iSpecimen (ISPC) 10-Q 4 Aug 22 2022 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2022	Aug. 03, 2022
Document and Entity Information [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	001-40501
Entity Registrant Name	iSpecimen Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	27-0480143
Entity Address, Address Line One	450 Bedford Street,
Entity Address, City or Town	Lexington,
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	02420
City Area Code	781
Local Phone Number	301-6700
Title of 12(b) Security	Common Stock, par value $0.0001 per share
Trading Symbol	ISPC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Emerging Growth Company	true
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		8,880,598
Entity Central Index Key	0001558569
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2

Condensed Balance Sheets

Condensed Balance Sheets - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Current assets:
Cash	$ 23,691,175	$ 27,738,979
Accounts receivable - unbilled	1,264,278	1,739,020
Accounts receivable, net of allowance for doubtful accounts of $289,207vand $269,170 at June 30, 2022 and December 31, 2021, respectively	1,660,076	3,002,442
Prepaid expenses and other current assets	374,867	327,035
Tax credit receivable, current portion	140,873	140,873
Total current assets	27,131,269	32,948,349
Property and equipment, net	23,648	32,781
Internally developed software, net	2,954,936	2,710,867
Operating lease right-of-use asset	260,003
Security deposits	27,601	27,601
Total assets	30,397,457	35,719,598
Current liabilities:
Accounts payable	433,026	832,678
Accrued expenses	634,256	1,009,803
Accrued interest	7,778	8,167
Operating lease current obligation	152,780
Term loan, net of debt discount, current portion	466,667
Deferred revenue	334,980	654,746
Total current liabilities	2,029,487	2,505,394
Operating lease long-term obligation	107,975
Term loan, net of debt discount, long portion	2,962,065	3,422,616
Total liabilities	5,099,527	5,928,010
Commitments and contingencies (See Note 6)
Stockholders' equity
Common stock, $0.0001 par value, 200,000,000 shares authorized, 8,904,711 issued, and 8,873,711 outstanding at June 30, 2022 and 8,764,479 issued and 8,733,479 outstanding at December 31, 2021	887	873
Additional paid-in capital	68,307,168	67,810,289
Treasury stock, 31,000 shares at June 30,2022 and December 31, 2021, at cost	(172)	(172)
Accumulated deficit	(43,009,953)	(38,019,402)
Total stockholders' equity	25,297,930	29,791,588
Total liabilities and stockholders' equity	$ 30,397,457	$ 35,719,598

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Condensed Balance Sheets
Allowance for doubtful accounts	$ 289,207	$ 269,170
Common stock, par value	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	200,000,000	200,000,000
Common stock, issued (in shares)	8,904,711	8,764,479
Common stock, outstanding (in shares)	8,873,711	8,733,479
Treasury Stock, Shares	31,000	31,000

Condensed Statements of Operati

Condensed Statements of Operations - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Condensed Statements of Operations
Revenue	$ 2,338,688	$ 2,903,876	$ 4,857,348	$ 5,867,683
Operating expenses:
Cost of revenue	999,743	1,489,196	2,165,659	3,112,847
Technology	635,650	361,799	1,163,173	771,750
Sales and marketing	950,563	647,592	1,697,994	1,176,978
Supply development	242,380	100,693	424,450	212,269
Fulfillment	519,994	287,275	963,788	556,371
General and administrative	1,575,365	1,545,852	3,385,679	2,508,643
Total operating expenses	4,923,695	4,432,407	9,800,743	8,338,858
Loss from operations	(2,585,007)	(1,528,531)	(4,943,395)	(2,471,175)
Other income (expense), net
Interest expense	(42,273)	(1,133,479)	(80,321)	(1,986,407)
Change in fair value of derivative liability on convertible notes		(117,000)		(271,000)
Change in fair value of derivative liability on bridge notes and bridge notes, related parties		1,630,700		1,582,700
Gain (loss) on extinguishment of bridge notes and bridge notes, related parties		9,746		(2,740,425)
Loss on extinguishment of convertible notes and convertible notes, related parties		(260,185)		(260,185)
Gain on extinguishment of note payable				788,156
Other income (expense), net	6,590	3,663	6,630
Other (expense), net				69
Interest income	13,881	172	26,535
Other expense, net	(21,802)	133,617	(47,156)	(2,887,230)
Net loss	$ (2,606,809)	$ (1,394,914)	$ (4,990,551)	$ (5,358,405)
Net loss per share
Basic (in dollars per share)	$ (0.30)	$ (0.87)	$ (0.57)	$ (4.21)
Diluted (in dollars per share)	$ (0.30)	$ (0.87)	$ (0.57)	$ (4.21)
Weighted average shares of common stock outstanding
Basic (in shares)	8,821,698	1,611,774	8,793,723	1,273,993
Diluted (in shares)	8,821,698	1,611,774	8,793,723	1,273,993

Condensed Statements of Changes

Condensed Statements of Changes in Stockholders' Equity - USD ($)	Common Stock	Treasury Stock	Additional Paid-In Capital	Accumulated Deficit	Series B Convertible Preferred Stock	Series A-1 Convertible Preferred Stock	Series A Convertible Preferred Stock	Total
Balance at the beginning (in shares) at Dec. 31, 2020					572,465	100,365	618,182
Balance at the beginning at Dec. 31, 2020					$ 7,999,997	$ 561,041	$ 2,612,038
Balances at the end (in shares) at Mar. 31, 2021					572,465	100,365	618,182
Balances at the end at Mar. 31, 2021					$ 7,999,997	$ 561,041	$ 2,612,038
Balance at the beginning (in shares) at Dec. 31, 2020	936,213	31,000
Balance at the beginning at Dec. 31, 2020	$ 94	$ (172)	$ 1,779,698	$ (29,057,587)				$ (27,277,967)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation expense			22,036					22,036
Net loss				(3,963,491)				(3,963,491)
Balance at the end (in shares) at Mar. 31, 2021	936,213	31,000
Balance at the end at Mar. 31, 2021	$ 94	$ (172)	1,801,734	(33,021,078)				(31,219,422)
Balance at the beginning (in shares) at Dec. 31, 2020					572,465	100,365	618,182
Balance at the beginning at Dec. 31, 2020					$ 7,999,997	$ 561,041	$ 2,612,038
Balance at the beginning (in shares) at Dec. 31, 2020	936,213	31,000
Balance at the beginning at Dec. 31, 2020	$ 94	$ (172)	1,779,698	(29,057,587)				(27,277,967)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss								(5,358,405)
Balance at the end (in shares) at Jun. 30, 2021	6,565,729	31,000
Balance at the end at Jun. 30, 2021	$ 657	$ (172)	45,094,782	(34,415,992)				10,679,275
Balance at the beginning (in shares) at Mar. 31, 2021					572,465	100,365	618,182
Balance at the beginning at Mar. 31, 2021					$ 7,999,997	$ 561,041	$ 2,612,038
Convertible preferred Stock
Conversion of redeemable convertible preferred stock into common stock upon initial public offering					$ (7,999,997)	$ (561,041)	$ (2,612,038)
Conversion of redeemable convertible preferred stock into common stock upon initial public offering (in shares)					(572,465)	(100,365)	(618,182)
Balance at the beginning (in shares) at Mar. 31, 2021	936,213	31,000
Balance at the beginning at Mar. 31, 2021	$ 94	$ (172)	1,801,734	(33,021,078)				(31,219,422)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation expense			28,374					28,374
Conversion of redeemable convertible preferred stock into common stock upon initial public offering	$ 129		11,172,947					11,173,076
Conversion of redeemable convertible preferred stock into common stock upon initial public offering (in shares)	1,291,012
Conversion of principal and accrued interest of convertible notes and bridge notes into common stock upon initial public offering	$ 205		16,392,139					16,392,344
Conversion of principal and accrued interest of convertible notes and bridge notes into common stock upon initial public offering	2,049,043
Offering costs in connection with public offering			(2,339,816)					(2,339,816)
Issuance of common stock in exchange for services			39,629
Issuance of common stock in exchange for services (in shares)	39,461
Issuance of common stock through exercise of stock options	$ 4							39,633
Issuance of common stock in connection with public offering	$ 225		17,999,775					18,000,000
Issuance of common stock in connection with public offering (in shares)	2,250,000
Net loss				(1,394,914)				(1,394,914)
Balance at the end (in shares) at Jun. 30, 2021	6,565,729	31,000
Balance at the end at Jun. 30, 2021	$ 657	$ (172)	45,094,782	(34,415,992)				10,679,275
Balance at the beginning (in shares) at Dec. 31, 2021	8,733,479	31,000
Balance at the beginning at Dec. 31, 2021	$ 873	$ (172)	67,810,289	(38,019,402)				29,791,588
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation expense			183,410					183,410
Vesting of restricted stock units			781					781
Vesting of restricted stock units (in shares)	3,125
Issuance of common stock through exercise of stock options	$ 8		75,269					75,277
Issuance of common stock through exercise of stock options (in shares)	77,679
Net loss				(2,383,742)				(2,383,742)
Balance at the end (in shares) at Mar. 31, 2022	8,814,283	31,000
Balance at the end at Mar. 31, 2022	$ 881	$ (172)	68,069,749	(40,403,144)				27,667,314
Balance at the beginning (in shares) at Dec. 31, 2021	8,733,479	31,000
Balance at the beginning at Dec. 31, 2021	$ 873	$ (172)	67,810,289	(38,019,402)				$ 29,791,588
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock in exchange for services (in shares)								1,000
Issuance of common stock through exercise of stock options								$ 77,104
Issuance of common stock through exercise of stock options (in shares)								79,506
Net loss								$ (4,990,551)
Balance at the end (in shares) at Jun. 30, 2022	8,873,711	31,000
Balance at the end at Jun. 30, 2022	$ 887	$ (172)	68,307,168	(43,009,953)				25,297,930
Balance at the beginning (in shares) at Mar. 31, 2022	8,814,283	31,000
Balance at the beginning at Mar. 31, 2022	$ 881	$ (172)	68,069,749	(40,403,144)				27,667,314
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation expense			202,318					202,318
Vesting of restricted stock units	$ 6		27,024					27,030
Vesting of restricted stock units (in shares)	56,601
Issuance of common stock in exchange for services			6,250					6,250
Issuance of common stock in exchange for services (in shares)	1,000
Issuance of common stock through exercise of stock options			1,827					1,827
Issuance of common stock through exercise of stock options (in shares)	1,827
Net loss				(2,606,809)				(2,606,809)
Balance at the end (in shares) at Jun. 30, 2022	8,873,711	31,000
Balance at the end at Jun. 30, 2022	$ 887	$ (172)	$ 68,307,168	$ (43,009,953)				$ 25,297,930

