Cover
Cover | 12 Months Ended |
Dec. 31, 2020 | |
Cover [Abstract] | |
Entity Registrant Name | Twin Vee PowerCats, Co. |
Entity Central Index Key | 0001855509 |
Document Type | S-1 |
Amendment Flag | false |
Entity Filer Category | Non-accelerated Filer |
Entity Emerging Growth Company | true |
Entity Ex Transition Period | false |
Entity Small Business | true |
Entity Incorporation, State or Country Code | DE |
BALANCE SHEETS
BALANCE SHEETS - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 891,816 | $ 215,574 |
Inventories, net | 936,676 | 704,156 |
Prepaid expenses and other current assets | 31,450 | 12,196 |
Total current assets | 1,859,942 | 931,926 |
Property and equipment, net | 1,365,029 | 1,325,978 |
Operating right of use asset | 1,279,595 | |
Total assets | 4,504,566 | 2,257,904 |
Current liabilities: | ||
Accounts payable | 799,280 | 863,642 |
Accrued liabilities | 235,779 | 160,893 |
Contract liability | 6,784 | 71,502 |
Warranty reserve | 75,000 | 75,000 |
Capital leases | 445,760 | |
Notes payable - related party | 27,850 | |
Liability right of use assets | 295,374 | |
Total current liabilities | 1,440,067 | 1,616,797 |
Long-term operating lease liabilities | 1,015,759 | |
Notes payable - EIDL loan | 499,900 | |
Notes Payable - related party | 525,500 | |
Total Liabilities | 2,955,726 | 2,142,297 |
Stockholders' equity: | ||
Common stock, $.01 par value, authorized shares 10,000; Issued and outstanding 100 and 100, respectively | 1 | 1 |
Additional Paid-in Capital | 2,555,386 | 2,293,230 |
Accumulated deficit | (1,006,547) | (2,177,624) |
Total stockholders' equity | 1,548,840 | 115,607 |
Total liabilities and stockholders' equity | $ 4,504,566 | $ 2,257,904 |
BALANCE SHEETS (Parenthetical)
BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 10,000 | 10,000 |
Common stock, shares issued | 100 | 100 |
Common stock, shares outstanding | 100 | 100 |
STATEMENTS OF OPERATIONS
STATEMENTS OF OPERATIONS - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement [Abstract] | ||
Net sales | $ 11,063,619 | $ 10,432,517 |
Cost of products sold | 6,289,316 | 6,354,968 |
Gross Profit | 4,774,303 | 4,077,549 |
Costs and expenses: | ||
Salaries and wages | 2,857,773 | 3,241,981 |
Selling and administrative | 872,669 | 786,548 |
Professional fees | 167,299 | 95,191 |
Depreciation | 155,728 | 115,056 |
Total operating costs | 4,053,469 | 4,238,776 |
Income / (Loss) from operations | 720,834 | (161,227) |
Other income (expense): | ||
Gain on sale of assets | 19,327 | |
Forgiveness of PPP loan | 609,500 | |
Interest expense | (178,584) | (165,468) |
Total other income (expense), net | 450,243 | (165,468) |
Net income / (loss) before income tax expense | 1,171,077 | (326,695) |
Net income / (loss) | $ 1,171,077 | $ (326,695) |
Basic and diluted income / (loss) per common share | $ 11,711 | $ (3,267) |
Weighted average common shares outstanding basic and diluted | 100 | 100 |
STATEMENTS OF CHANGES IN STOCKH
STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) | Common Stock | Additional Paid-In Capital | Retained Earnings / Accumulated Deficit | Total |
Beginning balance, shares at Dec. 31, 2018 | 100 | |||
Beginning balance, value at Dec. 31, 2018 | $ 1 | $ 1,038,736 | $ (1,850,929) | $ (812,192) |
Net loss | (326,695) | (326,695) | ||
Capital contribution of advances from parent | 1,254,494 | 1,254,494 | ||
Ending balance, shares at Dec. 31, 2019 | 100 | |||
Ending balance, value at Dec. 31, 2019 | $ 1 | 2,293,230 | (2,177,624) | 115,607 |
Net loss | 1,171,077 | 1,171,077 | ||
Capital contribution of advances from parent | 262,156 | 262,156 | ||
Ending balance, shares at Dec. 31, 2020 | 100 | |||
Ending balance, value at Dec. 31, 2020 | $ 1 | $ 2,555,386 | $ (1,006,547) | $ 1,548,840 |
STATEMENTS OF CASH FLOWS
STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Operating activities | ||
Net income / (loss) | $ 1,171,077 | $ (326,695) |
Adjustments to reconcile net income / (loss) to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 155,728 | 115,056 |
Gain on disposal of fixed assets | (19,327) | |
Amortization of operating right of use asset | 307,143 | |
Changes in operating assets and liabilities: | ||
Accounts receivable | 74,452 | |
Inventories | (232,520) | 163,062 |
Prepaid expenses and other current assets | (19,254) | (12,196) |
Other assets | 10,721 | |
Accounts payable | (64,362) | (103,192) |
Accrued expenses | 74,886 | (6,221) |
Contract Liability | (64,718) | (64,403) |
Due to related party | (119,980) | |
Net cash provided by (used in) operating activities | 1,308,653 | (269,396) |
Investing activities | ||
Proceeds from sale of equipment | 349,744 | |
Purchases of property and equipment | (525,196) | (675,740) |
Net cash used in investing activities | (175,452) | (675,740) |
Financing activities | ||
Capital contributions from Parent, net | 262,156 | 1,254,494 |
Proceeds from EIDL Loan | 499,900 | |
Repayment of note payable related party | (497,650) | |
Operating lease liabilities | (275,605) | (117,533) |
Payment of capital lease obligations | (445,760) | |
Net cash (used in) provided by financing activities | (456,959) | 1,136,961 |
Net increase in cash | 676,242 | 191,825 |
Cash at beginning of year | 215,574 | 23,749 |
Cash at end of year | 891,816 | 215,574 |
Noncash investing and financing activities: | ||
Operating right of use assets obtained in exchange for operating lease liabilities | $ 1,586,738 |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | 1. Significant Accounting Policies Organization Twin Vee Catamarans, Inc.. (“Twin Vee” “we”, ‘us” or the “Company”) is a designer, manufacturer and marketer of recreational power catamaran boats. Twin Vee’s home base operations in Fort Pierce, Florida is a 7.5-acre facility with several buildings totaling over 75,000 square feet. We employ approximately 85 people, some of whom have been with the Company for over twenty years. We primarily sell our boats through a current network of 16 independent dealers in 22 locations across North America and the Caribbean, who resell the boats to the end-user Twin Vee customers. Revenue Recognition The Company’s revenue is derived primarily from the sale of boats, motors and trailers, to its independent dealers. The Company recognizes revenue when obligations under the terms of a contract are satisfied and control over promised goods is transferred to the dealer. For the majority of sales, this occurs when the product is released to the carrier responsible for transporting it to a dealer. The Company typically receives payment within five business days of shipment. Revenue is measured as the amount of consideration it expects to receive in exchange for a product. The Company offers