Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 28, 2019 | Apr. 20, 2020 | Jun. 29, 2019 | |
Document And Entity Information | |||
Entity Registrant Name | TOFUTTI BRANDS INC | ||
Entity Central Index Key | 0000730349 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 28, 2019 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-28 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filer | No | ||
Entity's Reporting Status Current | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business Flag | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 5,246,695 | ||
Entity Common Stock, Shares Outstanding | 5,153,706 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2019 |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 514 | $ 558 |
Accounts receivable, net of allowance for doubtful accounts and sales promotions of $407 and $491, respectively | 1,819 | 2,128 |
Inventories | 1,929 | 1,714 |
Prepaid expenses and other current assets | 120 | 82 |
Deferred costs | 54 | |
Total current assets | 4,382 | 4,536 |
Deferred tax assets | 217 | 217 |
Fixed assets (net of accumulated depreciation of $5 and $0, respectively) | 145 | 121 |
Operating lease right-of-use assets | 252 | |
Other assets | 30 | 16 |
Total assets | 5,026 | 4,890 |
Current liabilities: | ||
Accounts payable | 167 | 368 |
Accrued expenses | 375 | 272 |
Total current liabilities | 542 | 640 |
Convertible note payable-long term-related party | 500 | 500 |
Operating lease liabilities | 156 | |
Total liabilities | 1,198 | 1,140 |
Stockholders' equity: | ||
Preferred stock - par value $.01 per share; authorized 100,000 shares, none issued | ||
Common stock - par value $.01 per share; authorized 15,000,000 shares, issued and outstanding 5,153,706 shares at December 28, 2019 and December 29, 2018 | 52 | 52 |
Additional paid-in capital | 207 | 207 |
Retained earnings | 3,569 | 3,491 |
Total stockholders' equity | 3,828 | 3,750 |
Total liabilities and stockholders' equity | $ 5,026 | $ 4,890 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts and sales promotions on accounts receivable | $ 407 | $ 491 |
Accumulated depreciation on fixed assets | $ 5 | $ 0 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 100,000 | 100,000 |
Preferred stock, shares issued | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 5,153,706 | 5,153,706 |
Common stock, shares outstanding | 5,153,706 | 5,153,706 |
Statements of Income
Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Income Statement [Abstract] | ||
Net sales | $ 13,130 | $ 13,066 |
Cost of sales | 9,093 | 8,962 |
Gross profit | 4,037 | 4,104 |
Operating expenses: | ||
Selling and warehousing | 1,632 | 1,357 |
Marketing | 347 | 294 |
Product development costs | 324 | 410 |
General and administrative | 1,626 | 1,671 |
Total operating expenses | 3,929 | 3,732 |
Income from operations | 108 | 372 |
Interest expense- related party | 25 | 25 |
Income before provision for income tax | 83 | 347 |
Income tax expense (benefit) | 5 | (160) |
Net income | $ 78 | $ 507 |
Weighted average common shares outstanding: | ||
Basic and diluted | 5,154 | 5,154 |
Net income per common share: | ||
Basic and diluted | $ 0.02 | $ 0.10 |
Statements of Changes in Stockh
Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Balance at Dec. 30, 2017 | $ 52 | $ 207 | $ 2,984 | $ 3,243 |
Balance, shares at Dec. 30, 2017 | 5,153,706 | |||
Net income | 507 | 507 | ||
Balance at Dec. 29, 2018 | $ 52 | 207 | 3,491 | 3,750 |
Balance, shares at Dec. 29, 2018 | 5,153,706 | |||
Net income | 78 | 78 | ||
Balance at Dec. 28, 2019 | $ 52 | $ 207 | $ 3,569 | $ 3,828 |
Balance, shares at Dec. 28, 2019 | 5,153,706 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 78 | $ 507 |
Adjustments to reconcile net income to net cash flows (used in) provided by operating activities: | ||
Depreciation | 5 | 10 |
Provision for bad debts and sales promotions | 260 | 105 |
Provision for inventory reserve | 105 | |
Deferred tax asset provision | (217) | |
Change in the unrecognized tax position | 50 | |
Change in assets and liabilities: | ||
Accounts receivable | 49 | (463) |
Inventories | (215) | (336) |
Prepaid expenses | (38) | (10) |
Deferred costs | 54 | 32 |
Other assets | (14) | |
Deferred revenue | (94) | |
Accounts payable and accrued expenses | (194) | (414) |
Net cash flows used in operating activities | (15) | (725) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of fixed assets | (29) | (121) |
Net cash flows used in investing activities | (29) | (121) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Principal payments on note payable obligation | (10) | |
Net cash flows used in financing activities | (10) | |
NET CHANGE IN CASH AND CASH EQUIVALENTS | (44) | (856) |
CASH AND CASH EQUIVALENTS, AT BEGINNING OF YEAR | 558 | 1,414 |
CASH AND CASH EQUIVALENTS, AT END OF YEAR | 514 | 558 |
SUPPLEMENTAL CASH FLOW INFORMATION: | ||
Income taxes paid | 5 | 5 |
Interest expense- related party | 25 | 25 |
Cash paid for the amounts in the measurement of operating lease liability | 99 | |
Right of use assets obtained in exchange for the operating lease liability | $ 361 |
Liquidity and Capital Resources
Liquidity and Capital Resources | 12 Months Ended |
Dec. 28, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Liquidity and Capital Resources | NOTE 1: LIQUIDITY AND CAPITAL RESOURCES At December 28, 2019, Tofutti Brands, Inc. (“Tofutti” or the “Company”) had approximately $514 in cash compared to $558 at December 29, 2018. Net cash used in operating activities for the year ended December 28, 2019 was $15 compared to $725 used in operating activities for the year ended December 29, 2018. Cash used in investing activities was $29 for the fiscal year ended December 28, 2019 compared to $121 for the fiscal year ended December 29, 2018. No cash was used in financing activities for the fiscal year ended December 28, 2019 compared to $10 used in financing activities for the fiscal year ended December 29, 2018. The Company has historically primarily financed operations and met capital requirements through positive cash flow from operations. However, due to net losses and cash used in operations in prior years in order to provide the Company with additional working capital, on January 6, 2016, David Mintz, the Company’s Chairman and Chief Executive, provided it with a loan of $500. Commencing March 31, 2016, interest of 5% was payable on a quarterly basis without compounding. The loan may be prepaid in whole or in part at any time without premium or penalty. The original loan was convertible into shares of the Company’s common stock at a conversion price of $4.01 per share, the closing price of its common stock on the NYSE MKT on the date the promissory note was first entered into. The loan, which has been extended until December 31, 