KULR Technology (KULR) 10-K 14 May 20 2019 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2019	May 14, 2020	Jun. 30, 2019
Document and Entity Information [Abstract]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	FY
Entity Registrant Name	KULR Technology Group, Inc.
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Central Index Key	0001662684
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		81,187,970
Entity Public Float			$ 79,434,667.48

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2019	Dec. 31, 2018
Current Assets:
Cash	$ 108,857	$ 229,896
Accounts receivable	30,101	112,224
Inventory	27,091	9,594
Prepaid expenses	23,825	27,033
Other current assets	19,376	27,569
Total Current assets	209,250	406,316
Property and equipment, net	27,516	44,791
Total Assets	236,766	451,107
Current Liabilities:
Accounts payable	348,913	117,995
Accrued expenses and other current liabilities	659,399	374,330
Accrued expenses and other current liabilities - related party	10,419	83,919
Deferred revenue	15,000	0
Total Current Liabilities	1,033,731	576,244
Commitments and contingencies (See Note 10)	0	0
Stockholders' Deficiency:
Common stock, $0.0001 par value, 500,000,000 shares authorized; 81,071,831 and 78,706,256 shares issued and outstanding at December 31, 2019 and 2018, respectively	8,107	7,871
Additional paid-in capital	7,591,239	6,283,548
Accumulated deficit	(8,396,312)	(6,416,559)
Total Stockholders' Deficiency	(796,965)	(125,137)
Total Liabilities and Stockholders' Deficiency	236,766	451,107
Series A Preferred Stock [Member]
Stockholders' Deficiency:
Preferred stock	0	0
Series B Convertible Preferred Stock
Stockholders' Deficiency:
Preferred stock	1	3
Total Stockholders' Deficiency	1	3
Series C Preferred Stock [Member]
Stockholders' Deficiency:
Preferred stock	$ 0	$ 0

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Dec. 31, 2019	Dec. 31, 2018
Preferred Stock, Par Value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred Stock, Shares Authorized	20,000,000	20,000,000
Common Stock, Par Value (in dollars per share)	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	500,000,000	500,000,000
Common Stock, Shares Issued	81,071,831	78,706,256
Common Stock, Shares Outstanding	81,071,831	78,706,256
Series A Preferred Stock [Member]
Preferred Stock, Shares Authorized	1,000,000	1,000,000
Preferred Stock, Shares Issued	0	0
Preferred Stock, Shares Outstanding	0	0
Series B Convertible Preferred Stock
Preferred Stock, Shares Authorized	31,000	31,000
Preferred Stock, Shares Issued	14,487	30,858
Preferred Stock, Shares Outstanding	14,487	30,858
Preferred Stock Shares Liquidated Preference	$ 14,487	$ 30,858
Series C Preferred Stock [Member]
Preferred Stock, Shares Authorized	400	400
Preferred Stock, Shares Issued	24.01	0
Preferred Stock, Shares Outstanding	24.01	0
Preferred Stock Shares Liquidated Preference	$ 240,100	$ 0

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
CONSOLIDATED STATEMENTS OF OPERATIONS
Revenue	$ 830,398	$ 1,274,028
Cost of revenue	226,505	336,654
Gross Profit	603,893	937,374
Operating Expenses:
Research and development	502,225	508,144
Selling, general and administrative	2,080,941	2,510,818
Total Operating Expenses	2,583,166	3,018,962
Loss From Operations	(1,979,273)	(2,081,588)
Other (Expense) Income:
Interest expense, net	(1,580)	(826)
Other income	1,100	0
Change in fair value of accrued issuable equity	0	24,175
Total Other (Expense) Income	(480)	23,349
Net Loss	$ (1,979,753)	$ (2,058,239)
Net Loss Per Share - Basic and Diluted (In dollars per share)	$ (0.02)	$ (0.03)
Weighted Average Number of Common Shares Outstanding - Basic and Diluted (In Shares)	80,123,111	77,642,101

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY STOCKHOLDERS' DEFICIENCY - USD ($)		Series B Convertible Preferred Stock	Series C Convertible Preferred Stock	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Balance at Dec. 31, 2017		$ 0	$ 0	$ 7,744	$ 5,090,282	$ (4,358,320)	$ 739,706
Balance (shares) at Dec. 31, 2017		0	0	77,440,000
Stock-based compensation		$ 0	$ 0	$ 19	440,119	0	440,138
Stock-based compensation (in shares)		0	0	184,437
Common stock issued for cash, net of issuance costs	[1]	$ 0	$ 0	$ 108	672,292	0	672,400
Common stock issued for cash, net of issuance costs (in shares)	[1]			1,081,819
Series B Convertible Preferred Stock issued to common stockholders (See Note 9)		$ 3	0	$ 0	1,018,311	0	1,018,314
Series B Convertible Preferred Stock issued to common stockholders (See Note 9) (in shares)		30,858
Series B Convertible Preferred Stock issued as deemed dividend to common stockholders (See Note 9 )		$ 0	0	0	(987,456)	0	(987,456)
Forgiveness of accrued expenses by related party		0	0	0	50,000	0	50,000
Net loss		0	0	0	0	(2,058,239)	(2,058,239)
Balance at Dec. 31, 2018		$ 3	0	$ 7,871	6,283,548	(6,416,559)	(125,137)
Balance (shares) at Dec. 31, 2018		30,858		78,706,256
Stock-based compensation		$ 0	0	$ 19	220,606	0	220,625
Stock-based compensation (in shares)				185,966
Common stock issued for cash, net of issuance costs		$ 0	$ 0	$ 135	898,165	0	898,300
Common stock issued for cash, net of issuance costs (in shares)		0	0	1,361,059
Common stock issued upon conversion of Series B Convertible Preferred Stock		$ (2)	$ 0	$ 82	(80)	0
Common stock issued upon conversion of Series B Convertible Preferred Stock (in shares)		(16,371)		818,550
Series C Convertible Preferred Stock and warrants issued for cash, net of issuance costs	[2]	$ 0	$ 0	$ 0	154,000	0	154,000
Series C Convertible Preferred Stock and warrants issued for cash, net of issuance costs (In shares)	[2]	0	24.01	0
Forgiveness of accrued expenses by related party		$ 0	$ 0	$ 0	35,000	0	35,000
Net loss		0	0	0	0	(1,979,753)	(1,979,753)
Balance at Dec. 31, 2019		$ 1	$ 0	$ 8,107	$ 7,591,239	$ (8,396,312)	$ (796,965)
Balance (shares) at Dec. 31, 2019		14,487	24.01	81,071,831
[1]	Includes gross proceeds of $714,000, less issuance costs of $41,600 ($35,000 of cash and $6,600 of non-cash).
[2]	Includes gross proceeds of $216,000, less cash issuance costs of $62,000.

CONSOLIDATED STATEMENTS OF CH_2

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY STOCKHOLDERS' DEFICIENCY (Parenthetical)	12 Months Ended
	Dec. 31, 2018USD ($)
Gross Proceeds From Issuance Of Common Stock	$ 714,000
Payments of Stock Issuance Costs	0
Series C Convertible Preferred Stock
Proceeds From Issuance Of Private Placement Gross	0
Common Stock
Gross Proceeds From Issuance Of Common Stock	714,000
Payments of Stock Issuance Costs	41,600
Cash | Common Stock
Payments of Stock Issuance Costs	35,000
Non Cash [Member] | Common Stock
Non-cash issuance cost	$ 6,600

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)		12 Months Ended
		Dec. 31, 2019	Dec. 31, 2018
Cash Flows From Operating Activities:
Net loss		$ (1,979,753)	$ (2,058,239)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation expense		17,275	15,311
Write-down of inventory		90	0
Change in fair value of accrued issuable equity		0	(24,175)
Stock-based compensation		220,625	457,713
Lower of cost or net realizable value adjustment		0	4,173
Changes in operating assets and liabilities:
Accounts receivable		82,123	39,578
Inventory		(17,587)	0
Prepaid expenses		3,208	79,433
Other current assets		8,193	(10,692)
Accounts payable		230,918	80,971
Accrued expenses and other current liabilities		270,069	185,388
Accrued expenses and other current liabilities - related party		(38,500)	(120,425)
Deferred revenue		15,000	0
Security deposit		0	(8,150)
Total Adjustments		791,414	699,125
Net Cash Used In Operating Activities		(1,188,339)	(1,359,114)
Cash Flows From Investing Activities:
Purchases of property and equipment		0	(16,609)
Net Cash Used In Investing Activities		0	(16,609)
Cash Flows From Financing Activities:
Proceeds from issuance of Series B Convertible Preferred Stock		0	30,858
Proceeds from sale of Series C Convertible Preferred Stock and warrants	[1]	184,000	0
Proceeds from sale of common stock	[2]	898,300	679,000
Payment of offering costs		(15,000)	0
Net Cash Provided By Financing Activities		1,067,300	709,858
Net Decrease In Cash		(121,039)	(665,865)
Cash - Beginning of Year		229,896	895,761
Cash - End of Year		108,857	229,896
Cash paid during the period for:
Interest		789	888
Income taxes		0	2,400
Non-cash investing and financing activities:
Common stock equity offering issuance costs		0	6,600
Accrual of offering costs		15,000	0
Series B convertible preferred stock issued as deemed dividend to common stockholders		0	987,456
Common stock issued upon conversion of Series B Convertible Preferred Stock		82	0
Forgiveness of accrued expenses by related party		$ 35,000	$ 50,000
[1]	Includes gross proceeds of $216,000, less withheld cash issuance costs of $32,000.
[2]	Includes gross proceeds of $714,000, less withheld cash issuance costs of $35,000 for the year ended December 31, 2018. There were no issuance costs for the year ended December 31, 2019.

CONSOLIDATED STATEMENTS OF CA_2

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Gross Proceeds From Issuance Of Common Stock	$ 898,300	$ 714,000
Payments of Stock Issuance Costs	15,000	0
Series C Convertible Preferred Stock
Proceeds From Issuance Of Private Placement Gross	216,000	0
Payments of Stock Issuance Costs	62,000
Common Stock
Gross Proceeds From Issuance Of Common Stock		714,000
Payments of Stock Issuance Costs		41,600
Common Stock | Series C Convertible Preferred Stock
Proceeds From Issuance Of Private Placement Gross	216,000
Cash | Common Stock
Payments of Stock Issuance Costs	0	$ 35,000
Cash | Common Stock | Series C Convertible Preferred Stock
Payments of Stock Issuance Costs	$ 32,000

BUSINESS ORGANIZATION AND NATUR

BUSINESS ORGANIZATION AND NATURE OF OPERATIONS	12 Months Ended
	Dec. 31, 2019
BUSINESS ORGANIZATION AND NATURE OF OPERATIONS
BUSINESS ORGANIZATION AND NATURE OF OPERATIONS	NOTE 1 Organization and Operations KULR Technology Group, Inc. was incorporated on December 11, 2015 under the laws of the State of Delaware as KT High-Tech Marketing, Inc. Effective August 30, 2018, KT High-Tech Marketing, Inc. changed its name to KULR Technology Group, Inc. KULR Technology Group, Inc., through its wholly-owned subsidiary, KULR Technology Corporation (collectively referred to as “KULR” or the “Company”), develops and commercializes high-performance thermal management technologies for electronics, batteries, and other components across a range of applications. Currently, the Company is focused on targeting the following applications: electric vehicles and autonomous driving systems (collectively referred to herein as “E-Mobility”), artificial intelligence and Cloud computing, energy storage and 5G communication technologies. KULR provides heat management solutions to enhance the performance and safety of battery packs used in electric vehicles, communication devices, and aerospace and defense applications.