dealer incentives that include wholesale rebates, retail rebates and promotions, floor plan reimbursement or cash discounts, and other allowances that are recorded as reductions of revenues in net sales in the statements of operations. The consideration recognized represents the amount specified in a contract with a customer, net of estimated incentives the Company reasonably expects to pay. The estimated liability and reduction in revenue for dealer incentives is recorded at the time of sale. Subsequent adjustments to incentive estimates are possible because actual results may differ from these estimates if conditions dictate the need to enhance or reduce sales promotion and incentive programs or if dealer achievement or other items vary from historical trends. Accrued dealer incentives are included in accrued expenses and other current liabilities in the accompanying balance sheets. The Company accounts for revenue in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 606 which was adopted at the beginning of fiscal year 2018 using the modified retrospective method. The Company did not recognize any cumulative-effect adjustment to retained earnings upon adoption as the effect was immaterial. Payment received for the future sale of a boat to a customer is recognized as a customer deposit, which is included in contract liabilities on the balance sheet. Customer deposits are recognized as revenue when control over promised goods is transferred to the customer. The customer deposit balance as of December 31, 2020 and 2019, was $6,784 and $71,502 respectively, and is expected to be recognized as revenue within a one-year period. Rebates and Discounts Dealers earn wholesale rebates based on purchase volume commitments and achievement of certain performance metrics. The Company estimates the amount of wholesale rebates based on historical achievement, forecasted volume, and assumptions regarding dealer behavior. Rebates that apply to boats already in dealer inventory are referred to as retail rebates. The Company estimates the amount of retail rebates based on historical data for specific boat models adjusted for forecasted sales volume, product mix, dealer and consumer behavior, and assumptions concerning market conditions. The Company also utilizes various programs whereby it offers cash discounts or agrees to reimburse its dealers for certain floor plan interest costs incurred by dealers for limited periods of time, generally ranging up to nine months. Shipping and Handling Costs Shipping and handling costs includes those costs incurred to transport product to customers and internal handling costs, which relate to activities to prepare goods for shipment. The Company has elected to account for shipping and handling costs associated with outbound freight after control over a product has transferred to a customer as a fulfillment cost. The Company includes shipping and handling costs, including costs billed to customers, in cost of sales in the statements of operations. Other Revenue Recognition Matters Dealers generally have no right to return unsold boats. Occasionally, the Company may accept returns in limited circumstances and at the Company’s discretion under its warranty policy. The Company may be obligated, in the event of default by a dealer, to accept returns of unsold boats under its repurchase commitment to floor financing providers, who are able to obtain such boats through foreclosure. The repurchase commitment is on an individual unit basis with a term from the date it is financed by the lending institution through the payment date by the dealer, generally not exceeding 30 months. The Company has excluded sales and other taxes assessed by a governmental authority in connection with revenue-producing activities from the determination of the transaction price for all contracts. The Company has not adjusted net sales for the effects of a significant financing component because the period between the transfer of the promised goods and the customer’s payment is expected to be one year or less. Concentrations of Credit and Business Risk Financial instruments that potentially subject the Company to concentrations of credit risk primarily consist of trade receivables. Credit risk on trade receivables is mitigated as a result of the Company’s use of trade letters of credit, dealer floor plan financing arrangements, and the geographically diversified nature of the Company’s customer base. The Company minimizes the concentration of credit risk associated with its cash by maintaining its cash with high quality federally insured financial institutions. However, cash balances in excess of the Federal Deposit Insurance Corporation (“FDIC”) insured limit of $250,000 are at risk. During the years ended December 31, 2020 and 2019, the Company had $320,863 and $0 in excess of FDIC insured limits. Supplier Concentrations The Company is dependent on the ability of its suppliers to provide products on a timely basis and on favorable pricing terms. The loss of certain principal suppliers or a significant reduction in product availability from principal suppliers could have a material adverse effect on the Company. Business risk insurance is in place to mitigate the business risk associated with sole suppliers for sudden disruptions such as those caused by natural disasters. The Company is dependent on third-party equipment manufacturers, distributors, and dealers for certain parts and materials utilized in the manufacturing process. During the years ended December 31, 2020 and 2019, the Company purchased all engines for its boats under a supply agreement with a single vendor. Total purchases to this vendor were $1,898,327 and $1,782,606 respectively. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States “U.S. GAAP” requires management to make estimates and assumptions that affect the amounts reported in the financial statements. Actual results could differ from those estimates. Included in those estimates are assumptions about allowances for inventory obsolescence, useful life of fixed assets, warranty reserves and bad-debt reserves. Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with original maturities of three months or less at the time of purchase. On December 31, 2020 and December 31, 2019, the Company did not have any cash equivalents. Fair Value of Financial Instruments The carrying amounts of cash, accounts receivable, prepaid expenses and other assets, accounts payable, accrued liabilities and notes payable to stockholder approximate their fair values as of December 31, 2020 and December 31, 2019, respectively, because of their short-term natures. Inventories Inventories are stated at the lower of cost or net realizable value using the first-in, first-out (FIFO) method. Net realizable value is defined as sales price less cost of completion, disposable and transportation and a normal profit margin. Production costs, consisting of labor and overhead, are applied to ending finished goods inventories at a rate based on estimated production capacity. Excess production costs are charged to cost of products sold. Provisions have been made to reduce excess or obsolete inventories to their net realizable value. Property and Equipment Property and equipment are stated at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful lives of the related assets, except for assets held under capital leases, for which the Company records depreciation and amortization based on the shorter of the asset’s useful life or the term of the lease. The estimated useful lives of property and equipment range from three to five years. Upon sale or retirement, the cost and related accumulated depreciation and amortization are eliminated from their respective accounts, and the resulting gain or loss is included in results of operations. Repairs and maintenance charges, which do not increase the useful lives of the assets, are charged to operations as incurred. Impairment of Long-Lived Assets Management assesses the recoverability of its long-lived assets when indicators of impairment are present. If such indicators are present, recoverability of these assets is determined by comparing the undiscounted net cash flows estimated to result from those assets over the remaining life to the assets’ net carrying amounts. If the estimated undiscounted net cash flows are less than the net carrying amount, the assets would be adjusted to their fair value, based on appraisal or the present value of the undiscounted net cash flows. Product Warranty Costs As required by FASB ASC Topic 460, Guarantees The Company accrues for warranty costs based on the expected material and labor costs to provide warranty replacement products. The methodology used in determining the liability for warranty cost is based upon historical information and experience. The Company’s warranty reserve is calculated as the gross sales multiplied by the historical warranty expense return rate. The following table shows the changes in the aggregate product warranty liability for the year’s ended December 31, 2020 and December 31, 2019, respectively: 2020 2019 Balance as of beginning of year $ 75,000 $ 75,000 Less: Payments made (63,606 ) (59,668 ) Add: Provision for current years warranty 63,606 59,668 Balance as of end of year $ 75,000 $ 75,000 Advertising Costs Advertising and marketing costs are expensed as incurred. During the years ended December 31, 2020 and 2019, advertising costs incurred by the Company totaled $28,736 and $19,570, respectively, and are included in selling and administrative expenses in the accompanying statements of operations. Leases The Company adopted FASB Accounting Standards Update (“ASU”) No. 2016-02, Leases Under Topic 842, the Company applied a dual approach to all leases whereby the Company is a lessee and classifies leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the Company. Lease classification is evaluated at the inception of the lease agreement. Paycheck Protection Program As U.S. GAAP does not contain authoritative accounting standards for forgivable loans provided by governmental entities to a for-profit entity. Absent authoritative accounting standards, interpretative guidance issued and commonly applied by financial statement preparers allows for the selection of accounting policies amongst acceptable alternatives. Based on the facts and circumstances, the Company determined it most appropriate to account for the Paycheck Protection Program (“PPP”) loan proceeds as an in-substance government grant by analogy to International Accounting Standards 20 “(IAS 20)”, Accounting for Government Grants and Disclosure of Government Assistance Income Taxes In accordance with U.S. GAAP, the Company follows the guidance in FASB ASC Topic 740, Accounting for Uncertainty in Income Taxes Income or loss and credits from the Company are passed through to their members and reported on the members’ income tax returns. As such, there is no provision for income taxes. If applicable, the Company would recognize interest and penalties associated with tax matters as part of operating expenses and include accrued interest and penalties with the related tax liability in its financial statements. Recent Accounting Pronouncements All other newly issued accounting pronouncements not yet effective have been deemed either immaterial or not applicable. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Inventories | 2. Inventories At December 31, 2020 and 2019 inventories consisted of the following: 2020 2019 Raw materials $ 763,633 $ 511,166 Work in process 173,043 192,990 Total inventory $ 936,676 $ 704,156 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Property and Equipment | 3. Property and Equipment At December 31, 2020 and 2019, property and equipment consisted of the following: December 31, 2020 2019 Machinery and equipment $ 985,862 $ 1,054,696 Furniture and fixtures 1,850 1,850 Leasehold improvements 228,875 109,499 Software and website development 113,120 101,320 Computer hardware and software 49,967 49,967 Boat molds 126,000 126,000 New model development 146,232 56,462 1,651,906 1,499,794 Less accumulated depreciation and amortization (286,877 ) (173,816 ) $ 1,365,029 $ 1,325,978 Depreciation and amortization expense of property and equipment for the years ended December 31, 2020 and 2019 is $155,728 and $115,056, respectively. |
Leases - Related Party
