Document and Entity Information
Document and Entity Information | 6 Months Ended |
Sep. 30, 2020 | |
Cover [Abstract] | |
Entity Registrant Name | Investview, Inc. |
Entity Central Index Key | 0000862651 |
Document Type | POS AM |
Amendment Flag | true |
Amendment Description | The purpose of this Post-Effective Amendment No. 5 to the Registration Statement filed on February 21, 2020, Registration No. 333-236563, which was declared effective by the SEC on March 6, 2020, is to: (i) file as Exhibit 10.55.2 hereto an amendment to the Certificate of Designations, Preferences and Rights of 13% Series B Cumulative Redeemable Perpetual Preferred Stock, which specifically relates to Section 4 of the Series B Certificate of Designation relating to, among other things, the payment of dividends on a quarterly basis ("Amended Series B Certificate of Designation") and which has been consented to by the holders of two-thirds of the outstanding shares of Series B Convertible Stock; (ii) include the registrant's financial statements through the period ended September 30, 2020; (iii) report the change in a majority of the Board of Directors effective April 27, 2020 in connection with the entry into a Securities Purchase Agreement with DBR Capital, LLC, dated April 27, 2020 and the related transaction documents (Reference is made to the registrant's Form 8-K and 8-K/A, both filed on April 30, 2020); (iv) update the Executive Compensation table to include compensation paid in fiscal 2020; and (v) other revisions to the Registration Statement as a result of the foregoing. The information included in this filing amends this Registration Statement, the previously filed Post-Effective Amendments and the prospectus contained therein and herein. No additional securities are being registered under this Post-Effective Amendment No. 5. All applicable registration fees were paid at the time of the original filing of the Registration Statement. |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business Flag | true |
Entity Emerging Growth Company | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Current assets: | ||||
Cash and cash equivalents | $ 583,955 | $ 137,177 | $ 133,644 | |
Restricted cash, current | 151,489 | |||
Prepaid assets | 818,749 | 5,309,512 | 6,685,970 | |
Receivables | 964,613 | 910,646 | 724,995 | |
Short-term advances | 145,000 | 145,000 | 10,000 | |
Short-term advances - related party | 500 | 500 | 500 | |
Other current assets | 155,628 | 96,022 | 142,061 | |
Total current assets | 2,819,934 | 6,598,857 | 7,697,170 | |
Fixed assets, net | 5,918,004 | 2,997,611 | 13,528 | |
Other assets: | ||||
Intangible assets, net | 606,070 | 692,882 | 1,576,685 | |
Restricted cash, long term | 288,411 | |||
Long term license agreement, net | 1,983,220 | |||
Operating lease right-of-use asset | 72,093 | 99,465 | ||
Deposits | 8,488 | 11,173 | 4,500 | |
Total other assets | 975,062 | 803,520 | 3,564,405 | |
Total assets | 9,713,000 | 10,399,988 | 11,275,103 | |
Current liabilities: | ||||
Accounts payable and accrued liabilities | 2,271,583 | 2,896,012 | 3,008,836 | |
Payroll liabilities | 171,412 | 880,349 | 888,177 | |
Customer advance | 474,155 | 392,310 | 265,000 | |
Deferred revenue | 780,396 | 612,500 | 1,876,727 | |
Derivative liability | 4,265 | 793,495 | 1,358,901 | |
Dividend liability | 37,775 | |||
Operating lease liability, current | 48,000 | [1] | 56,530 | |
Other current liabilities | 14,077,200 | 11,407,200 | ||
Related party payables, net of discounts | 1,766,400 | 1,964,760 | 545,489 | |
Debt, net of discounts | 1,571,921 | 1,719,326 | 1,977,030 | |
Total current liabilities | 21,203,107 | 20,722,482 | 9,920,160 | |
Operating lease liability, long term | 31,428 | 50,268 | ||
Other long term liabilities, net of deferred interest | 8,087,700 | 3,885,464 | ||
Total long term liabilities | 8,119,128 | 3,935,732 | ||
Total liabilities | 29,322,235 | 24,658,214 | 9,920,160 | |
Commitments and contingencies | ||||
Stockholders' equity (deficit): | ||||
Preferred stock, par value: $0.001; 50,000,000 shares authorized, 46,612 and none issued and outstanding as of September 30, 2020 and March 31, 2020 and 2019, respectively | 47 | |||
Common stock, par value $0.001; 10,000,000,000 shares authorized; 2,929,481,329 and 3,214,490,408 and 2,640,161,318 shares issued and outstanding as of September 30, 2020 and March 31, 2020 and 2019, respectively | 2,929,481 | 3,214,490 | 2,640,161 | |
Additional paid in capital | 30,021,081 | 28,929,516 | 23,758,917 | |
Accumulated other comprehensive income (loss) | (23,781) | (20,058) | 1,363 | |
Accumulated deficit | (52,536,063) | (46,382,174) | (25,096,983) | |
Total Investview stockholders' equity (deficit) | (19,609,235) | (14,258,226) | 1,303,458 | |
Noncontrolling interest | 51,485 | |||
Total stockholders' equity (deficit) | (19,609,235) | (14,258,226) | 1,354,943 | |
Total liabilities and stockholders' equity (deficit) | $ 9,713,000 | $ 10,399,988 | $ 11,275,103 | |
[1] | Represents lease payments to be made in the next 12 months |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 |
Statement of Financial Position [Abstract] | |||
Preferred stock, par value | $ 0.001 | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 46,612 | ||
Preferred stock, shares outstanding | 46,612 | ||
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 10,000,000,000 | 10,000,000,000 | 10,000,000,000 |
Common stock, shares issued | 2,929,481,329 | 3,214,490,408 | 2,640,161,318 |
Common stock, shares outstanding | 2,929,481,329 | 3,214,490,408 | 2,640,161,318 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Other Comprehensive Income - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Revenue: | ||||||
Total revenue, net | $ 7,753,337 | $ 7,242,124 | $ 13,343,153 | $ 14,753,837 | $ 24,183,590 | $ 29,659,081 |
Operating costs and expenses: | ||||||
Cost of sales and service | 1,724,809 | 289,045 | 2,637,133 | 532,498 | 2,507,071 | 1,180,671 |
Commissions | 3,416,713 | 4,347,177 | 6,790,544 | 9,216,147 | 13,564,618 | 21,526,326 |
Selling and marketing | 627,356 | 401,979 | 844,940 | 814,467 | 1,696,133 | 878,936 |
Salary and related | 816,554 | 2,567,592 | 2,037,389 | 3,711,446 | 6,593,421 | 4,272,355 |
Professional fees | 232,062 | 346,337 | 659,310 | 655,783 | 1,356,574 | 1,620,370 |
General and administrative | 364,826 | 1,363,113 | 2,809,618 | 2,721,756 | 7,559,192 | 4,121,279 |
Total operating costs and expenses | 7,182,320 | 9,315,243 | 15,778,934 | 17,652,097 | 33,277,009 | 33,599,937 |
Net loss from operations | 571,017 | (2,073,119) | (2,435,781) | (2,898,260) | (9,093,419) | (3,940,856) |
Other income (expense): | ||||||
Gain (loss) on debt extinguishment | 812,111 | 1,281,477 | 829,937 | 1,281,477 | 2,018,791 | 19,387 |
Gain (loss) on fair value of derivative liability | (20,847) | 2,358,447 | 326,788 | 599,257 | 571,231 | (214,376) |
Gain (loss) on bargain purchase | 971,282 | |||||
Gain (loss) on deconsolidation | 53,739 | 53,739 | ||||
Impairment expense | (66,645) | (66,645) | (4,230,741) | |||
Realized gain (loss) on cryptocurrency | 1,096 | (1,077) | 1,096 | (667) | (815) | 16,241 |
Unrealized gain (loss) on cryptocurrency | 85,331 | (122,080) | 176,817 | 25,330 | 113,369 | 106,488 |
Interest expense | (2,480,067) | (1,944,640) | (4,727,165) | (2,490,637) | (6,274,436) | (1,842,461) |
Interest expense, related parties | (210,805) | (1,251,094) | (389,720) | (1,251,094) | (4,403,332) | (20,000) |
Other income (expense) | 123,346 | 358 | 186,408 | (71,284) | (32,195) | (3,032) |
Total other income (expense) | (1,756,480) | 321,391 | (3,662,484) | (1,853,879) | (12,184,389) | (966,471) |
Income (loss) before income taxes | (1,185,463) | (1,751,728) | (6,098,265) | (4,752,139) | (21,277,808) | (4,907,327) |
Income tax expense | (2,297) | (1,838) | (3,282) | (7,382) | (7,383) | (70,768) |
Net income (loss) | (1,187,760) | (1,753,566) | (6,101,547) | (4,759,521) | (21,285,191) | (4,978,095) |
Less: net income (loss) attributable to the noncontrolling interest | 32,941 | |||||
Net income (loss) attributable to Investview stockholders | $ (21,285,191) | $ (5,011,036) | ||||
Dividends on Preferred Stock | (52,342) | (52,342) | ||||
Net income applicable to common shareholders | $ (1,240,102) | $ (1,753,566) | $ (6,153,889) | $ (4,759,521) | ||
Income (loss) per common share, basic and diluted | $ 0 | $ 0 | $ 0 | $ 0 | $ (0.01) | $ 0 |
Weighted average number of common shares outstanding, basic and diluted | 2,985,916,112 | 2,840,281,449 | 3,109,673,727 | 2,234,117,482 | 2,937,880,878 | 2,234,117,482 |
Other comprehensive income (loss), net of tax: | ||||||
Foreign currency translation adjustments | $ (4,359) | $ (1,585) | $ (3,723) | $ (20,560) | $ (21,421) | $ 3,846 |
Total other comprehensive income (loss) | (4,359) | (1,585) | (3,723) | (20,560) | (21,421) | 3,846 |
Comprehensive income (loss) | (1,192,119) | (1,755,151) | (6,105,270) | (4,780,081) | (21,306,612) | (4,974,249) |
Less: comprehensive income (loss) attributable to the noncontrolling interest | (3,846) | |||||
Comprehensive income (loss) attributable to Investview shareholders | (21,306,612) | (4,978,095) | ||||
Subscription Revenue [Member] | ||||||
Revenue: | ||||||
Total revenue, net | 5,255,888 | 7,236,755 | 9,499,145 | 14,748,468 | 22,425,173 | 27,023,202 |
Other income (expense): | ||||||
Gain (loss) on bargain purchase | ||||||
Mining Revenue [Member] | ||||||
Revenue: | ||||||
Total revenue, net | 2,493,739 | 3,836,285 | 1,745,138 | |||
Other income (expense): | ||||||
Gain (loss) on bargain purchase | 971,282 | |||||
Fee Revenue [Member] | ||||||
Revenue: | ||||||
Total revenue, net | $ 3,710 | $ 5,369 | $ 7,723 | $ 5,369 | 13,279 | |
Equipment Sales [Member] | ||||||
Revenue: | ||||||
Total revenue, net | 694,954 | |||||
Cryptocurrency Mining Revenue [Member] | ||||||
Revenue: | ||||||
Total revenue, net | $ 1,940,925 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) | Preferred Stock [Member] | Common Stock [Member] | Additional Paid in Capital [Member] | Accumulated Other Comprehensive Income [Member] | Accumulated Deficit [Member] | Noncontrolling Interest [Member] | Total |
Balance at Mar. 31, 2018 | $ 2,169,661 | $ 16,137,945 | $ (2,483) | $ (20,085,947) | $ 18,544 | $ (1,762,280) | |
Balance, shares at Mar. 31, 2018 | 2,169,661,318 | ||||||
Offering costs | $ 3,000 | 522,000 | 525,000 | ||||
Offering costs, shares | 3,000,000 | ||||||
Foreign currency translation adjustment | 3,846 | 3,846 | |||||
Common stock issued for acquisition | $ 50,000 | 750,000 | 800,000 | ||||
Common stock issued for acquisition, shares | 50,000,000 | ||||||
Common stock issued for services and compensation | $ 402,000 | 6,385,600 | 6,787,600 | ||||
Common stock issued for services and compensation, shares | 402,000,000 | ||||||
Common stock repurchase | $ (7,000) | (84,000) | (91,000) | ||||
Common stock repurchase, shares | (7,000,000) | ||||||
Common stock issued for commitment fees | $ 22,500 | 47,372 | 69,872 | ||||
Common stock issued for commitment fees, shares | 22,500,000 | ||||||
Net income (loss) | (5,011,036) | 32,941 | (4,978,095) | ||||
Balance at Mar. 31, 2019 | $ 2,640,161 | 23,758,917 | 1,363 | (25,096,983) | 51,485 | 1,354,943 | |
Balance, shares at Mar. 31, 2019 | 2,640,161,318 | ||||||
Common stock issued for cash | $ 39,216 | 285,784 | 325,000 | ||||
Common stock issued for cash, shares | 39,215,648 | ||||||
Offering costs | 101,387 | 101,387 | |||||
Deconsolidation of Kuvera LATAM | (51,485) | (51,485) | |||||
Foreign currency translation adjustment | (18,975) | (18,975) | |||||
Net income (loss) | (3,005,955) | (3,005,955) | |||||
Balance at Jun. 30, 2019 | $ 2,679,377 | 24,146,088 | (17,612) | (28,102,938) | (1,295,085) | ||
Balance, shares at Jun. 30, 2019 | 2,679,376,966 | ||||||
Balance at Mar. 31, 2019 | $ 2,640,161 | 23,758,917 | 1,363 | (25,096,983) | 51,485 | 1,354,943 | |
Balance, shares at Mar. 31, 2019 | 2,640,161,318 | ||||||
Offering costs | |||||||
Net income (loss) | (4,759,521) | ||||||
Balance at Sep. 30, 2019 | $ 2,710,872 | 23,575,406 | (19,197) | (29,856,504) | (3,589,423) | ||
Balance, shares at Sep. 30, 2019 | 2,710,871,816 | ||||||
Balance at Mar. 31, 2019 | $ 2,640,161 | 23,758,917 | 1,363 | (25,096,983) | 51,485 | 1,354,943 | |
Balance, shares at Mar. 31, 2019 | 2,640,161,318 | ||||||
Common stock issued for cash | $ 59,216 | 765,784 | $ 825,000 | ||||
Common stock issued for cash, shares | 59,215,648 | 59,215,648 | |||||
Offering costs | 101,387 | $ 101,387 | |||||
Deconsolidation of Kuvera LATAM | (51,485) | (51,485) | |||||
Foreign currency translation adjustment | (21,421) | (21,421) | |||||
Common stock issued for services and compensation | $ 537,618 | 2,561,025 | 3,098,643 | ||||
Common stock issued for services and compensation, shares | 537,618,592 | ||||||
Share repurchase | (102) | ||||||
Common stock repurchase | $ (5) | (97) | (102) | ||||
Common stock repurchase, shares | (5,150) | ||||||
Common stock cancelled | $ (222,500) | (3,157,500) | (3,380,000) | ||||
Common stock cancelled, shares | (222,500,000) | ||||||
Common stock issued for debt | $ 200,000 | 3,900,000 | 4,100,000 | ||||
Common stock issued for debt, shares | 200,000,000 | ||||||
Beneficial conversion feature | 1,000,000 | 1,000,000 | |||||
Net income (loss) | (21,285,191) | (21,285,191) | |||||
Balance at Mar. 31, 2020 | $ 3,214,490 | 28,929,516 | (20,058) | (46,382,174) | (14,258,226) | ||
Balance, shares at Mar. 31, 2020 | 3,214,490,408 | ||||||
Balance at Jun. 30, 2019 | $ 2,679,377 | 24,146,088 | (17,612) | (28,102,938) | (1,295,085) | ||
Balance, shares at Jun. 30, 2019 | 2,679,376,966 | ||||||
Common stock issued for cash | $ 13,000 | 312,000 | 325,000 | ||||
Common stock issued for cash, shares | 13,000,000 | ||||||
Foreign currency translation adjustment | (1,585) | (1,585) | |||||
Common stock issued for services and compensation | $ 241,000 | 1,274,915 | 1,515,915 | ||||
Common stock issued for services and compensation, shares | 241,000,000 | ||||||
Common stock repurchase | $ (5) | (97) | (102) | ||||
Common stock repurchase, shares | (5,150) | ||||||
Common stock cancelled | $ (222,500) | (3,157,500) | (3,380,000) | ||||
Common stock cancelled, shares | (222,500,000) | ||||||
Beneficial conversion feature | 1,000,000 | 1,000,000 | |||||
Net income (loss) | (1,753,566) | (1,753,566) | |||||
Balance at Sep. 30, 2019 | $ 2,710,872 | 23,575,406 | (19,197) | (29,856,504) | (3,589,423) | ||
Balance, shares at Sep. 30, 2019 | 2,710,871,816 | ||||||
Balance at Mar. 31, 2020 | $ 3,214,490 | 28,929,516 | (20,058) | (46,382,174) | (14,258,226) | ||
Balance, shares at Mar. 31, 2020 | 3,214,490,408 | ||||||
Foreign currency translation adjustment | 636 | 636 | |||||
Common stock issued for services and compensation | $ 21,000 | 397,954 | 418,954 | ||||
Common stock issued for services and compensation, shares | 21,000,000 | ||||||
Share repurchase | $ (9) | (263) | (272) | ||||
Share repurchase, shares | (9,079) | ||||||
Beneficial conversion feature | 2,000,000 | 2,000,000 | |||||
Net income (loss) | (4,913,787) | (4,913,787) | |||||
Balance at Jun. 30, 2020 | $ 3,235,481 | 31,327,207 | (19,422) | (51,295,961) | (16,752,695) | ||
Balance, shares at Jun. 30, 2020 | 3,235,481,329 | ||||||
Balance at Mar. 31, 2020 | $ 3,214,490 | 28,929,516 | (20,058) | (46,382,174) | (14,258,226) | ||
Balance, shares at Mar. 31, 2020 | 3,214,490,408 | ||||||
Offering costs | 6 | ||||||
Net income (loss) | (6,101,547) | ||||||
Balance at Sep. 30, 2020 | $ 47 | $ 2,929,481 | 30,021,081 | (23,781) | (52,536,063) | (19,609,235) | |
Balance, shares at Sep. 30, 2020 | 46,612 | 2,929,481,329 | |||||
Balance at Jun. 30, 2020 | $ 3,235,481 | 31,327,207 | (19,422) | (51,295,961) | (16,752,695) | ||
Balance, shares at Jun. 30, 2020 | 3,235,481,329 | ||||||
Offering costs | (20,994) | (20,994) | |||||
Offering costs, shares | |||||||
Foreign currency translation adjustment | (4,359) | (4,359) | |||||
Common stock issued for services and compensation | 376,282 | 376,282 | |||||
Common stock issued for services and compensation, shares | |||||||
Common stock repurchase | $ (106,000) | (14,000) | (120,000) | ||||
Common stock repurchase, shares | (106,000,000) | ||||||
Preferred stock issued for cash | $ 47 | 1,158,754 | 1,158,801 | ||||
Preferred stock issued for cash, shares | 46,612 | ||||||
Common stock forfeited | $ (200,000) | (3,180,000) | (3,380,000) | ||||
Common stock forfeited, shares | (200,000,000) | ||||||
Forgiveness of accrued payroll | 373,832 | 373,832 | |||||
Dividends | (52,342) | (52,342) | |||||
Net income (loss) | (1,187,760) | (1,187,760) | |||||
Balance at Sep. 30, 2020 | $ 47 | $ 2,929,481 | $ 30,021,081 | $ (23,781) | $ (52,536,063) | $ (19,609,235) | |
Balance, shares at Sep. 30, 2020 | 46,612 | 2,929,481,329 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Net loss | $ (6,101,547) | $ (4,759,521) | $ (21,285,191) | $ (4,978,095) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||||
Depreciation | 982,819 | 36,007 | 490,642 | 5,332 |
Amortization of debt discount | 703,511 | 1,892,791 | 6,152,329 | 1,052,523 |
Amortization of long-term license agreement | 75,406 | 150,812 | 150,400 | |
Amortization of intangible assets | 86,812 | 169,539 | 256,351 | 239,315 |
Stock issued for services and compensation | 795,236 | 1,515,915 | 3,098,643 | 109,240 |
Loan fees on new borrowings | 841,140 | 1,209,569 | 704,397 | |
Offering costs | 6 | 101,387 | 525,000 | |
Lease cost, net of repayment | 2 | 7,333 | ||
(Gain) on deconsolidation | (53,739) | (53,739) | ||
(Gain) loss on debt extinguishment | (829,937) | (1,281,477) | (2,018,791) | (19,387) |
(Gain) loss on bargain purchase | (971,282) | |||
Loss on fair value of derivative liability | (326,788) | (599,257) | (571,231) | 214,376 |
Realized (gain) loss on cryptocurrency | (1,096) | 667 | 815 | (16,241) |
Unrealized (gain) loss on cryptocurrency | (176,817) | (25,330) | (113,369) | (106,488) |
Impairment expense | 66,645 | 4,230,741 | ||
Changes in operating assets and liabilities: | ||||
Receivables | (53,967) | (18,538) | (180,063) | 108,907 |
Prepaid assets | (1,141,805) | (1,283,764) | (2,003,542) | (4,055) |
Short-term advances | (100,000) | (135,000) | ||
Short-term advances from related parties | (10,000) | 36,010 | ||
Other current assets | 118,307 | (517,051) | 205,362 | 461,038 |
Deposits | 2,685 | (3,130) | (12,301) | |
Accounts payable and accrued liabilities | (1,001,276) | (19,420) | 974,360 | (1,314,971) |
Payroll liabilities | (886,352) | |||
Customer advance | 81,845 | 3,448,476 | 127,310 | 265,000 |
Deferred revenue | 167,896 | (94,985) | (1,264,227) | 1,016,385 |
Other liabilities | 6,872,236 | 3,529,296 | 15,192,664 | |
Accrued interest | 107,025 | 131,799 | 248,310 | 59,345 |
Accrued interest, related parties | 309,837 | 649,999 | 803,332 | 5,000 |
Net cash provided by (used in) operating activities | 661,629 | 3,524,823 | 4,624,767 | (2,983,251) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||||
Cash received in acquisition | 3,740 | |||
Cash paid for fixed assets | (1,717,289) | (1,720,116) | (5,245,606) | |
Net cash provided by (used in) investing activities | (1,717,289) | (1,720,116) | (5,245,606) | 3,740 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Proceeds from related parties | 4,474,137 | 1,459,500 | 4,484,979 | 1,905,777 |
Repayments for related party payables | (3,036,216) | (1,369,500) | (2,192,160) | (1,367,168) |
Proceeds from debt | 1,405,300 | 1,322,651 | 2,527,452 | 4,115,961 |
Repayments for debt | (2,030,344) | (2,745,024) | (5,020,795) | (2,936,044) |
Payments for share repurchase | (272) | (102) | (102) | (91,000) |
Dividends paid | (14,567) | |||
Proceeds from the sale of stock | 1,165,300 | 650,000 | 825,000 | |
Payments for financing costs | (21,000) | |||
Net cash provided by (used in) financing activities | 1,942,338 | (682,475) | 624,374 | 1,627,526 |
Effect of exchange rate translation on cash | 2,297 | (2) | (5,057) | |
Net increase (decrease) in cash, cash equivalents, and restricted cash | 886,678 | 1,124,529 | 3,533 | (1,357,042) |
Cash, cash equivalents, and restricted cash - beginning of balance | 137,177 | 133,644 | 133,644 | 1,490,686 |
Cash, cash equivalents, and restricted cash - ending of balance | 1,023,855 | 1,258,173 | 137,177 | 133,644 |
Cash paid during the period for: | ||||
Interest | 275,192 | 51,000 | 51,000 | 51,000 |
Income taxes | 3,282 | 5,544 | 7,383 | 70,768 |
Non cash investing and financing activities: | ||||
Prepaid assets reclassified to fixed assets | 2,252,568 | |||
Common stock issued for acquisition | 800,000 | |||
Beneficial conversion feature | 2,000,000 | 1,000,000 | 1,000,000 | |
Stock issued for prepaid services and long term license agreement | 6,678,360 | |||
Cancellation of shares | 3,380,000 | 3,380,000 | ||
Changes in equity for offering costs accrued | 101,387 | 101,387 | 525,000 | |
Shares issued for offering costs | 3,000 | |||
Accounts payable reclassified to related party debt | 75,000 | |||
Related party debt extinguished with APEX Units | (100,000) | |||
Derivative liability recorded as a debt discount | 365,000 | 715,000 | $ 510,000 | |
Recognition of lease liability and ROU asset at lease commencement | 131,244 | $ 131,244 | ||
Shares forfeited | 3,380,000 | |||
Share repurchase | 120,000 | |||
Reclassification of related party debt | 26,000 | |||
Dividends declared but not yet paid | 37,775 | |||
Forgiveness of accrued payroll | $ 373,832 |
Organization and Nature of Busi
Organization and Nature of Business | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Organization and Nature of Business | NOTE 1 – ORGANIZATION AND NATURE OF BUSINESS Organization Investview, Inc. was incorporated on January 30, 1946, under the laws of the state of Utah as the Uintah Mountain Copper Mining Company. In January 2005 the Company changed domicile to Nevada, and changed its name to Voxpath Holding, Inc. In September of 2006 the Company merged The Retirement Solution Inc. through a Share Purchase Agreement into Voxpath Holdings, Inc. and then changed its name to TheRetirementSolution.Com, Inc. In October 2008 the Company changed its name to Global Investor Services, Inc., before changing its name to Investview, Inc., on March 27, 2012. On March 31, 2017, we entered into a Contribution Agreement with the members of Wealth Generators, LLC, a limited liability company (“Wealth Generators”), pursuant to which the Wealth Generators members agreed to contribute 100% of the outstanding securities of Wealth Generators in exchange for an aggregate of 1,358,670,942 shares of our common stock. The closing of the Contribution Agreement was effective April 1, 2017, and Wealth Generators became our wholly owned subsidiary and the former members of Wealth Generators became our stockholders and control the majority of our outstanding common stock. On June 6, 2017, we entered into an Acquisition Agreement with Market Trend Strategies, LLC, a company whose members are also former members of our management. Under the Acquisition Agreement, we spun-off our operations that existed prior to the merger with Wealth Generators and sold the intangible assets used in those pre-merger operations in exchange for Market Trend Strategies’ assumption of $419,139 in pre-merger liabilities. On February 28, 2018, we filed a name change for Wealth Generators, LLC to Kuvera, LLC (“Kuvera”) and on May 7, 2018 we established WealthGen Global, LLC as a Utah limited liability company and a wholly owned subsidiary of Investview, Inc. On July 20, 2018, we entered into a Purchase Agreement with United Games Marketing LLC, a Utah limited liability company, to purchase its wholly owned subsidiaries United Games, LLC and United League, LLC for 50,000,000 shares of our common stock. On November 12, 2018, we established Kuvera France, S.A.S. to handle sales of our financial education and research in the European Union. On December 30, 2018, our wholly owned subsidiary S.A.F.E. Management, LLC received its registration and disclosure approval from the National Futures Association. S.A.F.E. Management, LLC is now a New Jersey State Registered Investment Adviser, Commodities Trading Advisor, Commodity Pool Operator, and approved for over the counter FOREX advisory services. On January 17, 2019 we renamed our non-operating wholly owned subsidiary WealthGen Global, LLC to SafeTek, LLC, a Utah Limited Liability Company. Effective July 22, 2019 we renamed our non-operating wholly owned subsidiary Razor Data, LLC to APEX Tek, LLC, a Utah Limited Liability Company. Nature of Business Investview owns a number of companies that each operate independently but are accretive to one another. Investview is establishing a portfolio of wholly owned subsidiaries delivering leading edge technologies, services and research, dedicated primarily to the individual consumer. Following is a description of each of our companies. Kuvera, LLC Different packages are available through a monthly subscription that can be cancelled at any time at the discretion of the customer. A unique component of the product marketing plan is the distribution method whereby all subscriptions are sold via current participating customers who choose to distribute and sell the services by participating in the bonus plan. The bonus plan participation is purely optional but enables individuals to create an additional income stream to further support their personal financial goals and objectives. Kuvera France S.A.S. S.A.F.E. Management, LLC United League, LLC United Games, LLC SAFETek, LLC Apex Tek, LLC Investment Tools & Training, LLC | NOTE 1 – ORGANIZATION AND NATURE OF BUSINESS Organization Investview, Inc. was incorporated on January 30, 1946, under the laws of the state of Utah as the Uintah Mountain Copper Mining Company. In January 2005, we changed domicile to Nevada and changed our name to Voxpath Holding, Inc. In September of 2006, we merged The Retirement Solution Inc. through a Share Purchase Agreement into Voxpath Holdings, Inc. and then changed our name to TheRetirementSolution.Com, Inc. and in October 2008 changed our name to Global Investor Services, Inc., before changing our name to Investview, Inc., on March 27, 2012. On March 31, 2017, we entered into a Contribution Agreement with the members of Wealth Generators, LLC, a limited liability company (“Wealth Generators”), pursuant to which the Wealth Generators members agreed to contribute 100% of the outstanding securities of Wealth Generators in exchange for an aggregate of 1,358,670,942 shares of our common stock. The closing of the Contribution Agreement was effective April 1, 2017, and Wealth Generators became our wholly owned subsidiary and the former members of Wealth Generators became our stockholders and control the majority of our outstanding common stock. On June 6, 2017, we entered into an Acquisition Agreement with Market Trend Strategies, LLC, a company whose members are also former members of our management. Under the Acquisition Agreement, we spun-off our operations that existed prior to the merger with Wealth Generators and sold the intangible assets used in those pre-merger operations in exchange for Market Trend Strategies’ assumption of $419,139 in pre-merger liabilities. On February 28, 2018, we filed a name change for Wealth Generators, LLC to Kuvera, LLC (“Kuvera”). This did not affect the company’s tax and federal identification. On May 7, 2018, we established WealthGen Global, LLC as a Utah limited liability company and our wholly owned subsidiary. On July 20, 2018, we entered into a Purchase Agreement with United Games Marketing LLC, a Utah limited liability company, to purchase its wholly owned subsidiaries United Games, LLC and United League, LLC for 50,000,000 shares of our common stock (see Note 5). On November 12, 2018, we established Kuvera France, S.A.S. to handle sales of our financial education and research in the European Union. On December 30, 2018, our wholly owned subsidiary S.A.F.E. Management, LLC received its registration and disclosure approval from the National Futures Association. S.A.F.E. Management, LLC is now a New Jersey State Registered Investment Adviser, Commodities Trading Advisor, Commodity Pool Operator, and approved for over the counter FOREX advisory services. On January 17, 2019, we renamed our non-operating wholly owned subsidiary WealthGen Global, LLC to SAFETek, LLC, a Utah limited liability company. Effective July 22, 2019 we renamed our non-operating wholly owned subsidiary Razor Data, LLC to Apex Tek, LLC, a Utah Limited Liability Company. Nature of Business We own a number of companies that each operate independently, but are accretive to one another. We are establishing a portfolio of wholly owned subsidiaries delivering leading-edge technologies, services, and research, dedicated primarily to the individual consumer. Following is a description of each of our companies. Kuvera, LLC Kuvera France S.A.S. S.A.F.E. Management, LLC United League, LLC United Games, LLC SAFETek, LLC Apex Tek, LLC Investment Tools & Training, LLC |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Accounting Policies [Abstract] | ||
Summary of Significant Accounting Policies | NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the rules and regulations (Regulation S-X) of the Securities and Exchange Commission (the “SEC”) and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The results of operations for the six months ended September 30, 2020, are not necessarily indicative of the operating results that may be expected for the year ending March 31, 2021. These unaudited condensed consolidated financial statements should be read in conjunction with the March 31, 2020 consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended March 31, 2020. Principles of Consolidation The consolidated financial statements include the accounts of Investview, Inc., and our wholly owned subsidiaries, Kuvera, LLC, Investment Tools & Training, LLC, Apex Tek, LLC (formerly Razor Data, LLC), S.A.F.E. Management, LLC, SafeTek, LLC (formerly WealthGen Global, LLC), United Games, LLC, United League, LLC, and Kuvera France S.A.S. Through March 31, 2019 we had determined that one affiliated entity, Kuvera LATAM S.A.S., which we previously conducted business with, was a variable interest entity and we were the primary beneficiary of the entity’s activities, which are similar to those of Kuvera, LLC. As a result, through March 31, 2019 we had consolidated the accounts of this variable interest entity into the consolidated financial statements. Further, because the Company did not have any ownership interest in this variable interest entity, the Company had allocated the contributed capital in the variable interest entity as a component of noncontrolling interest. As of April 1, 2019 Kuvera LATAM S.A.S. had no operations and ceased to exist, therefore, as of that date, no consolidation of the entity was necessary and we recorded a gain on deconsolidation of $53,739 to eliminate the intercompany account with Kuvera LATAM S.A.S. All intercompany transactions and balances have been eliminated in consolidation. Financial Statement Reclassification Certain account balances from prior periods have been reclassified in these consolidated financial statements to conform to current period classifications. Use of Estimates The preparation of these unaudited condensed consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Foreign Exchange We have consolidated the accounts of Kuvera France S.A.S. into our consolidated financial statements. The operations of Kuvera France S.A.S. are conducted in France and its functional currency is the Euro. The financial statements of Kuvera France S.A.S. are prepared using their functional currency and have been translated into U.S. dollars (“USD”). Assets and liabilities are translated into USD at the applicable exchange rates at period-end. Stockholders’ equity is translated using historical exchange rates. Revenue and expenses are translated at the average exchange rates for the period. Any translation adjustments are included as foreign currency translation adjustments in accumulated other comprehensive income in our stockholders’ equity (deficit). The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD at the following balance sheet dates. September 30, 2020 March 31, 2020 Euro to USD 1.17300 1.10314 The following rates were used to translate the accounts of Kuvera France S.A.S. into USD for the following operating periods. Six Months Ended September 30, 2020 2019 Euro to USD 1.135711 1.11795 Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the balance sheet that sum to the total of the same such amounts shown in the statement of cash flows. September 30, 2020 March 31, 2020 Cash and cash equivalents $ 583,955 $ 137,177 Restricted cash, current 151,489 - Restricted cash, long term 288,411 - Total cash, cash equivalents, and restricted cash shown on the statement of cash flows $ 1,023,855 $ 137,177 Amount included in restricted cash represent funds required to be held in an escrow account by a contractual agreement and will be used for paying dividends to our Series B Preferred Stock holders. Cryptocurrencies We hold cryptocurrency-denominated assets (“cryptocurrencies”) and include them in our consolidated balance sheet as other current assets. We record cryptocurrencies at fair market value and recognize the change in the fair value of our cryptocurrencies as an unrealized gain or loss in the consolidated statement of operations. As of September 30, 2020, and March 31, 2020, the fair value of our cryptocurrencies was $155,628 and $96,022, respectively. During the six months ended September 30, 2020 we recorded $1,096 and $176,817 as a total realized and unrealized gain (loss) on cryptocurrency, respectively. During the six months ended September 30, 2019 we recorded $(667) and $25,330 as a total realized and unrealized gain (loss) on cryptocurrency, respectively. During the three months ended September 30, 2020, we recorded $1,096 and $85,331 as a total realized and unrealized gain (loss) on cryptocurrency, respectively. During the three months ended September 30, 2019 we recorded $(1,077) and $(122,080) as a total realized and unrealized gain (loss) on cryptocurrency, respectively. Fixed Assets Fixed assets are stated at cost and depreciated using the straight-line method over their estimated useful lives. When retired or otherwise disposed, the carrying value and accumulated depreciation of the fixed asset is removed from its respective accounts and the net difference less any amount realized from disposition is reflected in earnings. Expenditures for maintenance and repairs which do not extend the useful lives of the related assets are expensed as incurred. As of September 30, 2020, fixed assets were made up of the following: Estimated Useful Life (years) Value Furniture, fixtures, and equipment 10 $ 12,792 Computer equipment 3 21,143 Data processing equipment 3 7,095,515 7,129,450 Accumulated depreciation as of September 30, 2020 (1,211,446 ) Net book value, September 30, 2020 $ 5,918,004 Total depreciation expense for the six months ended September 30, 2020 and 2019, was $982,819 and $36,007, respectively. Long-Lived Assets – Intangible Assets & License Agreement We account for our intangible assets and long-term license agreement in accordance with ASC Subtopic 350-30, General Intangibles Other Than Goodwill, and ASC Subtopic 360-10-05, Accounting for the Impairment or Disposal of Long-Lived Assets. ASC Subtopic 350-30 requires assets to be measured based on the fair value of the consideration given or the fair value of the assets (or net assets) acquired, whichever is more clearly evident and, thus, more reliably measurable. Further, ASC Subtopic 350-30 requires an intangible asset to be amortized over its useful life and for the useful life to be evaluated every reporting period to determine whether events or circumstances warrant a revision to the remaining period of amortization. If the estimate of useful life is changed the remaining carrying amount of the intangible asset is amortized prospectively over the revised remaining useful life. Costs of internally developing, maintaining, or restoring intangible assets are recognized as an expense when incurred. In June of 2017 we issued 80,000,000 shares of common stock with a value of $2,256,000 for a 15-year license agreement. Amortization recognized for the six months ended September 30, 2020 and 2019 was $0 and $75,406, respectively, and the long-term license agreement was recorded at a net value of $0 as of September 30, 2020 and March 31, 2020 due to the asset being impaired as of March 31, 2020. In June of 2018 we purchased United Games, LLC and United League, LLC and recorded the transaction as a business combination. Intangible assets acquired in the business combination were recorded at fair value on the date of acquisition and are being amortized on a straight-line method over their estimated useful lives. During the nine months ended December 31, 2019 we impaired the value of the customer contracts/relationships originally acquired. Estimated Useful Life (years) Value FireFan mobile application 4 $ 331,000 Back office software 10 408,000 Tradename/trademark - FireFan 5 248,000 Tradename/trademark - United Games 0.45 4,000 Customer contracts/relationships n/a - 991,000 Accumulated amortization as of December 31, 2019 (254,949 ) Net book value, December 31, 2019 $ 736,051 In June of 2018 we purchased United Games, LLC and United League, LLC and recorded the transaction as a business combination. Intangible assets acquired in the business combination were recorded at fair value on the date of acquisition and are being amortized on a straight-line method over their estimated useful lives. As of September 30, 2020 intangible assets were made up of the following: Estimated Useful Life (years) Value FireFan mobile application 4 $ 331,000 Back office software 10 408,000 Tradename/trademark - FireFan 5 248,000 Tradename/trademark - United Games 0.45 4,000 991,000 Accumulated amortization as of September 30, 2020 (384,930 ) Net book value, September 30, 2020 $ 606,070 Amortization expense for the six months ended September 30, 2020 and 2019 was $86,812 and $169,539, respectively. Amortization expense is expected to be as follows: Remainder of 2021 $ 86,338 Fiscal year ending March 31, 2022 173,150 Fiscal year ending March 31, 2023 173,150 Fiscal year ending March 31, 2024 32,589 Fiscal year ending March 31, 2025 6,148 Fiscal year ending March 31, 2026 and beyond 134,695 $ 606,070 Impairment of Long-Lived Assets We have adopted ASC Subtopic 360-10, Property, Plant and Equipment (“ASC 360-10”). ASC 360-10 requires that long-lived assets and certain identifiable intangibles held and used by the Company be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable or when the historical cost carrying value of an asset may no longer be appropriate. Events relating to recoverability may include significant unfavorable changes in business conditions, recurring losses, or a forecasted inability to achieve break-even operating results over an extended period. We evaluate the recoverability of long-lived assets based upon future net cash flows expected to result from the asset, including eventual disposition. Should impairment in value be indicated, the carrying value of intangible assets will be adjusted and an impairment loss is recorded equal to the difference between the asset’s carrying value and fair value or disposable value. During the six months ended September 30, 2020 we fully impaired data processing equipment that had a cost basis of $84,939 and we fully impaired a computer that had a cost basis of $1,609 because the assets were no longer in use. The accumulated depreciation of the assets at the time they were written off was $19,903, therefore we recognized impairment expense of $66,645 for the six months ended September 30, 2020. No impairment expense was recognized during the six months ended September 30, 2019. Fair Value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, based on our principal or, in the absence of a principal, most advantageous market for the specific asset or liability. U.S. generally accepted accounting principles provide for a three-level hierarchy of inputs to valuation techniques used to measure fair value, defined as follows: Level 1: Inputs that are quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity can access. