by GAAP. The hierarchy of fair value valuation techniques under GAAP provides for three levels: Level 1 provides the most reliable measure of fair value, whereas Level 3, if applicable, generally would require significant management judgment. The three levels for categorizing assets and liabilities under GAAP’s fair value measurement requirements are as follows: Level 1: Fair value of the asset or liability is determined using cash or unadjusted quoted prices in active markets for identical assets or liabilities. Level 2: Fair value of the asset or liability is determined using inputs other than quoted prices that are observable for the applicable asset or liability, either directly or indirectly, such as quoted prices for similar (as opposed to identical) assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Fair value of the asset or liability is determined using unobservable inputs that are significant to the fair value measurement and reflect management’s own assumptions regarding the applicable asset or liability. Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) None of the Company’s assets or liabilities were measured at fair value as of September 30, 2023 or December 31, 2022. However, GAAP requires the disclosure of fair value information about financial instruments that are not measured at fair value. Financial instruments consist principally of trade receivables, accounts payable, accrued liabilities, notes payable, and the secured credit facilities. The estimated fair value of trade receivables, accounts payable, and accrued liabilities approximate their carrying value due to the short period of time to their maturities. As of September 30, 2023 and December 31, 2022, the principal amounts of the Company’s notes approximate fair value. Items Measured at Fair Value on a Nonrecurring Basis Certain assets and liabilities acquired in a business acquisition are valued at fair value at the date of acquisition due to having indefinite lives. The Company, on an annual basis, tests the indefinite life assets for impairment. If an indefinite life asset is found to be impaired, then the Company will estimate its useful life and amortize the asset over the remainder of its useful life. Inventories Inventories primarily consist of bulk and bottled liquor and raw materials and are stated at the lower of cost or market. Cost is determined using an average costing methodology, which approximates cost under the first-in, first-out (“FIFO”) method. A portion of the Company’s finished goods inventory is held by certain independent distributors on consignment until it is sold to a third party. The Company regularly monitors inventory quantities on hand and records write-downs for excess and obsolete inventories based primarily on the Company’s estimated forecast of product demand and production requirements. Such write-downs establish a new cost basis of accounting for the related inventory. Property and Equipment Property and equipment is stated at cost less accumulated depreciation and amortization. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, ranging from three seven years Intangible Assets / Goodwill The Company accounts for certain intangible assets at cost. Management reviews these intangible assets for probable impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. If there is an indication of impairment, management would prepare an estimate of future cash flows (undiscounted and without interest charges) expected to result from the use of the asset and its eventual disposition. If these estimated cash flows were less than the carrying amount, an impairment loss would be recognized to write down the asset to its estimated fair value. The Company performed a qualitative assessment of certain of its intangible assets as of September 30, 2023 and determined that they were not impaired. Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) Long-lived Assets The Company accounts for long-lived assets, including certain intangible assets, at amortized cost. Management reviews long-lived assets for probable impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. If there is an indication of impairment, management would prepare an estimate of future cash flows (undiscounted and without interest charges) expected to result from the use of the asset and its eventual disposition. If these estimated cash flows were less than the carrying amount of the asset, an impairment loss would be recognized to write down the asset to its estimated fair value. The Company performed a qualitative assessment of certain of its long-lived assets as of September 30, 2023 and determined that they were not impaired. Comprehensive Income The Company did no Accounts Receivable Factoring Program The Company had two accounts receivable factoring programs: one for its spirits customers (the “spirits program”) that had a zero balance at September 30, 2023 and another for its co-packing customers (the “co-packing program”) that terminated in August 2023. Under the programs, the Company has the option to sell certain customer account receivables in advance of payment for 75 85 0.5 1 Transfers and Servicing 0.7 20,821 Reclassification of Prior Year Presentation Certain prior year amounts have been reclassified for consistency with the current year presentation. These reclassifications had no effect on the reported results of operations.

Business Segment Information

Business Segment Information	9 Months Ended
	Sep. 30, 2023
Segment Reporting [Abstract]
Business Segment Information	4. Business Segment Information The Company’s internal management financial reporting consists of Craft C+P, Eastside spirits and corporate. Craft C+P offers digital can printing and co-packing services in Portland, Oregon allowing it to offer end-to-end production capabilities. Craft C+P operates 13 mobile lines in Washington and Oregon. The spirits brands span several alcoholic beverage categories, including whiskey, vodka, rum, and tequila and are sold on a wholesale basis to distributors in open states, and brokers in control states. The Company’s principal area of operation is in the U.S. and has one spirits customer that represents 17 The measure of profitability reviewed are condensed statements of operations and gross margins. These business segments reflect how operations are managed, operating performance is evaluated and the structure of internal financial reporting. Total asset information by segment is not provided to, or reviewed by, the chief operating decision maker (“CODM”) as it is not used to make strategic decisions, allocate resources or assess performance. The accounting policies of the segments are the same as those described for the Company in the Summary of Significant Accounting Policies in Note 3. Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) Segment information was as follows for the nine months ended September 30, 2023 and 2022: Schedule of Segment Information (Dollars in thousands) 2023 2022 Craft C+P Sales $ 5,637 $ 4,381 Net sales 5,558 4,281 Cost of sales 5,378 4,809 Gross profit 180 (528 ) Total operating expenses 2,013 2,813 Net loss (1,812 ) (3,273 ) Gross margin 3 % -12 % Interest expense $ 12 $ 32 Depreciation and amortization 1,008 982 Significant noncash items: (Gain) loss on disposal of property and equipment (171 ) 113 Stock compensation - 148 Spirits Sales $ 3,080 $ 7,586 Net sales 2,939 7,293 Cost of sales 1,940 4,176 Gross profit 999 3,117 Total operating expenses 1,183 1,963 Net income (loss) (127 ) 1,179 Gross margin 34 % 43 % Depreciation and amortization $ 114 $ 122 Significant noncash items: (Gain) loss on disposal of property and equipment 3 (12 ) Corporate Total operating expenses $ 1,287 $ 2,519 Net loss (3,458 ) (4,463 ) Net Income (loss) (3,458 ) (4,463 ) Interest expense $ 850 $ 1,944 Significant noncash items: Stock compensation 98 498 Loss on debt to equity conversion 1,321 - Craft C+P’s sales increased due to new digital can printing revenues, offset by lower mobile revenues. Spirits’ sales in 2022 included bulk inventory sales of $ 4.4

Inventories

Inventories	9 Months Ended
	Sep. 30, 2023
Inventory Disclosure [Abstract]
Inventories	5. Inventories Inventories consisted of the following: Schedule of Inventories (Dollars in thousands) September 30, 2023 December 31, 2022 Raw materials $ 2,424 $ 3,127 Finished goods 1,139 1,315 Total inventories $ 3,563 $ 4,442 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited)

Prepaid Expenses and Other Curr

Prepaid Expenses and Other Current Assets	9 Months Ended
	Sep. 30, 2023
Prepaid Expenses And Other Current Assets
Prepaid Expenses and Other Current Assets	6. Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following: Schedule of Prepaid Expenses and Current Assets (Dollars in thousands) September 30, 2023 December 31, 2022 Prepayment of fixed assets $ 332 $ 346 Prepayment of inventory 157 - Other 250 233 Total prepaid expenses and other current assets $ 739 $ 579

