Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2022 shares | |
Document Information Line Items | |
Entity Registrant Name | Cordyceps Sunshine Biotech Holdings Co., Ltd. |
Trading Symbol | None |
Document Type | 20-F |
Current Fiscal Year End Date | --12-31 |
Entity Common Stock, Shares Outstanding | 111,120,000 |
Amendment Flag | false |
Entity Central Index Key | 0001885680 |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Entity Filer Category | Non-accelerated Filer |
Entity Well-known Seasoned Issuer | No |
Document Period End Date | Dec. 31, 2022 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | FY |
Entity Emerging Growth Company | true |
Entity Shell Company | false |
Entity Ex Transition Period | false |
ICFR Auditor Attestation Flag | false |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 333-269315 |
Entity Incorporation, State or Country Code | E9 |
Entity Address, Address Line One | 6th Fl., No. 15, Lane 548, |
Entity Address, Address Line Two | Ruiguang Road, Neihu District, |
Entity Address, City or Town | Taipei City |
Entity Address, Country | TW |
Title of 12(b) Security | None |
Security Exchange Name | NONE |
Entity Interactive Data Current | Yes |
Document Accounting Standard | U.S. GAAP |
Auditor Name | Keith K Zhen CPA |
Auditor Firm ID | 6673 |
Auditor Location | Brooklyn, NY |
Entity Address, Postal Zip Code | 00000 |
Business Contact [Member] | |
Document Information Line Items | |
Entity Address, Address Line One | 6th Fl., No. 15, Lane 548, |
Entity Address, Address Line Two | Ruiguang Road, Neihu District, |
Entity Address, City or Town | Taipei City, |
Entity Address, Country | TW |
Contact Personnel Name | Szu Hao Huang |
City Area Code | 886 |
Local Phone Number | 2-27489091 |
Contact Personnel Email Address | dalan@cordyceps-sunshine.com |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Current Assets: | |||
Cash and cash equivalents | $ 16,100 | $ 99,684 | $ 294 |
Accounts receivable, net (Note 4) | 149,510 | 358,006 | |
Others receivable | 12,880 | 16,476 | 2,764 |
Advances and prepayments to suppliers | 9,532 | 27,410 | 19,457 |
Inventory (Note 5) | 313,530 | 480,352 | 685,410 |
Due from related parties (Note 7-(4)) | 148,900 | 241,082 | |
Total Current Assets | 501,552 | 1,130,828 | 949,007 |
Loan receivable-related parties (Note 7-(2)) | 146,040 | 146,040 | |
Property, plant and equipment, net (Note 6) | 1,425,135 | 1,713,954 | 1,712,162 |
Operating lease right of use asset, net | 178,166 | 272,216 | 18,502 |
Total Assets | 2,104,853 | 3,263,038 | 2,825,711 |
Current Liabilities: | |||
Accounts payable | 751,135 | 111,696 | 123 |
Accounts payable-related party (Note 7-(3)) | 263,628 | 1,115,902 | 1,093,557 |
Accrued expenses (Note 9) | 62,754 | 56,407 | 29,529 |
Due to related parties (Note 7-(5)) | 1,386,504 | 1,571,284 | 1,285,559 |
Operating lease liabilities – current | 57,109 | 66,237 | 4,699 |
Loans payable (Note 10) | 414,000 | ||
Total Current Liabilities | 2,935,130 | 2,921,526 | 2,413,467 |
Long-term Loans payable (Note 10) | 414,000 | 414,000 | |
Operating lease liabilities – noncurrent | 121,057 | 203,325 | 11,056 |
Total Liabilities | 3,056,187 | 3,538,851 | 2,838,523 |
Commitments and Contingencies (Note 13) | |||
Shareholders’ Equity: | |||
Common Stock, par value $0.0001, 500,000,000 shares authorized; 111,120,000 shares issued and outstanding as of December 31, 2022, 100,000,0000 shares issued and outstanding as of December 31, 2021, and 2020 | 11,112 | 10,000 | 10,000 |
Common Stock to-be Issued | 222,400 | ||
Shares Subscription Receivable | (10,000) | ||
Additional paid-in capital | 221,288 | ||
Retained Earnings (Accumulated deficit) | (1,224,575) | (504,482) | (13,476) |
Accumulated other comprehensive income | 40,841 | (3,731) | 664 |
Total Shareholders’ Equity (Deficit) | (951,334) | (275,813) | (12,812) |
Total Liabilities and Shareholders’ Equity (Deficit) | $ 2,104,853 | $ 3,263,038 | $ 2,825,711 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | |||
Common stock, shares authorized | 500,000,000 | 500,000,000 | 500,000,000 |
Common stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Common stock, shares issued | 111,120,000 | 111,120,000 | 111,120,000 |
Common stock, shares outstanding | 111,120,000 | 111,120,000 | 111,120,000 |
Consolidated Statements of Inco
Consolidated Statements of Income and Comprehensive Income - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue | |||
Total revenue | $ 134,720 | $ 448,785 | $ 879,318 |
Costs of Revenue | |||
Total costs of revenue | 40,648 | 515,457 | 1,055,530 |
Gross Profit (Loss) | 94,072 | (66,672) | (176,212) |
Selling expenses | |||
Advertising and promotion fees | 3,123 | 22,735 | |
Travel and lodging expenses | 7,337 | 318 | 4,563 |
Total selling expenses | 7,337 | 3,441 | 27,298 |
General and administrative expenses | |||
Payroll and employee benefit | 42,118 | 110,938 | 80,225 |
Professional fees | 25,000 | 184,434 | 109,212 |
Consultant fees | 9,499 | 7,724 | |
Tax expenses | 1,721 | 3,588 | 4,110 |
Research and development expenses | 118,444 | 25,052 | |
Depreciation expenses | 112 | 24,760 | 420 |
Office expenses | 3,185 | 35,690 | 16,971 |
Rental expenses | 348 | 68,818 | 6,542 |
Travel and lodging expenses | 3,769 | 3,068 | 13,613 |
Meal and entertainment | 1,750 | 13,350 | 9,801 |
Total general and administrative expenses | 78,003 | 572,589 | 273,670 |
Total Operating Expenses | 85,340 | 576,030 | 300,968 |
Income (Loss) from Operation | 8,732 | (642,702) | (477,180) |
Other Income (Expenses) | |||
Interest income | 7 | 28 | 13 |
Interest expenses | (20,284) | (71,772) | (12,350) |
Other income (expenses) | 11 | (4,855) | (1,138) |
Total Other Income (Expenses) | (20,266) | (76,599) | (13,475) |
Lose before Provision for Income Tax | (11,534) | (719,301) | (490,655) |
Provision for Income Tax | 1,942 | 792 | 351 |
Net Loss | (13,476) | (720,093) | (491,006) |
Other comprehensive income (loss) | |||
Effects of foreign currency conversion | 664 | 44,572 | (4,395) |
Total comprehensive income (loss) | $ (12,812) | $ (675,521) | $ (495,401) |
Basic and Fully Diluted Loss per Share (in Dollars per share) | $ 0 | $ (0.01) | $ 0 |
Weighted average shares outstanding (in Shares) | 100,000,000 | 104,417,534 | 100,000,000 |
Sales of cordyceps | |||
Revenue | |||
Total revenue | $ 43,458 | $ 448,785 | $ 879,318 |
Costs of Revenue | |||
Total costs of revenue | 40,648 | 515,457 | 1,055,530 |
Training of cordyceps cultivation | |||
Revenue | |||
Total revenue | 91,262 | ||
Costs of Revenue | |||
Total costs of revenue |
Consolidated Statements of In_2
Consolidated Statements of Income and Comprehensive Income (Parentheticals) - $ / shares | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement [Abstract] | |||
Basic and Fully Diluted Loss per Share (in Dollars per share) | $ 0 | $ (0.01) | $ 0 |
Weighted average shares outstanding Diluted | 100,000,000 | 104,417,534 | 100,000,000 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders’ Equity (Deficit) - USD ($) | Ordinary Shares Par Value $0.0001 per share | Common Stock to-be Issued | Shares Subscription Receivable | Additional Paid-in Capital | Retained Earnings (Accumulated Deficit) | Accumulated Other Comprehensive Income (Loss) | Total |
Balance at May. 04, 2020 | |||||||
Balance (in Shares) at May. 04, 2020 | |||||||
Issuance of ordinary shares for share subscription previously received | $ 10,000 | (10,000) | |||||
Issuance of ordinary shares for share subscription previously received (in Shares) | 100,000,000 | ||||||
Net income | (13,476) | (13,476) | |||||
Other comprehensive income | 664 | 664 | |||||
Balance at Dec. 31, 2020 | $ 10,000 | (10,000) | (13,476) | 664 | (12,812) | ||
Balance (in Shares) at Dec. 31, 2020 | 100,000,000 | ||||||
Receipt of share subscription receivable | 10,000 | 10,000 | |||||
Proceeds from share subscription | 222,400 | 222,400 | |||||
Net income | (491,006) | (491,006) | |||||
Other comprehensive income | (4,395) | (4,395) | |||||
Balance at Dec. 31, 2021 | $ 10,000 | 222,400 | (504,482) | (3,731) | (275,813) | ||
Balance (in Shares) at Dec. 31, 2021 | 100,000,000 | ||||||
Issuance of ordinary shares for share subscription previously received | $ 1,112 | (222,400) | 221,288 | ||||
Issuance of ordinary shares for share subscription previously received (in Shares) | 11,120,000 | ||||||
Net income | (720,093) | (720,093) | |||||
Other comprehensive income | 44,572 | 44,572 | |||||
Balance at Dec. 31, 2022 | $ 11,112 | $ 221,288 | $ (1,224,575) | $ 40,841 | $ (951,334) | ||
Balance (in Shares) at Dec. 31, 2022 | 111,120,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Cash Flows [Abstract] | |||
Net loss | $ (13,476) | $ (720,093) | $ (491,006) |
Adjustments to reconcile net loss | |||
Depreciation and amortization | 26,635 | 168,899 | 149,238 |
Amortization of operating lease right-of-use assets | 1,873 | 58,986 | 9,846 |
Provision for inventory impairment | 84,709 | 385,828 | |
Impairment of fixed assets | 1,177 | ||
Changes in assets and liabilities | |||
Accounts receivable | 185,797 | (353,665) | |
Others receivable | (2,614) | 2,172 | (13,533) |
Advances and prepayments to suppliers | (18,401) | 16,161 | (7,386) |
Inventories | (648,216) | 48,833 | (166,681) |
Accounts payable | 500,194 | (122,450) | 105,846 |
Accrued expenses | 27,927 | 10,903 | 25,838 |
Operating lease liabilities | (4,471) | (56,472) | (9,688) |
Net cash used by operating activities | (130,549) | (321,378) | (365,363) |
Cash Flows from Investing Activities | |||
Purchase of property and equipment | (1,111,749) | (475) | (110,815) |
Advances and loans made to related parties | (388,960) | ||
Net cash provided (used) by investing activities | (1,500,709) | (475) | (110,815) |
Cash Flows from Financing Activities | |||
Proceeds from common stock subscription | 232,400 | ||
Precedes from loans payable | 414,000 | ||
Proceeds from related parties | 1,235,228 | 397,210 | 582,806 |
Repayment to related parties | (17,691) | (151,423) | (240,702) |
Net cash provided (used) by financing activities | 1,631,537 | 245,787 | 574,504 |
Effect on changes in foreign exchange rate | 15 | (7,518) | 1,064 |
Increase (decrease) in cash | 294 | (83,584) | 99,390 |
Cash at beginning of period | 99,684 | 294 | |
Cash at end of period | 294 | 16,100 | 99,684 |
Cash paid during the year for: | |||
Interest | |||
Income tax | 1,942 | 792 | 351 |
Non-cash investing and financing activities: | |||
Recognition of ROU assets and lease liabilities | 19,371 | 261,351 | |
Termination of ROU assets and lease liabilities | $ 19,873 | ||
Liabilities assumed in connection with purchase of property and equipment | $ 534,138 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2022 | |
Organization [Abstract] | |