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows - USD ($)	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (4,990,551)	$ (5,358,405)
Adjustments to reconcile net loss to net cash used in operating activities:
Share-based compensation	413,539	50,410
Amortization of internally developed software	533,112	471,584
Depreciation of property and equipment	9,132	22,260
Bad debt expense	269,645	39,618
Amortization of debt issuance costs on Term Loan	6,116
Amortization of discount and debt issuance costs on convertible notes		1,088
Amortization of discount on bridge notes		869,600
Change in fair value of derivative liabilities		(1,311,700)
Loss on extinguishment on bridge notes		2,740,425
Loss on extinguishment of convertible notes		260,185
Gain on extinguishment on note payable		(788,156)
Change in operating assets and liabilities:
Accounts receivable - unbilled	474,742	(473,028)
Accounts receivable	1,072,721	(500,338)
Prepaid expenses and other current assets	(47,832)	(24,160)
Operating lease right-of-use asset	73,120
Accounts payable	(399,652)	1,440,799
Accrued expenses	(375,547)	1,068,902
Accrued interest	(389)	(1,707,225)
Operating lease liability	(72,367)
Deferred revenue	(319,766)	(70,394)
Net cash used in operating activities	(3,353,977)	(3,268,535)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment		(2,550)
Capitalization of internally developed software	(777,181)	(440,331)
Net cash used in investing activities	(777,181)	(442,881)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of bridge notes payable		500,000
Proceeds from exercise of stock options	77,104	39,633
Proceeds from issuance of common stock for exchange of services	6,250
Proceeds from issuance of common stock in connection with public offering		18,000,000
Payment of offering costs in connection with the issuance of common stock in connection with initial public offering		(2,339,816)
Net cash provided by financing activities	83,354	16,199,817
Net decreases in cash	(4,047,804)	12,488,401
Cash at beginning of period	27,738,979	695,909
Cash at end of period	23,691,175	13,184,310
Supplemental disclosure of cash flow information:
Cash paid for interest	74,205	2,824,032
Supplemental disclosure of non-cash investing and financing activities:
Conversion Of Redeemable Convertible Preferred Stock Into Common Stock		11,173,076
Conversion of convertible notes and accrued interest into common stock		6,748,729
Conversion of bridge notes and accrued interest into common stock		4,717,646
Issuance of common stock warrants as offering costs in connection with public offering of common stock		$ 374,400
Non-cash amounts of lease liabilities arising from obtaining right of use assets	$ 333,123