Leases - Related Party | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Leases - Related Party | 4. Leases – Related Party Operating right of use assets and operating lease liabilities are recognized at the lease commencement date. Operating lease liabilities represent the present value of lease payments not yet paid. Operating right of use assets represent our right to use an underlying asset and is based upon the operating lease liabilities adjusted for prepayments or accrued lease payments, initial direct costs, lease incentives, and impairment of operating lease assets. To determine the present value of lease payments not yet paid, we estimate incremental secured borrowing rates corresponding to the maturities of the leases. As we have outstanding secured debt, we used the rate based on loan of 1.67%. Our office lease contains rent escalations over the lease term. We recognize expense for this office lease on a straight-line basis over the lease term. Additionally, tenant incentives used to fund leasehold improvements are recognized when earned and reduce our right-of-use asset related to the lease. These are amortized through the right-of-use asset as reductions of expense over the lease term. The Company leases its office and warehouse facilities, and the land which are located at 3101 S US-1, Fort Pierce, Florida (he “Property”) from Visconti Holdings, LLC. Visconti Holdings, LLC is a single member LLC that holds the ownership of the Property and its sole member is Joseph C Visconti is the CEO and majority shareholder of the Company. The Company entered into the lease on January 1, 2020 and the lease has a term of five years. The current payment is $25,000 per month including property taxes and the lease required a $25,000 security deposit. On January 1, 2021, the Company entered into a revised five-year lease agreement with a monthly rent of $30,000. Supplemental balance sheet information related to leases was as follows: December 31, Operating Leases Classification 2020 Right-of-use assets Operating right of use assets $ 1,279,595 Current lease liabilities Current operating lease liabilities 295,374 Non current lease liabilities Long-term operating lease liabilities 1,015,759 Total lease liabilities $ 1,311,133 Lease term and discount rate were as follows: December 31, 2020 Weighted average remaining lease term (years) 4.0 Weighted average discount rate 1.67 % Year ended 2020 Operating lease cost $ 303,910 Variable lease cost (1) Total lease costs $ 303,910 (1) Variable lease cost primarily relates to common area maintenance, property taxes and insurance on leased real estate. Supplemental disclosures of cash flow information related to leases were as follows: December 31, 2020 Cash paid for operating lease liabilities $ 300,000 Operating right of use assets obtained in exchange for operating lease liabilities $ 1,311,133 Maturities of lease liabilities were as follows as of December 31, 2020: Operating Leases 2021 $ 315,000 2022 330,750 2023 347,287 2024 364,652 Total 1,357,689 Less: Imputed interest (46,556 ) Present value of lease liabilities $ 1,311,133 |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Accrued Liabilities | 5. Accrued Liabilities At December 31, 2020 and December 31, 2019, accrued liabilities consisted of the following: 2020 2019 Accrued wages and benefits $ 60,988 $ 77,368 Accrued expenses relating to vendors and others 92,843 48,562 Interest 62,317 31,530 Other 19,631 3,436 $ 235,779 $ 160,896 |
Notes Payable - Related Party
Notes Payable - Related Party | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Notes Payable - Related Party | 6. Notes Payable – Related Party At December 31,2018, the Company entered into a loan and promissory note with Joseph C. Visconti, the CEO and majority shareholder of the Company. The principal amount of the loan was $525,500, together with a simple interest rate of 6% on the balance of principal remaining unpaid. During the years ended December 31, 2020 and 2019, the Company repaid $497,650 and $0, respectively. At December 31, 2020 and 2019, the outstanding amount of the note payable was $27,850 and $525,500, respectively. Accrued interest at December 31, 2020 and 2019, amounted to $62,317 and $31,530, respectively. Subsequent to year end, the note has been paid in full. |
Capital Lease Obligations
Capital Lease Obligations | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Capital Lease Obligations | 7. Capital Lease Obligations The Company’s property under capital leases, which is included in property and equipment, is summarized as follows at December 31: 2020 2019 Equipment $ - $ 444,314 Less - accumulated depreciation - (55,901 ) Net Book Value $ - $ 388,413 The capital leases require monthly payments ranging from $1,066 to $9,629 with interest rates ranging from 4.83% to 5.67% through October 2024. During the year ended December 31, 2020, the Company paid off the capital lease balance of $455,760. |
Notes Payable - Paycheck Protec
Notes Payable - Paycheck Protection Program | 12 Months Ended |
Dec. 31, 2020 | |
Notes to Financial Statements | |
Notes Payable - Paycheck Protection Program | 8. Notes Payable – Paycheck Protection Program In response to the coronavirus disease (“Covid-19”) COVID-19 pandemic, the PPP was established under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act and administered by the SBA. Companies who met the eligibility requirements set forth by the PPP could qualify for PPP loans. If the loan proceeds are fully utilized to pay qualified expenses, the full principal amount of the PPP loan, along with any accrued interest, may qualify for loan forgiveness, subject to potential reduction based on the level of full-time employees maintained by the organization. On April 17, 2020, the Company, in coordination with its parent, Twin Vee Powercats, Inc., received a loan of $609,500 under the PPP provided by Suntrust/Truist Bank. The loan bears interest at 1.0%, with principal and interest payments deferred for the first six months of the loan. After that, the loan and interest would be paid back over a period of 18 months, if the loan is not forgiven under the terms of the PPP. Funds from the loan may only be used for payroll costs, costs used to continue group health care benefits, mortgage payments, rent, utilities, and interest on other debt obligations incurred before February 15, 2020. When it applied for the loan, the Company believed it would qualify to have the loan forgiven under the terms of the PPP, and therefore considered the loan to be substantively a conditional government grant to be accounted for using an analogy to IAS 20. The Company performed the calculations, applied for, and received PPP loan forgiveness on November 13, 2020. As the Company received its loan forgiveness prior to December 31, 2020, it has recognized PPP grant income for the full amount of the PPP loan, $609,500, and no liability for the PPP loan is reflected in the balance sheet as of December 31, 2020. |
Notes Payable - SBA EIDL Loan
Notes Payable - SBA EIDL Loan | 12 Months Ended |
Dec. 31, 2020 | |
Notes to Financial Statements | |