GOING CONCERN AND MANAGEMENT'S

GOING CONCERN AND MANAGEMENT'S PLANS	12 Months Ended
	Dec. 31, 2019
GOING CONCERN AND MANAGEMENT'S PLANS
GOING CONCERN AND MANAGEMENT'S PLANS	NOTE 2 GOING CONCERN AND MANAGEMENT’S PLANS The Company has not yet achieved profitability and expects to continue to incur cash outflows from operations. It is expected that its research and development and general and administrative expenses will continue to increase and, as a result, the Company will eventually need to generate significant product revenues to achieve profitability. These conditions indicate that there is substantial doubt about the Company’s ability to continue as a going concern within one year after the financial statement issuance date. The Company is currently funding its operations on a month-to-month basis and the Company’s management believes that it has access to capital resources to fund ongoing operations. In February 2020, the Company negotiated an equity line of credit for up to $8,000,000 million of which $1,500,000 was immediately drawn down to fund payment of liabilities and provide working capital, and an additional $10,000 was drawn in April 2020. Additionally, the Company applied for, and in April 2020, received a loan of $155,000 under the government Small Business Administration (“SBA”) sponsored Payroll Protection Program (“PPP”) to support continuing employment during the COVID-19 pandemic. Even so, there is no assurance that the Company will be able to continue to obtain funds on commercially acceptable terms, if at all. If the Company is unable to obtain adequate funds on reasonable terms, it may be required to significantly curtail or discontinue operations or obtain funds by entering into financing agreements on unattractive terms. The Company’s operating needs include the planned costs to operate its business, including amounts required to fund working capital and capital expenditures. The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which contemplate continuation of the Company as a going concern and the realization of assets and satisfaction of liabilities in the normal course of business. The consolidated financial statements do not include any adjustment that might become necessary should the Company be unable to continue as a going concern.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2019
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3 Principles of Consolidation The consolidated financial statements of the Company include the accounts of KULR Technology Group, Inc. and its wholly-owned subsidiary, KULR Technology Corporation. All intercompany transactions have been eliminated in the consolidation. Use of Estimates Preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, together with amounts disclosed in the related notes to the financial statements. The Company’s significant estimates used in these financial statements include, but are not limited to, fair value calculations for equity securities, stock-based compensation, the collectability of receivables, inventory valuations, the recoverability and useful lives of long-lived assets, and the valuation allowance related to the Company’s deferred tax assets. Certain of the Company’s estimates could be affected by external conditions, including those unique to the Company and general economic conditions. It is possible that these external factors could have an effect on the Company’s estimates and could cause actual results to differ from those estimates. See Note 3 — Summary of Significant Accounting Policies, Stock-Based Compensation for additional discussion of the use of estimates in estimating the fair value of the Company’s common stock. Concentrations of Credit Risk The Company maintains cash with major financial institutions. Cash held in U.S. bank institutions is currently insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000 at each institution. There were no uninsured cash balances as of December 31, 2019 and 2018, respectively. Customer concentrations are as follows: Revenues Accounts Receivable For the Years Ended December 31, As of December 31, 2019 2018 2019 2018 Customer A 43 % 66 % * 63 % Customer B * 13 % * * Customer C * * * 37 % Customer D 14 % * * * Customer E * * 20 % * Customer F * * 19 % * Customer G * * 33 % * Customer H * * 17 % * Customer I 12 % * * * Total 69 % 79 % 89 % 100 % * Less than 10% There is no assurance the Company will continue to receive significant revenues from any of these customers. Any reduction or delay in operating activity from any of the Company's significant customers, or a delay or default in payment by any significant customer, or termination of agreements with significant customers, could materially harm the Company's business and prospects. As a result of the Company's significant customer concentrations, its gross profit and results from operations could fluctuate significantly due to changes in political, environmental, or economic conditions, or the loss of, reduction of business from, or less favorable terms with any of the Company's significant customers. Vendor concentrations are as follows: As of December 31, 2019 2018 Vendor A 15 % 13 % Vendor B 16 % 15 % Vendor C 17 % 35 % Vendor D 12 % * Total 60 % 62 % * Less than 10% Accounts Receivable Accounts receivable are carried at their contractual amounts, less an estimate for uncollectible amounts. As of December 31, 2019 and 2018, no allowances for uncollectable amounts were determined to be necessary. Management estimates the allowance for bad debts based on existing economic conditions, the financial conditions of the customers, and the amount and age of past due accounts. Receivables are considered past due if full payment is not received by the contractual due date. Past due accounts are generally written off against the allowance for bad debts only after all collection attempts have been exhausted. Inventory Inventory is comprised of carbon fiber thermal interface solutions and internal short circuit batteries, which are available for sale. Inventories are stated at the lower of cost or net realizable value. Cost is determined by the first-in, first-out method. The cost of inventory that is sold to third parties is included within cost of sales and the cost of inventory that is given as samples is included within operating expenses. The Company periodically reviews for slow-moving, excess or obsolete inventories. Products that are determined to be obsolete, if any, are written down to net realizable value. As of December 31, 2019 and 2018, the Company’s inventory was comprised solely of finished goods. Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation which is recorded commencing at the in-service date using the straight-line method at rates sufficient to charge the cost of depreciable assets to operations over their estimated useful lives, which range from 3 to 7 years. Leasehold improvements are amortized over the lesser of (a) the useful life of the asset; or (b) the remaining lease term. Maintenance and repairs are charged to operations as incurred. The Company capitalizes cost attributable to the betterment of property and equipment when such betterment extends the useful life of the assets. The Company reviews for the impairment of long-lived assets annually and whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. An impairment loss would be recognized when the present value of estimated future cash flows expected to result from the use of the asset and its eventual disposition is less than its carrying value. Fair Value of Financial Instruments The Company measures the fair value of financial assets and liabilities based on the guidance of Accounting Standards Codification ("ASC") 820 “Fair Value Measurements and Disclosures” (“ASC 820”) which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. ASC 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 describes three levels of inputs that may be used to measure fair value: Level 1 — quoted prices in active markets for identical assets or liabilities Level 2 — quoted prices for similar assets and liabilities in active markets or inputs that are observable Level 3 — inputs that are unobservable (for example, cash flow modeling inputs based on assumptions) The carrying amounts of the Company’s financial instruments, such as cash, accounts receivable and accrued expenses and other current liabilities approximate fair values due to the short-term nature of these instruments. Preferred Stock The Company applies the accounting standards for distinguishing liabilities from equity when determining the classification and measurement of its preferred stock. Preferred shares subject to mandatory redemption are classified as liability instruments and are measured at fair value. Conditionally redeemable preferred shares (including preferred shares that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control) are classified as temporary equity. At all other times, preferred shares are classified as stockholders’ equity. During the year ended December 31, 2018, the Company obtained a third-party valuation of its Series B Convertible Preferred Stock, which was considered in management’s estimation of the value of the equity instruments issued during that period. Based on the valuation, it was determined the Company’s Series B Convertible Preferred Stock had a fair value of $33.00 per share. Convertible Instruments The Company evaluates its convertible instruments to determine if those contracts or embedded components of those contracts qualify as derivative financial instruments to be separately accounted for in accordance with Topic 815 of the Financial Accounting Standards Board ("FASB") ASC. The accounting treatment of derivative financial instruments requires that the Company record embedded conversion options and any related freestanding instruments at their fair values as of the inception date of the agreement and at fair value as of each subsequent balance sheet date. Any change in fair value is recorded as non-operating, non-cash income or expense for each reporting period at each balance sheet date. The Company reassesses the classification of its derivative instruments at each balance sheet date. If the classification changes as a result of events during the period, the contract is reclassified as of the date of the event that caused the reclassification. Embedded conversion options and any related freestanding instruments are recorded as a discount to the host instrument. If the instrument is determined not to be a derivative liability, the Company then evaluates for the existence of a beneficial conversion feature by comparing the market price of the Company’s common stock as of the commitment date to the effective conversion price of the instrument. Offering Costs Deferred offering costs, which primarily consist of direct, incremental professional fees incurred in connection with a debt or equity financing, are capitalized as non-current assets on the balance sheet. Once the financing closes, the Company reclassifies such costs as either discounts to notes payable or as a reduction of proceeds received from equity transactions so that such costs are recorded as a reduction of additional paid-in capital. If the completion of a contemplated financing was deemed to be no longer probable, the related deferred offering costs would be charged to general and administrative expense in the consolidated financial statements. Revenue Recognition On January 1, 2018, the Company adopted ASC Topic 606, “Revenue from Contracts with Customers” (“ASC 606”). The core principle of ASC 606 requires that an entity recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. ASC 606 defines a five-step process to achieve this core principle and, in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than required under existing U.S. GAAP including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. The following five steps are applied to achieve that core principle: · Step 1: Identify the contract with the customer; · Step 2: Identify the performance obligations in the contract; · Step 3: Determine the transaction price; · Step 4: Allocate the transaction price to the performance obligations in the contract; and · Step 5: Recognize revenue when the company satisfies a performance obligation. The Company adopted ASC 606 for all applicable contracts using the modified retrospective method, which would have required a cumulative-effect adjustment, if any, as of the date of adoption. The adoption of ASC 606 did not have a material impact on the Company’s consolidated financial statements as of the date of adoption. As a result, a cumulative-effect adjustment was not required. The Company recognizes revenue primarily from the following different types of contracts: · Product sales – Revenue is recognized at the point the customer obtains controls of the goods and the Company satisfies its performance obligation, which is generally at the time it ships the product to the customer. · Contract services – Revenue is recognized at the point in time that the Company satisfies its performance obligation under the contract, which is generally at the time it delivers a report to the customer. The following table summarizes the disaggregation of our revenue recognized in our consolidated statements of operations: For the Years Ended December 31, 2019 2018 Product sales $ 735,431 $ 1,096,040 Contract services 94,967 177,988 Total revenue $ 830,398 $ 1,274,028 As of December 31, 2019 and 2018, the Company had $15,000 and $0 of deferred revenue, respectively, from contracts with customers. The contract liabilities represent payments received from customers for which the Company had not yet satisfied its performance obligation under the contract. The Company expects to satisfy the performance obligation within the next 12 months. During the years ended December 31, 2019, and 2018, $0 of revenue was recognized from performance obligations satisfied (or partially satisfied) in previous periods. Shipping and Handling Costs Shipping and handling costs incurred by the Company as well as fees received by customers for product shipped to customers are included in selling, general and administrative expenses on the consolidated statements of operations. For the years ended December 31, 2019 and 2018, shipping and handling costs amounted to $3,172 and $932, respectively. Research and Development Research and development ("R&D") include expenses incurred in connection with the R&D of our CFV thermal management solution and non-cash stock-based compensation expenses. Research and development expenses are charged to operations as incurred. During the years ended December 31, 2019 and 2018, the Company incurred $502,225 and $508,144, respectively, of research and development expenses. Advertising Costs Advertising costs are expensed in the period incurred. Advertising costs charged to operations for the years ended December 31, 2019 and 2018 were $49,300 and $12,500, respectively, and are included in selling, general and administrative on the consolidated statements of operations. Stock-Based Compensation The Company measures the cost of services received in exchange for an award of equity instruments based on the fair value of the award. The fair value of the award is measured on the grant date. The fair value amount is then recognized over the period during which services are required to be provided in exchange for the award, usually the vesting period. Upon the exercise of an award, the Company issues new shares of common stock out of its authorized shares. During the year ended December 31, 2018, the Company obtained a third-party valuation of its common stock, which was also considered in management’s estimation of the value of the equity instruments issued during that period. Besides the third-party valuation, it was determined the Company’s common stock had a fair value of $0.66 per share, which was based on a number of factors, such as the examination of the sales of common stock for cash and the convertible preferred stock for cash etc. All of the shares of common stock sold during the year ended December 31, 2019 were sold at $0.66 per share, therefore the value of the equity instruments issued during 2019 was determined using a common stock fair value of $0.66 per share. Net Loss Per Common Share Basic net loss per common share is computed by dividing net loss by the weighted average number of vested common shares outstanding during the period. Diluted net loss per common share is computed by dividing net loss by the weighted average number of common and dilutive common-equivalent shares outstanding during each period. Dilutive common-equivalent shares consist of shares of non-vested restricted stock, if not anti-dilutive. The following shares were excluded from the calculation of weighted average dilutive common shares because their inclusion would have been anti-dilutive: For the Years Ended December 31, 2019 2018 Series B Convertible Preferred Stock 724,350 1,542,850 Series C Convertible Preferred Stock 240,100 — Options 385,000 — Warrants 210,025 — Total 1,559,475 1,542,850 Operating Leases The Company leases properties under operating leases. For leases in effect upon adoption of Accounting Standards Update ("ASU") 2016-02, "Leases (Topic 842)" at January 1, 2019 and for any leases commencing thereafter, the Company recognizes a liability to make lease payments, the "lease liability", and an asset representing the right to use the underlying asset during the lease term, the "right-of-use asset". The lease liability is measured at the present value of the remaining lease payments, discounted at the Company's incremental borrowing rate. The right-of-use asset is measured at the amount of the lease liability adjusted for the remaining balance of any lease incentives received, any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term, any unamortized initial direct costs, and any impairment of the right-of-use-asset. Operating lease expense consists of a single lease cost calculated so that the remaining cost of the lease is allocated over the remaining lease term on a straight-line basis, variable lease payments not included in the lease liability, and any impairment of the right-of-use asset. The Company evaluated their operating lease and elected to apply the short-term lease measurement and recognition exemption in which the right of use asset and lease liability are not recognized for short-term leases. The adoption of this pronouncement did not have a material impact on the Company’s consolidated financial statements. Income Taxes The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of items that have been included or excluded in the financial statements or tax returns. Deferred tax assets and liabilities are determined on the basis of the difference between the tax basis of assets and liabilities and their respective financial reporting amounts (“temporary differences”) at enacted tax rates in effect for the years in which the temporary differences are expected to reverse. The Company utilizes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Management has evaluated and concluded that there were no material uncertain tax positions requiring recognition in the Company’s financial statements as of December 31, 2019 and 2018. The Company does not expect any significant changes in its unrecognized tax benefits within twelve months of the reporting date. The Company’s policy is to classify assessments, if any, for tax related interest as interest expense and penalties as selling, general and administrative expenses in the consolidated statements of operations. Subsequent Events The Company has evaluated subsequent events through the date which the consolidated financial statements were issued. Based upon the evaluation, the Company did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the consolidated financial statements, except as disclosed. Recently Issued Accounting Pronouncements In November 2019, the FASB issued ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments - Credit Losses ("ASU 2019-11"). ASU 2019-11 is an accounting pronouncement that amends ASU 2016-13, "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments." The amendments update guidance on reporting credit losses for financial assets. These amendments affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The amendments in this ASU are effective, as revised by ASU 2019-10, for annual reporting periods beginning after December 15, 2022, as extended, including interim periods within those fiscal years. All entities may adopt the amendments through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (that is, a modified-retrospective approach). The Company is currently evaluating ASU 2019-11 and its impact on its consolidated financial statements and financial statement disclosures. In December 2019, the FASB issued ASU 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes," which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. ASU 2019-12 is effective for the Company beginning in fiscal years after December 15, 2020 and interim periods within fiscal years beginning after December 15, 2021. The Company is currently assessing the impact that this pronouncement will have on its consolidated financial statements. Recent Adopted Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update ("ASU") 2016-02, "Leases (Topic 842)." ASU 2016-02 requires that a lessee recognize the assets and liabilities that arise from operating leases. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. This amendment will be effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The FASB issued ASU No. 2018-10 "Codification Improvements to Topic 842, Leases" and ASU No. 2018-11 "Leases (Topic 842) Targeted Improvements" in July 2018, and ASU No. 2018-20 "Leases (Topic 842) - Narrow Scope Improvements for Lessors" in December 2018. ASU 2018-10 and ASU 2018-20 provide certain amendments that affect narrow aspects of the guidance issued in ASU 2016-02. ASU 2018-11 allows all entities adopting ASU 2016-02 to choose an additional (and optional) transition method of adoption, under which an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The Company adopted ASU 2016-02 effective January 1, 2019 and the adoption did not have a significant impact on the consolidated financial statements. In July 2017, the FASB issued ASU No. 2017‑11, “Earnings Per Share (Topic 260) and Derivatives and Hedging (Topic 815) — Accounting for Certain Financial Instruments with Down Round Features,” (“ASU 2017‑11”). Equity-linked instruments, such as warrants and convertible instruments may contain down round features that result in the strike price being reduced on the basis of the pricing of future equity offerings. Under ASU 2017‑11, a down round feature will no longer require a freestanding equity-linked instrument (or embedded conversion option) to be classified as a liability that is remeasured at fair value through the income statement (i.e. marked-to-market). However, other features of the equity-linked instrument (or embedded conversion option) must still be evaluated to determine whether liability or equity classification is appropriate. Equity classified instruments are not marked-to-market. For earnings per share (“EPS”) reporting, the ASU requires companies to recognize the effect of the down round feature only when it is triggered by treating it as a dividend and as a reduction of income available to common shareholders in basic EPS. The amendments in this ASU are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted, including adoption in any interim period. The Company adopted ASU 2017‑11 effective January 1, 2019 and its adoption did not have a material impact on the Company’s consolidated financial statements. In July 2018, the FASB issued ASU No. 2018‑09, “Codification Improvements” (“ASU 2018‑09”). These amendments provide clarifications and corrections to certain ASC subtopics including the following: Income Statement - Reporting Comprehensive Income – Overall (Topic 220‑10), Debt - Modifications and Extinguishments (Topic 470‑50), Distinguishing Liabilities from Equity – Overall (Topic 480‑10), Compensation - Stock Compensation - Income Taxes (Topic 718‑740), Business Combinations - Income Taxes (Topic 805‑740), Derivatives and Hedging – Overall (Topic 815‑10), and Fair Value Measurement – Overall (Topic 820‑10). The majority of the amendments in ASU 2018‑09 will be effective in annual periods beginning after December 15, 2018. The Company adopted ASU 2018‑09 effective January 1, 2019 and its adoption did not have a material impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU No. 2018‑13, “Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018‑13”). The amendments in ASU 2018‑13 modify the disclosure requirements on fair value measurements based on the concepts in the Concepts Statement, including the consideration of costs and benefits. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. The amendments are effective for all entities for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The Company adopted ASU 2018-13 effective January 1, 2019 and its adoption did not have a material impact on the Company’s consolidated financial statements. In November 2018, the FASB issued Accounting Standards Update No. 2018‑18, Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606 (“ASU 2018‑18”), which clarifies that certain transactions between participants in a collaborative arrangement should be accounted for under ASC 606 when the counterparty is a customer. In addition, ASU 2018‑18 precludes an entity from presenting consideration from a transaction in a collaborative arrangement as revenue from contracts with customers if the counterparty is not a customer for that transaction. For public business entities, the amendments in this update are effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. For all other entities, the amendments are effective for fiscal years beginning after December 15, 2020, and interim periods within fiscal years beginning after December 15, 2021. Early adoption is permitted, including adoption in any interim period, (1) for public business entities for periods for which financial 3 statements have not yet been issued and (2) for all other entities for periods for which financial statements have not yet been made available for issuance. The Company adopted ASU 2018-18 effective January 1, 2020 and its adoption is not expected to have a material impact on the Company's consolidated financial statements and related disclosures.