Property and Equipment

Property and Equipment	9 Months Ended
	Sep. 30, 2023
Property, Plant and Equipment [Abstract]
Property and Equipment	7. Property and Equipment Property and equipment consisted of the following: Schedule of Property and Equipment (Dollars in thousands) September 30, 2023 December 31, 2022 Furniture and fixtures $ 3,641 $ 4,093 Digital can printer 4,342 4,216 Leasehold improvements 1,529 1,529 Vehicles 752 222 Total cost 10,264 10,060 Less accumulated depreciation (5,269 ) (4,319 ) Total property and equipment, net $ 4,995 $ 5,741 Purchases of property and equipment totaled $ 0.2 2.5 0.8 During the nine months ended September 30, 2023, the Company disposed of fixed assets for proceeds of $ 0.2 0.2 0.3 0.2 0.1 0.1 During the nine months ended September 30, 2022, the Company entered into a master equity lease agreement with Enterprise FM Trust (“Enterprise”). Per the agreement, the Company delivered to Enterprise the titles to certain vehicles resulting in a loss on disposal of $ 0.1 0.1 0.1 0.1

Intangible Assets

Intangible Assets	9 Months Ended
	Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	8. Intangible Assets Intangible assets consisted of the following: Schedule of Intangible Assets (Dollars in thousands) September 30, 2023 December 31, 2022 Permits and licenses $ 25 $ 25 Azuñia brand 4,517 4,492 Total intangible assets 4,517 4,492 Customer lists 2,895 2,895 Total intangible assets 7,437 7,412 Less accumulated amortization (1,964 ) (1,654 ) Intangible assets, net $ 5,473 $ 5,758 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) The customer list is being amortized over a seven-year 0.3 The permits and licenses, and Azuñia brand have all been determined to have an indefinite life and will not be amortized. The Company, on an annual basis, tests the indefinite life assets for impairment. If the carrying value of an indefinite life asset is found to be impaired, then the Company will record an impairment loss and reduce the carrying value of the asset.

Other Assets

Other Assets	9 Months Ended
	Sep. 30, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Assets	9. Other Assets Other assets consisted of the following: Schedule of Other Assets (Dollars in thousands) September 30, 2023 December 31, 2022 Product branding $ 400 $ 400 Deposits 255 256 Total other assets 655 656 Less accumulated amortization (329 ) (287 ) Other assets, net $ 326 $ 369 As of September 30, 2023, the Company had $ 0.4 seven-year Amortization expense totaled $ 42,857 The deposits represent office lease deposits.

Leases

Leases	9 Months Ended
	Sep. 30, 2023
Leases
Leases	10. Leases The Company has various lease agreements in place for facilities, equipment and vehicles. Terms of these leases include, in some instances, scheduled rent increases, renewals, purchase options and maintenance costs, and vary by lease. These lease obligations expire at various dates through 2027. The Company determines if an arrangement is a lease at inception. As the rate implicit in each lease is not readily determinable, the Company uses its incremental borrowing rate based on information available at commencement to determine the present value of the lease payments. Right-of-use assets and lease liabilities are recognized at commencement date based on the present value of lease payments over the lease term. Leases with an initial term of 12 months or less (“short-term leases”) are not recorded on the balance sheet and are recognized on a straight-line basis over the lease term. As of September 30, 2023, the amount of right-of-use assets and lease liabilities were $ 2.2 2.4 1.8 1.0 0.8 Maturities of lease liabilities as of September 30, 2023 were as follows: Schedule of Maturities of Operating Lease Liabilities (Dollars in thousands) Operating Leases Weighted- Average Remaining Term in Years 2023 $ 231 2024 821 2025 805 2026 632 2027 141 Thereafter - Total lease payments 2,630 Less imputed interest (based on 6.7 (277 ) Present value of lease liability $ 2,353 3.04 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited)

Notes Payable

Notes Payable	9 Months Ended
	Sep. 30, 2023
Debt Disclosure [Abstract]
Notes Payable	11. Notes Payable Notes payable consisted of the following: Schedule of Notes Payable (Dollars in thousands) September 30, 2023 December 31, 2022 486 7,749 Promissory notes payable bearing interest of 6.0 36 April 2024 $ 486 $ 7,749 Amended and restated promissory notes payable bearing interest of 8.0 April 2025 7,517 - Total notes payable 8,003 7,749 Less current portion (486 ) - Long-term portion of notes payable $ 7,517 $ 7,749 The Company paid $ 0.1 0.4 Maturities on notes payable as of September 30, 2023 were as follows: Schedule of Maturities on Notes payable (Dollars in thousands) 2023 $ - 2024 486 2025 7,517 2026 - 2027 - Thereafter - Total $ 8,003

Secured Credit Facilities

Secured Credit Facilities	9 Months Ended
	Sep. 30, 2023
Secured Credit Facilities
Secured Credit Facilities	12. Secured Credit Facilities Note Purchase Agreement On October 7, 2022, the Company entered into a Note Purchase Agreement dated as of October 6, 2022 with Aegis Security Insurance Company (“Aegis”). Pursuant to the Note Purchase Agreement, Aegis purchased from the Company a secured promissory note in the principal amount of $ 4.5 3.3 1.2 9.25 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) On September 29, 2023, the Company entered into a Debt Satisfaction Agreement with Aegis and other creditors, pursuant to which the Aegis Note was amended and restated. See: Note 15, Stockholders Equity – Debt Satisfaction Agreement. 1.9 “ ” 29 2.6 669 6% Secured Convertible Promissory Notes On April 19, 2021, the Company entered into a securities purchase agreement (“Purchase Agreement”) with accredited investors (“Subscribers”) for their purchase of up to $ 3.3 6 0.0001 44.00 60 52.00 3.3 Roth Capital, LLC acted as placement agent in the private offering, and the Company paid the Placement Agent a cash fee of five percent ( 5 3.1 Interest on the Notes accrued at a rate of 6 % per annum and was payable either in cash or in shares of the Company’s common stock at the conversion price in the Note on each of the six and twelve month anniversaries of the issuance date and on the maturity date of October 18, 2022 . All amounts due under the Notes are convertible at any time after the issuance date, in whole or in part (subject to rounding for fractional shares), at the option of the holders into the Company’s common stock at a fixed conversion price, which is subject to adjustment as summarized below. The Notes were initially convertible into the Company’s common stock at an initial fixed conversion price of $ 44.00 6 26.00 3.5 24.00 The Notes contain customary triggering events including but not limited to: (i) failure to make payments when due under the Notes; and (ii) bankruptcy or insolvency of the Company. If a triggering event occurs, each holder may require the Company to redeem all or any portion of the Notes (including all accrued and unpaid interest thereon), in cash. The Notes are secured by a subordinated security interest in the Company’s assets pursuant to the terms of a Security Agreement entered into between the Company and the Subscribers. On October 13, 2022, the Company entered into an Amendment Agreement with the holders of the 6 4,808 On September 29, 2023, the Company entered into a Debt Satisfaction Agreement with the Subscribers and other creditors, pursuant to which the Maturity Date of the Notes was extended from November 18, 2022 to March 31, 2025 and interest accrues at 9 See: Note 15, Stockholders Equity – Debt Satisfaction Agreement. 3.3 50 0.4 100 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited)

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	13. Commitments and Contingencies Legal Matters On March 1, 2023, Sandstrom Partners, Inc. filed a complaint in the Circuit Court of the State of Oregon for the County of Multnomah alleging the Company failed to pay for its services pursuant to an agreement entered into on October 16, 2019. The complaint seeks damages of $ 285,000 On December 15, 2020, Grover Wickersham filed a complaint in the United States District Court for the District Court of Oregon against the Company. Mr. Wickersham, the former CEO and Chairman of the Board of the Company, has asserted causes of action for fraud in the inducement, breach of contract, breach of the implied covenant of good faith and fair dealing, defamation, interference with economic advantage, elder financial abuse, and dissemination of false and misleading proxy materials. The Company disputes the allegations and intends to defend the case vigorously. The Company is not currently subject to any other material legal proceedings; however, it could be subject to legal proceedings and claims from time to time in the ordinary course of its business, or legal proceedings it considered immaterial may in the future become material. Regardless of the outcome, litigation can, among other things, be time consuming and expensive to resolve, and can divert management resources.