ORGANIZATION | Note 1- ORGANIZATION Cordyceps Sunshine Biotech Holdings Co., Ltd. (“Cordyceps Sunshine Cayman”) was incorporated on May 4, 2020 under the laws of the Cayman Islands. On June 5, 2020, Cordyceps Sunshine Cayman established a wholly owned subsidiary, Cordyceps Sunshine Biotec Co., Ltd (“Cordyceps Sunshine HK”) in Hongkong. On June 5, 2020, Cordyceps Sunshine HK established a wholly owned subsidiary, Chengdu Skyherb Biotechnology Co., Ltd (“Chengdu Skyherb” or “Cordyceps Sunshine WFOE”) in the People’s Republic of China (“PRC”). On November 3, 2021, Cordyceps Sunshine Cayman established a branch (“Cordyceps Sunshine Taiwan Branch”) in Taiwan, Republic of China (“Taiwan”). Cordyceps Sunshine Cayman, its Taiwan branch, and its wholly owned subsidiaries are collectively referred to herein as the “Company”, “we” and “us”, unless specific reference is made to an entity. The Company focus on cultivating and sales of cordyceps. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Organization [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Note 2- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The consolidated financial statements include the accounts of the Company, its Taiwan branch, and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Certain amounts in the prior year’s consolidated financial statements and notes have been revised to conform to the current year presentation. These reclassifications had no impact on the reported results of operations and cash flows. Foreign Currency Translation The accompanying consolidated financial statements are presented in United States dollar (“USD”), which is the reporting currency of the Company. The functional currency of Cordyceps Sunshine HK is Hong Kong dollar (“HKD”). The functional currency of Chengdu Skyherb is Renminbi (“RMB”). The functional currency of Cordyceps Sunshine Taiwan Branch is New Taiwan dollar (“TWD”). The Company maintains its books and record in its functional currency. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. The resulting exchange differences are recorded in the statements of operations. The reporting currency of the Company is the United States Dollars (“US$”), and the accompanying consolidated financial statements have been expressed in US$. In accordance with ASC Topic 830- 30, “Translation of Financial Statements”, assets and liabilities of the Company whose functional currency is not US$ are translated into US$, using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the period. The gains and losses resulting from the translation of financial statements are recorded as a separate component of accumulated other comprehensive gain (loss) within the statements of changes in shareholders’ deficit. The exchange rates used for foreign currency translation were as follows: (1) USD$1 = HKD Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 7.8015 7.8306 Year ended December 31, 2021 7.7996 7.7727 Year ended December 31, 2020 7.7563 7.7563 (2) USD$1 = RMB Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 6.8972 6.7290 Year ended December 31, 2021 6.3726 6.4508 Year ended December 31, 2020 6.5286 6.9032 The RMB is not freely convertible into foreign currency and all foreign exchange transactions must take place through local authorized institutions. No representation is made that the RMB amounts could have been, or could be, converted into US$ at the rates used in translation. (3) USD$1 = TWD Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 30.7300 29.7963 Year ended December 31, 2021 27.7400 27.9366 Year ended December 31, 2020 28.0800 29.4568 Statements of Cash Flows In accordance with FASB ASC 830-230, “Statement of Cash Flows”, cash flows from the Company’s operations is calculated based upon the functional currency. As a result, amounts related to assets and liabilities reported on the statement of cash flows may not necessarily agree with changes in the corresponding balances on the balance sheet. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions of future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as operating environment changes. Significant estimates and assumptions by management include, among others, estimated life and impairment of long-lived assets, allowance for doubtful accounts, contingencies, valuation of inventories and income taxes including the valuation allowance for deferred tax assets. While the Company believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from those estimates. Estimates and assumptions are periodically reviewed and the effects of revisions are reflected in the financial statements in the period they are determined to be necessary. Fair Value of Financial Instruments The Company adopted ASC 820 “Fair Value Measurements,” which defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosures requirements for fair value measures. Current assets and current liabilities qualified as financial instruments and management believes their carrying amounts are a reasonable estimate of fair value because of the short period of time between the origination of such instruments and their expected realization and if applicable, their current interest rate is equivalent to interest rates currently available. The three levels are defined as follow: Level 1: Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2: Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments. Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value. As of the balance sheet date, the estimated fair values of the financial instruments approximated their fair values due to the short-term nature of these instruments. Determining which category an asset or liability falls within the hierarchy requires significant judgment. The Company evaluates the hierarchy disclosures each year. Cash and Cash Equivalents Cash and cash equivalents include cash on hand and cash in time deposits, certificates of deposit and all other highly liquid instruments with original maturities of three months or less. Accounts Receivable Accounts receivable, net represent the amounts that the Company has an unconditional right to consideration, which are stated at the original amount less an allowance for doubtful receivables. The Company reviews the accounts receivable on a periodic basis and makes general and specific allowances when there is doubt as to the collectability of individual balances. The Company usually determines the adequacy of reserves for doubtful accounts based on individual account analysis and historical collection trends. The Company establishes a provision for doubtful receivables when there is objective evidence that the Company may not be able to collect amounts due. The allowance is based on management’s best estimates of specific losses on individual exposures, as well as a provision on historical trends of collections. The provision is recorded against accounts receivables balances, with a corresponding charge recorded in the consolidated statements of operations and comprehensive income (loss). Delinquent account balances are written off against the allowance for doubtful accounts after management has determined that the likelihood of collection is remote. In circumstances in which the Company receives payment for accounts receivable that have previously been written off, the Company reverses the allowance and bad debt. Inventory Inventories, consisting of raw materials, work-in-process, and finished goods are stated at the lower of cost or net realizable value utilizing the weighted average method. Work-in-process inventoried costs on cultivating cordyceps includes direct materials, direct cultivating labor costs, and applicable overhead, which includes fringe benefits, cultivating related utility, and cultivating facilities management salaries and services. To the extent a material amounts of such costs are related to an abnormal event or are fixed costs not appropriately attributable to cordyceps cultivation, they are expensed in the current period rather than inventoried. Inventoried costs include amounts relating to cordyceps cultivation with long-term production cycles, a portion of which is not expected to be realized within one year. The determination of net realizable value of long-term cordyceps cultivation costs is based upon quarterly reviews of costs incurred and estimated costs to complete the cultivating process. When costs incurred and the estimate to complete exceed the net realizable value of cordyceps cultivated, a loss provision is recorded. The Company review and identify impaired inventory quarterly, including excess or obsolete inventory, based on expected production usage, abnormal production cycle. Impaired inventories are charged to cost of revenues in the period the impairment occurs. The allowance for inventory impairment are removed from the accounts when the relevant inventory is sold or disposed. Property, Plant and Equipment Property and equipment primarily consist of cultivation equipment, office equipment, furniture, tools and construction in progress. Cultivation equipment, office equipment, furniture and tools are stated at cost less accumulated depreciation less any provision required for impairment in value. Depreciation is computed using the straight-line method with residual value rate of 5% based on the estimated useful lives as follows: Buildings and cultivation facilities 20 years (by local laws) Machinery and equipment 3-10 years Office equipment and furniture The less of 5 years or lease term The Company constructs its cultivation facilities, which is accounted for as construction in progress before completed. In addition to cost under the construction contracts, interest cost and external costs directly related to the construction of such facilities, including equipment installation and shipping costs, are capitalized. Costs of repairs and maintenance are expensed as incurred and asset improvements are capitalized. The cost and related accumulated depreciation of assets disposed of or retired are removed from the accounts, and any resulting gain or loss is reflected in the consolidated statement of income. Intangible Assets, net Purchased intangible assets are recognized and measured at fair value upon acquisition. Separately identifiable intangible assets that have determinable lives continue to be amortized over their estimated useful lives using the straight-line method based on their estimated useful lives. Impairment of Long-lived Assets The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. No impairment of long-lived assets was recognized for the period from May 4, 2020 (Inception) to December 31, 2020 and the year ended December 31, 2021. The Company recorded a fixed asset impairment of $1,177 in the year ended December 31, 2022. Operating Lease The Company leases are classified as operating leases in accordance with Topic 842. Under Topic 842, lessees are required to recognize the following for all leases (with the exception of short-term leases) on the commencement date: (i) lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (ii) right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. At the commencement date, the Company recognizes the lease liability at the present value of the lease payments not yet paid, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate for the same term as the underlying lease. The right-of-use asset is recognized initially at cost, which primarily comprises the initial amount of the lease liability, plus any initial direct costs incurred, consisting mainly of brokerage commissions, less any lease incentives received. All right-of-use assets are reviewed for impairment. No impairment for right-of-use lease assets incurred in the period from May 4, 2020 (Inception) to December 31, 2020 and the years ended December 31, 2021 and 2022. Research & Development Expenses Research and development expenses relating to the development of new products and processes, including significant improvements and refinements to existing products, are expensed when incurred in accordance with the FASB ASC 730, “Research and Development.” Research and development costs were $118,444, $25,052 and $0 for the years ended December 31, 2022 and 2021, and the period from May 4, 2020 (Inception) to December 31, 2020, respectively. Comprehensive Income (Loss) ASC 220 “Comprehensive Income” established standards for reporting and display of comprehensive income/loss, its components and accumulated balances. Components of comprehensive income/loss include net income/loss and foreign currency translation adjustments. The component of accumulated other comprehensive income (loss) consisted of foreign currency translation adjustments. Revenue Recognition The Company adopted ASC 606 upon inception. Under ASC 606, revenue is recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. A performance obligation is a promise in a contract to transfer a distinct goods to the customer and is the unit of account in ASC 606. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract and determines those that are performance obligations and assesses whether each promised goods or services is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. Revenue is recognized for sales of cordyceps at the point in time when the cordyceps are delivered to or picked up by, and accepted by customers. Costs accumulated during the cordyceps cultivating process are recognized as inventory; and charged to cost of goods sold upon cordyceps delivery to or pick up by customers. The Company’s return policy allows for the return of damaged or defective products, and the Company absorbs the shipping fee for the return. The Management believes the return is immaterial because the customers inspect and accept the goods upon delivery or pick up. There were no return in the period from May 4, 2020 (Inception) to December 31, 2020 and the years ended December 31, 2021 and 2022. Payments for cordyceps sales received in advance in accordance to the contract is recognized as deferred revenues when received. In 2020, the Company occasionally provided one customer with training service to lean Cordyceps related knowledge and preliminary artificial cultivation technology. The customer wished to cooperate with the Company to join the Cordyceps artificial cultivation field. The Company recognizes training service revenue for cordyceps cultivation service over time as performance obligations are satisfied over the life of the service. This was a one time transaction. The Company does not intend and has not provided such training service after that. The Management does not consider training service constitute a reportable segment in accordance with ASC 280, “Segment Reporting”. Income Taxes The Company accounts for income taxes under the provision of FASB ASC 740-10, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. Earnings per share Basic earnings per ordinary share is computed by dividing net earnings attributable to ordinary shareholders by the weighted-average number of ordinary shares outstanding during the period. Diluted earnings per share is computed by dividing net income attributable to ordinary shareholders by the sum of the weighted average number of ordinary share outstanding and of potential ordinary share (e.g., convertible securities, options and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Potential ordinary shares that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted earnings per share. For the period from May 4, 2020 (Inception) to December 31, 2020 and the years ended December 31, 2021 and 2022, the Company had no dilutive stocks. Concentration of Credit Risk Financial instruments the Company holds that are subject to concentrations of credit risk are cash, restricted cash, notes receivables and accounts receivable arising from its normal business activities. The Company places its cash and restricted cash in what it believes to be credit-worthy financial institutions. The Company routinely assesses the credit status of its customers and, based upon factors surrounding the credit risks, establishes an allowance, if required, for uncollectible accounts. The company believes its accounts receivable and others receivable credit risk exposure beyond such allowance is limited. Related Parties Transactions A related party is generally defined as (i) any person that holds 10% or more of the Company’s securities and their immediate families, (ii) the Company’s management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. A transaction is considered as a related party transaction when there is a transfer of resources or obligations between related parties. Related parties may be individuals or corporate entities. Transactions involving related parties cannot be presumed to be carried out on an arm’s-length basis, as the requisite conditions of competitive, free market dealings may not exist. Representations about transactions with related parties, if made, shall not imply that the related party transactions were consummated on terms equivalent to those that prevail in arm’s-length transactions unless such representations can be substantiated. It is not, however, practical to determine the fair value of amounts of related party transactions due to their related party nature. Segment Reporting ASC 280, “Segment Reporting,” requires use of the “management approach” model for segment reporting. The management approach model is based on the way a company’s chief operating decision maker organizes segments within the Company for making operating decisions assessing performance and allocating resources. Reportable segments are based on products and services, geography, legal structure, management structure, or any other manner in which management disaggregates a company. Management determined the Company’s operations constitute a single reportable segment in accordance with ASC 280. The Company operates exclusively in one business and industry segment: cultivating and sales of cordyceps. Recently Issued Accounting Pronouncements In August 2020, the FASB issued ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470- 20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815- 40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020- 06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity. This ASU (1) simplifies the accounting for convertible debt instruments and convertible preferred stock by removing the existing guidance in ASC 470-20, Debt: Debt with Conversion and Other Options, that requires entities to account for beneficial conversion features and cash conversion features in equity, separately from the host convertible debt or preferred stock; (2) revises the scope exception from derivative accounting in ASC 815-40 for freestanding financial instruments and embedded features that are both indexed to the issuer’s own stock and classified in stockholders’ equity, by removing certain criteria required for equity classification; and (3) revises the guidance in ASC 260, Earnings Per Share, to require entities to calculate diluted earnings per share (EPS) for convertible instruments by using the if-converted method. In addition, entities must presume share settlement for purposes of calculating diluted EPS when an instrument may be settled in cash or shares. For SEC filers, excluding smaller reporting companies, ASU 2020-06 is effective for fiscal years beginning after December 15, 2021 including interim periods within those fiscal years. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020. For all other entities, ASU 2020-06 is effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Entities should adopt the guidance as of the beginning of the fiscal year of adoption and cannot adopt the guidance in an interim reporting period. The Company is currently evaluating the impact that ASU 2020-06 may have on its financial statements and related disclosures. The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material impact on its the consolidated financial position, statements of operations and cash flows. |
Going Concern
Going Concern | 12 Months Ended |
Dec. 31, 2022 | |
Going Concern [Abstract] | |
GOING CONCERN | Note 3- GOING CONCERN The financial statements have been prepared “assuming that we will continue as a going concern,” which contemplates that we will realize our assets and satisfy our liabilities and commitments in the ordinary course of business. The Company has not yet established an ongoing source of revenues and cash flows sufficient to cover the operating costs and allow it to continue as a going concern. The Company incurred loss of $720,093, $491,006, and $13,476 for the year ended December 31, 2022 and 2021, and the period from May 4, 2020 to December 31, 2020, respectively. As of December 31, 2022, the Company had an accumulated deficit of $1,224,575. These factors among others raise substantial doubt about the ability to continue as a going concern for a reasonable period of time. In order to continue as a going concern, The Company will need, among other things, additional capital resources. Management’s plan is to obtain such resources by obtaining capital from management sufficient to meet its minimal operating expenses and seeking third party equity and/or debt financing. However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. These financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Dec. 31, 2022 | |
Accounts Receivable Disclosure [Abstract] | |
ACCOUNTS RECEIVABLE | Note 4- ACCOUNTS RECEIVABLE Accounts receivable consists of the following: December 31, December 31, December 31, 2022 2021 2020 Accounts receivable $ 149,510 $ 224,097 $ - Accounts receivable-related party - 133,909 - Less: Allowance for doubtful accounts - - - Accounts receivable, net $ 149,510 $ 358,006 $ - Bad debt expense charged to operations was $0 for the years ended December 31, 2022 and 2021, and the period from May 4, 2020 to December 31, 2020. Refer to Note 7 (1) - Sales of Cordyceps to Related Party for accounts receivable of related party. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | Note 5- INVENTORIES Inventories consist of following: December 31, December 31, December 31, 2022 2021 2020 Finished goods $ 207,645 $ 466,449 $ 20,328 Work-in-progress 266,488 390,588 665,082 Supplies and packing materials 12,823 13,878 - Less: Allowance for obsolete inventory (173,426 ) (390,563 ) - Total, net $ 313,530 $ 480,352 $ 685,410 The Company recorded impairment of obsolete or slow-moving inventory of $84,709, $385,828, and $ nil |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | Note 6- PROPERTY, PLANT AND EQUIPMENT The following is a summary of property, plant and equipment: December 31, December 31, December 31, 2022 2021 2020 Buildings and cultivation facilities $ 635,040 $ 687,318 $ 670,894 Machinery and equipment 1,017,206 1,102,141 1,065,513 Office equipment and furniture 103,201 104,417 3,918 Total 1,755,447 1,893,876 1,740,325 Less: Accumulated depreciation (330,312 ) (179,922 ) (28,163 ) Total property, plant and equipment, net $ 1,425,135 $ 1,713,954 $ 1,712,162 Depreciation expense charged to operations was $168,899, $149,238 and 26,635 for the years ended December 31, 2022 and 2021, and the period from May 4, 2020 (inception) to December 31, 2020, respectively. Depreciation expense with respect to production equipment was charged to production was $144,139, $148,818, and $26,523 for the years ended December 31, 2020 and 2021, and the period from May 4, 2020 (inception) to December 31, 2020, respectively. The remainder, depreciation expense attributable to equipment used in administration, was 24,760, $420 and $112 for the years ended December 31, 2022 and 2021, and the period from May 4, 2020 (inception) to December 31, 2020, respectively, and were included in general and administration expenses. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2022 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | Note 7- RELATED PARTY TRANSACTIONS The Company had transactions with the following related parties: Name of Related Party Nature of Relationship Mr. Szuhao Huang Director, Chief Executive Officer (“CEO”) Mr. Yenhung Liu Director of the Company Mr. Xusheng Niu Legal Representative of Chengdu Skyherb Mrs. Xiangtao Yao Wife of Xusheng Niu Chengdu Zhonghe sunshine Biotechnology Co., Ltd (“Chengdu Zhonghe”) A company whose legal representative is Mr. Yenhung Liu Gasar Biotechnology Co., Ltd A company managed by Mr. Szuhao Huang, Foshan Xiongluyu Tea Co., Ltd. A company whose legal representative is Mrs. Xiangtao Yao Chengdu Zangqingyuan Herb Co., Ltd. A company whose legal representative is Mrs. Xiangtao Yao (1) Sales to related parties In the year ended December 31, 2022, the Company sold newly developed products processed with cordyceps of $53,304 to Gasar Biotechnology Co., Ltd. In the year ended December 31, 2021, the Company sold cordyceps of $182,775 and $93,012 to Chengdu Zangqingyuan Herb Co., Ltd. and Foshan Xiongluyu Tea Co., Ltd., respectively. In the period from May 4, 2020 to December 31, 2020, the Company sold cordyceps of $43,458 to Chengdu Zangqingyuan Herb Co., Ltd. Accounts receivable from related parties consists of the following: December 31, December 31, December 31, 2022 2021 2020 Chengdu Zangqingyuan Herb Co., Ltd. $ - $ 133,909 $ - Foshan Xiongluyu Tea Co., Ltd. - - - Gasar Biotechnology Co., Ltd - - - Less: Allowance for doubtful accounts - - - Accounts receivable, net $ - $ 133,909 $ - (2) Loan receivable-related parties The Company made loans to an unrelated party in the amount of $146,040 for the period from May 4, 2020 Inception) to December 31, 2020. The loan is non-interest bearing and has a maturity date of August 30, 2021 which was extended to August 30, 2023. The outstanding loan balance was $146,040 as of December 31, 2020. On August 29, 2021, Mr. Szuhao Huang, our CEO, assumed the liability to payback this loan. As of December 31, 2021, the outstanding loan balance was $146,040, which was fully paid back in the year ended December 31, 2022. (3) Purchase from a relate party On June 28, 2020, the Company, Chengdu Zhonghe, and Chengdu Helian Industrial Park Investment Co., Ltd, from whom Chengdu Zhonghe bought the breeding center before it was completed, signed certain rights and obligation transfer agreement whereby Chengdu Zhonghe will transfer its rights to the breeding center to the Company for $670,891 (RMB 4,380,000). The Company has paid the full amount for the purchase as of December 31, 2020. The breeding center is located at No. 1, Floor 1-2, Building 1, No. 689, Boshi Road, Shouan Town, Pujiang County, Sichuan Province, China, with a construction area of 1,788 square meters. The construction of the breeding center was completed in December 2020, and Chengdu Skyherb began to use the center for its cordyceps cultivating since then. As of the filling date, the transfer procedures, such as changing the building’s title, are still in process. On June 15, 2020, the Company purchased certain fixed assets and inventory from Chengdu Zhonghe in the amount of $1,574,603 (RMB10,280,000). The balance of accounts payable to Chengdu Zhonghe was $1,115,902 and $1,093,557 as of December 31, 2021 and 2020, respectively. In the year ended December 31, 2022, Chengdu Zhonghe assigned its accounts receivable of $28,997, $5,538, and $1,081,367 to Gasar Biotechnology Co., Ltd, Mr. Yenhung Liu, and five third parties, respectively. After the assignment, the amounts remain as non-secured and no interest bearing. As of December 31, 2022, the accounts payable to Chengdu Zhonghe, Gasar Biotechnology Co., Ltd, and Mr. Yenhung Liu amounted to $229,093, 28,997, and 5,538, respectively, and the total amount of accounts payable to related parties was $263,628. On September 10, 2021, the Company paid $100,000 to purchase certain office equipment and fixture from Gasar Biotechnology Co., Ltd to use in the Taiwan office. These fixed assets are depreciated over the office lease term of 49 months, using a straight-line method. (4) Due from related parties The Company advanced fund to Mr. Szuhao Huang, our CEO, to work on the Company’s projects in 2020. When the projects were completed, Mr. Huang reported expenses to the Company, which recorded such expenses in the periods incurred. In 2021 and 2022, due to lack of cash resources, Mr. Szuhao Huang made fund to Cordyceps Sunshine Taiwan Branch to finance its operation. These funds are non-interest bearing, non-secured, due on demand, and without a written agreement. In 2020, the Company advanced fund to Gasar Biotechnology Co., Ltd, a company controlled by Mr. Szuhao Huang, to work on the Company’s project. When the projects were completed, Gasar Biotechnology Co., Ltd. either refund to the Company, or reported expenses to the Company, which recorded relevant expenses in the periods incurred. In 2022, Mr. Huang agreed to offset his advances to the Company with the Company’s advance to Gasar Biotechnology Co., Ltd, and accordingly the amount due from Gasar Biotechnology Co., Ltd became zero as of December 31, 2022. Due from related parties consists of the following: December 31, December 31, December 31, 2022 2021 2020 Mr. Szuhao Huang $ - $ - $ 142,182 Gasar Biotechnology Co., Ltd - 148,900 98,900 Less: Allowance for doubtful accounts - - - Total, net $ - $ 148,900 $ 241,082 (5) Due to related parties On June 27, 2020, Chengdu Skyherb entered into a loan agreement to borrow $1,263,665 (RMB 8,250,000) from Mr. Xusheng Niu and Mrs. Xiangtao Yao as working capital to purchase fixed assets and inventory. The Company repaid $17,691 and accrued interest of $20,284 for the period from May 4, 2020 Inception) to December 31, 2020, the balances due to Mr. XuSheng Niu and Mrs. Xiangto Yao were $1,285,559 as of December 31, 2020. Such balances bear annual interest of 5%, are personally guaranteed by Mr. Szuhao Huang, and with a maturity date of December 31, 2022. In 2021 and 2022, Mr. Xusheng Niu and Mrs. Xiangtao Yao continued to make fund to Chengdu Skyherb to finance its operations due to lack of cash rescuers. Such funds bear annual interest of 5%, non-secured, due on demand, and without a written loan agreement. The Company advanced fund to Mr. Szuhao Huang, our CEO, to work on the Company’s projects in 2020. When the projects were completed, Mr. Huang reported expenses to the Company, which recorded such expenses in the periods incurred. In 2021 and 2022, due to lack of cash resources, Mr. Szuhao Huang made fund to Cordyceps Sunshine Taiwan Branch to finance its operation. These funds are non-interest bearing, non-secured, due on demand, and without a written agreement. Due to related parties consists of the following: December 31, December 31, December 31, 2022 2021 2020 Mr. Xusheng Niu $ 814,308 $ 768,714 $ 378,799 Mrs. Xiangtao Yao 563,969 790,051 906,760 Mr. Szuhao Huang 8,227 12,519 - Total $ 1,386,504 $ 1,571,284 $ 1,285,559 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
LEASES | Note 8- LEASES The Company has operating leases for corporate offices and employees’ accommodation. These leases have remaining lease terms of 6 months to 4 years. The Company has elected to not recognize lease assets and liabilities for leases with a term less than twelve months. The Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The discount rate used to calculate present value is incremental borrowing rate or, if available, the rate implicit in the lease. The Company determines the incremental borrowing rates for these leases based primarily on lease terms were 4.75% in PRC, and 3.94% in Taiwan. The components of lease costs, lease term and discount rate with respect of corporate offices and employees’ accommodation leases with an initial term of more than 12 months are as follows: For the Year For the Year For the 2022 2021 2020 Operating lease cost $ 67,755 $ 74,887 $ 2,176 December 31, December 31, December 31, 2022 2021 2020 Weighted Average Remaining Lease Term - Operating leases 3.0 years 3.93 years 3.58 years Weighted Average Discount Rate - Operating leases 3.94% 3.98% 4.75% As of December 31, 2022, the future maturity of lease liabilities is as follows: For the years ended December 31, Operating Leases 2023 $ 62,999 2024 62,999 2025 62,999 Total undiscounted cash flows 188,997 Less: imputed interest (10,831 ) Present value of lease liabilities 178,166 Less: current portion 57,109 Non-current lease liabilities $ 121,057 |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2022 | |
Accrued Expenses [Abstract] | |
ACCRUED EXPENSES | Note 9- ACCRUED EXPENSES Accrued expenses consist of the following: December 31, December 31, December 31, 2022 2021 2020 Accrued pension and employee benefit $ 62,712 $ 54,203 $ 26,500 Accrued office expenses 42 1,785 771 Taxes payable - 419 2,258 Total $ 62,754 $ 56,407 $ 29,529 |
Long-Term Loans Payable
Long-Term Loans Payable | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
LONG-TERM LOANS PAYABLE | Note 10- LONG-TERM LOANS PAYABLE In June 2020 through September 2020, Cordyceps Sunshine Cayman entered into loan agreements to borrow totally $414,000 from six individuals to finance its operation. These loans were non-interest bearing, non-secured, and had a term of one year which was subsequently extended two more years. The outstanding balance of these loans amounted to $414,000 as of December 31, 2022, 2021, and 2020. |
Equity Capital
Equity Capital | 12 Months Ended |
Dec. 31, 2022 | |
Stockholders' Equity Note [Abstract] | |
EQUITY CAPITAL | Note 11- EQUITY CAPITAL On May 4, 2020, Cordyceps Sunshine Cayman issued 1 common shares to Sertus Nominees (Cayman) Limited, and Sertus Nominees (Cayman) Limited then transferred the share to Mr. Szu Hao Huang. On July 17, 2020, Cordyceps Sunshine Cayman repurchased all of the share of Mr. Szu Hao Huang and issued a total of 100,000,000 shares with a par value of $0.0001 per share for $10,000, which was subsequently received in 2021. On August 13, 2021, the Company entered private replacement subscription agreements with 65 investors to offer a total of 11,120,000 shares of common stock, at a price of $0.02 per share for an aggregate purchase price amount of $222,400, which was received in 2021 and recorded as common stock to-be issued as of December 31, 2021, because such shares were subsequently issued in July 2022. As of December 31, 2022, the number of ordinary shares issued and outstanding was 111,120,000. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Taxes [Abstract] | |
INCOME TAXES | Note 12- INCOME TAXES Cayman Islands Under the current laws of Cordyceps Sunshine Cayman is not subject to tax on income or capital gain. In addition, payments of dividends by the Company to their shareholders are not subject to withholding tax in the Cayman Islands. Hong Kong Cordyceps Sunshine HK is incorporated in Hong Kong and has no operating profit or tax liabilities during the periods. Cordyceps Sunshine HK is subject to tax at 8.25% on the first HKD 2,000,000 profit and 16.5% on the remaining profits arising in or derived from Hong Kong. Taiwan, Republic of China Cordyceps Sunshine Biotech Holdings Co., Ltd. is incorporated in the Cayman Islands, and has established a branch in Taiwan. It is a branch office of a foreign company and is not an independent legal entity, subject to the provisions of the For-profit Income Tax Act. The applicable sales tax rate is 5%, and the applicable income tax rate is 20%. China, PRC Chengdu Skyherb was incorporated in the PRC and are subject to PRC Enterprise Income Tax (“EIT”) on the taxable income in accordance with the relevant PRC income tax laws. On March 16, 2007, the National People’s Congress enacted a new enterprise income tax law, which took effect on January 1, 2008. The law applies a uniform 25% enterprise income tax rate to both foreign invested enterprises and domestic enterprises. The components of income tax expense as follows: December 31, December 31, December 31, 2022 2021 2020 Current income tax $ 792 $ 351 $ 1,942 Deferred income tax - - - $ 792 $ 351 $ 1,942 Accounting for Uncertainty in Income Taxes The tax authority of the PRC and Taiwan government conducts periodic and ad hoc tax filing reviews on business enterprises operating in the PRC and Taiwan after those enterprises complete their relevant tax filings. Therefore, the Company’s PRC and Taiwan entities’ tax filings results are subject to examination. It is therefore uncertain as to whether the PRC and Taiwan tax authority may take different views about the Company’s PRC and Taiwan entities’ tax filings, which may lead to additional tax liabilities. ASC 740 requires recognition and measurement of uncertain income tax positions using a “more-likely than-not” approach. The management evaluated the Company’s tax positions and concluded that no provision for uncertainty in income taxes was necessary as of December 31, 2022, 2021, and 2022. |