NATURE OF BUSINESS AND BASIS OF

NATURE OF BUSINESS AND BASIS OF PRESENTATION	6 Months Ended
	Jun. 30, 2022
NATURE OF BUSINESS AND BASIS OF PRESENTATION
NATURE OF BUSINESS AND BASIS OF PRESENTATION	1. NATURE OF BUSINESS AND BASIS OF PRESENTATION Business iSpecimen Inc. (“iSpecimen” or the “Company”) was incorporated in 2009 under the laws of the state of Delaware. The Company has developed and launched a proprietary online marketplace platform that connects medical researchers who need access to subjects, samples, and data, with hospitals, laboratories, and other organizations who have access to them. iSpecimen is a technology-driven company founded to address a critical challenge: how to connect life science researchers who need human biofluids, tissues, and living cells (“biospecimens”) for their research, with biospecimens available (but not easily accessible) in healthcare provider organizations worldwide. The Company’s proprietary platform, the iSpecimen Marketplace platform, is designed to solve this problem and transform the biospecimen procurement process to accelerate medical discovery. The Company is headquartered in Lexington, Massachusetts and its principal market is North America. The Company operates as one operating Basis of Presentation The accompanying unaudited condensed financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) as determined by Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) for interim financial information, and, pursuant to the rules and regulations of Article 10 of Regulation S-X of the Securities Act of 1933, as amended (the “Securities Act”), published by the Securities and Exchange Commission (“SEC”) for interim financial statements. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, the unaudited condensed financial statements reflect all adjustments, which include only normal recurring adjustments necessary for the fair statement of the balances and results of operations for the periods presented. They may not include all of the information and footnotes required by GAAP for complete financial statements. Therefore, these unaudited condensed financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto contained in the Company’s annual report on Form 10-K for the year ended December 31, 2021 and the Company’s financial statements and notes thereto contained in the Company’s quarterly report on Form 10-Q for the quarter ended March 31, 2022. Liquidity and Going Concern The Company has recognized recurring losses and as of June 30, 2022, the Company had working capital of $25,101,782, an accumulated deficit of $43,009,953, cash of $23,691,175 and accounts payable and accrued expenses of $1,067,282. Management believes that the Company's existing cash, which include the net proceeds from the Company’s initial public offering in June 2021 (the “IPO”) , the Term Loan (defined below), and the PIPE (defined below) will allow the Company to continue its operations for at least the next 12 months from the date these unaudited condensed financial statements are issued and therefore the conditions raising substantial doubt raised in prior periods have been alleviated. As a result of recurring losses, the continued viability of the Company beyond August 2023 may be dependent on its ability to continue to raise additional capital to finance its operations. Impact of the COVID-19 Pandemic on the Company’s Operations In December 2019, the novel coronavirus SARS-Cov2, or COVID-19 outbreak, was reported to have surfaced in China. On January 30, 2020, the World Health Organization (“WHO”) announced a global health emergency due to the risks to the international community as the virus spread globally beyond its point of origin. In March 2020, the WHO classified the COVID-19 outbreak as a pandemic, based on the rapid increase in exposure globally. The Company is subject to the risks arising from the COVID-19 outbreak’s social and economic impacts on the healthcare services industry. The Company’s management believes that the social and economic impacts could have an impact on future financial condition, liquidity, and results of operations, which include but are not limited to the following: (i) restrictions on in-person activities arising from shelter-in-place, or similar isolation orders; (ii) inability to source specimens from the Company’s suppliers arising from shelter-in-place, or similar isolation orders; (iii) reduced capacity if personnel are infected or quarantined; (iv) decline in researcher demand for specimens; and (v) deteriorating economic conditions, such as increased unemployment rates and recessionary conditions. Given the evolution of the COVID-19 outbreak and the global responses to curb its spread, the Company expects this matter to continue to have an impact on its results of operations, financial condition, and liquidity. However, the extent of the financial impact and the duration cannot be reasonably estimated at this time. The Company will continue to monitor and evaluate the ongoing COVID-19 pandemic and will work to respond appropriately to the impact of COVID-19 on its business, as well as its customers’ and suppliers’ businesses. Impact of the Russian-Ukrainian War The Company’s business was negatively impacted during the first quarter of 2022 by the ongoing war between Russia and Ukraine. At the start of the war, the Company had approximately $1 million of purchase orders that were slated to be fulfilled by the Company’s supply network in Ukraine and Russia. This supply network shut down quickly at the start of the war. Ukrainian suppliers were disabled due to war conditions and evacuations and Russian suppliers were disabled by sanctions. While the Company mobilized to shift these purchase orders to other suppliers in the network, the process of getting specimen collections from other supply sites took time, which caused a delay in the fulfillment of such purchase orders. As of June 30, 2022, the Company continued to be negatively impacted by this war. The Company’s supply sites in Russia remain inaccessible due to sanctions and while the Company’s supply sites in Ukraine have mostly reopened, they are operating at a limited capacity. Additionally, due to the uncertainty caused by the ongoing war, Ukraine suppliers may again become inaccessible to the Company. Therefore, as long as the uncertainty continues, the Company will not use them as sole specimen sources at a purchase order level. Alternate suppliers may not have the same favorable unit economics or specimen collection rates. The short and long-term implications of the war are difficult to predict at this time. The imposition of sanctions and counter sanctions may have an adverse effect on the economic markets generally and could impact the Company’s business and the businesses of the Company’s supply partners, especially those in Ukraine and Russia. Because of the highly uncertain and dynamic nature of these events, it is not currently possible to estimate the impact of the war on the Company’s business and the companies from which the Company obtains supplies and distributes specimens.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. The Company’s significant accounting policies and recent accounting standards are summarized in Note 2 of the Company’s annual report on Form 10-K for the year ended December 31, 2021. There were no significant changes to these accounting policies during the six months ended June 30, 2022. Use of Estimates The preparation of the Company’s unaudited condensed financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company utilizes certain estimates in the determination of the fair value of its common stock and warrants, deferred tax valuation allowances, revenue recognition, share-based compensation, and accrued expenses amongst others. The Company bases its estimates on historical experience and other market-specific or other relevant assumptions that it believes to be reasonable under the circumstances. Actual results could differ from such estimates. Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measures, the following hierarchy prioritizes the inputs to valuation methodologies used to measure fair value: ● Level 1 — Valuations based on quoted prices for identical assets and liabilities in active markets. ● Level 2 — Valuations based on observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. ● Level 3 — Valuations based on unobservable inputs reflecting the Company’s own assumptions, consistent with reasonably available assumptions made by other market participants. These valuations require significant judgment. For certain financial instruments, including cash, accounts receivable, and accounts payable, the carrying amounts approximate their fair values as of June 30, 2022 and December 31, 2021 because of their short-term nature. Revenue Recognition and Accounts Receivable The Company recognizes revenue using the five-step approach as follows: (1) identify the contract with the customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract and (5) recognize revenue when (or as) the Company satisfies the performance obligations. The Company generates revenue by procuring various specimens from hospitals, laboratories, and other supply sites, for the Company’s medical research customers using the Company’s proprietary software, the iSpecimen Marketplace, to identify, locate, and ultimately validate the required specimens to the Company’s customers’ requested specifications. The Company’s performance obligation is to procure a specimen meeting the customer’s specification(s) from a supplier, on a “best efforts” basis, for the Company’s customer at the agreed price per specimen as indicated in the customer’s contract with the Company. The Company does not currently charge suppliers or customers for the use of the Company’s proprietary software. Each customer will execute a material and data use agreement with the Company or agrees to online purchase terms, each of which includes terms such as specimen and data use, shipment terms, payment and cancellation terms. These are then supplemented by purchase orders that specify specimen requirements including detailed inclusion/exclusion criteria, quantities to be collected, and pricing. Collectively, these customer agreements represent the Company’s contracts with its customer. Generally, contracts have fixed unit pricing. For certain specimen orders, a refundable customer deposit may be required prior to order fulfillment depending on project set-up requirements which is presented as deferred revenue. The Company expects to recognize the deferred revenue within the next twelve months. Specimen collections occur at supply sites within the Company’s network. “Collection” is when the specimen has been removed, or “collected” from the patient or donor. A specimen is often collected specifically for a particular Company order. Once collected, the specimen is assigned by the supplier to the Company and control of the specimen passes to the Company. “Accession” is the process whereby a collected specimen and associated data are registered and assigned in the iSpecimen Marketplace to a particular customer order, which can occur while a specimen is at the supplier site or while at the Company site and it is when control of the specimen passes to the customer. Suppliers may ship specimens to the Company or directly to the customer if specimens must be delivered within a short time period (less than 24 hours after collection) or shipping to the Company is not practical. The Company has evaluated principal versus agent considerations as part of the Company’s revenue recognition policy. The Company has concluded that it acts as principal in the arrangement as it manages the procurement process from beginning to end and determines which suppliers will be used to fulfill an order, usually take physical possession of the specimens, set prices for the specimens, and bear the responsibility for customer credit risk. The Company recognizes revenue over time, as the Company has created an asset with no alternative use to the Company which has an enforceable right to payment for performance completed to date. At contract inception, the Company reviews a contract, and related order upon receipt, to determine if the specimen ordered has an alternative use by the Company. Generally, specimens ordered do not have an alternative future use to the Company and the performance obligation is satisfied when the related specimens are accessioned. The Company uses an output method to recognize revenue for specimens with no alternative future use. The output is measured based on the number of specimens accessioned. In the rare circumstances where specimens do have an alternative future use, the Company's performance obligation is satisfied at the time of shipment. Customers are typically invoiced upon shipment. Depending on the quantity of specimens ordered, it may take several accounting periods to completely fulfill a purchase order. In other words, there can be multiple invoices issued for a single purchase order, reflecting the specimens being accessioned over time. However, specimens are generally shipped as soon as possible after they have been accessioned. Once a specimen that has no alternative future use, and for which the Company has an enforceable right to payment, has been accessioned, the Company records the offset to revenue in accounts receivable -- unbilled. Once the specimen has been shipped and invoiced, a reclassification is made from accounts receivable -- unbilled to accounts receivable. Customers are generally given fourteen days from the receipt of specimens to inspect the specimens to ensure compliance with specifications set forth in the purchase order documentation. Customers are entitled to either receive replacement specimens or receive reimbursement of payments made for such specimens. The Company has a nominal history of returns for nonacceptance of specimens delivered. When this has occurred, the Company has given the customer a credit for the returns. The Company has not recorded a returns allowance. The following table summarizes the Company’s revenue for the following periods: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended June 30, ​ Six months ended June 30, ​ 2022 2021 2022 2021 Specimens – contracts with customers ​ $ 2,207,820 ​ $ 2,829,214 ​ $ 4,580,206 ​ $ 5,776,509 Shipping and other ​ 130,868 ​ 74,662 ​ ​ 277,142 ​ ​ 91,174 Revenue ​ $ 2,338,688 ​ $ 2,903,876 ​ $ 4,857,348 ​ $ 5,867,683 ​ The Company carries its accounts receivable at the invoiced amount less an allowance for doubtful accounts. On a periodic basis, the Company evaluates its accounts receivable to determine if an allowance for doubtful accounts is necessary, based on economic conditions and each customer’s payment history. Receivables are written off when deemed uncollectible, with any future recoveries recorded as income when received. As of June 30, 2022 and December 31, 2021, the Company had an allowance for doubtful accounts of $289,207 and $269,170, respectively. The Company applies the practical expedient to account for shipping and handling activities as fulfillment cost rather than as a separate performance obligation. Shipping and handling costs incurred are included in cost of revenue. Internally Developed Software, Net The Company capitalizes certain internal and external costs incurred during the application development stage of internal-use software projects until the software is ready for its intended use. Amortization of the asset commences when the software is complete and placed into service and is recorded in operating expenses. The Company amortizes completed internal-use software over its estimated useful life of five years on a straight-line basis. Costs incurred during the planning, training and post-implementation stages of the software development life cycle are classified as technology costs and are expensed to operations as incurred. Impairment of Long-Lived Assets Management reviews long-lived assets for impairment when circumstances indicate the carrying amount of an asset may not be recoverable. An impairment loss is recognized when expected cash flows are less than the asset’s carrying value. Long-lived assets consist of property and equipment and internal-use software. No impairment charges were recorded for the six months ended June 30, 2022 and 2021. Stock-Based Compensation The Company records stock-based compensation for options granted to employees, non-employees, and to members of the board of directors for their services on the board of directors based on the grant date fair value of awards issued, and the expense is recorded on a straight-line basis over the requisite service period. Forfeitures are recognized when they occur. The Company uses the Black-Scholes-Merton option pricing model to determine the fair value of stock options. The use of the Black-Scholes-Merton option pricing model requires management to make assumptions with respect to the expected term of the option, the expected volatility of the common stock consistent with the expected life of the option, risk-free interest rates and expected dividend yields of the common stock. The Company has concluded that its historical share option exercise experience does not provide a reasonable basis upon which to estimate expected term. Therefore, the expected term was determined according to the simplified method, which is the average of the vesting tranche dates and the contractual term. Due to the lack of Company-specific historical and implied volatility data, the estimate of expected volatility is primarily based on the historical volatility of a group of similar companies that are publicly traded. For these analyses, companies with comparable characteristics are selected, including enterprise value and position within the industry, and with historical share price information sufficient to meet the expected life of the stock-based awards. The Company computes the historical volatility data using the daily closing prices for the selected companies’ shares during the equivalent period of the calculated expected term of its share-based awards. The risk-free interest rate is determined by reference to U.S. Treasury zero-coupon issues with remaining maturities similar to the expected term of the options. The Company has not paid, and does not anticipate paying, cash dividends on shares of its common stock. The fair value of the Company's common stock is equal to the closing price on the specified grant date. Restricted Stock Units The Company recognizes share-based compensation expense from restricted stock units (the “RSUs”) ratably over the specified vesting period. The fair value of RSUs is determined to be the closing share price of the Company's common stock on the grant date. Common Stock Warrants The Company accounts for common stock warrants as either equity instruments or liabilities, depending on the specific terms of the warrant agreement. The warrants shall be classified as a liability if 1) the underlying shares are classified as liabilities or 2) the entity can be required under any circumstances to settle the warrant by transferring cash or other assets. The measurement of equity-classified nonemployee share-based payments is generally fixed on the grant date and are considered compensatory. For additional discussion on warrants, see Note 7. Net Loss Per Share Basic net loss per share is calculated by dividing net loss applicable to common stockholders by the weighted- average number of shares outstanding during the period, without consideration for common stock equivalents. Diluted net loss per share is calculated by adjusting the weighted-average number of shares outstanding for the dilutive effect of common stock equivalents outstanding for the period, determined using the treasury-stock method. For purposes of the diluted net loss per share calculation, the potential impact of shares to be issued upon conversion of Series A, Series A-1 and Series B preferred stock, stock options, and warrants to purchase common stock are considered to be common stock equivalents but have been excluded from the calculation of diluted net loss per share, as their effect would be anti-dilutive for all periods presented. Therefore, basic and diluted net loss per share applicable to common stockholders were the same for all periods presented. The table below provides common stock equivalents excluded from diluted net loss per share as of June 30: ​ ​ ​ ​ ​ ​ ​ 2022 2021 Shares issuable upon vesting of RSUs ​ 367,118 ​ — Shares issuable upon exercise of stock options ​ 171,154 ​ 224,914 Shares issuable upon exercise of PIPE Warrant to purchase common stock ​ 1,312,500 ​ — Shares issuable upon exercise of Lender Warrant to purchase common stock ​ 12,500 ​ — Shares issuable upon exercise of Underwriter Warrants to purchase common stock ​ 90,000 ​ 90,000 Shares issuable upon exercise of warrants to purchase common stock ​ — ​ 23,309 ​ Recently Adopted Accounting Standards In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which modifies ASC 740 to reduce complexity while maintaining or improving the usefulness of the information provided to users of financial statements. ASU 2019-12 is effective for the Company for interim and annual reporting periods beginning after December 15, 2021. The Company adopted this new standard as of January 1, 2022, but it did not have a material impact on the Company’s financial statements. In February 2016, the FASB established Topic 842, Leases, by issuing ASU No. 2016-02 (“ASU 2016-02”), which requires lessees to recognize leases on balance sheet and disclose key information about leasing arrangements. The new standard establishes a right-of-use model (“ROU”) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases are classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. ​ In June 2020, the FASB issued ASU No. 2020-05 (“ASU 2020-05”) which pushed back the effective date of the adoption of ASC 842 one year for private and not-for-profit entities that did not issue or serve as conduit bond obligors and had not yet adopted the standard. The new effective date was for fiscal year periods beginning after December 15, 2021. ​ The Company adopted ASU 2016-02 effective January 1, 2022 using the Comparatives Under 840 transition method whereby the Company will continue to present prior period financial statements and disclosures under ASC 840. In addition, the Company elected the transition package of three practical expedients permitted within the standard, among other practical expedients which allowed the Company to carry forward prior conclusions about lease identification and classification which allows not separating lease and non-lease components and allows not recording leases with an initial term of twelve months or less on the balance sheet across all existing asset classes. ​ The a doption of the new standard resulted in the balance sheet recognition of additional assets of $333,000 and lease liabilities of approximately $333,000 .