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability, including: - quoted prices for similar assets or liabilities in active markets; - quoted prices for identical or similar assets or liabilities in markets that are not active; - inputs other than quoted prices that are observable for the asset or liability; and - inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3: Inputs that are unobservable and reflect management’s own assumptions about the inputs market participants would use in pricing the asset or liability based on the best information available in the circumstances (e.g., internally derived assumptions surrounding the timing and amount of expected cash flows). Our financial instruments consist of cash, accounts receivable, accounts payable, and debt. We have determined that the book value of our outstanding financial instruments as of September 30, 2020 and March 31, 2020, approximates the fair value due to their short-term nature. Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of September 30, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 155,628 $ - $ - $ 155,628 Total Assets $ 155,628 $ - $ - $ 155,628 Derivative liability $ - $ - $ 4,265 $ 4,265 Total Liabilities $ - $ - $ 4,265 $ 4,265 Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 96,022 $ - $ - $ 96,022 Total Assets $ 96,022 $ - $ - $ 96,022 Derivative liability $ - $ - $ 793,495 $ 793,495 Total Liabilities $ - $ - $ 793,495 $ 793,495 Sale and Leaseback Through our wholly-owned subsidiary, APEX Tex, LLC, we sold high powered data processing equipment (“APEX”) to our customers and they leased the equipment back to SAFETek, LLC, another of our wholly-owned subsidiaries. We account for these transactions under ASC 842-40 where the leaseback has been deemed a sales-type lease due to the lease term generally covering the entire economic life of the equipment and our likelihood to purchase the asset at the end of the lease term. In accordance with ASC 842-40 we have recorded the data processing equipment as a fixed asset on our balance sheet and we have accounted for the amounts received for the equipment as a financial liability, in other liabilities on our balance sheet. Further, we will recognize interest on the financial liability over the term of the lease to ensure the financial liability equates to the total amounts to be paid over the life of the lease. During the six months ended September 30, 2020 we had the following activity related to our sale and leaseback transactions: Total Financial Liability Contra-Liability Net Financial Liability Current [1] Long Term Balance as of March 31, 2020 $ 53,828,000 $ (38,535,336 ) $ 15,292,664 $ 11,407,200 $ 3,885,464 Proceeds from sales of APEX 5,001,622 - 5,001,622 Interest recorded on financial liability 8,348,378 (8,348,378 ) - Payments made for leased equipment (2,125,300 ) - (2,125,300 ) Interest expense - 3,995,914 3,995,914 Balance as of September 30, 2020 $ 65,052,700 $ (42,887,800 ) $ 22,164,900 $ 14,077,200 $ 8,087,700 [1] Represents lease payments to be made in the next 12 months The $42,887,800 is expected to be recognized into interest as follows: Remainder of 2021 $ 4,782,861 Fiscal year ending March 31, 2022 9,565,721 Fiscal year ending March 31, 2023 9,565,721 Fiscal year ending March 31, 2024 9,565,721 Fiscal year ending March 31, 2025 and beyond 9,407,776 $ 42,887,800 During the six months ended September 30, 2020 we received additional proceeds for APEX sales which were recorded in the customer advance amount shown on our balance sheet, resulting in a net increase in the account of $81,845 since March 31, 2020. As of September 30, 2020 we have ceased selling the APEX package. We may re-introduce APEX at a later date after further evaluation of the model. Revenue Recognition Subscription Revenue The majority of our revenue is generated by subscription sales and payment is received at the time of purchase. We recognize subscription revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to provide services over a fixed subscription period, therefore we recognize revenue rateably over the subscription period and deferred revenue is recorded for the portion of the subscription period subsequent to each reporting date. Additionally, we offer a 10-day trial period to subscription customers, during which a full refund can be requested if a customer does not like the product. Revenues are deferred during the trial period as collection is not probable until that time has passed. Revenues are presented net of refunds, sales incentives, credits, and known and estimated credit card chargebacks. Equipment Sales We generate revenue from the sale of high-speed computer processing equipment that is used for any of the following intense processing activities: protein folding, CGI rendering, Game Streaming, Machine & Deep Learning, Mining, Independent Financial Verification, and general high-speed computing. We recognize equipment sales revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver an equipment package to our customers which includes hardware, software, and firmware and is drop-shipped to a hosting data center. We receive payment at the time of purchase and recognize revenue when the equipment package is delivered and ready for maintenance and hosting, which our customers arrange for, and obtain, from a separate third party that provides such services. Cryptocurrency Mining Service Revenue We generate revenue from the sale of cryptocurrency mining services to our customers through an arrangement with a third-party supplier. We recognize cryptocurrency mining service revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to arrange for the third-party to provide mining services to our customers and payment is received at the time of purchase, therefore revenue is recognized upon receipt of payment. We recognize revenue in the amount of the fee to which we are entitled to as an agent, or the amount of consideration that we retain after paying the third-party the consideration received in exchange for the services the third-party is to provide. Mining Revenue Through our wholly owned subsidiary, SAFETek, LLC, we lease equipment under a sales-type lease and use the equipment on blockchain networks to validate and add blocks of transactions to blockchain ledgers (commonly referred to as “mining”). As compensation for mining we are issued fees from processors and/or block rewards that are newly created cryptocurrency units granted to us. Our mining activities constitute our ongoing major and central operations of SAFETek, LLC. Because we do not have contracts, nor do we have customers associated with our mining revenue, we recognize revenue when fees and/or rewards are settled, or ultimately granted to us as a result of our mining activities. Fee Revenue We generate fee revenue from our customers through SAFE Management, our subsidiary licensed as a Registered Investment Advisor and Commodities Trading Advisor. We recognize fee revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver fully managed trading services to individuals who do not meet the requirements of Qualified Investors and who lack the time to trade for themselves. We recognize fee revenue as our performance obligation is met and we receive payment for such advisory fees in the month following recognition. Revenue generated for the six months ended September 30, 2020 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 10,159,115 $ 3,836,285 $ 7,723 $ 14,003,123 Refunds, incentives, credits, and chargebacks (659,970 ) - - (659,970 ) Net revenue $ 9,499,145 $ 3,836,285 $ 7,723 $ 13,343,153 For the six months ended September 30, 2020 foreign and domestic revenues were approximately $9 million and $4.4 million, respectively. Revenue generated for the six months ended September 30, 2019 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 16,117,861 $ - $ 5,369 $ 16,123,230 Refunds, incentives, credits, and chargebacks (1,369,393 ) - - (1,369,393 ) Net revenue $ 14,748,468 $ - $ 5,369 $ 14,753,837 For the six months ended September 30, 2019 foreign and domestic revenues were approximately $13.9 million and $800,000, respectively. Revenue generated for the three months ended September 30, 2020 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 5,599,155 $ 2,493,739 $ 3,710 $ 8,096,604 Refunds, incentives, credits, and chargebacks (343,267 ) - - (343,267 ) Net revenue $ 5,255,888 $ 2,493,739 $ 3,710 $ 7,753,337 For the three months ended September 30, 2020 foreign and domestic revenues were approximately $7.3 million and $426,000, respectively. Revenue generated for the three months ended September 30, 2019 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 7,825,160 $ - $ 5,369 $ 7,830,529 Refunds, incentives, credits, and chargebacks (588,405 ) - - (588,405 ) Net revenue $ 7,236,755 $ - $ 5,369 $ 7,242,124 For the three months ended September 30, 2019 foreign and domestic revenues were approximately $6.8 million and $403,000, respectively. Net Income (Loss) per Share We follow ASC subtopic 260-10, Earnings per Share (“ASC 260-10”), which specifies the computation, presentation, and disclosure requirements of earnings per share information. Basic loss per share has been calculated based upon the weighted average number of common shares outstanding. Convertible debt, stock options, and warrants have been excluded as common stock equivalents in the diluted loss per share because their effect is anti-dilutive on the computation. Potentially dilutive securities excluded from the computation of basic and diluted net loss per share are as follows: September 30, September 30, Options to purchase common stock - 35,000 Warrants to purchase common stock 233,060 599,800 Notes convertible into common stock 161,742,478 58,416,067 Totals 161,975,538 59,050,867 Lease Obligation We determine if an arrangement is a lease at inception. Operating leases are included in the operating lease right-of-use asset account, the operating lease liability, current account, and the operating lease liability, long term account in our balance sheet. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. For leases in which the rate implicit in the lease is not readily determinable, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Lease terms include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for operating lease arrangements is recognized on a straight-line basis over the lease term. We have elected the practical expedient and will not separate non-lease components from lease components and will instead account for | NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Accounting Our policy is to prepare our financial statements on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America. Principles of Consolidation The consolidated financial statements include the accounts of Investview, Inc., and our wholly owned subsidiaries, Kuvera, LLC, Investment Tools & Training, LLC, Apex Tek, LLC (formerly Razor Data, LLC), S.A.F.E. Management, LLC, SAFETek, LLC (formerly WealthGen Global, LLC), United Games, LLC, United League, LLC, and Kuvera France S.A.S. Through March 31, 2019 we had determined that one affiliated entity, Kuvera LATAM S.A.S., which we previously conducted business with, was a variable interest entity and we were the primary beneficiary of the entity’s activities, which are similar to those of Kuvera, LLC. As a result, through March 31, 2019 we had consolidated the accounts of this variable interest entity into the accompanying consolidated financial statements. Further, because the Company did not have any ownership interest in this variable interest entity, the Company had allocated the contributed capital in the variable interest entity as a component of noncontrolling interest. As of April 1, 2019 Kuvera LATAM S.A.S. had no operations and ceased to exist, therefore, as of that date, no consolidation of the entity is necessary and we recorded a gain on deconsolidation of $53,739 to eliminate the intercompany account with Kuvera LATAM S.A.S. All intercompany transactions and balances have been eliminated in consolidation. Financial Statement Reclassification Certain account balances from prior periods have been reclassified in these consolidated financial statements to conform to current period classifications. Use of Estimates The preparation of these financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Foreign Exchange We have consolidated the accounts of Kuvera France S.A.S. into our consolidated financial statements and have consolidated the accounts of Kuvera LATAM S.A.S. through March 31, 2019. The operations of Kuvera France S.A.S. are conducted in France and its functional currency is the Euro. The operations of Kuvera LATAM S.A.S. were conducted in Colombia and its functional currency is the Colombian Peso. The financial statements of Kuvera France S.A.S. and Kuvera LATAM S.A.S. are prepared using their respective functional currency and have been translated into U.S. dollars (“USD”). Assets and liabilities are translated into USD at the applicable exchange rates at period-end. Stockholders’ equity is translated using historical exchange rates. Revenue and expenses are translated at the average exchange rates for the period. Any translation adjustments are included as foreign currency translation adjustments in accumulated other comprehensive income in our stockholders’ equity (deficit). The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD at the following balance sheet dates. March 31, 2020 March 31, 2019 Euro to USD 1.10314 1.12200 Colombian Peso to USD n/a 0.00031 The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD for the following operating periods: Year ended March 31, 2020 2019 Euro to USD 1.11122 1.13580 Colombian Peso to USD n/a 0.00033 Concentration of Credit Risk Financial instruments that potentially expose us to concentration of credit risk include cash, accounts receivable, and advances. We place our cash and temporary cash investments with credit quality institutions. At times, such investments may be in excess of the FDIC insurance limit of $250,000. As of March 31, 2020 and 2019, cash balances that exceeded FDIC limits were $0, and we have not experienced significant losses relating to these concentrations in the past. Cash and Cash Equivalents For purposes of reporting cash flows, we consider all highly liquid debt instruments purchased with a maturity of three months or less to be cash equivalents. As of March 31, 2020 and 2019, we had no cash equivalents. Receivables Receivables are carried at net realizable value, representing the outstanding balance less an allowance for doubtful accounts based on a review of all outstanding amounts. Management determines the allowance for doubtful accounts by regularly evaluating individual receivables and receivables are written off when deemed uncollectible. Recoveries of receivables previously written off are recorded when received. We had no allowance for doubtful accounts as of March 31, 2020 and 2019. Cryptocurrencies We hold cryptocurrency-denominated assets (“cryptocurrencies”) and include them in our consolidated balance sheet as other current assets. We record cryptocurrencies at fair market value and recognize the change in the fair value of our cryptocurrencies as an unrealized gain or loss in the consolidated statement of operations. As of March 31, 2020 and March 31, 2019, the fair value of our cryptocurrencies was $101,610 and $142,061, respectively. During the year ended March 31, 2020, we recorded $(815) and $113,369 as realized and unrealized gain (loss) on cryptocurrency, respectively. During the year ended March 31, 2019, we recorded $16,241 and $106,488 as realized and unrealized gain (loss) on cryptocurrency, respectively. Fixed Assets Fixed assets are stated at cost and depreciated using the straight-line method over their estimated useful lives. When retired or otherwise disposed, the carrying value and accumulated depreciation of the fixed asset is removed from its respective accounts and the net difference less any amount realized from disposition, is reflected in earnings. Expenditures for maintenance and repairs which do not extend the useful lives of the related assets are expensed as incurred. As of March 31, 2020 and 2019 fixed assets were made up of the following: Estimated Useful Life March 31, March 31, (years) 2020 2019 Furniture, fixtures, and equipment 10 $ 12,792 $ 11,372 Computer equipment 3 19,533 14,661 Data processing equipment 3 3,213,815 - 3,246,140 26,033 Accumulated amortization (248,529 ) (12,505 ) Net book value $ 2,997,611 $ 13,528 Total depreciation expense for the years ended March 31, 2020 and 2019, was $490,642 and $5,332, respectively. Long-Lived Assets – Intangible Assets & License Agreement We account for our intangible assets and long-term license agreement in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Subtopic 350-30, General Intangibles Other Than Goodwill, and ASC Subtopic 360-10-05, Accounting for the Impairment or Disposal of Long-Lived Assets. ASC Subtopic 350-30 requires assets to be measured based on the fair value of the consideration given or the fair value of the assets (or net assets) acquired, whichever is more clearly evident and, thus, more reliably measurable. Further, ASC Subtopic 350-30 requires an intangible asset to be amortized over its useful life and for the useful life to be evaluated every reporting period to determine whether events or circumstances warrant a revision to the remaining period of amortization. If the estimate of useful life is changed the remaining carrying amount of the intangible asset is amortized prospectively over the revised remaining useful life. Costs of internally developing, maintaining, or restoring intangible assets are recognized as an expense when incurred. In June of 2017 we issued 80,000,000 shares of common stock with a value of $2,256,000 for a 15-year license agreement. Annual amortization over the 15-year life is expected to be approximately $150,400 per year. Amortization recognized for the year ended March 31, 2020 and 2019, was $150,812 and $150,400, respectively, and the long-term license agreement was recorded at a net value of $0 and $1,983,220 as of March 31, 2020 and 2019, respectively. In June of 2018 we purchased United Games, LLC and United League, LLC and recorded the transaction as a business combination (see Note 5). Intangible assets acquired in the business combination were recorded at fair value on the date of acquisition and are being amortized on a straight-line method over their estimated useful lives. As of March 31, 2020 and 2019 intangible assets were made up of the following: Estimated Useful Life March 31, March 31, (years) 2020 2019 FireFan mobile application 4 $ 331,000 $ 331,000 Back office software 10 408,000 408,000 Tradename/trademark - FireFan 5 248,000 248,000 Tradename/trademark - United Games 0.45 4,000 4,000 Customer contracts/relationships 5 - 825,000 991,000 1,816,000 Accumulated amortization (298,118 ) (239,315 ) Net book value $ 692,882 $ 1,576,685 Amortization expense is expected to be as follows: Fiscal year ending March 31, 2021 $ 173,150 Fiscal year ending March 31, 2022 173,150 Fiscal year ending March 31, 2023 115,338 Fiscal year ending March 31, 2024 55,748 Fiscal year ending March 31, 2025 and beyond 175,496 $ 692,882 Impairment of Long-Lived Assets We have adopted ASC Subtopic 360-10, Property, Plant and Equipment. ASC 360-10 requires that long-lived assets and certain identifiable intangibles held and used by us be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable or when the historical cost carrying value of an asset may no longer be appropriate. Events relating to recoverability may include significant unfavourable changes in business conditions, recurring losses, or a forecasted inability to achieve break-even operating results over an extended period. We evaluate the recoverability of long-lived assets based upon future net cash flows expected to result from the asset, including eventual disposition. Should impairment in value be indicated, the carrying value of intangible assets will be adjusted and an impairment loss is recorded equal to the difference between the asset’s carrying value and fair value or disposable value. Effective March 31, 2020 we fully impaired data processing equipment that had a cost basis of $2,025,500 and we fully impaired our long-term license agreement that had a cost basis of $2,256,000 because we deemed the assets carrying amount was not recoverable as of that date. As a result, impairment expense of $1,770,881 and $1,832,408 for the equipment and the license agreement, respectively, was recorded for the year ended March 31, 2020. During the year ended March 31, 2020 we impaired the value of the customer contracts/relationships originally acquired in our purchase of United Games, LLC and United League, LLC, therefore recognizing impairment expense of $627,452. Fair Value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, based on our principal or, in the absence of a principal, most advantageous market for the specific asset or liability. U.S. generally accepted accounting principles provide for a three-level hierarchy of inputs to valuation techniques used to measure fair value, defined as follows: Level 1: Inputs that are quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity can access. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability, including: - quoted prices for similar assets or liabilities in active markets; - quoted prices for identical or similar assets or liabilities in markets that are not active; - inputs other than quoted prices that are observable for the asset or liability; and - inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3: Inputs that are unobservable and reflect management’s own assumptions about the inputs market participants would use in pricing the asset or liability based on the best information available in the circumstances (e.g., internally derived assumptions surrounding the timing and amount of expected cash flows). Our financial instruments consist of cash, accounts receivable, and accounts payable. We have determined that the book value of our outstanding financial instruments as of March 31, 2020 and March 31, 2019, approximates the fair value due to their short-term nature. Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 101,610 $ - $ - $ 101,610 Total Assets $ 101,610 $ - $ - $ 101,610 Derivative liability $ - $ - $ 793,495 $ 793,495 Total Liabilities $ - $ - $ 793,495 $ 793,495 Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2019: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 142,061 $ - $ - $ 142,061 Total Assets $ 142,061 $ - $ - $ 142,061 Derivative liability $ - $ - $ 1,358,901 $ 1,358,901 Total Liabilities $ - $ - $ 1,358,901 $ 1,358,901 Sale and Leaseback Through our wholly-owned subsidiary, APEX Tek, LLC, we sell high powered data processing equipment (“APEX”) to our customers and they lease the equipment back to SAFETek, LLC, another of our wholly-owned subsidiaries. We account for these transactions under ASC 842-40 where the leaseback has been deemed a sales-type lease due to the lease term generally covering the entire economic life of the equipment and our likelihood to purchase the asset at the end of the lease term. In accordance with ASC 842-40 we have recorded the data processing equipment as a fixed asset on our balance sheet and we have accounted for the amounts received for the equipment as a financial liability, in other liabilities on our balance sheet. Further, we will recognize interest on the financial liability over the term of the lease to ensure the financial liability equates to the total amounts to be paid over the life of the lease. During the year ended March 31, 2020 we recorded deferred interest of $40,792,735 as a contra-liability, of which $2,257,399 was recognized into interest, resulting in $38,535,336 expected to be recognized into interest as follows: Fiscal year ending March 31, 2021 $ 8,081,463 Fiscal year ending March 31, 2022 8,158,547 Fiscal year ending March 31, 2023 8,158,547 Fiscal year ending March 31, 2024 8,158,547 Fiscal year ending March 31, 2025 and beyond 5,978,232 $ 38,535,336 During the year ended March 31, 2020 we had the following activity related to our sale and leaseback transactions: Proceeds from sales of APEX $ 16,143,265 Debt extinguished with the issuance of APEX 100,000 Interest recognized on financial liability 2,257,399 Payments made for leased equipment (3,208,000 ) Total financial liability 15,292,664 Other current liabilities [1] (11,407,200 ) Other long-term liabilities, net of deferred interest $ 3,885,464 [1] Represents lease payments to be made in the next 12 months As of March 31, 2020 we have received proceeds of $392,310 in additional deposits for APEX sales, which has been recorded in the customer advance amount shown on our balance sheet. Revenue Recognition Subscription Revenue The majority of our revenue is generated by subscription sales and payment is received at the time of purchase. We recognize subscription revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to provide services over a fixed subscription period, therefore we recognize revenue rateably over the subscription period and deferred revenue is recorded for the portion of the subscription period subsequent to each reporting date. Additionally, we offer a 10-day trial period to first time subscription customers, during which a full refund can be requested if a customer does not like the product. Revenues are deferred during the trial period as collection is not probable until that time has passed. Revenues are presented net of refunds, sales incentives, credits, and known and estimated credit card chargebacks. Equipment Sales We generate revenue from the sale of high-speed computer processing equipment that is used for any of the following intense processing activities: protein folding, CGI rendering, Game Streaming, Machine & Deep Learning, Mining, Independent Financial Verification, and general high-speed computing. We recognize equipment sales revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver an equipment package to our customers which includes hardware, software, and firmware and is drop-shipped to a hosting data center. We receive payment at the time of purchase and recognize revenue when the equipment package is delivered and ready for maintenance and hosting, which our customers arrange for, and obtain, from a separate third party that provides such services. Cryptocurrency Mining Service Revenue In the past we generated revenue from the sale of cryptocurrency mining services to our customers through an arrangement with a third-party supplier. We recognized cryptocurrency mining service revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation was to arrange for the third-party to provide mining services to our customers and payment is received at the time of purchase, therefore revenue was recognized upon receipt of payment. We recognized revenue in the amount of the fee to which we are entitled to as an agent, or the amount of consideration that we retained after paying the third-party the consideration received in exchange for the services the third-party was to provide. Mining Revenue Through our wholly owned subsidiary, SAFETek, LLC, we lease equipment under a sales-type lease and use the equipment on blockchain networks to validate and add blocks of transactions to blockchain ledgers (commonly referred to as “mining”). As compensation for mining we are issued fees from processors and/or block rewards that are newly created cryptocurrency units granted to us. Our mining activities constitute our ongoing major and central operations of SAFETek, LLC. Because we do not have contracts, nor do we have customers associated with our mining revenue, we recognize revenue when fees and/or rewards are settled, or ultimately granted to us as a result of our mining activities. Fee Revenue We generate fee revenue from our customers through SAFE Management, our subsidiary licensed as a Registered Investment Advisor and Commodities Trading Advisor. We recognize fee revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver fully managed trading services to individuals who do not meet the requirements of Qualified Investors and who lack the time to trade for themselves. We recognize fee revenue as our performance obligation is met and we receive payment for such advisory fees in the month following recognition. Revenue generated for the year ended March 31, 2020, was as follows: Subscription Revenue Equipment Cryptocurrency Mining Service Revenue Mining Revenue Fee Revenue Total Gross billings/receipts $ 24,471,532 $ - $ - $ 1,745,138 $ 13,279 $ 26,229,949 Refunds, incentives, credits, and chargebacks (2,046,359 ) - - - - (2,046,359 ) Amounts paid to supplier - - - - - - Net revenue $ 22,425,173 $ - $ - $ 1,745,138 $ 13,279 $ 24,183,590 Foreign revenues for the year ended March 31, 2020 were $21,191,788 while domestic revenue for the year ended March 31, 2020 was $2,991,802. Revenue generated for the year ended March 31, 2019 was as follows: Subscription Revenue Equipment Cryptocurrency Mining Service Revenue Mining Revenue Fee Revenue Total Gross billings/receipts $ 28,518,660 $ 698,954 $ 5,775,269 $ - $ - $ 34,992,883 Refunds, incentives, credits, and chargebacks (1,495,458 ) (4,000 ) (6,501 ) - - (1,505,959 ) Amounts paid to supplier - - (3,827,843 ) - - (3,827,843 ) Net revenue $ 27,023,202 $ 694,954 $ 1,940,925 $ - $ - $ 29,659,081 Foreign revenues for the year ended March 31, 2019 were approximately $27.3 million while domestic revenue for the year ended March 31, 2019 was approximately $2.3 million. Advertising, Selling, and Marketing Costs We expense advertising, selling, and marketing costs as incurred. Advertising, selling, and marketing costs include costs of promoting our product worldwide, including promotional events. Advertising, selling, and marketing expenses for the years ended March 31, 2020 and 2019, totalled $1,696,133 and $878,936, respectively. Income Taxes We have adopted ASC Subtopic 740-10, Income Taxes, which requires the recognition of deferred tax liabilities and assets for the expected future tax consequences of events that have been included in the financial statement or tax returns. Under this method, deferred tax liabilities and assets are determined based on the difference between financial statements and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. Temporary differences between taxable income reported for financial reporting purposes and income tax purposes consist primarily of derivative liability and stock compensation accounting versus basis differences. Net Income (Loss) per Share We follow ASC Subtopic 260-10, Earnings per Share, which specifies the computation, presentation, and disclosure requirements of earnings per share information. Basic loss per share has been calculated based upon the weighted average number of common shares outstanding. Convertible debt, stock options, and warrants have been excluded as common stock equivalents in the diluted loss per share because their effect is anti-dilutive on the computation. Potentially dilutive securities excluded from the computation of basic and diluted net loss per share are as follows: March 31, March 31, Options to purchase common stock - 35,000 Warrants to purchase common stock - 5,052,497 Notes convertible into common stock 45,743,298 52,162,055 Total 45,743,298 57,249,552 Lease Obligation We determine if an arrangement is a lease at inception. Operating leases are included in the operating lease right-of-use asset account, the operating lease liability, current account, and the operating lease liability, long term account in our balance sheet. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. For leases in which the rate implicit in the lease is not readily determinable, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Lease terms include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for operating lease arrangements is recognized on a straight-line basis over the lease term. We have elected the practical expedient and will not separate non-lease components from lease components and will instead account for |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Accounting Changes and Error Corrections [Abstract] | ||
Recent Accounting Pronouncements | NOTE 3 – RECENT ACCOUNTING PRONOUNCEMENTS There are no recently issued accounting pronouncements that the Company has not yet adopted that they believe are applicable or would have a material impact on the financial statements of the Company. | NOTE 3 – RECENT ACCOUNTING PRONOUNCEMENTS There are no recently issued accounting pronouncements that we have not yet adopted that we believe are applicable or would have a material impact on our financial statements. |
Going Concern and Liquidity
Going Concern and Liquidity | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Going Concern and Liquidity | NOTE 4 – GOING CONCERN AND LIQUIDITY Our financial statements are prepared using generally accepted accounting principles applicable to a going concern that contemplates the realization of assets and liquidation of liabilities in the normal course of business. We have incurred significant recurring losses, which have resulted in an accumulated deficit of $52,536,063 as of September 30, 2020, along with a net loss of $6,101,547 for the six months ended September 30, 2020. Additionally, as of September 30, 2020, we had cash of $583,955 and a working capital deficit of $18,383,173. These factors raise substantial doubt about our ability to continue as a going concern. Historically we have relied on increasing revenues and new debt and equity financing to pay for operational expenses and debt as it came due. During the six months ended September 30, 2020, we raised $1,405,300 in cash proceeds from new debt arrangements and raised $4,474,137 in cash proceeds from related parties. Additionally, net cash provided by operations was $661,629 for the six months ended September 30, 2020. Subsequent to September 30, 2020, we received gross proceeds of $93,300 in connection with our Unit Offering (see NOTE 11). Additionally, subject to a Securities Purchase agreement entered into in April 2020 we have a commitment from an investor to purchase a $9 million promissory note on or before October 31, 2020, subject to certain conditions. On January 30, 2020, the World Health Organization declared the coronavirus outbreak a “Public Health Emergency of International Concern” and on March 11, 2020, declared it to be a pandemic. Actions taken around the world to help mitigate the spread of the coronavirus include restrictions on travel, and quarantines in certain areas, and forced closures for certain types of public places and businesses. The coronavirus and actions taken to mitigate the spread of it have had and are expected to continue to have an adverse impact on the economies and financial markets of many countries, including the geographical area in which the Company operates. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was enacted to amongst other provisions, provide emergency assistance for individuals, families and businesses affected by the coronavirus pandemic. It is unknown how long the adverse conditions associated with the coronavirus will last and what the complete financial effect will be to the company. To date, the Company is experiencing challenges in multiple areas of the organization and the full economic impact is yet to be established. During the year ended March 31, 2020 we made significant strides and wide sweeping changes. While we believe they will be beneficial to our bottom line, there is no assurance of this. Some of the concerns we face going forward will continue, including but not limited to: ● Supply chain issues for Apex Tek, LLC and the sourcing of miners due to the worldwide COVID pandemic and manufacturing slow downs ● SAFETek, LLC operations not scaling according to projections with decreased output due to mining difficulty and operational cost ● Regulatory reform that could adversely impact the use and demand of digital currencies ● The recent Bitcoin (BTC) halving event that further reduced mining output in addition to the supply chain issues Apex Tek, LLC and SAFETek, LLC carry additional risk and generated recent losses, however, they also provide Investview a stake in 4IR, HPC, app development, fintech, blockchain and personal money management sectors. Each of these are areas that are targeted for significant growth spurred by innovations through technology which solidify our position in the fintech space. While our liabilities are larger than our assets it is important to note that we seek to further reduce our operating expense. The assets we have acquired and will continue to seek out are those of technology, mobile apps, and human resources. These assets are not easily defined on our balance sheet but represent our ability to carry out our objectives which we believe will ultimately lead to positive cash flow, reduced debt and then profitability. Accordingly, the accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate our continuation as a going concern and the realization of assets and satisfaction of liabilities in the normal course of business. The carrying amounts of assets and liabilities presented in the financial statements do not necessarily purport to represent realizable or settlement values. The financial statements do not include any adjustment that might result from the outcome of this uncertainty. | NOTE 4 – GOING CONCERN AND LIQUIDITY Our financial statements are prepared using generally accepted accounting principles applicable to a going concern that contemplates the realization of assets and liquidation of liabilities in the normal course of business. We have incurred significant recurring losses, which have resulted in an accumulated deficit of $46,382,174 as of March 31, 2020, along with a net loss of $21,285,191 for the year ended March 31, 2020. Additionally, as of March 31, 2020, we had a working capital deficit of $14,123,625. These factors raise substantial doubt about our ability to continue as a going concern. During the year ended March 31, 2020, we raised $4,484,979 in cash proceeds from related parties, $2,527,452 in cash proceeds from new lending arrangements, and $825,000 from the sale of common stock. Subsequent to March 31, 2020, we obtained $10,049,435 in cash proceeds from new lending arrangements (see Note 13). Additionally, subject to a Securities Purchase agreement entered into in April 2020 we have a commitment from an investor to purchase a $9 million promissory note on or before October 31, 2020, subject to certain conditions. On January 30, 2020, the World Health Organization declared the coronavirus outbreak a “Public Health Emergency of International Concern” and on March 11, 2020, declared it to be a pandemic. Actions taken around the world to help mitigate the spread of the coronavirus include restrictions on travel, and quarantines in certain areas, and forced closures for certain types of public places and businesses. The coronavirus and actions taken to mitigate the spread of it have had and are expected to continue to have an adverse impact on the economies and financial markets of many countries, including the geographical area in which the Company operates. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was enacted to amongst other provisions, provide emergency assistance for individuals, families and businesses affected by the coronavirus pandemic. It is unknown how long the adverse conditions associated with the coronavirus will last and what the complete financial effect will be to the company. To date, the Company is experiencing challenges in multiple areas of the organization and the full economic impact is yet to be established. During the year ended March 31, 2020 we made significant strides and wide sweeping changes. While we believe they will be beneficial to our bottom line, there is no assurance of this. Some of the concerns we face going forward will continue, including but not limited to: ● Supply chain issues for Apex Tek, LLC and the sourcing of miners due to the worldwide COVID pandemic and manufacturing slow downs ● SAFETek, LLC operations not scaling according to projections with decreased output due to mining difficulty and operational cost ● Regulatory reform that could adversely impact the use and demand of digital currencies ● The recent Bitcoin (BTC) halving event that further reduced mining output in addition to the supply chain issues Apex Tek, LLC and SAFETek, LLC carry additional risk and generated recent losses, however, they also provide Investview a stake in 4IR, HPC, app development, fintech, blockchain and personal money management sectors. Each of these are areas that are targeted for significant growth spurred by innovations through technology which solidify our position in the fintech space. While our liabilities are larger than our assets it is important to note that we seek to further reduce our operating expense. The assets we have acquired and will continue to seek out are those of technology, mobile apps, and human resources. These assets are not easily defined on our balance sheet but represent our ability to carry out our objectives which we believe will ultimately lead to positive cash flow, reduced debt and then profitability. Accordingly, the accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate our continuation as a going concern and the realization of assets and satisfaction of liabilities in the normal course of business. The carrying amounts of assets and liabilities presented in the financial statements do not necessarily purport to represent realizable or settlement values. The financial statements do not include any adjustment that might result from the outcome of this uncertainty. |