Concentrations, Risks and Uncer
Concentrations, Risks and Uncertainties | 12 Months Ended |
Dec. 31, 2022 | |
Concentrations, Risks and Uncertainties [Abstract] | |
CONCENTRATIONS, RISKS AND UNCERTAINTIES | Note 13- CONCENTRATIONS, RISKS AND UNCERTAINTIES Concentration The Company offers one product (cordyceps) for sale while depends on limited suppliers for materials. Accordingly, the Company has a concentration risk related to its customers and suppliers. Failure to maintain existing relationships with the customers and suppliers or to establish new relationships in the future could negatively affect the Company’s ability to generate revenue and obtain materials in a timely manner. The concentration on customers’ sales is as follows: For the Year Ended For the Year Ended For the Period from December 31, December 31, December 31, Amount % Amount % Amount % Customer A $ 140,065 31.2 % $ - - $ - - Customer B-related party - - 182,775 20.8 % 43,458 32.0 % Customer C-related party - - 93,012 10.6 % - - Customer D-related party 53,304 11.9 % - - - - Customer E 3,109 0.7 % 225,410 25.6 % - - Customer F - - 137,618 15.6 % - - Customer G - - 129,692 14.7 % - - Customer H 45,980 10.2 % - - - - Customer I 69,104 15.4 % - - - - Customer J 99,569 22.2 % - - - - Customer K - - - - 91,262 68.0 % $ 411,131 91.6 % $ 768,507 87.4 % $ 134,720 100.0 % The concentration on suppliers’ purchases is as follows: For the Year Ended For the Year Ended For the Period from December 31, December 31, December 31, Supplier A $ - - $ 116,564 42.5 % $ - - Supplier B - - 64,481 23.5 % - - Supplier C - - 37,476 13.7 % - - Supplier D-related party 13,746 48.1 % - - - - Supplier E 10,038 35.1 % - - - - Supplier F - - - - 523,483 90.0 % Supplier G - - - - 54,462 9.0 % $ 23,784 83.2 % $ 218,521 79.7 % $ 577,945 99.0 % Credit risk Assets that potentially subject the Company to significant concentration of credit risk primarily consist of cash and cash equivalents. The maximum exposure of such assets to credit risk is their carrying amount as at the balance sheet dates. The Company held cash and cash equivalents which were deposited in financial institutions located in Mainland China, and each bank account is insured by the local government authority with the maximum limit of RMB 500,000 (equivalent to approximately $71,821). The Company also held cash and cash equivalents which were deposited in financial institutions located in Taiwan, and each bank account is insured by the local government authority with the maximum limit of TWD 3,000,000 (equivalent to approximately $108,147).To limit exposure to credit risk relating to deposits, the Company primarily place cash and cash equivalent deposits with large financial institutions which management believes are of high credit quality and the Company also continually monitors their credit worthiness. The Company’s operations are carried out in PRC and Taiwan. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic and legal environments in the PRC and Taiwan as well as by the general state of economy of PRC and Taiwan. In addition, the Company’s business may be influenced by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, rates and methods of taxation among other factors. Liquidity risk The Company is also exposed to liquidity risk which is risk that it is unable to provide sufficient capital resources and liquidity to meet its commitments and business needs. Liquidity risk is controlled by the application of financial position analysis and monitoring procedures. When necessary, the Company will turn to other financial institutions and the shareholders to obtain short-term funding to meet the liquidity shortage. Foreign currency risk Substantially most of the Company’s operating activities and the Company’s assets and liabilities are denominated in RMB, which is not freely convertible into foreign currencies. All foreign exchange transactions take place either through the Peoples’ Bank of China (“PBOC”) or other authorized financial institutions at exchange rates quoted by PBOC. Approval of foreign currency payments by the PBOC or other regulatory institutions requires submitting a payment application form together with suppliers’ invoices and signed contracts. The value of RMB is subject to changes in central government policies and to international economic and political developments affecting supply and demand in the China Foreign Exchange Trading System market. Other risk The Company’s business, financial condition and results of operations may also be negatively impacted by risks related to natural disasters, extreme weather conditions, health epidemics and other catastrophic incidents, such as the COVID-19 outbreak and spread, which could significantly disrupt the Company’s operations. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | Note 14- SUBSEQUENT EVENTS The Company follows the guidance in FASB ASC 855-10 for the disclosure of subsequent events. The Company evaluated subsequent events through the date the financial statements were issued and determined the Company did not have any material subsequent event. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Organization [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The consolidated financial statements include the accounts of the Company, its Taiwan branch, and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Certain amounts in the prior year’s consolidated financial statements and notes have been revised to conform to the current year presentation. These reclassifications had no impact on the reported results of operations and cash flows. |
Foreign Currency Translation | Foreign Currency Translation The accompanying consolidated financial statements are presented in United States dollar (“USD”), which is the reporting currency of the Company. The functional currency of Cordyceps Sunshine HK is Hong Kong dollar (“HKD”). The functional currency of Chengdu Skyherb is Renminbi (“RMB”). The functional currency of Cordyceps Sunshine Taiwan Branch is New Taiwan dollar (“TWD”). The Company maintains its books and record in its functional currency. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. The resulting exchange differences are recorded in the statements of operations. The reporting currency of the Company is the United States Dollars (“US$”), and the accompanying consolidated financial statements have been expressed in US$. In accordance with ASC Topic 830- 30, “Translation of Financial Statements”, assets and liabilities of the Company whose functional currency is not US$ are translated into US$, using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the period. The gains and losses resulting from the translation of financial statements are recorded as a separate component of accumulated other comprehensive gain (loss) within the statements of changes in shareholders’ deficit. The exchange rates used for foreign currency translation were as follows: (1) USD$1 = HKD Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 7.8015 7.8306 Year ended December 31, 2021 7.7996 7.7727 Year ended December 31, 2020 7.7563 7.7563 (2) USD$1 = RMB Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 6.8972 6.7290 Year ended December 31, 2021 6.3726 6.4508 Year ended December 31, 2020 6.5286 6.9032 The RMB is not freely convertible into foreign currency and all foreign exchange transactions must take place through local authorized institutions. No representation is made that the RMB amounts could have been, or could be, converted into US$ at the rates used in translation. (3) USD$1 = TWD Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 30.7300 29.7963 Year ended December 31, 2021 27.7400 27.9366 Year ended December 31, 2020 28.0800 29.4568 |
Statements of Cash Flows | Statements of Cash Flows In accordance with FASB ASC 830-230, “Statement of Cash Flows”, cash flows from the Company’s operations is calculated based upon the functional currency. As a result, amounts related to assets and liabilities reported on the statement of cash flows may not necessarily agree with changes in the corresponding balances on the balance sheet. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions of future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as operating environment changes. Significant estimates and assumptions by management include, among others, estimated life and impairment of long-lived assets, allowance for doubtful accounts, contingencies, valuation of inventories and income taxes including the valuation allowance for deferred tax assets. While the Company believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from those estimates. Estimates and assumptions are periodically reviewed and the effects of revisions are reflected in the financial statements in the period they are determined to be necessary. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company adopted ASC 820 “Fair Value Measurements,” which defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosures requirements for fair value measures. Current assets and current liabilities qualified as financial instruments and management believes their carrying amounts are a reasonable estimate of fair value because of the short period of time between the origination of such instruments and their expected realization and if applicable, their current interest rate is equivalent to interest rates currently available. The three levels are defined as follow: Level 1: Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2: Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments. Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value. As of the balance sheet date, the estimated fair values of the financial instruments approximated their fair values due to the short-term nature of these instruments. Determining which category an asset or liability falls within the hierarchy requires significant judgment. The Company evaluates the hierarchy disclosures each year. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand and cash in time deposits, certificates of deposit and all other highly liquid instruments with original maturities of three months or less. |
Accounts Receivable | Accounts Receivable Accounts receivable, net represent the amounts that the Company has an unconditional right to consideration, which are stated at the original amount less an allowance for doubtful receivables. The Company reviews the accounts receivable on a periodic basis and makes general and specific allowances when there is doubt as to the collectability of individual balances. The Company usually determines the adequacy of reserves for doubtful accounts based on individual account analysis and historical collection trends. The Company establishes a provision for doubtful receivables when there is objective evidence that the Company may not be able to collect amounts due. The allowance is based on management’s best estimates of specific losses on individual exposures, as well as a provision on historical trends of collections. The provision is recorded against accounts receivables balances, with a corresponding charge recorded in the consolidated statements of operations and comprehensive income (loss). Delinquent account balances are written off against the allowance for doubtful accounts after management has determined that the likelihood of collection is remote. In circumstances in which the Company receives payment for accounts receivable that have previously been written off, the Company reverses the allowance and bad debt. |