PREPAID EXPENSES

PREPAID EXPENSES	12 Months Ended
	Dec. 31, 2019
PREPAID EXPENSES
PREPAID EXPENSES	NOTE 4 P REPAID EXPENSES As of December 31, 2019 and 2018, prepaid expenses consisted of the following: December 31, 2019 2018 Filing fees $ 11,625 $ 8,750 Insurance 8,026 8,177 Research and development services 1,812 7,500 Other 2,362 2,606 Total prepaid expenses $ 23,825 $ 27,033

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	12 Months Ended
	Dec. 31, 2019
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT	NOTE 5 PROPERTY AND EQUIPMENT As of December 31, 2019 and 2018, property and equipment consisted of the following: December 31, Estimated Useful life 2019 2018 Computer equipment $ 13,356 $ 13,356 3 years Leasehold improvement 8,834 8,834 15 years or the remaining life of the lease Software 5,656 5,656 3 years Machinery and equipment 26,304 26,304 5-7 years Research and development equipment 12,810 12,810 3 years Furniture and fixtures 3,307 3,306 5 years 70,266 70,266 Less: accumulated deprecation (42,750) (25,475) Property and equipment; net $ 27,516 $ 44,791 Depreciation expense amounted to $17,275 and $15,311 for the years ended December 31, 2019 and 2018, respectively, which is included in selling, general and administrative expenses in the consolidated statements of operations.

ACCRUED EXPENSES AND OTHER CURR

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	12 Months Ended
	Dec. 31, 2019
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	NOTE 6 As of December 31, 2019 and 2018, accrued expenses and other current liabilities consisted of the following: December 31, 2019 2018 Payroll and vacation $ 525,917 $ 252,043 Travel expenses 45,707 48,248 Legal and professional fees 60,000 47,502 Payroll and income tax payable 9,670 12,678 Customer refund 6,843 — Credit card payable 4,581 4,586 Research and development expenses 3,790 2,850 Insurance 2,133 — Issuable equity — 3,960 Rent 176 176 Other 582 2,287 Total accrued expenses and other current liabilities $ 659,399 $ 374,330

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2019
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE 7 Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities - related party consists of a liability of $10,419 and $83,919 as of December 31, 2019 and 2018, respectively, to Energy Science Laboratories, Inc. (“ESLI”), a company controlled by the Company’s Chief Technology Officer ("CTO"), in connection with consulting services provided by ESLI to the Company associated with the development of the Company’s CFV thermal management solutions. As of December 30, 2018, ESLI forgave $50,000 of previously accrued consulting fees that were due to them by the Company. On September 30, 2019, ESLI agreed to forgive $35,000 of previously accrued consulting fees. As a result, the Company accounted for the forgiveness as a capital contribution by reducing accrued expenses and other current liabilities by $35,000 with a corresponding credit to additional paid-in capital.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2019
INCOME TAXES
INCOME TAXES	NOTE 8 The income tax provision for the years ended December 31, 2019 and 2018 consists of the following: For The Years Ended December 31, 2019 2018 Federal: Current $ — $ — Deferred (418,667) (347,767) State and local: Current — — Deferred (75,967) (121,933) (494,634) (469,700) Change in valuation allowance 494,634 469,700 Income tax provision $ — $ — A reconciliation of the statutory federal income tax rate to the Company’s effective tax rate is as follows: For The Years Ended December 31, 2019 2018 Tax benefit at federal statutory rate (21.0) % (21.0) % State income taxes, net of federal benefit (6.0) % (6.0) % Permanent differences 1.6 % 0.2 % Other and prior year true-ups 0.4 % 4.0 % Change in valuation allowance 25.0 % 22.8 % Effective income tax rate (0.0) % (0.0) % The Company has determined that a valuation allowance for the entire net deferred tax asset is required. A valuation allowance is required if, based on the weight of evidence, it is more likely than not that some or the entire portion of the deferred tax asset will not be realized. After consideration of all the evidence, management has determined that a full valuation allowance is necessary to reduce the deferred tax asset to zero. The tax effects of temporary differences that give rise to deferred tax assets and liabilities are presented below: For The Years Ended December 31, 2019 2018 Deferred Tax Assets: Net operating loss carryforwards $ 1,975,739 $ 1,544,300 Research and development credit carryforwards 152,785 — Stock-based compensation 11,062 187,200 Accruals 150,548 64,000 Gross deferred tax assets 2,290,134 1,795,500 Valuation allowance (2,290,134) (1,795,500) Deferred tax asset, net of valuation allowance $ — $ — Changes in valuation allowance $ 494,634 $ 469,700 At December 31, 2019 and 2018, the Company had federal net operating loss carry forwards of approximately $7.3 million and $5.7 million, respectively. At December 31, 2019 approximately $3.9 million of federal net operating losses will expire from 2033 to 2037, and approximately $3.4 million will have no expiration. At December 31, 2019 and 2018, the Company had state net operating loss carry forwards of approximately $6.8 million and $5.2 million, respectively, which will begin to expire in 2024. The net operating loss carryovers may be subject to annual limitations under Internal Revenue Code Section 382, and similar state provisions, should there be a greater than 50% ownership change as determined under the applicable income tax regulations. The amount of the limitation would be determined based on the value of the company immediately prior to the ownership change and subsequent ownership changes could further impact the amount of the annual limitation. An ownership change pursuant to Section 382 may have occurred in the past or could happen in the future, such that the NOLs available for utilization could be significantly limited. The Company files federal and state (California) tax returns which are subject to audit for the year beginning December 31, 2016. No tax audits were commenced or were in process during the years ended December 31, 2019 and 2018.