2022 effective January 10, 2020, is convertible into the Company’s common stock at a conversion price of $1.77 per share, the closing price of the common stock on the OTCQB on the date the extension of the promissory note was entered into. In any event of default, as defined in the promissory note, without any action on the part of Mr. Mintz, the interest rate will increase to 12% per annum and the entire principal and interest balance under the loan, and all of the Company’s other obligations under the loan, will be immediately due and payable, and Mr. Mintz will be entitled to seek and institute any and all remedies available to him. The Company’s ability to introduce successful new products may be adversely affected by a number of factors, such as unforeseen cost and expenses, economic environment, increased competition, the inability to make sales calls due to travel restrictions imposed by governmental agencies in response to the spread of COVID-19 and other factors beyond the Company’s control. The Company’s ability to promote sales through promotional activities has also been constrained as many supermarkets are understaffed and unable to change pricing for items in stock, resulting in the cancelation of all sales promotional discounts for the foreseeable future. Trade food shows and sales conferences, major events used to introduce and sell the Company’s products, have been postponed indefinitely. Management cannot provide assurance that the Company will operate profitably in the future, or that it will not require significant additional financing in order to accomplish or exceed the objectives of its business plan. In addition, the continued spread of COVID-19 and the resulting economic downturn could materially and adversely affect the Company’s business and results of operations. Consequently, the Company’s historical operating results cannot be relied on to be an indicator of future performance, and management cannot predict whether the Company will obtain or sustain positive operating cash flow or generate net income in the future. |
Description of the Business and
Description of the Business and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 28, 2019 | |
Accounting Policies [Abstract] | |
Description of the Business and Summary of Significant Accounting Policies | NOTE 2: DESCRIPTION OF THE BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Description of Business Operating Segments. Fiscal Year Estimates and Uncertainties Revenue Recognition Key sales terms, such as pricing and quantities ordered, are established on a frequent basis such that most customer arrangements and related incentives have a one year or shorter duration. As such, we do not capitalize contract inception costs and we capitalize product fulfillment costs in accordance with U.S. GAAP and our inventory policies. The Company generally does not have any unbilled receivables at the end of a period. Concentration of Credit/Sales Risk The Company performs ongoing evaluations of its customers’ financial condition and does not require collateral. Management feels that credit risk beyond the established allowances at December 28, 2019 is limited. During the fiscal years ended December 28, 2019 and December 29, 2018, the Company derived approximately 87% and 82% of its net sales domestically. The remaining sales in both periods were exports to foreign countries. The accounts receivable balance of two customers represented approximately 39% of total accounts receivable at December 28, 2019, and three customers represented approximately 51% of total accounts receivable at December 29, 2018. In addition, a significant portion of the Company’s sales are to several key distributors, which are large distribution companies with numerous divisions and subsidiaries who act independently. Such distributors as a group accounted for 44% and 42% of the Company’s net sales for the fiscal years ended December 28, 2019 and December 29, 2018. Accounts Receivable - Cash and Cash Equivalents Inventories The Company purchased approximately 52% and 49% of its finished products from one supplier and 17% and 20% of its finished products from another supplier during the periods ended December 28, 2019 and December 29, 2018, respectively. Income Taxes Earnings Per Share Fiscal Year Fiscal Year Ended Ended December 28, 2019 December 29, 2018 Net income, numerator, basic and diluted computation $ 78 $ 507 Weighted average shares - denominator basic computation 5,154 5,154 Effect of dilutive stock options — — Weighted average shares, as adjusted - denominator diluted computation 5,154 5,154 Earnings per common share: Basic and diluted $ 0.02 $ 0.10 Fair Value of Financial Instruments Freight Costs Advertising Costs Product Development Costs Recent Accounting Pronouncements In February 2016, the FASB established Topic 842, Leases, by issuing Accounting Standards Update (ASU) No. 2016-02, which requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. Topic 842 was subsequently amended by ASU No. 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU No. 2018-10, Codification Improvements to Topic 842, Leases; ASU No. 2018-11, Targeted Improvements; and ASU No. 2018-20, Narrow-Scope Improvements for Lessors. The new standard establishes a right-of-use model (“ROU”) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. The new standard was effective for the Company on December 30, 2018. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. An entity may choose to use either (1) its effective date or (2) the beginning of the earliest comparative period presented in the financial statements as its date of initial application. If an entity chooses the second option, the transition requirements for existing leases also apply to leases entered into between the date of initial application and the effective date. The entity must also recast its comparative period financial statements and provide the disclosures required by the new standard for the comparative periods. The Company adopted the new standard on December 30, 2018 and used the effective date as its date of initial application. Consequently, financial information will not be updated, and the disclosures required under the new standard will not be provided for dates and periods before December 30, 2018. The new standard provides several optional practical expedients in transition. The Company elected the ‘package of practical expedients’, which permits it not to reassess under the new standard its prior conclusions about lease identification, lease classification and initial direct costs. The new standard also provides practical expedients for an entity’s ongoing accounting. The Company elected the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, the Company will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. The Company did not elect the practical expedient to not separate lease and non-lease components for any of its leases. The adoption of the standard resulted in a material effect on the Company’s financial statements with a balance sheet recognition of additional lease assets of $346 and lease liabilities of approximately $362. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments. The amendments in this Update require a new topic to be added (Topic 326) to the Accounting Standards Codification (“ASC”) and removes the thresholds that entities apply to measure credit losses on financial instruments measured at amortized cost, such as loans, trade receivables, reinsurance recoverables, and off-balance-sheet credit exposures, and held-to-maturity securities. Under current U.S. GAAP, entities generally recognize credit losses when it is probable that the loss has been incurred. The guidance under ASU 2016-13 will remove all current recognition thresholds and will require entities under the new current expected credit loss (“CECL”) model to recognize an allowance for credit losses for the difference between the amortized cost basis of a financial instrument and the amount of amortized cost that an entity expects to collect over the instrument’s contractual life. The new CECL model is based upon expected losses rather than incurred losses. Additionally, the credit loss recognition guidance for available-for-sale securities is amended and will require that credit losses on such debt securities should be recognized as an allowance for credit losses rather than a direct write-down of amortized cost balance. The ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. We are currently evaluating the effect that this new guidance will have on our financial statements and related disclosures. |
Inventories
Inventories | 12 Months Ended |
Dec. 28, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | NOTE 3: INVENTORIES Inventories consist of the following: December 28, 2019 December 29, 2018 Finished products $ 1,187 $ 1,061 Raw materials and packaging 742 653 $ 1,929 $ 1,714 |
Fixed Assets
Fixed Assets | 12 Months Ended |
Dec. 28, 2019 | |
Property, Plant and Equipment [Abstract] | |
Fixed Assets | NOTE 4: FIXED ASSETS Fixed assets consist of the following: December 28, 2019 December 29, 2018 Manufacturing equipment installed at co-packer $ 150 $ 121 Less: accumulated depreciation 5 — Fixed assets, net $ 145 $ 121 Depreciation expense for the years ended December 28, 2019 and December 29, 2018 was $5 and $10, respectively. During the fourth quarter of fiscal 2018, an automobile with a net book value of $3 was sold to a related party for $3. Proceeds from the sale were received in the first quarter of fiscal 2019. |
Stock Options
Stock Options | 12 Months Ended |
Dec. 28, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock Options | NOTE 5: STOCK OPTIONS The Company’s 2014 Equity Incentive Plan (the “2014 Plan”) provides for grants of various types of awards that are designed to attract and retain highly qualified personnel who will contribute to the success of the Company and to provide incentives to participants in the 2014 Plan that are linked directly to increases in shareholder value which will therefore inure to the benefit of all shareholders of the Company. The Company intends to rely on a combination of multi-year performance awards, options and other stock-based awards for these purposes. The 2014 Plan made 250,000 shares of common stock available for awards. The 2014 Plan also permits performance-based 2014 awards paid under it to be tax deductible under Section 162(m) of the Internal Revenue Code of 1986, as amended, as “performance-based compensation.” As of December 28, 2019, the Company has issued 80,000 non-qualified stock option awards under the 2014 Plan. The following is a summary of stock option activity from December 29, 2018 to December 28, 2019: NON-QUALIFIED OPTIONS Shares Weighted Average Exercise Price ($) Outstanding at December 29, 2018 80,000 4.42 Granted — — Exercised — — Outstanding at December 28, 2019 80,000 4.42 Exercisable at December 28, 2019 80,000 4.42 The following table summarizes information about stock options outstanding at December 28, 2019: Range of Exercise Prices ($) Number Outstanding Weighted Average Remaining Life (in years) Weighted Average Exercise Price($) Number Exercisable $ 4.39-4.46 80,000 .31 $ 4.42 80,000 The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing formula. Expected volatilities and risk-free interest rates are based upon the expected life of the grant. The interest rates used are the U.S. Treasury yield curve in effect at the time of the grant. During fiscal 2015, 80,000 options were granted, with 26,668 of the options vesting at the respective grant date, 26,666 vesting in January 2016, and 26,666 vesting in January 2017. At the date of grant, expected volatility was 69.8%-71.4%, a risk-free rate of 1.3%-1.8%, 0% expected dividends, and an expected term of five years. As of December 28, 2019, the intrinsic value of the options outstanding and exercisable was immaterial, and there was $0 of total unrecognized compensation cost. 50,000 options expired on March 31, 2020. Another 30,000 options will expire on June 9, 2020 if not exercised by that date. |
Leases
Leases | 12 Months Ended |
Dec. 28, 2019 | |
Leases [Abstract] | |
Leases | NOTE 6: LEASES The Company’s facilities are located in a one-story facility in Cranford, New Jersey. The 6,200 square foot facility houses its administrative offices, a warehouse, walk-in freezer and refrigerator, and a product development laboratory and test kitchen. The Company’s original lease agreement expired on July 1, 1999, but it continues to occupy the premises on a monthly basis. Any changes by either the landlord or the Company remains subject to a six month notification period. The Company currently has no plans to enter into a long-term lease agreement for the facility. Rent expense was $77 in fiscal 2019 and $81 in fiscal 2018. The Company’s management believes that the Cranford facility will continue to satisfy its space requirements for the foreseeable future and that if necessary, such space can be replaced without a significant impact to the business. The Company rents warehouse storage space at various outside facilities. Outside warehouse expenses amounted to $458 for the year ended December 28, 2019 compared to $448 for the year ended December 29, 2018. The Company rents warehouse storage space at various outside facilities. Outside warehouse expenses amounted to $458 for the year ended December 28, 2019 compared to $448 for the year ended December 29, 2018. Under Topic 842, operating lease expense is generally recognized evenly over the term of the lease. The