Net Income (Loss) per Common Sh

Net Income (Loss) per Common Share	9 Months Ended
	Sep. 30, 2023
Earnings Per Share [Abstract]
Net Income (Loss) per Common Share	14. Net Income (Loss) per Common Share Basic income (loss) per common share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the period, without considering any dilutive items. Potentially dilutive securities consist of the incremental common stock issuable upon exercise of stock options, convertible notes and warrants. Potentially dilutive securities are excluded from the computation if their effect is anti-dilutive. There were no

Stockholders_ Equity

Stockholders’ Equity	9 Months Ended
	Sep. 30, 2023
Equity [Abstract]
Stockholders’ Equity	15. Stockholders’ Equity Reverse Stock Split All shares and per share information in these financial statements has been adjusted to give effect to the 1-for-20 reverse stock split Debt Satisfaction Agreement On September 29, 2023, the Company entered into a Debt Satisfaction Agreement (the “DSA”) with the SPV, Aegis, Bigger Capital Fund, LP (“Bigger”), District 2 Capital Fund, LP (“District 2”), LDI Investments, LLC (“LDI”) and TQLA, LLC. The SPV is a special purpose vehicle whose equity is shared 50% by Bigger and District 2 and 50% by Aegis and LDI Pursuant to the DSA, on September 29, 2023, the Company issued to the SPV 296,722 200,000 6.5 the Company recognized a loss on the conversion of $ 1.3 ● the principal balance of the Secured Promissory Note issued by the Company to Aegis on October 6, 2022 was reduced by $ 1.9 ● the Company’s debt to LDI of $ 1.4 ● the aggregate principal balance of the Secured Convertible Promissory Notes issued by the Company to Bigger in April and May of 2021 was reduced by $ 1.6 ● the aggregate principal balance of the Secured Convertible Promissory Notes issued by the Company to District 2 in April and May of 2021 was reduced by $ 1.6 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) Further pursuant to the DSA: ● the maturity date of the secured debt listed above as well as unsecured notes issued by the Company and held by Bigger and District 2 in the aggregate amount of $ 7.4 March 31, 2025 8 ● the Company, Aegis, Bigger and District 2 entered into an Intercreditor Agreement, pursuant to which the remaining secured debt obligations of the Company to Aegis, Bigger and District 2 were made pari passu ● the Common Stock Purchase Warrant issued by the Company to TQLA LLC on March 21, 2022, which permits TQLA LLC to purchase up to 145,834 9.99 19.99 The DSA mandates that the Company obtain shareholder approval of an increase in the Company’s authorized common stock from 1,750,000 6,000,000 .01 Issuance of Common Stock During the nine months ended September 30, 2023, the Company issued 155,554 0.5 3.05 7.40 During the nine months ended September 30, 2023, the Company sold 276,167 1.3 On September 29, 2023, pursuant to the DSA (see discussion above), the Company issued to the SPV 296,722 200,000 6.5 During the year ended December 31, 2022, the Company issued 19,265 4,808 6 0.3 5.60 19.20 On April 5, 2022, the Company sold 10,000 0.2 On February 4, 2022, 8,500 24.20 0.2 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) Issuance of Series B Preferred Stock On October 19, 2021, Company entered into a securities purchase agreement (“Purchase Agreement”) with an accredited investor (“Subscriber”) for its purchase of 2.5 1.00 62.00 42,500 The Series B Preferred Stock accrues dividends at a rate of 6 0.5 23,005 6.60 0.1 Issuance of Series C Preferred Stock On September 29, 2023, the Company entered into the DSA, pursuant to which the Company issued to the SVP 200,000 28.025 3.05 Stock-Based Compensation On September 8, 2016, the Company adopted the 2016 Equity Incentive Plan (the “2016 Plan”). Pursuant to the terms of the plan, on January 1, 2022 the number of shares available for grant under the 2016 Plan reset to 261,257 8 2,487 355,774 vesting schedules varying between immediate or three (3) years from the grant date A summary of all stock option activity as of and for the nine months ended September 30, 2023 is presented below: Summary of Stock Options Activity # of Options Weighted- Outstanding as of December 31, 2022 2,587 $ 63.20 Options canceled (100 ) 91.40 Outstanding as of September 30, 2023 2,487 $ 62.07 Exercisable as of September 30, 2023 2,487 $ 62.07 The aggregate intrinsic value of options outstanding as of September 30, 2023 was $ 0 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) The Company uses the Black-Scholes valuation model to measure the grant-date fair value of stock options. The grant-date fair value of stock options issued to employees is recognized on a straight-line basis over the requisite service period. Stock-based awards issued to nonemployees are recorded at fair value on the measurement date and are subject to periodic market adjustments as the underlying stock-based awards vest. To determine the fair value of stock options using the Black-Scholes valuation model, the calculation takes into consideration the effect of the following: ● Exercise price of the option ● Fair value of the Company’s common stock on the date of grant ● Expected term of the option ● Expected volatility over the expected term of the option ● Risk-free interest rate for the expected term of the option The calculation includes several assumptions that require management’s judgment. The expected term of the options is calculated using the simplified method described in GAAP. The simplified method defines the expected term as the average of the contractual term and the vesting period. Estimated volatility is derived from volatility calculated using historical closing prices of common shares of similar entities whose share prices are publicly available for the expected term of the options. The risk-free interest rate is based on the U.S. Treasury constant maturities in effect at the time of grant for the expected term of the options. The Company did not issue any additional options during the nine months ended September 30, 2023. For the nine months ended September 30, 2023 and 2022, net compensation expense related to stock options was $ 0 2,926 Warrants On March 21, 2022, the Company entered into a promissory note with TQLA LLC to accept a one year loan of $ 3.5 24.00 (See discussion above) 9.99 19.99 From April 19, 2021 through May 12, 2021, the Company issued in a private placement Existing Warrants to purchase up to 45,000 52.00 45,000 45,000 60.00 August 19, 2026 On January 15, 2020, the Company and its subsidiaries entered into a loan agreement (the “Loan Agreement”) between the Company and Live Oak Banking Company (“Live Oak”), a North Carolina banking corporation (the “Lender”) to refinance existing debt of the Company and to provide funding for general working capital purposes In connection with the Loan Agreement, the Company issued to the Lender a warrant to purchase up to 5,000 78.80 January 15, 2025 Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) A summary of all warrant activity as of and for the nine months ended September 30, 2023 is presented below: Summary of Warrant Activity Warrants Weighted- Weighted- Aggregate Outstanding as of December 31, 2022 201,667 3.8 $ 33.40 $ - Outstanding as of September 30, 2023 201,667 3.8 $ 33.40 $ -