Acquisitions
Acquisitions | 12 Months Ended |
Mar. 31, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | NOTE 5 – ACQUISITIONS Acquisition of United Games, LLC and United League, LLC On July 20, 2018, we entered into a Purchase Agreement with United Games Marketing LLC, a Utah limited liability company, to purchase its wholly owned subsidiaries United Games, LLC and United League, LLC for 50,000,000 shares of our common stock. United Games, LLC and United League, LLC provide distributor marketing back-office and commission tools and online sports gaming experience for users of their applications distributed through their networks of affiliates therefore we expect significant synergies to exist as a result of combining operations. The transaction was accounted for as a business combination using the acquisition method of accounting in accordance with the FASB (ASC Topic 805). The following table summarizes the purchase accounting for the fair value of the assets acquired and liabilities assumed at the date of the acquisition and the gain on bargain purchase which resulted from the fair value of the intangible assets acquired exceeding the fair value of our common stock given as consideration: Cash $ 3,740 Receivables 361,345 Intangible assets (see Note 2) 1,816,000 Total assets acquired 2,181,085 Accounts payable and accrued liabilities 409,803 Total liabilities assumed 409,803 Net assets acquired 1,771,282 Consideration [1] 800,000 Gain on bargain purchase $ 971,282 [1] The 50,000,000 shares of our common stock transferred as consideration in accordance with the Purchase Agreement was valued on July 20, 2018, the date of acquisition, based on the weighted equity fair value of $0.016 per share as determined by a third-party valuation firm. United Games, LLC and United League, LLC recorded combined revenue of $1,331,542 and a combined net income of $26,059 since the July 20, 2018 acquisition date, which were included in our consolidated statement of operations for the year ended March 31, 2019. The table below represents the pro forma revenue and net income (loss) for the years ended March 31, 2020 and 2019, assuming the acquisition had occurred on April 1, 2017, pursuant to ASC Subtopic 805-10-50. This pro forma information does not purport to represent what the actual results of our operations would have been had the acquisition occurred on this date nor does it purport to predict the results of operations for future periods: Year Ended March 31, 2020 2019 Revenues $ 24,225,208 $ 27,961,351 Net (loss) $ (19,429,574 ) $ (5,288,735 ) Loss per common share $ (0.01 ) $ (0.00 ) |
Related-Party Transactions
Related-Party Transactions | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Related Party Transactions [Abstract] | ||
Related-Party Transactions | NOTE 5 – RELATED-PARTY TRANSACTIONS Our related-party payables consisted of the following: September 30, March 31, Short-term advances [1] $ 489,850 $ 876,427 Promissory note entered into on 1/30/20 [2] 1,133,333 1,033,333 Convertible Promissory Note entered into on 4/27/20 [3] 77,198 - Convertible Promissory Note entered into on 5/27/20 [4] 36,019 - Accounts payable – related party [5] 30,000 55,000 $ 1,766,400 $ 1,964,760 [1] We periodically receive advances for operating funds from our current majority shareholders and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand and are unsecured. During the six months ended September 30, 2020, we received $2,338,137 in cash proceeds from advances, incurred $50,000 in interest expense on the advances, and repaid related parties $2,816,713. Also, during the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified from a related party payable to debt on our balance sheet (see NOTE 6). [2] We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the six months ended September 30, 2020 we recognized $100,000 of interest expense on the note. [3] On April 27, 2020 we received proceeds of $1,300,000 from DBR Capital, LLC, an entity controlled by members of our Board of Directors. The note bears interest at 20% per annum, payable monthly, and the principal is due and payable on April 27, 2030. The note is convertible into common stock at a conversion price of $0.01257 per share therefore during the six months ended September 30, 2020 we recorded a beneficial conversion feature and debt discount of $1,300,000 (see NOTE 8). During the six months ended September 30, 2020 we recognized $55,531 of the debt discount into interest expense as well as expensed an additional $111,223 of interest expense on the note, of which $89,556 was repaid during the period. [4] On May 27, 2020 we received proceeds of $700,000 from DBR Capital, LLC, an entity controlled by members of our Board of Directors. The note bears interest at 20% per annum, payable monthly, and the principal is due and payable on April 27, 2030. The note is convertible into common stock at a conversion price of $0.01257 per share therefore during the six months ended September 30, 2020 we recorded a beneficial conversion feature and debt discount of $700,000 (see NOTE 8). During the six months ended September 30, 2020 we recognized $24,352 of the debt discount into interest expense as well as expensed an additional $48,614 of interest expense on the note, of which $36,947 was repaid during the period. [5] During the six months ended September 30, 2020 we paid $25,000 to an accounting firm owned by our Chief Financial Officer to reduce amounts previously owed. We also incurred $68,000 to reimburse DBR Capital, LLC, for amounts paid on our behalf. The entire amount was repaid during the six months ended September 30, 2020. | NOTE 6 – RELATED PARTY TRANSACTIONS Our related party payables consisted of the following: Year Ended March 31, 2020 2019 Short-term advances [1] $ 1,526,427 $ 440,489 Short-term promissory note entered into on 8/17/18 [2] - 105,000 Promissory note entered into on 1/30/20 [3] 1,033,333 - Accounts payable – related party [4] 55,000 - $ 2,114,760 $ 545,489 [1] We periodically receive advances for operating funds from our current majority shareholders, officers, directors and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand, generally have no set interest rates associated with them, and are unsecured. During the year ended March 31, 2020, we received $2,484,979 in cash proceeds from advances, incurred $769,999 in interest, and repaid related parties a total of $1,292,160. Also during the year ended March 31, 2020 we settled $1,880 of amounts that were recorded as due prior to March 31, 2018, settled $100,000 by issuing APEX units, and settled $500,000 with the issuance of common stock. [2] A member of the senior management team advanced funds of $100,000 on August 17, 2018, under a short-term promissory note due to be repaid on August 31, 2018. On August 31, 2018 the note was amended to be due on demand or, in absence of a demand, due on August 31, 2019. The note had a fixed interest payment of $5,000, which was recorded as interest expense in the statement of operations during the year ended March 31, 2019. During the year ended March 31, 2020 we made repayments of $105,000 on the note. [3] We entered into a $1,000,000 promissory note with Joseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the year ended March 31, 2020 we recognized $33,333 of interest expense on the note. [4] During the year ended March 31, 2020 we entered into an employment agreement with Jayme McWidener as our Chief Financial Officer. At the date we entered into the employment agreement we owed her firm, Mac Accounting Group, LLP, $75,000, which was reclassified as a related party accounts payable balance on our balance sheet. We made repayments on the liability of $20,000 since the date we entered into the employment agreement. In addition to the above related party debt transactions that were outstanding as of March 31, 2020 and 2019 we entered into a $3,600,000 convertible promissory note with a member of the senior management team on July 23, 2019. We received proceeds of $1,000,000 from the note, including $900,000 in cash and $100,000 which offset amounts owing to the lender. In accordance with the terms of the note we were required to repay a monthly minimum payment of $50,000 beginning January of 2020 through June of 2020 and a monthly minimum payment of $100,000 beginning July of 2020 until the total principal amount has been repaid. The lender had the right to convert up to $2,600,000 of the outstanding and unpaid principal amount into shares of our common stock at a conversion price of $0.005 per share, subject to adjustment. At inception we recorded a beneficial conversion feature of $1,000,000 as a debt discount (see Note 10) and we recorded $2,600,000 as a debt discount, representing the difference between the face value of the note and the proceeds received. Effective March 31, 2020 we entered into a settlement agreement to issue 200,000,000 shares of our common stock (see Note 10) to repay the $3,600,000 convertible promissory note and $500,000 worth of short-term advances (see [1] above), for a total of $4,100,000 worth of related party debt settled. In conjunction with the settlement the full debt discount of $3,600,000 was recognized into interest expense during the year ended March 31, 2020. In addition to the above-mentioned related-party lending arrangements, during the year ended March 31, 2020 we sold 57 APEX units to related parties for proceeds of $122,720, $100,000 of which was offset against short term advances (see [1] above). We made 233 lease payments to these related parties during the year ended March 31, 2020, equating to $116,500. During the year ended March 31, 2019, we sold $41,500 worth of high-speed computer processing equipment to our then chief executive officer. This revenue was included in the equipment sales reported on our statement of operations. |
Debt
Debt | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Debt Disclosure [Abstract] | ||
Debt | NOTE 6 – DEBT Our debt consisted of the following: September 30, March 31, Short-term advance received on 8/31/18 [1] $ 35,000 $ 65,000 Secured merchant agreement for future receivables entered into on 8/16/19 and refinanced on 12/10/19 [2] - 1,223,615 Secured merchant agreement for future receivables entered into on 8/16/19 [3] - 260,090 Convertible promissory note entered into on 3/5/20 [4] - 13,072 Convertible promissory note entered into on 3/11/20 [5] - 7,549 Short-term advance received on 3/25/20 [6] 95,000 150,000 Promissory note entered into on 4/10/20 [7] 400,000 - Note issued under the Paycheck Protection Program on 4/17/20 [8] 507,598 - Loan with the U.S. Small Business Administration dated 4/19/20 [9] 508,322 - Short-term advance received from a former member of senior management [10] 26,001 - $ 1,571,921 $ 1,719,326 [1] In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the six months ended September 30, 2020 we made repayments of $30,000 on the debt. [2] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 and $297,033 from two separate February 2018 agreements. In accordance with the terms of the new agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. Prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 agreement. During the six months ended September 30, 2020 we amortized $442,894 into interest expense and repaid $1,071,996 to pay the debt off in full, which resulted in a gain on settlement of debt being recorded for $594,513. [3] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement. In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. During the six months ended September 30, 2020 we repaid $330,013, recorded a $5,934 gain on settlement of debt, and amortized $75,857 into interest expense [4] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 2, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. During the six months ended September 30, 2020, we amortized $59,916 into interest expense, and recorded additional interest expense on the note of $7,453 before we repaid the note in full for $262,649 and wrote off the derivative liability associated with the debt of $265,584 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $83,376. [5] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 10, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. During the six months ended September 30, 2020, we amortized $44,960 into interest expense and recorded additional interest expense on the note of $5,617 before we repaid the note in full for $197,351 and wrote off the derivative liability associated with the debt of $203,357 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $64,132. [6] In March 2020, we received a $150,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the six months ended September 30, 2020 we made repayments of $55,000 on the debt. [7] In April 2020, we received proceeds of $400,000 after entering into a promissory note that is due six months from the funding date. Under the note six interest only payments of $16,667 are to be made on the 20 th [8] In April 2020 we received $505,300 in proceeds from the Paycheck Protection Program as established by the CARES Act as a result of a Note entered into with the U.S. Small Business Administration. The note has an interest rate of 1% and matures on April 1, 2022. Under the Note we are required to make monthly payments beginning November 1, 2020, however, under the terms of the CARES Act the loan may be forgiven if funds are used for qualifying expenses. During the six months ended September 30, 2020 we recorded $2,298 worth of interest expense on the Note. [9] In April 2020 we received proceeds of $500,000 from a loan entered into with the U.S. Small Business Administration. Under the terms of the loan interest is to accrue at a rate of 3.75% per annum and installment payments of $2,437 monthly will begin twelve months from the date of the loan, with all interest and principal due and payable thirty years from the date of the loan. During the six months ended September 30, 2020 we recorded $8,322 worth of interest on the loan. [10] During the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified on our balance sheet from a related party payable to debt (see NOTE 5). | NOTE 7 – DEBT Our debt consisted of the following: Year Ended March 31, 2020 2019 Short-term advance received on 8/31/18 [1] $ 65,000 $ 75,000 Secured merchant agreement for future receivables entered into on 2/14/19 [2] - 641,687 Secured merchant agreement for future receivables entered into on 2/14/19 [3] - 468,790 Secured merchant agreements for future receivables entered into on 2/14/19 [4] - 597,060 Promissory note entered into on 1/16/19 [5] - 60,000 Secured merchant agreements for future receivables entered into on 3/28/19 [6] - 25,650 Convertible promissory note entered into on 1/11/19 [7] - 26,600 Convertible promissory note entered into on 2/6/19 [8] - 76,686 Convertible promissory note entered into on 3/14/19 [9] - 5,557 Secured merchant agreement for future receivables entered into on 8/16/19 and refinanced on 12/10/19 [10] 1,223,615 - Secured merchant agreement for future receivables entered into on 8/16/19 [11] 260,090 - Convertible promissory note entered into on 3/5/20 [12] 13,072 - Convertible promissory note entered into on 3/11/20 [13] 7,549 - $ 1,569,326 $ 1,977,030 [1] In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the year ended March 31, 2020 we made repayments of $10,000. [2] During September 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On September 28, 2018, we received proceeds from this arrangement of $570,000. In accordance with the terms of the agreement, we were required to repay $839,400 by making ACH payments in the amount of 10% of our daily cash receipts. Accordingly, we recorded $269,400 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $233,501 of amounts owed to a new agreement. However, prior to the terminating the September agreement, we made payments of $605,899 and amortized $269,400 into interest expense. During January 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On January 11, 2019, we received proceeds from this arrangement of $349,851. In accordance with the terms of the agreement, we were required to repay $489,650 by making daily ACH payments of $1,000 for the first 30 days following the date of the agreement and daily ACH payments of $2,999 thereafter. Accordingly, we recorded $139,799 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $449,657 of amounts owed to a new agreement. However, prior to the terminating the January agreement, we made payments of $39,993 and amortized $139,799 into interest expense. During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $73,801 after paying off $233,501 from a September 2018 agreement (see above) and $449,657 from a January 2019 agreement (see above). In accordance with the terms of the agreement, we were required to repay $909,350 by making daily ACH payments of $5,049. Accordingly, we recorded $152,391 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $141,372 and amortized $26,100 into interest expense. Effective August 16, 2019 this debt was refinanced and the outstanding balance of $316,093 was rolled into a new debt arrangement, see notation [10] below. During the year ended March 31, 2020, prior to the refinance, we repaid $451,886 and amortized $126,291 into interest expense. [3] During December 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On December 17, 2018, we received proceeds from this arrangement of $380,000. In accordance with the terms of the agreement, we were required to repay $559,600 by making daily ACH payments of $3,000. Accordingly, we recorded $179,600 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $421,600 of amounts owed to a new agreement. However, prior to the terminating the December agreement, we made payments of $138,000 and amortized $179,600 into interest expense. During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $126,932 after paying off $421,600 from a December 2018 agreement (see above). In accordance with the terms of the agreement, we are required to repay $840,000 by making daily ACH payments of $4,649. Accordingly, we recorded $291,468 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $129,388 and amortized $49,646 into interest expense. Effective August 16, 2019 this debt was refinanced and the outstanding balance of $297,033 was rolled into a new debt arrangement, see notation [10] below. During the year ended March 31, 2020, prior to the refinance, we repaid $413,580 and amortized $241,822 into interest expense. [4] During October 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. During October 2018, we received proceeds from this arrangement of $77,260. In accordance with the terms of the agreement, we were required to repay $699,500 by making daily ACH payments of $4,372. Accordingly, we recorded $224,500 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $327,880 of amounts owed to a new agreement. However, prior to the terminating the October agreement, we made payments of $371,620 and amortized $224,500 into interest expense. During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $126,932 after paying off $327,880 from an October 2018 agreement (see above). In accordance with the terms of the agreement, we were required to repay $629,550 by making daily ACH payments of $3,498. Accordingly, we recorded $224,410 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. Also during February 2019, we entered into a second Secured Merchant Agreement with this same entity, receiving proceeds of $288,000. In accordance with the terms of the agreement, we were required to repay $419,700 by making daily ACH payments of $2,332. Accordingly, we recorded $131,700 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $157,410 on these two agreements and amortized $61,330 into interest expense. Effective August 16, 2019 this debt was refinanced and the outstanding balance of $382,000 was rolled into a new debt arrangement, see notation [11] below. During the year ended March 31, 2020, prior to the refinance, we repaid $509,840 and amortized $294,780 into interest expense. [5] In January 2019, we received funds of $631,617 and repaid $511,617 in a series of transactions representing short-term advances. On January 16, 2019, we entered into a short-term promissory note for the resulting $120,000 owed as a result of the transactions. The note had a zero percent interest rate and was due within the shorter of three months or the receipt of cash from a $1 million financing arrangement. During the year ended March 31, 2020, we repaid $60,000 of the amount due under the note. [6] During March 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On March 29, 2019, we received proceeds from this arrangement of $28,500. In accordance with the terms of the agreement, we were required to repay $45,000 by making daily ACH payments of $4,500. Accordingly, we recorded $16,500 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $4,500 and amortized $1,650 into interest expense. During the year ended March 31, 2020, we repaid $40,500 and amortized $14,850 into interest expense. [7] In January 2019, we entered into a Convertible Promissory Note and received proceeds of $135,000 after incurring loan fees of $3,000. The note incurs interest at 12% per annum and has a maturity date of April 11, 2020. The Convertible Promissory Note has a variable conversion rate that is 65% of the lowest closing price during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $138,000 and captured loan fees, recorded as interest expense, of $450,005. During the year ended March 31, 2019, we recorded amortization of the debt discount of $23,152 into interest expense and recorded additional interest expense on the note of $3,448. During the year ended March 31, 2020, we amortized $114,848 into interest expense, recorded additional interest expense on the note of $40,977 (inclusive of a prepayment penalty), and paid off the note, accrued interest, and prepayment penalties for $182,425. [8] In February 2019, we entered into a Convertible Promissory Note and received proceeds of $240,000. The note was issued with a $30,000 original issue discount and loan fees of $3,000, incurred interest at 12% per annum, and had a maturity date of August 6, 2019. In accordance with the terms of the note, we issued 22,500,000 shares of common stock (the “Returnable Shares”) to the note holder as a commitment fee (see Note 10), provided, however, the Returnable Shares must be returned to us if the note is fully repaid and satisfied prior to the date which is 180 days following the issue date. The Convertible Promissory Note had a variable conversion rate that was 65% of the lowest trading price during the previous 20-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see Note 8). We allocated the proceeds of the note to the common stock issued and to the fair value of the note, taking into consideration the fair value of the conversion feature. As a result, the common stock was valued at $69,871, we recorded a debt discount of $270,000, and captured loan fees, recorded as interest expense, of $120,128. During the year ended March 31, 2019, we recorded amortization of the debt discount of $72,514 into interest expense and recorded additional interest expense on the note of $4,172. During the year ended March 31, 2020, we amortized $197,486 into interest expense, recorded additional interest expense on the note of $11,136, and paid off the note and accrued interest for $285,308. In accordance with the terms of the agreement the 22,500,000 Returnable Shares were returned and cancelled (see Note 10). [9] In March 2019, we entered into a Convertible Promissory Note and received proceeds of $135,000 after incurring loan fees of $3,000. The note incurred interest at 12% per annum and had a maturity date of June 14, 2020. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest closing prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $138,000 and captured loan fees, recorded as interest expense, of $64,492. During the year ended March 31, 2019, we recorded amortization of the debt discount of $4,831 into interest expense and recorded additional interest expense on the note of $726. During the year ended March 31, 2020, we amortized $133,168 into interest expense, recorded additional interest expense on the note of $43,983 (inclusive of a prepayment penalty), and paid off the note, accrued interest, and prepayment penalties for $182,708. [10] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 from a February 2018 agreement (see notation [2] above) and $297,033 from a second February 2019 agreement (see notation [3] above). In accordance with the terms of the agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. During the year ended March 31, 2020, prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 arrangement. [11] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement (see notation [4] above). In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. [12] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 2, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. [13] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 10, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. In addition to the above debt transactions that were outstanding as of March 31, 2020 and 2019, during the year ended March 31, 2020, we also received proceeds of $200,000 from two additional short-term notes ($100,000 each) and received proceeds of $140,000, $100,000, and $125,000 from three separate convertible promissory notes. During the year ended March 31, 2020, we recorded interest expense of $30,000 for fixed interest and extension fees on the short-term notes and made total cash payments of $230,000 to extinguish the interest and principal amounts due on the short-term notes. During the year ended March 31, 2020, we accounted for the conversion features in the convertible notes as a derivative instrument, therefore at inception recorded a debt discounts of $374,000 and captured loan fees, recorded as interest expense, of $945,060. By the time we repaid the convertible notes we had amortized the full debt discount of $374,000 into interest expense, recorded additional interest expense on the notes of $119,931 (inclusive of prepayment penalties), and paid off the notes, accrued interest, and prepayment penalties for $493,931. |
Derivative Liability
Derivative Liability | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Derivative Liability | NOTE 7 – DERIVATIVE LIABILITY During the six months ended September 30, 2020, we had the following activity in our derivative liability account: Debt Warrants Total Derivative liability at March 31, 2020 $ 793,495 $ - $ 793,495 Derivative liability recorded on new instruments - 6,499 6,499 Derivative liability reduced by debt settlement (see NOTE 6) (468,941 ) - (468,941 ) Change in fair value (324,554 ) (2,234 ) (326,788 ) Derivative liability at September 30, 2020 $ - $ 4,265 $ 4,265 We use the binomial option pricing model to estimate fair value for those instruments convertible into common stock, at inception, at conversion or settlement date, and at each reporting date. During the six months ended September 30, 2020, the assumptions used in our binomial option pricing model were in the following range: Debt Warrants Risk free interest rate 0.11 - 0.17% 0.21 - 0.28% Expected life in years 0.80 - 1.11 4.84 - 5.00 Expected volatility 128% - 239% 265% - 306% | NOTE 8 – DERIVATIVE LIABILITY During the years ended March 31, 2020 and 2019, we had the following activity in our derivative liability account: Derivative liability at March 31, 2018 $ - Derivative liability recorded on new instruments 1,144,525 Change in fair value 214,376 Derivative liability at March 31, 2019 1,358,901 Derivative liability recorded on new instruments 1,924,569 Derivative liability extinguished with notes settled (1,918,744 ) Change in fair value (571,231 ) Derivative liability at March 31, 2020 $ 793,495 We use the binomial option pricing model to estimate fair value for those instruments convertible into common stock, at inception, at conversion or settlement date, and at each reporting date. During the year ended March 31, 2020 and 2019, the assumptions used in our binomial option pricing model were in the following range: Year Ended March 31, 2020 2019 Risk free interest rate 0.17% - 2.13 % 2.40% - 2.58 % Expected life in years 0.03 - 1.25 0.35 - 1.25 Expected volatility 224% - 381 % 222% - 268 % |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Equity [Abstract] | ||
Stockholders' Equity (Deficit) | NOTE 8 – STOCKHOLDERS’ EQUITY (DEFICIT) Preferred Stock We are authorized to issue up to 50,000,000 shares of preferred stock with a par value of $0.001 and our board of directors has the authority to issue one or more classes of preferred stock with rights senior to those of common stock and to determine the rights, privileges, and preferences of that preferred stock. As of March 31, 2020, we had no preferred stock issued or outstanding. During the year ended March 31, 2020 our Board of Directors approved the designation of 2,000,000 of the Company’s shares of preferred stock as Series B Cumulative Redeemable Perpetual Preferred Stock (“Series B Preferred Stock”), each with a stated value of $25 per share. Our Series B Preferred Stock holders are entitled to 500 votes per share, are entitled to receive cumulative dividends at the annual rate of 13% per annum of the stated value, equal to $3.25 per annum per share. During the six months ended September 30, 2020 we commenced a security offering to sell a total of 2,000,000 units at $25 per unit (“Unit Offering”), such that each unit consisted of: (i) one share of our newly authorized Series B Preferred Stock and (ii) five warrants each exercisable to purchase one share of common stock at an exercise price of $0.10 per warrant share. Each Warrant offered is immediately exercisable on the date of issuance, will expire 5 years from the date of issuance, and its value has been classified as a fair value liability due to the terms of the instrument (see NOTE 7). During the six months ended September 30, 2020 we sold 46,612 units for gross proceeds of $1,165,300, therefore recorded the issuance of 46,612 shares of Series B Preferred Stock and the grant of 233,060 warrants during the period. Of the gross proceeds, $6,499 was allocated to the warrants and recorded as a derivative liability and $1,158,801 was allocated to the preferred stock ($47 recorded as the par value and $1,158,754 allocated to additional paid in capital). Also in conjunction with the Unit Offering we paid $21,000 of offering costs which was allocated between the preferred stock and warrants. The $20,994 allocated to the preferred stock decreased additional paid in capital due to the underlying instrument being classified as equity and the $6 allocated to the warrants was immediately expensed as offering costs due to the underlying instrument being classified as a fair value liability. Preferred Stock Dividends During the six months ended September 30, 2020 we recorded $52,342 for the cumulative cash dividends due to the shareholders of our Series B Preferred Stock and paid $14,567 of these amounts owing. As a result we recorded $37,775 as a dividend liability on our balance sheet as of September 30, 2020. Common Stock During the six months ended September 30, 2020, we issued 21,000,000 shares of common stock, valued at $399,000 based on the market value on the day of issuance, for services and compensation, which is subject to forfeiture if the employee or contractor is not in good standing at the time the shares are fully vested. Of the $399,000 value we recognized $128,497 as an expense during the six months ending September 30, 2020 and the remaining $270,503 will be recognized ratably over the vesting term. In addition, during the six months ended September 30, 2020, we recognized $666,738 as expense due to the vesting of shares of common stock previously issued. During the six months ended September 30, 2020, we repurchased 9,079 shares of our common stock from a third party for $272 and repurchased 106,000,000 shares of our common stock from former members of our senior management team and founders for $120,000, all of which was recorded in Accounts Payable on our balance sheet at September 30, 2020. These shares repurchased were immediately canceled. Also, during the six months ended September 30, 2020 we recorded an increase in Additional Paid in Capital of $2,000,000 related to beneficial conversion features on our related party debt (see NOTE 5) and recorded an increase in Additional Paid in Capital of $373,832 for accrued payroll forgiven by a member of our senior management team at the time his employment with the Company ended. During the six months ended September 30, 2020 we cancelled 200,000,000 shares returned in conjunction with the termination of a Joint Venture Agreement entered into in March of 2019, reducing common stock by $200,000, reducing additional paid in capital by $3,180,000, offset with a reduction in our prepaid asset of $2,428,044 and a reversal of previously recorded expense of $951,956. As of September 30, 2020, and March 31, 2020, we had 2,929,481,329 and 3,214,490,408 shares of common stock issued and outstanding, respectively. Warrants During the six months ended September 30, 2020 we granted 233,060 warrants in conjunction with our Unit Offering. The warrants are classified as a derivative liability on our balance sheet in accordance with ASC 480, Distinguishing Liabilities from Equity, based on the warrants terms that indicate a fundamental transaction could give rise to an obligation for us to pay cash to our warrant holders (see NOTE 7). Details of our warrants outstanding as of September 30, 2020 is as follows: Exercise Price Warrants Outstanding Warrants Exercisable Weighted Average Contractual Life (Years) $ 0.10 233,060 233,060 4.79 | NOTE 10 – STOCKHOLDERS’ EQUITY Preferred Stock We are authorized to issue up to 50,000,000 shares of preferred stock with a par value of $0.001 and our board of directors has the authority to issue one or more classes of preferred stock with rights senior to those of common stock and to determine the rights, privileges, and preferences of that preferred stock. During the year ended March 31, 2020 our Board of Directors approved the designation of 2,000,000 of the Company’s shares of preferred stock as Series B Convertible Preferred Stock. Our Series B Convertible Preferred Stock holders are entitled to 500 votes per share, are entitled to receive cumulative dividends at the annual rate of 12% per annum of the liquidation price, equal to $1.20 per share, and can convert one Series B Preferred Stock share into 500 shares of our common stock. As of March 31, 2020 and 2019, we had no preferred stock issued or outstanding. Common Stock Transactions During the year ended March 31, 2020, we issued 59,215,648 shares of common stock in exchange for net proceeds of $825,000. Effective March 31, 2020 we entered into a settlement agreement to issue 200,000,000 shares of our common stock to repay a $3,600,000 convertible promissory note and $500,000 worth of short-term advances, for a total of $4,100,000 worth of related party debt settled (see Note 6). During the year ended March 31, 2020 we issued 522,000,000 shares of common stock, valued at $4,561,500 based on the market value on the day of issuance, to multiple employees for services and compensation, which is subject to forfeiture if the employee is not in good standing at the time the shares are fully vested, or in some cases, if certain milestones are not met. Of the $4,561,500 value we recognized $2,836,843 as an expense during the year ending March 31, 2020 and the remaining $1,724,657 will be recognized rateably over the vesting term. In addition to the shares issued to employees, we also issued an additional 15,618,592 shares of common stock, valued at $261,800 based on the market value on the day of issuance, for services. During the year ended March 31, 2020 we repurchased 5,150 shares of common stock for $102 and we cancelled 22,500,000 shares that were returned in accordance with the terms of a Convertible Promissory Note (see Note 6), reducing common stock by $22,500 and increasing additional paid in capital by the same. We also cancelled 200,000,000 shares returned in conjunction with the termination of a Joint Venture Agreement entered into in March of 2019, reducing common stock by $200,000, reducing additional paid in capital by $3,180,000, offset with a reduction in our prepaid asset of $3,380,000. During the year ended March 31, 2020 we recorded a beneficial conversion feature of $1,000,000 related to a convertible promissory note entered into with a related party (see Note 6). In conjunction with the sale of common stock during the year ended March 31, 2018, we provided a guarantee to certain individuals such that we would issue additional shares of our common stock if the average closing price of our common stock fell below $0.02 per share on the 20 days preceding the 18-month anniversary of the date the shares were originally sold. As a result of