Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2023 | Aug. 04, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2023 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2023 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 001-41469 | |
Entity Registrant Name | FORZA X1, INC. | |
Entity Central Index Key | 0001901305 | |
Entity Tax Identification Number | 87-3159685 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 3101 S. US-1 | |
Entity Address, City or Town | Ft. Pierce | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 34982 | |
City Area Code | (772) | |
Local Phone Number | 429-2525 | |
Title of 12(b) Security | Common Stock, par value $0.001 per share | |
Trading Symbol | FRZA | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Elected Not To Use the Extended Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 15,784,000 |
Condensed Balance Sheets (Unaud
Condensed Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 |
Current Assets: | ||
Cash and cash equivalents | $ 16,516,320 | $ 12,767,199 |
Inventories | 521,960 | |
Prepaid expenses and other current assets | 158,808 | 519,735 |
Total Current Assets | 17,197,088 | 13,286,934 |
Operating lease right of use asset | 119,036 | 162,069 |
Security deposit | 7,517 | 7,517 |
Property and equipment, net | 997,973 | 765,406 |
Total Assets | 18,321,614 | 14,221,926 |
Current Liabilities: | ||
Accounts payable | 79,118 | 99,028 |
Accrued liabilities | 111,544 | 92,767 |
Finance leases - current portion | 17,019 | |
Operating lease right of use liability | 89,349 | 86,245 |
Contract liabilities - customer deposits | 5,800 | 5,300 |
Due to affiliates | 104,043 | 169,851 |
Total Current Liabilities | 406,873 | 453,191 |
Finance leases - noncurrent | 67,720 | |
Operating lease liability - noncurrent | 23,072 | 68,532 |
Total Liabilities | 497,665 | 521,723 |
Commitments and contingencies (Note 8) | ||
Stockholders' Equity: | ||
Common stock: 100,000,000 authorized; $0.001 par value; 15,784,000 and 10,450,000 shares issued and outstanding, respectively | 15,784 | 10,450 |
Additional paid in capital | 25,384,583 | 17,777,385 |
Accumulated deficit | (7,576,418) | (4,087,632) |
Total Stockholders' Equity | 17,823,949 | 13,700,203 |
Total Liabilities and Stockholders' Equity | $ 18,321,614 | $ 14,221,926 |
Condensed Balance Sheets (Una_2
Condensed Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Jun. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares issued | 15,784,000 | 10,450,000 |
Common stock, shares outstanding | 15,784,000 | 10,450,000 |
Condensed Statements of Operati
Condensed Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Statement [Abstract] | ||||
Net sales | ||||
Cost of sales | 40,796 | 13,012 | 90,737 | 24,090 |
Gross loss | (40,796) | (13,012) | (90,737) | (24,090) |
Operating expenses: | ||||
Selling, general and administrative | 334,315 | 63,941 | 688,977 | 141,806 |
Salaries and wages | 864,838 | 296,863 | 1,727,602 | 479,149 |
Research and development | 261,473 | 218,769 | 964,121 | 434,439 |
Professional fees | 69,867 | 16,532 | 193,907 | 35,610 |
Depreciation | 48,230 | 11,335 | 83,926 | 19,072 |
Total operating expenses | 1,578,723 | 607,440 | 3,658,533 | 1,110,076 |
Loss from operations | (1,619,519) | (620,452) | (3,749,270) | (1,134,166) |
Other income (expense): | ||||
Interest expense | (1,493) | (257) | (1,784) | (858) |
Interest income | 8 | 31 | ||
Dividend income | 137,358 | 262,268 | ||
Loss on disposal of assets | (31,582) | (31,582) | ||
Total other income (expenses) | 135,865 | (31,831) | 260,484 | (32,409) |
Loss before income tax | (1,483,654) | (652,283) | (3,488,786) | (1,166,575) |
Income taxes provision | ||||
Net loss | $ (1,483,654) | $ (652,283) | $ (3,488,786) | $ (1,166,575) |
Condensed Statements of Opera_2
Condensed Statements of Operations (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Statement [Abstract] | ||||
Earning per share, basic | $ (0.13) | $ (0.09) | $ (0.32) | $ (0.17) |
Earning per share, diluted | $ (0.13) | $ (0.09) | $ (0.32) | $ (0.17) |
Weighted average number of shares outstanding, basic | 11,446,391 | 7,000,000 | 10,950,863 | 7,000,000 |
Weighted average number of shares outstanding, diluted | 11,446,391 | 7,000,000 | 10,950,863 | 7,000,000 |
Condensed Statements of Stockho
Condensed Statements of Stockholders' Equity (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2021 | $ 7,000 | $ 1,993,000 | $ (457,551) | $ 1,542,449 |
Beginning Balance, Shares at Dec. 31, 2021 | 7,000,000 | |||
Net loss | (514,292) | (514,292) | ||