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2023
Related Party Transactions [Abstract]
Related Party Transactions	16. Related Party Transactions The following is a description of transactions since January 1, 2022 as to which the amount involved exceeds the lesser of $ 0.1 1 0.3 TQLA, LLC During 2022, the Company entered into a Secured Line of Credit Promissory Note (the “TQLA Note”) with TQLA LLC and amended it twice for total borrowing of $ 3.3 Aegis Security Insurance Company On October 7, 2022, the Company entered into a Note Purchase Agreement with Aegis. Pursuant to the Note Purchase Agreement, Aegis purchased from the Company a secured promissory note in the principal amount of $ 4.5 3.3 See discussion of the Aegis transaction in Note 12. LD Investments LLC On September 29 2023, the Company entered into a Secured Promissory Note with LDI in the principal amount of $ 1.4 On September 29, 2023, the Company entered into the DSA with LDI and other creditors. See: Note 15, Stockholders Equity – Debt Satisfaction Agreement. S 21

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2023
Subsequent Events [Abstract]
Subsequent Events	17. Subsequent Events Subsequent to September 30, 2023, the Company sold 23,546 37,021

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation The accompanying unaudited consolidated financial statements for Eastside Distilling, Inc. and subsidiaries were prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements in accordance with GAAP have been condensed or eliminated as permitted under the SEC’s rules and regulations. In management’s opinion, the unaudited consolidated financial statements include all material adjustments, all of which are of a normal and recurring nature, necessary to present fairly the Company’s financial position as of September 30, 2023, its operating results for the three and nine months ended September 30, 2023 and 2022 and its cash flows for the nine months ended September 30, 2023 and 2022. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. Interim results are not necessarily indicative of the results that may be expected for an entire fiscal year. The consolidated financial statements include the accounts of Eastside Distilling, Inc.’s wholly-owned subsidiaries, including Craft Canning + Bottling, LLC (doing business as Craft Canning + Printing) and its wholly-owned subsidiary Galactic Unicorn Packaging, LLC (the Company’s newly acquired fixed co-packing assets) and MotherLode LLC. All intercompany balances and transactions have been eliminated on consolidation.
Use of Estimates	Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities 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.
Revenue Recognition	Revenue Recognition Net sales include product sales, less excise taxes and customer programs and incentives. The Company recognizes revenue by applying the following steps in accordance with Accounting Standards Codification (“ASC”) Topic 606 – Revenue from Contracts with Customers The Company recognizes sales when merchandise is shipped from a warehouse directly to wholesale customers (except in the case of a consignment sale). For consignment sales, which include sales to the Oregon Liquor Control Commission, the Company recognizes sales upon the consignee’s shipment to the customer. Postage and handling charges billed to customers are also recognized as sales upon shipment of the related merchandise. Shipping terms are generally FOB shipping point, and title passes to the customer at the time and place of shipment or purchase by customers at a retail location. For consignment sales, title passes to the consignee concurrent with the consignee’s shipment to the customer. The customer has no cancellation privileges after shipment or upon purchase at retail locations, other than customary rights of return.
Customer Programs	Customer Programs Customer programs, which include customer promotional discount programs, are a common practice in the alcoholic beverage industry. The Company reimburses wholesalers for an agreed amount to promote sales of products and to maintain competitive pricing. Amounts paid in connection with customer programs are recorded as reductions to net sales in accordance with ASC 606 - Revenue from Contracts with Customers 0.1 0.2
Excise Taxes	Excise Taxes The Company is responsible for compliance with the Alcohol and Tobacco Tax and Trade Bureau (“TTB”) regulations, which includes making timely and accurate excise tax payments. The Company is subject to periodic compliance audits by the TTB. Individual states also impose excise taxes on alcoholic beverages in varying amounts. The Company calculates its excise tax expense based upon units produced and on its understanding of the applicable excise tax laws. Excise taxes totaled $ 0.1 0.2
Cost of Sales	Cost of Sales Cost of sales consists of all direct costs related to both spirits and canning for service, labor, overhead, packaging, and in-bound freight charges. Ingredients account for the largest portion of the cost of sales, followed by packaging and production costs.
Sales and Marketing Expenses	Sales and Marketing Expenses Sales and marketing expenses consist of sponsorships, agency fees, digital media, salary and benefit expenses, travel and entertainment expenses. Sales and marketing costs are expensed as incurred. Advertising and marketing expenses totaled $ 0.1 0.6
General and Administrative Expenses	General and Administrative Expenses General and administrative expenses consist of salary and benefit expenses, travel and entertainment expenses for executive and administrative staff, rent and utilities, professional fees, insurance, and amortization and depreciation expense. General and administrative costs are expensed as incurred.
Stock-Based Compensation	Stock-Based Compensation The Company recognizes as compensation expense all stock-based awards issued to employees. The compensation cost is measured based on the grant-date fair value of the related stock-based awards and is recognized over the service period of stock-based awards, which is generally the same as the vesting period. The fair value of stock options is determined using the Black-Scholes valuation model, which estimates the fair value of each award on the date of grant based on a variety of assumptions including expected stock price volatility, expected terms of the awards, risk-free interest rate, and dividend rates, if applicable. Stock-based awards issued to nonemployees are recorded at fair value on the measurement date and are subject to periodic market adjustments at the end of each reporting period and as the underlying stock-based awards vest.
Concentrations	Concentrations Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of trade receivables. As of September 30, 2023, one distributor represented 7 15 17 43
Fair Value Measurements	Fair Value Measurements GAAP defines fair value, establishes a framework for measuring fair value, and requires certain disclosures about fair value measurements. GAAP permits an entity to choose to measure many financial instruments and certain other items at fair value and contains financial statement presentation and disclosure requirements for assets and liabilities for which the fair value option is elected. As of September 30, 2023 and December 31, 2022, management has not elected to report any of the Company’s assets or liabilities at fair value under the “fair value option” provided by GAAP. The hierarchy of fair value valuation techniques under GAAP provides for three levels: Level 1 provides the most reliable measure of fair value, whereas Level 3, if applicable, generally would require significant management judgment. The three levels for categorizing assets and liabilities under GAAP’s fair value measurement requirements are as follows: Level 1: Fair value of the asset or liability is determined using cash or unadjusted quoted prices in active markets for identical assets or liabilities. Level 2: Fair value of the asset or liability is determined using inputs other than quoted prices that are observable for the applicable asset or liability, either directly or indirectly, such as quoted prices for similar (as opposed to identical) assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Fair value of the asset or liability is determined using unobservable inputs that are significant to the fair value measurement and reflect management’s own assumptions regarding the applicable asset or liability. Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited) None of the Company’s assets or liabilities were measured at fair value as of September 30, 2023 or December 31, 2022. However, GAAP requires the disclosure of fair value information about financial instruments that are not measured at fair value. Financial instruments consist principally of trade receivables, accounts payable, accrued liabilities, notes payable, and the secured credit facilities. The estimated fair value of trade receivables, accounts payable, and accrued liabilities approximate their carrying value due to the short period of time to their maturities. As of September 30, 2023 and December 31, 2022, the principal amounts of the Company’s notes approximate fair value. Items Measured at Fair Value on a Nonrecurring Basis Certain assets and liabilities acquired in a business acquisition are valued at fair value at the date of acquisition due to having indefinite lives. The Company, on an annual basis, tests the indefinite life assets for impairment. If an indefinite life asset is found to be impaired, then the Company will estimate its useful life and amortize the asset over the remainder of its useful life.
Inventories	Inventories Inventories primarily consist of bulk and bottled liquor and raw materials and are stated at the lower of cost or market. Cost is determined using an average costing methodology, which approximates cost under the first-in, first-out (“FIFO”) method. A portion of the Company’s finished goods inventory is held by certain independent distributors on consignment until it is sold to a third party. The Company regularly monitors inventory quantities on hand and records write-downs for excess and obsolete inventories based primarily on the Company’s estimated forecast of product demand and production requirements. Such write-downs establish a new cost basis of accounting for the related inventory.
Property and Equipment	Property and Equipment Property and equipment is stated at cost less accumulated depreciation and amortization. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, ranging from three seven years
Intangible Assets / Goodwill	Intangible Assets / Goodwill The Company accounts for certain intangible assets at cost. Management reviews these intangible assets for probable impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. If there is an indication of impairment, management would prepare an estimate of future cash flows (undiscounted and without interest charges) expected to result from the use of the asset and its eventual disposition. If these estimated cash flows were less than the carrying amount, an impairment loss would be recognized to write down the asset to its estimated fair value. The Company performed a qualitative assessment of certain of its intangible assets as of September 30, 2023 and determined that they were not impaired. Eastside Distilling, Inc. and Subsidiaries Notes to Consolidated Financial Statements September 30, 2023 (Unaudited)
Long-lived Assets	Long-lived Assets The Company accounts for long-lived assets, including certain intangible assets, at amortized cost. Management reviews long-lived assets for probable impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. If there is an indication of impairment, management would prepare an estimate of future cash flows (undiscounted and without interest charges) expected to result from the use of the asset and its eventual disposition. If these estimated cash flows were less than the carrying amount of the asset, an impairment loss would be recognized to write down the asset to its estimated fair value. The Company performed a qualitative assessment of certain of its long-lived assets as of September 30, 2023 and determined that they were not impaired.
Comprehensive Income	Comprehensive Income The Company did no
Accounts Receivable Factoring Program	Accounts Receivable Factoring Program The Company had two accounts receivable factoring programs: one for its spirits customers (the “spirits program”) that had a zero balance at September 30, 2023 and another for its co-packing customers (the “co-packing program”) that terminated in August 2023. Under the programs, the Company has the option to sell certain customer account receivables in advance of payment for 75 85 0.5 1 Transfers and Servicing 0.7 20,821
Reclassification of Prior Year Presentation	Reclassification of Prior Year Presentation Certain prior year amounts have been reclassified for consistency with the current year presentation. These reclassifications had no effect on the reported results of operations.