STOCKHOLDERS' DEFICIENCY

STOCKHOLDERS' DEFICIENCY	12 Months Ended
	Dec. 31, 2019
STOCKHOLDERS' DEFICIENCY
STOCKHOLDERS' DEFICIENCY	NOTE 9 Authorized Capital The Company is authorized to issue 500,000,000 shares of common stock, par value of $0.0001 per share, and 20,000,000 shares of preferred stock, par value of $0.0001 per share. The holders of the Company’s common stock are entitled to one vote per share. The preferred stock is designated as follows: 1,000,000 shares designated as Series A Preferred Stock, 31,000 shares designated as Series B Convertible Preferred Stock and 400 shares designated as Series C Preferred Stock. Equity Incentive Plan On August 15 and November 5, 2018, the Board of Directors and a majority of the Company’s shareholders, respectively, approved the 2018 Equity Incentive Plan (the “2018 Plan”). Under the 2018 Plan, 15,000,000 shares of common stock of the Company are authorized for issuance. The 2018 Plan provides for the issuance of incentive stock options, non-statutory stock options, rights to purchase common stock, stock appreciation rights, restricted stock and restricted stock units to employees, directors and consultants of the Company and its affiliates. The 2018 Plan requires the exercise price of stock options to be not less than the fair value of the Company’s common stock on the date of grant. As of December 31, 2019, there are 14,050,000 shares available for issuance under the 2018 Plan. Series A Preferred Stock The Series A Preferred Stock is not convertible into any series or class of stock of the Company. In addition, holders of the Series A Preferred Stock shall not be entitled to receive dividends, nor do they have a right to distribution from the assets of the Company in the event of any liquidation, dissolution, or winding up of the Company. Each record holder of Series A Preferred Stock shall have the right to vote on any matter with holders of the Company’s common stock and other securities entitled to vote, if any, voting together as one (1) class. Each record holder of Series A Preferred Stock is entitled to one hundred (100) votes per share of Series A Preferred Stock held by such holder. On November 5, 2018, the Company received a written consent of the majority of the stockholders to issue 1,000,000 shares of the Company’s Series A Preferred Stock to Mr. Mo, as a measure to protect the Company from an uninvited takeover. As of the date of filing, the shares of Series A Preferred Stock have not been issued. Series B Convertible Preferred Stock On November 30, 2018, the Company filed with the Secretary of State of the State of Delaware the Certificate of Designation of Series B Convertible Preferred Stock (the “Certificate of Designation”), which became effective upon filing. The Company designated 31,000 shares as Series B Convertible Preferred Stock out of the authorized and unissued preferred stock of the Company, par value $0.0001 per share. The Series B Convertible Preferred Stock does not contain any redemption provisions or other provisions requiring cash settlement within control of the holder. Series B Convertible Preferred Stock is senior in liquidation preference to common stock. Holders of shares of Series B Convertible Preferred Stock are not entitled to voting rights and dividend rights. Each share of Series B Convertible Preferred Stock, after 181 days after issuance and without the payment of additional consideration, shall be convertible at the option of the holder into fifty (50) fully paid and non-assessable shares of common stock. It was determined that the embedded conversion option is clearly and closely related to the equity host, therefore it is not bifurcated and not accounted for as a derivative. Each share of Series B Convertible Preferred Stock shall have a stated value of $1.00 per share. On November 30, 2018, the Company issued an aggregate of 30,858 shares of Series B Convertible Preferred Stock to certain existing common shareholders for aggregate proceeds of $30,858, which was determined to be nominal consideration. The Company analyzed the transaction and concluded that the issuance represented a deemed dividend in the form of the Series B Convertible Preferred Stock that was issued to a subset of the Company’s common stockholders, since the transaction’s primary purpose was not to raise capital and required no action by the recipients. The shares of Series B Convertible Preferred Stock were determined to have an aggregate issuance date fair value of $1,018,314, which was reduced by the consideration paid of $30,858, to arrive at the deemed dividend of $987,456. The Company recognized the deemed dividend by debiting and crediting additional paid-in capital. During the year ended December 31, 2019, holders of Series B Convertible Preferred Stock elected to convert an aggregate of 16,371 shares of Series B Convertible Preferred Stock into an aggregate of 818,550 shares of common stock. Series C Convertible Preferred Stock On August 19, 2019, the Company filed with the Secretary of State of the State of Delaware the Certificate of Designation of Series C Convertible Preferred Stock (the "Certificate of Designation"), which became effective upon filing. Pursuant to the Certificate of Designation, the Company designated 400 shares as Series C Convertible Preferred Stock out of the authorized and unissued preferred stock of the Company, par value $0.0001 per share. Series C Convertible Preferred Stock is senior in liquidation preference to the Company's common stock for an amount equal to the stated value per share of $10,000 ("Stated Value"). Holders of shares of Series C Convertible Preferred Stock shall vote on an as-if-converted-to-common-stock basis with the common stock. Holders of shares of Series C Convertible Preferred Stock are entitled to receive dividends when, as and if declared by the Board of Directors, at an annual rate of twelve percent (12)% beginning one year after each share's issuance. The Company may elect to redeem all or part of each share of Series C Convertible Preferred Stock for the Stated Value. Each share of Series C Convertible Preferred Stock, if converted within 180 days of such share's initial issuance, is convertible into a number of shares of common stock equal to the product determined by multiplying (i) the number of shares of Series C Convertible Preferred Stock being converted and any accrued dividends thereon and (ii) $1.00 per share. Each share of Series C Convertible Preferred Stock, if converted on or after the 181 st day of its initial issuance, is convertible into a number of shares of common stock equal to the product determined by multiplying (i) the number of shares of Series C Convertible Preferred Stock being converted and any accrued dividends thereon and (ii) 75% of the average of the trading prices five days prior to conversion but in no case less than $0.90 per share. In addition, all outstanding shares of Series C Convertible Preferred Stock may be automatically converted upon the occurrence of a qualified offering of at least $5 million of gross proceeds ("Qualified Offering") or an approved listing of common stock on a national stock exchange ("Uplisting"). In the event of a Qualified Offering, each share of Series C Convertible Preferred Stock would be converted into a number of shares of common stock equal to the product determined by dividing (i) the Stated Value of the number of shares of Series C Convertible Preferred Stock being converted and any accrued dividends thereon and (ii) 85% of the price of the securities sold in the Qualified Offering. In the event of an Uplisting, each share of Series C Convertible Preferred Stock would be converted into a number of shares of common stock equal to the product determined by dividing (i) the Stated Value of the number of shares of Series C Convertible Preferred Stock being converted and any accrued dividends thereon and (ii) if converted within 180 days of such share's initial issuance, $1.00 per share, and if converted on or after the 181 st day of its initial issuance, 75% of the average of the trading prices five days prior to conversion but in no case less than $0.90 per share. During the year ended December 31, 2019, the Company sold to certain investors an aggregate of 24.01 shares of Series C Convertible Preferred Stock and two-year immediately vested warrants to purchase an aggregate of 60,025 shares of the Company's common stock at an exercise price of $1.50 per share for aggregate gross proceeds of $216,000, less cash issuance costs of $32,000, for aggregate net proceeds of $184,000. The warrants, which were determined to be classified within stockholders' deficiency, had an aggregate issuance date fair value of $12,515. The Company has computed the fair value of warrants using the Black-Scholes pricing model with the following assumptions: risk free interest rate: 1.53% - 1.74%; expected term - 2 years, expected volatility - 97%, expected dividends - 0%. The Series C Convertible Preferred Stock is redeemable at the Company's option, therefore it has been classified within stockholders' deficiency on the consolidated balance sheet. An overall analysis of its features performed by the Company determined that the Series C Convertible Preferred Stock was more akin to equity. As a result, while the embedded conversion option ("ECO") contained certain anti-dilution price protection mechanisms, since the ECO was clearly and closely related to the equity host, it was not required to be bifurcated and accounted for as a derivative liability under ASC 815. The Company determined that the Series C Convertible Preferred Stock did not contain a beneficial conversion feature, since the conversion price exceeded the estimated fair value of the Company's common stock as of the commitment date, except upon a conversion in the event of a Qualified Offering, which was determined to be a contingent beneficial conversion feature, which will be measured when the contingency is resolved and, if determined to be beneficial at such time, will be recognized. Common Stock During the year ended December 31, 2018, the Company sold an aggregate of 1,081,819 shares of common stock at $0.66 per share to accredited investors for aggregate gross and net proceeds of $714,000 and $672 ,400, respectively. Of the $41,600 of issuance costs, $35,000 were cash costs and $6,600 were non-cash costs in the form of 10,000 shares of common stock that were issued during 2018. During the year ended December 31, 2019, the Company sold an aggregate of 1,361,059 shares of common stock at $0.66 per share to accredited investors for aggregate gross proceeds of $898,300. During the years ended December 31, 2019 and 2018, the Company issued 140,000 and 25,000 shares, respectively, of common stock under the 2018 Plan and 45,966 and 159,437 shares, respectively, of restricted common stock to consultants in exchange for services, which vest immediately. The grant date value of the common stock and restricted common stock were $133,660 and $145,904 during the years ended December 31, 2019 and 2018, respectively. Warrants On June 10, 2019, the Company issued two-year immediately vested warrants to purchase an aggregate of 150,000 shares of the Company's common stock at an exercise price of $1.00 per share to certain vendors in connection with consulting agreements. The warrants vested immediately on the date of issuance. The warrants, which were determined to be classified within stockholders' deficiency, had an aggregate issuance date fair value of $40,974. The Company has computed the fair value of the warrants using the Black Scholes option pricing model with the following valuation assumptions: risk free interest rate - 1.90%, contractual term - 2.0 years, expected volatility -97%, expected dividends - 0%. During the year ended December 31, 2019, the Company issued two-year immediately vested warrants to purchase an aggregate of 60,025 shares of the Company's common stock at an exercise price of $1.50 per share to certain investors in connection with the Series C Convertible Preferred Stock sales. (See Note 9 - Stockholders' Deficiency, Series C Convertible Preferred Stock) A summary of warrants activity during the year ended December 31, 2019 is presented below: Weighted Weighted Average Average Number of Exercise Remaining Intrinsic Warrants Price Term (Yrs) Value Outstanding, January 1, 2019 — $ — Issued 210,025 1.14 Exercised — — Expired — — Forfeited — — Outstanding, December 31, 2019 210,025 1.14 1.5 $ — Exercisable, December 31, 2019 210,025 $ 1.14 1.5 $ — A summary of outstanding and exercisable warrants as of December 31, 2019 is presented below: Warrants Outstanding Warrants Exercisable Weighted Outstanding Average Exercisable Exercise Number of Remaining Life Number of Price Warrants In Years Warrants $ 1.00 150,000 1.4 150,000 $ 1.50 60,025 1.7 60,025 210,025 1.5 210,025 Stock Options On December 28, 2018, the Company granted five-year options to purchase a total of 300,000 shares of common stock at an exercise price of $0.66 per share to employees pursuant to the 2018 Plan. The options vested one-fifth on the date of grant and the remaining options vest monthly over three years. The options had an aggregate grant date value of $113,312 which is recognized over the vesting period. On September 20, 2019, the Company granted five-year options to purchase a total of 100,000 shares of common stock at an exercise price of $0.66 per share to employees pursuant to the 2018 Plan. The options vested one-fifth on the first anniversary of the employment date and the remaining options vest monthly over three years. The options had an aggregate grant date value of $35,510 which is recognized over the vesting period. The Company has computed the fair value of stock options granted using the Black-Scholes option pricing model. In applying the Black-Scholes option pricing model, the Company used the following assumptions: For the Years Ended December 31, 2019 2018 Risk free interest rate 1.69 % 2.50 % Expected term (years) 2.50 3.09 Expected volatility 91.00 % 87.00 % Expected dividends 0.00 % 0.00 % Option forfeitures are accounted for at the time of occurrence. The expected term used is the estimated period of time that options granted are expected to be outstanding. The Company utilizes the “simplified” method to develop an estimate of the expected term of “plain vanilla” employee option grants. The Company does not yet have a trading history to support its historical volatility calculations. Accordingly, the Company is utilizing an expected volatility figure based on a review of the historical volatility of comparable entities over a period of time equivalent to the expected life of the instrument being valued. The risk-free interest rate was determined from the implied yields from U.S. Treasury zero-coupon bonds with a remaining term consistent with the expected term of the instrument being valued. The weighted average grant date fair value per share of options granted during the years ended December 31, 2019 and 2018 was $0.36 and $0.38, respectively. A summary of options activity during the years ended December 31, 2019 and 2018 is presented below: Weighted Weighted Average Average Number of Exercise Remaining Intrinsic Options Price Term (Yrs) Value Outstanding, January 1, 2018 — $ — Granted 300,000 0.66 Exercised — — Expired — — Forfeited — — Outstanding, December 31, 2018 300,000 0.66 Granted 100,000 0.66 Exercised — — Expired — — Forfeited (15,000) 0.66 Outstanding, December 31, 2019 385,000 $ 0.66 $ — Exercisable, December 31, 2019 144,373 $ 0.66 $ — The following table presents information related to stock options as of December 31, 2019: Options Outstanding Options Exercisable Weighted Outstanding Average Exercisable Exercise Number of Remaining Life Number of Price Options In Years Options $ Stock-Based Compensation During the years ended December 31, 2019 and 2018, the Company recognized stock-based compensation expense of $220,625 and $457,713, respectively, related to restricted common stock, warrants and stock options which are included within selling, general and administrative expenses and research and development expenses on the consolidated statements of operations. During the years ended December 31, 2019 and 2018, the Company recognized stock-based compensation related to research and development of $36,022 and $0, respectively. During the years ended December 31, 2019 and 2018, the Company recognized stock-based compensation related to selling, general and administrative expenses of $184,603 and $457,713, respectively. As of December 31, 2019, there was $92,210 of unrecognized stock-based compensation expense that will be recognized over the weighted average remaining vesting period of 2.39 years. The following table presents information related to stock-based compensation for the years ended December 31, 2019 and 2018: For the Years Ended December 31, 2019 2018 Common stock $ 133,660 $ 139,304 (1) Stock options 45,994 318,409 Warrants 40,971 — Total $ 220,625 $ 457,713 (1)