Ending balance, value at Mar. 31, 2022 | $ 7,000 | 1,993,000 | (971,843) | 1,028,157 |
Ending balance, Shares at Mar. 31, 2022 | 7,000,000 | |||
Capital contributions from parent | 500,000 | 500,000 | ||
Net loss | (652,283) | (652,283) | ||
Ending balance, value at Jun. 30, 2022 | $ 7,000 | 2,493,000 | (1,624,126) | 875,874 |
Ending balance, Shares at Jun. 30, 2022 | 7,000,000 | |||
Beginning balance, value at Dec. 31, 2022 | $ 10,450 | 17,777,385 | (4,087,632) | 13,700,203 |
Beginning Balance, Shares at Dec. 31, 2022 | 10,450,000 | |||
Stock-based compensation | 341,163 | 341,163 | ||
Net loss | (2,005,132) | (2,005,132) | ||
Ending balance, value at Mar. 31, 2023 | $ 10,450 | 18,118,548 | (6,092,764) | 12,036,234 |
Ending balance, Shares at Mar. 31, 2023 | 10,450,000 | |||
Common stock issued for cash | $ 5,334 | 6,924,218 | 6,929,552 | |
Common stock issued for cash, shares | 5,334,000 | |||
Stock-based compensation | 341,817 | 341,817 | ||
Net loss | (1,483,654) | (1,483,654) | ||
Ending balance, value at Jun. 30, 2023 | $ 15,784 | $ 25,384,583 | $ (7,576,418) | $ 17,823,949 |
Ending balance, Shares at Jun. 30, 2023 | 15,784,000 |
Condensed Statements of Cash Fl
Condensed Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Cash Flows From Operating Activities | ||
Net loss | $ (3,488,786) | $ (1,166,575) |
Adjustments to reconcile net loss: | ||
Depreciation | 83,926 | 14,267 |
Stock based compensation | 682,980 | |
Change of right-of-use asset | 43,033 | |
Loss on disposal of assets | 31,582 | |
Inventories | (521,960) | (16,831) |
Prepaid expenses and other current assets | 360,927 | 55,206 |
Accounts payable | (19,910) | (7,891) |
Accrued liabilities | 18,777 | 6,396 |
Contract liabilities customer deposits | 500 | |
Operating lease liabilities | (42,356) | |
Net cash used in operating activities | (2,882,869) | (1,083,846) |
Cash Flows From Investing Activities | ||
Purchase of property and equipment | (224,088) | (188,666) |
Net cash used in investing activities | (224,088) | (188,666) |
Cash Flows From Financing Activities | ||
Net proceeds from issuance of common stock | 6,996,015 | |
Deferred offering costs | (66,463) | (141,629) |
Capital contributions from parent | 500,000 | |
Equipment financing | (7,666) | |
Repayments of advances from parent | (409,505) | (750,596) |
Advances from parent | 343,697 | 119,843 |
Net cash provided by (used in) financing activities | 6,856,078 | (272,382) |
Net change in cash and cash equivalents | 3,749,121 | (1,544,894) |
Cash and cash equivalents at beginning of period | 12,767,199 | 1,803,285 |
Cash and cash equivalents at end of period | 16,516,320 | 258,391 |
Supplemental Cash Flow Information | ||
Cash paid for income taxes | ||
Cash paid for interest | 1,784 | 858 |
Non Cash Investing and Financing Activities | ||
Finance leases | $ 92,405 |
Organization and Summary of Sig
Organization and Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Organization and Summary of Significant Accounting Policies | 1. Organization and Summary of Significant Accounting Policies Organization Forza X1, Inc. (“Forza” or the “Company”) was initially incorporated as Electra Power Sports, Inc. on October 15, 2021, but subsequently changed its name to Forza X1, Inc. on October 29, 2021. The Company’s parent company was incorporated in the State of Florida as Twin Vee Catamarans, Inc. on December 1, 2009, and reincorporated in Delaware on April 7, 2021, as Twin Vee PowerCats Co. (“Twin Vee”). Basis of Presentation The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial statements and with the instructions to Quarterly Report on Form 10-Q and Rule 8-03 of Regulation S-X of the United States Securities and Exchange Commission (“SEC”). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited condensed financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company as of June 30, 2023 and the results of operations and cash flows for the periods presented. The results of operations for the six months ended June 30, 2023 are not necessarily indicative of the operating results for the full fiscal year or any future period. These unaudited condensed financial statements should be read in conjunction with the financial statements and related notes thereto for the year ended December 31, 2022 included in the Company’s Annual Report on Form 10-K filed with the SEC on March 28, 2023. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States “U.S. GAAP” requires management to make estimates and assumptions that affect the amounts reported in the financial statements. Actual results could differ from those estimates. Included in those estimates are assumptions about useful life of fixed assets. Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with original maturities of three months or less at the time of the purchase. On June 30, 2023 and December 31, 2022, the Company had cash and cash equivalents of $ 16,516,320 12,767,199 Concentrations of Credit and Business Risk The Company minimizes the concentration of credit risk associated with its cash by maintaining its cash with high quality federally insured financial institutions. However, cash balances in excess of the Federal Deposit Insurance Corporation (“FDIC”) insured limit of $ 250,000 16,205,328 12,446,216 Inventories Inventories, which are raw materials for upcoming production, are valued at the lower of cost and net realizable value, with cost determined using the average cost method. Net realizable value is defined as sales price less cost of completion, disposable and transportation and a normal profit margin. Production costs, consisting of labor and overhead, are applied to ending finished goods inventories at a rate based on estimated production capacity. Excess production costs are charged to cost of products sold. Provisions have been made to reduce excess or obsolete inventories to their net realizable value. |
Property and Equipment
Property and Equipment | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | 2. Property and Equipment At June 30, 2023 and December 31, 2022, property and equipment consisted of the following: Schedule of property and equipment June 30, December 31, 2023 2022 Building - construction in progress 26,321 10,031 Equipment 195,148 59,806 Computer hardware and software 50,626 37,016 Software and website development 90,396 35,572 Furniture and fixtures 2,152 — Vehicles 48,825 — Prototype 142,526 142,526 Molds and fixtures 574,416 528,966 1,130,410 813,917 Less accumulated depreciation (132,437 ) (48,511 ) $ 997,973 $ 765,406 Depreciation expense of property and equipment of $ 83,926 19,072 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Leases | 3. Leases Operating right of use (“ROU”) assets and operating lease liabilities are recognized at the lease commencement date. Operating lease liabilities represent the present value of lease payments not yet paid. Operating right of use assets represent the Company’s right to use an underlying asset and is based upon the operating lease liabilities adjusted for prepayments or accrued lease payments, initial direct costs, lease incentives, and impairment of operating lease assets. To determine the present value of lease payments not yet paid, the Company estimates incremental secured borrowing rates corresponding to the maturities of the leases. We used the U.S. Treasury rate of 0.33 The Company leases a warehouse facility, and the land upon which the warehouse is located which are located at 150 Commerce Street, Old Fort, North Carolina (the “Property”) from NC Limited Liability Company. The Company entered into the lease on October 7, 2022, the lease has a term of 2 7,517 7,517 At June 30, 2023 and December 31, 2022, supplemental balance sheet information related to leases were as follows: Schedule of condensed balance sheet June 30, December 31, 2023 2022 Operating lease ROU asset $ 119,036 $ 162,069 June 30, December 31, 2023 2022 Operating lease liabilities: Current portion $ 89,349 $ 86,245 Non-current portion 23,072 68,532 Total lease liabilities $ 112,421 $ 154,777 At June 30, 2023, future minimum lease payments under the non-cancelable operating leases are as follows: Years Ending December 31, Schedule of future minimum lease payments 2023 $ 45,777 2024 69,680 Total lease payment $ 115,456 Total imputed interest 3,035 Total $ 112,421 The following summarizes other supplemental information about the Company’s operating lease: Schedule of operating lease cost June 30, 2023 Weighted average discount rate 4 % Weighted average remaining lease term (years) 1.21 Six Months Ended Operating lease cost $ 45,100 Total lease cost $ 45,100 |
Finance Leases
Finance Leases | 6 Months Ended |
Jun. 30, 2023 | |
Lessee Disclosure [Abstract] | |
Finance Leases | 4. Finance Leases The Company has finance leases for a vehicle and a forklift. The Company entered into the forklift lease in January of 2023, with an asset value of $ 43,579 60 7.5% 48,826 60 3% 17,019 67,720 At June 30, 2023, future minimum payments under the non-cancelable finance leases are as follows: Years Ending December 31, Schedule of finance leases 2023 $ 10,475 2024 20,950 2025 20,950 2026 20,950 2027 20,945 2028 874 Total lease payment $ 95,144 Total Imputed interest 10,405 Total $ 84,739 |