Company has operating leases primarily consisting of facilities with remaining lease terms of approximately two to four years. The Company does not have the option to terminate the leases early. Leases with an initial term of twelve months or less are not recorded on the balance sheet. For lease agreements entered into or reassessed after the adoption of Topic 842, the Company has combined the lease and non-lease components in determining the lease liabilities and ROU assets. The Company’s lease agreements generally do not provide an implicit borrowing rate; therefore, an internal incremental borrowing rate is determined based on information available at lease commencement date for purposes of determining the present value of lease payments. The Company used the incremental borrowing rate on December 29, 2018 of 5.5% for all leases that commenced prior to that date. ROU lease assets and lease liabilities for our operating leases were recorded in the balance sheet as follows: As of December 28, 2019 Operating lease right-of-use assets $ 252 Total ROU lease assets 252 Accounts payable 106 Operating lease liabilities 156 Total lease liability $ 262 Weighted average remaining lease term (in years) 2.6 Weighted average discount rate 5.5 % Future lease payments included in the measurement of lease liabilities on the balance sheet as of December 28, 2019, for the following five fiscal years and thereafter are as follows: As of December 28, 2019 2020 $ 118 2021 118 2022 37 2023 8 Total future minimum lease payments 281 Present value adjustment 19 Total $ 262 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 28, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 7: INCOME TAXES The components of income tax expense (benefit) for the fiscal years ended December 28, 2019 and December 29, 2018 are as follows: December 28, 2019 December 29, 2018 Current: Federal $ — $ 26 State 5 31 5 57 Deferred: Federal $ — $ (171 ) State — (46 ) — (217 ) Total income tax expense (benefit) $ 5 $ (160 ) A reconciliation between the expected federal tax expense at the statutory tax rate of 21% and the Company’s actual tax expense for the fiscal years ended December 28, 2019 and December 29, 2018, respectively, follows: December 28, 2019 December 29, 2018 Income tax expense computed at federal statutory rate $ 17 $ 73 State income taxes, net of federal income tax benefit 1 12 Permanent items 5 7 Change in federal valuation allowance -- (290 ) Increase in unrecognized tax position -- 50 Other (18 ) (12 ) $ 5 $ (160 ) Deferred tax assets for the fiscal years ended December 28, 2019 and December 29, 2018 consist of the following components: December 28, 2019 December 29, 2018 Allowance for doubtful accounts $ 98 $ 118 Inventory 30 26 Federal and state net operating loss 39 22 Other 50 51 Deferred tax asset $ 217 $ 217 At December 28, 2019, the Company had $87 federal net operating loss carryforwards and $829 of state operating loss carryforwards, net, which will begin to expire in 2033. Management has concluded that based upon all available evidence, including generating taxable income for the past three fiscal years and future forecasts, that it is more likely than not that the deferred tax assets will be utilized and reversed the valuation allowance on the Company’s deferred tax assets as of December 29, 2018. The Company will recognize a tax benefit in the financial statements for an uncertain tax position only if management’s assessment is that the position is “more likely than not” (i.e., a likelihood greater than 50 percent) to be sustained by the tax jurisdiction based solely on the technical merits of the position. The term “tax position” refers to a position in a previously filed tax return or a position expected to be taken in a future tax return that is reflected in measuring current or deferred income tax assets and liabilities for financial reporting purposes. The following table indicates the changes to the Company’s uncertain tax positions for the fiscal years ended December 28, 2019 and December 29, 2018: Balance at December 30, 2017 $ 131 Increase due to reserves and tax positions related to current year 41 Balance at December 29, 2018 172 Increase due to reserves and tax positions related to current year — Balance at December 28, 2019 $ 172 The Company accounts for penalties or interest related to uncertain tax positions as part of its provision for income taxes. The Company had approximately $29 of accrued interest and penalties related to uncertain tax positions at December 28, 2019 and December 29, 2018. The amount of uncertain tax positions that would affect the effective tax rate if they were recognized is $201. The liability at December 28, 2019 for uncertain tax positions is included in accrued expenses. |
Notes Payable
Notes Payable | 12 Months Ended |
Dec. 28, 2019 | |
Debt Disclosure [Abstract] | |
Notes Payable | NOTE 8: NOTES PAYABLE In September 2014, the Company obtained an auto loan of approximately $29 from a bank. The loan required 60 monthly payments of $0.535 through August 2019. Interest was charged at a fixed nominal rate of 4.64%. The loan was fully paid off in May 2018. Related Party On January 6, 2016, David Mintz, the Company’s Chairman and Chief Executive, provided the Company with a loan of $500. The loan, which was originally set to expire on December 31, 2017 has been extended to December 31, 2022 effective January 10, 2020. The original loan was convertible into shares of the Company’s common stock at a conversion price of $4.01 per share, the closing price of its common stock on the NYSE MKT on the date the promissory note was first entered into. The extended loan is, at the option of the holder, convertible into the Company’s common stock at a conversion price of $1.77 per share, the closing price of the Company’s common stock on the date of the extension of the promissory note. No other terms of the loan were modified. Commencing March 31, 2016, interest of 5% is payable on a quarterly basis without compounding. The loan may be prepaid in whole or in part at any time without premium or penalty. In any event of default, as defined in the promissory note, without any action on the part of Mr. Mintz, the interest rate will increase to 12% per annum and the entire principal and interest balance under the loan, and all of the Company’s other obligations under the loan, will be immediately due and payable, and Mr. Mintz will be entitled to seek and institute any and all remedies available to him. December 28, 2019 December 29, 2018 Note payable-related party $ 500 $ 500 Less current maturity — — Note payable related party, net of current maturity $ 500 $ 500 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 28, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 9: COMMITMENTS AND