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2019
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 10 Operating Lease On January 1, 2017, KULR Technology Group, Inc. entered into a one-year lease agreement to lease 5,296 square feet of space located in San Diego, California with respect to its research and development activities. The base rent was $4,364 per month plus association fees of $531 per month. In connection with the lease, the Company paid the landlord a security deposit of $8,729. The aggregate base rent payable over the lease term was recognized on a straight-line basis. On December 30, 2018, the lease was extended until December 31, 2019, the base rent was $4,452 per month plus association fees of $555 per month. The lease was renewed on January 1, 2020. See Note 11 - Subsequent Events. On March 8, 2018, KULR Technology Corporation took over ESLI’s lease agreement and entered into a one-year lease agreement to lease 6,754 square feet of space located in San Diego, California with respect to its research and development activities starting May 1, 2018. The base rent was $8,150 per month. In connection with the lease, the Company recorded a liability to ESLI in connection with the security deposit of $8,150. The aggregate base rent payable over the lease term was recognized on a straight-line basis. On March 22, 2019, the Company extended the lease for 8 months with a base rent of $8,442 starting May 1, 2019. The Company moved out of the space as of December 15, 2019. During the years ended December 31, 2019 and 2018, operating lease expense was $162,520 and $127,327, respectively. As of December 31, 2019, the Company does not have any financing leases. Patent License Agreement On March 21, 2018, the Company entered into an agreement with the National Renewable Energy Laboratory (“NREL”) granting the Company an exclusive license to commercialize its patented Internal Short Circuit technology. The agreement is effective for as long as the licensed patents are enforceable, subject to certain early termination provisions specified in the agreement. In consideration, the Company agreed to pay to NREL the following: (i) a cash payment of $12,000 payable over one year, (ii) royalties ranging from 1.5% to 3.75% on the net sales price of the licensed products, as defined in the agreement, with minimum annual royalty payments ranging from $0 to $7,500. In addition, the Company shall use commercially reasonable efforts to bring the licensed products to market through a commercialization program that requires that certain milestones be met, as specified in the agreement. During the years ended December 31, 2019 and 2018, the Company recorded royalties of $1,290 and $0, respectively, which were included within cost of revenues. Sales Taxes States impose sales tax on certain sales to nonexempt customers. The Company is current in its filing with its home state of California and has reported no taxable sales for the year ended December 31, 2019. as a result of the following: (i) approximately 11% of the Company's sales are design and engineering services which are not subject to sales tax, (ii) certain product sales are shipped to non US countries, states outside of California, or tax-exempt government agencies, (iii) the Company’s customers are licensed resellers of the products and accordingly are exempt from the pass through of sales taxes. Accordingly, the Company did not collect sales taxes during the years ended December 31, 2019 and 2018. If, during an inspection by a tax authority, the Company was unable to support its customers’ tax exemption status, the Company may be subject to a liability for sales taxes not collected.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2019
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE 11 COVID-19 In January 2020, an outbreak of a new strain of coronavirus, COVID-19, was identified in Wuhan, China. Through the first quarter of 2020, the disease became widespread around the world, and on March 11, 2020, the World Health Organization declared a pandemic. Our business is dependent on developing new markets and new products to be used on a global basis, thus restrictions on travel could lead to reduced demand for our products and interruptions to supply chains. Also, the local regulations such as "Shelter in Place" will affect our ability to maintain regular R&D and manufacturing schedules as well as the capability to meet customer demands in a timely manner. Given the uncertainty around the extent and timing of the potential future spread or mitigation of the Coronavirus and around the imposition or relaxation of protective measures, we cannot reasonably estimate the impact to our future results of operations, cash flows, or financial condition. Operating Lease Renewal On January 1, 2020, KULR Technology Group, Inc. renewed a lease agreement for the 5,296 square feet of space located in San Diego, California under a six-month lease agreement ending June 30, 2020. The base rent was increased to $4,552 per month plus association fees of $555 per month. Standby Equity Distribution Agreement On February 27, 2020, KULR Technology Group, Inc. entered into a Standby Equity Distribution Agreement with YAII PN, Ltd., a Cayman Island exempt limited partnership (the “Investor”), pursuant to which the Company may, at its discretion, periodically sell to Investor up to $8,000,000 of shares of the Company’s common stock (the “Offering”), par value $0.0001 per share (the “Common Stock”). For each share of Common Stock purchased under the Standby Equity Distribution Agreement (the “Shares”), the Investor will pay the Company 80% of the lowest daily volume weighted average price of the Common Stock on the OTC Markets OTCQB or other principal market on which the Common Stock is traded for the five days immediately following the date the Company delivers notice requiring the Investor to purchase the Shares under the Standby Equity Distribution Agreement. The Investor’s obligation to purchase the Shares under the Standby Equity Distribution Agreement is subject to certain conditions, including the Company maintaining the effectiveness of a registration statement for the securities sold under the Standby Equity Distribution Agreement, and is limited to $100,000 per advance. In addition, the Company may not request advances if the Shares to be issued would result in the investor owning more than 4.99% of the Company’s outstanding Common Stock, with any such request being automatically modified to reduce the advance amount. The commitment period under the Standby Equity Distribution Agreement commenced on February 27, 2020 (the “Effective Date”) and expires on the earliest to occur of (i) first day of the month following the twenty-four months after the Effective Date, (ii) on which the Investor has purchased an aggregate amount of $8,000,000 of Shares under the Standby Equity Distribution Agreement, or (iii) the date the Standby Equity Distribution Agreement is earlier terminated. The Standby Equity Distribution Agreement contains customary representations, warranties and agreements of the Company and the Investor, indemnification rights and other obligations of the parties. The Company has the right to terminate the Standby Equity Distribution Agreement at any time upon prior written notice, at no cost to the Company, provided that (i) there are no outstanding advances which have yet to be issued and (ii) the Company has paid all amounts owed to the Investor. The Company agreed to issue to the Investor 95,847 shares of Common Stock as commitment shares in consideration for entering into the Standby Equity Distribution Agreement. The Company will not receive any cash proceeds from the issuance of these commitment shares. The Investor has covenanted not to cause or engage in any manner whatsoever, any direct or indirect short selling or hedging of the Company’s shares of Common Stock. In connection with the Offering, the Company paid the Investor a structuring fee equal to $15,000 and agreed to pay a financial advisor an 8% fee on gross proceeds received by the Company from the sale of Shares that exceeds $1,500,000. On May 12, 2020, the Company issued an aggregate of 20,292 shares of common stock in connection with an aggregate of $16,000 of proceeds received against advance notices submitted to the Investor under the Standby Equity Distribution Agreement. CARES ACT On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief and Economic Security Act ("CARES Act"). The CARES Act, amongst other things, includes provisions relating to refundable payroll tax credits, deferment of employer side social security payments, net operating loss carryback periods, alternative minimum tax credit refunds, modifications to the net interest deduction limitations and technical corrections to tax depreciation methods for qualified improvement property. Under ASC 740, the effects of new legislation are recognized upon enactment. Accordingly, the CARES Act is effective beginning in the quarter ended March 31, 2020. The Company is currently evaluating how provisions in the CARES Act will impact its consolidated financial statements, however, it does not currently believe that such provisions will have a material impact on the Company’s consolidated financial statements. Paycheck Protection Program Loan On April 27, 2020, the Company received loan proceeds in the amount of approximately $155,000 under the Paycheck Protection Program (“PPP”). The PPP, established as part of the CARES Act, provides for loans to qualifying businesses for amounts up to 2.5 times of the average monthly payroll expenses of the qualifying business. The loans and accrued interest are forgivable after eight weeks as long as the borrower uses the loan proceeds for eligible purposes, including payroll, benefits, rent and utilities, and maintains its payroll levels. The amount of loan forgiveness will be reduced if the borrower terminates employees or reduces salaries during the eight-week period. The unforgiven portion of the PPP loan is payable over two years at an interest rate of 1%, with a deferral of payments for the first six months. The Company intends to use the proceeds for purposes consistent with the PPP. While the Company currently believes that its use of the loan proceeds will meet the conditions for forgiveness of the loan, there can be no assurance that it will not take actions that could cause the Company to be ineligible for forgiveness of the loan, in whole or in part. Note Purchase Agreement and Promissory Note The Company also entered into a Note Purchase Agreement, dated February 27, 2020, with the Investor, pursuant to which the Investor purchased a full recourse promissory note (the “Note”) in the original principal amount of $1,500,000 (“Principal Amount”). In consideration for the issuance of the Note by the Company, the purchase price of the Note paid by the Investor was equal to the Principal Amount minus an original issue discount equal to 6%. The Note bears no interest and will become immediately due and payable on May 31, 2021 or upon acceleration, redemption or otherwise upon the occurrence of an event of default, as set forth in the Note. The Company will repay the Principal Amount in monthly installments as set forth in the Note. The Company may, at its discretion, prepay any installment amount or the principal amount, subject to a payment premium equal to the 10% of the amount being prepaid. The Company paid a financial advisor a $130,000 advisory fee in connection with the Note Purchase Agreement and Note.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2019
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation	Principles of Consolidation The consolidated financial statements of the Company include the accounts of KULR Technology Group, Inc. and its wholly-owned subsidiary, KULR Technology Corporation. All intercompany transactions have been eliminated in the consolidation.
Use of Estimates	Use of Estimates Preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, together with amounts disclosed in the related notes to the financial statements. The Company’s significant estimates used in these financial statements include, but are not limited to, fair value calculations for equity securities, stock-based compensation, the collectability of receivables, inventory valuations, the recoverability and useful lives of long-lived assets, and the valuation allowance related to the Company’s deferred tax assets. Certain of the Company’s estimates could be affected by external conditions, including those unique to the Company and general economic conditions. It is possible that these external factors could have an effect on the Company’s estimates and could cause actual results to differ from those estimates. See Note 3 — Summary of Significant Accounting Policies, Stock-Based Compensation for additional discussion of the use of estimates in estimating the fair value of the Company’s common stock.
Concentrations of Credit Risk	Concentrations of Credit Risk The Company maintains cash with major financial institutions. Cash held in U.S. bank institutions is currently insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000 at each institution. There were no uninsured cash balances as of December 31, 2019 and 2018, respectively. Customer concentrations are as follows: Revenues Accounts Receivable For the Years Ended December 31, As of December 31, 2019 2018 2019 2018 Customer A 43 % 66 % * 63 % Customer B * 13 % * * Customer C * * * 37 % Customer D 14 % * * * Customer E * * 20 % * Customer F * * 19 % * Customer G * * 33 % * Customer H * * 17 % * Customer I 12 % * * * Total 69 % 79 % 89 % 100 % * Less than 10% There is no assurance the Company will continue to receive significant revenues from any of these customers. Any reduction or delay in operating activity from any of the Company's significant customers, or a delay or default in payment by any significant customer, or termination of agreements with significant customers, could materially harm the Company's business and prospects. As a result of the Company's significant customer concentrations, its gross profit and results from operations could fluctuate significantly due to changes in political, environmental, or economic conditions, or the loss of, reduction of business from, or less favorable terms with any of the Company's significant customers. Vendor concentrations are as follows: As of December 31, 2019 2018 Vendor A 15 % 13 % Vendor B 16 % 15 % Vendor C 17 % 35 % Vendor D 12 % * Total 60 % 62 % * Less than 10%
Accounts Receivable	Accounts Receivable Accounts receivable are carried at their contractual amounts, less an estimate for uncollectible amounts. As of December 31, 2019 and 2018, no allowances for uncollectable amounts were determined to be necessary. Management estimates the allowance for bad debts based on existing economic conditions, the financial conditions of the customers, and the amount and age of past due accounts. Receivables are considered past due if full payment is not received by the contractual due date. Past due accounts are generally written off against the allowance for bad debts only after all collection attempts have been exhausted.
Inventory	Inventory Inventory is comprised of carbon fiber thermal interface solutions and internal short circuit batteries, which are available for sale. Inventories are stated at the lower of cost or net realizable value. Cost is determined by the first-in, first-out method. The cost of inventory that is sold to third parties is included within cost of sales and the cost of inventory that is given as samples is included within operating expenses. The Company periodically reviews for slow-moving, excess or obsolete inventories. Products that are determined to be obsolete, if any, are written down to net realizable value. As of December 31, 2019 and 2018, the Company’s inventory was comprised solely of finished goods.
Property and Equipment	Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation which is recorded commencing at the in-service date using the straight-line method at rates sufficient to charge the cost of depreciable assets to operations over their estimated useful lives, which range from 3 to 7 years. Leasehold improvements are amortized over the lesser of (a) the useful life of the asset; or (b) the remaining lease term. Maintenance and repairs are charged to operations as incurred. The Company capitalizes cost attributable to the betterment of property and equipment when such betterment extends the useful life of the assets. The Company reviews for the impairment of long-lived assets annually and whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. An impairment loss would be recognized when the present value of estimated future cash flows expected to result from the use of the asset and its eventual disposition is less than its carrying value.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company measures the fair value of financial assets and liabilities based on the guidance of Accounting Standards Codification ("ASC") 820 “Fair Value Measurements and Disclosures” (“ASC 820”) which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. ASC 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 describes three levels of inputs that may be used to measure fair value: Level 1 — quoted prices in active markets for identical assets or liabilities Level 2 — quoted prices for similar assets and liabilities in active markets or inputs that are observable Level 3 — inputs that are unobservable (for example, cash flow modeling inputs based on assumptions) The carrying amounts of the Company’s financial instruments, such as cash, accounts receivable and accrued expenses and other current liabilities approximate fair values due to the short-term nature of these instruments.
Preferred Stock	Preferred Stock The Company applies the accounting standards for distinguishing liabilities from equity when determining the classification and measurement of its preferred stock. Preferred shares subject to mandatory redemption are classified as liability instruments and are measured at fair value. Conditionally redeemable preferred shares (including preferred shares that feature redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control) are classified as temporary equity. At all other times, preferred shares are classified as stockholders’ equity. During the year ended December 31, 2018, the Company obtained a third-party valuation of its Series B Convertible Preferred Stock, which was considered in management’s estimation of the value of the equity instruments issued during that period. Based on the valuation, it was determined the Company’s Series B Convertible Preferred Stock had a fair value of $33.00 per share.
Convertible Instruments	Convertible Instruments The Company evaluates its convertible instruments to determine if those contracts or embedded components of those contracts qualify as derivative financial instruments to be separately accounted for in accordance with Topic 815 of the Financial Accounting Standards Board ("FASB") ASC. The accounting treatment of derivative financial instruments requires that the Company record embedded conversion options and any related freestanding instruments at their fair values as of the inception date of the agreement and at fair value as of each subsequent balance sheet date. Any change in fair value is recorded as non-operating, non-cash income or expense for each reporting period at each balance sheet date. The Company reassesses the classification of its derivative instruments at each balance sheet date. If the classification changes as a result of events during the period, the contract is reclassified as of the date of the event that caused the reclassification. Embedded conversion options and any related freestanding instruments are recorded as a discount to the host instrument. If the instrument is determined not to be a derivative liability, the Company then evaluates for the existence of a beneficial conversion feature by comparing the market price of the Company’s common stock as of the commitment date to the effective conversion price of the instrument.
Offering Costs	Offering Costs Deferred offering costs, which primarily consist of direct, incremental professional fees incurred in connection with a debt or equity financing, are capitalized as non-current assets on the balance sheet. Once the financing closes, the Company reclassifies such costs as either discounts to notes payable or as a reduction of proceeds received from equity transactions so that such costs are recorded as a reduction of additional paid-in capital. If the completion of a contemplated financing was deemed to be no longer probable, the related deferred offering costs would be charged to general and administrative expense in the consolidated financial statements.
Revenue Recognition	Revenue Recognition On January 1, 2018, the Company adopted ASC Topic 606, “Revenue from Contracts with Customers” (“ASC 606”). The core principle of ASC 606 requires that an entity recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. ASC 606 defines a five-step process to achieve this core principle and, in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than required under existing U.S. GAAP including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. The following five steps are applied to achieve that core principle: · Step 1: Identify the contract with the customer; · Step 2: Identify the performance obligations in the contract; · Step 3: Determine the transaction price; · Step 4: Allocate the transaction price to the performance obligations in the contract; and · Step 5: Recognize revenue when the company satisfies a performance obligation. The Company adopted ASC 606 for all applicable contracts using the modified retrospective method, which would have required a cumulative-effect adjustment, if any, as of the date of adoption. The adoption of ASC 606 did not have a material impact on the Company’s consolidated financial statements as of the date of adoption. As a result, a cumulative-effect adjustment was not required. The Company recognizes revenue primarily from the following different types of contracts: · Product sales – Revenue is recognized at the point the customer obtains controls of the goods and the Company satisfies its performance obligation, which is generally at the time it ships the product to the customer. · Contract services – Revenue is recognized at the point in time that the Company satisfies its performance obligation under the contract, which is generally at the time it delivers a report to the customer. The following table summarizes the disaggregation of our revenue recognized in our consolidated statements of operations: For the Years Ended December 31, 2019 2018 Product sales $ 735,431 $ 1,096,040 Contract services 94,967 177,988 Total revenue $ 830,398 $ 1,274,028 As of December 31, 2019 and 2018, the Company had $15,000 and $0 of deferred revenue, respectively, from contracts with customers. The contract liabilities represent payments received from customers for which the Company had not yet satisfied its performance obligation under the contract. The Company expects to satisfy the performance obligation within the next 12 months. During the years ended December 31, 2019, and 2018, $0 of revenue was recognized from performance obligations satisfied (or partially satisfied) in previous periods.
Shipping and Handling Costs	Shipping and Handling Costs Shipping and handling costs incurred by the Company as well as fees received by customers for product shipped to customers are included in selling, general and administrative expenses on the consolidated statements of operations. For the years ended December 31, 2019 and 2018, shipping and handling costs amounted to $3,172 and $932, respectively.
Research and Development	Research and Development Research and development ("R&D") include expenses incurred in connection with the R&D of our CFV thermal management solution and non-cash stock-based compensation expenses. Research and development expenses are charged to operations as incurred. During the years ended December 31, 2019 and 2018, the Company incurred $502,225 and $508,144, respectively, of research and development expenses.
Advertising Costs	Advertising Costs Advertising costs are expensed in the period incurred. Advertising costs charged to operations for the years ended December 31, 2019 and 2018 were $49,300 and $12,500, respectively, and are included in selling, general and administrative on the consolidated statements of operations.
Stock-Based Compensation	Stock-Based Compensation The Company measures the cost of services received in exchange for an award of equity instruments based on the fair value of the award. The fair value of the award is measured on the grant date. The fair value amount is then recognized over the period during which services are required to be provided in exchange for the award, usually the vesting period. Upon the exercise of an award, the Company issues new shares of common stock out of its authorized shares. During the year ended December 31, 2018, the Company obtained a third-party valuation of its common stock, which was also considered in management’s estimation of the value of the equity instruments issued during that period. Besides the third-party valuation, it was determined the Company’s common stock had a fair value of $0.66 per share, which was based on a number of factors, such as the examination of the sales of common stock for cash and the convertible preferred stock for cash etc. All of the shares of common stock sold during the year ended December 31, 2019 were sold at $0.66 per share, therefore the value of the equity instruments issued during 2019 was determined using a common stock fair value of $0.66 per share.
Net Loss Per Common Share	Net Loss Per Common Share Basic net loss per common share is computed by dividing net loss by the weighted average number of vested common shares outstanding during the period. Diluted net loss per common share is computed by dividing net loss by the weighted average number of common and dilutive common-equivalent shares outstanding during each period. Dilutive common-equivalent shares consist of shares of non-vested restricted stock, if not anti-dilutive. The following shares were excluded from the calculation of weighted average dilutive common shares because their inclusion would have been anti-dilutive: For the Years Ended December 31, 2019 2018 Series B Convertible Preferred Stock 724,350 1,542,850 Series C Convertible Preferred Stock 240,100 — Options 385,000 — Warrants 210,025 — Total 1,559,475 1,542,850
Operating Leases	Operating Leases The Company leases properties under operating leases. For leases in effect upon adoption of Accounting Standards Update ("ASU") 2016-02, "Leases (Topic 842)" at January 1, 2019 and for any leases commencing thereafter, the Company recognizes a liability to make lease payments, the "lease liability", and an asset representing the right to use the underlying asset during the lease term, the "right-of-use asset". The lease liability is measured at the present value of the remaining lease payments, discounted at the Company's incremental borrowing rate. The right-of-use asset is measured at the amount of the lease liability adjusted for the remaining balance of any lease incentives received, any cumulative prepaid or accrued rent if the lease payments are uneven throughout the lease term, any unamortized initial direct costs, and any impairment of the right-of-use-asset. Operating lease expense consists of a single lease cost calculated so that the remaining cost of the lease is allocated over the remaining lease term on a straight-line basis, variable lease payments not included in the lease liability, and any impairment of the right-of-use asset. The Company evaluated their operating lease and elected to apply the short-term lease measurement and recognition exemption in which the right of use asset and lease liability are not recognized for short-term leases. The adoption of this pronouncement did not have a material impact on the Company’s consolidated financial statements.
Income Taxes	Income Taxes The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of items that have been included or excluded in the financial statements or tax returns. Deferred tax assets and liabilities are determined on the basis of the difference between the tax basis of assets and liabilities and their respective financial reporting amounts (“temporary differences”) at enacted tax rates in effect for the years in which the temporary differences are expected to reverse. The Company utilizes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Management has evaluated and concluded that there were no material uncertain tax positions requiring recognition in the Company’s financial statements as of December 31, 2019 and 2018. The Company does not expect any significant changes in its unrecognized tax benefits within twelve months of the reporting date. The Company’s policy is to classify assessments, if any, for tax related interest as interest expense and penalties as selling, general and administrative expenses in the consolidated statements of operations
Subsequent Events	Subsequent Events The Company has evaluated subsequent events through the date which the consolidated financial statements were issued. Based upon the evaluation, the Company did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the consolidated financial statements, except as disclosed.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In November 2019, the FASB issued ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments - Credit Losses ("ASU 2019-11"). ASU 2019-11 is an accounting pronouncement that amends ASU 2016-13, "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments." The amendments update guidance on reporting credit losses for financial assets. These amendments affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The amendments in this ASU are effective, as revised by ASU 2019-10, for annual reporting periods beginning after December 15, 2022, as extended, including interim periods within those fiscal years. All entities may adopt the amendments through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (that is, a modified-retrospective approach). The Company is currently evaluating ASU 2019-11 and its impact on its consolidated financial statements and financial statement disclosures. In December 2019, the FASB issued ASU 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes," which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. ASU 2019-12 is effective for the Company beginning in fiscal years after December 15, 2020 and interim periods within fiscal years beginning after December 15, 2021. The Company is currently assessing the impact that this pronouncement will have on its consolidated financial statements. Recent Adopted Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update ("ASU") 2016-02, "Leases (Topic 842)." ASU 2016-02 requires that a lessee recognize the assets and liabilities that arise from operating leases. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. This amendment will be effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The FASB issued ASU No. 2018-10 "Codification Improvements to Topic 842, Leases" and ASU No. 2018-11 "Leases (Topic 842) Targeted Improvements" in July 2018, and ASU No. 2018-20 "Leases (Topic 842) - Narrow Scope Improvements for Lessors" in December 2018. ASU 2018-10 and ASU 2018-20 provide certain amendments that affect narrow aspects of the guidance issued in ASU 2016-02. ASU 2018-11 allows all entities adopting ASU 2016-02 to choose an additional (and optional) transition method of adoption, under which an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The Company adopted ASU 2016-02 effective January 1, 2019 and the adoption did not have a significant impact on the consolidated financial statements. In July 2017, the FASB issued ASU No. 2017‑11, “Earnings Per Share (Topic 260) and Derivatives and Hedging (Topic 815) — Accounting for Certain Financial Instruments with Down Round Features,” (“ASU 2017‑11”). Equity-linked instruments, such as warrants and convertible instruments may contain down round features that result in the strike price being reduced on the basis of the pricing of future equity offerings. Under ASU 2017‑11, a down round feature will no longer require a freestanding equity-linked instrument (or embedded conversion option) to be classified as a liability that is remeasured at fair value through the income statement (i.e. marked-to-market). However, other features of the equity-linked instrument (or embedded conversion option) must still be evaluated to determine whether liability or equity classification is appropriate. Equity classified instruments are not marked-to-market. For earnings per share (“EPS”) reporting, the ASU requires companies to recognize the effect of the down round feature only when it is triggered by treating it as a dividend and as a reduction of income available to common shareholders in basic EPS. The amendments in this ASU are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted, including adoption in any interim period. The Company adopted ASU 2017‑11 effective January 1, 2019 and its adoption did not have a material impact on the Company’s consolidated financial statements. In July 2018, the FASB issued ASU No. 2018‑09, “Codification Improvements” (“ASU 2018‑09”). These amendments provide clarifications and corrections to certain ASC subtopics including the following: Income Statement - Reporting Comprehensive Income – Overall (Topic 220‑10), Debt - Modifications and Extinguishments (Topic 470‑50), Distinguishing Liabilities from Equity – Overall (Topic 480‑10), Compensation - Stock Compensation - Income Taxes (Topic 718‑740), Business Combinations - Income Taxes (Topic 805‑740), Derivatives and Hedging – Overall (Topic 815‑10), and Fair Value Measurement – Overall (Topic 820‑10). The majority of the amendments in ASU 2018‑09 will be effective in annual periods beginning after December 15, 2018. The Company adopted ASU 2018‑09 effective January 1, 2019 and its adoption did not have a material impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU No. 2018‑13, “Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018‑13”). The amendments in ASU 2018‑13 modify the disclosure requirements on fair value measurements based on the concepts in the Concepts Statement, including the consideration of costs and benefits. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. The amendments are effective for all entities for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The Company adopted ASU 2018-13 effective January 1, 2019 and its adoption did not have a material impact on the Company’s consolidated financial statements. In November 2018, the FASB issued Accounting Standards Update No. 2018‑18, Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606 (“ASU 2018‑18”), which clarifies that certain transactions between participants in a collaborative arrangement should be accounted for under ASC 606 when the counterparty is a customer. In addition, ASU 2018‑18 precludes an entity from presenting consideration from a transaction in a collaborative arrangement as revenue from contracts with customers if the counterparty is not a customer for that transaction. For public business entities, the amendments in this update are effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. For all other entities, the amendments are effective for fiscal years beginning after December 15, 2020, and interim periods within fiscal years beginning after December 15, 2021. Early adoption is permitted, including adoption in any interim period, (1) for public business entities for periods for which financial 3 statements have not yet been issued and (2) for all other entities for periods for which financial statements have not yet been made available for issuance. The Company adopted ASU 2018-18 effective January 1, 2020 and its adoption is not expected to have a material impact on the Company's consolidated financial statements and related disclosures.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2019
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Schedule of concentrations of credit risk	Revenues Accounts Receivable For the Years Ended December 31, As of December 31, 2019 2018 2019 2018 Customer A 43 % 66 % * 63 % Customer B * 13 % * * Customer C * * * 37 % Customer D 14 % * * * Customer E * * 20 % * Customer F * * 19 % * Customer G * * 33 % * Customer H * * 17 % * Customer I 12 % * * * Total 69 % 79 % 89 % 100 % * Less than 10% As of December 31, 2019 2018 Vendor A 15 % 13 % Vendor B 16 % 15 % Vendor C 17 % 35 % Vendor D 12 % * Total 60 % 62 % * Less than 10%
Schedule of disaggregation of revenue	The following table summarizes the disaggregation of our revenue recognized in our consolidated statements of operations: For the Years Ended December 31, 2019 2018 Product sales $ 735,431 $ 1,096,040 Contract services 94,967 177,988 Total revenue $ 830,398 $ 1,274,028
Schedule of weighted average dilutive common shares because their inclusion would have been anti-dilutive	The following shares were excluded from the calculation of weighted average dilutive common shares because their inclusion would have been anti-dilutive: For the Years Ended December 31, 2019 2018 Series B Convertible Preferred Stock 724,350 1,542,850 Series C Convertible Preferred Stock 240,100 — Options 385,000 — Warrants 210,025 — Total 1,559,475 1,542,850