Related Party Transaction
Related Party Transaction | 6 Months Ended |
Jun. 30, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transaction | 5. Related Party Transaction As of June 30, 2023 and December 31, 2022, the Company had current liabilities of $ 104,043 169,851 Associated with amounts advanced and due to Twin Vee, for the six months ended June 30, 2023 and 2022, the Company recorded interest expense of $ 519 858 6% Pursuant to a management agreement with Twin Vee, dated October 2021, and a subsequent agreement dated September 2022, for various management services, the Company paid $5,000 monthly through August of 2021, and $6,800 monthly thereafter for management fee associated with the use of shared management resources. The September 2022 agreement has a term of one year and will expire on August 31, 2023. 40,800 30,000 For the six months ended June 30, 2023 and 2022 the Company recorded rent expense of approximately $ 20,400 5,100 3,400 During the six months ended June 30, 2023 and 2022, the Company repaid advancements from Twin Vee of $ 409,505 750,596 343,697 119,843 |
Accrued Liabilities
Accrued Liabilities | 6 Months Ended |
Jun. 30, 2023 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | 6. Accrued Liabilities At June 30, 2023 and December 31, 2022, accrued liabilities consisted of the following: Schedule of accrued liabilities June 30, December 31, 2023 2022 Accrued wages and benefits $ 79,731 $ 56,581 Accrued operating expense 31,813 36,186 Total $ 111,544 $ 92,767 |
Liquidity
Liquidity | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Liquidity | 7. Liquidity As of June 30, 2023, the Company had cash and cash equivalents and working capital of $ 16,516,320 16,790,215 12,767,199 12,833,743 6,703,089 3,488,786 1,166,575 The Company has no current source of revenue and may seek additional equity and/or debt financing. A successful transition to attaining profitable operations is dependent upon achieving a level of positive cash flows adequate to support the Company’s cost structure. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 8. Commitments and Contingencies Short-term lease In August of 2022, the Company signed a six-month lease for a duplex, to be used by its employees to minimize travel expense as it started construction on its new manufacturing facility, for $ 2,200 11,000 0 Litigation The Company is currently involved in civil litigation in the normal course of business, the Company does not consider this to be material. |
Stockholders_ Equity
Stockholders’ Equity | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Stockholders’ Equity | 9. Stockholders’ Equity Common Stock Warrants The Company had outstanding warrants to purchase 172,500 6.25 306,705 1.88 August 16, 2027 June 16, 2028 no Equity Compensation Plan The Company maintains an equity compensation plan (the “Plan”) under which it may award employees, directors and consultants’ incentive and non-qualified stock options, restricted stock, stock appreciation rights and other stock-based awards with terms established by the Compensation Committee of the Board of Directors which has been appointed by the Board of Directors to administer the plan. The number of awards under the Plan automatically increased on January 1, 2023. As of June 30, 2023, there were 568,750 Accounting for Stock -Based Compensation Stock Compensation Expense 682,980 0 Forza’s 2022 Stock Incentive Plan (the “Plan”) The Company utilizes the Black-Scholes model to determine fair value of stock option awards on the date of grant. The Company utilized the following assumptions for option grants during the six months ended June 30, 2023: Schedule of assumptions Six months ended June 30, 2023 Expected term 5 Expected average volatility 111 115 % Expected dividend yield — Risk-free interest rate 2.98 3.62 % The expected volatility of the option is determined using historical volatilities based on historical stock price of comparable boat manufacturing companies. The Company estimated the expected life of the options granted based upon historical weighted average of comparable boat manufacturing companies. The risk-free interest rate is determined using the U.S. Department of the Treasury yield curve rates with a remaining term equal to the expected life of the option. The Company has never paid a dividend, and as such the dividend yield is 0.0% Schedule of stock option activity Options