Notes Payable - SBA EIDL Loan | 9. Notes Payable – SBA EIDL Loan On April 22, 2020, the Company, in coordination with its parent, Twin Vee Powercats, Inc., received an SBA Economic Injury Disaster Loan (“EIDL”) in the amount of $499,900. The loan in response to the COVID-19 Pandemic. The loan is a 30-year loan with an interest rate of 3.75%, monthly payments of $2,437 to begin April 22, 2021, under the EIDL program, which is administered through the Small Business Administration (“SBA”). Under the guidelines of the EIDL, the maximum term is 30 years; however, terms are determined on a case-by-case basis based on each borrower’s ability to repay and carry an interest rate of 3.75%. The EIDL loan may be prepaid by the Company at any time prior to maturity with no prepayment penalties. The proceeds from this loan must be used solely as working capital to alleviate economic injury caused by the COVID-19 pandemic. As part of the EIDL loan, the Company granted the SBA a continuing security interest in and to any and all collateral to secure payment and performance of all debts, liabilities and obligations of the Company to the SBA under the EIDL loan. The collateral includes substantially all tangible and intangible personal property of the Company. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10. Commitments and Contingencies Repurchase Obligations Under certain conditions, the Company is obligated to repurchase new inventory repossessed from dealerships by financial institutions that provide credit to the Company’s dealers. See Note 1 for more information regarding the terms and accounting policies related to this obligation. The maximum obligation of the Company under such floor plan agreements totaled approximately $1,790,000 and $2,473,000 as of December 31, 2020 and 2019, respectively. We incurred no impact from repurchase events during the years ended December 31, 2020, and 2019, Covid-19 The COVID-19 outbreak in the United States has caused business disruption through mandated and voluntary closings of multiple industries. While disruption is currently expected to be temporary, there is considerable uncertainty regarding the duration of the closings. The extent to which COVID-19 impacts future results, which are highly uncertain and cannot be predicted, including new information which may emerge concerning the severity of the coronavirus and the action to contain it or treat its impact, among others. At this time, the Company cannot estimate with meaningful precision the potential impact to its financial and operational results. Litigation The Company is currently involved in civil various civil litigation in the normal course of business none of which is considered material. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 11. Related Party Transactions As discussed in note 4, the Company has leased its facilities from its CEO and majority shareholder. Additionally, as discussed in note 6, the Company has a promissory note with its CEO and majority shareholder. |
Major Customers
Major Customers | 12 Months Ended |
Dec. 31, 2020 | |
Notes to Financial Statements | |
Major Customers | 12. Major Customers During the year ended December 31, 2020, sales from one customer represented 11%, total sales. During the year ended December 31, 2019, sales from four customers represented 16%, 15%, 12%, and 12% for a total of 56% of sales. The loss of business from one or a combination of the Company’s significant customers, or an unexpected deterioration in their financial condition, could adversely affect the Company’s operations. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | 13. Subsequent Events The Company has evaluated all events or transactions that occurred after December 31, 2020 through March 15, 2021 which is the date that the financial statements were available to be issued. During this period, there were no material subsequent events requiring disclosure, except as noted below. On January 1, 2021, the Company entered into a revised five-year lease agreement with a monthly rent of $30,000 with an entity controlled by the Company’s CEO and majority shareholder, Joseph C. Visconti. On April 8, 2021, the Company changed its name to Twin Vee PowerCats Co. and converted from a Florida corporation to a Delaware corporation. Also on April 8, 2021, the Company adopted the 2021 Stock Incentive Plan in which it earmarked certain shares for future issuances of share-based compensation to employees. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Organization | Organization Twin Vee Catamarans, Inc.. (“Twin Vee” “we”, ‘us” or the “Company”) is a designer, manufacturer and marketer of recreational power catamaran boats. Twin Vee’s home base operations in Fort Pierce, Florida is a 7.5-acre facility with several buildings totaling over 75,000 square feet. We employ approximately 85 people, some of whom have been with the Company for over twenty years. We primarily sell our boats through a current network of 16 independent dealers in 22 locations across North America and the Caribbean, who resell the boats to the end-user Twin Vee customers. |
Revenue Recognition | Revenue Recognition The Company’s revenue is derived primarily from the sale of boats, motors and trailers, to its independent dealers. The Company recognizes revenue when obligations under the terms of a contract are satisfied and control over promised goods is transferred to the dealer. For the majority of sales, this occurs when the product is released to the carrier responsible for transporting it to a dealer. The Company typically receives payment within five business days of shipment. Revenue is measured as the amount of consideration it expects to receive in exchange for a product. The Company offers dealer incentives that include wholesale rebates, retail rebates and promotions, floor plan reimbursement or cash discounts, and other allowances that are recorded as reductions of revenues in net sales in the statements of operations. The consideration recognized represents the amount specified in a contract with a customer, net of estimated incentives the Company reasonably expects to pay. The estimated liability and reduction in revenue for dealer incentives is recorded at the time of sale. Subsequent adjustments to incentive estimates are possible because actual results may differ from these estimates if conditions dictate the need to enhance or reduce sales promotion and incentive programs or if dealer achievement or other items vary from historical trends. Accrued dealer incentives are included in accrued expenses and other current liabilities in the accompanying balance sheets. The Company accounts for revenue in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 606 which was adopted at the beginning of fiscal year 2018 using the modified retrospective method. The Company did not recognize any cumulative-effect adjustment to retained earnings upon adoption as the effect was immaterial. Payment received for the future sale of a boat to a customer is recognized as a customer deposit, which is included in contract liabilities on the balance sheet. Customer deposits are recognized as revenue when control over promised goods is transferred to the customer. The customer deposit balance as of December 31, 2020 and 2019, was $6,784 and $71,502 respectively, and is expected to be recognized as revenue within a one-year period. |