PROPERTY AND EQUIPMENT, NET

PROPERTY AND EQUIPMENT, NET	6 Months Ended
	Jun. 30, 2022
PROPERTY AND EQUIPMENT, NET
PROPERTY AND EQUIPMENT, NET	3. Property and equipment, net consisted of the following at the dates indicated: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ June 30, ​ December 31, ​ 2022 2021 ​ ​ (unaudited) ​ ​ ​ Website ​ $ 107,927 ​ $ 107,927 Computer equipment and purchased software ​ 84,588 ​ 84,588 Equipment ​ 35,449 ​ 35,449 Furniture and fixtures ​ 87,184 ​ 87,184 Leasehold improvements ​ 24,935 ​ 24,935 Total property and equipment ​ 340,083 ​ 340,083 Accumulated depreciation ​ (316,435) ​ (307,302) Total property and equipment, net ​ $ 23,648 ​ $ 32,781 ​ Depreciation expense for property and equipment was $4,420 and $11,130 for the three months ended June 30, 2022 and 2021, respectively, and $9,132 and $22,260 for the six months ended June 30, 2022 and 2021, respectively.

INTERNALLY DEVELOPED SOFTWARE,

INTERNALLY DEVELOPED SOFTWARE, NET	6 Months Ended
	Jun. 30, 2022
INTERNALLY DEVELOPED SOFTWARE, NET
INTERNALLY DEVELOPED SOFTWARE, NET	4. During the six months ended June 30, 2022 and 2021, the Company capitalized $777,181 and $440,331, respectively, of internally developed software costs in connection with the development and continued enhancement of the technology platform and web interfaces. Capitalized costs primarily consist of software costs, payroll and payroll-related costs for the Company’s employees. The Company recognized $266,893 and $236,355 of amortization expense associated with capitalized internally developed software costs during the three months ended June 30, 2022 and 2021, respectively. The Company recognized $533,112 and $471,584 of amortization expense associated with capitalized internally developed software costs during the six months ended June 30, 2022 and 2021, respectively.

DEBT

DEBT	6 Months Ended
	Jun. 30, 2022
DEBT
DEBT	5. DEBT ​ Term Loan On August 13, 2021 (the "Closing Date"), the Company entered into a Loan and Security Agreement (“Term Loan”) with Western Alliance Bank (the "Lender") in the amount of $3,500,000 for working capital needs. The Company has the option to request an additional advance in the amount of $1,500,000 , which the Company had not yet borrowed as of June 30, 2022. The additional advance of $1,500,000 is available to the Company during the draw period commencing on the Closing Date and ending the earlier to occur of (a) February 13, 2023, and (b) an event of default. The Term Loan bears interest at a rate equal to three-quarters of one percent ( 0.75% ) above the Prime Rate. As of June 30, 2022, the interest rate on the Term Loan was 5.50% which was equal to 0.75% above the Prime Rate of 4.75% . Interest is due and payable on the tenth (10th) calendar day of each month during the term of the Term Loan. The Term Loan principal is payable in thirty ( 30 ) equal monthly installments, plus accrued interest, beginning on March 10, 2023, and continuing on the same day of each month through August 10, 2025 (the "Term Loan Maturity Date"), at which time all amounts shall be immediately due and payable. The Company shall have the option to prepay all, but not less than all, of the outstanding loan balance, provided the Company a) delivers written notice to the financial institution of their election to prepay such Term Loan at least ten (10) days prior to such prepayment and b) pay, on the date of such prepayment, (1) all outstanding principal with respect to the Term Loan, plus accrued but unpaid interest, plus (2) all fees (including any late fee), and other sums, including bank expenses, if any, that shall have become due and payable. The Lender which holds the Term Loan is granted a security interest in substantially all assets of the Company (“Collateral”). The Term Loan contains certain covenants that the Company considers usual and customary for an agreement of this type for comparable commercial borrowers. As of June 30, 2022, the Company was in compliance with all the Term Loan covenants. The outstanding principal balance on the Term Loan was $3,500,000 as of June 30, 2022, and interest expense totaled $39,205 for the three months ended June 30, 2022 and $74,205 for the six months ended June 30, 2022. Debt issuance costs totaled $81,989, comprised of a warrant to purchase 12,500 shares of common stock issued to the Lender with a fair value of $49,072 (the "Lender Warrant"), fees of $23,066 paid to the Lender and legal costs of $9,851. Amortization of the debt issuance costs related to the Term Loan, included in interest expense on the statement of operations, totaled $3,068 for the three months ended June 30, 2022 and $6,116 for the six months ended June 30, 2022. Unamortized debt issuance costs on the Term Loan totaled $71,268 and $77,384 as of June 30, 2022 and December 31, 2021, respectively. As of June 30, 2022, future minimum payments due related to the Term Loan were as follows: ​ ​ ​ ​ ​ 2022 (remaining) ​ $ — 2023 ​ 1,166,667 2024 ​ 1,400,000 2025 ​ ​ 933,333 Total ​ ​ 3,500,000 Less debt issuance cost ​ ​ (71,268) Term Loan, net ​ $ 3,428,732 ​

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2022
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	6. Leases The Company has one operating lease of office space in Lexington, Massachusetts that will expire on February 28, 2024. Leases with an initial term of twelve months or less are not recorded on the balance sheet date, and the Company does not separate lease and non-lease components of contracts. There are no material residual guarantees associated with any of the Company’s leases, and there are no significant restrictions or covenants included in the Company’s lease agreements. The Company’s lease agreement does not provide an implicit borrowing rate. Therefore, the Company used a benchmark approach to derive an appropriate imputed discount rate. The Company benchmarked itself against other companies of similar credit ratings and comparable quality and derived an imputed rate, which was used to discount its real estate lease liabilities. The Company used estimated incremental borrowing rates for its active real estate lease. The calculated incremental borrowing rate was 5.96% , which was calculated based on remaining lease term of 1.92 years as of January 1, 2022. There was no sublease rental income for the three and six months ended June 30, 2022, and the Company is not the lessor in any lease arrangement, and there were no related-party lease agreements. ​ Undiscounted Cash Flows ​ Future lease payments included in the measurement of lease liabilities on the balance sheet are as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 (remaining) ​ $ 81,753 2023 ​ 165,254 2024 ​ 27,601 2025 ​ ​ — 2026 ​ ​ — Total future minimum lease payments ​ ​ 274,608 Less effect of discounting ​ ​ (13,853) Present value of future minimum lease payments ​ $ 260,755 ​ Rent expense for the three months ended June 30, 2022 and 2021 amounted to $44,281 and $40,353, respectively. Rent expense for the six months ended June 30, 2022 and 2021 amounted to $89,238 and $80,356, respectively. Cash Flows ​ Supplemental cash flow information related to operating lease for the six months ended June 30, 2022 was as follows: ​ ​ ​ ​ ​ Non-cash operating lease expense (operating cash flow) ​ $ 73,120 Change in operating lease liabilities (operating cash flow) ​ $ (72,367) Supplemental non-cash amounts of operating lease liabilities arising from obtaining right-of-use assets ​ $ 333,123 ​ Legal Proceedings From time to time the Company is involved in litigation, claims, and other proceedings arising in the ordinary course of business. Such litigation and other proceedings may include, but are not limited to, actions relating to employment law and misclassification, intellectual property, commercial or contractual claims, or other consumer protection statutes. Litigation and other disputes are inherently unpredictable and subject to substantial uncertainties and unfavorable resolutions could occur. As of June 30, 2022, there was no material litigation against the Company.

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	6 Months Ended
	Jun. 30, 2022
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY	7. The Company’s authorized capital is 250,000,000 shares, of which (1) 200,000,000 shares are common stock, par value $0.0001 per share and (2) 50,000,000 are preferred stock, par value $0.0001 per share, which may, at the sole discretion of the Company’s board of directors be issued in one or more series. Common Stock During the six months ended June 30, 2022, the Company issued 79,506 shares of common stock for cash exercises of options of $77,104. During the six months ended June 30, 2022, the Company issued 1,000 shares of common stock in exchange for consulting services. Warrants Underwriter Warrants In connection with the Company's underwriting agreement with ThinkEquity, a division of Fordham Financial Management, Inc. and the representative of the Company’s IPO underwriters , the Company entered into a warrant agreement to purchase up to 90,000 shares of common stock, par value $0.0001 (the "Underwriter Warrant"). The Underwriter Warrant is exercisable at a per share exercise price of $10.00 and is exercisable at any time and from time to time, in whole or in part, during the four- and one-half year period commencing 180 days from the effective date of the registration statement. The Warrant became exercisable on or after December 16, 2021 (six months from the effective date of the offering) and expires on June 15, 2026. Upon issuance of these warrants, as partial compensation for its services as an underwriter, the fair value of approximately $0.4 million was recorded as equity issuance costs in period ended December 31, 2021. As of June 30, 2022, the Underwriter Warrant had not been exercised, and had a weighted average exercise price of $10 per share and a remaining weighted average time to expiration of 3.96 years. Lender Warrant In connection with the Term Loan entered into on August 13, 2021, the Company issued a Lender Warrant to Lender to purchase 12,500 shares of common stock of the Company. The Lender Warrant is exercisable at a per share exercise price of $8.00 and is exercisable at any time on or after August 13, 2021 through August 12, 2031. The Company determined that the Lender Warrant was equity-classified. As of June 30, 2022, the Lender Warrant had not been exercised, and had a weighted average exercise price of $8 per share and a remaining weighted average time to expiration of 9.13 years. PIPE Warrants On December 1, 2021, the Company completed a private placement (the “PIPE”) in which the Company issued warrants (the “PIPE Warrants”) to purchase up to an aggregate of 1,312,500 shares of common stock. These PIPE Warrants have an exercise price of $13.00 per share and are immediately exercisable upon issuance and will expire on the five- and one-half-year anniversary of the issuance date. As of June 30, 2022, the PIPE Warrants had not been exercised, and had a weighted average exercise price of $13 per share and a remaining weighted average time to expiration of 5.01 years.