this guarantee, we had recorded $626,388 in accounts payable and accrued liabilities on our balance sheet as of March 31, 2018. During the year ended March 31, 2019, the 18-month anniversary passed without the common stock falling below the set threshold, therefore, we were released from the guarantee, and we increased additional paid-in capital by $525,000 to remove the previously recorded offering costs. During the year ended March 31, 2020, the 18-month anniversary passed without the common stock falling below the set threshold, therefore, we were released from the guarantee, and we increased additional paid-in capital by $101,387 to remove the previously recorded offering costs. During the year ended March 31, 2019, we issued 50,000,000 shares of common stock for the acquisition of United Games, LLC and United League, LLC (see Note 5). We also issued 1,000,000 shares of common stock in August and 1,000,000 shares of common stock in March, valued at $10,000 and $17,600, respectively, based on the market price on the day of issuance, to an employee for compensation. The shares are subject to forfeiture if the employee is not in good standing six months after the date of issuance. During the year ended March 31, 2019, the $10,000 was recognized as expense and of the $17,600 we recognized $2,933 as an expense and $14,667 was recorded as a prepaid asset. Also during the year ended March 31, 2019, we issued 400,000,000 shares of common stock with a value of $6,760,000 based on the market price on the date of issuance, for an agreement to partner with a third party to generate future revenues. The 400,000,000 shares are subject to forfeiture for five years from the date of issuance, such that shares will be deemed earned upon meeting certain milestones. We are recognizing the expense rateably over the five-year term and recorded $96,307 in expense during the year ended March 31, 2019, while recording $6,663,693 as a prepaid asset as of March 31, 2019. During the year ended March 31, 2019, we entered into a common stock purchase agreement that provides cash of $1,000,000 in exchange for shares of our common stock. In conjunction with that agreement, we issued 3,000,000 shares of common stock that was accounted for as offering costs, increasing common stock by $3,000 and decreasing additional paid-in capital by $3,000, to offset any proceeds from the future equity transactions resulting from the agreement. During the year ended March 31, 2019, we issued 22,500,000 shares as a commitment fee in conjunction with a debt arrangement, whereby the shares were valued at $69,871 based on the allocation of debt proceeds (see Note 7). Also during the year ended March 31, 2019, we repurchased 7,000,000 shares of common stock for $91,000. As of March 31, 2020 and 2019, we had 3,214,490,408 and 2,640,161,318 shares of common stock issued and outstanding, respectively. Employee Stock Options The nonqualified plan adopted in 2007 authorizes 65,000 shares, of which 47,500 have been granted as of March 31, 2020. The qualified plan adopted in October of 2008 authorizes 125,000 shares and was approved by a majority of our shareholders on September 16, 2009. As of March 31, 2020, 42,500 shares have been granted under the 2008 plan. During the year ended March 31, 2020 all previously outstanding options expired and no new options were granted. The following table summarizes the changes in employee stock options outstanding and the related prices for the shares of our common stock issued to employees under two employee stock option plans: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Shares Price Life (years) Value Options outstanding at March 31, 2018 35,000 $ 10.00 1.51 $ - Granted - $ - Exercised - $ - Cancelled / expired - $ - Options outstanding at March 31, 2019 35,000 $ 10.00 0.51 $ - Granted - $ - Exercised - $ - Cancelled / expired (35,000 ) $ 10.00 Options outstanding at March 31, 2020 - $ - - $ - Options exercisable at March 31, 2020 - $ - - $ - Stock-based compensation expense in connection with options granted to employees for the year ended March 31, 2020 and 2019, was $0. Warrants During the year ended March 31, 2020 all previously outstanding warrants expired and no new warrants were granted. Transactions involving our warrants are summarized as follows: Weighted Number of Average Shares Exercise Price Warrants outstanding at March 31, 2018 6,169,497 $ 1.50 Granted / restated - $ - Cancelled - $ - Expired (1,117,000 ) $ (1.48 ) Warrants outstanding at March 31, 2019 5,052,497 $ 1.50 Granted - $ - Cancelled - $ - Expired (5,052,497 ) $ (1.50 ) Warrants outstanding at March 31, 2020 - $ - |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments and Contingencies | NOTE 9 – COMMITMENTS AND CONTINGENCIES Litigation In the ordinary course of business, we may be, or have been, involved in legal proceedings from time to time. During the six months ended September 30, 2020 we were not involved in any material legal proceedings. | NOTE 11 – COMMITMENTS AND CONTINGENCIES Litigation In the ordinary course of business, we may be or have been involved in legal proceedings from time to time. Below is a description of all legal proceedings we were involved in during the year ended March 31, 2020 and 2019: ● In February 2018, we received a subpoena from the United States Commodity Futures Trading Commission (“CFTC”). We complied with the terms of the subpoena, negotiated a resolution of this matter with the CFTC staff, and a final order was issued on September 14, 2018. Under the order, we did not admit or deny any of the allegations, agreed to pay a fine of $150,000, and agreed not to act as an unregistered Commodities Trading Advisor in the future. As of March 31, 2020, we have paid all amounts owed to CFTC and no unpaid balance remains. ● In April of 2019, we received a Summons and Complaint from Fibernet Corp making claims of unpaid invoices and breach of contracts entered into in February 2012 and January 2015 as RazorData Corp. Without admitting fault or liability, in June of 2019, we entered into an agreement with Fibernet Corp to settle all claims and release us from any future claims in exchange for a payment of $35,160 to avoid ongoing litigation related to this matter. |
Operating Lease
Operating Lease | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Leases [Abstract] | ||
Operating Lease | NOTE 10 – OPERATING LEASE In February 2016, the FASB issued ASU No. 2016-02, Leases In August 2019 we entered an operating lease for office space in Eatontown, New Jersey (the “Eatontown Lease”) and in September 2019 we entered an operating lease for office space in Kaysville, Utah (the “Kaysville Lease”). We have the option to extend the three-year lease term of the Eatontown Lease for a period of one year. In addition, we are obligated to pay twelve monthly installments to cover an annual utility charge of $1.75 per rentable square foot for electric usage within the demised premises. As the lessor has the right to digitally meter and charge us accordingly, these payments were deemed variable and will be expensed as incurred. During the three and six months ended September 30, 2020 the variable lease costs amounted to $831 and $1,662, respectively. At commencement of the Eatontown Lease, right-of-use assets obtained in exchange for new operating lease liabilities amounted to $110,097. At commencement of the Kaysville Lease, right-of-use assets obtained in exchange for new operating lease liabilities amounted to $21,147. As of October 1, 2020, the Company began leasing the property located in Kaysville on a month to month basis. Operating lease expense was $16,397 and $32,794 for the three and six months ended September 30, 2020. Operating cash flows used for the operating leases during the three and six months ended September 30, 2020 were $16,897 and $32,794. As of September 30, 2020, the weighted average remaining lease term was 1.83 years and the weighted average discount rate was 12%. Future minimum lease payments under non-cancellable leases as of September 30, 2019 were as follows: Remainder of 2021 $ 24,000 2022 48,000 2023 16,000 Total 88,000 Less: Interest (8,572 ) Present value of lease liability 79,428 Operating lease liability, current [1] (48,000 ) Operating lease liability, long term $ 31,428 [1] Represents lease payments to be made in the next 12 months | NOTE 9 – OPERATING LEASE In February 2016, the FASB issued ASU No. 2016-02, Leases During the year ended March 31, 2020 we entered two operating leases for office space in Eatontown, New Jersey (the “Eatontown Lease”) and Kaysville, Utah (the “Kaysville Lease”). We have the option to extend the three-year lease term of the Eatontown Lease for a period of one year. In addition, we are obligated to pay twelve monthly instalments to cover an annual utility charge of $1.75 per rentable square foot for electric usage within the demised premises. As the lessor has the right to digitally meter and charge us, these payments were deemed variable and will be expensed as incurred. During the year ended March 31, 2020 the variable lease costs amounted to $2,217. At commencement of the Eatontown Lease, right-of-use assets obtained in exchange for new operating lease liabilities amounted to $110,097. We have the option to extend the twelve-and-a-half-month lease term of the Kaysville Lease for a period of one year. At commencement of the Kaysville Lease, right-of-use assets obtained in exchange for new operating lease liabilities amounted to $21,147. Operating lease expense was $41,027 for the year ended March 31, 2020. Operating cash flows used for the operating leases during the year ended March 31, 2020 was $33,694. As of March 31, 2020, the weighted average remaining lease term was 2.15 years and the weighted average discount rate was 12%. Future minimum lease payments under non-cancellable leases as of March 31, 2020 were as follows: 2021 $ 56,794 2022 48,000 2023 16,000 Total 120,794 Less: Interest (13,996 ) Present value of lease liability 106,798 Operating lease liability, current [1] (56,530 ) Operating lease liability, long term $ 50,268 [1] Represents lease payments to be made in the next 12 months |
Income Taxes
Income Taxes | 12 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 12 – INCOME TAXES Deferred taxes are provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carry forwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Company used an effective tax rate of 30% when calculating the deferred tax assets and liabilities and income tax provision below. Net deferred tax assets consist of the following components as of March 31, 2020 and 2019: 2020 2019 Deferred tax assets: NOL carryover $ 7,215,400 $ 2,363,900 Accrued Payroll 207,100 209,100 Amortization 275,700 49,100 Related party accruals 10,000 1,500 Deferred tax liabilities Depreciation (899,300 ) (1,200 ) Valuation allowance (6,808,900 ) (2,622,400 ) Total long-term deferred income tax assets $ - $ - The income tax provision differs from the amount of income tax determined by applying the U.S. federal income tax rate to pre-tax income from continuing operations for the years ended March 31, 2020 and 2019, due to the following: 2020 2019 Book income (loss) $ (6,385,600 ) $ (1,493,400 ) Stock for services 929,600 32,800 Amortization 38,400 (33,100 ) Contingent liability - (45,000 ) Unrealized gain on cryptocurrency (34,000 ) (31,900 ) Meals and entertainment 15,900 12,400 Non-cash interest expense 765,700 315,800 Depreciation (821,700 ) (7,200 ) Related party accruals 8,500 1,500 ) Related party accrued payroll (2,000 ) 174,600 Gain on deconsolidation of WG LATAM (16,100 ) - Gain on bargain purchase - (291,400 ) (Gain)/Loss on value of derivative liabilities (171,400 ) 64,300 Stock issued for loan fees - 21,000 Impairment of prepaid paid for with equity 549,700 - Amortization of prepaid paid for with equity 248,600 45,100 Valuation allowance 4,874,400 1,234,500 Total long-term deferred income tax assets $ - $ - At March 31, 2020, we had net operating loss carry forwards of approximately $24,051,000 that may be offset against future taxable income for the year 2021 through 2040. However, due to the change in ownership provisions of the Tax Reform Act of 1986, the NOL accumulated prior to the April 1, 2017, acquisition can only offset future income of up to $13,837 per year until expired. Should additional changes in ownership occur, net operating loss carry forwards in future years may be further limited. No tax benefit from continuing or discontinued operations have been reported in the March 31, 2020, consolidated financial statements since the potential tax benefit is offset by a valuation allowance of the same amount. We comply with the provisions of FASB ASC 740 in accounting for our uncertain tax positions. ASC 740 addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded in the financial statements. Under ASC 740, we may recognize the tax benefit from an uncertain tax position only if it is more likely that not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. We have determined that we have no significant uncertain tax positions requiring recognition under ASC 740. We recognize interest accrued related to unrecognized tax benefits in interest expense and penalties in operating expenses. We had no accruals for interest and tax penalties at March 31, 2020 and 2019. We do not expect the amount of unrecognized tax benefits to materially change within the next 12 months. We are required to file income tax returns in the U.S. Federal jurisdiction, in New York State, New Jersey, and in Utah. We are no longer subject to income tax examinations by tax authorities for tax years ending before March 31, 2016. During the year ended March 31, 2020 and 2019 we paid income taxes of $7,383 and $70,768, respectively. |
Subsequent Events
Subsequent Events | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Subsequent Events [Abstract] | ||
Subsequent Events | NOTE 11 – SUBSEQUENT EVENTS Subsequent to September 30, 2020, we paid $7,601 of dividends that were accrued as of September 30, 2020. Also, subsequent to September 30, 2020, we received gross proceeds of $93,300 in connection with our Unit Offering. In accordance with ASC Topic 855, Subsequent Events, we have evaluated subsequent events through the date of this filing and have determined that there are no additional subsequent events that require disclosure. | NOTE 13 – SUBSEQUENT EVENTS Subsequent to March 31, 2020, we received proceeds of $2,091,135 in short-term advances from related parties, $2,000,000 from a short-term promissory note with a related party, and $400,000 from a short-term promissory note with a non-related party. Additionally, we received $505,300 in proceeds from the Paycheck Protection Program as established by the CARES Act, along with an additional $500,000 in proceeds from a loan with the U.S. Small Business Administration. Subsequent to March 31, 2020, we repurchased 9,079 shares of our common stock from a third party. These shares were immediately cancelled. Also subsequent to March 31, 2020 we issued 21,000,000 shares of our common stock for services and compensation. In accordance with ASC Topic 855, Subsequent Events, we have evaluated subsequent events through the date of this filing and have determined that there are no additional subsequent events that require disclosure. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Accounting Policies [Abstract] | ||
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the rules and regulations (Regulation S-X) of the Securities and Exchange Commission (the “SEC”) and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The results of operations for the six months ended September 30, 2020, are not necessarily indicative of the operating results that may be expected for the year ending March 31, 2021. These unaudited condensed consolidated financial statements should be read in conjunction with the March 31, 2020 consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended March 31, 2020. | Basis of Accounting Our policy is to prepare our financial statements on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Investview, Inc., and our wholly owned subsidiaries, Kuvera, LLC, Investment Tools & Training, LLC, Apex Tek, LLC (formerly Razor Data, LLC), S.A.F.E. Management, LLC, SafeTek, LLC (formerly WealthGen Global, LLC), United Games, LLC, United League, LLC, and Kuvera France S.A.S. Through March 31, 2019 we had determined that one affiliated entity, Kuvera LATAM S.A.S., which we previously conducted business with, was a variable interest entity and we were the primary beneficiary of the entity’s activities, which are similar to those of Kuvera, LLC. As a result, through March 31, 2019 we had consolidated the accounts of this variable interest entity into the consolidated financial statements. Further, because the Company did not have any ownership interest in this variable interest entity, the Company had allocated the contributed capital in the variable interest entity as a component of noncontrolling interest. As of April 1, 2019 Kuvera LATAM S.A.S. had no operations and ceased to exist, therefore, as of that date, no consolidation of the entity was necessary and we recorded a gain on deconsolidation of $53,739 to eliminate the intercompany account with Kuvera LATAM S.A.S. All intercompany transactions and balances have been eliminated in consolidation. | Principles of Consolidation The consolidated financial statements include the accounts of Investview, Inc., and our wholly owned subsidiaries, Kuvera, LLC, Investment Tools & Training, LLC, Apex Tek, LLC (formerly Razor Data, LLC), S.A.F.E. Management, LLC, SAFETek, LLC (formerly WealthGen Global, LLC), United Games, LLC, United League, LLC, and Kuvera France S.A.S. Through March 31, 2019 we had determined that one affiliated entity, Kuvera LATAM S.A.S., which we previously conducted business with, was a variable interest entity and we were the primary beneficiary of the entity’s activities, which are similar to those of Kuvera, LLC. As a result, through March 31, 2019 we had consolidated the accounts of this variable interest entity into the accompanying consolidated financial statements. Further, because the Company did not have any ownership interest in this variable interest entity, the Company had allocated the contributed capital in the variable interest entity as a component of noncontrolling interest. As of April 1, 2019 Kuvera LATAM S.A.S. had no operations and ceased to exist, therefore, as of that date, no consolidation of the entity is necessary and we recorded a gain on deconsolidation of $53,739 to eliminate the intercompany account with Kuvera LATAM S.A.S. All intercompany transactions and balances have been eliminated in consolidation. |
Financial Statement Reclassification | Financial Statement Reclassification Certain account balances from prior periods have been reclassified in these consolidated financial statements to conform to current period classifications. | Financial Statement Reclassification Certain account balances from prior periods have been reclassified in these consolidated financial statements to conform to current period classifications. |
Use of Estimates | Use of Estimates The preparation of these unaudited condensed consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. | Use of Estimates The preparation of these financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Foreign Exchange | Foreign Exchange We have consolidated the accounts of Kuvera France S.A.S. into our consolidated financial statements. The operations of Kuvera France S.A.S. are conducted in France and its functional currency is the Euro. The financial statements of Kuvera France S.A.S. are prepared using their functional currency and have been translated into U.S. dollars (“USD”). Assets and liabilities are translated into USD at the applicable exchange rates at period-end. Stockholders’ equity is translated using historical exchange rates. Revenue and expenses are translated at the average exchange rates for the period. Any translation adjustments are included as foreign currency translation adjustments in accumulated other comprehensive income in our stockholders’ equity (deficit). The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD at the following balance sheet dates. September 30, 2020 March 31, 2020 Euro to USD 1.17300 1.10314 The following rates were used to translate the accounts of Kuvera France S.A.S. into USD for the following operating periods. Six Months Ended September 30, 2020 2019 Euro to USD 1.135711 1.11795 | Foreign Exchange We have consolidated the accounts of Kuvera France S.A.S. into our consolidated financial statements and have consolidated the accounts of Kuvera LATAM S.A.S. through March 31, 2019. The operations of Kuvera France S.A.S. are conducted in France and its functional currency is the Euro. The operations of Kuvera LATAM S.A.S. were conducted in Colombia and its functional currency is the Colombian Peso. The financial statements of Kuvera France S.A.S. and Kuvera LATAM S.A.S. are prepared using their respective functional currency and have been translated into U.S. dollars (“USD”). Assets and liabilities are translated into USD at the applicable exchange rates at period-end. Stockholders’ equity is translated using historical exchange rates. Revenue and expenses are translated at the average exchange rates for the period. Any translation adjustments are included as foreign currency translation adjustments in accumulated other comprehensive income in our stockholders’ equity (deficit). The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD at the following balance sheet dates. March 31, 2020 March 31, 2019 Euro to USD 1.10314 1.12200 Colombian Peso to USD n/a 0.00031 The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD for the following operating periods: Year ended March 31, 2020 2019 Euro to USD 1.11122 1.13580 Colombian Peso to USD n/a 0.00033 |
Restricted Cash | Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the balance sheet that sum to the total of the same such amounts shown in the statement of cash flows. September 30, 2020 March 31, 2020 Cash and cash equivalents $ 583,955 $ 137,177 Restricted cash, current 151,489 - Restricted cash, long term 288,411 - Total cash, cash equivalents, and restricted cash shown on the statement of cash flows $ 1,023,855 $ 137,177 Amount included in restricted cash represent funds required to be held in an escrow account by a contractual agreement and will be used for paying dividends to our Series B Preferred Stock holders. | |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially expose us to concentration of credit risk include cash, accounts receivable, and advances. We place our cash and temporary cash investments with credit quality institutions. At times, such investments may be in excess of the FDIC insurance limit of $250,000. As of March 31, 2020 and 2019, cash balances that exceeded FDIC limits were $0, and we have not experienced significant losses relating to these concentrations in the past. | |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of reporting cash flows, we consider all highly liquid debt instruments purchased with a maturity of three months or less to be cash equivalents. As of March 31, 2020 and 2019, we had no cash equivalents. | |
Receivables | Receivables Receivables are carried at net realizable value, representing the outstanding balance less an allowance for doubtful accounts based on a review of all outstanding amounts. Management determines the allowance for doubtful accounts by regularly evaluating individual receivables and receivables are written off when deemed uncollectible. Recoveries of receivables previously written off are recorded when received. We had no allowance for doubtful accounts as of March 31, 2020 and 2019. | |
Cryptocurrencies | Cryptocurrencies We hold cryptocurrency-denominated assets (“cryptocurrencies”) and include them in our consolidated balance sheet as other current assets. We record cryptocurrencies at fair market value and recognize the change in the fair value of our cryptocurrencies as an unrealized gain or loss in the consolidated statement of operations. As of September 30, 2020, and March 31, 2020, the fair value of our cryptocurrencies was $155,628 and $96,022, respectively. During the six months ended September 30, 2020 we recorded $1,096 and $176,817 as a total realized and unrealized gain (loss) on cryptocurrency, respectively. During the six months ended September 30, 2019 we recorded $(667) and $25,330 as a total realized and unrealized gain (loss) on cryptocurrency, respectively. During the three months ended September 30, 2020, we recorded $1,096 and $85,331 as a total realized and unrealized gain (loss) on cryptocurrency, respectively. During the three months ended September 30, 2019 we recorded $(1,077) and $(122,080) as a total realized and unrealized gain (loss) on cryptocurrency, respectively. | Cryptocurrencies We hold cryptocurrency-denominated assets (“cryptocurrencies”) and include them in our consolidated balance sheet as other current assets. We record cryptocurrencies at fair market value and recognize the change in the fair value of our cryptocurrencies as an unrealized gain or loss in the consolidated statement of operations. As of March 31, 2020 and March 31, 2019, the fair value of our cryptocurrencies was $101,610 and $142,061, respectively. During the year ended March 31, 2020, we recorded $(815) and $113,369 as realized and unrealized gain (loss) on cryptocurrency, respectively. During the year ended March 31, 2019, we recorded $16,241 and $106,488 as realized and unrealized gain (loss) on cryptocurrency, respectively. |
Fixed Assets | Fixed Assets Fixed assets are stated at cost and depreciated using the straight-line method over their estimated useful lives. When retired or otherwise disposed, the carrying value and accumulated depreciation of the fixed asset is removed from its respective accounts and the net difference less any amount realized from disposition is reflected in earnings. Expenditures for maintenance and repairs which do not extend the useful lives of the related assets are expensed as incurred. As of September 30, 2020, fixed assets were made up of the following: Estimated Useful Life (years) Value Furniture, fixtures, and equipment 10 $ 12,792 Computer equipment 3 21,143 Data processing equipment 3 7,095,515 7,129,450 Accumulated depreciation as of September 30, 2020 (1,211,446 ) Net book value, September 30, 2020 $ 5,918,004 Total depreciation expense for the six months ended September 30, 2020 and 2019, was $982,819 and $36,007, respectively. | Fixed Assets Fixed assets are stated at cost and depreciated using the straight-line method over their estimated useful lives. When retired or otherwise disposed, the carrying value and accumulated depreciation of the fixed asset is removed from its respective accounts and the net difference less any amount realized from disposition, is reflected in earnings. Expenditures for maintenance and repairs which do not extend the useful lives of the related assets are expensed as incurred. As of March 31, 2020 and 2019 fixed assets were made up of the following: Estimated Useful Life March 31, March 31, (years) 2020 2019 Furniture, fixtures, and equipment 10 $ 12,792 $ 11,372 Computer equipment 3 19,533 14,661 Data processing equipment 3 3,213,815 - 3,246,140 26,033 Accumulated amortization (248,529 ) (12,505 ) Net book value $ 2,997,611 $ 13,528 Total depreciation expense for the years ended March 31, 2020 and 2019, was $490,642 and $5,332, respectively. |
Long-Lived Assets - Intangible Assets & License Agreement | Long-Lived Assets – Intangible Assets & License Agreement We account for our intangible assets and long-term license agreement in accordance with ASC Subtopic 350-30, General Intangibles Other Than Goodwill, and ASC Subtopic 360-10-05, Accounting for the Impairment or Disposal of Long-Lived Assets. ASC Subtopic 350-30 requires assets to be measured based on the fair value of the consideration given or the fair value of the assets (or net assets) acquired, whichever is more clearly evident and, thus, more reliably measurable. Further, ASC Subtopic 350-30 requires an intangible asset to be amortized over its useful life and for the useful life to be evaluated every reporting period to determine whether events or circumstances warrant a revision to the remaining period of amortization. If the estimate of useful life is changed the remaining carrying amount of the intangible asset is amortized prospectively over the revised remaining useful life. Costs of internally developing, maintaining, or restoring intangible assets are recognized as an expense when incurred. In June of 2017 we issued 80,000,000 shares of common stock with a value of $2,256,000 for a 15-year license agreement. Amortization recognized for the six months ended September 30, 2020 and 2019 was $0 and $75,406, respectively, and the long-term license agreement was recorded at a net value of $0 as of September 30, 2020 and March 31, 2020 due to the asset being impaired as of March 31, 2020. In June of 2018 we purchased United Games, LLC and United League, LLC and recorded the transaction as a business combination. Intangible assets acquired in the business combination were recorded at fair value on the date of acquisition and are being amortized on a straight-line method over their estimated useful lives. During the nine months ended December 31, 2019 we impaired the value of the customer contracts/relationships originally acquired. Estimated Useful Life (years) Value FireFan mobile application 4 $ 331,000 Back office software 10 408,000 Tradename/trademark - FireFan 5 248,000 Tradename/trademark - United Games 0.45 4,000 Customer contracts/relationships n/a - 991,000 Accumulated amortization as of December 31, 2019 (254,949 ) Net book value, December 31, 2019 $ 736,051 In June of 2018 we purchased United Games, LLC and United League, LLC and recorded the transaction as a business combination. Intangible assets acquired in the business combination were recorded at fair value on the date of acquisition and are being amortized on a straight-line method over their estimated useful lives. As of September 30, 2020 intangible assets were made up of the following: Estimated Useful Life (years) Value FireFan mobile application 4 $ 331,000 Back office software 10 408,000 Tradename/trademark - FireFan 5 248,000 Tradename/trademark - United Games 0.45 4,000 991,000 Accumulated amortization as of September 30, 2020 (384,930 ) Net book value, September 30, 2020 $ 606,070 Amortization expense for the six months ended September 30, 2020 and 2019 was $86,812 and $169,539, respectively. Amortization expense is expected to be as follows: Remainder of 2021 $ 86,338 Fiscal year ending March 31, 2022 173,150 Fiscal year ending March 31, 2023 173,150 Fiscal year ending March 31, 2024 32,589 Fiscal year ending March 31, 2025 6,148 Fiscal year ending March 31, 2026 and beyond 134,695 $ 606,070 | Long-Lived Assets – Intangible Assets & License Agreement We account for our intangible assets and long-term license agreement in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Subtopic 350-30, General Intangibles Other Than Goodwill, and ASC Subtopic 360-10-05, Accounting for the Impairment or Disposal of Long-Lived Assets. ASC Subtopic 350-30 requires assets to be measured based on the fair value of the consideration given or the fair value of the assets (or net assets) acquired, whichever is more clearly evident and, thus, more reliably measurable. Further, ASC Subtopic 350-30 requires an intangible asset to be amortized over its useful life and for the useful life to be evaluated every reporting period to determine whether events or circumstances warrant a revision to the remaining period of amortization. If the estimate of useful life is changed the remaining carrying amount of the intangible asset is amortized prospectively over the revised remaining useful life. Costs of internally developing, maintaining, or restoring intangible assets are recognized as an expense when incurred. In June of 2017 we issued 80,000,000 shares of common stock with a value of $2,256,000 for a 15-year license agreement. Annual amortization over the 15-year life is expected to be approximately $150,400 per year. Amortization recognized for the year ended March 31, 2020 and 2019, was $150,812 and $150,400, respectively, and the long-term license agreement was recorded at a net value of $0 and $1,983,220 as of March 31, 2020 and 2019, respectively. In June of 2018 we purchased United Games, LLC and United League, LLC and recorded the transaction as a business combination (see Note 5). Intangible assets acquired in the business combination were recorded at fair value on the date of acquisition and are being amortized on a straight-line method over their estimated useful lives. As of March 31, 2020 and 2019 intangible assets were made up of the following: Estimated Useful Life March 31, March 31, (years) 2020 2019 FireFan mobile application 4 $ 331,000 $ 331,000 Back office software 10 408,000 408,000 Tradename/trademark - FireFan 5 248,000 248,000 Tradename/trademark - United Games 0.45 4,000 4,000 Customer contracts/relationships 5 - 825,000 991,000 1,816,000 Accumulated amortization (298,118 ) (239,315 ) Net book value $ 692,882 $ 1,576,685 Amortization expense is expected to be as follows: Fiscal year ending March 31, 2021 $ 173,150 Fiscal year ending March 31, 2022 173,150 Fiscal year ending March 31, 2023 115,338 Fiscal year ending March 31, 2024 55,748 Fiscal year ending March 31, 2025 and beyond 175,496 $ 692,882 |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets We have adopted ASC Subtopic 360-10, Property, Plant and Equipment (“ASC 360-10”). ASC 360-10 requires that long-lived assets and certain identifiable intangibles held and used by the Company be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable or when the historical cost carrying value of an asset may no longer be appropriate. Events relating to recoverability may include significant unfavorable changes in business conditions, recurring losses, or a forecasted inability to achieve break-even operating results over an extended period. We evaluate the recoverability of long-lived assets based upon future net cash flows expected to result from the asset, including eventual disposition. Should impairment in value be indicated, the carrying value of intangible assets will be adjusted and an impairment loss is recorded equal to the difference between the asset’s carrying value and fair value or disposable value. During the six months ended September 30, 2020 we fully impaired data processing equipment that had a cost basis of $84,939 and we fully impaired a computer that had a cost basis of $1,609 because the assets were no longer in use. The accumulated depreciation of the assets at the time they were written off was $19,903, therefore we recognized impairment expense of $66,645 for the six months ended September 30, 2020. No impairment expense was recognized during the six months ended September 30, 2019. | Impairment of Long-Lived Assets We have adopted ASC Subtopic 360-10, Property, Plant and Equipment. ASC 360-10 requires that long-lived assets and certain identifiable intangibles held and used by us be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable or when the historical cost carrying value of an asset may no longer be appropriate. Events relating to recoverability may include significant unfavourable changes in business conditions, recurring losses, or a forecasted inability to achieve break-even operating results over an extended period. We evaluate the recoverability of long-lived assets based upon future net cash flows expected to result from the asset, including eventual disposition. Should impairment in value be indicated, the carrying value of intangible assets will be adjusted and an impairment loss is recorded equal to the difference between the asset’s carrying value and fair value or disposable value. Effective March 31, 2020 we fully impaired data processing equipment that had a cost basis of $2,025,500 and we fully impaired our long-term license agreement that had a cost basis of $2,256,000 because we deemed the assets carrying amount was not recoverable as of that date. As a result, impairment expense of $1,770,881 and $1,832,408 for the equipment and the license agreement, respectively, was recorded for the year ended March 31, 2020. During the year ended March 31, 2020 we impaired the value of the customer contracts/relationships originally acquired in our purchase of United Games, LLC and United League, LLC, therefore recognizing impairment expense of $627,452. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, based on our principal or, in the absence of a principal, most advantageous market for the specific asset or liability. U.S. generally accepted accounting principles provide for a three-level hierarchy of inputs to valuation techniques used to measure fair value, defined as follows: Level 1: Inputs that are quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity can access. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability, including: - quoted prices for similar assets or liabilities in active markets; - quoted prices for identical or similar assets or liabilities in markets that are not active; - inputs other than quoted prices that are observable for the asset or liability; and - inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3: Inputs that are unobservable and reflect management’s own assumptions about the inputs market participants would use in pricing the asset or liability based on the best information available in the circumstances (e.g., internally derived assumptions surrounding the timing and amount of expected cash flows). Our financial instruments consist of cash, accounts receivable, accounts payable, and debt. We have determined that the book value of our outstanding financial instruments as of September 30, 2020 and March 31, 2020, approximates the fair value due to their short-term nature. Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of September 30, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 155,628 $ - $ - $ 155,628 Total Assets $ 155,628 $ - $ - $ 155,628 Derivative liability $ - $ - $ 4,265 $ 4,265 Total Liabilities $ - $ - $ 4,265 $ 4,265 Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 96,022 $ - $ - $ 96,022 Total Assets $ 96,022 $ - $ - $ 96,022 Derivative liability $ - $ - $ 793,495 $ 793,495 Total Liabilities $ - $ - $ 793,495 $ 793,495 | Fair Value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, based on our principal or, in the absence of a principal, most advantageous market for the specific asset or liability. U.S. generally accepted accounting principles provide for a three-level hierarchy of inputs to valuation techniques used to measure fair value, defined as follows: Level 1: Inputs that are quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity can access. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability, including: - quoted prices for similar assets or liabilities in active markets; - quoted prices for identical or similar assets or liabilities in markets that are not active; - inputs other than quoted prices that are observable for the asset or liability; and - inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3: Inputs that are unobservable and reflect management’s own assumptions about the inputs market participants would use in pricing the asset or liability based on the best information available in the circumstances (e.g., internally derived assumptions surrounding the timing and amount of expected cash flows). Our financial instruments consist of cash, accounts receivable, and accounts payable. We have determined that the book value of our outstanding financial instruments as of March 31, 2020 and March 31, 2019, approximates the fair value due to their short-term nature. Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 101,610 $ - $ - $ 101,610 Total Assets $ 101,610 $ - $ - $ 101,610 Derivative liability $ - $ - $ 793,495 $ 793,495 Total Liabilities $ - $ - $ 793,495 $ 793,495 Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2019: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 142,061 $ - $ - $ 142,061 Total Assets $ 142,061 $ - $ - $ 142,061 Derivative liability $ - $ - $ 1,358,901 $ 1,358,901 Total Liabilities $ - $ - $ 1,358,901 $ 1,358,901 |