Business Segment Information (T

Business Segment Information (Tables)	9 Months Ended
	Sep. 30, 2023
Segment Reporting [Abstract]
Schedule of Segment Information	Segment information was as follows for the nine months ended September 30, 2023 and 2022: Schedule of Segment Information (Dollars in thousands) 2023 2022 Craft C+P Sales $ 5,637 $ 4,381 Net sales 5,558 4,281 Cost of sales 5,378 4,809 Gross profit 180 (528 ) Total operating expenses 2,013 2,813 Net loss (1,812 ) (3,273 ) Gross margin 3 % -12 % Interest expense $ 12 $ 32 Depreciation and amortization 1,008 982 Significant noncash items: (Gain) loss on disposal of property and equipment (171 ) 113 Stock compensation - 148 Spirits Sales $ 3,080 $ 7,586 Net sales 2,939 7,293 Cost of sales 1,940 4,176 Gross profit 999 3,117 Total operating expenses 1,183 1,963 Net income (loss) (127 ) 1,179 Gross margin 34 % 43 % Depreciation and amortization $ 114 $ 122 Significant noncash items: (Gain) loss on disposal of property and equipment 3 (12 ) Corporate Total operating expenses $ 1,287 $ 2,519 Net loss (3,458 ) (4,463 ) Net Income (loss) (3,458 ) (4,463 ) Interest expense $ 850 $ 1,944 Significant noncash items: Stock compensation 98 498 Loss on debt to equity conversion 1,321 -

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Sep. 30, 2023
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories consisted of the following: Schedule of Inventories (Dollars in thousands) September 30, 2023 December 31, 2022 Raw materials $ 2,424 $ 3,127 Finished goods 1,139 1,315 Total inventories $ 3,563 $ 4,442

Prepaid Expenses and Other Cu_2

Prepaid Expenses and Other Current Assets (Tables)	9 Months Ended
	Sep. 30, 2023
Prepaid Expenses And Other Current Assets
Schedule of Prepaid Expenses and Current Assets	Prepaid expenses and other current assets consisted of the following: Schedule of Prepaid Expenses and Current Assets (Dollars in thousands) September 30, 2023 December 31, 2022 Prepayment of fixed assets $ 332 $ 346 Prepayment of inventory 157 - Other 250 233 Total prepaid expenses and other current assets $ 739 $ 579

Property and Equipment (Tables)

Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2023
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	Property and equipment consisted of the following: Schedule of Property and Equipment (Dollars in thousands) September 30, 2023 December 31, 2022 Furniture and fixtures $ 3,641 $ 4,093 Digital can printer 4,342 4,216 Leasehold improvements 1,529 1,529 Vehicles 752 222 Total cost 10,264 10,060 Less accumulated depreciation (5,269 ) (4,319 ) Total property and equipment, net $ 4,995 $ 5,741

Intangible Assets (Tables)

Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets	Intangible assets consisted of the following: Schedule of Intangible Assets (Dollars in thousands) September 30, 2023 December 31, 2022 Permits and licenses $ 25 $ 25 Azuñia brand 4,517 4,492 Total intangible assets 4,517 4,492 Customer lists 2,895 2,895 Total intangible assets 7,437 7,412 Less accumulated amortization (1,964 ) (1,654 ) Intangible assets, net $ 5,473 $ 5,758

Other Assets (Tables)

Other Assets (Tables)	9 Months Ended
	Sep. 30, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Other Assets	Other assets consisted of the following: Schedule of Other Assets (Dollars in thousands) September 30, 2023 December 31, 2022 Product branding $ 400 $ 400 Deposits 255 256 Total other assets 655 656 Less accumulated amortization (329 ) (287 ) Other assets, net $ 326 $ 369

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2023
Leases
Schedule of Maturities of Operating Lease Liabilities	Maturities of lease liabilities as of September 30, 2023 were as follows: Schedule of Maturities of Operating Lease Liabilities (Dollars in thousands) Operating Leases Weighted- Average Remaining Term in Years 2023 $ 231 2024 821 2025 805 2026 632 2027 141 Thereafter - Total lease payments 2,630 Less imputed interest (based on 6.7 (277 ) Present value of lease liability $ 2,353 3.04

Notes Payable (Tables)

Notes Payable (Tables)	9 Months Ended
	Sep. 30, 2023
Debt Disclosure [Abstract]
Schedule of Notes Payable	Notes payable consisted of the following: Schedule of Notes Payable (Dollars in thousands) September 30, 2023 December 31, 2022 486 7,749 Promissory notes payable bearing interest of 6.0 36 April 2024 $ 486 $ 7,749 Amended and restated promissory notes payable bearing interest of 8.0 April 2025 7,517 - Total notes payable 8,003 7,749 Less current portion (486 ) - Long-term portion of notes payable $ 7,517 $ 7,749
Schedule of Maturities on Notes payable	Maturities on notes payable as of September 30, 2023 were as follows: Schedule of Maturities on Notes payable (Dollars in thousands) 2023 $ - 2024 486 2025 7,517 2026 - 2027 - Thereafter - Total $ 8,003

Stockholders_ Equity (Tables)