Outstanding Weighted Number of Weighted Remaining life Options Exercise Price (years) Fair value of Outstanding, December 31, 2021 — $ — — $ — Granted 1,441,500 3.41 10.00 4,009,913 Exercised — — Forfeited/canceled — — — — Outstanding, December 31, 2022 1,441,500 $ 3.41 0.07 $ 4,009,913 Granted — — — — Exercised — — Forfeited/canceled (36,944 ) 1.33 9.74 — Outstanding, June 30, 2023 1,404,556 $ 3.46 9.27 $ 4,009,913 Exercisable options, June 30, 2023 360,125 $ 3.98 9.22 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | 10. Subsequent Events The Company has evaluated all events or transactions that occurred after June 30, 2023 through August 7, 2023, which is the date that the condensed financial statements were available to be issued. During this period, there were no material subsequent events requiring recognition or disclosure. |
Organization and Summary of S_2
Organization and Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Organization | Organization Forza X1, Inc. (“Forza” or the “Company”) was initially incorporated as Electra Power Sports, Inc. on October 15, 2021, but subsequently changed its name to Forza X1, Inc. on October 29, 2021. The Company’s parent company was incorporated in the State of Florida as Twin Vee Catamarans, Inc. on December 1, 2009, and reincorporated in Delaware on April 7, 2021, as Twin Vee PowerCats Co. (“Twin Vee”). |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial statements and with the instructions to Quarterly Report on Form 10-Q and Rule 8-03 of Regulation S-X of the United States Securities and Exchange Commission (“SEC”). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited condensed financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company as of June 30, 2023 and the results of operations and cash flows for the periods presented. The results of operations for the six months ended June 30, 2023 are not necessarily indicative of the operating results for the full fiscal year or any future period. These unaudited condensed financial statements should be read in conjunction with the financial statements and related notes thereto for the year ended December 31, 2022 included in the Company’s Annual Report on Form 10-K filed with the SEC on March 28, 2023. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States “U.S. GAAP” requires management to make estimates and assumptions that affect the amounts reported in the financial statements. Actual results could differ from those estimates. Included in those estimates are assumptions about useful life of fixed assets. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include all highly liquid investments with original maturities of three months or less at the time of the purchase. On June 30, 2023 and December 31, 2022, the Company had cash and cash equivalents of $ 16,516,320 12,767,199 |
Concentrations of Credit and Business Risk | Concentrations of Credit and Business Risk The Company minimizes the concentration of credit risk associated with its cash by maintaining its cash with high quality federally insured financial institutions. However, cash balances in excess of the Federal Deposit Insurance Corporation (“FDIC”) insured limit of $ 250,000 16,205,328 12,446,216 |
Inventories | Inventories Inventories, which are raw materials for upcoming production, are valued at the lower of cost and net realizable value, with cost determined using the average cost method. Net realizable value is defined as sales price less cost of completion, disposable and transportation and a normal profit margin. Production costs, consisting of labor and overhead, are applied to ending finished goods inventories at a rate based on estimated production capacity. Excess production costs are charged to cost of products sold. Provisions have been made to reduce excess or obsolete inventories to their net realizable value. |
Property and Equipment (Tables)
Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | Schedule of property and equipment June 30, December 31, 2023 2022 Building - construction in progress 26,321 10,031 Equipment 195,148 59,806 Computer hardware and software 50,626 37,016 Software and website development 90,396 35,572 Furniture and fixtures 2,152 — Vehicles 48,825 — Prototype 142,526 142,526 Molds and fixtures 574,416 528,966 1,130,410 813,917 Less accumulated depreciation (132,437 ) (48,511 ) $ 997,973 $ 765,406 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Schedule of condensed balance sheet | Schedule of condensed balance sheet June 30, December 31, 2023 2022 Operating lease ROU asset $ 119,036 $ 162,069 June 30, December 31, 2023 2022 Operating lease liabilities: Current portion $ 89,349 $ 86,245 Non-current portion 23,072 68,532 Total lease liabilities $ 112,421 $ 154,777 |