Sale and Leaseback | Sale and Leaseback Through our wholly-owned subsidiary, APEX Tex, LLC, we sold high powered data processing equipment (“APEX”) to our customers and they leased the equipment back to SAFETek, LLC, another of our wholly-owned subsidiaries. We account for these transactions under ASC 842-40 where the leaseback has been deemed a sales-type lease due to the lease term generally covering the entire economic life of the equipment and our likelihood to purchase the asset at the end of the lease term. In accordance with ASC 842-40 we have recorded the data processing equipment as a fixed asset on our balance sheet and we have accounted for the amounts received for the equipment as a financial liability, in other liabilities on our balance sheet. Further, we will recognize interest on the financial liability over the term of the lease to ensure the financial liability equates to the total amounts to be paid over the life of the lease. During the six months ended September 30, 2020 we had the following activity related to our sale and leaseback transactions: Total Financial Liability Contra-Liability Net Financial Liability Current [1] Long Term Balance as of March 31, 2020 $ 53,828,000 $ (38,535,336 ) $ 15,292,664 $ 11,407,200 $ 3,885,464 Proceeds from sales of APEX 5,001,622 - 5,001,622 Interest recorded on financial liability 8,348,378 (8,348,378 ) - Payments made for leased equipment (2,125,300 ) - (2,125,300 ) Interest expense - 3,995,914 3,995,914 Balance as of September 30, 2020 $ 65,052,700 $ (42,887,800 ) $ 22,164,900 $ 14,077,200 $ 8,087,700 [1] Represents lease payments to be made in the next 12 months The $42,887,800 is expected to be recognized into interest as follows: Remainder of 2021 $ 4,782,861 Fiscal year ending March 31, 2022 9,565,721 Fiscal year ending March 31, 2023 9,565,721 Fiscal year ending March 31, 2024 9,565,721 Fiscal year ending March 31, 2025 and beyond 9,407,776 $ 42,887,800 During the six months ended September 30, 2020 we received additional proceeds for APEX sales which were recorded in the customer advance amount shown on our balance sheet, resulting in a net increase in the account of $81,845 since March 31, 2020. As of September 30, 2020 we have ceased selling the APEX package. We may re-introduce APEX at a later date after further evaluation of the model. | Sale and Leaseback Through our wholly-owned subsidiary, APEX Tek, LLC, we sell high powered data processing equipment (“APEX”) to our customers and they lease the equipment back to SAFETek, LLC, another of our wholly-owned subsidiaries. We account for these transactions under ASC 842-40 where the leaseback has been deemed a sales-type lease due to the lease term generally covering the entire economic life of the equipment and our likelihood to purchase the asset at the end of the lease term. In accordance with ASC 842-40 we have recorded the data processing equipment as a fixed asset on our balance sheet and we have accounted for the amounts received for the equipment as a financial liability, in other liabilities on our balance sheet. Further, we will recognize interest on the financial liability over the term of the lease to ensure the financial liability equates to the total amounts to be paid over the life of the lease. During the year ended March 31, 2020 we recorded deferred interest of $40,792,735 as a contra-liability, of which $2,257,399 was recognized into interest, resulting in $38,535,336 expected to be recognized into interest as follows: Fiscal year ending March 31, 2021 $ 8,081,463 Fiscal year ending March 31, 2022 8,158,547 Fiscal year ending March 31, 2023 8,158,547 Fiscal year ending March 31, 2024 8,158,547 Fiscal year ending March 31, 2025 and beyond 5,978,232 $ 38,535,336 During the year ended March 31, 2020 we had the following activity related to our sale and leaseback transactions: Proceeds from sales of APEX $ 16,143,265 Debt extinguished with the issuance of APEX 100,000 Interest recognized on financial liability 2,257,399 Payments made for leased equipment (3,208,000 ) Total financial liability 15,292,664 Other current liabilities [1] (11,407,200 ) Other long-term liabilities, net of deferred interest $ 3,885,464 [1] Represents lease payments to be made in the next 12 months As of March 31, 2020 we have received proceeds of $392,310 in additional deposits for APEX sales, which has been recorded in the customer advance amount shown on our balance sheet. |
Revenue Recognition | Revenue Recognition Subscription Revenue The majority of our revenue is generated by subscription sales and payment is received at the time of purchase. We recognize subscription revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to provide services over a fixed subscription period, therefore we recognize revenue rateably over the subscription period and deferred revenue is recorded for the portion of the subscription period subsequent to each reporting date. Additionally, we offer a 10-day trial period to subscription customers, during which a full refund can be requested if a customer does not like the product. Revenues are deferred during the trial period as collection is not probable until that time has passed. Revenues are presented net of refunds, sales incentives, credits, and known and estimated credit card chargebacks. Equipment Sales We generate revenue from the sale of high-speed computer processing equipment that is used for any of the following intense processing activities: protein folding, CGI rendering, Game Streaming, Machine & Deep Learning, Mining, Independent Financial Verification, and general high-speed computing. We recognize equipment sales revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver an equipment package to our customers which includes hardware, software, and firmware and is drop-shipped to a hosting data center. We receive payment at the time of purchase and recognize revenue when the equipment package is delivered and ready for maintenance and hosting, which our customers arrange for, and obtain, from a separate third party that provides such services. Cryptocurrency Mining Service Revenue We generate revenue from the sale of cryptocurrency mining services to our customers through an arrangement with a third-party supplier. We recognize cryptocurrency mining service revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to arrange for the third-party to provide mining services to our customers and payment is received at the time of purchase, therefore revenue is recognized upon receipt of payment. We recognize revenue in the amount of the fee to which we are entitled to as an agent, or the amount of consideration that we retain after paying the third-party the consideration received in exchange for the services the third-party is to provide. Mining Revenue Through our wholly owned subsidiary, SAFETek, LLC, we lease equipment under a sales-type lease and use the equipment on blockchain networks to validate and add blocks of transactions to blockchain ledgers (commonly referred to as “mining”). As compensation for mining we are issued fees from processors and/or block rewards that are newly created cryptocurrency units granted to us. Our mining activities constitute our ongoing major and central operations of SAFETek, LLC. Because we do not have contracts, nor do we have customers associated with our mining revenue, we recognize revenue when fees and/or rewards are settled, or ultimately granted to us as a result of our mining activities. Fee Revenue We generate fee revenue from our customers through SAFE Management, our subsidiary licensed as a Registered Investment Advisor and Commodities Trading Advisor. We recognize fee revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver fully managed trading services to individuals who do not meet the requirements of Qualified Investors and who lack the time to trade for themselves. We recognize fee revenue as our performance obligation is met and we receive payment for such advisory fees in the month following recognition. Revenue generated for the six months ended September 30, 2020 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 10,159,115 $ 3,836,285 $ 7,723 $ 14,003,123 Refunds, incentives, credits, and chargebacks (659,970 ) - - (659,970 ) Net revenue $ 9,499,145 $ 3,836,285 $ 7,723 $ 13,343,153 For the six months ended September 30, 2020 foreign and domestic revenues were approximately $9 million and $4.4 million, respectively. Revenue generated for the six months ended September 30, 2019 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 16,117,861 $ - $ 5,369 $ 16,123,230 Refunds, incentives, credits, and chargebacks (1,369,393 ) - - (1,369,393 ) Net revenue $ 14,748,468 $ - $ 5,369 $ 14,753,837 For the six months ended September 30, 2019 foreign and domestic revenues were approximately $13.9 million and $800,000, respectively. Revenue generated for the three months ended September 30, 2020 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 5,599,155 $ 2,493,739 $ 3,710 $ 8,096,604 Refunds, incentives, credits, and chargebacks (343,267 ) - - (343,267 ) Net revenue $ 5,255,888 $ 2,493,739 $ 3,710 $ 7,753,337 For the three months ended September 30, 2020 foreign and domestic revenues were approximately $7.3 million and $426,000, respectively. Revenue generated for the three months ended September 30, 2019 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 7,825,160 $ - $ 5,369 $ 7,830,529 Refunds, incentives, credits, and chargebacks (588,405 ) - - (588,405 ) Net revenue $ 7,236,755 $ - $ 5,369 $ 7,242,124 For the three months ended September 30, 2019 foreign and domestic revenues were approximately $6.8 million and $403,000, respectively. | Revenue Recognition Subscription Revenue The majority of our revenue is generated by subscription sales and payment is received at the time of purchase. We recognize subscription revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to provide services over a fixed subscription period, therefore we recognize revenue rateably over the subscription period and deferred revenue is recorded for the portion of the subscription period subsequent to each reporting date. Additionally, we offer a 10-day trial period to first time subscription customers, during which a full refund can be requested if a customer does not like the product. Revenues are deferred during the trial period as collection is not probable until that time has passed. Revenues are presented net of refunds, sales incentives, credits, and known and estimated credit card chargebacks. Equipment Sales We generate revenue from the sale of high-speed computer processing equipment that is used for any of the following intense processing activities: protein folding, CGI rendering, Game Streaming, Machine & Deep Learning, Mining, Independent Financial Verification, and general high-speed computing. We recognize equipment sales revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver an equipment package to our customers which includes hardware, software, and firmware and is drop-shipped to a hosting data center. We receive payment at the time of purchase and recognize revenue when the equipment package is delivered and ready for maintenance and hosting, which our customers arrange for, and obtain, from a separate third party that provides such services. Cryptocurrency Mining Service Revenue In the past we generated revenue from the sale of cryptocurrency mining services to our customers through an arrangement with a third-party supplier. We recognized cryptocurrency mining service revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation was to arrange for the third-party to provide mining services to our customers and payment is received at the time of purchase, therefore revenue was recognized upon receipt of payment. We recognized revenue in the amount of the fee to which we are entitled to as an agent, or the amount of consideration that we retained after paying the third-party the consideration received in exchange for the services the third-party was to provide. Mining Revenue Through our wholly owned subsidiary, SAFETek, LLC, we lease equipment under a sales-type lease and use the equipment on blockchain networks to validate and add blocks of transactions to blockchain ledgers (commonly referred to as “mining”). As compensation for mining we are issued fees from processors and/or block rewards that are newly created cryptocurrency units granted to us. Our mining activities constitute our ongoing major and central operations of SAFETek, LLC. Because we do not have contracts, nor do we have customers associated with our mining revenue, we recognize revenue when fees and/or rewards are settled, or ultimately granted to us as a result of our mining activities. Fee Revenue We generate fee revenue from our customers through SAFE Management, our subsidiary licensed as a Registered Investment Advisor and Commodities Trading Advisor. We recognize fee revenue in accordance with ASC 606-10 where revenue is measured based on a consideration specified in a contract with a customer and recognized when we satisfy the performance obligation specified in each contract. Our performance obligation is to deliver fully managed trading services to individuals who do not meet the requirements of Qualified Investors and who lack the time to trade for themselves. We recognize fee revenue as our performance obligation is met and we receive payment for such advisory fees in the month following recognition. Revenue generated for the year ended March 31, 2020, was as follows: Subscription Revenue Equipment Cryptocurrency Mining Service Revenue Mining Revenue Fee Revenue Total Gross billings/receipts $ 24,471,532 $ - $ - $ 1,745,138 $ 13,279 $ 26,229,949 Refunds, incentives, credits, and chargebacks (2,046,359 ) - - - - (2,046,359 ) Amounts paid to supplier - - - - - - Net revenue $ 22,425,173 $ - $ - $ 1,745,138 $ 13,279 $ 24,183,590 Foreign revenues for the year ended March 31, 2020 were $21,191,788 while domestic revenue for the year ended March 31, 2020 was $2,991,802. Revenue generated for the year ended March 31, 2019 was as follows: Subscription Revenue Equipment Cryptocurrency Mining Service Revenue Mining Revenue Fee Revenue Total Gross billings/receipts $ 28,518,660 $ 698,954 $ 5,775,269 $ - $ - $ 34,992,883 Refunds, incentives, credits, and chargebacks (1,495,458 ) (4,000 ) (6,501 ) - - (1,505,959 ) Amounts paid to supplier - - (3,827,843 ) - - (3,827,843 ) Net revenue $ 27,023,202 $ 694,954 $ 1,940,925 $ - $ - $ 29,659,081 Foreign revenues for the year ended March 31, 2019 were approximately $27.3 million while domestic revenue for the year ended March 31, 2019 was approximately $2.3 million. |
Advertising, Selling, and Marketing Costs | Advertising, Selling, and Marketing Costs We expense advertising, selling, and marketing costs as incurred. Advertising, selling, and marketing costs include costs of promoting our product worldwide, including promotional events. Advertising, selling, and marketing expenses for the years ended March 31, 2020 and 2019, totalled $1,696,133 and $878,936, respectively. | |
Income Taxes | Income Taxes We have adopted ASC Subtopic 740-10, Income Taxes, which requires the recognition of deferred tax liabilities and assets for the expected future tax consequences of events that have been included in the financial statement or tax returns. Under this method, deferred tax liabilities and assets are determined based on the difference between financial statements and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. Temporary differences between taxable income reported for financial reporting purposes and income tax purposes consist primarily of derivative liability and stock compensation accounting versus basis differences. | |
Net Income (Loss) Per Share | Net Income (Loss) per Share We follow ASC subtopic 260-10, Earnings per Share (“ASC 260-10”), which specifies the computation, presentation, and disclosure requirements of earnings per share information. Basic loss per share has been calculated based upon the weighted average number of common shares outstanding. Convertible debt, stock options, and warrants have been excluded as common stock equivalents in the diluted loss per share because their effect is anti-dilutive on the computation. Potentially dilutive securities excluded from the computation of basic and diluted net loss per share are as follows: September 30, September 30, Options to purchase common stock - 35,000 Warrants to purchase common stock 233,060 599,800 Notes convertible into common stock 161,742,478 58,416,067 Totals 161,975,538 59,050,867 | Net Income (Loss) per Share We follow ASC Subtopic 260-10, Earnings per Share, which specifies the computation, presentation, and disclosure requirements of earnings per share information. Basic loss per share has been calculated based upon the weighted average number of common shares outstanding. Convertible debt, stock options, and warrants have been excluded as common stock equivalents in the diluted loss per share because their effect is anti-dilutive on the computation. Potentially dilutive securities excluded from the computation of basic and diluted net loss per share are as follows: March 31, March 31, Options to purchase common stock - 35,000 Warrants to purchase common stock - 5,052,497 Notes convertible into common stock 45,743,298 52,162,055 Total 45,743,298 57,249,552 |
Lease Obligation | Lease Obligation We determine if an arrangement is a lease at inception. Operating leases are included in the operating lease right-of-use asset account, the operating lease liability, current account, and the operating lease liability, long term account in our balance sheet. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. For leases in which the rate implicit in the lease is not readily determinable, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Lease terms include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for operating lease arrangements is recognized on a straight-line basis over the lease term. We have elected the practical expedient and will not separate non-lease components from lease components and will instead account for | Lease Obligation We determine if an arrangement is a lease at inception. Operating leases are included in the operating lease right-of-use asset account, the operating lease liability, current account, and the operating lease liability, long term account in our balance sheet. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. For leases in which the rate implicit in the lease is not readily determinable, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Lease terms include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for operating lease arrangements is recognized on a straight-line basis over the lease term. We have elected the practical expedient and will not separate non-lease components from lease components and will instead account for |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Accounting Policies [Abstract] | ||
Schedule of Exchange Rates | The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD at the following balance sheet dates. September 30, 2020 March 31, 2020 Euro to USD 1.17300 1.10314 The following rates were used to translate the accounts of Kuvera France S.A.S. into USD for the following operating periods. Six Months Ended September 30, 2020 2019 Euro to USD 1.135711 1.11795 | The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD at the following balance sheet dates. March 31, 2020 March 31, 2019 Euro to USD 1.10314 1.12200 Colombian Peso to USD n/a 0.00031 The following rates were used to translate the accounts of Kuvera France S.A.S. and Kuvera LATAM S.A.S. into USD for the following operating periods: Year ended March 31, 2020 2019 Euro to USD 1.11122 1.13580 Colombian Peso to USD n/a 0.00033 |
Schedule of Reconciliation of Cash, Cash Equivalents, and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the balance sheet that sum to the total of the same such amounts shown in the statement of cash flows. September 30, 2020 March 31, 2020 Cash and cash equivalents $ 583,955 $ 137,177 Restricted cash, current 151,489 - Restricted cash, long term 288,411 - Total cash, cash equivalents, and restricted cash shown on the statement of cash flows $ 1,023,855 $ 137,177 | |
Schedule of Fixed Assets | As of September 30, 2020, fixed assets were made up of the following: Estimated Useful Life (years) Value Furniture, fixtures, and equipment 10 $ 12,792 Computer equipment 3 21,143 Data processing equipment 3 7,095,515 7,129,450 Accumulated depreciation as of September 30, 2020 (1,211,446 ) Net book value, September 30, 2020 $ 5,918,004 | As of March 31, 2020 and 2019 fixed assets were made up of the following: Estimated Useful Life March 31, March 31, (years) 2020 2019 Furniture, fixtures, and equipment 10 $ 12,792 $ 11,372 Computer equipment 3 19,533 14,661 Data processing equipment 3 3,213,815 - 3,246,140 26,033 Accumulated amortization (248,529 ) (12,505 ) Net book value $ 2,997,611 $ 13,528 |
Schedule of Long-Lived Assets | During the nine months ended December 31, 2019 we impaired the value of the customer contracts/relationships originally acquired. Estimated Useful Life (years) Value FireFan mobile application 4 $ 331,000 Back office software 10 408,000 Tradename/trademark - FireFan 5 248,000 Tradename/trademark - United Games 0.45 4,000 Customer contracts/relationships n/a - 991,000 Accumulated amortization as of December 31, 2019 (254,949 ) Net book value, December 31, 2019 $ 736,051 As of September 30, 2020 intangible assets were made up of the following: Estimated Useful Life (years) Value FireFan mobile application 4 $ 331,000 Back office software 10 408,000 Tradename/trademark - FireFan 5 248,000 Tradename/trademark - United Games 0.45 4,000 991,000 Accumulated amortization as of September 30, 2020 (384,930 ) Net book value, September 30, 2020 $ 606,070 | As of March 31, 2020 and 2019 intangible assets were made up of the following: Estimated Useful Life March 31, March 31, (years) 2020 2019 FireFan mobile application 4 $ 331,000 $ 331,000 Back office software 10 408,000 408,000 Tradename/trademark - FireFan 5 248,000 248,000 Tradename/trademark - United Games 0.45 4,000 4,000 Customer contracts/relationships 5 - 825,000 991,000 1,816,000 Accumulated amortization (298,118 ) (239,315 ) Net book value $ 692,882 $ 1,576,685 |
Schedule of Amortization Expense | Amortization expense for the six months ended September 30, 2020 and 2019 was $86,812 and $169,539, respectively. Amortization expense is expected to be as follows: Remainder of 2021 $ 86,338 Fiscal year ending March 31, 2022 173,150 Fiscal year ending March 31, 2023 173,150 Fiscal year ending March 31, 2024 32,589 Fiscal year ending March 31, 2025 6,148 Fiscal year ending March 31, 2026 and beyond 134,695 $ 606,070 | Amortization expense is expected to be as follows: Fiscal year ending March 31, 2021 $ 173,150 Fiscal year ending March 31, 2022 173,150 Fiscal year ending March 31, 2023 115,338 Fiscal year ending March 31, 2024 55,748 Fiscal year ending March 31, 2025 and beyond 175,496 $ 692,882 |
Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis | Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of September 30, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 155,628 $ - $ - $ 155,628 Total Assets $ 155,628 $ - $ - $ 155,628 Derivative liability $ - $ - $ 4,265 $ 4,265 Total Liabilities $ - $ - $ 4,265 $ 4,265 Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 96,022 $ - $ - $ 96,022 Total Assets $ 96,022 $ - $ - $ 96,022 Derivative liability $ - $ - $ 793,495 $ 793,495 Total Liabilities $ - $ - $ 793,495 $ 793,495 | Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2020: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 101,610 $ - $ - $ 101,610 Total Assets $ 101,610 $ - $ - $ 101,610 Derivative liability $ - $ - $ 793,495 $ 793,495 Total Liabilities $ - $ - $ 793,495 $ 793,495 Items recorded or measured at fair value on a recurring basis in the accompanying consolidated financial statements consisted of the following items as of March 31, 2019: Level 1 Level 2 Level 3 Total Cryptocurrencies $ 142,061 $ - $ - $ 142,061 Total Assets $ 142,061 $ - $ - $ 142,061 Derivative liability $ - $ - $ 1,358,901 $ 1,358,901 Total Liabilities $ - $ - $ 1,358,901 $ 1,358,901 |
Summary of Activity Related to Sale and Leaseback Transactions | During the six months ended September 30, 2020 we had the following activity related to our sale and leaseback transactions: Total Financial Liability Contra-Liability Net Financial Liability Current [1] Long Term Balance as of March 31, 2020 $ 53,828,000 $ (38,535,336 ) $ 15,292,664 $ 11,407,200 $ 3,885,464 Proceeds from sales of APEX 5,001,622 - 5,001,622 Interest recorded on financial liability 8,348,378 (8,348,378 ) - Payments made for leased equipment (2,125,300 ) - (2,125,300 ) Interest expense - 3,995,914 3,995,914 Balance as of September 30, 2020 $ 65,052,700 $ (42,887,800 ) $ 22,164,900 $ 14,077,200 $ 8,087,700 [1] Represents lease payments to be made in the next 12 months | During the year ended March 31, 2020 we had the following activity related to our sale and leaseback transactions: Proceeds from sales of APEX $ 16,143,265 Debt extinguished with the issuance of APEX 100,000 Interest recognized on financial liability 2,257,399 Payments made for leased equipment (3,208,000 ) Total financial liability 15,292,664 Other current liabilities [1] (11,407,200 ) Other long-term liabilities, net of deferred interest $ 3,885,464 [1] Represents lease payments to be made in the next 12 months |
Schedule of Sale and Leaseback Transactions | The $42,887,800 is expected to be recognized into interest as follows: Remainder of 2021 $ 4,782,861 Fiscal year ending March 31, 2022 9,565,721 Fiscal year ending March 31, 2023 9,565,721 Fiscal year ending March 31, 2024 9,565,721 Fiscal year ending March 31, 2025 and beyond 9,407,776 $ 42,887,800 | Fiscal year ending March 31, 2021 $ 8,081,463 Fiscal year ending March 31, 2022 8,158,547 Fiscal year ending March 31, 2023 8,158,547 Fiscal year ending March 31, 2024 8,158,547 Fiscal year ending March 31, 2025 and beyond 5,978,232 $ 38,535,336 |
Schedule of Revenue Generated | Revenue generated for the six months ended September 30, 2020 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 10,159,115 $ 3,836,285 $ 7,723 $ 14,003,123 Refunds, incentives, credits, and chargebacks (659,970 ) - - (659,970 ) Net revenue $ 9,499,145 $ 3,836,285 $ 7,723 $ 13,343,153 Revenue generated for the six months ended September 30, 2019 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 16,117,861 $ - $ 5,369 $ 16,123,230 Refunds, incentives, credits, and chargebacks (1,369,393 ) - - (1,369,393 ) Net revenue $ 14,748,468 $ - $ 5,369 $ 14,753,837 Revenue generated for the three months ended September 30, 2020 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 5,599,155 $ 2,493,739 $ 3,710 $ 8,096,604 Refunds, incentives, credits, and chargebacks (343,267 ) - - (343,267 ) Net revenue $ 5,255,888 $ 2,493,739 $ 3,710 $ 7,753,337 Revenue generated for the three months ended September 30, 2019 is as follows: Subscription Mining Revenue Fee Revenue Total Gross billings/receipts $ 7,825,160 $ - $ 5,369 $ 7,830,529 Refunds, incentives, credits, and chargebacks (588,405 ) - - (588,405 ) Net revenue $ 7,236,755 $ - $ 5,369 $ 7,242,124 | Revenue generated for the year ended March 31, 2020, was as follows: Subscription Revenue Equipment Cryptocurrency Mining Service Revenue Mining Revenue Fee Revenue Total Gross billings/receipts $ 24,471,532 $ - $ - $ 1,745,138 $ 13,279 $ 26,229,949 Refunds, incentives, credits, and chargebacks (2,046,359 ) - - - - (2,046,359 ) Amounts paid to supplier - - - - - - Net revenue $ 22,425,173 $ - $ - $ 1,745,138 $ 13,279 $ 24,183,590 Revenue generated for the year ended March 31, 2019 was as follows: Subscription Revenue Equipment Cryptocurrency Mining Service Revenue Mining Revenue Fee Revenue Total Gross billings/receipts $ 28,518,660 $ 698,954 $ 5,775,269 $ - $ - $ 34,992,883 Refunds, incentives, credits, and chargebacks (1,495,458 ) (4,000 ) (6,501 ) - - (1,505,959 ) Amounts paid to supplier - - (3,827,843 ) - - (3,827,843 ) Net revenue $ 27,023,202 $ 694,954 $ 1,940,925 $ - $ - $ 29,659,081 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | Potentially dilutive securities excluded from the computation of basic and diluted net loss per share are as follows: September 30, September 30, Options to purchase common stock - 35,000 Warrants to purchase common stock 233,060 599,800 Notes convertible into common stock 161,742,478 58,416,067 Totals 161,975,538 59,050,867 | Potentially dilutive securities excluded from the computation of basic and diluted net loss per share are as follows: March 31, March 31, Options to purchase common stock - 35,000 Warrants to purchase common stock - 5,052,497 Notes convertible into common stock 45,743,298 52,162,055 Total 45,743,298 57,249,552 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Mar. 31, 2020 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the purchase accounting for the fair value of the assets acquired and liabilities assumed at the date of the acquisition and the gain on bargain purchase which resulted from the fair value of the intangible assets acquired exceeding the fair value of our common stock given as consideration: Cash $ 3,740 Receivables 361,345 Intangible assets (see Note 2) 1,816,000 Total assets acquired 2,181,085 Accounts payable and accrued liabilities 409,803 Total liabilities assumed 409,803 Net assets acquired 1,771,282 Consideration [1] 800,000 Gain on bargain purchase $ 971,282 [1] The 50,000,000 shares of our common stock transferred as consideration in accordance with the Purchase Agreement was valued on July 20, 2018, the date of acquisition, based on the weighted equity fair value of $0.016 per share as determined by a third-party valuation firm. |
Schedule of Business Acquisition, Pro Forma Information | This pro forma information does not purport to represent what the actual results of our operations would have been had the acquisition occurred on this date nor does it purport to predict the results of operations for future periods: Year Ended March 31, 2020 2019 Revenues $ 24,225,208 $ 27,961,351 Net (loss) $ (19,429,574 ) $ (5,288,735 ) Loss per common share $ (0.01 ) $ (0.00 ) |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Related Party Transactions [Abstract] | ||
Schedule of Related Party Payables | Our related-party payables consisted of the following: September 30, March 31, Short-term advances [1] $ 489,850 $ 876,427 Promissory note entered into on 1/30/20 [2] 1,133,333 1,033,333 Convertible Promissory Note entered into on 4/27/20 [3] 77,198 - Convertible Promissory Note entered into on 5/27/20 [4] 36,019 - Accounts payable – related party [5] 30,000 55,000 $ 1,766,400 $ 1,964,760 [1] We periodically receive advances for operating funds from our current majority shareholders and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand and are unsecured. During the six months ended September 30, 2020, we received $2,338,137 in cash proceeds from advances, incurred $50,000 in interest expense on the advances, and repaid related parties $2,816,713. Also, during the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified from a related party payable to debt on our balance sheet (see NOTE 6). [2] We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the six months ended September 30, 2020 we recognized $100,000 of interest expense on the note. [3] On April 27, 2020 we received proceeds of $1,300,000 from DBR Capital, LLC, an entity controlled by members of our Board of Directors. The note bears interest at 20% per annum, payable monthly, and the principal is due and payable on April 27, 2030. The note is convertible into common stock at a conversion price of $0.01257 per share therefore during the six months ended September 30, 2020 we recorded a beneficial conversion feature and debt discount of $1,300,000 (see NOTE 8). During the six months ended September 30, 2020 we recognized $55,531 of the debt discount into interest expense as well as expensed an additional $111,223 of interest expense on the note, of which $89,556 was repaid during the period. [4] On May 27, 2020 we received proceeds of $700,000 from DBR Capital, LLC, an entity controlled by members of our Board of Directors. The note bears interest at 20% per annum, payable monthly, and the principal is due and payable on April 27, 2030. The note is convertible into common stock at a conversion price of $0.01257 per share therefore during the six months ended September 30, 2020 we recorded a beneficial conversion feature and debt discount of $700,000 (see NOTE 8). During the six months ended September 30, 2020 we recognized $24,352 of the debt discount into interest expense as well as expensed an additional $48,614 of interest expense on the note, of which $36,947 was repaid during the period. [5] During the six months ended September 30, 2020 we paid $25,000 to an accounting firm owned by our Chief Financial Officer to reduce amounts previously owed. We also incurred $68,000 to reimburse DBR Capital, LLC, for amounts paid on our behalf. The entire amount was repaid during the six months ended September 30, 2020. | Our related party payables consisted of the following: Year Ended March 31, 2020 2019 Short-term advances [1] $ 1,526,427 $ 440,489 Short-term promissory note entered into on 8/17/18 [2] - 105,000 Promissory note entered into on 1/30/20 [3] 1,033,333 - Accounts payable – related party [4] 55,000 - $ 2,114,760 $ 545,489 [1] We periodically receive advances for operating funds from our current majority shareholders, officers, directors and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand, generally have no set interest rates associated with them, and are unsecured. During the year ended March 31, 2020, we received $2,484,979 in cash proceeds from advances, incurred $769,999 in interest, and repaid related parties a total of $1,292,160. Also during the year ended March 31, 2020 we settled $1,880 of amounts that were recorded as due prior to March 31, 2018, settled $100,000 by issuing APEX units, and settled $500,000 with the issuance of common stock. [2] A member of the senior management team advanced funds of $100,000 on August 17, 2018, under a short-term promissory note due to be repaid on August 31, 2018. On August 31, 2018 the note was amended to be due on demand or, in absence of a demand, due on August 31, 2019. The note had a fixed interest payment of $5,000, which was recorded as interest expense in the statement of operations during the year ended March 31, 2019. During the year ended March 31, 2020 we made repayments of $105,000 on the note. [3] We entered into a $1,000,000 promissory note with Joseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the year ended March 31, 2020 we recognized $33,333 of interest expense on the note. [4] During the year ended March 31, 2020 we entered into an employment agreement with Jayme McWidener as our Chief Financial Officer. At the date we entered into the employment agreement we owed her firm, Mac Accounting Group, LLP, $75,000, which was reclassified as a related party accounts payable balance on our balance sheet. We made repayments on the liability of $20,000 since the date we entered into the employment agreement. |
Debt (Tables)
Debt (Tables) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Debt Disclosure [Abstract] | ||