Rebates and Discounts | Rebates and Discounts Dealers earn wholesale rebates based on purchase volume commitments and achievement of certain performance metrics. The Company estimates the amount of wholesale rebates based on historical achievement, forecasted volume, and assumptions regarding dealer behavior. Rebates that apply to boats already in dealer inventory are referred to as retail rebates. The Company estimates the amount of retail rebates based on historical data for specific boat models adjusted for forecasted sales volume, product mix, dealer and consumer behavior, and assumptions concerning market conditions. The Company also utilizes various programs whereby it offers cash discounts or agrees to reimburse its dealers for certain floor plan interest costs incurred by dealers for limited periods of time, generally ranging up to nine months. |
Shipping and Handling Costs | Shipping and Handling Costs Shipping and handling costs includes those costs incurred to transport product to customers and internal handling costs, which relate to activities to prepare goods for shipment. The Company has elected to account for shipping and handling costs associated with outbound freight after control over a product has transferred to a customer as a fulfillment cost. The Company includes shipping and handling costs, including costs billed to customers, in cost of sales in the statements of operations. |
Other Revenue Recognition Matters | Other Revenue Recognition Matters Dealers generally have no right to return unsold boats. Occasionally, the Company may accept returns in limited circumstances and at the Company’s discretion under its warranty policy. The Company may be obligated, in the event of default by a dealer, to accept returns of unsold boats under its repurchase commitment to floor financing providers, who are able to obtain such boats through foreclosure. The repurchase commitment is on an individual unit basis with a term from the date it is financed by the lending institution through the payment date by the dealer, generally not exceeding 30 months. The Company has excluded sales and other taxes assessed by a governmental authority in connection with revenue-producing activities from the determination of the transaction price for all contracts. The Company has not adjusted net sales for the effects of a significant financing component because the period between the transfer of the promised goods and the customer’s payment is expected to be one year or less. |
Concentrations of Credit and Business Risk | Concentrations of Credit and Business Risk Financial instruments that potentially subject the Company to concentrations of credit risk primarily consist of trade receivables. Credit risk on trade receivables is mitigated as a result of the Company’s use of trade letters of credit, dealer floor plan financing arrangements, and the geographically diversified nature of the Company’s customer base. The Company minimizes the concentration of credit risk associated with its cash by maintaining its cash with high quality federally insured financial institutions. However, cash balances in excess of the Federal Deposit Insurance Corporation (“FDIC”) insured limit of $250,000 are at risk. During the years ended December 31, 2020 and 2019, the Company had $320,863 and $0 in excess of FDIC insured limits. |
Supplier Concentrations | Supplier Concentrations The Company is dependent on the ability of its suppliers to provide products on a timely basis and on favorable pricing terms. The loss of certain principal suppliers or a significant reduction in product availability from principal suppliers could have a material adverse effect on the Company. Business risk insurance is in place to mitigate the business risk associated with sole suppliers for sudden disruptions such as those caused by natural disasters. The Company is dependent on third-party equipment manufacturers, distributors, and dealers for certain parts and materials utilized in the manufacturing process. During the years ended December 31, 2020 and 2019, the Company purchased all engines for its boats under a supply agreement with a single vendor. Total purchases to this vendor were $1,898,327 and $1,782,606 respectively. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States “U.S. GAAP” requires management to make estimates and assumptions that affect the amounts reported in the financial statements. Actual results could differ from those estimates. Included in those estimates are assumptions about allowances for inventory obsolescence, useful life of fixed assets, warranty reserves and bad-debt reserves. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with original maturities of three months or less at the time of purchase. On December 31, 2020 and December 31, 2019, the Company did not have any cash equivalents. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amounts of cash, accounts receivable, prepaid expenses and other assets, accounts payable, accrued liabilities and notes payable to stockholder approximate their fair values as of December 31, 2020 and December 31, 2019, respectively, because of their short-term natures. |
Inventories | Inventories Inventories are stated at the lower of cost or net realizable value using the first-in, first-out (FIFO) method. Net realizable value is defined as sales price less cost of completion, disposable and transportation and a normal profit margin. Production costs, consisting of labor and overhead, are applied to ending finished goods inventories at a rate based on estimated production capacity. Excess production costs are charged to cost of products sold. Provisions have been made to reduce excess or obsolete inventories to their net realizable value. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful lives of the related assets, except for assets held under capital leases, for which the Company records depreciation and amortization based on the shorter of the asset’s useful life or the term of the lease. The estimated useful lives of property and equipment range from three to five years. Upon sale or retirement, the cost and related accumulated depreciation and amortization are eliminated from their respective accounts, and the resulting gain or loss is included in results of operations. Repairs and maintenance charges, which do not increase the useful lives of the assets, are charged to operations as incurred. |