Stockholders’ Equity (Tables)	9 Months Ended
	Sep. 30, 2023
Equity [Abstract]
Summary of Stock Options Activity	A summary of all stock option activity as of and for the nine months ended September 30, 2023 is presented below: Summary of Stock Options Activity # of Options Weighted- Outstanding as of December 31, 2022 2,587 $ 63.20 Options canceled (100 ) 91.40 Outstanding as of September 30, 2023 2,487 $ 62.07 Exercisable as of September 30, 2023 2,487 $ 62.07
Summary of Warrant Activity	A summary of all warrant activity as of and for the nine months ended September 30, 2023 is presented below: Summary of Warrant Activity Warrants Weighted- Weighted- Aggregate Outstanding as of December 31, 2022 201,667 3.8 $ 33.40 $ - Outstanding as of September 30, 2023 201,667 3.8 $ 33.40 $ -

Liquidity (Details Narrative)

Liquidity (Details Narrative) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Liquidity
Accumulated deficit	$ 80,531						$ 80,531		$ 75,021
Net loss	$ 2,156	$ 1,643	$ 1,598	$ 2,733	$ 1,788	$ 2,036	$ 5,397	$ 6,557

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Product Information [Line Items]
Customer programs and incentives paid	$ 100,000	$ 200,000
Excise taxes	100,000	200,000
Advertising and marketing expenses	100,000	600,000
Comprehensive income	0	$ 0
Interest charged on advance payment amount	$ 500,000
Interest charged on advance payment, rate	1%
Minimum [Member]
Product Information [Line Items]
Property and equipment useful life	3 years
Maximum [Member]
Product Information [Line Items]
Property and equipment useful life	7 years
Spirtits Program and Co Packing Program [Member]
Product Information [Line Items]
Concentration risk percentage description	Under the programs, the Company has the option to sell certain customer account receivables in advance of payment for 75% (spirits program) or 85% (co-packing program) of the amount due. When the customer remits payment, the Company receives the remaining balance. For the spirits program, interest is charged on the advanced 75% payment at a rate of 2.4% for the first 30 days plus 1.44% for each additional ten-day period.
Spirits Program [Member]
Product Information [Line Items]
Payment of account receivables in advance percentage	75%
Copacking Program [Member]
Product Information [Line Items]
Payment of account receivables in advance percentage	85%
Factored invoices	$ 700,000
Fees	$ 20,821
Accounts Receivable [Member] | Customer Concentration Risk [Member] | One Distributor [Member]
Product Information [Line Items]
Concentration risk percentage	7%		15%
Revenue Benchmark [Member] | Supplier Concentration Risk [Member] | One Wholesale Customer [Member]
Product Information [Line Items]
Concentration risk percentage	17%
Revenue Benchmark [Member] | Supplier Concentration Risk [Member] | One Distributor and One Wholesale Customer [Member]
Product Information [Line Items]
Concentration risk percentage		43%

Schedule of Segment Information

Schedule of Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Segment Reporting Information [Line Items]
Sales	$ 3,081			$ 3,064			$ 8,717	$ 11,967
Net sales	2,983			2,977			8,497	11,574
Cost of sales	2,471			2,787			7,318	8,985
Gross profit	512			190			1,179	2,589
Total operating expenses	1,174			2,140			4,483	7,295
Net Income (loss)	(2,156)	$ (1,643)	$ (1,598)	(2,733)	$ (1,788)	$ (2,036)	(5,397)	(6,557)
Interest expense	207			808			862	1,976
(Gain) loss on disposal of property and equipment	39						168	(101)
Loss on debt to equity conversion	$ 1,321						1,321
Craft C+P [Member]
Segment Reporting Information [Line Items]
Sales							5,637	4,381
Net sales							5,558	4,281
Cost of sales							5,378	4,809
Gross profit							180	(528)
Total operating expenses							2,013	2,813
Net Income (loss)							$ (1,812)	$ (3,273)
Gross margin							3%	(12.00%)
Interest expense							$ 12	$ 32
Depreciation and amortization							1,008	982
(Gain) loss on disposal of property and equipment							(171)	113
Stock compensation								148
Spirits [Member]
Segment Reporting Information [Line Items]
Sales							3,080	7,586
Net sales							2,939	7,293
Cost of sales							1,940	4,176
Gross profit							999	3,117
Total operating expenses							1,183	1,963
Net Income (loss)							$ (127)	$ 1,179
Gross margin							34%	43%
Depreciation and amortization							$ 114	$ 122
(Gain) loss on disposal of property and equipment							3	(12)
Corporate Segment [Member]
Segment Reporting Information [Line Items]
Total operating expenses							1,287	2,519
Net Income (loss)							(3,458)	(4,463)
Interest expense							850	1,944
Stock compensation							$ 98	$ 498

Business Segment Information (D

Business Segment Information (Details Narrative) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Revenue, Major Customer [Line Items]
Inventory sale		$ 4.4
One Spirits Customer [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member]
Revenue, Major Customer [Line Items]
Concentration risk percentage	17%

Schedule of Inventories (Detail

Schedule of Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Raw materials	$ 2,424	$ 3,127
Finished goods	1,139	1,315
Total inventories	$ 3,563	$ 4,442

Schedule of Prepaid Expenses an

Schedule of Prepaid Expenses and Current Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Prepaid Expenses And Other Current Assets
Prepayment of fixed assets	$ 332	$ 346
Prepayment of inventory	157
Other	250	233
Total prepaid expenses and other current assets	$ 739	$ 579

Schedule of Property and Equipm

Schedule of Property and Equipment (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Total cost	$ 10,264	$ 10,060
Less accumulated depreciation	(5,269)	(4,319)
Total property and equipment, net	4,995	5,741
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Total cost	3,641	4,093
Digital Can Printer [Member]
Property, Plant and Equipment [Line Items]
Total cost	4,342	4,216
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Total cost	1,529	1,529
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Total cost	$ 752	$ 222

Property and Equipment (Details

Property and Equipment (Details Narrative) - USD ($) $ in Thousands	1 Months Ended	9 Months Ended
	Apr. 30, 2023	Sep. 30, 2023	Sep. 30, 2022
Purchases of property and equipment		$ 199	$ 2,495
Depreciation expense		800	800
Proceeds from disposal of fixed assets		175	12
Gain on disposal of fixed assets		200
Net book value of fixed assets		300	100
Loss on disposal of fixed assets			100
Enterprise FM Trust [Member]
Gain on disposal of fixed assets	$ 100	$ 100
Loss on disposal of fixed assets			$ 100

Schedule of Intangible Assets (

Schedule of Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	$ 7,437	$ 7,412
Less accumulated amortization	(1,964)	(1,654)
Intangible assets, net	5,473	5,758
Azunia Brand [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	4,517	4,492
Permits And Licenses [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	25	25
Customer Lists [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	$ 2,895	$ 2,895

Intangible Assets (Details Narr

Intangible Assets (Details Narrative) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Finite-Lived Intangible Assets [Line Items]
Amortization expense	$ 0.3	$ 0.3
Customer Lists [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets useful life	7 years

Schedule of Other Assets (Detai

Schedule of Other Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total other assets	$ 655	$ 656
Less accumulated amortization	(329)	(287)
Other assets, net	326	369
Product Branding [Member]
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total other assets	400	400
Deposits [Member]
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total other assets	$ 255	$ 256

Other Assets (Details Narrative

Other Assets (Details Narrative) - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Capitalized costs related to services	$ 400,000
Other assets useful life	7 years
Adjustment for amortization	$ 300,000	$ 300,000
Other Assets [Member]
Adjustment for amortization	$ 42,857	$ 42,857

Schedule of Maturities of Opera

Schedule of Maturities of Operating Lease Liabilities (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Leases
2023	$ 231
2024	821
2025	805
2026	632
2027	141
Thereafter
Total lease payments	2,630
Less imputed interest (based on 6.7% weighted-average discount rate)	(277)
Present value of lease liability	$ 2,353
Operating lease weighted average remaining lease term	3 years 14 days