PREPAID EXPENSES (Tables)

PREPAID EXPENSES (Tables)	12 Months Ended
	Dec. 31, 2019
PREPAID EXPENSES
Schedule of Prepaid Expenses	December 31, 2019 2018 Filing fees $ 11,625 $ 8,750 Insurance 8,026 8,177 Research and development services 1,812 7,500 Other 2,362 2,606 Total prepaid expenses $ 23,825 $ 27,033

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2019
PROPERTY AND EQUIPMENT
Property, Plant and Equipment	December 31, Estimated Useful life 2019 2018 Computer equipment $ 13,356 $ 13,356 3 years Leasehold improvement 8,834 8,834 15 years or the remaining life of the lease Software 5,656 5,656 3 years Machinery and equipment 26,304 26,304 5-7 years Research and development equipment 12,810 12,810 3 years Furniture and fixtures 3,307 3,306 5 years 70,266 70,266 Less: accumulated deprecation (42,750) (25,475) Property and equipment; net $ 27,516 $ 44,791

ACCRUED EXPENSES AND OTHER CU_2

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2019
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
Schedule of accrued expenses and other current liabilities	December 31, 2019 2018 Payroll and vacation $ 525,917 $ 252,043 Travel expenses 45,707 48,248 Legal and professional fees 60,000 47,502 Payroll and income tax payable 9,670 12,678 Customer refund 6,843 — Credit card payable 4,581 4,586 Research and development expenses 3,790 2,850 Insurance 2,133 — Issuable equity — 3,960 Rent 176 176 Other 582 2,287 Total accrued expenses and other current liabilities $ 659,399 $ 374,330

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2019
INCOME TAXES
Schedule of Components of Income Tax Expense (Benefit)	For The Years Ended December 31, 2019 2018 Federal: Current $ — $ — Deferred (418,667) (347,767) State and local: Current — — Deferred (75,967) (121,933) (494,634) (469,700) Change in valuation allowance 494,634 469,700 Income tax provision $ — $ —
Schedule of Effective Income Tax Rate Reconciliation	For The Years Ended December 31, 2019 2018 Tax benefit at federal statutory rate (21.0) % (21.0) % State income taxes, net of federal benefit (6.0) % (6.0) % Permanent differences 1.6 % 0.2 % Other and prior year true-ups 0.4 % 4.0 % Change in valuation allowance 25.0 % 22.8 % Effective income tax rate (0.0) % (0.0) %
Schedule of Deferred Tax Assets and Liabilities	For The Years Ended December 31, 2019 2018 Deferred Tax Assets: Net operating loss carryforwards $ 1,975,739 $ 1,544,300 Research and development credit carryforwards 152,785 — Stock-based compensation 11,062 187,200 Accruals 150,548 64,000 Gross deferred tax assets 2,290,134 1,795,500 Valuation allowance (2,290,134) (1,795,500) Deferred tax asset, net of valuation allowance $ — $ — Changes in valuation allowance $ 494,634 $ 469,700