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	6 Months Ended
	Jun. 30, 2022
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION	8. As of June 30 Stock Options The Company has made no stock options grants in 2022. The following assumptions were used to estimate the fair value of stock options granted using the Black-Scholes-Merton option pricing model during the six months ended June 30: ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 ​ 2021 ​ Assumptions: ​ Risk-free interest rate — ​ 0.47% – 0.66% ​ Expected term (in years) — ​ 5.81 – 5.85 ​ Expected volatility — ​ 49.83% –49.98% ​ Expected dividend yield — ​ — ​ ​ A summary of stock option activity under the Plans is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ ​ ​ ​ ​ Average ​ ​ ​ ​ ​ ​ ​ Weighted ​ Remaining ​ ​ ​ Options ​ Average ​ Contractual Term Aggregate ​ Outstanding Exercise Price in Years Intrinsic Value Balance at December 31, 2021 255,147 ​ $ 2.32 7.75 ​ $ 1,550,409 Exercised (79,506) ​ ​ 1.04 ​ — ​ ​ 91,018 Cancelled/forfeited (4,487) ​ ​ 1.87 ​ — ​ ​ ​ Balance at June 30, 2022 171,154 ​ $ 3.50 7.79 ​ $ 120,233 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Options exercisable at June 30, 2022 151,791 ​ $ 2.08 7.10 ​ $ 131,676 ​ The aggregate intrinsic value in the table above represents the difference between the Company's stock price as of the balance sheet date and the exercise price of each in-the-money option on the last day of the period. The weighted average grant date fair value of stock options issued in the six months ended June 30, 2022 and 2021 was $0 and $1.77, respectively. The Company recorded stock options compensation expense during the three and six months ended June 30 as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, Operating expenses: ​ 2022 ​ 2021 ​ 2022 ​ ​ 2021 Technology ​ $ 1,023 ​ $ 11,878 ​ $ 2,034 ​ $ 21,102 Sales and marketing ​ ​ 1,695 ​ ​ 2,510 ​ ​ 2,772 ​ ​ 4,460 Supply development ​ 348 ​ 371 ​ 653 ​ 659 Fulfillment ​ ​ 1,055 ​ ​ 1,892 ​ ​ 1,881 ​ ​ 3,362 General and administrative ​ ​ 27,824 ​ ​ 11,723 ​ ​ 54,160 ​ ​ 20,827 Total stock options expense ​ $ 31,945 ​ $ 28,374 ​ $ 61,500 ​ $ 50,410 ​ A total of $ 179,221 of unamortized compensation expense at June 30, 2022 will be recognized over the remaining requisite service period of 1.89 years. During the six months ended June 30, 2022 and 2021, the Company received proceeds of $77,104 and $39,633 , respectively, from the exercise of stock options. 2021 Stock Incentive Plan On June 16, 2021, the Company adopted the iSpecimen Inc. 2021 Stock Incentive Plan (the “2021 Plan”). The 2021 Plan was adopted to enhance the Company’s ability to attract, retain and motivate employees, officers, directors, consultants and advisors by providing such persons with equity ownership opportunities and performance-based incentives. The 2021 Plan authorizes options, restricted stock, RSUs and other stock-based awards. The Company's board of directors, or any committee to which the board of directors delegates such authority, has the sole discretion in administering, interpreting, amending or accelerating the 2021 Plan. Awards may be made under the 2021 Plan for up to 608,000 shares of the Company's common stock, and the 2021 Plan was made effective with the completion of the IPO. During the three and six months ended June 30, 2022, 155,793 and 166,793 equity awards were issued under the 2021 Plan, respectively. No equity awards were issued from the 2021 Plan during the six months ended June 30, 2021. Restricted Stock Units Total recognition of RSUs expense was as follows in 2022: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months ​ Six Months ​ ​ Ended June 30, ​ Ended June 30, Operating expenses: ​ ​ ​ ​ ​ ​ Technology ​ $ 25,198 ​ $ 38,598 Sales and marketing ​ ​ 26,092 ​ ​ 40,259 Supply development ​ ​ 10,948 ​ ​ 18,145 Fulfillment ​ ​ 24,330 ​ ​ 37,960 General and administrative ​ ​ 110,835 ​ ​ 217,077 Total RSU expense ​ $ 197,403 ​ $ 352,039 ​ During the six months ended June 30, 2022, the Company granted 166,793 RSUs to employees. These RSUs are subject to a one-year cliff vesting, with 25% of the RSUs vesting on the first anniversary of issuance. The remaining RSUs vest quarterly over a three-year period. As of June 30, 2022, unrecognized stock-based compensation expense related to the unvested employee RSUs was $1,291,297 , which the Company expects to recognize on a straight-line basis over a weighted average period of approximately 3.53 years. During the six months ended June 30, 2021, there were no RSUs issued. During July 2021, the Company granted 189,396 RSUs to members of the executive team. Stock compensation expense of $79,832 and $158,787 was recorded in general and administrative expense for the three and six months ended June 30, 2022, respectively. These RSUs are subject to a four-year vesting period, with 20% of the RSUs vesting immediately upon issuance. The remaining RSUs vest annually over a four-year period. As of June 30, 2022, unrecognized stock-based compensation expense related to the unvested RSUs was $647,429 which the Company expects to recognize on a straight-line basis over a weighted average period of approximately 2.98 years. During July 2021, the Company granted 12,500 RSUs to its directors. Stock compensation expense of $19,571 and $38,927 was recorded in general and administrative expense for the three and six months ended June 30, 2022, respectively. These RSUs vest quarterly over a one-year period. As of June 30, 2022, unrecognized stock-based compensation expense related to these unvested RSUs was $6,452 which the Company expects to recognize on a straight-line basis over a weighted average period of approximately 0.08 years. A summary of RSUs activity under the 2021 Plan is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ RSUs ​ Average Grant ​ Outstanding ​ Date Fair Value Unvested Balance at December 31, 2021 282,417 ​ $ 6.78 Granted 166,793 ​ ​ 4.31 Vested (59,726) ​ ​ 6.34 Forfeited (22,366) ​ ​ 5.03 Unvested Balance at June 30, 2022 367,118 ​ $ 5.80 ​ Performance Stock Units During July 2021, the Company issued 47,349 performance stock units (“PSUs”) to four members of the executive team pursuant to each executive's employment agreement executed in connection with the IPO. The PSUs are subject to certain performance obligations relating to certain revenue and cost of revenue metrics to be determined at the beginning of each fiscal year within the four year vesting period. In year one of the four-year vesting period, the Company was not able to predict the likelihood of achieving the targets pursuant to the metrics in each of the executives' employment agreements, and therefore no stock compensation expense was recognized for the six months ended June 30, 2022.