CONTINGENCIES The Company sells its products throughout the United States and in approximately 15 foreign countries and may be impacted by public health crises beyond its control. This could disrupt its operations and negatively impact sales of its products. The Company’s customers, suppliers and co-packers may experience similar disruption. In December 2019, a novel strain of the Coronavirus, COVID-19, was reported to have surfaced in Wuhan, China, which has evolved into a pandemic. This situation and preventative or protective actions that governments have taken to counter the effects of the pandemic have resulted in a period of business disruption, including delays in shipments of products and raw materials. COVID-19 has spread to over 175 countries, including the United States, and efforts to contain the spread of COVID-19 have intensified. To the extent the impact of COVID-19 continues or worsens, the demand for the Company’s products may be negatively impacted, and it and its co-packers may have difficulty obtaining the materials necessary for the production of its products. In addition, the production facilities of the Company’s co-packers may be closed for sustained periods of time and industry-wide shipment of products may be negatively impacted. COVID-19 has also impacted the Company’s sales efforts as its ability to make sales calls is constrained. The Company’s ability to promote sales through promotional activities has also been constrained as many supermarkets are understaffed and unable to change pricing for items in stock, resulting in the cancelation of all sales promotional discounts for the foreseeable future. Trade food shows and sales conferences, major events used to introduce and sell the Company’s products, have been postponed indefinitely. The length and severity of the pandemic could also affect the Company’s regular sales, which could in turn result in reduced sales and a lower gross margin. |
Revenue
Revenue | 12 Months Ended |
Dec. 28, 2019 | |
Segment Reporting [Abstract] | |
Revenue | NOTE 10: REVENUE Performance obligations relating to the delivery of food products are satisfied when the goods are shipped to the customer and net of all applicable discounts, as follows: Payment term discounts, off-invoice allowance, manufacturer chargeback, freight allowance, spoilage discounts, and product returns. Revenues by geographical region are as follows: December 28, 2019 December 29, 2018 Revenues by geography: Americas $ 12,338 $ 11,847 Europe 216 498 Middle East 319 483 Asia Pacific and Africa 257 238 $ 13,130 $ 13,066 Approximately 92% in both fiscal 2019 and fiscal 2018 of the Americas revenue is attributable to the United States. All of the Company’s assets are located in the United States. Net sales by major product category: December 28, 2019 December 29, 2018 Cheeses $ 11,241 $ 10,811 Frozen Desserts and Foods 1,889 2,255 $ 13,130 $ 13,066 Timing of revenue recognition: Year ended December 28, 2019 Year ended December 29, 2018 Products transferred at a point in time $ 13,130 $ 13,066 |
Description of the Business a_2
Description of the Business and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 28, 2019 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business |
Operating Segments | Operating Segments. |
Fiscal Year | Fiscal Year |
Estimates and Uncertainties | Estimates and Uncertainties |
Revenue Recognition | Revenue Recognition Key sales terms, such as pricing and quantities ordered, are established on a frequent basis such that most customer arrangements and related incentives have a one year or shorter duration. As such, we do not capitalize contract inception costs and we capitalize product fulfillment costs in accordance with U.S. GAAP and our inventory policies. The Company generally does not have any unbilled receivables at the end of a period. |
Concentration of Credit/Sales Risk | Concentration of Credit/Sales Risk The Company performs ongoing evaluations of its customers’ financial condition and does not require collateral. Management feels that credit risk beyond the established allowances at December 28, 2019 is limited. During the fiscal years ended December 28, 2019 and December 29, 2018, the Company derived approximately 87% and 82% of its net sales domestically. The remaining sales in both periods were exports to foreign countries. The accounts receivable balance of two customers represented approximately 39% of total accounts receivable at December 28, 2019, and three customers represented approximately 51% of total accounts receivable at December 29, 2018. In addition, a significant portion of the Company’s sales are to several key distributors, which are large distribution companies with numerous divisions and subsidiaries who act independently. Such distributors as a group accounted for 44% and 42% of the Company’s net sales for the fiscal years ended December 28, 2019 and December 29, 2018. |
Accounts Receivable | Accounts Receivable - |
Cash and Cash Equivalents | Cash and Cash Equivalents |
Inventories | Inventories The Company purchased approximately 52% and 49% of its finished products from one supplier and 17% and 20% of its finished products from another supplier during the periods ended December 28, 2019 and December 29, 2018, respectively. |
Income Taxes | Income Taxes |
Earnings Per Share | Earnings Per Share Fiscal Year Fiscal Year Ended Ended December 28, 2019 December 29, 2018 Net income, numerator, basic and diluted computation $ 78 $ 507 Weighted average shares - denominator basic computation 5,154 5,154 Effect of dilutive stock options — — Weighted average shares, as adjusted - denominator diluted computation 5,154 5,154 Earnings per common share: Basic and diluted $ 0.02 $ 0.10 |
Fair Value of Financial Instruments | Fair Value of Financial Instruments |
Freight Costs | Freight Costs |
Advertising Costs | Advertising Costs |