Inventory | Inventory Inventories, consisting of raw materials, work-in-process, and finished goods are stated at the lower of cost or net realizable value utilizing the weighted average method. Work-in-process inventoried costs on cultivating cordyceps includes direct materials, direct cultivating labor costs, and applicable overhead, which includes fringe benefits, cultivating related utility, and cultivating facilities management salaries and services. To the extent a material amounts of such costs are related to an abnormal event or are fixed costs not appropriately attributable to cordyceps cultivation, they are expensed in the current period rather than inventoried. Inventoried costs include amounts relating to cordyceps cultivation with long-term production cycles, a portion of which is not expected to be realized within one year. The determination of net realizable value of long-term cordyceps cultivation costs is based upon quarterly reviews of costs incurred and estimated costs to complete the cultivating process. When costs incurred and the estimate to complete exceed the net realizable value of cordyceps cultivated, a loss provision is recorded. The Company review and identify impaired inventory quarterly, including excess or obsolete inventory, based on expected production usage, abnormal production cycle. Impaired inventories are charged to cost of revenues in the period the impairment occurs. The allowance for inventory impairment are removed from the accounts when the relevant inventory is sold or disposed. |
Property, Plant and Equipment | Property, Plant and Equipment Property and equipment primarily consist of cultivation equipment, office equipment, furniture, tools and construction in progress. Cultivation equipment, office equipment, furniture and tools are stated at cost less accumulated depreciation less any provision required for impairment in value. Depreciation is computed using the straight-line method with residual value rate of 5% based on the estimated useful lives as follows: Buildings and cultivation facilities 20 years (by local laws) Machinery and equipment 3-10 years Office equipment and furniture The less of 5 years or lease term The Company constructs its cultivation facilities, which is accounted for as construction in progress before completed. In addition to cost under the construction contracts, interest cost and external costs directly related to the construction of such facilities, including equipment installation and shipping costs, are capitalized. Costs of repairs and maintenance are expensed as incurred and asset improvements are capitalized. The cost and related accumulated depreciation of assets disposed of or retired are removed from the accounts, and any resulting gain or loss is reflected in the consolidated statement of income. |
Intangible assets, net | Intangible Assets, net Purchased intangible assets are recognized and measured at fair value upon acquisition. Separately identifiable intangible assets that have determinable lives continue to be amortized over their estimated useful lives using the straight-line method based on their estimated useful lives. |
Impairment of long-lived assets | Impairment of Long-lived Assets The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. No impairment of long-lived assets was recognized for the period from May 4, 2020 (Inception) to December 31, 2020 and the year ended December 31, 2021. The Company recorded a fixed asset impairment of $1,177 in the year ended December 31, 2022. |
Operating lease | Operating Lease The Company leases are classified as operating leases in accordance with Topic 842. Under Topic 842, lessees are required to recognize the following for all leases (with the exception of short-term leases) on the commencement date: (i) lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (ii) right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. At the commencement date, the Company recognizes the lease liability at the present value of the lease payments not yet paid, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate for the same term as the underlying lease. The right-of-use asset is recognized initially at cost, which primarily comprises the initial amount of the lease liability, plus any initial direct costs incurred, consisting mainly of brokerage commissions, less any lease incentives received. All right-of-use assets are reviewed for impairment. No impairment for right-of-use lease assets incurred in the period from May 4, 2020 (Inception) to December 31, 2020 and the years ended December 31, 2021 and 2022. |
Research & Development Expenses | Research & Development Expenses Research and development expenses relating to the development of new products and processes, including significant improvements and refinements to existing products, are expensed when incurred in accordance with the FASB ASC 730, “Research and Development.” Research and development costs were $118,444, $25,052 and $0 for the years ended December 31, 2022 and 2021, and the period from May 4, 2020 (Inception) to December 31, 2020, respectively. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) ASC 220 “Comprehensive Income” established standards for reporting and display of comprehensive income/loss, its components and accumulated balances. Components of comprehensive income/loss include net income/loss and foreign currency translation adjustments. The component of accumulated other comprehensive income (loss) consisted of foreign currency translation adjustments. |
Revenue Recognition | Revenue Recognition The Company adopted ASC 606 upon inception. Under ASC 606, revenue is recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. A performance obligation is a promise in a contract to transfer a distinct goods to the customer and is the unit of account in ASC 606. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract and determines those that are performance obligations and assesses whether each promised goods or services is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. Revenue is recognized for sales of cordyceps at the point in time when the cordyceps are delivered to or picked up by, and accepted by customers. Costs accumulated during the cordyceps cultivating process are recognized as inventory; and charged to cost of goods sold upon cordyceps delivery to or pick up by customers. The Company’s return policy allows for the return of damaged or defective products, and the Company absorbs the shipping fee for the return. The Management believes the return is immaterial because the customers inspect and accept the goods upon delivery or pick up. There were no return in the period from May 4, 2020 (Inception) to December 31, 2020 and the years ended December 31, 2021 and 2022. Payments for cordyceps sales received in advance in accordance to the contract is recognized as deferred revenues when received. In 2020, the Company occasionally provided one customer with training service to lean Cordyceps related knowledge and preliminary artificial cultivation technology. The customer wished to cooperate with the Company to join the Cordyceps artificial cultivation field. The Company recognizes training service revenue for cordyceps cultivation service over time as performance obligations are satisfied over the life of the service. This was a one time transaction. The Company does not intend and has not provided such training service after that. The Management does not consider training service constitute a reportable segment in accordance with ASC 280, “Segment Reporting”. |
Income Taxes | Income Taxes The Company accounts for income taxes under the provision of FASB ASC 740-10, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. |
Earnings per share | Earnings per share Basic earnings per ordinary share is computed by dividing net earnings attributable to ordinary shareholders by the weighted-average number of ordinary shares outstanding during the period. Diluted earnings per share is computed by dividing net income attributable to ordinary shareholders by the sum of the weighted average number of ordinary share outstanding and of potential ordinary share (e.g., convertible securities, options and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Potential ordinary shares that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted earnings per share. For the period from May 4, 2020 (Inception) to December 31, 2020 and the years ended December 31, 2021 and 2022, the Company had no dilutive stocks. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments the Company holds that are subject to concentrations of credit risk are cash, restricted cash, notes receivables and accounts receivable arising from its normal business activities. The Company places its cash and restricted cash in what it believes to be credit-worthy financial institutions. The Company routinely assesses the credit status of its customers and, based upon factors surrounding the credit risks, establishes an allowance, if required, for uncollectible accounts. The company believes its accounts receivable and others receivable credit risk exposure beyond such allowance is limited. |
Related Parties Transactions | Related Parties Transactions A related party is generally defined as (i) any person that holds 10% or more of the Company’s securities and their immediate families, (ii) the Company’s management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. A transaction is considered as a related party transaction when there is a transfer of resources or obligations between related parties. Related parties may be individuals or corporate entities. Transactions involving related parties cannot be presumed to be carried out on an arm’s-length basis, as the requisite conditions of competitive, free market dealings may not exist. Representations about transactions with related parties, if made, shall not imply that the related party transactions were consummated on terms equivalent to those that prevail in arm’s-length transactions unless such representations can be substantiated. It is not, however, practical to determine the fair value of amounts of related party transactions due to their related party nature. |
Segment Reporting | Segment Reporting ASC 280, “Segment Reporting,” requires use of the “management approach” model for segment reporting. The management approach model is based on the way a company’s chief operating decision maker organizes segments within the Company for making operating decisions assessing performance and allocating resources. Reportable segments are based on products and services, geography, legal structure, management structure, or any other manner in which management disaggregates a company. Management determined the Company’s operations constitute a single reportable segment in accordance with ASC 280. The Company operates exclusively in one business and industry segment: cultivating and sales of cordyceps. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In August 2020, the FASB issued ASU 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470- 20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815- 40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020- 06”), which simplifies the accounting for certain financial instruments with characteristics of liabilities and equity. This ASU (1) simplifies the accounting for convertible debt instruments and convertible preferred stock by removing the existing guidance in ASC 470-20, Debt: Debt with Conversion and Other Options, that requires entities to account for beneficial conversion features and cash conversion features in equity, separately from the host convertible debt or preferred stock; (2) revises the scope exception from derivative accounting in ASC 815-40 for freestanding financial instruments and embedded features that are both indexed to the issuer’s own stock and classified in stockholders’ equity, by removing certain criteria required for equity classification; and (3) revises the guidance in ASC 260, Earnings Per Share, to require entities to calculate diluted earnings per share (EPS) for convertible instruments by using the if-converted method. In addition, entities must presume share settlement for purposes of calculating diluted EPS when an instrument may be settled in cash or shares. For SEC filers, excluding smaller reporting companies, ASU 2020-06 is effective for fiscal years beginning after December 15, 2021 including interim periods within those fiscal years. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020. For all other entities, ASU 2020-06 is effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Entities should adopt the guidance as of the beginning of the fiscal year of adoption and cannot adopt the guidance in an interim reporting period. The Company is currently evaluating the impact that ASU 2020-06 may have on its financial statements and related disclosures. The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material impact on its the consolidated financial position, statements of operations and cash flows. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Organization [Abstract] | |