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2022
INCOME TAXES
INCOME TAXES	9. As of June 30, 2022 and December 31, 2021, the Company had federal net operating loss carryforwards of approximately $35,800,000 and $30,300,000, respectively, of which approximately $13,000,000 and $13,000,000, respectively, expire at various periods through 2037 and approximately $24,800,000 and $17,300,000, respectively, can be carried forward indefinitely. As of June 30, 2022 and December 31, 2021, the Company had state net operating loss carryforwards of approximately $24,700,000 and $22,400,000 that expire at various periods through 2043, respectively. At June 30, 2022 and December 31, 2021, the Company had federal and state tax credits of approximately $970,000 and $850,000 available for future periods that expire at various periods through 2042. The Company has recorded a full valuation allowance against net deferred income tax assets due to a history of losses generated since inception.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Use of Estimates	Use of Estimates The preparation of the Company’s unaudited condensed financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company utilizes certain estimates in the determination of the fair value of its common stock and warrants, deferred tax valuation allowances, revenue recognition, share-based compensation, and accrued expenses amongst others. The Company bases its estimates on historical experience and other market-specific or other relevant assumptions that it believes to be reasonable under the circumstances. Actual results could differ from such estimates.
Fair Value Measurements	Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measures, the following hierarchy prioritizes the inputs to valuation methodologies used to measure fair value: ● Level 1 — Valuations based on quoted prices for identical assets and liabilities in active markets. ● Level 2 — Valuations based on observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. ● Level 3 — Valuations based on unobservable inputs reflecting the Company’s own assumptions, consistent with reasonably available assumptions made by other market participants. These valuations require significant judgment. For certain financial instruments, including cash, accounts receivable, and accounts payable, the carrying amounts approximate their fair values as of June 30, 2022 and December 31, 2021 because of their short-term nature.
Revenue Recognition and Accounts Receivable	Revenue Recognition and Accounts Receivable The Company recognizes revenue using the five-step approach as follows: (1) identify the contract with the customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract and (5) recognize revenue when (or as) the Company satisfies the performance obligations. The Company generates revenue by procuring various specimens from hospitals, laboratories, and other supply sites, for the Company’s medical research customers using the Company’s proprietary software, the iSpecimen Marketplace, to identify, locate, and ultimately validate the required specimens to the Company’s customers’ requested specifications. The Company’s performance obligation is to procure a specimen meeting the customer’s specification(s) from a supplier, on a “best efforts” basis, for the Company’s customer at the agreed price per specimen as indicated in the customer’s contract with the Company. The Company does not currently charge suppliers or customers for the use of the Company’s proprietary software. Each customer will execute a material and data use agreement with the Company or agrees to online purchase terms, each of which includes terms such as specimen and data use, shipment terms, payment and cancellation terms. These are then supplemented by purchase orders that specify specimen requirements including detailed inclusion/exclusion criteria, quantities to be collected, and pricing. Collectively, these customer agreements represent the Company’s contracts with its customer. Generally, contracts have fixed unit pricing. For certain specimen orders, a refundable customer deposit may be required prior to order fulfillment depending on project set-up requirements which is presented as deferred revenue. The Company expects to recognize the deferred revenue within the next twelve months. Specimen collections occur at supply sites within the Company’s network. “Collection” is when the specimen has been removed, or “collected” from the patient or donor. A specimen is often collected specifically for a particular Company order. Once collected, the specimen is assigned by the supplier to the Company and control of the specimen passes to the Company. “Accession” is the process whereby a collected specimen and associated data are registered and assigned in the iSpecimen Marketplace to a particular customer order, which can occur while a specimen is at the supplier site or while at the Company site and it is when control of the specimen passes to the customer. Suppliers may ship specimens to the Company or directly to the customer if specimens must be delivered within a short time period (less than 24 hours after collection) or shipping to the Company is not practical. The Company has evaluated principal versus agent considerations as part of the Company’s revenue recognition policy. The Company has concluded that it acts as principal in the arrangement as it manages the procurement process from beginning to end and determines which suppliers will be used to fulfill an order, usually take physical possession of the specimens, set prices for the specimens, and bear the responsibility for customer credit risk. The Company recognizes revenue over time, as the Company has created an asset with no alternative use to the Company which has an enforceable right to payment for performance completed to date. At contract inception, the Company reviews a contract, and related order upon receipt, to determine if the specimen ordered has an alternative use by the Company. Generally, specimens ordered do not have an alternative future use to the Company and the performance obligation is satisfied when the related specimens are accessioned. The Company uses an output method to recognize revenue for specimens with no alternative future use. The output is measured based on the number of specimens accessioned. In the rare circumstances where specimens do have an alternative future use, the Company's performance obligation is satisfied at the time of shipment. Customers are typically invoiced upon shipment. Depending on the quantity of specimens ordered, it may take several accounting periods to completely fulfill a purchase order. In other words, there can be multiple invoices issued for a single purchase order, reflecting the specimens being accessioned over time. However, specimens are generally shipped as soon as possible after they have been accessioned. Once a specimen that has no alternative future use, and for which the Company has an enforceable right to payment, has been accessioned, the Company records the offset to revenue in accounts receivable -- unbilled. Once the specimen has been shipped and invoiced, a reclassification is made from accounts receivable -- unbilled to accounts receivable. Customers are generally given fourteen days from the receipt of specimens to inspect the specimens to ensure compliance with specifications set forth in the purchase order documentation. Customers are entitled to either receive replacement specimens or receive reimbursement of payments made for such specimens. The Company has a nominal history of returns for nonacceptance of specimens delivered. When this has occurred, the Company has given the customer a credit for the returns. The Company has not recorded a returns allowance. The following table summarizes the Company’s revenue for the following periods: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended June 30, ​ Six months ended June 30, ​ 2022 2021 2022 2021 Specimens – contracts with customers ​ $ 2,207,820 ​ $ 2,829,214 ​ $ 4,580,206 ​ $ 5,776,509 Shipping and other ​ 130,868 ​ 74,662 ​ ​ 277,142 ​ ​ 91,174 Revenue ​ $ 2,338,688 ​ $ 2,903,876 ​ $ 4,857,348 ​ $ 5,867,683 ​ The Company carries its accounts receivable at the invoiced amount less an allowance for doubtful accounts. On a periodic basis, the Company evaluates its accounts receivable to determine if an allowance for doubtful accounts is necessary, based on economic conditions and each customer’s payment history. Receivables are written off when deemed uncollectible, with any future recoveries recorded as income when received. As of June 30, 2022 and December 31, 2021, the Company had an allowance for doubtful accounts of $289,207 and $269,170, respectively. The Company applies the practical expedient to account for shipping and handling activities as fulfillment cost rather than as a separate performance obligation. Shipping and handling costs incurred are included in cost of revenue.
Internally Developed Software, Net	Internally Developed Software, Net The Company capitalizes certain internal and external costs incurred during the application development stage of internal-use software projects until the software is ready for its intended use. Amortization of the asset commences when the software is complete and placed into service and is recorded in operating expenses. The Company amortizes completed internal-use software over its estimated useful life of five years on a straight-line basis. Costs incurred during the planning, training and post-implementation stages of the software development life cycle are classified as technology costs and are expensed to operations as incurred.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets Management reviews long-lived assets for impairment when circumstances indicate the carrying amount of an asset may not be recoverable. An impairment loss is recognized when expected cash flows are less than the asset’s carrying value. Long-lived assets consist of property and equipment and internal-use software. No impairment charges were recorded for the six months ended June 30, 2022 and 2021.
Share-Based Compensation	Stock-Based Compensation The Company records stock-based compensation for options granted to employees, non-employees, and to members of the board of directors for their services on the board of directors based on the grant date fair value of awards issued, and the expense is recorded on a straight-line basis over the requisite service period. Forfeitures are recognized when they occur. The Company uses the Black-Scholes-Merton option pricing model to determine the fair value of stock options. The use of the Black-Scholes-Merton option pricing model requires management to make assumptions with respect to the expected term of the option, the expected volatility of the common stock consistent with the expected life of the option, risk-free interest rates and expected dividend yields of the common stock. The Company has concluded that its historical share option exercise experience does not provide a reasonable basis upon which to estimate expected term. Therefore, the expected term was determined according to the simplified method, which is the average of the vesting tranche dates and the contractual term. Due to the lack of Company-specific historical and implied volatility data, the estimate of expected volatility is primarily based on the historical volatility of a group of similar companies that are publicly traded. For these analyses, companies with comparable characteristics are selected, including enterprise value and position within the industry, and with historical share price information sufficient to meet the expected life of the stock-based awards. The Company computes the historical volatility data using the daily closing prices for the selected companies’ shares during the equivalent period of the calculated expected term of its share-based awards. The risk-free interest rate is determined by reference to U.S. Treasury zero-coupon issues with remaining maturities similar to the expected term of the options. The Company has not paid, and does not anticipate paying, cash dividends on shares of its common stock. The fair value of the Company's common stock is equal to the closing price on the specified grant date. Restricted Stock Units The Company recognizes share-based compensation expense from restricted stock units (the “RSUs”) ratably over the specified vesting period. The fair value of RSUs is determined to be the closing share price of the Company's common stock on the grant date.
Common Stock Warrants	Common Stock Warrants The Company accounts for common stock warrants as either equity instruments or liabilities, depending on the specific terms of the warrant agreement. The warrants shall be classified as a liability if 1) the underlying shares are classified as liabilities or 2) the entity can be required under any circumstances to settle the warrant by transferring cash or other assets. The measurement of equity-classified nonemployee share-based payments is generally fixed on the grant date and are considered compensatory. For additional discussion on warrants, see Note 7.
Net Loss Per Share	Net Loss Per Share Basic net loss per share is calculated by dividing net loss applicable to common stockholders by the weighted- average number of shares outstanding during the period, without consideration for common stock equivalents. Diluted net loss per share is calculated by adjusting the weighted-average number of shares outstanding for the dilutive effect of common stock equivalents outstanding for the period, determined using the treasury-stock method. For purposes of the diluted net loss per share calculation, the potential impact of shares to be issued upon conversion of Series A, Series A-1 and Series B preferred stock, stock options, and warrants to purchase common stock are considered to be common stock equivalents but have been excluded from the calculation of diluted net loss per share, as their effect would be anti-dilutive for all periods presented. Therefore, basic and diluted net loss per share applicable to common stockholders were the same for all periods presented. The table below provides common stock equivalents excluded from diluted net loss per share as of June 30: ​ ​ ​ ​ ​ ​ ​ 2022 2021 Shares issuable upon vesting of RSUs ​ 367,118 ​ — Shares issuable upon exercise of stock options ​ 171,154 ​ 224,914 Shares issuable upon exercise of PIPE Warrant to purchase common stock ​ 1,312,500 ​ — Shares issuable upon exercise of Lender Warrant to purchase common stock ​ 12,500 ​ — Shares issuable upon exercise of Underwriter Warrants to purchase common stock ​ 90,000 ​ 90,000 Shares issuable upon exercise of warrants to purchase common stock ​ — ​ 23,309
Recently Adopted Accounting Standards	Recently Adopted Accounting Standards In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which modifies ASC 740 to reduce complexity while maintaining or improving the usefulness of the information provided to users of financial statements. ASU 2019-12 is effective for the Company for interim and annual reporting periods beginning after December 15, 2021. The Company adopted this new standard as of January 1, 2022, but it did not have a material impact on the Company’s financial statements. In February 2016, the FASB established Topic 842, Leases, by issuing ASU No. 2016-02 (“ASU 2016-02”), which requires lessees to recognize leases on balance sheet and disclose key information about leasing arrangements. The new standard establishes a right-of-use model (“ROU”) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases are classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. ​ In June 2020, the FASB issued ASU No. 2020-05 (“ASU 2020-05”) which pushed back the effective date of the adoption of ASC 842 one year for private and not-for-profit entities that did not issue or serve as conduit bond obligors and had not yet adopted the standard. The new effective date was for fiscal year periods beginning after December 15, 2021. ​ The Company adopted ASU 2016-02 effective January 1, 2022 using the Comparatives Under 840 transition method whereby the Company will continue to present prior period financial statements and disclosures under ASC 840. In addition, the Company elected the transition package of three practical expedients permitted within the standard, among other practical expedients which allowed the Company to carry forward prior conclusions about lease identification and classification which allows not separating lease and non-lease components and allows not recording leases with an initial term of twelve months or less on the balance sheet across all existing asset classes. ​ The a doption of the new standard resulted in the balance sheet recognition of additional assets of $333,000 and lease liabilities of approximately $333,000 .

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	6 Months Ended
	Jun. 30, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Summary of entity's revenue	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three months ended June 30, ​ Six months ended June 30, ​ 2022 2021 2022 2021 Specimens – contracts with customers ​ $ 2,207,820 ​ $ 2,829,214 ​ $ 4,580,206 ​ $ 5,776,509 Shipping and other ​ 130,868 ​ 74,662 ​ ​ 277,142 ​ ​ 91,174 Revenue ​ $ 2,338,688 ​ $ 2,903,876 ​ $ 4,857,348 ​ $ 5,867,683
Summary of total shares outstanding	​ ​ ​ ​ ​ ​ ​ 2022 2021 Shares issuable upon vesting of RSUs ​ 367,118 ​ — Shares issuable upon exercise of stock options ​ 171,154 ​ 224,914 Shares issuable upon exercise of PIPE Warrant to purchase common stock ​ 1,312,500 ​ — Shares issuable upon exercise of Lender Warrant to purchase common stock ​ 12,500 ​ — Shares issuable upon exercise of Underwriter Warrants to purchase common stock ​ 90,000 ​ 90,000 Shares issuable upon exercise of warrants to purchase common stock ​ — ​ 23,309

PROPERTY AND EQUIPMENT, NET (Ta

PROPERTY AND EQUIPMENT, NET (Tables)	6 Months Ended
	Jun. 30, 2022
PROPERTY AND EQUIPMENT, NET
Summary of property and equipment, net	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ June 30, ​ December 31, ​ 2022 2021 ​ ​ (unaudited) ​ ​ ​ Website ​ $ 107,927 ​ $ 107,927 Computer equipment and purchased software ​ 84,588 ​ 84,588 Equipment ​ 35,449 ​ 35,449 Furniture and fixtures ​ 87,184 ​ 87,184 Leasehold improvements ​ 24,935 ​ 24,935 Total property and equipment ​ 340,083 ​ 340,083 Accumulated depreciation ​ (316,435) ​ (307,302) Total property and equipment, net ​ $ 23,648 ​ $ 32,781