STOCKHOLDERS' DEFICIENCY (Table

STOCKHOLDERS' DEFICIENCY (Tables)	12 Months Ended
	Dec. 31, 2019
STOCKHOLDERS' DEFICIENCY
Schedule of warrants activity	A summary of warrants activity during the year ended December 31, 2019 is presented below: Weighted Weighted Average Average Number of Exercise Remaining Intrinsic Warrants Price Term (Yrs) Value Outstanding, January 1, 2019 — $ — Issued 210,025 1.14 Exercised — — Expired — — Forfeited — — Outstanding, December 31, 2019 210,025 1.14 1.5 $ — Exercisable, December 31, 2019 210,025 $ 1.14 1.5 $ —
Schedule of outstanding and exercisable warrants	A summary of outstanding and exercisable warrants as of December 31, 2019 is presented below: Warrants Outstanding Warrants Exercisable Weighted Outstanding Average Exercisable Exercise Number of Remaining Life Number of Price Warrants In Years Warrants $ 1.00 150,000 1.4 150,000 $ 1.50 60,025 1.7 60,025 210,025 1.5 210,025
Schedule of stock options granted	In applying the Black-Scholes option pricing model, the Company used the following assumptions: For the Years Ended December 31, 2019 2018 Risk free interest rate 1.69 % 2.50 % Expected term (years) 2.50 3.09 Expected volatility 91.00 % 87.00 % Expected dividends 0.00 % 0.00 %
Schedule of stock option activity outstanding and exercisable	A summary of options activity during the years ended December 31, 2019 and 2018 is presented below: Weighted Weighted Average Average Number of Exercise Remaining Intrinsic Options Price Term (Yrs) Value Outstanding, January 1, 2018 — $ — Granted 300,000 0.66 Exercised — — Expired — — Forfeited — — Outstanding, December 31, 2018 300,000 0.66 Granted 100,000 0.66 Exercised — — Expired — — Forfeited (15,000) 0.66 Outstanding, December 31, 2019 385,000 $ 0.66 $ — Exercisable, December 31, 2019 144,373 $ 0.66 $ — The following table presents information related to stock options as of December 31, 2019: Options Outstanding Options Exercisable Weighted Outstanding Average Exercisable Exercise Number of Remaining Life Number of Price Options In Years Options $
Schedule of Information relating to stock based compensation	The following table presents information related to stock-based compensation for the years ended December 31, 2019 and 2018: For the Years Ended December 31, 2019 2018 Common stock $ 133,660 $ 139,304 (1) Stock options 45,994 318,409 Warrants 40,971 — Total $ 220,625 $ 457,713

GOING CONCERN AND MANAGEMENT'_2

GOING CONCERN AND MANAGEMENT'S PLANS (Details) - USD ($)	Apr. 27, 2020	Apr. 30, 2020	Feb. 29, 2020
Maximum borrowing capacity under Line of credit			$ 8,000,000
Amount drawn under line of credit		$ 10,000	$ 1,500,000
Paycheck Protection Program Loan | Subsequent Event
Loan proceeds received	$ 155,000	$ 155,000

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Customer concentrations (Details)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Concentration Risk, Percentage	60.00%	62.00%
Revenues [Member]
Concentration Risk, Percentage	69.00%	79.00%
Accounts Receivable [Member]
Concentration Risk, Percentage	89.00%	100.00%
Customer A [Member] | Revenues [Member]
Concentration Risk, Percentage	43.00%	66.00%
Customer A [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage		63.00%
Customer B [Member] | Revenues [Member]
Concentration Risk, Percentage		13.00%
Customer B [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage
Customer C [Member] | Revenues [Member]
Concentration Risk, Percentage
Customer C [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage		37.00%
Customer D [Member] | Revenues [Member]
Concentration Risk, Percentage	14.00%
Customer D [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage
Customer E [Member] | Revenues [Member]
Concentration Risk, Percentage
Customer E [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage	20.00%
Customer F [Member] | Revenues [Member]
Concentration Risk, Percentage
Customer F [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage	19.00%
Customer G [Member] | Revenues [Member]
Concentration Risk, Percentage
Customer G [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage	33.00%
Customer H [Member] | Revenues [Member]
Concentration Risk, Percentage
Customer H [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage	17.00%
Customer I [Member] | Revenues [Member]
Concentration Risk, Percentage	12.00%
Customer I [Member] | Accounts Receivable [Member]
Concentration Risk, Percentage
Vendor A [Member]
Concentration Risk, Percentage	15.00%	13.00%
Vendor B [Member]
Concentration Risk, Percentage	16.00%	15.00%
Vendor C [Member]
Concentration Risk, Percentage	17.00%	35.00%
Vendor D [Member]
Concentration Risk, Percentage	12.00%

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES- consolidated statements of operations: (Details) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Disaggregation of Revenue [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	$ 830,398	$ 1,274,028
Product sales [Member]
Disaggregation of Revenue [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	735,431	1,096,040
Contract services [Member]
Disaggregation of Revenue [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	$ 94,967	$ 177,988

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - weighted average dilutive common shares (Details) - shares	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	1,559,475	1,542,850
Series B Convertible Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	724,350	1,542,850
Series C Convertible Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	240,100	0
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	385,000	0
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	210,025	0

SUMMARY OF SIGNIFICANT ACCOUN_7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Research and Development Expense Including Related Party	$ 502,225	$ 508,144
Cash, FDIC Insured Amount	250,000	250,000
Deferred revenue	15,000	0
Revenue Recognized	0	0
Cost of Goods and Services Sold	226,505	336,654
Advertising Expense	$ 49,300	12,500
Share Price	$ 0.66
Shipping and Handling [Member] | Selling, general and administrative expenses
Cost of Goods and Services Sold	$ 3,172	$ 932
Minimum [Member]
Property, Plant and Equipment, Useful Life	3 years	3 years
Maximum [Member]
Property, Plant and Equipment, Useful Life	7 years	7 years

PREPAID EXPENSES (Details)

PREPAID EXPENSES (Details) - USD ($)	Dec. 31, 2019	Dec. 31, 2018
Total prepaid expenses	$ 23,825	$ 27,033
Business development services [Member]
Filing fees	11,625	8,750
Insurance	8,026	8,177
Research and development services	1,812	7,500
Other	2,362	2,606
Total prepaid expenses	$ 23,825	$ 27,033

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 70,266	$ 70,266
Less: accumulated deprecation	(42,750)	(25,475)
Property and equipment; net	27,516	44,791
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 13,356	13,356
Property, Plant and Equipment, Estimated Useful life	3 years
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 8,834	8,834
Property, Plant and Equipment, Estimated Useful life	15 years or the remaining life of the lease
Software [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 5,656	5,656
Property, Plant and Equipment, Estimated Useful life	3 years
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 26,304	26,304
Machinery and Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful life	P5Y
Machinery and Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful life	P7Y
Research And Development Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 12,810	12,810
Property, Plant and Equipment, Estimated Useful life	3 years
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Gross	$ 3,307	$ 3,306
Property, Plant and Equipment, Estimated Useful life	5 years

PROPERTY AND EQUIPMENT - Additi

PROPERTY AND EQUIPMENT - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
PROPERTY AND EQUIPMENT
Depreciation	$ 17,275	$ 15,311

ACCRUED EXPENSES AND OTHER CU_3

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($)	Dec. 31, 2019	Dec. 31, 2018
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
Payroll and vacation	$ 525,917	$ 252,043
Travel expenses	45,707	48,248
Legal and professional fees	60,000	47,502
Payroll and income tax payable	9,670	12,678
Customer refund	6,843	0
Credit card payable	4,581	4,586
Research and development expenses	3,790	2,850
Insurance	2,133	0
Issuable equity	0	3,960
Rent	176	176
Other	582	2,287
Total accrued expenses and other current liabilities	$ 659,399	$ 374,330

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018	Dec. 31, 2019
Related Party Transaction [Line Items]
Due to Other Related Parties, Current		$ 83,919	$ 10,419
Adjustments to Additional Paid in Capital, Other	$ 35,000
Chief Technology Officer CTO [Member]
Related Party Transaction [Line Items]
Due to Other Related Parties, Current		83,919	$ 10,419
Due To Related Parties WriteOff		$ 50,000
Energy Science Laboratories, Inc ESLI [Member]
Related Party Transaction [Line Items]
Adjustments to Additional Paid in Capital, Other	$ 35,000

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Federal:
Current	$ 0	$ 0
Deferred	(418,667)	(347,767)
State and local:
Current	0	0
Deferred	(75,967)	(121,933)
Income Tax Expense Benefit, Federal, State And local, Net	(494,634)	(469,700)
Change in valuation allowance	494,634	469,700
Income tax provision	$ 0	$ 0

INCOME TAXES - Reconciliation o

INCOME TAXES - Reconciliation of the statutory federal income tax rate (Details)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
INCOME TAXES
Tax benefit at federal statutory rate	(21.00%)	(21.00%)
State income taxes, net of federal benefit	(6.00%)	(6.00%)
Permanent differences	1.60%	0.20%
Other and prior year true-ups	0.40%	4.00%
Change in valuation allowance	25.00%	22.80%
Effective income tax rate	0.00%	0.00%

INCOME TAXES - Tax effects (Det

INCOME TAXES - Tax effects (Details) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Components of Deferred Tax Assets [Abstract]
Net operating loss carryforwards	$ 1,975,739	$ 1,544,300
Research and development credit carryforwards	152,785	0
Stock-based compensation	11,062	187,200
Accruals	150,548	64,000
Gross deferred tax assets	2,290,134	1,795,500
Valuation allowance	(2,290,134)	(1,795,500)
Deferred tax asset, net of valuation allowance	0	0
Changes in valuation allowance	$ 494,634	$ 469,700

INCOME TAXES - Additional Infor

INCOME TAXES - Additional Information (Details) - USD ($)	Jun. 13, 2017	Dec. 31, 2019	Dec. 31, 2018
INCOME TAXES
Operating Loss Carryforwards		$ 7,300,000	$ 5,700,000
Operating Loss Carryforwards, Limitations on Use		The net operating loss carryovers may be subject to annual limitations under Internal Revenue Code Section 382, and similar state provisions, should there be a greater than 50% ownership change as determined under the applicable income tax regulations.
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent		21.00%	21.00%
Repayment of Notes Receivable from Related Parties	$ 6,800,000
Interest Income, Notes Receivable			$ 5,200,000
Operating Loss Carry forwards Expiration Year		net operating losses will expire from 2033 to 2037
Deferred Tax Assets, Operating Loss Carryforwards, Subject to Expiration		$ 3,900,000
Deferred Tax Assets, Operating Loss Carryforwards, Not Subject to Expiration		3,400,000
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount		$ 494,634	$ 469,700

STOCKHOLDERS' DEFICIENCY - Warr

STOCKHOLDERS' DEFICIENCY - Warrant activity (Details) - Warrants	12 Months Ended
	Dec. 31, 2019USD ($)$ / sharesshares
Number of Warrants
Number of Warrants, Outstanding, January 1, 2019 | shares	0
Number of Warrants, Issued | shares	210,025
Number of Warrants, Exercised | shares	0
Number of Warrants, Expired | shares	0
Number of Warrants, Forfeited | shares	0
Number of Warrants Outstanding, Outstanding, December 31, 2019 | shares	210,025
Number of Warrants Exercisable | shares	210,025
Weighted Average Exercise Price
Weighted Average Exercise Price, Outstanding January 1, 2019 | $ / shares	$ 0
Weighted Average Exercise Price, Issued | $ / shares	1.14
Weighted Average Exercise Price, Exercised | $ / shares	0
Weighted Average Exercise Price, Expired | $ / shares	0
Weighted Average Exercise Price, Forfeited | $ / shares	0
Weighted Average Exercise Price, Outstanding December 31, 2019 | $ / shares	1.14
Weighted Average Exercise Price Exercisable | $ / shares	$ 1.14
Weighted Average Remaining Term (Yrs)
Weighted Average Remaining Term, Outstanding	1 year 6 months
Weighted Average Remaining Term, Exercisable	1 year 6 months
Intrinsic Value
Intrinsic Value, Outstanding | $	$ 0
Intrinsic Value, Exercisable | $	$ 0

STOCKHOLDERS' DEFICIENCY - Outs

STOCKHOLDERS' DEFICIENCY - Outstanding and exercisable warrants (Details) - Warrants - $ / shares	12 Months Ended
	Dec. 31, 2019	Jun. 10, 2019	Dec. 31, 2018
Summary of outstanding and exercisable warrants
Exercise Price of Warrants Outstanding	$ 0	$ 1
Outstanding Number of Warrants	210,025		0
Weighted Average Remaining Life In Years of Warrants Exercisable	1 year 6 months
Exercisable Number of Warrants	210,025
1.00 Exercise Price [Member]
Summary of outstanding and exercisable warrants
Exercise Price of Warrants Outstanding	$ 1
Outstanding Number of Warrants	150,000
Weighted Average Remaining Life In Years of Warrants Exercisable	1 year 4 months 24 days
Exercisable Number of Warrants	150,000
1.50 Exercise Price [Member]
Summary of outstanding and exercisable warrants
Exercise Price of Warrants Outstanding	$ 1.50
Outstanding Number of Warrants	60,025
Weighted Average Remaining Life In Years of Warrants Exercisable	1 year 8 months 12 days
Exercisable Number of Warrants	60,025

STOCKHOLDERS' DEFICIENCY - Opti

STOCKHOLDERS' DEFICIENCY - Option pricing model (Details)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
STOCKHOLDERS' DEFICIENCY
Risk free interest rate (as a percent)	1.69%	2.50%
Contractual term	2 years 6 months	3 years 1 month 2 days
Expected volatility (as a percent)	91.00%	87.00%
Expected dividends (as a percent)	0.00%	0.00%

STOCKHOLDERS' DEFICIENCY - Stoc

STOCKHOLDERS' DEFICIENCY - Stock activity (Details) - USD ($)	Sep. 20, 2019	Dec. 28, 2018	Dec. 31, 2019	Dec. 31, 2018
STOCKHOLDERS' DEFICIENCY
Number of Options, Outstanding			300,000	0
Number of Options, Granted	100,000	300,000	100,000	300,000
Number of Options, Exercised			0
Number of Options, Expired			0
Number of Options, Forfeited			15,000	0
Number of Options, Outstanding			385,000	300,000
Number of Options, Exercisable			144,373
Weighted Average Exercise Price, Outstanding			$ 0
Weighted Average Exercise Price, Granted	$ 0.66	$ 0.66	0.66
Weighted Average Exercise Price, Exercised			0
Weighted Average Exercise Price, Expired			0
Weighted Average Exercise Price, Forfeited			0.66	$ 0
Weighted Average Exercise Price Outstanding			0.66	$ 0
Weighted Average Exercise Price Exercisable			$ 0.66
Weighted Average Remaining Term, Outstanding			4 years 2 months 12 days
Weighted Average Remaining Term, Exercisable			4 years
Number of Options Intrinsic Value, Outstanding			$ 0
Number of Options Intrinsic Value, Exercisable			$ 0