Schedule of Debt | Our debt consisted of the following: September 30, March 31, Short-term advance received on 8/31/18 [1] $ 35,000 $ 65,000 Secured merchant agreement for future receivables entered into on 8/16/19 and refinanced on 12/10/19 [2] - 1,223,615 Secured merchant agreement for future receivables entered into on 8/16/19 [3] - 260,090 Convertible promissory note entered into on 3/5/20 [4] - 13,072 Convertible promissory note entered into on 3/11/20 [5] - 7,549 Short-term advance received on 3/25/20 [6] 95,000 150,000 Promissory note entered into on 4/10/20 [7] 400,000 - Note issued under the Paycheck Protection Program on 4/17/20 [8] 507,598 - Loan with the U.S. Small Business Administration dated 4/19/20 [9] 508,322 - Short-term advance received from a former member of senior management [10] 26,001 - $ 1,571,921 $ 1,719,326 [1] In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the six months ended September 30, 2020 we made repayments of $30,000 on the debt. [2] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 and $297,033 from two separate February 2018 agreements. In accordance with the terms of the new agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. Prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 agreement. During the six months ended September 30, 2020 we amortized $442,894 into interest expense and repaid $1,071,996 to pay the debt off in full, which resulted in a gain on settlement of debt being recorded for $594,513. [3] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement. In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. During the six months ended September 30, 2020 we repaid $330,013, recorded a $5,934 gain on settlement of debt, and amortized $75,857 into interest expense [4] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 2, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. During the six months ended September 30, 2020, we amortized $59,916 into interest expense, and recorded additional interest expense on the note of $7,453 before we repaid the note in full for $262,649 and wrote off the derivative liability associated with the debt of $265,584 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $83,376. [5] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 10, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. During the six months ended September 30, 2020, we amortized $44,960 into interest expense and recorded additional interest expense on the note of $5,617 before we repaid the note in full for $197,351 and wrote off the derivative liability associated with the debt of $203,357 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $64,132. [6] In March 2020, we received a $150,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the six months ended September 30, 2020 we made repayments of $55,000 on the debt. [7] In April 2020, we received proceeds of $400,000 after entering into a promissory note that is due six months from the funding date. Under the note six interest only payments of $16,667 are to be made on the 20 th [8] In April 2020 we received $505,300 in proceeds from the Paycheck Protection Program as established by the CARES Act as a result of a Note entered into with the U.S. Small Business Administration. The note has an interest rate of 1% and matures on April 1, 2022. Under the Note we are required to make monthly payments beginning November 1, 2020, however, under the terms of the CARES Act the loan may be forgiven if funds are used for qualifying expenses. During the six months ended September 30, 2020 we recorded $2,298 worth of interest expense on the Note. [9] In April 2020 we received proceeds of $500,000 from a loan entered into with the U.S. Small Business Administration. Under the terms of the loan interest is to accrue at a rate of 3.75% per annum and installment payments of $2,437 monthly will begin twelve months from the date of the loan, with all interest and principal due and payable thirty years from the date of the loan. During the six months ended September 30, 2020 we recorded $8,322 worth of interest on the loan. [10] During the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified on our balance sheet from a related party payable to debt (see NOTE 5). | Our debt consisted of the following: Year Ended March 31, 2020 2019 Short-term advance received on 8/31/18 [1] $ 65,000 $ 75,000 Secured merchant agreement for future receivables entered into on 2/14/19 [2] - 641,687 Secured merchant agreement for future receivables entered into on 2/14/19 [3] - 468,790 Secured merchant agreements for future receivables entered into on 2/14/19 [4] - 597,060 Promissory note entered into on 1/16/19 [5] - 60,000 Secured merchant agreements for future receivables entered into on 3/28/19 [6] - 25,650 Convertible promissory note entered into on 1/11/19 [7] - 26,600 Convertible promissory note entered into on 2/6/19 [8] - 76,686 Convertible promissory note entered into on 3/14/19 [9] - 5,557 Secured merchant agreement for future receivables entered into on 8/16/19 and refinanced on 12/10/19 [10] 1,223,615 - Secured merchant agreement for future receivables entered into on 8/16/19 [11] 260,090 - Convertible promissory note entered into on 3/5/20 [12] 13,072 - Convertible promissory note entered into on 3/11/20 [13] 7,549 - $ 1,569,326 $ 1,977,030 [1] In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the year ended March 31, 2020 we made repayments of $10,000. [2] During September 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On September 28, 2018, we received proceeds from this arrangement of $570,000. In accordance with the terms of the agreement, we were required to repay $839,400 by making ACH payments in the amount of 10% of our daily cash receipts. Accordingly, we recorded $269,400 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $233,501 of amounts owed to a new agreement. However, prior to the terminating the September agreement, we made payments of $605,899 and amortized $269,400 into interest expense. During January 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On January 11, 2019, we received proceeds from this arrangement of $349,851. In accordance with the terms of the agreement, we were required to repay $489,650 by making daily ACH payments of $1,000 for the first 30 days following the date of the agreement and daily ACH payments of $2,999 thereafter. Accordingly, we recorded $139,799 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $449,657 of amounts owed to a new agreement. However, prior to the terminating the January agreement, we made payments of $39,993 and amortized $139,799 into interest expense. During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $73,801 after paying off $233,501 from a September 2018 agreement (see above) and $449,657 from a January 2019 agreement (see above). In accordance with the terms of the agreement, we were required to repay $909,350 by making daily ACH payments of $5,049. Accordingly, we recorded $152,391 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $141,372 and amortized $26,100 into interest expense. Effective August 16, 2019 this debt was refinanced and the outstanding balance of $316,093 was rolled into a new debt arrangement, see notation [10] below. During the year ended March 31, 2020, prior to the refinance, we repaid $451,886 and amortized $126,291 into interest expense. [3] During December 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On December 17, 2018, we received proceeds from this arrangement of $380,000. In accordance with the terms of the agreement, we were required to repay $559,600 by making daily ACH payments of $3,000. Accordingly, we recorded $179,600 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $421,600 of amounts owed to a new agreement. However, prior to the terminating the December agreement, we made payments of $138,000 and amortized $179,600 into interest expense. During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $126,932 after paying off $421,600 from a December 2018 agreement (see above). In accordance with the terms of the agreement, we are required to repay $840,000 by making daily ACH payments of $4,649. Accordingly, we recorded $291,468 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $129,388 and amortized $49,646 into interest expense. Effective August 16, 2019 this debt was refinanced and the outstanding balance of $297,033 was rolled into a new debt arrangement, see notation [10] below. During the year ended March 31, 2020, prior to the refinance, we repaid $413,580 and amortized $241,822 into interest expense. [4] During October 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. During October 2018, we received proceeds from this arrangement of $77,260. In accordance with the terms of the agreement, we were required to repay $699,500 by making daily ACH payments of $4,372. Accordingly, we recorded $224,500 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $327,880 of amounts owed to a new agreement. However, prior to the terminating the October agreement, we made payments of $371,620 and amortized $224,500 into interest expense. During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $126,932 after paying off $327,880 from an October 2018 agreement (see above). In accordance with the terms of the agreement, we were required to repay $629,550 by making daily ACH payments of $3,498. Accordingly, we recorded $224,410 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. Also during February 2019, we entered into a second Secured Merchant Agreement with this same entity, receiving proceeds of $288,000. In accordance with the terms of the agreement, we were required to repay $419,700 by making daily ACH payments of $2,332. Accordingly, we recorded $131,700 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $157,410 on these two agreements and amortized $61,330 into interest expense. Effective August 16, 2019 this debt was refinanced and the outstanding balance of $382,000 was rolled into a new debt arrangement, see notation [11] below. During the year ended March 31, 2020, prior to the refinance, we repaid $509,840 and amortized $294,780 into interest expense. [5] In January 2019, we received funds of $631,617 and repaid $511,617 in a series of transactions representing short-term advances. On January 16, 2019, we entered into a short-term promissory note for the resulting $120,000 owed as a result of the transactions. The note had a zero percent interest rate and was due within the shorter of three months or the receipt of cash from a $1 million financing arrangement. During the year ended March 31, 2020, we repaid $60,000 of the amount due under the note. [6] During March 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On March 29, 2019, we received proceeds from this arrangement of $28,500. In accordance with the terms of the agreement, we were required to repay $45,000 by making daily ACH payments of $4,500. Accordingly, we recorded $16,500 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $4,500 and amortized $1,650 into interest expense. During the year ended March 31, 2020, we repaid $40,500 and amortized $14,850 into interest expense. [7] In January 2019, we entered into a Convertible Promissory Note and received proceeds of $135,000 after incurring loan fees of $3,000. The note incurs interest at 12% per annum and has a maturity date of April 11, 2020. The Convertible Promissory Note has a variable conversion rate that is 65% of the lowest closing price during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $138,000 and captured loan fees, recorded as interest expense, of $450,005. During the year ended March 31, 2019, we recorded amortization of the debt discount of $23,152 into interest expense and recorded additional interest expense on the note of $3,448. During the year ended March 31, 2020, we amortized $114,848 into interest expense, recorded additional interest expense on the note of $40,977 (inclusive of a prepayment penalty), and paid off the note, accrued interest, and prepayment penalties for $182,425. [8] In February 2019, we entered into a Convertible Promissory Note and received proceeds of $240,000. The note was issued with a $30,000 original issue discount and loan fees of $3,000, incurred interest at 12% per annum, and had a maturity date of August 6, 2019. In accordance with the terms of the note, we issued 22,500,000 shares of common stock (the “Returnable Shares”) to the note holder as a commitment fee (see Note 10), provided, however, the Returnable Shares must be returned to us if the note is fully repaid and satisfied prior to the date which is 180 days following the issue date. The Convertible Promissory Note had a variable conversion rate that was 65% of the lowest trading price during the previous 20-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see Note 8). We allocated the proceeds of the note to the common stock issued and to the fair value of the note, taking into consideration the fair value of the conversion feature. As a result, the common stock was valued at $69,871, we recorded a debt discount of $270,000, and captured loan fees, recorded as interest expense, of $120,128. During the year ended March 31, 2019, we recorded amortization of the debt discount of $72,514 into interest expense and recorded additional interest expense on the note of $4,172. During the year ended March 31, 2020, we amortized $197,486 into interest expense, recorded additional interest expense on the note of $11,136, and paid off the note and accrued interest for $285,308. In accordance with the terms of the agreement the 22,500,000 Returnable Shares were returned and cancelled (see Note 10). [9] In March 2019, we entered into a Convertible Promissory Note and received proceeds of $135,000 after incurring loan fees of $3,000. The note incurred interest at 12% per annum and had a maturity date of June 14, 2020. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest closing prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $138,000 and captured loan fees, recorded as interest expense, of $64,492. During the year ended March 31, 2019, we recorded amortization of the debt discount of $4,831 into interest expense and recorded additional interest expense on the note of $726. During the year ended March 31, 2020, we amortized $133,168 into interest expense, recorded additional interest expense on the note of $43,983 (inclusive of a prepayment penalty), and paid off the note, accrued interest, and prepayment penalties for $182,708. [10] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 from a February 2018 agreement (see notation [2] above) and $297,033 from a second February 2019 agreement (see notation [3] above). In accordance with the terms of the agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. During the year ended March 31, 2020, prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 arrangement. [11] During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement (see notation [4] above). In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. [12] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 2, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. [13] In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 10, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. |
Derivative Liability (Tables)
Derivative Liability (Tables) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Schedule of Derivative Liability | During the six months ended September 30, 2020, we had the following activity in our derivative liability account: Debt Warrants Total Derivative liability at March 31, 2020 $ 793,495 $ - $ 793,495 Derivative liability recorded on new instruments - 6,499 6,499 Derivative liability reduced by debt settlement (see NOTE 6) (468,941 ) - (468,941 ) Change in fair value (324,554 ) (2,234 ) (326,788 ) Derivative liability at September 30, 2020 $ - $ 4,265 $ 4,265 | During the years ended March 31, 2020 and 2019, we had the following activity in our derivative liability account: Derivative liability at March 31, 2018 $ - Derivative liability recorded on new instruments 1,144,525 Change in fair value 214,376 Derivative liability at March 31, 2019 1,358,901 Derivative liability recorded on new instruments 1,924,569 Derivative liability extinguished with notes settled (1,918,744 ) Change in fair value (571,231 ) Derivative liability at March 31, 2020 $ 793,495 |
Schedule of Assumptions Used in Binominal Option Pricing Model | During the six months ended September 30, 2020, the assumptions used in our binomial option pricing model were in the following range: Debt Warrants Risk free interest rate 0.11 - 0.17% 0.21 - 0.28% Expected life in years 0.80 - 1.11 4.84 - 5.00 Expected volatility 128% - 239% 265% - 306% | During the year ended March 31, 2020 and 2019, the assumptions used in our binomial option pricing model were in the following range: Year Ended March 31, 2020 2019 Risk free interest rate 0.17% - 2.13 % 2.40% - 2.58 % Expected life in years 0.03 - 1.25 0.35 - 1.25 Expected volatility 224% - 381 % 222% - 268 % |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) (Tables) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Equity [Abstract] | ||
Schedule of Warrants Outstanding | Details of our warrants outstanding as of September 30, 2020 is as follows: Exercise Price Warrants Outstanding Warrants Exercisable Weighted Average Contractual Life (Years) $ 0.10 233,060 233,060 4.79 | During the year ended March 31, 2020 all previously outstanding warrants expired and no new warrants were granted. Transactions involving our warrants are summarized as follows: Weighted Number of Average Shares Exercise Price Warrants outstanding at March 31, 2018 6,169,497 $ 1.50 Granted / restated - $ - Cancelled - $ - Expired (1,117,000 ) $ (1.48 ) Warrants outstanding at March 31, 2019 5,052,497 $ 1.50 Granted - $ - Cancelled - $ - Expired (5,052,497 ) $ (1.50 ) Warrants outstanding at March 31, 2020 - $ - |
Summary of Changes in Employee Stock Options Outstanding and the Related Prices | The following table summarizes the changes in employee stock options outstanding and the related prices for the shares of our common stock issued to employees under two employee stock option plans: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Shares Price Life (years) Value Options outstanding at March 31, 2018 35,000 $ 10.00 1.51 $ - Granted - $ - Exercised - $ - Cancelled / expired - $ - Options outstanding at March 31, 2019 35,000 $ 10.00 0.51 $ - Granted - $ - Exercised - $ - Cancelled / expired (35,000 ) $ 10.00 Options outstanding at March 31, 2020 - $ - - $ - Options exercisable at March 31, 2020 - $ - - $ - |
Operating Lease (Tables)
Operating Lease (Tables) | 6 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Mar. 31, 2020 | |
Leases [Abstract] | ||
Schedule of Future Minimum Lease Payments Under Non-cancellable Leases | Future minimum lease payments under non-cancellable leases as of September 30, 2019 were as follows: Remainder of 2021 $ 24,000 2022 48,000 2023 16,000 Total 88,000 Less: Interest (8,572 ) Present value of lease liability 79,428 Operating lease liability, current [1] (48,000 ) Operating lease liability, long term $ 31,428 [1] Represents lease payments to be made in the next 12 months | Future minimum lease payments under non-cancellable leases as of March 31, 2020 were as follows: 2021 $ 56,794 2022 48,000 2023 16,000 Total 120,794 Less: Interest (13,996 ) Present value of lease liability 106,798 Operating lease liability, current [1] (56,530 ) Operating lease liability, long term $ 50,268 [1] Represents lease payments to be made in the next 12 months |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Deferred Tax Assets and Liabilities | Net deferred tax assets consist of the following components as of March 31, 2020 and 2019: 2020 2019 Deferred tax assets: NOL carryover $ 7,215,400 $ 2,363,900 Accrued Payroll 207,100 209,100 Amortization 275,700 49,100 Related party accruals 10,000 1,500 Deferred tax liabilities Depreciation (899,300 ) (1,200 ) Valuation allowance (6,808,900 ) (2,622,400 ) Total long-term deferred income tax assets $ - $ - |
Schedule of Provision for Income Tax | The income tax provision differs from the amount of income tax determined by applying the U.S. federal income tax rate to pre-tax income from continuing operations for the years ended March 31, 2020 and 2019, due to the following: 2020 2019 Book income (loss) $ (6,385,600 ) $ (1,493,400 ) Stock for services 929,600 32,800 Amortization 38,400 (33,100 ) Contingent liability - (45,000 ) Unrealized gain on cryptocurrency (34,000 ) (31,900 ) Meals and entertainment 15,900 12,400 Non-cash interest expense 765,700 315,800 Depreciation (821,700 ) (7,200 ) Related party accruals 8,500 1,500 ) Related party accrued payroll (2,000 ) 174,600 Gain on deconsolidation of WG LATAM (16,100 ) - Gain on bargain purchase - (291,400 ) (Gain)/Loss on value of derivative liabilities (171,400 ) 64,300 Stock issued for loan fees - 21,000 Impairment of prepaid paid for with equity 549,700 - Amortization of prepaid paid for with equity 248,600 45,100 Valuation allowance 4,874,400 1,234,500 Total long-term deferred income tax assets $ - $ - |
Organization and Nature of Bu_2
Organization and Nature of Business (Details Narrative) - USD ($) | Jul. 20, 2018 | Jun. 06, 2017 | Mar. 31, 2017 | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2017 |
Entity incorporation, date of incorporation | Jan. 30, 1946 | Jan. 30, 1946 | ||||
Contribution Agreement [Member] | Wealth Generators, LLC [Member] | ||||||
Percentage on contributed shares | 100.00% | 100.00% | ||||
Number of shares exchanged for common stock | 1,358,670,942 | 1,358,670,942 | ||||
Acquisition Agreement [Member] | Market Trend Strategies, LLC [Member] | ||||||
Value pre-merger liabilities | $ 419,139 | |||||
Purchase Agreement [Member] | ||||||
Number of shares purchased | 50,000,000 | |||||
Purchase Agreement [Member] | United Games Marketing, LLC [Member] | ||||||
Number of shares purchased | 50,000,000 |
Organization and Nature of Bu_3
Organization and Nature of Business (Details Narrative) (10-K) - USD ($) | Jul. 20, 2018 | Jun. 06, 2017 | Mar. 31, 2017 | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2017 |
Entity incorporation, date of incorporation | Jan. 30, 1946 | Jan. 30, 1946 | ||||
Contribution Agreement [Member] | Wealth Generators, LLC [Member] | ||||||
Percentage on contributed shares | 100.00% | 100.00% | ||||
Number of shares exchanged for common stock | 1,358,670,942 | 1,358,670,942 | ||||
Acquisition Agreement [Member] | Market Trend Strategies, LLC [Member] | ||||||
Value pre-merger liabilities | $ 419,139 | |||||
Purchase Agreement [Member] | ||||||
Number of shares purchased | 50,000,000 | |||||
Purchase Agreement [Member] | United Games Marketing, LLC [Member] | ||||||
Number of shares purchased | 50,000,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details Narrative) - USD ($) | Apr. 02, 2019 | Jun. 30, 2017 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 |
Gain on deconsolidation | $ 53,739 | $ 53,739 | ||||||
Other assets current | 155,628 | 155,628 | 96,022 | 142,061 | ||||
Realized (gain) loss on cryptocurrency | 1,096 | (1,077) | 1,096 | (667) | (815) | 16,241 | ||
Unrealized (gain) loss on cryptocurrency | 85,331 | (122,080) | 176,817 | 25,330 | 113,369 | 106,488 | ||
Depreciation expense | 982,819 | 36,007 | 490,642 | 5,332 | ||||
Amortization | 75,406 | 150,812 | 150,400 | |||||
Long-term license agreement | 0 | 0 | 0 | 1,983,220 | ||||
Amortization expense | 86,812 | 169,539 | 256,351 | 239,315 | ||||
Impairment of long lived assets | ||||||||
Property plant and equipment depreciation | 19,903 | 19,903 | ||||||
Impairment expense | 66,645 | |||||||
Expected to be recognized into interest | 42,887,800 | 42,887,800 | 38,535,336 | |||||
Increase in customer advance | 81,845 | 3,448,476 | 127,310 | 265,000 | ||||
Revenue | 7,753,337 | 7,242,124 | 13,343,153 | 14,753,837 | 24,183,590 | 29,659,081 | ||
Foreign Revenues [Member] | ||||||||
Revenue | 730,000 | 680,000 | 9,000,000 | 13,900,000 | 21,191,788 | 27,300,000 | ||
Domestic Revenue [Member] | ||||||||
Revenue | $ 426,000 | $ 403,000 | 4,400,000 | $ 800,000 | $ 2,991,802 | $ 2,300,000 | ||
License Agreement [Member] | ||||||||
Number of shares issued during period | 80,000,000 | |||||||
Value of shares issued during period | $ 2,256,000 | |||||||
Agreement term | 15 years | |||||||
Amortization | $ 150,400 | |||||||
Equipment [Member] | ||||||||
Impairment of long lived assets | 84,939 | |||||||
Computer Equipment [Member] | ||||||||
Impairment of long lived assets | $ 1,609 | |||||||
Kuvera LATAM S.A.S [Member] | ||||||||
Gain on deconsolidation | $ 53,739 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details Narrative) (10-K) - USD ($) | Apr. 02, 2019 | Jun. 30, 2017 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 |
Gain on deconsolidation | $ 53,739 | $ 53,739 | ||||||
Cash, FDIC Insured Amount | 250,000 | |||||||
Cash balances exceeded FDIC limits | 0 | 0 | ||||||
Cash equivalents | ||||||||
Allowance for doubtful accounts | ||||||||
Other assets current | 155,628 | 155,628 | 96,022 | 142,061 | ||||
Realized (gain) loss on cryptocurrency | 1,096 | (1,077) | 1,096 | (667) | (815) | 16,241 | ||
Unrealized (gain) loss on cryptocurrency | (85,331) | 122,080 | (176,817) | (25,330) | (113,369) | (106,488) | ||
Depreciation expense | 982,819 | 36,007 | 490,642 | 5,332 | ||||
Amortization | 75,406 | 150,812 | 150,400 | |||||
Long-term license agreement | 0 | 0 | 0 | 1,983,220 | ||||
Impairment of long lived assets | ||||||||
Impairment | 66,645 | 66,645 | 4,230,741 | |||||
Deferred interest | 40,792,735 | |||||||
Recognized interest | 2,257,399 | |||||||
Expected to be recognized into interest | 42,887,800 | 42,887,800 | 38,535,336 | |||||
Customer advance | 392,310 | 265,000 | ||||||
Revenue | 7,753,337 | 7,242,124 | 13,343,153 | 14,753,837 | 24,183,590 | 29,659,081 | ||
Advertising, selling, and marketing expenses | 1,696,133 | 878,936 | ||||||
Foreign Revenues [Member] | ||||||||
Revenue | 730,000 | 680,000 | 9,000,000 | 13,900,000 | 21,191,788 | 27,300,000 | ||
Domestic Revenue [Member] | ||||||||
Revenue | $ 426,000 | $ 403,000 | $ 4,400,000 | $ 800,000 | 2,991,802 | $ 2,300,000 | ||
Data Processing Equipment [Member] | ||||||||
Impairment of long lived assets | 2,025,500 | |||||||
Impairment | 1,770,881 | |||||||
Data Processing Equipment [Member] | License Agreement [Member] | ||||||||
Impairment of long lived assets | 2,256,000 | |||||||
Impairment | 1,832,408 | |||||||
License Agreement [Member] | ||||||||
Number of shares issued during period | 80,000,000 | |||||||
Value of shares issued during period | $ 2,256,000 | |||||||
Agreement term | 15 years | |||||||
Annual amortization on intangible assets | 15 years | |||||||
Amortization | $ 150,400 | |||||||
Kuvera LATAM S.A.S [Member] | ||||||||
Gain on deconsolidation | $ 53,739 | |||||||
United Games LLC and United League LLC [Member] | ||||||||
Impairment | $ 627,452 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Exchange Rates (Details) - Euro to USD [Member] | 6 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Exchange Rate at Balance Sheet Dates | 1.17300 | 1.10314 | 1.12200 | |
Exchange Rate for Operating Periods | 1.135711 | 1.11795 | 1.11122 | 1.13580 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Exchange Rates (Details) (10-K) | 6 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Euro to USD [Member] | ||||
Exchange Rate at Balance Sheet Dates | 1.17300 | 1.10314 | 1.12200 | |
Exchange Rate for Operating Periods | 1.135711 | 1.11795 | 1.11122 | 1.13580 |
Colombian Peso to USD [Member] | ||||
Exchange Rate at Balance Sheet Dates | 0.00031 | |||
Exchange Rate for Operating Periods | 0.00033 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Schedule of Reconciliation of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Mar. 31, 2019 | Mar. 31, 2018 |
Accounting Policies [Abstract] | |||||
Cash and cash equivalents | $ 583,955 | $ 137,177 | $ 133,644 | ||
Restricted Cash | 151,489 | ||||
Restricted cash, long term | 288,411 | ||||
Total cash, cash equivalents, and restricted cash shown on the statement of cash flows | $ 1,023,855 | $ 137,177 | $ 1,258,173 | $ 133,644 | $ 1,490,686 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Schedule of Fixed Assets (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Property, plant and equipment, gross | $ 7,129,450 | $ 3,246,140 | $ 26,033 |
Accumulated depreciation | (1,211,446) | (248,529) | (12,505) |
Net book value | $ 5,918,004 | $ 2,997,611 | 13,528 |
Furniture, Fixtures, and Equipment [Member] | |||
Estimated useful life of fixed assets | 10 years | 10 years | |
Property, plant and equipment, gross | $ 12,792 | $ 12,792 | 11,372 |
Computer Equipment [Member] | |||
Estimated useful life of fixed assets | 3 years | 3 years | |
Property, plant and equipment, gross | $ 21,143 | $ 19,533 | 14,661 |
Data Processing Equipment [Member] | |||
Estimated useful life of fixed assets | 3 years | 3 years | |
Property, plant and equipment, gross | $ 7,095,515 | $ 3,213,815 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Schedule of Fixed Assets (Details) (10-K) - USD ($) | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Property, plant and equipment, gross | $ 7,129,450 | $ 3,246,140 | $ 26,033 |
Accumulated amortization | (1,211,446) | (248,529) | (12,505) |
Net book value | $ 5,918,004 | $ 2,997,611 | 13,528 |
Furniture, Fixtures, and Equipment [Member] | |||
Estimated useful life of fixed assets | 10 years | 10 years | |
Property, plant and equipment, gross | $ 12,792 | $ 12,792 | 11,372 |
Computer Equipment [Member] | |||
Estimated useful life of fixed assets | 3 years | 3 years | |
Property, plant and equipment, gross | $ 21,143 | $ 19,533 | 14,661 |
Data Processing Equipment [Member] | |||
Estimated useful life of fixed assets | 3 years | 3 years | |
Property, plant and equipment, gross | $ 7,095,515 | $ 3,213,815 |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Schedule of Long-Lived Assets (Details) - USD ($) | 6 Months Ended | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Long-lived intangible assets | $ 991,000 | $ 991,000 | $ 991,000 | $ 1,816,000 |
Accumulated amortization | (384,930) | (254,949) | (298,118) | (239,315) |
Net book value | $ 606,070 | $ 736,051 | $ 692,882 | 1,576,685 |
FireFan Mobile Application [Member] | ||||
Estimated Useful Life | 4 years | 4 years | 4 years | |
Long-lived intangible assets | $ 331,000 | $ 331,000 | $ 331,000 | 331,000 |
Back Office Software [Member] | ||||
Estimated Useful Life | 10 years | 10 years | 10 years | |
Long-lived intangible assets | $ 408,000 | $ 408,000 | $ 408,000 | 408,000 |
Tradename/Trademark - FireFan [Member] | ||||
Estimated Useful Life | 5 years | 5 years | 5 years | |
Long-lived intangible assets | $ 248,000 | $ 248,000 | $ 248,000 | 248,000 |
Tradename/Trademark - United Games [Member] | ||||
Estimated Useful Life | 5 months 12 days | 5 months 12 days | 5 months 12 days | |
Long-lived intangible assets | $ 4,000 | $ 4,000 | $ 4,000 | 4,000 |
Customer Contracts/Relationships [Member] | ||||
Estimated Useful Life | 0 years | 5 years | ||
Long-lived intangible assets | $ 825,000 |
Summary of Significant Accou_12
Summary of Significant Accounting Policies - Schedule of Long-Lived Assets (Details) (10-K) - USD ($) | 6 Months Ended | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Long-lived intangible assets | $ 991,000 | $ 991,000 | $ 991,000 | $ 1,816,000 |
Accumulated amortization | (384,930) | (254,949) | (298,118) | (239,315) |
Net book value | $ 606,070 | $ 736,051 | $ 692,882 | 1,576,685 |
FireFan Mobile Application [Member] | ||||
Estimated Useful Life | 4 years | 4 years | 4 years | |
Long-lived intangible assets | $ 331,000 | $ 331,000 | $ 331,000 | 331,000 |
Back Office Software [Member] | ||||
Estimated Useful Life | 10 years | 10 years | 10 years | |
Long-lived intangible assets | $ 408,000 | $ 408,000 | $ 408,000 | 408,000 |
Tradename/Trademark - FireFan [Member] | ||||
Estimated Useful Life | 5 years | 5 years | 5 years | |
Long-lived intangible assets | $ 248,000 | $ 248,000 | $ 248,000 | 248,000 |
Tradename/Trademark - United Games [Member] | ||||
Estimated Useful Life | 5 months 12 days | 5 months 12 days | 5 months 12 days | |
Long-lived intangible assets | $ 4,000 | $ 4,000 | $ 4,000 | 4,000 |
Customer Contracts/Relationships [Member] | ||||
Estimated Useful Life | 0 years | 5 years | ||
Long-lived intangible assets | $ 825,000 |
Summary of Significant Accou_13
Summary of Significant Accounting Policies - Schedule of Amortization Expense (Details) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Accounting Policies [Abstract] | ||||
Remainder of 2021 | $ 86,338 | |||
Fiscal year ending March 31, 2022 | 173,150 | $ 173,150 | ||
Fiscal year ending March 31, 2023 | 173,150 | 173,150 | ||
Fiscal year ending March 31, 2024 | 32,589 | 115,338 | ||
Fiscal year ending March 31, 2025 | 6,148 | 55,748 | ||
Fiscal year ending March 31, 2026 and beyond | 134,695 | 175,496 | ||
Total | $ 606,070 | $ 692,882 | $ 736,051 | $ 1,576,685 |
Summary of Significant Accou_14
Summary of Significant Accounting Policies - Schedule of Amortization Expense (Details) (10-K) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Accounting Policies [Abstract] | ||||
Fiscal year ending March 31, 2021 | $ 173,150 | $ 173,150 | ||
Fiscal year ending March 31, 2022 | 173,150 | 173,150 | ||
Fiscal year ending March 31, 2023 | 32,589 | 115,338 | ||
Fiscal year ending March 31, 2024 | 6,148 | 55,748 | ||
Fiscal year ending March 31, 2025 and beyond | 134,695 | 175,496 | ||
Total | $ 606,070 | $ 692,882 | $ 736,051 | $ 1,576,685 |
Summary of Significant Accou_15
Summary of Significant Accounting Policies - Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 |
Cryptocurrencies | $ 155,628 | $ 96,022 | $ 142,061 |
Total Assets | 155,628 | 96,022 | 142,061 |
Derivative liability | 4,265 | 793,495 | 1,358,901 |
Total Liabilities | 4,265 | 793,495 | 1,358,901 |
Level 1 [Member] | |||
Cryptocurrencies | 155,628 | 96,022 | 142,061 |
Total Assets | 155,628 | 96,022 | 142,061 |
Derivative liability | |||
Total Liabilities | |||
Level 2 [Member] | |||
Cryptocurrencies | |||
Total Assets | |||
Derivative liability | |||
Total Liabilities | |||
Level 3 [Member] | |||
Cryptocurrencies | |||
Total Assets | |||
Derivative liability | 4,265 | 793,495 | 1,358,901 |
Total Liabilities | $ 4,265 | $ 793,495 | $ 1,358,901 |
Summary of Significant Accou_16
Summary of Significant Accounting Policies - Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis (Details) (10-K) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 |
Cryptocurrencies | $ 155,628 | $ 96,022 | $ 142,061 |
Total Assets | 155,628 | 96,022 | 142,061 |
Derivative liability | 4,265 | 793,495 | 1,358,901 |
Total Liabilities | 4,265 | 793,495 | 1,358,901 |
Level 1 [Member] | |||
Cryptocurrencies | 155,628 | 96,022 | 142,061 |
Total Assets | 155,628 | 96,022 | 142,061 |
Derivative liability | |||
Total Liabilities | |||
Level 2 [Member] | |||
Cryptocurrencies | |||
Total Assets | |||
Derivative liability | |||
Total Liabilities | |||
Level 3 [Member] | |||
Cryptocurrencies | |||
Total Assets | |||
Derivative liability | 4,265 | 793,495 | 1,358,901 |
Total Liabilities | $ 4,265 | $ 793,495 | $ 1,358,901 |
Summary of Significant Accou_17
Summary of Significant Accounting Policies - Summary of Activity Related to Sale and Leaseback Transactions (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Mar. 31, 2020 | ||
Beginning balance, long term | $ 3,885,464 | ||
Ending balance, long term | 8,087,700 | 3,885,464 | |
Sale and Leaseback [Member] | |||
Beginning balance, current | [1] | 11,407,200 | |
Beginning balance, long term | 3,885,464 | ||
Proceeds from sales of APEX | 16,143,265 | ||
Payments made for leased equipment | (3,208,000) | ||
Ending balance, current | [1] | 14,077,200 | 11,407,200 |
Ending balance, long term | 8,087,700 | 3,885,464 | |
Total Financial Liability [Member] | Sale and Leaseback [Member] | |||
Beginning balance, current | 53,828,000 | ||
Proceeds from sales of APEX | 5,001,622 | ||
Interest recognized on financial liability | 8,348,378 | ||
Payments made for leased equipment | (2,125,300) | ||
Interest expense | |||
Ending balance, current | 65,052,700 | 53,828,000 | |
Contra Liability [Member] | Sale and Leaseback [Member] | |||
Beginning balance, current | (38,535,336) | ||
Proceeds from sales of APEX | |||
Interest recognized on financial liability | (8,348,378) | ||
Payments made for leased equipment | |||
Interest expense | 3,995,914 | ||
Ending balance, current | (42,887,800) | (38,535,336) | |
Net Financial Liability [Member] | Sale and Leaseback [Member] | |||
Beginning balance, current | 15,292,664 | ||
Proceeds from sales of APEX | 5,001,622 | ||
Interest recognized on financial liability | |||
Payments made for leased equipment | (2,125,300) | ||
Interest expense | 3,995,914 | ||
Ending balance, current | $ 22,164,900 | $ 15,292,664 | |
[1] | Represents lease payments to be made in the next 12 months |
Summary of Significant Accou_18
Summary of Significant Accounting Policies - Summary of Activity Related to Sale and Leaseback Transactions (Details) (10-K) - USD ($) | 12 Months Ended | |||
Mar. 31, 2020 | Sep. 30, 2020 | Mar. 31, 2019 | ||
Interest recognized on financial liability | $ 2,257,399 | |||
Other current liabilities | (11,407,200) | $ (14,077,200) | ||
Other long-term liabilities | 3,885,464 | 8,087,700 | ||
Sale and Leaseback [Member] | ||||
Proceeds from sales of APEX | 16,143,265 | |||
Debt extinguished with the issuance of APEX | 100,000 | |||
Interest recognized on financial liability | 2,257,399 | |||
Payments made for leased equipment | (3,208,000) | |||
Total financial liability | 15,292,664 | |||
Other current liabilities | [1] | (11,407,200) | ||
Other long-term liabilities | $ 3,885,464 | $ 8,087,700 | ||
[1] | Represents lease payments to be made in the next 12 months |
Summary of Significant Accou_19
Summary of Significant Accounting Policies - Schedule of Sale and Leaseback Transactions (Details) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 |
Accounting Policies [Abstract] | ||
Remainder of 2021 | $ 4,782,861 | |
Fiscal year ending March 31, 2022 | 9,565,721 | $ 8,081,463 |
Fiscal year ending March 31, 2023 | 9,565,721 | 8,158,547 |
Fiscal year ending March 31, 2024 | 9,565,721 | 8,158,547 |
Fiscal year ending March 31, 2025 and beyond | 9,407,776 | 5,978,232 |
Sale Leaseback Transaction, Net | $ 42,887,800 | $ 38,535,336 |
Summary of Significant Accou_20
Summary of Significant Accounting Policies - Schedule of Sale and Leaseback Transactions (Details) (10-K) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 |
Accounting Policies [Abstract] | ||
Fiscal year ending March 31, 2021 | $ 9,565,721 | $ 8,081,463 |
Fiscal year ending March 31, 2022 | 9,565,721 | 8,158,547 |
Fiscal year ending March 31, 2023 | 9,565,721 | 8,158,547 |
Fiscal year ending March 31, 2024 | 8,158,547 | |
Fiscal year ending March 31, 2025 and beyond | 9,407,776 | 5,978,232 |
Sale Leaseback Transaction, Net | $ 42,887,800 | $ 38,535,336 |
Summary of Significant Accou_21
Summary of Significant Accounting Policies - Schedule of Revenue Generated (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Gross billings/receipts | $ 8,096,604 | $ 7,830,529 | $ 14,003,123 | $ 16,123,230 | $ 26,229,949 | $ 34,992,883 |
Refunds, incentives, credits, and chargebacks | (343,267) | (588,405) | (659,970) | (1,369,393) | (2,046,359) | (1,505,959) |
Net revenue | 7,753,337 | 7,242,124 | 13,343,153 | 14,753,837 | 24,183,590 | 29,659,081 |
Subscription Revenue [Member] | ||||||
Gross billings/receipts | 5,599,155 | 7,825,160 | 10,159,115 | 16,117,861 | 24,471,532 | 28,518,660 |
Refunds, incentives, credits, and chargebacks | (343,267) | (588,405) | (659,970) | (1,369,393) | (2,046,359) | (1,495,458) |
Net revenue | 5,255,888 | 7,236,755 | 9,499,145 | 14,748,468 | 22,425,173 | 27,023,202 |
Mining Revenue [Member] | ||||||
Gross billings/receipts | 2,493,739 | 3,836,285 | 1,745,138 | |||
Refunds, incentives, credits, and chargebacks | ||||||
Net revenue | 2,493,739 | 3,836,285 | 1,745,138 | |||
Fee Revenue [Member] | ||||||
Gross billings/receipts | 3,710 | 5,369 | 7,723 | 5,369 | 13,279 | |
Refunds, incentives, credits, and chargebacks | ||||||
Net revenue | $ 3,710 | $ 5,369 | $ 7,723 | $ 5,369 | $ 13,279 |
Summary of Significant Accou_22
Summary of Significant Accounting Policies - Schedule of Revenue Generated (Details) (10-K) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Gross billings/receipts | $ 8,096,604 | $ 7,830,529 | $ 14,003,123 | $ 16,123,230 | $ 26,229,949 | $ 34,992,883 |
Refunds, incentives, credits, and chargebacks | (343,267) | (588,405) | (659,970) | (1,369,393) | (2,046,359) | (1,505,959) |
Amounts paid to supplier | (3,827,843) | |||||
Net revenue | 7,753,337 | 7,242,124 | 13,343,153 | 14,753,837 | 24,183,590 | 29,659,081 |
Subscription Revenue [Member] | ||||||
Gross billings/receipts | 5,599,155 | 7,825,160 | 10,159,115 | 16,117,861 | 24,471,532 | 28,518,660 |
Refunds, incentives, credits, and chargebacks | (343,267) | (588,405) | (659,970) | (1,369,393) | (2,046,359) | (1,495,458) |
Amounts paid to supplier | ||||||
Net revenue | 5,255,888 | 7,236,755 | 9,499,145 | 14,748,468 | 22,425,173 | 27,023,202 |
Equipment Sales [Member] | ||||||
Gross billings/receipts | 698,954 | |||||
Refunds, incentives, credits, and chargebacks | (4,000) | |||||
Amounts paid to supplier | ||||||
Net revenue | 694,954 | |||||
Cryptocurrency Mining Revenue [Member] | ||||||
Gross billings/receipts | 5,775,269 | |||||
Refunds, incentives, credits, and chargebacks | (6,501) | |||||
Amounts paid to supplier | (3,827,843) | |||||
Net revenue | 1,940,925 | |||||
Mining Revenue [Member] | ||||||
Gross billings/receipts | 2,493,739 | 3,836,285 | 1,745,138 | |||
Refunds, incentives, credits, and chargebacks | ||||||
Amounts paid to supplier | ||||||
Net revenue | 2,493,739 | 3,836,285 | 1,745,138 | |||
Fee Revenue [Member] | ||||||
Gross billings/receipts | 3,710 | 5,369 | 7,723 | 5,369 | 13,279 | |
Refunds, incentives, credits, and chargebacks | ||||||
Amounts paid to supplier | ||||||
Net revenue | $ 3,710 | $ 5,369 | $ 7,723 | $ 5,369 | $ 13,279 |
Summary of Significant Accou_23
Summary of Significant Accounting Policies - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares | 6 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 161,975,538 | 59,050,867 | 45,743,298 | 57,249,552 |
Options to Purchase Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 35,000 | 35,000 | ||
Warrants to Purchase Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 233,060 | 599,800 | 5,052,497 | |
Note Convertible into Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 161,742,478 | 58,416,067 | 45,743,298 | 52,162,055 |
Summary of Significant Accou_24
Summary of Significant Accounting Policies - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) (10-K) - shares | 6 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 161,975,538 | 59,050,867 | 45,743,298 | 57,249,552 |
Options to Purchase Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 35,000 | 35,000 | ||
Warrants to Purchase Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 233,060 | 599,800 | 5,052,497 | |
Note Convertible into Common Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 161,742,478 | 58,416,067 | 45,743,298 | 52,162,055 |
Going Concern and Liquidity (De