Schedule of Maturities of Ope_2

Schedule of Maturities of Operating Lease Liabilities (Details) (Parenthetical)	Sep. 30, 2023
Leases
Operating lease weighted average discount rate	6.70%

Leases (Details Narrative)

Leases (Details Narrative) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Leases
Operating lease right of use asset	$ 2,237	$ 2,988
Operating lease liabilities	2,353
Lease cost	1,800
Operating lease cost	1,000
Short term lease cost	$ 800

Schedule of Notes Payable (Deta

Schedule of Notes Payable (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Short-Term Debt [Line Items]
Total notes payable	$ 8,003	$ 7,749
Less current portion	(486)
Long-term portion of notes payable	7,517	7,749
Note Payable One [Member]
Short-Term Debt [Line Items]
Total notes payable	486	7,749
Note Payable Two [Member]
Short-Term Debt [Line Items]
Total notes payable	$ 7,517

Schedule of Notes Payable (De_2

Schedule of Notes Payable (Details) (Parenthetical)	9 Months Ended
	Sep. 30, 2023
Note Payable One [Member]
Short-Term Debt [Line Items]
Interest rate	6%
Debt term	36 months
Debt maturity period	April 2024
Note Payable Two [Member]
Short-Term Debt [Line Items]
Interest rate	8%
Debt maturity period	April 2025

Schedule of Maturities on Notes

Schedule of Maturities on Notes payable (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Debt Disclosure [Abstract]
2023
2024	486
2025	7,517
2026
2027
Thereafter
Total	$ 8,003

Notes Payable (Details Narrativ

Notes Payable (Details Narrative) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Notes Payable [Member]
Short-Term Debt [Line Items]
Interest paid on notes	$ 0.1	$ 0.4

Secured Credit Facilities (Deta

Secured Credit Facilities (Details Narrative) - USD ($)						3 Months Ended			9 Months Ended
	Sep. 29, 2023	Oct. 13, 2022	Oct. 07, 2022	Apr. 01, 2022	Apr. 19, 2021	Sep. 30, 2023	Jun. 30, 2023	Jun. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Common stock, par value						$ 0.0001			$ 0.0001		$ 0.0001
Stock issuance cost percentage						5%			5%
Loon amount paid by share issuance									$ 6,510,000
Common Stock [Member]
Number of shares issued						141,000	135,000	10,000
Secured Convertible Promissory Notes [Member]
Secured debt percentage				6%		6%			6%
Debt instrument, conversion price				$ 26		$ 44			$ 44
Debt Instrument, Maturity Date									Oct. 18, 2022
Loon amount paid by share issuance				$ 3,500,000
Secured Convertible Promissory Notes [Member] | Common Stock [Member]
Debt instrument, conversion price				$ 24
Roth Capital, LLC [Member]
Proceeds from private offering									$ 3,100,000
Note Purchase Agreement [Member]
Debt principal amount			$ 4,500,000
Payments in cash			$ 1,200,000
Secured debt percentage			9.25%
Note Purchase Agreement [Member] | Subscribers [Member]
Secured debt percentage		6%									6%
Note Purchase Agreement [Member] | Each of the Subscribers [Member]
Number of shares issued		4,808
Note Purchase Agreement [Member] | TQLA, LLC [Member]
Debt principal amount											$ 3,300,000
Repayment of debt			$ 3,300,000
Debt Satisfaction Agreement [Member]
Loon amount paid by share issuance	$ 6,500,000
Debt Satisfaction Agreement [Member] | Subscribers and Other Creditors [Member]
Debt principal amount						$ 400,000			400,000
Secured debt percentage	9%
Principal and interest	$ 3,300,000
Accrued interest						100			100
Debt Satisfaction Agreement [Member] | Subscribers [Member]
Ownership interest	50%
Debt Satisfaction Agreement [Member] | Aegis and Other Creditors [Member]
Debt principal amount						2,600,000			2,600,000
Principal and interest	$ 1,900,000
Accrued interest						$ 669			$ 669
Debt Satisfaction Agreement [Member] | Aegis and Other Creditors [Member] | SPV [Member]
Ownership interest	29%
Purchase Agreement [Member] | Accredited Investors [Member] | Secured Convertible Promissory Notes [Member]
Debt principal amount					$ 3,300,000
Secured debt percentage					6%
Common stock, par value					$ 0.0001
Purchase Agreement [Member] | Accredited Investors [Member] | Secured Convertible Promissory Notes [Member] | IPO [Member]
Private offering closing price					$ 3,300,000
Purchase Agreement [Member] | Accredited Investors [Member] | Secured Convertible Promissory Notes [Member] | Warrant [Member]
Warrant exercise price					$ 52
Purchase Agreement [Member] | Accredited Investors [Member] | Secured Convertible Promissory Notes [Member] | Common Stock [Member]
Debt instrument, conversion price					$ 44
Outstanding notes payable percentage					60%

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative)	Mar. 01, 2023 USD ($)
Sandstrom Partners Inc [Member]
Loss contingency damages seek value	$ 285,000

Net Income (Loss) per Common _2

Net Income (Loss) per Common Share (Details Narrative) - shares	9 Months Ended	12 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Earnings Per Share [Abstract]
Antidilutive common shares	0	0

Summary of Stock Options Activi

Summary of Stock Options Activity (Details)	9 Months Ended
	Sep. 30, 2023 $ / shares shares
Equity [Abstract]
Number of options outstanding, beginning balance | shares	2,587
Weighted- average exercise price options outstanding, beginning balance | $ / shares	$ 63.20
Number of options, cancelled | shares	(100)
Weighted- average exercise price options cancelled | $ / shares	$ 91.40
Number of options outstanding, ending balance | shares	2,487
Weighted- average exercise price options outstanding, ending balance | $ / shares	$ 62.07
Number of options exercisable, ending balance | shares	2,487
Weighted- average exercise price options exercisable, ending balance | $ / shares	$ 62.07

Summary of Warrant Activity (De

Summary of Warrant Activity (Details)	9 Months Ended
	Sep. 30, 2023 USD ($) $ / shares shares
Equity [Abstract]
Warrants outstanding, beginning balance | shares	201,667
Warrants outstanding weighted average remaining life, beginning balance	3 years 9 months 18 days
Warrants outstanding weighted average exercise price, beginning balance | $ / shares	$ 33.40
Warrants outstanding aggregate intrinsic value, beginning balance | $
Warrants outstanding, ending balance | shares	201,667
Warrants outstanding weighted average remaining life, ending balance	3 years 9 months 18 days
Warrants outstanding weighted average exercise price, ending balance | $ / shares	$ 33.40
Warrants outstanding aggregate intrinsic value, ending balance | $

Stockholders_ Equity (Details N

Stockholders’ Equity (Details Narrative) - USD ($)

3 Months Ended

9 Months Ended

12 Months Ended

Sep. 29, 2023

May 12, 2023

Apr. 05, 2022

Feb. 04, 2022

Oct. 19, 2021

Sep. 08, 2016

Sep. 30, 2023

Jun. 30, 2023

Mar. 31, 2023

Sep. 30, 2022

Jun. 30, 2022

Mar. 31, 2022

Sep. 30, 2023

Sep. 30, 2022

Dec. 31, 2022

Oct. 13, 2022

Oct. 07, 2022

Mar. 21, 2022

Jul. 30, 2021

May 12, 2021

Jan. 15, 2020

Accumulated Other Comprehensive Income (Loss) [Line Items]