STOCKHOLDERS' DEFICIENCY - St_2

STOCKHOLDERS' DEFICIENCY - Stock options (Details) - $ / shares	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Options Outstanding, Exercise Price	$ 0.66
Options Outstanding, Number of Options	385,000	300,000	0
Options Exercisable, Weighted Average Remaining Life	4 years
Options Exercisable Number of Options	144,373
0.66 Exercise Price [Member]
Options Outstanding, Exercise Price	$ 0.66
Options Outstanding, Number of Options	385,000
Options Exercisable, Weighted Average Remaining Life	4 years
Options Exercisable Number of Options	144,373

STOCKHOLDERS' DEFICIENCY - St_3

STOCKHOLDERS' DEFICIENCY - Stock-Based Compensation (Details) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	$ 220,625	$ 457,713
Unrecognized stock-based compensation expense	$ 92,210
Weighted average remaining vesting period	2 years 4 months 21 days
Grant date value debited to additional paid in capital	$ 6,600
Selling, general and administrative expenses
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	184,603	457,713
Research and development expenses
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	36,022	0
Common Stock
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	133,660	139,304
Grant date value debited to additional paid in capital	6,600
Stock options
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	45,994	318,409
Warrants
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	$ 40,971	$ 0

STOCKHOLDERS' DEFICIENCY - Addi

STOCKHOLDERS' DEFICIENCY - Additional Information (Details) - USD ($)		Sep. 20, 2019	Aug. 19, 2019	Jun. 10, 2019	Dec. 28, 2018	Nov. 30, 2018	Dec. 31, 2019	Dec. 31, 2018		Nov. 05, 2018
Allocated Share-based Compensation Expense							$ 220,625	$ 457,713
Common Stock, Shares Authorized							500,000,000	500,000,000
Preferred Stock, Shares Authorized							20,000,000	20,000,000
Common Stock, Par or Stated Value Per Share							$ 0.0001	$ 0.0001
Preferred Stock, Par or Stated Value Per Share							$ 0.0001	$ 0.0001
Allocated Share-based Compensation Expense							$ 220,625	$ 457,713
Proceeds from Issuance of Common Stock	[1]						898,300	679,000
Payments of Stock Issuance Costs							15,000	$ 0
Stock Issued							$ 6,600
Share-based Compensation Arrangement by Share-based Payment Award, Option, Nonvested, Weighted Average Exercise Price							$ 0.36	$ 0.38
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross		100,000			300,000		100,000	300,000
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate							91.00%	87.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate							1.69%	2.50%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate							0.00%	0.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term							2 years 6 months	3 years 1 month 2 days
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price		$ 0.66			$ 0.66		$ 0.66
Share based Compensation Arrangement By Share based Payment Award Options Non vested Weighted Average Aggregate Grant Date Fair Value		$ 35,510			$ 113,312
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized							$ 92,210
Gross Proceeds From Issuance Of Common Stock							$ 898,300	$ 714,000
Adjustments to Additonal Paid in Capital Series B Convertible Preferred Stock Issued As Deemed Dividend 1								$ 987,456
Convertible Preferred Stock [Member]
Preferred Stock, Par or Stated Value Per Share							$ 33
Preferred Stock, Shares Issued						30,858
Preferred Class A [Member]
Preferred Stock, Shares Issued										1,000,000
Series B Convertible Preferred Stock
Stock Issued During Period, Shares, New Issues							0
Preferred Stock, Shares Authorized						31,000	31,000	31,000
Preferred Stock, Par or Stated Value Per Share						$ 0.0001
Conversion of Stock, Shares Converted							16,371
Preferred Stock, Shares Issued							14,487	30,858
Convertible Preferred Stock, Shares Issued upon Conversion						50	818,550
Convertible Preferred Stock, Terms of Conversion						181 days
Proceeds from Convertible Debt						$ 30,858
Convertible Preferred Stock Fair Value Disclosure						1,018,314
Adjustments to Additonal Paid in Capital Series B Convertible Preferred Stock Issued As Deemed Dividend 1						$ 987,456		$ 0
Series A Preferred Stock [Member]
Preferred Stock, Shares Authorized							1,000,000	1,000,000
Preferred Stock, Shares Issued							0	0
Series C Convertible Preferred Stock
Stock Issued During Period, Shares, New Issues							0
Preferred Stock, Shares Authorized							400	400
Preferred Stock, Par or Stated Value Per Share			$ 0.0001
Liquidation preference, value per share			$ 0.0001
Preferred Stock, Dividend Rate, Percentage			12.00%
Gross proceeds from converted stock (qualified offering)			$ 5,000,000
Preferred Stock, Convertible, Conversion, Percentage of Securities Price			85.00%
Preferred Stock, Shares Issued							24.01
Convertible Preferred Stock, Shares Reserved for Future Issuance			400
Payments of Stock Issuance Costs							$ 62,000
Adjustments to Additonal Paid in Capital Series B Convertible Preferred Stock Issued As Deemed Dividend 1								$ 0
Series C Convertible Preferred Stock | Less than 180 Days [Member]
Preferred Stock, Convertible, Conversion Price Per Share			$ 1
Series C Convertible Preferred Stock | More than 180 Days [Member]
Preferred Stock, Convertible, Conversion Price Per Share			$ 0.90
Preferred Stock, Convertible, Conversion, Threshold Days			5 days
Preferred Stock, Convertible, Conversion, Average of Trading Prices			75.00%
2018 Group Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized							14,050,000			15,000,000
General and Administrative Expense [Member]
Allocated Share-based Compensation Expense							$ 220,625	457,713
Allocated Share-based Compensation Expense							$ 220,625	457,713
Related Parties [Member]
Proceeds from Issuance of Common Stock								32,000
Restricted common stock
Grant date value of stock								$ 145,904
Restricted common stock | 2018 Group Equity Incentive Plan [Member]
Stock Issued During Period, Shares, New Issues							45,966	159,437
Common Stock
Stock Issued During Period, Shares, New Issues							1,361,059	1,081,819	[2]
Grant date value of stock							$ 133,660
Allocated Share-based Compensation Expense							133,660	$ 139,304
Allocated Share-based Compensation Expense							$ 133,660	139,304
Sale of Stock, Price Per Share							$ 0.66
Payments of Stock Issuance Costs								$ 41,600
Stock Issued							$ 6,600
Sale of Stock, Number of Shares Issued in Transaction								10,000
Gross Proceeds From Issuance Of Common Stock								$ 714,000
Net Proceeds From Issuance Of Common Stock							672,400
Adjustments to Additonal Paid in Capital Series B Convertible Preferred Stock Issued As Deemed Dividend 1								0
Common Stock | Cash
Payments of Stock Issuance Costs							0	$ 35,000
Common Stock | Series C Convertible Preferred Stock
Proceeds from Issuance of Common Stock							$ 184,000
Shares, Issued							60,025
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price							$ 1.50
Gross proceeds from issuance of preferred stock and warrants							$ 216,000
Common Stock | Series C Convertible Preferred Stock | Cash
Payments of Stock Issuance Costs							$ 32,000
Common Stock | 2018 Group Equity Incentive Plan [Member]
Stock Issued During Period, Shares, New Issues							140,000	25,000
Warrants
Allocated Share-based Compensation Expense							$ 40,971	$ 0
Class of Warrant or Right, Exercise Price of Warrants or Rights				$ 1			$ 0
Allocated Share-based Compensation Expense							$ 40,971	$ 0
Warrants Not Settleable in Cash, Fair Value Disclosure				$ 40,974			$ 12,515
Class of Warrant or Right, Number of Securities Called by Warrants or Rights				150,000
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate				97.00%			97.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate				1.90%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate				0.00%			0.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term				2 years			2 years
Warrants | Series C Convertible Preferred Stock
Class of Warrant or Right, Exercise Price of Warrants or Rights				$ 1.50
Class of Warrant or Right, Number of Securities Called by Warrants or Rights				60,025			60,025
Warrants | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate							1.74%
Warrants | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate							1.53%
[1]	Includes gross proceeds of $714,000, less withheld cash issuance costs of $35,000 for the year ended December 31, 2018. There were no issuance costs for the year ended December 31, 2019.
[2]	Includes gross proceeds of $714,000, less issuance costs of $41,600 ($35,000 of cash and $6,600 of non-cash).

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details)	Mar. 08, 2018USD ($)ft²	Jan. 02, 2017USD ($)	Dec. 30, 2018USD ($)	Mar. 21, 2018USD ($)	Dec. 31, 2019USD ($)	Dec. 31, 2019USD ($)	Dec. 31, 2018USD ($)	Jan. 01, 2017ft²
Area of Land | ft²	6,754							5,296
Operating Lease, Base Rent	$ 8,150	$ 4,364	$ 4,452		$ 8,442
Operating Lease, Association Fees		531	$ 555
Payments Made for Security Deposit	$ 8,150	$ 8,729
Operating Lease, Expense						$ 162,520	$ 127,327
Royalty Expense						1,290	0
Research and Development Expense						$ 502,225	$ 508,144
License [Member]
Research and Development Expense				$ 12,000
Design and engineering services
Percentage of sales not subject to tax						11.00%
Minimum [Member]
Royalty Rate				1.50%
Royalty Expense				$ 0
Maximum [Member]
Royalty Rate				3.75%
Royalty Expense				$ 7,500

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details)

May 12, 2020USD ($)shares

Apr. 27, 2020USD ($)

Feb. 27, 2020USD ($)$ / sharesshares

Jan. 01, 2020USD ($)ft²

Mar. 08, 2018USD ($)ft²

Jan. 02, 2017USD ($)

Apr. 30, 2020USD ($)

Dec. 30, 2018USD ($)

Dec. 31, 2019USD ($)$ / shares

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

Dec. 31, 2018USD ($)$ / sharesshares

Jan. 01, 2017ft²

Subsequent Event [Line Items]

Lease agreement renewed, area | ft²

6,754

5,296

Operating Lease, Base Rent

$ 8,150

$ 4,364

$ 4,452

$ 8,442

Operating Lease, Association Fees

$ 531

$ 555

Par value per share (in dollars per share) | $ / shares

$ 0.0001

$ 0.0001

$ 0.0001

Common stock issued for cash, net of issuance costs

$ 898,300

$ 672,400

[1]

Common Stock

Subsequent Event [Line Items]

Sale of Stock, Price Per Share | $ / shares

$ 0.66

$ 0.66

Sale of Stock, Number of Shares Issued in Transaction | shares

10,000

Common stock issued for cash, net of issuance costs (in shares) | shares

1,361,059

1,081,819

[1]

Common stock issued for cash, net of issuance costs

$ 135

$ 108

[1]

Series C Convertible Preferred Stock

Subsequent Event [Line Items]

Common stock issued for cash, net of issuance costs (in shares) | shares

0

Common stock issued for cash, net of issuance costs

$ 0

$ 0

[1]

Standby Equity Distribution Agreement

Subsequent Event [Line Items]

Threshold maximum investor's ownership percentage

4.99%

Note Purchase Agreement and Promissory Note

Subsequent Event [Line Items]

Interest rate (as a percentage)

0.00%

Advisory fees paid to financial advisor

$ 130,000

Subsequent Event

Subsequent Event [Line Items]

Lease agreement renewed, area | ft²

5,296

Lease agreement renewal term

6 months

Operating Lease, Base Rent

$ 4,552

Operating Lease, Association Fees

$ 555

Subsequent Event | Paycheck Protection Program Loan

Subsequent Event [Line Items]

Loan proceeds received

$ 155,000

$ 155,000

Average monthly payroll ratio

2.5

Term of forgivable loan

56 days

Subsequent Event | Paycheck Protection Program Loan

Subsequent Event [Line Items]

Term of unforgiven loan

2 years

Interest rate of unforgiven loan

1.00%

Deferral term of unforgiven loan

6 months

Subsequent Event | Standby Equity Distribution Agreement

Subsequent Event [Line Items]

Shares authorized to sell (in shares) | shares

8,000,000

Par value per share (in dollars per share) | $ / shares

$ 0.0001

Lowest daily volume weighted average price of the Common Stock to be paid (as a percent)

80.00%

Threshold number of trading days for investor payments

5 days

Investor's obligation to purchase, per advance amount

$ 100,000

Threshold maximum investor's ownership percentage

4.99%

Commitment period

24 months

Cost for termination of agreement

$ 0

Company's right to terminate the agreement, outstanding advances which is yet to be issued

$ 0

Number of commitment shares agreed to be issued | shares

95,847

Structuring fee paid to investor

$ 15,000

Percentage of gross proceeds from sale of shares exceeding the threshold amount to be paid as fee to financial advisor (as a percent)

8.00%

Threshold amount of gross proceeds for payment of fees to financial advisor

$ 1,500,000

Common stock issued for cash, net of issuance costs (in shares) | shares

20,292

Common stock issued for cash, net of issuance costs

$ 16,000

Subsequent Event | Note Purchase Agreement and Promissory Note

Subsequent Event [Line Items]

Purchase price of the Note paid

$ 1,500,000

Original issue discount of notes issued (as a percent)

6.00%

Prepayment premium (as a percentage)

10.00%

[1]

Includes gross proceeds of $714,000, less issuance costs of $41,600 ($35,000 of cash and $6,600 of non-cash).