Product Development Costs | Product Development Costs |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In February 2016, the FASB established Topic 842, Leases, by issuing Accounting Standards Update (ASU) No. 2016-02, which requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. Topic 842 was subsequently amended by ASU No. 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU No. 2018-10, Codification Improvements to Topic 842, Leases; ASU No. 2018-11, Targeted Improvements; and ASU No. 2018-20, Narrow-Scope Improvements for Lessors. The new standard establishes a right-of-use model (“ROU”) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. The new standard was effective for the Company on December 30, 2018. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. An entity may choose to use either (1) its effective date or (2) the beginning of the earliest comparative period presented in the financial statements as its date of initial application. If an entity chooses the second option, the transition requirements for existing leases also apply to leases entered into between the date of initial application and the effective date. The entity must also recast its comparative period financial statements and provide the disclosures required by the new standard for the comparative periods. The Company adopted the new standard on December 30, 2018 and used the effective date as its date of initial application. Consequently, financial information will not be updated, and the disclosures required under the new standard will not be provided for dates and periods before December 30, 2018. The new standard provides several optional practical expedients in transition. The Company elected the ‘package of practical expedients’, which permits it not to reassess under the new standard its prior conclusions about lease identification, lease classification and initial direct costs. The new standard also provides practical expedients for an entity’s ongoing accounting. The Company elected the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, the Company will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. The Company did not elect the practical expedient to not separate lease and non-lease components for any of its leases. The adoption of the standard resulted in a material effect on the Company’s financial statements with a balance sheet recognition of additional lease assets of $346 and lease liabilities of approximately $362. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments. The amendments in this Update require a new topic to be added (Topic 326) to the Accounting Standards Codification (“ASC”) and removes the thresholds that entities apply to measure credit losses on financial instruments measured at amortized cost, such as loans, trade receivables, reinsurance recoverables, and off-balance-sheet credit exposures, and held-to-maturity securities. Under current U.S. GAAP, entities generally recognize credit losses when it is probable that the loss has been incurred. The guidance under ASU 2016-13 will remove all current recognition thresholds and will require entities under the new current expected credit loss (“CECL”) model to recognize an allowance for credit losses for the difference between the amortized cost basis of a financial instrument and the amount of amortized cost that an entity expects to collect over the instrument’s contractual life. The new CECL model is based upon expected losses rather than incurred losses. Additionally, the credit loss recognition guidance for available-for-sale securities is amended and will require that credit losses on such debt securities should be recognized as an allowance for credit losses rather than a direct write-down of amortized cost balance. The ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. We are currently evaluating the effect that this new guidance will have on our financial statements and related disclosures. |
Description of the Business a_3
Description of the Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Computation of Basic and Diluted Loss Per Share | Fiscal Year Fiscal Year Ended Ended December 28, 2019 December 29, 2018 Net income, numerator, basic and diluted computation $ 78 $ 507 Weighted average shares - denominator basic computation 5,154 5,154 Effect of dilutive stock options — — Weighted average shares, as adjusted - denominator diluted computation 5,154 5,154 Earnings per common share: Basic and diluted $ 0.02 $ 0.10 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consist of the following: December 28, 2019 December 29, 2018 Finished products $ 1,187 $ 1,061 Raw materials and packaging 742 653 $ 1,929 $ 1,714 |
Fixed Assets (Tables)
Fixed Assets (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Fixed Assets | Fixed assets consist of the following: December 28, 2019 December 29, 2018 Manufacturing equipment installed at co-packer $ 150 $ 121 Less: accumulated depreciation 5 — Fixed assets, net $ 145 $ 121 |
Stock Options (Tables)
Stock Options (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Stock Option Activity | The following is a summary of stock option activity from December 29, 2018 to December 28, 2019: NON-QUALIFIED OPTIONS Shares Weighted Average Exercise Price ($) Outstanding at December 29, 2018 80,000 4.42 Granted — — Exercised — — Outstanding at December 28, 2019 80,000 4.42 Exercisable at December 28, 2019 80,000 4.42 |
Schedule of Information of Stock Options Outstanding | The following table summarizes information about stock options outstanding at December 28, 2019: Range of Exercise Prices ($) Number Outstanding Weighted Average Remaining Life (in years) Weighted Average Exercise Price($) Number Exercisable $ 4.39-4.46 80,000 .31 $ 4.42 80,000 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Leases [Abstract] | |
Schedule of ROU Lease Assets and Liabilities for Operating Leases | ROU lease assets and lease liabilities for our operating leases were recorded in the balance sheet as follows: As of December 28, 2019 Operating lease right-of-use assets $ 252 Total ROU lease assets 252 Accounts payable 106 Operating lease liabilities 156 Total lease liability $ 262 Weighted average remaining lease term (in years) 2.6 Weighted average discount rate 5.5 % |
Schedule of Future Minimum Rental Commitments | Future lease payments included in the measurement of lease liabilities on the balance sheet as of December 28, 2019, for the following five fiscal years and thereafter are as follows: As of December 28, 2019 2020 $ 118 2021 118 2022 37 2023 8 Total future minimum lease payments 281 Present value adjustment 19 Total $ 262 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (benefit) | The components of income tax expense (benefit) for the fiscal years ended December 28, 2019 and December 29, 2018 are as follows: December 28, 2019 December 29, 2018 Current: Federal $ — $ 26 State 5 31 5 57 Deferred: Federal $ — $ (171 ) State — (46 ) — (217 ) Total income tax expense (benefit) $ 5 $ (160 ) |
Schedule of Reconciliation Between the Expected Federal Tax Expense at Statutory Tax Rate | A reconciliation between the expected federal tax expense at the statutory tax rate of 21% and the Company’s actual tax expense for the fiscal years ended December 28, 2019 and December 29, 2018, respectively, follows: December 28, 2019 December 29, 2018 Income tax expense computed at federal statutory rate $ 17 $ 73 State income taxes, net of federal income tax benefit 1 12 Permanent items 5 7 Change in federal valuation allowance -- (290 ) Increase in unrecognized tax position -- 50 Other (18 ) (12 ) $ 5 $ (160 ) |