Schedule of exchange rates used for foreign currency translation | Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 7.8015 7.8306 Year ended December 31, 2021 7.7996 7.7727 Year ended December 31, 2020 7.7563 7.7563 Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 6.8972 6.7290 Year ended December 31, 2021 6.3726 6.4508 Year ended December 31, 2020 6.5286 6.9032 Period Covered Balance Sheet Date Rates Average Rates Year ended December 31, 2022 30.7300 29.7963 Year ended December 31, 2021 27.7400 27.9366 Year ended December 31, 2020 28.0800 29.4568 |
Schedule of property, plant and equipment estimated useful live | Buildings and cultivation facilities 20 years (by local laws) Machinery and equipment 3-10 years Office equipment and furniture The less of 5 years or lease term |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounts Receivable [Abstract] | |
Schedule of accounts receivable consists | December 31, December 31, December 31, 2022 2021 2020 Accounts receivable $ 149,510 $ 224,097 $ - Accounts receivable-related party - 133,909 - Less: Allowance for doubtful accounts - - - Accounts receivable, net $ 149,510 $ 358,006 $ - |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | December 31, December 31, December 31, 2022 2021 2020 Finished goods $ 207,645 $ 466,449 $ 20,328 Work-in-progress 266,488 390,588 665,082 Supplies and packing materials 12,823 13,878 - Less: Allowance for obsolete inventory (173,426 ) (390,563 ) - Total, net $ 313,530 $ 480,352 $ 685,410 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of summary of property, plant and equipment: | December 31, December 31, December 31, 2022 2021 2020 Buildings and cultivation facilities $ 635,040 $ 687,318 $ 670,894 Machinery and equipment 1,017,206 1,102,141 1,065,513 Office equipment and furniture 103,201 104,417 3,918 Total 1,755,447 1,893,876 1,740,325 Less: Accumulated depreciation (330,312 ) (179,922 ) (28,163 ) Total property, plant and equipment, net $ 1,425,135 $ 1,713,954 $ 1,712,162 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Related Party Transactions [Abstract] | |
Schedule of related party transactions | Name of Related Party Nature of Relationship Mr. Szuhao Huang Director, Chief Executive Officer (“CEO”) Mr. Yenhung Liu Director of the Company Mr. Xusheng Niu Legal Representative of Chengdu Skyherb Mrs. Xiangtao Yao Wife of Xusheng Niu Chengdu Zhonghe sunshine Biotechnology Co., Ltd (“Chengdu Zhonghe”) A company whose legal representative is Mr. Yenhung Liu Gasar Biotechnology Co., Ltd A company managed by Mr. Szuhao Huang, Foshan Xiongluyu Tea Co., Ltd. A company whose legal representative is Mrs. Xiangtao Yao Chengdu Zangqingyuan Herb Co., Ltd. A company whose legal representative is Mrs. Xiangtao Yao |
Schedule of related parties accounts receivable | December 31, December 31, December 31, 2022 2021 2020 Chengdu Zangqingyuan Herb Co., Ltd. $ - $ 133,909 $ - Foshan Xiongluyu Tea Co., Ltd. - - - Gasar Biotechnology Co., Ltd - - - Less: Allowance for doubtful accounts - - - Accounts receivable, net $ - $ 133,909 $ - |
Schedule of due from related parties | December 31, December 31, December 31, 2022 2021 2020 Mr. Szuhao Huang $ - $ - $ 142,182 Gasar Biotechnology Co., Ltd - 148,900 98,900 Less: Allowance for doubtful accounts - - - Total, net $ - $ 148,900 $ 241,082 |
Schedule of due to related parties | December 31, December 31, December 31, 2022 2021 2020 Mr. Xusheng Niu $ 814,308 $ 768,714 $ 378,799 Mrs. Xiangtao Yao 563,969 790,051 906,760 Mr. Szuhao Huang 8,227 12,519 - Total $ 1,386,504 $ 1,571,284 $ 1,285,559 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Schedule of the components of lease costs, lease term and discount rate | For the Year For the Year For the 2022 2021 2020 Operating lease cost $ 67,755 $ 74,887 $ 2,176 December 31, December 31, December 31, 2022 2021 2020 Weighted Average Remaining Lease Term - Operating leases 3.0 years 3.93 years 3.58 years Weighted Average Discount Rate - Operating leases 3.94% 3.98% 4.75% |
Schedule of the future maturity of lease liabilities | For the years ended December 31, Operating Leases 2023 $ 62,999 2024 62,999 2025 62,999 Total undiscounted cash flows 188,997 Less: imputed interest (10,831 ) Present value of lease liabilities 178,166 Less: current portion 57,109 Non-current lease liabilities $ 121,057 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accrued Expenses [Abstract] | |
Schedule of accrued expenses | December 31, December 31, December 31, 2022 2021 2020 Accrued pension and employee benefit $ 62,712 $ 54,203 $ 26,500 Accrued office expenses 42 1,785 771 Taxes payable - 419 2,258 Total $ 62,754 $ 56,407 $ 29,529 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of income tax expense | December 31, December 31, December 31, 2022 2021 2020 Current income tax $ 792 $ 351 $ 1,942 Deferred income tax - - - $ 792 $ 351 $ 1,942 |
Concentrations, Risks and Unc_2
Concentrations, Risks and Uncertainties (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Concentrations, Risks and Uncertainties [Abstract] | |
Schedule of concentration on customers’ sales | For the Year Ended For the Year Ended For the Period from December 31, December 31, December 31, Amount % Amount % Amount % Customer A $ 140,065 31.2 % $ - - $ - - Customer B-related party - - 182,775 20.8 % 43,458 32.0 % Customer C-related party - - 93,012 10.6 % - - Customer D-related party 53,304 11.9 % - - - - Customer E 3,109 0.7 % 225,410 25.6 % - - Customer F - - 137,618 15.6 % - - Customer G - - 129,692 14.7 % - - Customer H 45,980 10.2 % - - - - Customer I 69,104 15.4 % - - - - Customer J 99,569 22.2 % - - - - Customer K - - - - 91,262 68.0 % $ 411,131 91.6 % $ 768,507 87.4 % $ 134,720 100.0 % |
Schedule of concentration on suppliers’ purchases | For the Year Ended For the Year Ended For the Period from December 31, December 31, December 31, Supplier A $ - - $ 116,564 42.5 % $ - - Supplier B - - 64,481 23.5 % - - Supplier C - - 37,476 13.7 % - - Supplier D-related party 13,746 48.1 % - - - - Supplier E 10,038 35.1 % - - - - Supplier F - - - - 523,483 90.0 % Supplier G - - - - 54,462 9.0 % $ 23,784 83.2 % $ 218,521 79.7 % $ 577,945 99.0 % |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) | 8 Months Ended | 12 Months Ended | ||||
Dec. 31, 2020 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2022 HKD ($) | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 TWD ($) | |
Organization [Abstract] | ||||||
Foreign currency translation | $ 1 | ¥ 1 | $ 1 | |||
Residual value rate | 5% | 5% | 5% | |||
Fixed asset impairment | $ 1,177 | |||||
Research and development costs | $ 0 | $ 118,444 | $ 25,052 | |||
Related party generally percentage | 10% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - Schedule of exchange rates used for foreign currency translation | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
HKD [Member] | |||
Summary of Significant Accounting Policies (Details) - Schedule of exchange rates used for foreign currency translation [Line Items] | |||
Balance Sheet Date Rates | 7.8015 | 7.7996 | 7.7563 |
Average Rates | 7.8306 | 7.7727 | 7.7563 |
TWD [Member] | |||
Summary of Significant Accounting Policies (Details) - Schedule of exchange rates used for foreign currency translation [Line Items] | |||
Balance Sheet Date Rates | 6.8972 | 6.3726 | 6.5286 |
Average Rates | 6.7290 | 6.4508 | 6.9032 |
TWD [Member] | |||
Summary of Significant Accounting Policies (Details) - Schedule of exchange rates used for foreign currency translation [Line Items] | |||
Balance Sheet Date Rates | 30.7300 | 27.7400 | 28.0800 |
Average Rates | 29.7963 | 27.9366 | 29.4568 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details) - Schedule of property, plant and equipment estimated useful live | 12 Months Ended |
Dec. 31, 2022 | |
Buildings and cultivation facilities [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of property, plant and equipment estimated useful live [Line Items] | |
Property and equipment, estimated useful lives | 20 years |
Machinery and equipment [Member] | Minimum [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of property, plant and equipment estimated useful live [Line Items] | |
Property and equipment, estimated useful lives | 3 years |
Machinery and equipment [Member] | Maximum [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of property, plant and equipment estimated useful live [Line Items] | |
Property and equipment, estimated useful lives | 10 years |
Office equipment and furniture [Member] | |
Summary of Significant Accounting Policies (Details) - Schedule of property, plant and equipment estimated useful live [Line Items] | |
Property and equipment, estimated useful lives | 5 years |
Going Concern (Details)
Going Concern (Details) - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Going Concern [Abstract] | |||
Net loss | $ 13,476 | $ (720,093) | $ (491,006) |
Accumulated deficit | $ (13,476) | $ (1,224,575) | $ (504,482) |
Accounts Receivable (Details)
Accounts Receivable (Details) - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Credit Loss, Additional Improvements [Abstract] | |||
Bad debt expense | $ 0 | $ 0 | $ 0 |
Accounts Receivable (Details) -
Accounts Receivable (Details) - Schedule of accounts receivable consists - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Accounts Receivable Consists [Abstract] | |||
Accounts receivable | $ 149,510 | $ 224,097 | |
Accounts receivable-related party | 133,909 | ||
Less: Allowance for doubtful accounts | |||
Accounts receivable, net | $ 149,510 | $ 358,006 |
Inventories (Details)
Inventories (Details) - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |||
Inventory | $ 84,709 | $ 385,828 |
Inventories (Details) - Schedul
Inventories (Details) - Schedule of inventories - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Inventories [Abstract] | |||
Finished goods | $ 207,645 | $ 466,449 | $ 20,328 |
Work-in-progress | 266,488 | 390,588 | 665,082 |
Supplies and packing materials | 12,823 | 13,878 | |
Less: Allowance for obsolete inventory | (173,426) | (390,563) | |
Total, net | $ 313,530 | $ 480,352 | $ 685,410 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation expense | $ 26,635 | $ 168,899 | $ 149,238 |
Depreciation expense to production equipment | 26,523 | 144,139 | 148,818 |
Depreciation expense attributable to equipment in administration | $ 112 | $ 24,760 | $ 420 |
Property, Plant and Equipment_3
Property, Plant and Equipment (Details) - Schedule of summary of property, plant and equipment: - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Property Plant and Equipment [Abstract] | |||
Buildings and cultivation facilities | $ 635,040 | $ 687,318 | $ 670,894 |
Machinery and equipment | 1,017,206 | 1,102,141 | 1,065,513 |
Office equipment and furniture | 103,201 | 104,417 | 3,918 |
Total | 1,755,447 | 1,893,876 | 1,740,325 |
Less: Accumulated depreciation | (330,312) | (179,922) | (28,163) |
Total property, plant and equipment, net | $ 1,425,135 | $ 1,713,954 | $ 1,712,162 |
Related Party Transactions (Det