Reverse stock split

1-for-20 reverse stock split

Debt satisfaction agreement description

On September 29, 2023, the Company entered into a Debt Satisfaction Agreement (the “DSA”) with the SPV, Aegis, Bigger Capital Fund, LP (“Bigger”), District 2 Capital Fund, LP (“District 2”), LDI Investments, LLC (“LDI”) and TQLA, LLC. The SPV is a special purpose vehicle whose equity is shared 50% by Bigger and District 2 and 50% by Aegis and LDI

Gain loss extinguishment of debt

$ 1,300,000

Common stock, shares authorized

1,750,000

1,750,000

1,750,000

Common stock, par value

$ 0.0001

$ 0.0001

$ 0.0001

Proceeds from sale of common stock

$ 1,300,000

$ 197,000

Value reduced by exchange of equity

6,510,000

Net income

$ (2,156,000)

$ (1,643,000)

$ (1,598,000)

$ (2,733,000)

$ (1,788,000)

$ (2,036,000)

(5,397,000)

(6,557,000)

Accrued preferred dividends

$ 38,000

38,000

$ 113,000

113,000

Options outstanding

2,487

2,487

2,587

Aggregate intrinsic value of options outstanding

$ 0

$ 0

Stock options compensation expenses

$ 0

2,926

2016 Equity Incentive Plan [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Number of shares available for grant

261,257

Outstanding capital stock shares percentage

8%

Options outstanding

2,487

2,487

Number of RSU's outstanding

355,774

355,774

Vesting schedule

vesting schedules varying between immediate or three (3) years from the grant date

At The Market Public Placements [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Sale of common stock, shares

276,167

Proceeds from sale of common stock

$ 1,300,000

TQLA, LLC [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Loan amount

$ 3,500,000

Directors and Employees [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Issuance of common stock for stock-based compensation, shares

155,554

Issuance of common stock for stock-based compensation

$ 500,000

Directors and Employees [Member] | Minimum [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Common stock, par value

$ 3.05

$ 3.05

Directors and Employees [Member] | Maximum [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Common stock, par value

7.40

7.40

Directors [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Issuance of common stock for stock-based compensation, shares

19,265

Subscribers [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Issuance of common stock for stock-based compensation, shares

4,808

Directors and Subscribers [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Issuance of common stock for stock-based compensation

$ 300,000

Directors and Subscribers [Member] | Minimum [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Common stock, par value

$ 5.60

Directors and Subscribers [Member] | Maximum [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Common stock, par value

19.20

Chief Executive Officer [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Proceeds from sale of common stock

$ 200,000

Sale of stock shares

10,000

Former Chief Executive Officer [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Issuance of common stock for stock-based compensation, shares

8,500

Issuance of common stock for stock-based compensation

$ 200,000

Common stock value per share

$ 24.20

Series C Preferred Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Preferred stock, stated value

0.0001

0.0001

0.0001

Series B Preferred Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Preferred stock, stated value

$ 0.0001

$ 0.0001

$ 0.0001

Dividend rate percentage per annum

6%

Net income

$ 500,000

Shares issued for dividends

23,005

Common Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Sale of stock shares

121,000

11,000

8,000

6,000

Number of shares available for purchase

141,000

135,000

10,000

Net income

Warrant [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Class of warrants

45,000

45,000

Exercise price

$ 52

Warrant [Member] | TQLA, LLC [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Exercise price

$ 24

New Warrant Shares [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Class of warrants

45,000

Exercise price

$ 60

Maturity date

Aug. 19, 2026

Debt Satisfaction Agreement [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Debt principal value reduced by exchange of equity

$ 6,500,000

Liquidated damages

$ 10,000

Value reduced by exchange of equity

$ 6,500,000

Debt Satisfaction Agreement [Member] | Minimum [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Common stock, shares authorized

1,750,000

Debt Satisfaction Agreement [Member] | Maximum [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Common stock, shares authorized

6,000,000

Debt Satisfaction Agreement [Member] | TQLA, LLC [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Voting power percentage

9.99%

Beneficial ownership limitation percentage increase

19.99%

Debt Satisfaction Agreement [Member] | Aegis [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Debt principal value reduced by exchange of equity

$ 1,900,000

Debt Satisfaction Agreement [Member] | LDI Investments LLC [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Debt payment

1,400,000

Debt Satisfaction Agreement [Member] | Bigger Capital Fund LP [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Debt principal value reduced by exchange of equity

1,600,000

Debt Satisfaction Agreement [Member] | District 2 Capital Fund LP [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Debt principal value reduced by exchange of equity

1,600,000

Debt Satisfaction Agreement [Member] | Bigger And District 2 [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Aggregate amount of unsecured notes

$ 7,400,000

Maturity date

Mar. 31, 2025

Interest rate increased

8%

Debt Satisfaction Agreement [Member] | TQLA, LLC [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Class of warrants

145,834

Debt Satisfaction Agreement [Member] | Series C Preferred Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Shares issued for debt satisfaction

200,000

Debt Satisfaction Agreement [Member] | Series C Preferred Stock [Member] | SVP [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Shares issued for debt satisfaction

200,000

Preferred stock, stated value

$ 28.025

Conversion price

$ 3.05

Debt Satisfaction Agreement [Member] | Common Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Shares issued for debt satisfaction

296,722

Note Purchase Agreement [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Secured debt percentage

9.25%

Note Purchase Agreement [Member] | Subscribers [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Secured debt percentage

6%

6%

Securities Purchase Agreement [Member] | Series B Preferred Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Number of shares available for purchase

2,500,000

Preferred stock, stated value

$ 1

Common stock were reserved for issuance

42,500

Common stock dividend issued, per share

$ 6.60

Accrued preferred dividends

$ 100,000

$ 100,000

Securities Purchase Agreement [Member] | Series B Convertible Preferred Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Conversion price per share

$ 62

Loan Agreement [Member] | Warrant [Member]

Accumulated Other Comprehensive Income (Loss) [Line Items]

Class of warrants

5,000

Exercise price

$ 78.80

Maturity date

Jan. 15, 2025

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($) $ in Millions	Oct. 07, 2022	Jan. 01, 2022	Sep. 29, 2023	Dec. 31, 2022
Related Party Transaction [Line Items]
Assets requirement from related party transaction		$ 0.1
Percentage of average of assets net		1%
Other assets		$ 0.3
LDI Investments LLC [Member]
Related Party Transaction [Line Items]
Principal amount			$ 1.4
Note Purchase Agreement [Member]
Related Party Transaction [Line Items]
Principal amount	$ 4.5
Note Purchase Agreement [Member] | Aegis [Member]
Related Party Transaction [Line Items]
Principal amount	4.5
Note Purchase Agreement [Member] | TQLA, LLC [Member]
Related Party Transaction [Line Items]
Principal amount				$ 3.3
Repayment of debt	$ 3.3
Debt Satisfaction Agreement [Member] | LDI Investments LLC [Member] | SPV [Member]
Related Party Transaction [Line Items]
Equity interest ownership percentage			21%

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - USD ($)	1 Months Ended	9 Months Ended
	Nov. 14, 2023	Sep. 30, 2023	Sep. 30, 2022
Subsequent Event [Line Items]
Proceeds from issuance of common stock		$ 1,300,000	$ 197,000
At The Market Public Placements [Member]
Subsequent Event [Line Items]
Sale of stock shares		276,167
Proceeds from issuance of common stock		$ 1,300,000
Subsequent Event [Member] | At The Market Public Placements [Member]
Subsequent Event [Line Items]
Sale of stock shares	23,546
Proceeds from issuance of common stock	$ 37,021