Schedule of Deferred Tax Assets | Deferred tax assets for the fiscal years ended December 28, 2019 and December 29, 2018 consist of the following components: December 28, 2019 December 29, 2018 Allowance for doubtful accounts $ 98 $ 118 Inventory 30 26 Federal and state net operating loss 39 22 Other 50 51 Deferred tax asset $ 217 $ 217 |
Schedule of Changes to Company's Uncertain Tax Positions | The following table indicates the changes to the Company’s uncertain tax positions for the fiscal years ended December 28, 2019 and December 29, 2018: Balance at December 30, 2017 $ 131 Increase due to reserves and tax positions related to current year 41 Balance at December 29, 2018 172 Increase due to reserves and tax positions related to current year — Balance at December 28, 2019 $ 172 |
Notes Payable (Tables)
Notes Payable (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Related Party Notes Payable | December 28, 2019 December 29, 2018 Note payable-related party $ 500 $ 500 Less current maturity — — Note payable related party, net of current maturity $ 500 $ 500 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 28, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Revenues by Geographical Region | Revenues by geographical region are as follows: December 28, 2019 December 29, 2018 Revenues by geography: Americas $ 12,338 $ 11,847 Europe 216 498 Middle East 319 483 Asia Pacific and Africa 257 238 $ 13,130 $ 13,066 |
Summary of Net Sales by Major Product Category | Net sales by major product category: December 28, 2019 December 29, 2018 Cheeses $ 11,241 $ 10,811 Frozen Desserts and Foods 1,889 2,255 $ 13,130 $ 13,066 |
Schedule of Timing of Revenue Recognition | Timing of revenue recognition: Year ended December 28, 2019 Year ended December 29, 2018 Products transferred at a point in time $ 13,130 $ 13,066 |
Liquidity and Capital Resourc_2
Liquidity and Capital Resources (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | Jan. 06, 2016 | Dec. 28, 2019 | Dec. 29, 2018 |
Cash and cash equivalents | $ 514 | $ 558 | |
Net cash used in operating activities | (15) | (725) | |
Cash used in investing activities | (29) | (121) | |
Net cash flows used in financing activities | $ (10) | ||
David Mintz [Member] | |||
Financing received through convertible note payable-related party | $ 500 | ||
Loan payable interest rate | 5.00% | ||
Loan convertible into common stock at conversion price per share | $ 4.01 | ||
Debt interest rate in any event of default | 12.00% | ||
David Mintz [Member] | Extended Maturity [Member] | |||
Loans payable maturity date | Dec. 31, 2022 |
Description of the Business a_4
Description of the Business and Summary of Significant Accounting Policies (Details Narrative) $ in Thousands | 12 Months Ended | ||
Dec. 28, 2019USD ($)Segmentshares | Dec. 29, 2018USD ($)shares | Dec. 31, 2018USD ($) | |
Number of operating segments | Segment | 1 | ||
Cash, FDIC insured amount | $ 250 | ||
Percentage of concentration risk | 92.00% | ||
Percentage of tax benefits likelihood | Likelihood greater than 50 percent | ||
Freight costs | $ 920 | $ 918 | |
Advertising costs | 182 | 188 | |
Product development costs | 324 | 410 | |
Operating Liabilities | 262 | ||
Operating lease, right-of-use asset | $ 252 | ||
Accounting Standards Update 2016-02 [Member] | |||
Operating Liabilities | $ 362 | ||
Operating lease, right-of-use asset | $ 346 | ||
Stock Equivalents [Member] | |||
Anti-dilutive securities | shares | 80,000 | 80,000 | |
Convertible Notes [Member] | |||
Anti-dilutive securities | shares | 124,688 | 124,688 | |
One Supplier [Member] | Finished Goods [Member] | |||
Percentage of concentration risk | 52.00% | 49.00% | |
Another Supplier [Member] | Finished Goods [Member] | |||
Percentage of concentration risk | 17.00% | 20.00% | |
Sales Revenue, Net [Member] | |||
Percentage of concentration risk | 87.00% | 82.00% | |
Sales Revenue, Net [Member] | Distributors as Group [Member] | |||
Percentage of concentration risk | 44.00% | 42.00% | |
Accounts Receivable [Member] | Two Customers [Member] | |||
Percentage of concentration risk | 39.00% | ||
Accounts Receivable [Member] | Three Customers [Member] | |||
Percentage of concentration risk | 51.00% |
Description of the Business a_5
Description of the Business and Summary of Significant Accounting Policies - Schedule of Computation of Basic and Diluted Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Accounting Policies [Abstract] | ||
Net income, numerator, basic and diluted computation | $ 78 | $ 507 |
Weighted average shares - denominator basic computation | 5,154 | 5,154 |
Effect of dilutive stock options | ||
Weighted average shares, as adjusted - denominator diluted computation | 5,154 | 5,154 |
Earnings per common share: Basic and diluted | $ 0.02 | $ 0.10 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Inventory Disclosure [Abstract] | ||
Finished products | $ 1,187 | $ 1,061 |
Raw materials and packaging | 742 | 653 |
Inventories, net | $ 1,929 | $ 1,714 |
Fixed Assets (Details Narrative
Fixed Assets (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 30, 2019 | Dec. 28, 2019 | Dec. 29, 2018 | Mar. 31, 2018 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 5 | $ 10 | ||
Automobile | $ 3 | |||
Proceeds from sale of automobile | $ 3 |
Fixed Assets - Schedule of Fixe
Fixed Assets - Schedule of Fixed Assets (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Property, Plant and Equipment [Abstract] | ||
Manufacturing equipment installed at co-packer | $ 150 | $ 121 |
Less: accumulated depreciation | 5 | 0 |
Fixed assets, net | $ 145 | $ 121 |
Stock Options (Details Narrativ
Stock Options (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 28, 2019 | Dec. 31, 2015 | Dec. 29, 2018 | Jan. 31, 2017 | Jan. 31, 2016 | |
Stock option issued under award | 80,000 | 80,000 | |||
Options granted | 80,000 | ||||
Options vesting | 26,668 | 26,666 | 26,666 | ||
Expected dividends | 0.00% | ||||
Expected term | 5 years | ||||
Total unrecognized compensation cost of non-vested share-based awards | $ 0 | ||||
March 31, 2020 [Member] | |||||
Stock options expired during period | 50,000 | ||||
June 9, 2020 [Member] | |||||
Stock options expired during period | 30,000 | ||||
Minimum [Member] | |||||
Expected volatility | 69.80% | ||||
Risk-free rate | 1.30% | ||||
Maximum [Member] | |||||
Expected volatility | 71.40% | ||||
Risk-free rate | 1.80% | ||||
2014 Equity Incentive Plan [Member] | |||||
Common stock available for awards | 250,000 | ||||
Stock option issued under award | 80,000 |
Stock Options - Schedule of Sto
Stock Options - Schedule of Stock Option Activity (Details) - $ / shares | 12 Months Ended | |
Dec. 28, 2019 | Dec. 31, 2015 | |
Share-based Payment Arrangement [Abstract] | ||
Shares Outstanding Beginning Balance | 80,000 | |
Shares Granted | 80,000 | |
Shares Exercised | ||
Shares Outstanding Ending Balance | 80,000 | |