Schedule of future minimum lease payments | Schedule of future minimum lease payments 2023 $ 45,777 2024 69,680 Total lease payment $ 115,456 Total imputed interest 3,035 Total $ 112,421 |
Schedule of operating lease cost | Schedule of operating lease cost June 30, 2023 Weighted average discount rate 4 % Weighted average remaining lease term (years) 1.21 Six Months Ended Operating lease cost $ 45,100 Total lease cost $ 45,100 |
Finance Leases (Tables)
Finance Leases (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Lessee Disclosure [Abstract] | |
Schedule of finance leases | Schedule of finance leases 2023 $ 10,475 2024 20,950 2025 20,950 2026 20,950 2027 20,945 2028 874 Total lease payment $ 95,144 Total Imputed interest 10,405 Total $ 84,739 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Payables and Accruals [Abstract] | |
Schedule of accrued liabilities | Schedule of accrued liabilities June 30, December 31, 2023 2022 Accrued wages and benefits $ 79,731 $ 56,581 Accrued operating expense 31,813 36,186 Total $ 111,544 $ 92,767 |
Stockholders_ Equity (Tables)
Stockholders’ Equity (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Schedule of assumptions | Schedule of assumptions Six months ended June 30, 2023 Expected term 5 Expected average volatility 111 115 % Expected dividend yield — Risk-free interest rate 2.98 3.62 % |
Schedule of stock option activity | Schedule of stock option activity Options Outstanding Weighted Number of Weighted Remaining life Options Exercise Price (years) Fair value of Outstanding, December 31, 2021 — $ — — $ — Granted 1,441,500 3.41 10.00 4,009,913 Exercised — — Forfeited/canceled — — — — Outstanding, December 31, 2022 1,441,500 $ 3.41 0.07 $ 4,009,913 Granted — — — — Exercised — — Forfeited/canceled (36,944 ) 1.33 9.74 — Outstanding, June 30, 2023 1,404,556 $ 3.46 9.27 $ 4,009,913 Exercisable options, June 30, 2023 360,125 $ 3.98 9.22 |
Organization and Summary of S_3
Organization and Summary of Significant Accounting Policies (Details Narrative) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 |
Accounting Policies [Abstract] | ||
Cash and Cash Equivalents | $ 16,516,320 | $ 12,767,199 |
FDIC insured limit | 250,000 | |
FDIC excess amount | $ 16,205,328 | $ 12,446,216 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 1,130,410 | $ 813,917 |
Less: accumulated depreciation | (132,437) | (48,511) |
Property and equipment, net | 997,973 | 765,406 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 26,321 | 10,031 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 195,148 | 59,806 |
Computer Hardware And Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 50,626 | 37,016 |
Software And Website Development [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 90,396 | 35,572 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 2,152 | |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 48,825 | |
Prototype [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 142,526 | 142,526 |
Molds And Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 574,416 | $ 528,966 |
Property and Equipment (Detai_2
Property and Equipment (Details Narrative) - USD ($) | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 83,926 | $ 19,072 |
Leases (Details)
Leases (Details) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
Operating lease ROU asset | $ 119,036 | $ 162,069 |
Current portion | 89,349 | 86,245 |
Non-current portion | 23,072 | 68,532 |
Total | $ 112,421 | $ 154,777 |
Leases (Details 1)
Leases (Details 1) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
2023 | $ 45,777 | |
2024 | 69,680 | |
Total lease payment | 115,456 | |
Total imputed interest | 3,035 | |
Total | $ 112,421 | $ 154,777 |
Leases (Details 2)
Leases (Details 2) | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Leases [Abstract] | |
Weighted average discount rate | 4% |
Weighted average remaining lease term (years) | 1 year 2 months 15 days |
Operating lease cost | $ 45,100 |
Lease cost | $ 45,100 |
Leases (Details Narrative)
Leases (Details Narrative) - USD ($) | 12 Months Ended | |
Oct. 07, 2022 | Dec. 31, 2022 | |
Leases [Abstract] | ||
Treasury rate | $ 0.0033 | |
Lease term | 2 years | |
Current base rent payment | $ 7,517 | |
Security deposit | $ 7,517 |
Finance Leases (Details)
Finance Leases (Details) | Jun. 30, 2023 USD ($) |