Impairment of Long -Lived Assets | Impairment of Long-Lived Assets Management assesses the recoverability of its long-lived assets when indicators of impairment are present. If such indicators are present, recoverability of these assets is determined by comparing the undiscounted net cash flows estimated to result from those assets over the remaining life to the assets’ net carrying amounts. If the estimated undiscounted net cash flows are less than the net carrying amount, the assets would be adjusted to their fair value, based on appraisal or the present value of the undiscounted net cash flows. |
Product Warranty Costs | Product Warranty Costs As required by FASB ASC Topic 460, Guarantees The Company accrues for warranty costs based on the expected material and labor costs to provide warranty replacement products. The methodology used in determining the liability for warranty cost is based upon historical information and experience. The Company’s warranty reserve is calculated as the gross sales multiplied by the historical warranty expense return rate. The following table shows the changes in the aggregate product warranty liability for the year’s ended December 31, 2020 and December 31, 2019, respectively: 2020 2019 Balance as of beginning of year $ 75,000 $ 75,000 Less: Payments made (63,606 ) (59,668 ) Add: Provision for current years warranty 63,606 59,668 Balance as of end of year $ 75,000 $ 75,000 |
Advertising Costs | Advertising Costs Advertising and marketing costs are expensed as incurred. During the years ended December 31, 2020 and 2019, advertising costs incurred by the Company totaled $28,736 and $19,570, respectively, and are included in selling and administrative expenses in the accompanying statements of operations. |
Leases | Leases The Company adopted FASB Accounting Standards Update (“ASU”) No. 2016-02, Leases Under Topic 842, the Company applied a dual approach to all leases whereby the Company is a lessee and classifies leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the Company. Lease classification is evaluated at the inception of the lease agreement. |
Paycheck Protection Program | Paycheck Protection Program As U.S. GAAP does not contain authoritative accounting standards for forgivable loans provided by governmental entities to a for-profit entity. Absent authoritative accounting standards, interpretative guidance issued and commonly applied by financial statement preparers allows for the selection of accounting policies amongst acceptable alternatives. Based on the facts and circumstances, the Company determined it most appropriate to account for the Paycheck Protection Program (“PPP”) loan proceeds as an in-substance government grant by analogy to International Accounting Standards 20 “(IAS 20)”, Accounting for Government Grants and Disclosure of Government Assistance |
Income Taxes | Income Taxes In accordance with U.S. GAAP, the Company follows the guidance in FASB ASC Topic 740, Accounting for Uncertainty in Income Taxes Income or loss and credits from the Company are passed through to their members and reported on the members’ income tax returns. As such, there is no provision for income taxes. If applicable, the Company would recognize interest and penalties associated with tax matters as part of operating expenses and include accrued interest and penalties with the related tax liability in its financial statements. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements All other newly issued accounting pronouncements not yet effective have been deemed either immaterial or not applicable. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of product warranty liability | The following table shows the changes in the aggregate product warranty liability for the year’s ended December 31, 2020 and December 31, 2019, respectively: 2020 2019 Balance as of beginning of year $ 75,000 $ 75,000 Less: Payments made (63,606 ) (59,668 ) Add: Provision for current years warranty 63,606 59,668 Balance as of end of year $ 75,000 $ 75,000 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Inventories | At December 31, 2020 and 2019 inventories consisted of the following: 2020 2019 Raw materials $ 763,633 $ 511,166 Work in process 173,043 192,990 Total inventory $ 936,676 $ 704,156 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of property and equipment | At December 31, 2020 and 2019, property and equipment consisted of the following: December 31, 2020 2019 Machinery and equipment $ 985,862 $ 1,054,696 Furniture and fixtures 1,850 1,850 Leasehold improvements 228,875 109,499 Software and website development 113,120 101,320 Computer hardware and software 49,967 49,967 Boat molds 126,000 126,000 New model development 146,232 56,462 1,651,906 1,499,794 Less accumulated depreciation and amortization (286,877 ) (173,816 ) $ 1,365,029 $ 1,325,978 |
Leases - Related Party (Tables)
Leases - Related Party (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of leases supplemental balance sheet information | December 31, Operating Leases Classification 2020 Right-of-use assets Operating right of use assets $ 1,279,595 Current lease liabilities Current operating lease liabilities 295,374 Non current lease liabilities Long-term operating lease liabilities 1,015,759 Total lease liabilities $ 1,311,133 |
Schedule of operating lease cost | Lease term and discount rate were as follows: December 31, 2020 Weighted average remaining lease term (years) 4.0 Weighted average discount rate 1.67 % Year ended 2020 Operating lease cost $ 303,910 Variable lease cost (1) Total lease costs $ 303,910 (1) Variable lease cost primarily relates to common area maintenance, property taxes and insurance on leased real estate. |
Schedule of lease supplemental disclosures of cash flow information | Supplemental disclosures of cash flow information related to leases were as follows: December 31, 2020 Cash paid for operating lease liabilities $ 300,000 Operating right of use assets obtained in exchange for operating lease liabilities $ 1,311,133 |
Schedule of maturities of lease liabilities | Maturities of lease liabilities were as follows as of December 31, 2020: Operating Leases 2021 $ 315,000 2022 330,750 2023 347,287 2024 364,652 Total 1,357,689 Less: Imputed interest (46,556 ) Present value of lease liabilities $ 1,311,133 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of accrued Liabilities | At December 31, 2020 and December 31, 2019, accrued liabilities consisted of the following: 2020 2019 Accrued wages and benefits $ 60,988 $ 77,368 Accrued expenses relating to vendors and others 92,843 48,562 Interest 62,317 31,530 Other 19,631 3,436 $ 235,779 $ 160,896 |
Capital Lease Obligations (Tabl