Going Concern and Liquidity (Details Narrative) - USD ($) | Sep. 30, 2020 | Apr. 30, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 |
Accumulated deficit | $ 52,536,063 | $ 52,536,063 | $ 52,536,063 | $ 46,382,174 | $ 25,096,983 | |||||
Net loss | (1,187,760) | $ (4,913,787) | $ (1,753,566) | $ (3,005,955) | (6,101,547) | $ (4,759,521) | (21,285,191) | (4,978,095) | ||
Cash | 583,955 | 583,955 | 583,955 | 137,177 | 133,644 | |||||
Working capital deficit | 18,383,173 | $ 18,383,173 | 18,383,173 | 14,123,625 | ||||||
Proceeds from new debt arrangements | $ 93,300 | 1,405,300 | ||||||||
Proceeds from related parties | 4,474,137 | |||||||||
Net cash provided by operations | $ 661,629 | $ 3,524,823 | $ 4,624,767 | $ (2,983,251) | ||||||
On or Before October 31, 2020 [Member] | ||||||||||
Purchase of promissory notes | $ 9,000,000 |
Going Concern and Liquidity (_2
Going Concern and Liquidity (Details Narrative) (10-K) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Apr. 30, 2020 | Jun. 29, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Accumulated deficit | $ 52,536,063 | $ 46,382,174 | $ 25,096,983 | |||
Net loss | (21,285,191) | (5,011,036) | ||||
Working capital deficit | 18,383,173 | 14,123,625 | ||||
Proceeds from new lending arrangements | $ 10,049,435 | 1,405,300 | $ 1,322,651 | 2,527,452 | 4,115,961 | |
Proceeds from related parties | $ 4,474,137 | $ 1,459,500 | 4,484,979 | $ 1,905,777 | ||
Proceeds from the sale of stock | $ 825,000 | |||||
On or Before October 31, 2020 [Member] | ||||||
Purchase of promissory notes | $ 9,000,000 |
Acquisitions (Details Narrative
Acquisitions (Details Narrative) (10-K) - USD ($) | Jul. 20, 2018 | Mar. 31, 2020 | Mar. 31, 2019 |
Net income | $ (21,285,191) | $ (5,011,036) | |
Acquisition of United Games, LLC and United League, LLC [Member] | |||
Combined revenue | $ 1,331,542 | ||
Net income | $ 26,059 | ||
Purchase Agreement [Member] | |||
Common stock issued for acquisition | 50,000,000 | ||
Purchase Agreement [Member] | Acquisition of United Games, LLC and United League, LLC [Member] | |||
Common stock issued for acquisition | 50,000,000 |
Acquisitions - Schedule of Reco
Acquisitions - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) (10-K) - USD ($) | Jul. 20, 2018 | Mar. 31, 2020 | Mar. 31, 2019 | |
Gain on bargain purchase | $ 971,282 | |||
Acquisition of United Games, LLC and United League, LLC [Member] | ||||
Cash | $ 3,740 | |||
Receivables | 361,345 | |||
Intangible assets (see Note 2) | 1,816,000 | |||
Total assets acquired | 2,181,085 | |||
Accounts payable and accrued liabilities | 409,803 | |||
Total liabilities assumed | 409,803 | |||
Net assets acquired | 1,771,282 | |||
Consideration | [1] | 800,000 | ||
Gain on bargain purchase | $ 971,282 | |||
[1] | The 50,000,000 shares of our common stock transferred as consideration in accordance with the Purchase Agreement was valued on July 20, 2018, the date of acquisition, based on the weighted equity fair value of $0.016 per share as determined by a third-party valuation firm. |
Acquisitions - Schedule of Re_2
Acquisitions - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) (10-K) (Parenthetical) - Purchase Agreement [Member] | Jul. 20, 2018$ / sharesshares |
Number of shares purchased | shares | 50,000,000 |
Fair value of weighted equity price per shares | $ / shares | $ 0.016 |
Acquisitions - Schedule of Busi
Acquisitions - Schedule of Business Acquisition, Pro Forma Information (Details) (10-K) - USD ($) | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Business Combinations [Abstract] | ||
Revenues | $ 24,225,208 | $ 27,961,351 |
Net (loss) | $ (19,429,574) | $ (5,288,735) |
Loss per common share | $ (0.01) | $ 0 |
Related Party Transactions (Det
Related Party Transactions (Details Narrative) (10-K) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Jul. 23, 2019 | |
Proceeds from the note | $ 1,000,000 | ||||||
Cash | 900,000 | ||||||
Offset amounts owing to the lender | 100,000 | ||||||
Beneficial conversion feature of debt discount | 1,000,000 | ||||||
Debt discount | $ 2,600,000 | ||||||
Common stock shares issued | 59,215,648 | ||||||
Settlement of debt | $ 812,111 | $ 1,281,477 | $ 829,937 | $ 1,281,477 | $ 2,018,791 | $ 19,387 | |
Related party debt settled | 3,036,216 | 1,369,500 | 2,192,160 | 1,367,168 | |||
Interest expense | 30,000 | ||||||
Related parties for proceeds | $ 4,474,137 | $ 1,459,500 | 4,484,979 | $ 1,905,777 | |||
Sold 57 APEX Units [Member] | |||||||
Settlement of debt | 100,000 | ||||||
Related parties for proceeds | 12,272 | ||||||
233 Lease Payments [Member] | |||||||
Lease payments | $ 116,500 | ||||||
Settlement Agreement [Member] | |||||||
Common stock shares issued | 200,000,000 | ||||||
Repayment of convertible promissory note | $ 3,600,000 | ||||||
Settlement of debt | 500,000 | ||||||
Related party debt settled | 4,100,000 | ||||||
Interest expense | 3,600,000 | ||||||
Beginning January of 2020 Through June of 2020 [Member] | |||||||
Monthly minimum payment | 50,000 | ||||||
Beginning July of 2020 [Member] | |||||||
Monthly minimum payment | $ 100,000 | ||||||
Senior Management Team [Member] | |||||||
Convertible promissory note | $ 3,600,000 | ||||||
Lender [Member] | |||||||
Conversion of shares price per share | $ 0.005 | ||||||
Lender [Member] | Maximum [Member] | |||||||
Conversion of shares value | $ 2,600,000 | ||||||
Chief Executive Officer [Member] | High Speed Computer Processing Equipment [Member] | |||||||
Sale of equipment | $ 41,500 |
Related-Party Transactions - Sc
Related-Party Transactions - Schedule of Related Party Payables (Details) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | ||||
Related Party Transactions [Abstract] | |||||||
Short-term advances | $ 489,850 | [1] | $ 876,427 | [1] | $ 440,489 | [2] | |
Promissory Note entered into on 1/30/20 | 1,133,333 | [3] | 1,033,333 | [4] | [4] | ||
Convertible Promissory Note entered into on 4/27/20 | [5] | 77,198 | |||||
Convertible Promissory Note entered into on 5/27/20 | [6] | 36,019 | |||||
Accounts payable - related party | 30,000 | [7] | 55,000 | [8] | [8] | ||
Total related party payable | $ 1,766,400 | $ 1,964,760 | $ 545,489 | ||||
[1] | We periodically receive advances for operating funds from our current majority shareholders and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand and are unsecured. During the six months ended September 30, 2020, we received $2,338,137 in cash proceeds from advances, incurred $50,000 in interest expense on the advances, and repaid related parties $2,816,713. Also during the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified from a related party payable to debt on our balance sheet (see NOTE 6). | ||||||
[2] | We periodically receive advances for operating funds from our current majority shareholders, officers, directors and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand, generally have no set interest rates associated with them, and are unsecured. During the year ended March 31, 2020, we received $2,484,979 in cash proceeds from advances, incurred $769,999 in interest, and repaid related parties a total of $1,292,160. Also during the year ended March 31, 2020 we settled $1,880 of amounts that were recorded as due prior to March 31, 2018, settled $100,000 by issuing APEX units, and settled $500,000 with the issuance of common stock. | ||||||
[3] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the six months ended September 30, 2020 we recognized $100,000 of interest expense on the note. | ||||||
[4] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the year ended March 31, 2020 we recognized $33,333 of interest expense on the note. | ||||||
[5] | On April 27, 2020 we received proceeds of $1,300,000 from DBR Capital, LLC, an entity controlled by members of our Board of Directors. The note bears interest at 20% per annum, payable monthly, and the principal is due and payable on April 27, 2030. The note is convertible into common stock at a conversion price of $0.01257 per share therefore during the six months ended September 30, 2020 we recorded a beneficial conversion feature and debt discount of $1,300,000 (see NOTE 8). During the six months ended September 30, 2020 we recognized $55,531 of the debt discount into interest expense as well as expensed an additional $111,223 of interest expense on the note, of which $89,556 was repaid during the period. | ||||||
[6] | On May 27, 2020 we received proceeds of $700,000 from DBR Capital, LLC, an entity controlled by members of our Board of Directors. The note bears interest at 20% per annum, payable monthly, and the principal is due and payable on April 27, 2030. The note is convertible into common stock at a conversion price of $0.01257 per share therefore during the six months ended September 30, 2020 we recorded a beneficial conversion feature and debt discount of $700,000 (see NOTE 8). During the six months ended September 30, 2020 we recognized $24,352 of the debt discount into interest expense as well as expensed an additional $48,614 of interest expense on the note, of which $36,947 was repaid during the period. | ||||||
[7] | During the six months ended September 30, 2020 we paid $25,000 to an accounting firm owned by our Chief Financial Officer to reduce amounts previously owed. We also incurred $68,000 to reimburse DBR Capital, LLC, for amounts paid on our behalf. The entire amount was repaid during the six months ended September 30, 2020. | ||||||
[8] | During the year ended March 31, 2020 we entered into an employment agreement with Jayme McWidener as our Chief Financial Officer. At the date we entered into the employment agreement we owed her firm, Mac Accounting Group, LLP, $75,000, which was reclassified as a related party accounts payable balance on our balance sheet. We made repayments on the liability of $20,000 since the date we entered into the employment agreement. |
Related-Party Transactions - _2
Related-Party Transactions - Schedule of Related Party Payables (Details) (Parenthetical) - USD ($) | May 27, 2020 | Apr. 27, 2020 | Jan. 30, 2020 | Aug. 31, 2018 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |||
Proceeds from related parties | $ 4,474,137 | $ 1,459,500 | $ 4,484,979 | $ 1,905,777 | |||||||
Repayments for related party debt | 3,036,216 | 1,369,500 | 2,192,160 | 1,367,168 | |||||||
Short term debt | $ 75,000 | 200,000 | |||||||||
Promissory note | 1,133,333 | [1] | 1,033,333 | [2] | [2] | ||||||
Debt due amount | 230,000 | ||||||||||
Beneficial conversion feature | 1,000,000 | ||||||||||
Debt discount | 2,600,000 | ||||||||||
Repayments of debt | 2,030,344 | $ 2,745,024 | 5,020,795 | $ 2,936,044 | |||||||
Joseph Cammarata [Member] | Promissory Note Entered into on 4/10/20 [Member] | |||||||||||
Interest expense | 100,000 | ||||||||||
Promissory note | $ 1,000,000 | ||||||||||
Debt term | 1 year | ||||||||||
Debt instrument interest percentage | 20.00% | ||||||||||
Debt due amount | $ 200,000 | ||||||||||
Majority Shareholders and Other Related Parties [Member] | |||||||||||
Proceeds from related parties | 2,338,137 | 2,484,979 | |||||||||
Interest expense | 50,000 | 769,999 | |||||||||
Repayments for related party debt | 2,816,713 | $ 1,292,160 | |||||||||
Senior Management Team [Member] | |||||||||||
Short term debt | 26,001 | ||||||||||
DBR Capital, LLC [Member] | |||||||||||
Incurred reimbursement | 68,000 | ||||||||||
DBR Capital, LLC [Member] | Board of Directors [Member] | |||||||||||
Proceeds from related parties | $ 700,000 | $ 1,300,000 | |||||||||
Interest expense | 13,613 | $ 111,223 | |||||||||
Repayments for related party debt | $ 36,947 | ||||||||||
Debt instrument interest percentage | 20.00% | 20.00% | |||||||||
Debt instrument due date | Apr. 27, 2030 | Apr. 27, 2030 | |||||||||
Debt conversion price | $ 0.01257 | $ 0.01257 | |||||||||
Beneficial conversion feature | $ 700,000 | $ 1,300,000 | |||||||||
Debt discount | $ 24,352 | 55,531 | |||||||||
Repayments of debt | 89,556 | ||||||||||
Accounting Firm [Member] | Chief Financial Officer [Member] | |||||||||||
Repayments for related party debt | $ 25,000 | ||||||||||
[1] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the six months ended September 30, 2020 we recognized $100,000 of interest expense on the note. | ||||||||||
[2] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the year ended March 31, 2020 we recognized $33,333 of interest expense on the note. |
Related Party Transactions - Sc
Related Party Transactions - Schedule of Related Party Payables (Details) (10-K) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | ||||
Related Party Transactions [Abstract] | |||||||
Short-term advances | $ 489,850 | [1] | $ 876,427 | [1] | $ 440,489 | [2] | |
Short-term Promissory Note entered into on 8/17/18 | [3] | 105,000 | |||||
Promissory Note entered into on 1/30/20 | 1,133,333 | [4] | 1,033,333 | [5] | [5] | ||
Accounts payable - related party | 30,000 | [6] | 55,000 | [7] | [7] | ||
Total related party payable | $ 1,766,400 | $ 1,964,760 | $ 545,489 | ||||
[1] | We periodically receive advances for operating funds from our current majority shareholders and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand and are unsecured. During the six months ended September 30, 2020, we received $2,338,137 in cash proceeds from advances, incurred $50,000 in interest expense on the advances, and repaid related parties $2,816,713. Also during the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified from a related party payable to debt on our balance sheet (see NOTE 6). | ||||||
[2] | We periodically receive advances for operating funds from our current majority shareholders, officers, directors and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand, generally have no set interest rates associated with them, and are unsecured. During the year ended March 31, 2020, we received $2,484,979 in cash proceeds from advances, incurred $769,999 in interest, and repaid related parties a total of $1,292,160. Also during the year ended March 31, 2020 we settled $1,880 of amounts that were recorded as due prior to March 31, 2018, settled $100,000 by issuing APEX units, and settled $500,000 with the issuance of common stock. | ||||||
[3] | A member of the senior management team advanced funds of $100,000 on August 17, 2018, under a short-term promissory note due to be repaid on August 31, 2018. On August 31, 2018 the note was amended to be due on demand or, in absence of a demand, due on August 31, 2019. The note had a fixed interest payment of $5,000, which was recorded as interest expense in the statement of operations during the year ended March 31, 2019. During the year ended March 31, 2020 we made repayments of $105,000 on the note. | ||||||
[4] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the six months ended September 30, 2020 we recognized $100,000 of interest expense on the note. | ||||||
[5] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the year ended March 31, 2020 we recognized $33,333 of interest expense on the note. | ||||||
[6] | During the six months ended September 30, 2020 we paid $25,000 to an accounting firm owned by our Chief Financial Officer to reduce amounts previously owed. We also incurred $68,000 to reimburse DBR Capital, LLC, for amounts paid on our behalf. The entire amount was repaid during the six months ended September 30, 2020. | ||||||
[7] | During the year ended March 31, 2020 we entered into an employment agreement with Jayme McWidener as our Chief Financial Officer. At the date we entered into the employment agreement we owed her firm, Mac Accounting Group, LLP, $75,000, which was reclassified as a related party accounts payable balance on our balance sheet. We made repayments on the liability of $20,000 since the date we entered into the employment agreement. |
Related Party Transactions - _2
Related Party Transactions - Schedule of Related Party Payables (Details) (10-K) (Parenthetical) - USD ($) | Aug. 31, 2018 | Aug. 17, 2018 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Jan. 16, 2019 | ||||
Proceeds from related parties | $ 4,474,137 | $ 1,459,500 | $ 4,484,979 | $ 1,905,777 | |||||||||
Repayments for related party debt | 3,036,216 | 1,369,500 | 2,192,160 | 1,367,168 | |||||||||
Settlement of debt | $ 812,111 | $ 1,281,477 | 829,937 | 1,281,477 | 2,018,791 | 19,387 | |||||||
Short-term promissory note advance funds | 489,850 | [1] | 489,850 | [1] | 876,427 | [1] | 440,489 | [2] | |||||
Promissory note | 1,133,333 | [3] | 1,133,333 | [3] | 1,033,333 | [4] | [4] | ||||||
Accounts payable related party | $ 30,000 | [5] | 30,000 | [5] | 55,000 | [6] | [6] | ||||||
Repayments of debt | 2,030,344 | $ 2,745,024 | 5,020,795 | 2,936,044 | |||||||||
Joeseph Cammarata [Member] | Promissory Note Entered into on 4/10/20 [Member] | |||||||||||||
Interest incurred | 33,333 | ||||||||||||
Promissory note | $ 1,000,000 | ||||||||||||
Debt term | 1 year | ||||||||||||
Debt instrument interest percentage | 20.00% | ||||||||||||
Short-term Promissory Note [Member] | |||||||||||||
Interest incurred | $ 5,000 | ||||||||||||
Repayments for related party debt | $ 105,000 | ||||||||||||
Short-term promissory note advance funds | $ 100,000 | ||||||||||||
Debt instrument due date | Aug. 31, 2019 | Aug. 31, 2018 | |||||||||||
Debt instrument interest percentage | 0.00% | ||||||||||||
Repayments of debt | 60,000 | ||||||||||||
Common Stock [Member] | |||||||||||||
Settlement of debt | 500,000 | ||||||||||||
APEX Units [Member] | |||||||||||||
Settlement of debt | 100,000 | ||||||||||||
Majority Shareholders and Other Related Parties [Member] | |||||||||||||
Proceeds from related parties | 2,338,137 | 2,484,979 | |||||||||||
Interest incurred | 50,000 | 769,999 | |||||||||||
Repayments for related party debt | $ 2,816,713 | 1,292,160 | |||||||||||
Settlement of debt | 1,880 | ||||||||||||
Mac Accounting Group, LLP [Member] | Jayme McWidener [Member] | Employment Agreement [Member] | |||||||||||||
Accounts payable related party | 75,000 | ||||||||||||
Repayments of debt | $ 20,000 | ||||||||||||
[1] | We periodically receive advances for operating funds from our current majority shareholders and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand and are unsecured. During the six months ended September 30, 2020, we received $2,338,137 in cash proceeds from advances, incurred $50,000 in interest expense on the advances, and repaid related parties $2,816,713. Also during the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified from a related party payable to debt on our balance sheet (see NOTE 6). | ||||||||||||
[2] | We periodically receive advances for operating funds from our current majority shareholders, officers, directors and other related parties, including entities that are owned, controlled, or influenced by our owners or management. These advances are due on demand, generally have no set interest rates associated with them, and are unsecured. During the year ended March 31, 2020, we received $2,484,979 in cash proceeds from advances, incurred $769,999 in interest, and repaid related parties a total of $1,292,160. Also during the year ended March 31, 2020 we settled $1,880 of amounts that were recorded as due prior to March 31, 2018, settled $100,000 by issuing APEX units, and settled $500,000 with the issuance of common stock. | ||||||||||||
[3] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the six months ended September 30, 2020 we recognized $100,000 of interest expense on the note. | ||||||||||||
[4] | We entered into a $1,000,000 promissory note with Joeseph Cammarata, our Chief Executive Officer, on January 30, 2020. The term of the note is one year, at which time the principal and interest of 20%, or $200,000 will be due. During the year ended March 31, 2020 we recognized $33,333 of interest expense on the note. | ||||||||||||
[5] | During the six months ended September 30, 2020 we paid $25,000 to an accounting firm owned by our Chief Financial Officer to reduce amounts previously owed. We also incurred $68,000 to reimburse DBR Capital, LLC, for amounts paid on our behalf. The entire amount was repaid during the six months ended September 30, 2020. | ||||||||||||
[6] | During the year ended March 31, 2020 we entered into an employment agreement with Jayme McWidener as our Chief Financial Officer. At the date we entered into the employment agreement we owed her firm, Mac Accounting Group, LLP, $75,000, which was reclassified as a related party accounts payable balance on our balance sheet. We made repayments on the liability of $20,000 since the date we entered into the employment agreement. |
Debt (Details Narrative) (10-K)
Debt (Details Narrative) (10-K) - USD ($) | 1 Months Ended | 6 Months Ended | 12 Months Ended | ||
Aug. 31, 2018 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Proceeds from short-term debt | $ 75,000 | $ 200,000 | |||
Proceeds from convertible promissory note | 140,000 | ||||
Interest expense | 30,000 | ||||
Cash payment | 230,000 | ||||
Debt discount | 2,600,000 | ||||
Interest expense amortized | $ 703,511 | $ 1,892,791 | 6,152,329 | $ 1,052,523 | |
Convertible Note [Member] | |||||
Interest expense | 119,931 | ||||
Interest expense amortized | 374,000 | ||||
Prepayment penalties | 493,931 | ||||
Convertible Promissory Note One [Member] | |||||
Proceeds from convertible promissory note | 140,000 | ||||
Convertible Promissory Note Two [Member] | |||||
Proceeds from convertible promissory note | 100,000 | ||||
Convertible Promissory Note Three [Member] | |||||
Proceeds from convertible promissory note | 125,000 | ||||
Short-term Debt One [Member] | |||||
Proceeds from short-term debt | 100,000 | ||||
Short-term Debt Two [Member] | |||||
Proceeds from short-term debt | 100,000 | ||||
Derivative Instrument [Member] | |||||
Interest expense | 945,060 | ||||
Debt discount | $ 374,000 |
Debt - Schedule of Debt (Detail
Debt - Schedule of Debt (Details) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | ||||
Debt | $ 1,571,921 | $ 1,719,326 | $ 1,977,030 | ||||
Short-term Debt [Member] | |||||||
Debt | [1] | 26,001 | |||||
Short-term Advance Received on 8/31/18 [Member] | |||||||
Debt | 35,000 | [2] | 65,000 | [3] | 75,000 | [3] | |
Secured Merchant Agreement for Future Receivables Entered into on 8/16/19 and Refinanced on 12/10/19 [Member] | |||||||
Debt | [4] | 1,223,615 | [5] | [5] | |||
Secured Merchant Agreement for Future Receivables Entered into on 8/16/19 [Member] | |||||||
Debt | [6] | 260,090 | [7] | [7] | |||
Convertible Promissory Note Entered into on 3/5/20 [Member] | |||||||
Debt | [8] | 13,072 | [9] | [9] | |||
Convertible Promissory Note Entered into on 3/11/20 [Member] | |||||||
Debt | [10] | 7,549 | [11] | [11] | |||
Short-term Advance Received on 3/25/20 [Member] | |||||||
Debt | [12] | 95,000 | 150,000 | ||||
Promissory Note Entered into on 4/10/20 [Member] | |||||||
Debt | 400,000 | [13] | [14] | $ 60,000 | [14] | ||
Notes Issued under the Paycheck Protection Program on 4/17/20 [Member] | |||||||
Debt | 507,598 | [15] | [13] | ||||
Loan with the Small Business Administration Dated 4/19/20 [Member] | |||||||
Debt | $ 508,322 | [16] | [15] | ||||
[1] | During the six months ended September 30, 2020 there was a change in senior management therefore $26,001 due to a former member of the senior management team was reclassified on our balance sheet from a related party payable to debt (see NOTE 5). | ||||||
[2] | In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the six months ended September 30, 2020 we made repayments of $30,000 on the debt. | ||||||
[3] | In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the year ended March 31, 2020 we made repayments of $10,000. | ||||||
[4] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 and $297,033 from two separate February 2018 agreements. In accordance with the terms of the new agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid.Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. Prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 agreement. During the six months ended September 30, 2020 we amortized $442,894 into interest expense and repaid $1,071,996 to pay the debt off in full, which resulted in a gain on settlement of debt being recorded for $594,513. | ||||||
[5] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 from a February 2018 agreement (see notation [2] above) and $297,033 from a second February 2019 agreement (see notation [3] above). In accordance with the terms of the agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid.Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. During the year ended March 31, 2020, prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 arrangement. | ||||||
[6] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement. In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. During the six months ended September 30, 2020 we repaid $330,013, recorded a $5,934 gain on settlement of debt, and amortized $75,857 into interest expense | ||||||
[7] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement (see notation [4] above). In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. | ||||||
[8] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 2, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. During the six months ended September 30, 2020, we amortized $59,916 into interest expense, and recorded additional interest expense on the note of $7,453 before we repaid the note in full for $262,649 and wrote off the derivative liability associated with the debt of $265,584 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $83,376. | ||||||
[9] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 2, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. | ||||||
[10] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 10, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. During the six months ended September 30, 2020, we amortized $44,960 into interest expense and recorded additional interest expense on the note of $5,617 before we repaid the note in full for $197,351 and wrote off the derivative liability associated with the debt of $203,357 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $64,132. | ||||||
[11] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 10, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. | ||||||
[12] | In March 2020, we received a $150,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the six months ended September 30, 2020 we made repayments of $55,000 on the debt. | ||||||
[13] | In April 2020, we received proceeds of $400,000 after entering into a promissory note that is due six months from the funding date. Under the note six interest only payments of $16,667 are to be made on the 20th of each month beginning in May 2020. Collateral for the note is, in priority order, is: the reserve and current balance in one of our merchant accounts, the reserve account in a second separate merchant accounts, shares of our common stock, and high-speed computer processing equipment. During the six months ended September 30, 2020 we recorded and paid $83,335 worth of interest expense. | ||||||
[14] | In January 2019, we received funds of $631,617 and repaid $511,617 in a series of transactions representing short-term advances. On January 16, 2019, we entered into a short-term promissory note for the resulting $120,000 owed as a result of the transactions. The note had a zero percent interest rate and was due within the shorter of three months or the receipt of cash from a $1 million financing arrangement. During the year ended March 31, 2020, we repaid $60,000 of the amount due under the note. | ||||||
[15] | In April 2020 we received $505,300 in proceeds from the Paycheck Protection Program as established by the CARES Act as a result of a Note entered into with the U.S. Small Business Administration. The note has an interest rate of 1% and matures on April 1, 2022. Under the Note we are required to make monthly payments beginning November 1, 2020, however, under the terms of the CARES Act the loan may be forgiven if funds are used for qualifying expenses. During the six months ended September 30, 2020 we recorded $2,298 worth of interest expense on the Note. | ||||||
[16] | In April 2020 we received proceeds of $500,000 from a loan entered into with the U.S. Small Business Administration. Under the terms of the loan interest is to accrue at a rate of 3.75% per annum and installment payments of $2,437 monthly will begin twelve months from the date of the loan, with all interest and principal due and payable thirty years from the date of the loan. During the six months ended September 30, 2020 we recorded $8,322 worth of interest on the loan. |
Debt - Schedule of Debt (Deta_2
Debt - Schedule of Debt (Details) (Parenthetical) | Dec. 10, 2019USD ($) | Aug. 15, 2019USD ($) | Mar. 29, 2019USD ($) | Feb. 15, 2019USD ($) | Jan. 11, 2019USD ($) | Dec. 17, 2018USD ($) | Sep. 28, 2018USD ($) | Apr. 30, 2020USD ($) | Mar. 31, 2020USD ($)Integer | Aug. 31, 2019USD ($) | Aug. 31, 2018USD ($) | Jul. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2019USD ($) | Oct. 31, 2018USD ($) |
Proceeds from short-term debt | $ 75,000 | $ 200,000 | |||||||||||||||
Debt discount | $ 2,600,000 | 2,600,000 | |||||||||||||||
Repayments for debt | $ 2,030,344 | $ 2,745,024 | 5,020,795 | $ 2,936,044 | |||||||||||||
Proceeds form convertible promissory note | 140,000 | ||||||||||||||||
Additional interest expenses | 30,000 | ||||||||||||||||
Debt periodic payment | 230,000 | ||||||||||||||||
U.S. Small Business Administration [Member] | |||||||||||||||||
Repayment of short-term debt | 30,000 | ||||||||||||||||
US Small Business Administration 1 [Member] | |||||||||||||||||
Proceeds from short-term debt | $ 500,000 | ||||||||||||||||
Repayments for debt | $ 8,322 | ||||||||||||||||
Debt instrument interest percentage | 3.75% | ||||||||||||||||
Debt description | Under the terms of the loan interest is to accrue at a rate of 3.75% per annum and installment payments of $2,437 monthly will begin twelve months from the date of the loan, with all interest and principal due and payable thirty years from the date of the loan. During the six months ended September 30, 2020 we recorded $8,322 worth of interest on the loan. | ||||||||||||||||
Debt periodic payment | $ 2,437 | ||||||||||||||||
Convertible Promissory Note [Member] | |||||||||||||||||
Repayment of short-term debt | 262,649 | ||||||||||||||||
Debt discount | 203,000 | 203,000 | |||||||||||||||
Interest expense | 116,077 | 59,916 | $ 11,626 | ||||||||||||||
Gain on settlement of debts | 83,376 | ||||||||||||||||
Proceeds form convertible promissory note | 200,000 | ||||||||||||||||
Loan fees | $ 3,000 | ||||||||||||||||
Debt instrument interest percentage | 10.00% | 10.00% | |||||||||||||||
Debt maturity date | Jun. 2, 2021 | ||||||||||||||||
Conversion of lowest trading percentage | 65.00% | ||||||||||||||||
Conversion of lowest trading days | Integer | 15 | ||||||||||||||||
Additional interest expenses | 7,453 | $ 1,446 | |||||||||||||||
Wrote off derivative liability | 265,584 | ||||||||||||||||
Convertible Promissory Note Entered Two [Member] | |||||||||||||||||
Repayment of short-term debt | 197,351 | ||||||||||||||||
Debt discount | $ 153,000 | 153,000 | |||||||||||||||
Interest expense | 148,432 | 44,960 | $ 6,711 | ||||||||||||||
Gain on settlement of debts | 64,132 | ||||||||||||||||
Proceeds form convertible promissory note | 150,000 | ||||||||||||||||
Loan fees | $ 3,000 | ||||||||||||||||
Debt instrument interest percentage | 10.00% | 10.00% | |||||||||||||||
Debt maturity date | Jun. 10, 2021 | ||||||||||||||||
Conversion of lowest trading percentage | 65.00% | ||||||||||||||||
Conversion of lowest trading days | Integer | 15 | ||||||||||||||||
Additional interest expenses | 5,617 | $ 838 | |||||||||||||||
Wrote off derivative liability | 203,357 | ||||||||||||||||
Short Term Advance [Member] | |||||||||||||||||
Proceeds from short-term debt | $ 150,000 | ||||||||||||||||
Repayment of short-term debt | 55,000 | ||||||||||||||||
Promissory note [Member] | |||||||||||||||||
Proceeds from short-term debt | 400,000 | ||||||||||||||||
Repayment of short-term debt | $ 16,667 | ||||||||||||||||
Interest expense | 83,335 | ||||||||||||||||
Debt description | Under the note six interest only payments of $16,667 are to be made on the 20th of each month beginning in May 2020. | ||||||||||||||||
Senior Management Team [Member] | |||||||||||||||||
Repayments for debt | 26,001 | ||||||||||||||||
Secured Merchant Agreement [member] | |||||||||||||||||
Proceeds from short-term debt | $ 854,801 | $ 339,270 | |||||||||||||||
Repayment of short-term debt | 2,448,250 | $ 1,189,150 | 330,013 | 853,203 | |||||||||||||
Debt discount | 753,935 | $ 16,500 | $ 152,391 | $ 139,799 | $ 179,600 | $ 269,400 | 446,604 | $ 224,500 | |||||||||
Debt refinanced amount | 839,514 | ||||||||||||||||
Repayments for debt | 45,000 | 909,350 | $ 489,650 | 559,600 | $ 839,400 | 451,886 | 141,372 | 699,500 | |||||||||
Interest expense | 75,857 | 312,912 | |||||||||||||||
Gain on settlement of debts | 5,934 | ||||||||||||||||
Debt instrument interest percentage | 10.00% | ||||||||||||||||
Debt periodic payment | $ 4,500 | 5,049 | $ 3,000 | $ 4,372 | |||||||||||||
Secured Merchant Agreement [member] | Inception of the Agreement [Member] | |||||||||||||||||
Debt discount | 388,769 | ||||||||||||||||
Secured Merchant Agreement [member] | ACH Payments [Member] | |||||||||||||||||
Repayment of short-term debt | 10,999 | 5,801 | |||||||||||||||
February 2018 Agreement One [Member] | |||||||||||||||||
Repayment of short-term debt | 316,093 | ||||||||||||||||
February 2018 Agreement Two [Member] | |||||||||||||||||
Repayment of short-term debt | 297,033 | ||||||||||||||||
New Agreement [Member] | |||||||||||||||||
Repayment of short-term debt | 1,399,000 | ||||||||||||||||
New Agreement [Member] | ACH Payments [Member] | |||||||||||||||||
Repayment of short-term debt | $ 6,823 | ||||||||||||||||
August 2019 Arrangement [Member] | |||||||||||||||||
Repayments for debt | 559,486 | ||||||||||||||||
Interest expense | $ 446,605 | ||||||||||||||||
December 2019 Agreement [Member] | |||||||||||||||||
Repayment of short-term debt | 747,932 | ||||||||||||||||
Interest expense | 277,232 | ||||||||||||||||
Secured Merchant Agreement One [Member] | |||||||||||||||||
Debt discount | 291,468 | ||||||||||||||||
Repayments for debt | 840,000 | 1,071,996 | $ 413,580 | $ 129,388 | |||||||||||||
Interest expense | 442,894 | ||||||||||||||||
Gain on settlement of debts | 594,513 | ||||||||||||||||
Debt periodic payment | $ 4,649 | ||||||||||||||||
October 2018 Agreement [Member] | |||||||||||||||||
Proceeds from short-term debt | 418,381 | ||||||||||||||||
Repayment of short-term debt | $ 382,000 | ||||||||||||||||
Paycheck Protection Program [Member] | U.S. Small Business Administration [Member] | |||||||||||||||||
Proceeds from short-term debt | $ 505,300 | ||||||||||||||||
Interest expense | $ 2,298 | ||||||||||||||||
Debt instrument interest percentage | 1.00% | ||||||||||||||||
Debt maturity date | Apr. 1, 2022 |
Debt - Schedule of Debt (Deta_3
Debt - Schedule of Debt (Details) (10-K) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | ||||
Debt | $ 1,571,921 | $ 1,719,326 | $ 1,977,030 | ||||
Short-term Advance Received on 8/31/18 [Member] | |||||||
Debt | 35,000 | [1] | 65,000 | [2] | 75,000 | [2] | |
Secured Merchant Agreement for Future Receivables Entered into on 2/14/19 [Member] | |||||||
Debt | [3] | 641,687 | |||||
Secured Merchant Agreement for Future Receivables Entered into on 2/14/19 [Member] | |||||||
Debt | [4] | 468,790 | |||||
Secured Merchant Agreement for Future Receivables Entered into on 2/14/19 [Member] | |||||||
Debt | [5] | 597,060 | |||||
Promissory Note Entered into on 4/10/20 [Member] | |||||||
Debt | 400,000 | [6] | [7] | 60,000 | [7] | ||
Secured Merchant Agreement for Future Receivables Entered into on 3/28/19 [Member] | |||||||
Debt | [8] | 25,650 | |||||
Convertible Promissory Note Entered into on 1/11/19 [Member] | |||||||
Debt | [9] | 26,600 | |||||
Convertible Promissory Note Entered Two [Member] | |||||||
Debt | [10] | 76,686 | |||||
Convertible Promissory Note Entered into on 3/14/19 [Member] | |||||||
Debt | [11] | 5,557 | |||||
Secured Merchant Agreement for Future Receivables Entered into on 8/16/19 and Refinanced on 12/10/19 [Member] | |||||||
Debt | [12] | 1,223,615 | [13] | [13] | |||
Secured Merchant Agreement for Future Receivables Entered into on 8/16/19 [Member] | |||||||
Debt | [14] | 260,090 | [15] | [15] | |||
Convertible Promissory Note Entered into on 3/5/20 [Member] | |||||||
Debt | [16] | 13,072 | [17] | [17] | |||
Convertible Promissory Note Entered into on 3/11/20 [Member] | |||||||
Debt | [18] | $ 7,549 | [19] | [19] | |||
[1] | In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the six months ended September 30, 2020 we made repayments of $30,000 on the debt. | ||||||
[2] | In August 2018, we received a $75,000 short-term advance. The advance is due on demand, has no interest rate, and is unsecured. During the year ended March 31, 2020 we made repayments of $10,000. | ||||||
[3] | During September 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On September 28, 2018, we received proceeds from this arrangement of $570,000. In accordance with the terms of the agreement, we were required to repay $839,400 by making ACH payments in the amount of 10% of our daily cash receipts. Accordingly, we recorded $269,400 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $233,501 of amounts owed to a new agreement. However, prior to the terminating the September agreement, we made payments of $605,899 and amortized $269,400 into interest expense.During January 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On January 11, 2019, we received proceeds from this arrangement of $349,851. In accordance with the terms of the agreement, we were required to repay $489,650 by making daily ACH payments of $1,000 for the first 30 days following the date of the agreement and daily ACH payments of $2,999 thereafter. Accordingly, we recorded $139,799 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $449,657 of amounts owed to a new agreement. However, prior to the terminating the January agreement, we made payments of $39,993 and amortized $139,799 into interest expense.During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $73,801 after paying off $233,501 from a September 2018 agreement (see above) and $449,657 from a January 2019 agreement (see above). In accordance with the terms of the agreement, we were required to repay $909,350 by making daily ACH payments of $5,049. Accordingly, we recorded $152,391 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $141,372 and amortized $26,100 into interest expense.Effective August 16, 2019 this debt was refinanced and the outstanding balance of $316,093 was rolled into a new debt arrangement, see notation [10] below. During the year ended March 31, 2020, prior to the refinance, we repaid $451,886 and amortized $126,291 into interest expense. | ||||||
[4] | During December 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On December 17, 2018, we received proceeds from this arrangement of $380,000. In accordance with the terms of the agreement, we were required to repay $559,600 by making daily ACH payments of $3,000. Accordingly, we recorded $179,600 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $421,600 of amounts owed to a new agreement. However, prior to the terminating the December agreement, we made payments of $138,000 and amortized $179,600 into interest expense.During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $126,932 after paying off $421,600 from a December 2018 agreement (see above). In accordance with the terms of the agreement, we are required to repay $840,000 by making daily ACH payments of $4,649. Accordingly, we recorded $291,468 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $129,388 and amortized $49,646 into interest expense.Effective August 16, 2019 this debt was refinanced and the outstanding balance of $297,033 was rolled into a new debt arrangement, see notation [10] below. During the year ended March 31, 2020, prior to the refinance, we repaid $413,580 and amortized $241,822 into interest expense. | ||||||