Lessee Disclosure [Abstract] | |
2023 | $ 10,475 |
2024 | 20,950 |
2025 | 20,950 |
2026 | 20,950 |
2027 | 20,945 |
2028 | 874 |
Total lease payment | 95,144 |
Total Imputed interest | 10,405 |
Total | $ 84,739 |
Finance Leases (Details Narrati
Finance Leases (Details Narrative) - USD ($) | Jun. 30, 2023 | Feb. 28, 2023 | Jan. 31, 2023 | Dec. 31, 2022 |
Lessee Disclosure [Abstract] | ||||
Net asset value | $ 48,826 | $ 43,579 | ||
Lease period | 60 months | 60 months | ||
Finance lease interest rate | 3% | 7.50% | ||
Finance lease liability current | $ 17,019 | |||
Finance lease liability non current | $ 67,720 |
Related Party Transaction (Deta
Related Party Transaction (Details Narrative) - USD ($) | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Related Party Transaction [Line Items] | |||
Repayments of advances from parent | $ 409,505 | $ 750,596 | |
Proceeds from advances from parent | 343,697 | 119,843 | |
Twin Vee [Member] | |||
Related Party Transaction [Line Items] | |||
Current liabilities | 104,043 | $ 169,851 | |
Interest expense | $ 519 | $ 858 | |
Interest rate | 6% | 6% | |
Management fees description | the Company paid $5,000 monthly through August of 2021, and $6,800 monthly thereafter for management fee associated with the use of shared management resources. The September 2022 agreement has a term of one year and will expire on August 31, 2023. | ||
Management fees | $ 40,800 | $ 30,000 | |
Rent expense | 20,400 | $ 5,100 | |
Periodic payment | $ 3,400 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 |
Payables and Accruals [Abstract] | ||
Accrued wages and benefits | $ 79,731 | $ 56,581 |
Accrued operating expense | 31,813 | 36,186 |
Total | $ 111,544 | $ 92,767 |
Liquidity (Details Narrative)
Liquidity (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 14, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Subsidiary, Sale of Stock [Line Items] | ||||||
Cash and cash equivalents | $ 16,516,320 | $ 16,516,320 | $ 12,767,199 | |||
Working capital | 16,790,215 | 16,790,215 | $ 12,833,743 | |||
Net income loss | $ 1,483,654 | $ 652,283 | $ 3,488,786 | $ 1,166,575 | ||
IPO [Member] | ||||||
Subsidiary, Sale of Stock [Line Items] | ||||||
Initial public offering | $ 6,703,089 |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Short term lease | $ 2,200 | |
Lease expense | $ 11,000 | $ 0 |
Stockholders Equity (Details)
Stockholders Equity (Details) | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Expected term | 5 years |
Expected average volatility | 111% |
Expected average volatility | 115% |
Expected dividend yield | |
Risk-free interest rate | 2.98% |
Risk-free interest rate | 3.62% |
Stockholders Equity (Details 1)
Stockholders Equity (Details 1) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Equity [Abstract] | ||
Number of shares options outstanding, beginning | 1,441,500 | |
Weighted average exercise price outstanding, beginning | $ 3.41 | |
Fair value of option outstanding, beginning | $ 4,009,913 | |
Number of shares options, granted | 1,441,500 | |
Weighted average exercise price, granted | $ 3.41 | |
Weighted average remaining life granted | 10 years | |
Fair value of option granted | $ 4,009,913 | |
Number of shares options, exercised | ||
Weighted average exercise price, exercised | ||
Number of shares options, forfeited/canceled | (36,944) | |
Weighted average exercise price, forfeited | $ 1.33 | |
Fair value of option forfeited | ||
Weighted average remaining life | 25 days | |
Weighted average remaining life forfeited | 9 years 8 months 26 days | |
Number of shares options outstanding, ending | 1,404,556 | 1,441,500 |
Weighted average exercise price outstanding, ending | $ 3.46 | $ 3.41 |
Weighted average remaining life | 9 years 3 months 7 days | |
Fair value of option outstanding, ending | $ 4,009,913 | $ 4,009,913 |
Exercisable options | 360,125 | |
Weighted average exercise price, exercisable options | $ 3.98 | |
Weighted average remaining life exercisable | 9 years 2 months 19 days |
Stockholders_ Equity (Details N
Stockholders’ Equity (Details Narrative) - USD ($) | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 14, 2023 | Aug. 16, 2022 | |
Outstanding warrants | 306,705 | 172,500 | ||
Weighted-average exercise price | $ 1.88 | $ 6.25 | ||
Warrant activity | $ 0 | |||
Stock-based compensation expense | $ 682,980 | $ 0 | ||
Equity Compensation Plan [Member] | ||||
Number of shares available for grant | 568,750 | |||
Minimum [Member] | ||||
Expiration date | Aug. 16, 2027 | |||
Maximum [Member] | ||||
Expiration date | Jun. 16, 2028 |