DEBT (Tables)

DEBT (Tables)	6 Months Ended
	Jun. 30, 2022
DEBT
Schedule of future minimum payments	​ ​ ​ ​ ​ 2022 (remaining) ​ $ — 2023 ​ 1,166,667 2024 ​ 1,400,000 2025 ​ ​ 933,333 Total ​ ​ 3,500,000 Less debt issuance cost ​ ​ (71,268) Term Loan, net ​ $ 3,428,732

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	6 Months Ended
	Jun. 30, 2022
COMMITMENTS AND CONTINGENCIES
Schedule of Future lease payment - Undiscounted Cash Flows	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 (remaining) ​ $ 81,753 2023 ​ 165,254 2024 ​ 27,601 2025 ​ ​ — 2026 ​ ​ — Total future minimum lease payments ​ ​ 274,608 Less effect of discounting ​ ​ (13,853) Present value of future minimum lease payments ​ $ 260,755
Schedule of Cash Flows informations	​ ​ ​ ​ ​ Non-cash operating lease expense (operating cash flow) ​ $ 73,120 Change in operating lease liabilities (operating cash flow) ​ $ (72,367) Supplemental non-cash amounts of operating lease liabilities arising from obtaining right-of-use assets ​ $ 333,123

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	6 Months Ended
	Jun. 30, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Summary of assumptions used to estimate the fair value of stock options granted using the Black-Scholes-Merton option pricing model	​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 ​ 2021 ​ Assumptions: ​ Risk-free interest rate — ​ 0.47% – 0.66% ​ Expected term (in years) — ​ 5.81 – 5.85 ​ Expected volatility — ​ 49.83% –49.98% ​ Expected dividend yield — ​ — ​
Schedule of summary of stock option activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ ​ ​ ​ ​ Average ​ ​ ​ ​ ​ ​ ​ Weighted ​ Remaining ​ ​ ​ Options ​ Average ​ Contractual Term Aggregate ​ Outstanding Exercise Price in Years Intrinsic Value Balance at December 31, 2021 255,147 ​ $ 2.32 7.75 ​ $ 1,550,409 Exercised (79,506) ​ ​ 1.04 ​ — ​ ​ 91,018 Cancelled/forfeited (4,487) ​ ​ 1.87 ​ — ​ ​ ​ Balance at June 30, 2022 171,154 ​ $ 3.50 7.79 ​ $ 120,233 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Options exercisable at June 30, 2022 151,791 ​ $ 2.08 7.10 ​ $ 131,676
Schedule of share based compensation restricted stock units award activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ RSUs ​ Average Grant ​ Outstanding ​ Date Fair Value Unvested Balance at December 31, 2021 282,417 ​ $ 6.78 Granted 166,793 ​ ​ 4.31 Vested (59,726) ​ ​ 6.34 Forfeited (22,366) ​ ​ 5.03 Unvested Balance at June 30, 2022 367,118 ​ $ 5.80
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Schedule of summary of compensation expense	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months ​ Six Months ​ ​ Ended June 30, ​ Ended June 30, Operating expenses: ​ ​ ​ ​ ​ ​ Technology ​ $ 25,198 ​ $ 38,598 Sales and marketing ​ ​ 26,092 ​ ​ 40,259 Supply development ​ ​ 10,948 ​ ​ 18,145 Fulfillment ​ ​ 24,330 ​ ​ 37,960 General and administrative ​ ​ 110,835 ​ ​ 217,077 Total RSU expense ​ $ 197,403 ​ $ 352,039
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Schedule of summary of compensation expense	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, Operating expenses: ​ 2022 ​ 2021 ​ 2022 ​ ​ 2021 Technology ​ $ 1,023 ​ $ 11,878 ​ $ 2,034 ​ $ 21,102 Sales and marketing ​ ​ 1,695 ​ ​ 2,510 ​ ​ 2,772 ​ ​ 4,460 Supply development ​ 348 ​ 371 ​ 653 ​ 659 Fulfillment ​ ​ 1,055 ​ ​ 1,892 ​ ​ 1,881 ​ ​ 3,362 General and administrative ​ ​ 27,824 ​ ​ 11,723 ​ ​ 54,160 ​ ​ 20,827 Total stock options expense ​ $ 31,945 ​ $ 28,374 ​ $ 61,500 ​ $ 50,410

NATURE OF BUSINESS AND BASIS _2

NATURE OF BUSINESS AND BASIS OF PRESENTATION (Details)	6 Months Ended
	Jun. 30, 2022 segment
NATURE OF BUSINESS AND BASIS OF PRESENTATION
Reporting units	1
Operating segments	1

NATURE OF BUSINESS AND BASIS _3

NATURE OF BUSINESS AND BASIS OF PRESENTATION - Additional information (Details) - USD ($)	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
NATURE OF BUSINESS AND BASIS OF PRESENTATION
Working capital	$ 25,101,782
Accumulated deficit	43,009,953	$ 38,019,402
Cash	23,691,175	$ 27,738,979
Accounts payable and accrued expenses	1,067,282
Purchase orders negatively impacted due to Russia's invasion of Ukraine	$ 1,000,000

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue Recognition and Accounts Receivable (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Disaggregation of Revenue [Line Items]
Right of return (in days)			14 days
Revenue	$ 2,338,688	$ 2,903,876	$ 4,857,348	$ 5,867,683
Accounts receivable
Allowance for doubtful accounts	289,207		289,207		$ 269,170
Specimens
Disaggregation of Revenue [Line Items]
Revenue	2,207,820	2,829,214	4,580,206	5,776,509
Shipping and other
Disaggregation of Revenue [Line Items]
Revenue	$ 130,868	$ 74,662	$ 277,142	$ 91,174

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Internally Developed Software, net (Details)	6 Months Ended
	Jun. 30, 2022
Internal-use software
Finite-Lived Intangible Assets [Line Items]
Estimated useful life (in years)	5 years

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional information (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Impairment charges	$ 0	$ 0

SUMMARY OF SIGNIFICANT ACCOUN_7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Shares issuable upon conversion of preferred stock (Details) - shares	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Subsidiary, Sale of Stock [Line Items]
Shares issuable upon vesting of RSU's	367,118
Shares issuable upon exercise of stock options	171,154	224,914
Shares issuable upon exercise of warrants	1,312,500	23,309
Lender
Subsidiary, Sale of Stock [Line Items]
Shares issuable upon exercise of warrants	12,500
Underwriter Warrants
Subsidiary, Sale of Stock [Line Items]
Shares issuable upon exercise of Warrant to purchase common stock	90,000	90,000

SUMMARY OF SIGNIFICANT ACCOUN_8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Accounting Standard Recently Adopted (Details)	Jun. 30, 2022 USD ($)
Operating lease right-of-use asset	$ 260,003
Operating lease long-term obligation	107,975
Accounting Standards Update 2016-02 [Member]
Operating lease right-of-use asset	333,000
Operating lease long-term obligation	$ 333,000

PROPERTY AND EQUIPMENT, NET (De

PROPERTY AND EQUIPMENT, NET (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
PP&E, Net, by Type
Total property and equipment	$ 340,083		$ 340,083		$ 340,083
Accumulated depreciation	(316,435)		(316,435)		(307,302)
Total property and equipment, net	23,648		23,648		32,781
Depreciation of property and equipment	4,420	$ 11,130	9,132	$ 22,260
Website
PP&E, Net, by Type
Total property and equipment	107,927		107,927		107,927
Computer equipment and purchased software
PP&E, Net, by Type
Total property and equipment	84,588		84,588		84,588
Equipment
PP&E, Net, by Type
Total property and equipment	35,449		35,449		35,449
Furniture and fixtures
PP&E, Net, by Type
Total property and equipment	87,184		87,184		87,184
Leasehold improvements
PP&E, Net, by Type
Total property and equipment	$ 24,935		$ 24,935		$ 24,935

INTERNALLY DEVELOPED SOFTWARE_2

INTERNALLY DEVELOPED SOFTWARE, NET (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
INTERNALLY DEVELOPED SOFTWARE, NET
Internally developed software capitalized			$ 777,181	$ 440,331
Amortization expense	$ 266,893	$ 236,355	$ 533,112	$ 471,584

DEBT - Term Loan (Details)

DEBT - Term Loan (Details) - USD ($)			3 Months Ended		6 Months Ended
	Mar. 10, 2023	Aug. 13, 2021	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Debt Instrument [Line Items]
Long-term debt, net			$ 3,428,732		$ 3,428,732
Outstanding principal loan amount			3,500,000		3,500,000
Interest expense			42,273	$ 1,133,479	80,321	$ 1,986,407
Debt issuance costs			$ 71,268		$ 71,268
Prime Rate
Debt Instrument [Line Items]
Basis spread rate					0.75%
Interest rate on the loan			4.75%		4.75%
Lender
Debt Instrument [Line Items]
Debt issuance costs			$ 81,989		$ 81,989
Warrants to purchase common stock issued					12,500
Issuance of common stock warrants in connection with Term Loan					$ 49,072
Payment of debt issuance costs in connection with note payable					23,066
Legal costs					9,851
Term Loan
Debt Instrument [Line Items]
Proceeds from term loan		$ 3,500,000
Unused borrowing amount			$ 1,500,000		$ 1,500,000
Interest rate on the loan			5.50%		5.50%
Calendar day to pay principal	30 days
Outstanding principal loan amount			$ 3,500,000		$ 3,500,000
Interest expense			39,205		74,205
Amortized debt issuance costs			3,068		6,116
Unamortized debt issuance costs			$ 71,268		$ 71,268		$ 77,384

DEBT - Future Minimum Payments

DEBT - Future Minimum Payments (Details)	Jun. 30, 2022 USD ($)
Debt Instrument [Line Items]
2023	$ 1,166,667
2024	1,400,000
2025	933,333
Total	3,500,000
Less debt issuance cost	(71,268)
Long-term debt, net	3,428,732
Term Loan
Debt Instrument [Line Items]
Total	$ 3,500,000