Related Party Transactions (Details) | 1 Months Ended | 6 Months Ended | 8 Months Ended | 12 Months Ended | |||||||
Sep. 10, 2021 USD ($) | Jun. 28, 2020 USD ($) | Jun. 28, 2020 CNY (¥) | Jun. 27, 2020 USD ($) | Jun. 27, 2020 CNY (¥) | Jun. 15, 2020 USD ($) | Jun. 15, 2020 CNY (¥) | Jun. 30, 2022 m² | Dec. 31, 2020 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Related Party Transactions (Details) [Line Items] | |||||||||||
unrelated party amount | $ 146,040 | ||||||||||
Outstanding loan balance amount | 146,040 | ||||||||||
Construction areas (in Square Meters) | m² | 1,788 | ||||||||||
Total amount of accounts payable to related parties | $ 263,628 | ||||||||||
Purchase amount | $ 100,000 | ||||||||||
Repaid amount | 17,691 | ||||||||||
Accured interest | $ 20,284 | ||||||||||
August 30, 2023 [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Maturity date | Aug. 30, 2021 | ||||||||||
Chengdu Zangqingyuan Herb Co., Ltd. [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Sales amount | $ 93,012 | ||||||||||
Foshan Xiongluyu Tea Co., Ltd. [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Sales amount | 43,458 | ||||||||||
Chief Executive Officer [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Outstanding loan balance amount | 146,040 | ||||||||||
Chengdu Zhonghe [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Transfer amount | $ 670,891 | ¥ 4,380,000 | |||||||||
Purchase of fixed assets | $ 1,574,603 | ¥ 10,280,000 | |||||||||
Accounts payable | $ 1,093,557 | $ 1,115,902 | |||||||||
Accounts receivable | 28,997 | ||||||||||
Accounts payable | 229,093 | ||||||||||
Gasar Biotechnology Co., Ltd [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Accounts receivable | 5,538 | ||||||||||
Accounts payable | 28,997 | ||||||||||
Mr. Yenhung Liu [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Accounts receivable | 1,081,367 | ||||||||||
Accounts payable | $ 5,538 | ||||||||||
Loan agreement [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Purchase of fixed assets | $ 1,263,665 | ¥ 8,250,000 | |||||||||
Annual interest rate | 5% | ||||||||||
Mr. XuSheng [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Outstanding loan balance amount | $ 1,285,559 | ||||||||||
Mr. Szuhao Huang [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Maturity date | Dec. 31, 2022 | ||||||||||
Annual interest rate | 5% | ||||||||||
Gasar Biotechnology Co., Ltd [Member] | |||||||||||
Related Party Transactions (Details) [Line Items] | |||||||||||
Sales amount | $ 53,304 |
Related Party Transactions (D_2
Related Party Transactions (Details) - Schedule of related party transactions | 12 Months Ended |
Dec. 31, 2022 | |
Mr. Szuhao Huang [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | Director, Chief Executive Officer (“CEO”) |
Mr. Yenhung Liu [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | Director of the Company |
Mr. Xusheng Niu [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | Legal Representative of Chengdu Skyherb |
Mrs. Xiangtao Yao [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | Wife of Xusheng Niu |
Chengdu Zhonghe sunshine Biotechnology Co., Ltd (“Chengdu Zhonghe”) [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | A company whose legal representative is Mr. Yenhung Liu |
Gasar Biotechnology Co., Ltd [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | A company managed by Mr. Szuhao Huang, |
Foshan Xiongluyu Tea Co., Ltd. [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | A company whose legal representative is Mrs. Xiangtao Yao |
Chengdu Zangqingyuan Herb Co., Ltd. [Member] | |
Related Party Transaction [Line Items] | |
Name of Related Party | A company whose legal representative is Mrs. Xiangtao Yao |
Related Party Transactions (D_3
Related Party Transactions (Details) - Schedule of related parties accounts receivable - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of related parties accounts receivable [Abstract] | |||
Less: Allowance for doubtful accounts | |||
Accounts receivable, net | 133,909 | ||
Chengdu Zangqingyuan Herb Co., Ltd. [Member] | |||
Schedule of related parties accounts receivable [Abstract] | |||
Accounts receivable, gross | 133,909 | ||
Foshan Xiongluyu Tea Co., Ltd. [Member] | |||
Schedule of related parties accounts receivable [Abstract] | |||
Accounts receivable, gross | |||
Gasar Biotechnology Co., Ltd [Member] | |||
Schedule of related parties accounts receivable [Abstract] | |||
Accounts receivable, gross |
Related Party Transactions (D_4
Related Party Transactions (Details) - Schedule of due from related parties - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of due from related parties [Abstract] | |||
Less: Allowance for doubtful accounts | |||
Total, net | 148,900 | 241,082 | |
Mr. Szuhao Huang [Member] | |||
Schedule of due from related parties [Abstract] | |||
Total, gross | 142,182 | ||
Gasar Biotechnology Co., Ltd [Member] | |||
Schedule of due from related parties [Abstract] | |||
Total, gross | $ 148,900 | $ 98,900 |
Related Party Transactions (D_5
Related Party Transactions (Details) - Schedule of due to related parties - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of due to related parties [Abstract] | |||
Total | $ 1,386,504 | $ 1,571,284 | $ 1,285,559 |
Mr. Xusheng Niu [Member] | |||
Schedule of due to related parties [Abstract] | |||
Mr. Xusheng Niu | 814,308 | 768,714 | 378,799 |
Mrs. Xiangtao Yao [Member] | |||
Schedule of due to related parties [Abstract] | |||
Mrs. Xiangtao Yao | 563,969 | 790,051 | 906,760 |
Mr. Szuhao Huang [Member] | |||
Schedule of due to related parties [Abstract] | |||
Mr. Szuhao Huang | $ 8,227 | $ 12,519 |
Leases (Details)
Leases (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Leases (Details) [Line Items] | |
Lease terms, description | These leases have remaining lease terms of 6 months to 4 years. |
PRC [Member] | |
Leases (Details) [Line Items] | |
Borrowing rates, percentage | 4.75% |
Taiwan [Member] | |
Leases (Details) [Line Items] | |
Borrowing rates, percentage | 3.94% |
Leases (Details) - Schedule of
Leases (Details) - Schedule of the components of lease costs, lease term and discount rate - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of The Components of Lease Costs Lease Term and Discount Rate [Abstract] | |||
Operating lease cost | $ 2,176 | $ 67,755 | $ 74,887 |
Weighted Average Remaining Lease Term – Operating leases | 3 years 6 months 29 days | 3 years | 3 years 11 months 4 days |
Weighted Average Discount Rate – Operating leases | 4.75% | 3.94% | 3.98% |
Leases (Details) - Schedule o_2
Leases (Details) - Schedule of the future maturity of lease liabilities | Dec. 31, 2022 USD ($) |
Schedule of The Future Maturity of Lease Liabilities [Abstract] | |
2023 | $ 62,999 |
2024 | 62,999 |
2025 | 62,999 |
Total undiscounted cash flows | 188,997 |
Less: imputed interest | (10,831) |
Present value of lease liabilities | 178,166 |
Less: current portion | 57,109 |
Non-current lease liabilities | $ 121,057 |
Accrued Expenses (Details) - Sc
Accrued Expenses (Details) - Schedule of accrued expenses - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Accrued Expenses [Abstract] | |||
Accrued pension and employee benefit | $ 62,712 | $ 54,203 | $ 26,500 |
Accrued office expenses | 42 | 1,785 | 771 |
Taxes payable | 419 | 2,258 | |
Total | $ 62,754 | $ 56,407 | $ 29,529 |
Long-Term Loans Payable (Detail
Long-Term Loans Payable (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | |
Debt Disclosure [Abstract] | ||||
Loan agreements to borrow | $ 414,000 | |||
Loans amounted | $ 414,000 | $ 414,000 | $ 414,000 |
Equity Capital (Details)
Equity Capital (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Aug. 13, 2021 | Dec. 31, 2020 | Jul. 17, 2020 | May 04, 2020 |
Stockholders' Equity Note [Abstract] | ||||||
Common shares | 1 | |||||
Ordinary shares, issued | 111,120,000 | 11,120,000 | 100,000,000 | |||
Per share (in Dollars per share) | $ 0.0001 | $ 0.0001 | $ 0.02 | $ 0.0001 | $ 0.0001 | |
Subsequently received (in Dollars) | $ 222,400 | $ 10,000 | ||||
Ordinary shares, outstanding | 111,120,000 |
Income Taxes (Details)
Income Taxes (Details) | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Income Tax Disclosure [Abstract] | |
Subject to tax, percentage | 8.25% |
Tax amount (in Dollars) | $ 2,000,000 |
Remaining profits arising, percentage | 16.50% |
Sales tax rate, percentage | 5% |
Income tax rate percentage | 20% |
Enterprise income tax rate, percentage | 25% |
Income Taxes (Details) - Schedu
Income Taxes (Details) - Schedule of income tax expense - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule of Income Tax Expense [Abstract] | |||
Current income tax | $ 792 | $ 351 | $ 1,942 |
Deferred income tax | |||
Total income tax | $ 792 | $ 351 | $ 1,942 |
Concentrations, Risks and Unc_3
Concentrations, Risks and Uncertainties (Details) - Dec. 31, 2022 | USD ($) | CNY (¥) | TWD ($) |
Concentrations, Risks and Uncertainties (Details) [Line Items] | |||
Insured amount | $ 71,821 | ¥ 500,000 | $ 3,000,000 |
Maximum [Member] | |||
Concentrations, Risks and Uncertainties (Details) [Line Items] | |||
Insured amount | $ 108,147 |
Concentrations, Risks and Unc_4
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on customers’ sales - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 411,131 | $ 768,507 | $ 134,720 |
Customer percentage | 91.60% | 87.40% | 100% |
Customer A [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 140,065 | ||
Customer percentage | 31.20% | ||
Customer B Related Party [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 182,775 | $ 43,458 | |
Customer percentage | 20.80% | 32% | |
Customer C Related Party [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 93,012 | ||
Customer percentage | 10.60% | ||
Customer D Related Party [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 53,304 | ||
Customer percentage | 11.90% | ||
Customer E [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 3,109 | $ 225,410 | |
Customer percentage | 0.70% | 25.60% | |
Customer F [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 137,618 | ||
Customer percentage | 15.60% | ||
Customer G [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 129,692 | ||
Customer percentage | 14.70% | ||
Customer H [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 45,980 | ||
Customer percentage | 10.20% | ||
Customer I [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 69,104 | ||
Customer percentage | 15.40% | ||
Customer J [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 99,569 | ||
Customer percentage | 22.20% | ||
Customer K [Member] | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Customer amount | $ 91,262 | ||
Customer percentage | 68% |
Concentrations, Risks and Unc_5
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases - USD ($) | 8 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 577,945 | $ 23,784 | $ 218,521 |
Supplier percentage | 99% | 83.20% | 79.70% |
Supplier A [Member] | |||
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 116,564 | ||
Supplier percentage | 42.50% | ||
Supplier B [Member] | |||
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 64,481 | ||
Supplier percentage | 23.50% | ||
Supplier C [Member] | |||
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 37,476 | ||
Supplier percentage | 13.70% | ||
Supplier D-related party [Member] | |||
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 13,746 | ||
Supplier percentage | 48.10% | ||
Supplier E [Member] | |||
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 10,038 | ||
Supplier percentage | 35.10% | ||
Supplier F [Member] | |||
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 523,483 | ||
Supplier percentage | 90% | ||
Supplier G [Member] | |||
Concentrations, Risks and Uncertainties (Details) - Schedule of concentration on suppliers’ purchases [Line Items] | |||
Supplier amount | $ 54,462 | ||
Supplier percentage | 9% |