Capital Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of capital lease obligations | The Company’s property under capital leases, which is included in property and equipment, is summarized as follows at December 31: 2020 2019 Equipment $ - $ 444,314 Less - accumulated depreciation - (55,901 ) Net Book Value $ - $ 388,413 |
Significant Accounting Polici_4
Significant Accounting Policies (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Balance as of beginning of year | $ 75,000 | $ 75,000 |
Less: Payments made | (63,606) | (59,668) |
Add: Provision for current years warranty | 63,606 | 59,668 |
Balance as of end of year | $ 75,000 | $ 75,000 |
Significant Accounting Polici_5
Significant Accounting Policies (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Customer deposit | $ 6,784 | $ 71,502 |
FDIC insured limit | 250,000 | |
FDIC uninsured amount | 320,863 | 0 |
Account payables | 1,898,327 | 1,782,606 |
Cash equivalents | ||
Advertising and marketing costs | 28,736 | $ 19,570 |
Uncertain tax positions | ||
Minimum [Member] | ||
Property and equipment, estimated useful lives | 3 years | |
Maximum [Member] | ||
Property and equipment, estimated useful lives | 5 years |
Inventories (Details)
Inventories (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Accounting Policies [Abstract] | ||
Raw materials | $ 763,633 | $ 511,166 |
Work in process | 173,043 | 192,990 |
Total inventory | $ 936,676 | $ 704,156 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Property and equipment, gross | $ 1,651,906 | $ 1,499,794 |
Less accumulated depreciation and amortization | (286,877) | (173,816) |
Property and equipment, net | 1,365,029 | 1,325,978 |
Machinery and Equipment [Member] | ||
Property and equipment, gross | 985,862 | 1,054,696 |
Furniture and Fixtures [Member] | ||
Property and equipment, gross | 1,850 | 1,850 |
Leasehold Improvements [Member] | ||
Property and equipment, gross | 228,875 | 109,499 |
Software and website development [Member] | ||
Property and equipment, gross | 113,120 | 101,320 |
Computer hardware and software [Member] | ||
Property and equipment, gross | 49,967 | 49,967 |
Boat molds [Member] | ||
Property and equipment, gross | 126,000 | 126,000 |
New model development [Member] | ||
Property and equipment, gross | $ 146,232 | $ 56,462 |
Property and Equipment (Detai_2
Property and Equipment (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Depreciation and amortization | $ 155,728 | $ 115,056 |
Leases - Related Party (Details
Leases - Related Party (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Accounting Policies [Abstract] | ||
Right-of-use assets | $ 1,279,595 | |
Current lease liabilities | 295,374 | |
Non current lease liabilities | 1,015,759 | |
Total lease liabilities | $ 1,311,133 |
Leases - Related Party (Detai_2
Leases - Related Party (Details 1) | 12 Months Ended | |
Dec. 31, 2020USD ($) | ||
Accounting Policies [Abstract] | ||
Weighted average remaining lease term (years) | 4 years | |
Weighted average discount rate | 1.67% | |
Operating lease cost | $ 303,910 | |
Variable lease cost (1) | [1] | |
Total lease costs | $ 303,910 | |
[1] | Variable lease cost primarily relates to common area maintenance, property taxes and insurance on leased real estate. |
Leases - Related Party (Detai_3
Leases - Related Party (Details 2) | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Accounting Policies [Abstract] | |
Cash paid for operating lease liabilities | $ 300,000 |
Operating right of use assets obtained in exchange for operating lease liabilities | $ 1,311,133 |
Leases - Related Party (Detai_4
Leases - Related Party (Details 3) | Dec. 31, 2020USD ($) |
Accounting Policies [Abstract] | |
2021 | $ 315,000 |
2022 | 330,750 |
2023 | 347,287 |
2024 | 364,652 |
Total | 1,357,689 |
Less: Imputed interest | (46,556) |
Present value of lease liabilities | $ 1,311,133 |
Leases - Related Party (Detai_5
Leases - Related Party (Details Narrative) | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Interest rate | 1.67% |
Lease payment | $ 300,000 |
Visconti Holdings, LLC [Member] | |
Lease term | 5 years |
Lease payment | $ 25,000 |
Security deposit | 25,000 |
Lease rent | $ 30,000 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Accounting Policies [Abstract] | ||
Accrued wages and benefits | $ 60,988 | $ 77,368 |
Accrued expenses relating to vendors and others | 92,843 | 48,562 |
Interest | 62,317 | 31,530 |
Other | 19,631 | 3,436 |
Total accrued liabilities | $ 235,779 | $ 160,896 |
Notes Payable - Related Party (
Notes Payable - Related Party (Details Narrative) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Accrued interest | $ 62,317 | $ 31,530 | |
Joseph C. Visconti [Member] | |||
Principal amount | $ 525,500 | ||
Interest rate | 6.00% | ||
Repayment of related party debt | 497,650 | 0 | |
Related party notes payable | 27,850 | 525,500 | |
Accrued interest | $ 62,317 | $ 31,530 |
Capital Lease Obligations (Deta
Capital Lease Obligations (Details) - Capital leases [Member] - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Equipment | $ 444,314 | |
Less - accumulated depreciation | (55,901) | |
Net Book Value | $ 388,413 |
Capital Lease Obligations (De_2
Capital Lease Obligations (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Payment of capital lease | $ (445,760) | |
Minimum [Member] | ||
Capital leases monthly payments | $ 1,066 | |
Interest rate | 4.83% | |
Maximum [Member] | ||
Capital leases monthly payments | $ 9,629 | |
Interest rate | 5.67% |
Notes Payable - Paycheck Prot_2
Notes Payable - Paycheck Protection Program (Details Narrative) - PPP loan [Member] - USD ($) | 1 Months Ended | 12 Months Ended |
Apr. 17, 2020 | Dec. 31, 2020 | |
Loan | $ 609,500 | |
Interest rate | 1.00% | |
Grant income | $ 609,500 |
Notes Payable - SBA EIDL Loan (
Notes Payable - SBA EIDL Loan (Details Narrative) - EIDL [Member] | 1 Months Ended |
Apr. 22, 2020USD ($) | |
Loan amount | $ 499,900 |
Loan term | 30 years |
Interest rate | 3.75% |
Periodic payments | $ 2,437 |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Commitments and Contingencies Disclosure [Abstract] | ||
Maximum obligation | $ 1,790,000 | $ 2,473,000 |
Major Customers (Details Narrat
Major Customers (Details Narrative) - Sales [Member] | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Concentration percentage | 56.00% | |
One Customer [Member] | ||
Concentration percentage | 11.00% | |
First Customer [Member] | ||
Concentration percentage | 16.00% | |
Second Customer [Member] | ||
Concentration percentage | 15.00% | |
Third Customer [Member] | ||
Concentration percentage | 12.00% | |
Fourth Customer [Member] | ||
Concentration percentage | 12.00% |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) | Jan. 01, 2021USD ($) |
Subsequent Event [Member] | Chief Executive Officer [Member] | |
Monthly rent | $ 30,000 |