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Lease costs related to operating lease (Details)	3 Months Ended	6 Months Ended
	Jun. 30, 2022 USD ($)	Jun. 30, 2022 USD ($) item	Jan. 01, 2022
Lessee, Lease, Description [Line Items]
Remaining lease term			1 year 11 months 1 day
Office Space in Lexington, Massachusetts [Member]
Lessee, Lease, Description [Line Items]
Number of operating lease		1
Incremental borrowing rate			5.96%
Sublease rental income | $	$ 0	$ 0
Number of related party lease agreements		0

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES - Future lease payments (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Operating Leases
2022 (remaining)	$ 81,753		$ 81,753
2023	165,254		165,254
2024	27,601		27,601
Total future minimum lease payments	274,608		274,608
Less effect of discounting	(13,853)		(13,853)
Present value of future minimum lease payments	260,755		260,755
Rent expense	$ 44,281	$ 40,353	$ 89,238	$ 80,356

COMMITMENTS AND CONTINGENCIES_3

COMMITMENTS AND CONTINGENCIES - Cash Flows - Operating lease (Details)	6 Months Ended
	Jun. 30, 2022 USD ($)
COMMITMENTS AND CONTINGENCIES
Non-cash lease expense (operating cash flow)	$ 73,120
Change in lease liabilities (operating cash flow)	(72,367)
Supplemental non-cash amounts of lease liabilities arising from obtaining right of use assets	$ 333,123

STOCKHOLDERS' EQUITY (Details)

STOCKHOLDERS' EQUITY (Details) - $ / shares	Jun. 30, 2022	Dec. 31, 2021
STOCKHOLDERS' EQUITY
Number of shares authorized	250,000,000
Common stock, shares authorized	200,000,000	200,000,000
Common stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	50,000,000
Preferred stock, par value	$ 0.0001

STOCKHOLDERS' EQUITY - Common S

STOCKHOLDERS' EQUITY - Common Stock - (Details) - USD ($)	3 Months Ended			6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Jun. 30, 2022
STOCKHOLDERS' EQUITY
Issuance of common stock through exercise of stock options (in shares)				79,506
Issuance of common stock through exercise of stock options	$ 1,827	$ 75,277	$ 39,633	$ 77,104

STOCKHOLDERS' EQUITY - Underwri

STOCKHOLDERS' EQUITY - Underwriter Warrants (Details) - USD ($) $ / shares in Units, $ in Millions	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Class of Warrant or Right [Line Items]
Common stock, par value	$ 0.0001	$ 0.0001
Underwriter Warrants
Class of Warrant or Right [Line Items]
Warrants to purchase shares of common stock	90,000
Common stock, par value	$ 0.0001
Exercise price of warrant	$ 10
Warrants exercisable term	3 years 11 months 15 days
Commencing term from effective date of registration statement	180 days
Equity issuance costs	$ 0.4

STOCKHOLDERS' EQUITY - Warrants

STOCKHOLDERS' EQUITY - Warrants (Details) - $ / shares	Jun. 30, 2022	Dec. 01, 2021	Aug. 13, 2021
Private Placement
Class of Warrant or Right [Line Items]
Warrants exercisable term	5 years 3 days
Warrants to purchase shares of common stock		1,312,500
Exercise price of warrant	$ 13	$ 13
Warrants other than Underwriter Warrants
Class of Warrant or Right [Line Items]
Warrants exercisable term	9 years 1 month 17 days
Warrants to purchase shares of common stock			12,500
Exercise price of warrant	$ 8		$ 8

SHARE-BASED COMPENSATION - Esti

SHARE-BASED COMPENSATION - Estimate the fair value of stock options (Details)	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Assumptions used to estimate the fair value of stock options granted
Risk-free interest rate, minimum		0.47%
Risk-free interest rate, maximum		0.66%
Expected volatility, minimum		49.83%
Expected volatility, maximum		49.98%
Expected dividend yield	0%	0%
Minimum
Assumptions used to estimate the fair value of stock options granted
Expected term (in years)		5 years 9 months 21 days
Maximum
Assumptions used to estimate the fair value of stock options granted
Expected term (in years)		5 years 10 months 6 days

SHARE-BASED COMPENSATION - Stoc

SHARE-BASED COMPENSATION - Stock option activity (Details)	6 Months Ended	12 Months Ended
	Jun. 30, 2022 USD ($) $ / shares shares	Dec. 31, 2021 USD ($) $ / shares shares
Options Outstanding
Exercised	(79,506)
Balance at the end	171,154
2013 and 2021 Stock Incentive Plan
Options Outstanding
Balance at the beginning	255,147
Exercised	(79,506)
Cancelled/forfeited	(4,487)
Balance at the end	171,154	255,147
Options exercisable at the end	151,791
Weighted Average Exercise Price
Balance at the beginning (in dollars per share) | $ / shares	$ 2.32
Exercised (in dollars per share) | $ / shares	1.04
Cancelled/forfeited (in dollars per share) | $ / shares	1.87
Balance at the end (in dollars per share) | $ / shares	3.50	$ 2.32
Options exercisable at the end (in dollars per share) | $ / shares	$ 2.08
Weighted Average Remaining Contractual Term (in years)
Weighted Average Remaining Contractual Term (in years)	7 years 9 months 14 days	7 years 9 months
Options exercisable at the end (in years)	7 years 1 month 6 days
Share Based Compensation Arrangement By Share Based Payment Award Options Aggregate Intrinsic Value
Balance at the beginning (in dollars) | $	$ 1,550,409
Exercised (in dollars) | $	91,018
Balance at the end (in dollars) | $	120,233	$ 1,550,409
Options exercisable at the end (in dollars) | $	$ 131,676

SHARE-BASED COMPENSATION - Outs

SHARE-BASED COMPENSATION - Outstanding principal and all unpaid and accrued interest (Details) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average grant date fair value		$ 0	$ 1.77
Unamortized compensation expense	$ 179,221	$ 179,221
Unamortized compensation expense recognized over the remaining requisite service period		1 year 10 months 20 days
Proceeds from exercise of stock options		$ 77,104	$ 39,633
Performance Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		0
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	197,403	$ 352,039
Unamortized compensation expense recognized over the remaining requisite service period		3 years 6 months 10 days
Executive Officer and immediate family | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unamortized compensation expense recognized over the remaining requisite service period		2 years 11 months 23 days
Director [Member] | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 19,571	$ 38,927
Unamortized compensation expense recognized over the remaining requisite service period		29 days

SHARE-BASED COMPENSATION - 2021

SHARE-BASED COMPENSATION - 2021 Stock Incentive Plan - shares (Details) - shares	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options authorized	608,000	608,000
Sharebased compensation, shares issued	155,793	166,793	0
Performance Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Sharebased compensation, shares issued		47,349
2013 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Capital Shares Reserved for Future Issuance	115,161	115,161
2021 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Capital Shares Reserved for Future Issuance	83,717	83,717

SHARE-BASED COMPENSATION - Addi

SHARE-BASED COMPENSATION - Additional Information (Details) - Performance Stock Units - USD ($)	1 Months Ended	6 Months Ended
	Jul. 31, 2021	Jun. 30, 2022
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share based compensation expense		$ 0
Vesting period	4 years

SHARE-BASED COMPENSATION - Comp

SHARE-BASED COMPENSATION - Compensation Expense (Details) - Stock Options - USD ($)	3 Months Ended			6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share based compensation expense	$ 31,945	$ 28,374	$ 50,410	$ 61,500
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share based compensation expense	27,824	11,723	20,827	54,160
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share based compensation expense	1,695	2,510	4,460	2,772
Fulfillment
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share based compensation expense	1,055	1,892	3,362	1,881
Supply development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share based compensation expense	348	371	659	653
Technology
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share based compensation expense	$ 1,023	$ 11,878	$ 21,102	$ 2,034

SHARE-BASED COMPENSATION - Rest

SHARE-BASED COMPENSATION - Restricted Stock (Details) - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended
	Jul. 31, 2021	Jun. 30, 2022	Jun. 30, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition			1 year 10 months 20 days
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	189,396		166,793
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		$ 197,403	$ 352,039
Awards vesting rights percentage			25%
Share-based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount		1,291,297	$ 1,291,297
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition			3 years 6 months 10 days
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period			0
Restricted Stock Units | Executive Officer and immediate family
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	4 years
Awards vesting rights percentage	20%
Share-based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount		647,429	$ 647,429
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition			2 years 11 months 23 days
Restricted Stock Units | Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		19,571	$ 38,927
Vesting period	1 year
Share-based Payment Arrangement, Nonvested Award, Excluding Option, Cost Not yet Recognized, Amount		6,452	$ 6,452
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition			29 days
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	12,500
Restricted Stock Units | Share-based Payment Arrangement, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			1 year
Restricted Stock Units | Share-based Payment Arrangement, Tranche Two [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			3 years
General and administrative | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		110,835	$ 217,077
General and administrative | Restricted Stock Units | Executive Officer and immediate family
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		79,832	158,787
Fulfillment | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		24,330	37,960
Sales and marketing | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		26,092	40,259
Supply development | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		10,948	18,145
Technology | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense		$ 25,198	$ 38,598

SHARE-BASED COMPENSATION - Unve

SHARE-BASED COMPENSATION - Unvested Restricted Stock (Details) - USD ($)	1 Months Ended	6 Months Ended
	Jul. 31, 2021	Jun. 30, 2022
Options outstanding
Unvested Balance at December 31, 2021		282,417
Granted	189,396	166,793
Vested		$ (59,726)
Forfeited		(22,366)
Unvested Balance at March 31, 2022		367,118
Weighted Average Grant Date Fair Value
Unvested Balance at December 31, 2021		$ 6.78
Granted		4.31
Vested		6.34
Forfeited		5.03
Unvested Balance at March 31, 2022		$ 5.80

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Operating Loss Carryforwards [Line Items]
Tax Credit Carryforward, Amount	$ 970,000	$ 850,000
Federal
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	35,800,000	30,300,000
Net operating loss carryforwards, subject to expiration	13,000,000	13,000,000
Net operating loss carryforwards, carried forward indefinitely	24,800,000	17,300,000
State
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	$ 24,700,000	$ 22,400,000