Shares Exercisable | 80,000 | |
Weighted Average Exercise Price Outstanding Beginning Balance | $ 4.42 | |
Weighted Average Exercise Price Granted | ||
Weighted Average Exercise Price Exercised | ||
Weighted Average Exercise Price Outstanding Ending Balance | 4.42 | |
Weighted Average Exercise Price Exercisable | $ 4.42 |
Stock Options - Schedule of Inf
Stock Options - Schedule of Information of Stock Options Outstanding (Details) | 12 Months Ended |
Dec. 28, 2019$ / sharesshares | |
Share-based Payment Arrangement [Abstract] | |
Range of Exercise Prices lower limit | $ 4.39 |
Range of Exercise Prices upper limit | $ 4.46 |
Number Outstanding | shares | 80,000 |
Weighted Average Remaining Life | 3 months 22 days |
Weighted Average Exercise Price | $ 4.42 |
Number Exercisable | shares | 80,000 |
Leases (Details Narrative)
Leases (Details Narrative) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019USD ($)ft² | Dec. 29, 2018USD ($) | |
Leases [Abstract] | ||
Area of square foot | ft² | 6,200 | |
Rent expense | $ 77 | $ 81 |
Outside warehouse expense | $ 458 | $ 448 |
Incremental borrowing rate, percentage | 5.50% |
Leases - Schedule of ROU Lease
Leases - Schedule of ROU Lease Assets and Liabilities for Operating Leases (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 252 | |
Total ROU lease assets | 252 | |
Accounts payable | 106 | |
Operating lease liabilities | 156 | |
Total lease liability | $ 262 | |
Weighted average remaining lease term (in years) | 2 years 7 months 6 days | |
Weighted average discount rate | 5.50% |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Rental Commitments (Details) $ in Thousands | Dec. 28, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 118 |
2021 | 118 |
2022 | 37 |
2023 | 8 |
Total future minimum lease payments | 281 |
Present value adjustment | 19 |
Total lease liability | $ 262 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Corporate income tax rate, percentage | 21.00% | |
Operating loss carry forwards expiration period | Expire in 2033 | |
Percentage of tax benefits likelihood | Likelihood greater than 50 percent | |
Accrued interest and penalties related to uncertain tax positions | $ 29 | $ 29 |
Uncertain tax positions that would affect the effective tax rate | 201 | |
Federal [Member] | ||
Net operating loss carryforwards | 87 | |
State [Member] | ||
Net operating loss carryforwards | $ 829 |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Income Tax Expense (benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Income Tax Disclosure [Abstract] | ||
Current Federal | $ 26 | |
Current State | 5 | 31 |
Current Federal and State | 5 | 57 |
Deferred Federal | (171) | |
Deferred State | (46) | |
Deferred Federal and State | (217) | |
Total income tax (benefit) expense | $ 5 | $ (160) |
Income Taxes - Schedule of Reco
Income Taxes - Schedule of Reconciliation Between the Expected Federal Tax Expense at Statutory Tax Rate (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Income Tax Disclosure [Abstract] | ||
Income tax expense computed at federal statutory rate | $ 17 | $ 73 |
State income taxes, net of federal income tax benefit | 1 | 12 |
Permanent items | 5 | 7 |
Change in federal valuation allowance | (290) | |
Increase in unrecognized tax position | 50 | |
Other | (18) | (12) |
Total income tax (benefit) expense | $ 5 | $ (160) |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Income Tax Disclosure [Abstract] | ||
Allowance for doubtful accounts | $ 98 | $ 118 |
Inventory | 30 | 26 |
Federal and state net operating loss | 39 | 22 |
Other | 50 | 51 |
Deferred tax asset | $ 217 | $ 217 |
Income Taxes - Schedule of Chan
Income Taxes - Schedule of Changes to Company's Uncertain Tax Positions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Income Tax Disclosure [Abstract] | ||
Beginning Balance | $ 172 | $ 131 |
Increase due to reserves and tax positions related to current year | 41 | |
Ending Balance | $ 172 | $ 172 |
Notes Payable (Details Narrativ
Notes Payable (Details Narrative) $ / shares in Units, $ in Thousands | Jan. 06, 2016USD ($)$ / shares | Sep. 30, 2014USD ($)Installments |
David Mintz [Member] | ||
Financing received through convertible note payable-related party | $ | $ 500 | |
Loan payable interest rate | 5.00% | |
Loan convertible into common stock at conversion price per share | $ / shares | $ 4.01 | |
Debt interest rate in any event of default | 12.00% | |
David Mintz [Member] | Extended Maturity [Member] | ||
Loans payable maturity date | Dec. 31, 2022 | |
Auto Loan [Member] | ||
Note payable, principal amount | $ | $ 29 | |
Monthly payments | Installments | 60 | |
Frequency of periodic payment | Monthly | |
Periodic payment on note payable | Required 60 monthly payments of $0.535 through August 2019 | |
Loan payable interest rate | 4.64% | |
Promissory Note [Member] | David Mintz [Member] | ||
Loan convertible into common stock at conversion price per share | $ / shares | $ 1.77 |
Notes Payable - Schedule of Rel
Notes Payable - Schedule of Related Party Notes Payable (Details) - USD ($) $ in Thousands | Dec. 28, 2019 | Dec. 29, 2018 |
Debt Disclosure [Abstract] | ||
Note payable-related party | $ 500 | $ 500 |
Less current maturity | ||
Note payable related party, net of current maturity | $ 500 | $ 500 |
Revenue (Details Narrative)
Revenue (Details Narrative) | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Percentage of revenue | 92.00% | |
Americas [Member] | ||
Percentage of revenue | 92.00% | 92.00% |
Revenue - Schedule of Revenues
Revenue - Schedule of Revenues by Geographical Region (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Revenues | $ 13,130 | $ 13,066 |
Americas [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Revenues | 12,338 | 11,847 |
Europe [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Revenues | 216 | 498 |
Asia Pacific and Africa [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Revenues | 319 | 483 |
Middle East [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Revenues | $ 257 | $ 238 |
Revenue - Summary of Net Sales
Revenue - Summary of Net Sales by Major Product Category (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | $ 13,130 | $ 13,066 |
Cheeses [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 11,241 | 10,811 |
Frozen Desserts and Foods [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | $ 1,889 | $ 2,255 |
Revenue - Schedule of Timing of
Revenue - Schedule of Timing of Revenue Recognition (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 28, 2019 | Dec. 29, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Timing of revenue recognition | $ 13,130 | $ 13,066 |
Products Transferred at a Point in Time [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Timing of revenue recognition | $ 13,130 | $ 13,066 |