[5] | During October 2018, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. During October 2018, we received proceeds from this arrangement of $77,260. In accordance with the terms of the agreement, we were required to repay $699,500 by making daily ACH payments of $4,372. Accordingly, we recorded $224,500 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. In February 2019 we replaced this agreement with a new Secured Merchant Agreement (see below), therefore transferring $327,880 of amounts owed to a new agreement. However, prior to the terminating the October agreement, we made payments of $371,620 and amortized $224,500 into interest expense.During February 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On February 15, 2019, we received proceeds from this arrangement of $126,932 after paying off $327,880 from an October 2018 agreement (see above). In accordance with the terms of the agreement, we were required to repay $629,550 by making daily ACH payments of $3,498. Accordingly, we recorded $224,410 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. Also during February 2019, we entered into a second Secured Merchant Agreement with this same entity, receiving proceeds of $288,000. In accordance with the terms of the agreement, we were required to repay $419,700 by making daily ACH payments of $2,332. Accordingly, we recorded $131,700 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $157,410 on these two agreements and amortized $61,330 into interest expense.Effective August 16, 2019 this debt was refinanced and the outstanding balance of $382,000 was rolled into a new debt arrangement, see notation [11] below. During the year ended March 31, 2020, prior to the refinance, we repaid $509,840 and amortized $294,780 into interest expense. | ||||||
[6] | In April 2020, we received proceeds of $400,000 after entering into a promissory note that is due six months from the funding date. Under the note six interest only payments of $16,667 are to be made on the 20th of each month beginning in May 2020. Collateral for the note is, in priority order, is: the reserve and current balance in one of our merchant accounts, the reserve account in a second separate merchant accounts, shares of our common stock, and high-speed computer processing equipment. During the six months ended September 30, 2020 we recorded and paid $83,335 worth of interest expense. | ||||||
[7] | In January 2019, we received funds of $631,617 and repaid $511,617 in a series of transactions representing short-term advances. On January 16, 2019, we entered into a short-term promissory note for the resulting $120,000 owed as a result of the transactions. The note had a zero percent interest rate and was due within the shorter of three months or the receipt of cash from a $1 million financing arrangement. During the year ended March 31, 2020, we repaid $60,000 of the amount due under the note. | ||||||
[8] | During March 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On March 29, 2019, we received proceeds from this arrangement of $28,500. In accordance with the terms of the agreement, we were required to repay $45,000 by making daily ACH payments of $4,500. Accordingly, we recorded $16,500 as a debt discount at the inception of the agreement, which was the difference between the funds received and the amount that was to be repaid. During the year ended March 31, 2019, we repaid $4,500 and amortized $1,650 into interest expense. During the year ended March 31, 2020, we repaid $40,500 and amortized $14,850 into interest expense. | ||||||
[9] | In January 2019, we entered into a Convertible Promissory Note and received proceeds of $135,000 after incurring loan fees of $3,000. The note incurs interest at 12% per annum and has a maturity date of April 11, 2020. The Convertible Promissory Note has a variable conversion rate that is 65% of the lowest closing price during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $138,000 and captured loan fees, recorded as interest expense, of $450,005. During the year ended March 31, 2019, we recorded amortization of the debt discount of $23,152 into interest expense and recorded additional interest expense on the note of $3,448. During the year ended March 31, 2020, we amortized $114,848 into interest expense, recorded additional interest expense on the note of $40,977 (inclusive of a prepayment penalty), and paid off the note, accrued interest, and prepayment penalties for $182,425. | ||||||
[10] | In February 2019, we entered into a Convertible Promissory Note and received proceeds of $240,000. The note was issued with a $30,000 original issue discount and loan fees of $3,000, incurred interest at 12% per annum, and had a maturity date of August 6, 2019. In accordance with the terms of the note, we issued 22,500,000 shares of common stock (the "Returnable Shares") to the note holder as a commitment fee (see Note 10), provided, however, the Returnable Shares must be returned to us if the note is fully repaid and satisfied prior to the date which is 180 days following the issue date. The Convertible Promissory Note had a variable conversion rate that was 65% of the lowest trading price during the previous 20-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see Note 8). We allocated the proceeds of the note to the common stock issued and to the fair value of the note, taking into consideration the fair value of the conversion feature. As a result, the common stock was valued at $69,871, we recorded a debt discount of $270,000, and captured loan fees, recorded as interest expense, of $120,128. During the year ended March 31, 2019, we recorded amortization of the debt discount of $72,514 into interest expense and recorded additional interest expense on the note of $4,172. During the year ended March 31, 2020, we amortized $197,486 into interest expense, recorded additional interest expense on the note of $11,136, and paid off the note and accrued interest for $285,308. In accordance with the terms of the agreement the 22,500,000 Returnable Shares were returned and cancelled (see Note 10). | ||||||
[11] | In March 2019, we entered into a Convertible Promissory Note and received proceeds of $135,000 after incurring loan fees of $3,000. The note incurred interest at 12% per annum and had a maturity date of June 14, 2020. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest closing prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $138,000 and captured loan fees, recorded as interest expense, of $64,492. During the year ended March 31, 2019, we recorded amortization of the debt discount of $4,831 into interest expense and recorded additional interest expense on the note of $726. During the year ended March 31, 2020, we amortized $133,168 into interest expense, recorded additional interest expense on the note of $43,983 (inclusive of a prepayment penalty), and paid off the note, accrued interest, and prepayment penalties for $182,708. | ||||||
[12] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 and $297,033 from two separate February 2018 agreements. In accordance with the terms of the new agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid.Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. Prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 agreement. During the six months ended September 30, 2020 we amortized $442,894 into interest expense and repaid $1,071,996 to pay the debt off in full, which resulted in a gain on settlement of debt being recorded for $594,513. | ||||||
[13] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. On August 15, 2019, we received proceeds from this arrangement of $339,270 after paying off $316,093 from a February 2018 agreement (see notation [2] above) and $297,033 from a second February 2019 agreement (see notation [3] above). In accordance with the terms of the agreement, we were required to repay $1,399,000 by making daily ACH payments of $6,823. Accordingly, we recorded $446,604 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid.Effective December 10, 2019 this debt was refinanced and the outstanding balance of $839,514 was rolled into a new Secured Merchant Agreement for future receivables. During the year ended March 31, 2020, prior to the refinance, we repaid $559,486 and amortized $446,605 into interest expense related to the August 2019 arrangement. As a result of the refinancing arrangement we received proceeds of $854,801. In accordance with the terms of the agreement, we were required to repay $2,448,250 by making daily ACH payments of $10,999. Accordingly, we recorded $753,935 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, after the refinance, we repaid $747,932 and amortized $277,232 into interest expense related to the new December 2019 arrangement. | ||||||
[14] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement. In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. During the six months ended September 30, 2020 we repaid $330,013, recorded a $5,934 gain on settlement of debt, and amortized $75,857 into interest expense | ||||||
[15] | During August 2019, we entered into a Secured Merchant Agreement for future receivables with an entity that provides quick access to working capital. In August 2019, we received proceeds from this arrangement of $418,381 after paying off $382,000 from an October 2018 agreement (see notation [4] above). In accordance with the terms of the agreement, we were required to repay $1,189,150 by making daily ACH payments of $5,801. Accordingly, we recorded $388,769 as a debt discount at the inception of the agreement, which was the difference between the funds received plus the earlier debt paid off, and the amount that was to be repaid. During the year ended March 31, 2020, we repaid $853,203 and amortized $312,912 into interest expense. | ||||||
[16] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 2, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. During the six months ended September 30, 2020, we amortized $59,916 into interest expense, and recorded additional interest expense on the note of $7,453 before we repaid the note in full for $262,649 and wrote off the derivative liability associated with the debt of $265,584 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $83,376. | ||||||
[17] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $200,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 2, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $203,000 and captured loan fees, recorded as interest expense, of $116,077. During the year ended March 31, 2020, we amortized $11,626 into interest expense, and recorded additional interest expense on the note of $1,446. | ||||||
[18] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurred interest at 10% per annum and had a maturity date of June 10, 2021. The Convertible Promissory Note had a variable conversion rate that was 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature was accounted for as a derivative instrument (see NOTE 7). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. During the six months ended September 30, 2020, we amortized $44,960 into interest expense and recorded additional interest expense on the note of $5,617 before we repaid the note in full for $197,351 and wrote off the derivative liability associated with the debt of $203,357 (see NOTE 7), resulting in a net gain on settlement of debt being recorded for $64,132. | ||||||
[19] | In March 2020, we entered into a Convertible Promissory Note and received proceeds of $150,000 after incurring loan fees of $3,000. The note incurs interest at 10% per annum and has a maturity date of June 10, 2021. The Convertible Promissory Note has a variable conversion rate that is 65% of the average of the two lowest trading prices during the previous 15-trading-day period, subject to adjustment. Therefore, the conversion feature is accounted for as a derivative instrument (see Note 8). At inception, we recorded a debt discount of $153,000 and captured loan fees, recorded as interest expense, of $148,432. During the year ended March 31, 2020, we amortized $6,711 into interest expense, and recorded additional interest expense on the note of $838. |
Debt - Schedule of Debt (Deta_4
Debt - Schedule of Debt (Details) (10-K) (Parenthetical) | Dec. 10, 2019USD ($) | Aug. 15, 2019USD ($) | Mar. 29, 2019USD ($) | Feb. 28, 2019USD ($) | Feb. 15, 2019USD ($) | Jan. 16, 2019USD ($) | Jan. 11, 2019USD ($) | Dec. 17, 2018USD ($) | Sep. 28, 2018USD ($) | Aug. 31, 2018 | Aug. 17, 2018 | Mar. 31, 2020USD ($)Integer | Aug. 31, 2019USD ($) | Mar. 31, 2019USD ($)Integer | Feb. 28, 2019USD ($)Integershares | Jan. 31, 2019USD ($)Integer | Aug. 31, 2018USD ($) | Jun. 29, 2020USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | Mar. 31, 2020USD ($)shares | Mar. 31, 2019USD ($) | Oct. 31, 2018USD ($) | Aug. 16, 2019USD ($) |
Proceeds from short-term debt | $ 75,000 | $ 200,000 | |||||||||||||||||||||||
Cash receipts | $ 10,049,435 | $ 1,405,300 | $ 1,322,651 | 2,527,452 | $ 4,115,961 | ||||||||||||||||||||
Repayments for debt | 2,030,344 | 2,745,024 | 5,020,795 | 2,936,044 | |||||||||||||||||||||
Debt discount | $ 2,600,000 | 2,600,000 | |||||||||||||||||||||||
Interest expense amortized | 703,511 | $ 1,892,791 | 6,152,329 | 1,052,523 | |||||||||||||||||||||
Debt periodic payment | 230,000 | ||||||||||||||||||||||||
Proceeds form convertible promissory note | 140,000 | ||||||||||||||||||||||||
Interest expenses | 30,000 | ||||||||||||||||||||||||
Common stock value | 3,214,490 | $ 2,640,161 | 2,929,481 | 3,214,490 | 2,640,161 | ||||||||||||||||||||
Short-term Promissory Note [Member] | |||||||||||||||||||||||||
Proceeds from short-term debt | $ 120,000 | $ 631,617 | |||||||||||||||||||||||
Repayment of short-term debt | $ 511,617 | ||||||||||||||||||||||||
Cash receipts | $ 1,000,000 | ||||||||||||||||||||||||
Repayments for debt | 60,000 | ||||||||||||||||||||||||
Debt instrument interest percentage | 0.00% | ||||||||||||||||||||||||
Debt maturity date | Aug. 31, 2019 | Aug. 31, 2018 | |||||||||||||||||||||||
Convertible Promissory Note One [Member] | |||||||||||||||||||||||||
Interest expense amortized | 197,486 | 72,514 | |||||||||||||||||||||||
Interest expenses | $ 11,136 | 4,172 | |||||||||||||||||||||||
Issuance of common stock returnable shares as commitment fee | shares | 22,500,000 | ||||||||||||||||||||||||
Accrued interest | $ 285,308 | $ 285,308 | |||||||||||||||||||||||
Convertible Promissory Note Two [Member] | |||||||||||||||||||||||||
Interest expense amortized | 133,168 | 4,831 | |||||||||||||||||||||||
Interest expenses | 43,983 | 726 | |||||||||||||||||||||||
Prepayment penalties | $ 182,708 | ||||||||||||||||||||||||
Convertible Promissory Notes Three [Member] | |||||||||||||||||||||||||
Debt instrument interest percentage | 10.00% | 10.00% | |||||||||||||||||||||||
Debt discount | $ 203,000 | $ 203,000 | |||||||||||||||||||||||
Interest expense amortized | 11,626 | ||||||||||||||||||||||||
Proceeds form convertible promissory note | 200,000 | ||||||||||||||||||||||||
Loan fees | $ 3,000 | ||||||||||||||||||||||||
Debt maturity date | Jun. 2, 2021 | ||||||||||||||||||||||||
Conversion of lowest trading percentage | 65.00% | ||||||||||||||||||||||||
Conversion of lowest trading days | Integer | 15 | ||||||||||||||||||||||||
Interest expenses | $ 116,077 | $ 1,446 | |||||||||||||||||||||||
Convertible Promissory Note Four Member] | |||||||||||||||||||||||||
Debt instrument interest percentage | 10.00% | 10.00% | |||||||||||||||||||||||
Debt discount | $ 153,000 | $ 153,000 | |||||||||||||||||||||||
Interest expense amortized | 6,711 | ||||||||||||||||||||||||
Proceeds form convertible promissory note | 150,000 | ||||||||||||||||||||||||
Loan fees | $ 3,000 | ||||||||||||||||||||||||
Debt maturity date | Jun. 10, 2021 | ||||||||||||||||||||||||
Conversion of lowest trading percentage | 65.00% | ||||||||||||||||||||||||
Conversion of lowest trading days | Integer | 15 | ||||||||||||||||||||||||
Interest expenses | $ 148,432 | 838 | |||||||||||||||||||||||
Secured Merchant Agreement [member] | |||||||||||||||||||||||||
Proceeds from short-term debt | $ 854,801 | $ 339,270 | |||||||||||||||||||||||
Repayment of short-term debt | 2,448,250 | $ 1,189,150 | 330,013 | 853,203 | |||||||||||||||||||||
Cash receipts | $ 28,500 | $ 73,801 | $ 349,851 | $ 380,000 | $ 570,000 | $ 77,260 | |||||||||||||||||||
Repayments for debt | 45,000 | 909,350 | 489,650 | 559,600 | $ 839,400 | 451,886 | 141,372 | 699,500 | |||||||||||||||||
Debt instrument interest percentage | 10.00% | ||||||||||||||||||||||||
Debt discount | 753,935 | 16,500 | 152,391 | 139,799 | 179,600 | $ 269,400 | 446,604 | 224,500 | |||||||||||||||||
Transferring of amount owed | 233,501 | ||||||||||||||||||||||||
Interest expense amortized | 126,291 | 26,100 | |||||||||||||||||||||||
Debt periodic payment | $ 4,500 | 5,049 | $ 3,000 | $ 4,372 | |||||||||||||||||||||
Debt outstanding balance | $ 316,093 | ||||||||||||||||||||||||
Secured Merchant Agreement [member] | Payments of First 30 Days [Member] | |||||||||||||||||||||||||
Repayments for debt | 1,000 | ||||||||||||||||||||||||
Secured Merchant Agreement [member] | Payments Thereafter [Member] | |||||||||||||||||||||||||
Repayments for debt | $ 2,999 | ||||||||||||||||||||||||
Secured Merchant Agreement [member] | ACH Payments [Member] | |||||||||||||||||||||||||
Repayment of short-term debt | $ 10,999 | 5,801 | |||||||||||||||||||||||
New Secured Merchant Agreement [Member] | |||||||||||||||||||||||||
Repayments for debt | $ 605,899 | ||||||||||||||||||||||||
Transferring of amount owed | 233,501 | ||||||||||||||||||||||||
Interest expense amortized | 269,400 | ||||||||||||||||||||||||
New Secured Merchant Agreement One [Member] | |||||||||||||||||||||||||
Repayments for debt | 39,993 | ||||||||||||||||||||||||
Transferring of amount owed | 449,657 | ||||||||||||||||||||||||
Interest expense amortized | 139,799 | ||||||||||||||||||||||||
New Secured Merchant Agreement Two [Member] | |||||||||||||||||||||||||
Repayments for debt | 138,000 | ||||||||||||||||||||||||
Transferring of amount owed | 421,600 | ||||||||||||||||||||||||
Interest expense amortized | 179,600 | ||||||||||||||||||||||||
Secured Merchant Agreement One [Member] | |||||||||||||||||||||||||
Cash receipts | 126,932 | ||||||||||||||||||||||||
Repayments for debt | 840,000 | $ 1,071,996 | 413,580 | 129,388 | |||||||||||||||||||||
Debt discount | 291,468 | ||||||||||||||||||||||||
Interest expense amortized | 241,822 | 49,646 | |||||||||||||||||||||||
Debt periodic payment | 4,649 | ||||||||||||||||||||||||
Debt outstanding balance | 297,033 | ||||||||||||||||||||||||
New Secured Merchant Agreement Three [Member] | |||||||||||||||||||||||||
Repayments for debt | 371,620 | ||||||||||||||||||||||||
Transferring of amount owed | 327,880 | ||||||||||||||||||||||||
Interest expense amortized | 224,500 | ||||||||||||||||||||||||
Secured Merchant Agreement Two [Member] | |||||||||||||||||||||||||
Cash receipts | 126,932 | ||||||||||||||||||||||||
Repayments for debt | 629,550 | $ 509,840 | 157,410 | ||||||||||||||||||||||
Debt discount | 224,410 | ||||||||||||||||||||||||
Interest expense amortized | $ 294,780 | 61,330 | |||||||||||||||||||||||
Debt periodic payment | $ 3,498 | ||||||||||||||||||||||||
Debt outstanding balance | $ 382,000 | ||||||||||||||||||||||||
Second Secured Merchant Agreement [Member] | |||||||||||||||||||||||||
Cash receipts | $ 288,000 | ||||||||||||||||||||||||
Repayments for debt | 419,700 | ||||||||||||||||||||||||
Debt discount | $ 131,700 | 131,700 | |||||||||||||||||||||||
Debt periodic payment | $ 2,332 | ||||||||||||||||||||||||
Secured Merchant Agreement Three [Member] | |||||||||||||||||||||||||
Repayments for debt | 40,500 | 4,500 | |||||||||||||||||||||||
Interest expense amortized | 14,850 | 1,650 | |||||||||||||||||||||||
Convertible Promissory Note [Member] | |||||||||||||||||||||||||
Debt instrument interest percentage | 12.00% | ||||||||||||||||||||||||
Debt discount | $ 138,000 | ||||||||||||||||||||||||
Interest expense amortized | 114,848 | 23,152 | |||||||||||||||||||||||
Proceeds form convertible promissory note | 135,000 | ||||||||||||||||||||||||
Loan fees | $ 3,000 | ||||||||||||||||||||||||
Debt maturity date | Apr. 11, 2020 | ||||||||||||||||||||||||
Conversion of lowest trading percentage | 65.00% | ||||||||||||||||||||||||
Conversion of lowest trading days | Integer | 15 | ||||||||||||||||||||||||
Interest expenses | $ 450,005 | 40,977 | $ 3,448 | ||||||||||||||||||||||
Prepayment penalties | 182,425 | ||||||||||||||||||||||||
Convertible Promissory Note One [Member] | |||||||||||||||||||||||||
Debt instrument interest percentage | 12.00% | 12.00% | |||||||||||||||||||||||
Debt discount | $ 30,000 | $ 30,000 | |||||||||||||||||||||||
Proceeds form convertible promissory note | 240,000 | ||||||||||||||||||||||||
Loan fees | $ 3,000 | ||||||||||||||||||||||||
Debt maturity date | Aug. 6, 2019 | ||||||||||||||||||||||||
Conversion of lowest trading percentage | 65.00% | ||||||||||||||||||||||||
Conversion of lowest trading days | Integer | 20 | ||||||||||||||||||||||||
Interest expenses | $ 120,128 | ||||||||||||||||||||||||
Issuance of common stock returnable shares as commitment fee | shares | 22,500,000 | ||||||||||||||||||||||||
Common stock value | 69,871 | $ 69,871 | |||||||||||||||||||||||
Convertible Promissory Note One [Member] | Common Stock [Member] | |||||||||||||||||||||||||
Debt discount | $ 270,000 | $ 270,000 | |||||||||||||||||||||||
Convertible Promissory Note Two [Member] | |||||||||||||||||||||||||
Debt instrument interest percentage | 12.00% | 12.00% | |||||||||||||||||||||||
Debt discount | $ 138,000 | $ 138,000 | |||||||||||||||||||||||
Proceeds form convertible promissory note | 135,000 | ||||||||||||||||||||||||
Loan fees | $ 3,000 | ||||||||||||||||||||||||
Debt maturity date | Jun. 14, 2020 | ||||||||||||||||||||||||
Conversion of lowest trading percentage | 65.00% | ||||||||||||||||||||||||
Conversion of lowest trading days | Integer | 15 | ||||||||||||||||||||||||
Interest expenses | $ 64,492 | ||||||||||||||||||||||||
Secured Merchant Agreement Four [Member] | |||||||||||||||||||||||||
Repayment of short-term debt | 316,093 | ||||||||||||||||||||||||
Cash receipts | 339,270 | ||||||||||||||||||||||||
Repayments for debt | 1,399,000 | ||||||||||||||||||||||||
Debt discount | 446,604 | ||||||||||||||||||||||||
Debt outstanding balance | 297,033 | ||||||||||||||||||||||||
Secured Merchant Agreement Four [Member] | ACH Payments [Member] | |||||||||||||||||||||||||
Repayments for debt | $ 6,823 | 2,448,250 | |||||||||||||||||||||||
Debt periodic payment | 10,999 | ||||||||||||||||||||||||
August 2019 Arrangement [Member] | |||||||||||||||||||||||||
Proceeds from short-term debt | 839,514 | ||||||||||||||||||||||||
Cash receipts | 854,801 | ||||||||||||||||||||||||
Repayments for debt | 559,486 | ||||||||||||||||||||||||
Debt discount | 446,605 | 446,605 | |||||||||||||||||||||||
New December 2019 Arrangement [Member] | |||||||||||||||||||||||||
Repayments for debt | 747,932 | ||||||||||||||||||||||||
Debt discount | $ 753,935 | 753,935 | |||||||||||||||||||||||
Interest expense amortized | 277,232 | ||||||||||||||||||||||||
Secured Merchant Agreement Five [Member] | |||||||||||||||||||||||||
Cash receipts | 418,381 | ||||||||||||||||||||||||
Repayments for debt | 1,189,150 | 853,203 | |||||||||||||||||||||||
Debt discount | 388,769 | ||||||||||||||||||||||||
Interest expense amortized | 312,912 | ||||||||||||||||||||||||
Debt periodic payment | $ 5,801 | ||||||||||||||||||||||||
Short-term Debt [Member] | |||||||||||||||||||||||||
Repayment of short-term debt | $ 10,000 |
Derivative Liability - Schedule
Derivative Liability - Schedule of Derivative Liability (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Derivative liability | $ 793,495 | $ 1,358,901 | $ 1,358,901 | |||
Derivative liability recorded on new instruments | 1,924,569 | 1,144,525 | ||||
Change in fair value | $ 20,847 | $ (2,358,447) | (326,788) | $ (599,257) | (571,231) | 214,376 |
Derivative liability | 4,265 | 4,265 | 793,495 | $ 1,358,901 | ||
Total [Member] | ||||||
Derivative liability | 793,495 | |||||
Derivative liability recorded on new instruments | 6,499 | |||||
Derivative liability reduced by debt settlement | (468,941) | |||||
Change in fair value | (326,788) | |||||
Derivative liability | 4,265 | 4,265 | 793,495 | |||
Warrant [Member] | ||||||
Derivative liability | ||||||
Derivative liability recorded on new instruments | 6,499 | |||||
Derivative liability reduced by debt settlement | ||||||
Change in fair value | (2,234) | |||||
Derivative liability | 4,265 | 4,265 | ||||
Debt [Member] | ||||||
Derivative liability | 793,495 | |||||
Derivative liability recorded on new instruments | ||||||
Derivative liability reduced by debt settlement | (468,941) | |||||
Change in fair value | (324,554) | |||||
Derivative liability | $ 793,495 |
Derivative Liability - Schedu_2
Derivative Liability - Schedule of Derivative Liability (Details) (10-K) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||
Derivative liability | $ 793,495 | $ 1,358,901 | $ 1,358,901 | |||
Derivative liability recorded on new instruments | 1,924,569 | 1,144,525 | ||||
Derivative liability extinguished with notes settled | (1,918,744) | |||||
Change in fair value | $ 20,847 | $ (2,358,447) | (326,788) | $ (599,257) | (571,231) | 214,376 |
Derivative liability | $ 4,265 | $ 4,265 | $ 793,495 | $ 1,358,901 |
Derivative Liability - Schedu_3
Derivative Liability - Schedule of Assumptions Used in Binominal Option Pricing Model (Details) - Integer | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Risk Free Interest Rate [Member] | Minimum [Member] | |||
Fair value measurements valuation techniques, percent | 0.17 | 2.40 | |
Risk Free Interest Rate [Member] | Minimum [Member] | Warrants [Member] | |||
Fair value measurements valuation techniques, percent | 0.21 | ||
Risk Free Interest Rate [Member] | Minimum [Member] | Debt [Member] | |||
Fair value measurements valuation techniques, percent | 0.11 | ||
Risk Free Interest Rate [Member] | Maximum [Member] | |||
Fair value measurements valuation techniques, percent | 2.13 | 2.58 | |
Risk Free Interest Rate [Member] | Maximum [Member] | Warrants [Member] | |||
Fair value measurements valuation techniques, percent | 0.28 | ||
Risk Free Interest Rate [Member] | Maximum [Member] | Debt [Member] | |||
Fair value measurements valuation techniques, percent | 0.17 | ||
Expected Life in Years [Member] | Minimum [Member] | |||
Fair value measurements valuation techniques, term | 11 days | 4 months 6 days | |
Expected Life in Years [Member] | Minimum [Member] | Warrants [Member] | |||
Fair value measurements valuation techniques, term | 4 years 10 months 3 days | ||
Expected Life in Years [Member] | Minimum [Member] | Debt [Member] | |||
Fair value measurements valuation techniques, term | 9 months 18 days | ||
Expected Life in Years [Member] | Maximum [Member] | |||
Fair value measurements valuation techniques, term | 1 year 2 months 30 days | 1 year 2 months 30 days | |
Expected Life in Years [Member] | Maximum [Member] | Warrants [Member] | |||
Fair value measurements valuation techniques, term | 5 years | ||
Expected Life in Years [Member] | Maximum [Member] | Debt [Member] | |||
Fair value measurements valuation techniques, term | 1 year 1 month 9 days | ||
Expected Volatility [Member] | Minimum [Member] | |||
Fair value measurements valuation techniques, percent | 224 | 222 | |
Expected Volatility [Member] | Minimum [Member] | Warrants [Member] | |||
Fair value measurements valuation techniques, percent | 265 | ||
Expected Volatility [Member] | Minimum [Member] | Debt [Member] | |||
Fair value measurements valuation techniques, percent | 128 | ||
Expected Volatility [Member] | Maximum [Member] | |||
Fair value measurements valuation techniques, percent | 381 | 268 | |
Expected Volatility [Member] | Maximum [Member] | Warrants [Member] | |||
Fair value measurements valuation techniques, percent | 306 | ||
Expected Volatility [Member] | Maximum [Member] | Debt [Member] | |||
Fair value measurements valuation techniques, percent | 239 |
Derivative Liability - Schedu_4
Derivative Liability - Schedule of Assumptions Used in Binominal Option Pricing Model (Details) (10-K) - Integer | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Risk Free Interest Rate [Member] | Minimum [Member] | ||
Fair value measurements valuation techniques, percent | 0.17 | 2.40 |
Risk Free Interest Rate [Member] | Maximum [Member] | ||
Fair value measurements valuation techniques, percent | 2.13 | 2.58 |
Expected Life in Years [Member] | Minimum [Member] | ||
Fair value measurements valuation techniques, term | 11 days | 4 months 6 days |
Expected Life in Years [Member] | Maximum [Member] | ||
Fair value measurements valuation techniques, term | 1 year 2 months 30 days | 1 year 2 months 30 days |
Expected Volatility [Member] | Minimum [Member] | ||
Fair value measurements valuation techniques, percent | 224 | 222 |
Expected Volatility [Member] | Maximum [Member] | ||
Fair value measurements valuation techniques, percent | 381 | 268 |
Stockholders' Equity (Deficit_2
Stockholders' Equity (Deficit) (Details Narrative) - USD ($) | Sep. 30, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Jun. 29, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2018 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | 50,000,000 | 50,000,000 | 50,000,000 | |||||
Preferred stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | |||||
Preferred stock, shares issued | 46,612 | 46,612 | 46,612 | |||||||
Preferred stock, shares outstanding | 46,612 | 46,612 | 46,612 | |||||||
Warrant term | 4 years 9 months 14 days | 4 years 9 months 14 days | 4 years 9 months 14 days | |||||||
Proceeds from offering | $ 93,300 | $ 1,405,300 | ||||||||
Warrants granted | ||||||||||
Derivative liability | 1,158,801 | $ 1,158,801 | 1,158,801 | |||||||
Additional paid in capital | 30,021,081 | 30,021,081 | 30,021,081 | $ 28,929,516 | $ 23,758,917 | |||||
Fair value of warrant | 6 | |||||||||
Number of shares issued during period | 59,215,648 | |||||||||
Number of shares issued during period, value | $ 325,000 | $ 325,000 | $ 825,000 | |||||||
Stock issued to an employee for compensation, values | 376,282 | $ 418,954 | $ 1,515,915 | 3,098,643 | 6,787,600 | |||||
Number of common stock repurchased | 272 | 102 | ||||||||
Increase in additional paid-in capital | 101,387 | $ 525,000 | ||||||||
Common stock | $ 2,929,481 | $ 2,929,481 | $ 2,929,481 | $ 3,214,490 | $ 2,640,161 | |||||
Common stock issued | 2,929,481,329 | 2,929,481,329 | 2,929,481,329 | 3,214,490,408 | 2,640,161,318 | |||||
Common stock outstanding | 2,929,481,329 | 2,929,481,329 | 2,929,481,329 | 3,214,490,408 | 2,640,161,318 | |||||
Joint Venture Agreement [Member] | ||||||||||
Additional paid in capital | $ 3,180,000 | $ 3,180,000 | $ 3,180,000 | |||||||
Number of common stock cancelled, shares | 200,000,000 | |||||||||
Common stock | 200,000 | 200,000 | $ 200,000 | |||||||
Offset reduction in prepaid asset | $ 2,428,044 | $ 2,428,044 | 2,428,044 | |||||||
Reversal expenses | 951,956 | |||||||||
Accrued Payroll [Member] | ||||||||||
Increase in additional paid-in capital | $ 373,832 | |||||||||
Preferred Stock [Member] | ||||||||||
Preferred stock, par value | $ 47 | $ 47 | $ 47 | |||||||
Additional paid in capital | $ 1,158,754 | $ 1,158,754 | $ 1,158,754 | |||||||
Additional paid in capital decreased | 20,994 | 20,994 | 20,994 | |||||||
Dividend liability | $ 37,775 | 37,775 | 37,775 | |||||||
Number of shares issued during period | ||||||||||
Number of shares issued during period, value | ||||||||||
Stock issued to an employee for compensation, values | ||||||||||
Number of common stock repurchased, shares | ||||||||||
Number of common stock repurchased | ||||||||||
Preferred Stock and Warrants [Member] | ||||||||||
Payments to offering costs | $ 21,000 | |||||||||
Common Stock [Member] | ||||||||||
Number of shares issued during period | 21,000,000 | |||||||||
Number of shares issued during period, value | $ 399,000 | |||||||||
Stock issued to an employee for compensation, values | 128,497 | |||||||||
Remaining common stock issued to employees compensation | 270,503 | |||||||||
Shares vested | 666,738 | |||||||||
Increase in additional paid-in capital | $ 2,000,000 | |||||||||
Unit Offering [Member] | ||||||||||
Sale of stock | 2,000,000 | |||||||||
Share price | $ 25 | $ 25 | $ 25 | |||||||
Description of offering | (i) one share of our newly authorized Series B Preferred Stock and (ii) five warrants each exercisable to purchase one share of common stock at an exercise price of $0.10 per warrant share. | |||||||||
Warrant term | 5 years | 5 years | 5 years | |||||||
Unit Offering [Member] | Warrant [Member] | ||||||||||
Warrants granted | 233,060 | |||||||||
Third Party [Member] | ||||||||||
Number of common stock repurchased, shares | 9,079 | |||||||||
Third Party [Member] | Common Stock [Member] | ||||||||||
Number of common stock repurchased, shares | 9,079 | |||||||||
Number of common stock repurchased | $ 272 | |||||||||
Former Members [Member] | Common Stock [Member] | ||||||||||
Number of common stock repurchased, shares | 106,000,000 | |||||||||
Founders [Member] | Common Stock [Member] | ||||||||||
Accounts Payable | $ 120,000 | $ 120,000 | $ 120,000 | |||||||
Series B Preferred Stock [Member] | ||||||||||
Preferred stock, par value | $ 25 | |||||||||
Series B Preferred Stock [Member] | Board of Directors [member] | ||||||||||
Preferred stock, par value | $ 3.25 | |||||||||
Preferred stock designated | 2,000,000 | |||||||||
Conversion of stock | 500 | |||||||||
Cumulative dividends annual rate percentage | 13.00% | |||||||||
Series B Preferred Stock [Member] | ||||||||||
Sale of stock | 46,612 | |||||||||
Proceeds from offering | $ 1,165,300 | |||||||||
Warrants granted | 233,060 | |||||||||
Gross proceeds from warrants | $ 6,499 | |||||||||
Cumulative cash dividends | 52,342 | |||||||||
Payments to preferred stock dividend | $ 14,567 | |||||||||
Maximum [Member] | ||||||||||
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | 50,000,000 |
Stockholders' Equity (Details N
Stockholders' Equity (Details Narrative) (10-K) - USD ($) | Jul. 20, 2018 | Mar. 31, 2019 | Aug. 31, 2018 | Sep. 30, 2020 | Jun. 30, 2020 | Jun. 29, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2018 | Sep. 16, 2009 | Dec. 31, 2007 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | 50,000,000 | 50,000,000 | 50,000,000 | ||||||||||
Preferred stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||||||||
Preferred stock, shares issued | 46,612 | 46,612 | |||||||||||||
Preferred stock, shares outstanding | 46,612 | 46,612 | |||||||||||||
Number of shares issued during period | 59,215,648 | ||||||||||||||
Number of shares issued during period, value | $ 325,000 | $ 325,000 | $ 825,000 | ||||||||||||
Settlement of debt | $ 812,111 | 1,281,477 | $ 829,937 | $ 1,281,477 | 2,018,791 | $ 19,387 | |||||||||
Related party debt settled | 3,036,216 | 1,369,500 | $ 2,192,160 | 1,367,168 | |||||||||||
Number of shares issued for employees for services and compensation, shares | 21,000,000 | 522,000,000 | |||||||||||||
Number of shares issued for employees for services and compensation | $ 4,561,500 | ||||||||||||||
Stock issued to an employee for compensation, values | 376,282 | $ 418,954 | $ 1,515,915 | 3,098,643 | 6,787,600 | ||||||||||
Number of common stock repurchased | $ 272 | 102 | |||||||||||||
Reduction of common stock, value | 200,000 | ||||||||||||||
Reduction of additional paid on capital | 3,180,000 | ||||||||||||||
Reduction of prepaid assets | 3,380,000 | ||||||||||||||
Beneficial conversion feature | 1,000,000 | ||||||||||||||
Common stock average closing price | $ 0.02 | ||||||||||||||
Accounts payable and accrued liabilities | $ 626,388 | ||||||||||||||
Increase in additional paid-in capital | 101,387 | $ 525,000 | |||||||||||||
Prepaid assets | $ 6,685,970 | 818,749 | 818,749 | 5,309,512 | 6,685,970 | ||||||||||
Offering costs | $ (20,994) | $ 101,387 | $ 6 | $ 101,387 | $ 525,000 | ||||||||||
Common stock, shares issued | 2,640,161,318 | 2,929,481,329 | 2,929,481,329 | 3,214,490,408 | 2,640,161,318 | ||||||||||
Common stock, shares outstanding | 2,640,161,318 | 2,929,481,329 | 2,929,481,329 | 3,214,490,408 | 2,640,161,318 | ||||||||||
Shares granted in period | |||||||||||||||
Nonqualified Plan [Member] | |||||||||||||||
Number of shares authorized | 65,000 | ||||||||||||||
Shares granted in period | 47,500 | ||||||||||||||
Qualified Plan [Member] | |||||||||||||||
Number of shares authorized | 125,000 | ||||||||||||||
Shares granted in period | 42,500 | ||||||||||||||
Convertible Promissory Note [Member] | |||||||||||||||
Number of common stock repurchased, shares | 5,150 | ||||||||||||||
Number of common stock repurchased | $ 102 | ||||||||||||||
Number of common stock cancelled, shares | 22,500,000 | ||||||||||||||
Employees [Member] | |||||||||||||||
Number of shares issued for employees for services and compensation, shares | 15,618,592 | ||||||||||||||
Number of shares issued for employees for services and compensation | $ 261,800 | ||||||||||||||
Stock issued to an employee for compensation, values | 2,836,843 | ||||||||||||||
Remaining common stock issued to employees compensation | 1,724,657 | ||||||||||||||
Reduction of common stock, value | 22,500 | ||||||||||||||
Stock based compensation expense | $ 0 | $ 0 | |||||||||||||
Settlement Agreement [Member] | |||||||||||||||
Number of shares issued during period | 200,000,000 | ||||||||||||||
Repayment of convertible promissory note | $ 3,600,000 | ||||||||||||||
Settlement of debt | 500,000 | ||||||||||||||
Related party debt settled | $ 4,100,000 | ||||||||||||||
Joint Venture Agreement [Member] | |||||||||||||||
Number of common stock cancelled, shares | 200,000,000 | ||||||||||||||
Purchase Agreement [Member] | |||||||||||||||
Common stock issued for acquisition | 50,000,000 | ||||||||||||||
Purchase Agreement [Member] | United Games, LLC and United League, LLC [Member] | |||||||||||||||
Stock issued to an employee for compensation, values | $ 17,600 | $ 10,000 | |||||||||||||
Common stock issued for acquisition | 50,000,000 | ||||||||||||||
Stock issued to an employee for compensation | 1,000,000 | 1,000,000 | |||||||||||||
Stock based compensation expense | $ 2,933 | $ 10,000 | |||||||||||||
Prepaid assets | 14,667 | $ 14,667 | |||||||||||||
Third Party Agreement [Member] | |||||||||||||||
Number of shares issued during period | 400,000,000 | ||||||||||||||
Number of shares issued during period, value | $ 6,760,000 | ||||||||||||||
Number of common stock repurchased, shares | 7,000,000 | ||||||||||||||
Number of common stock repurchased | $ 91,000 | ||||||||||||||
Stock based compensation expense | 96,307 | ||||||||||||||
Prepaid assets | $ 6,663,693 | $ 6,663,693 | |||||||||||||
Forfeiture period | 5 years | ||||||||||||||
Stock issued as commitment fee in conjunction with debt arrangement, value | $ 69,871 | ||||||||||||||
Stock issued as commitment fee in conjunction with debt arrangement | 22,500,000 | ||||||||||||||
Common Stock Purchase Agreement [Member] | |||||||||||||||
Number of shares issued during period, value | $ 1,000,000 | ||||||||||||||
Increase in additional paid-in capital | $ 3,000 | ||||||||||||||
Offering costs, shares | 3,000,000 | ||||||||||||||
Offering costs | $ 3,000 | ||||||||||||||
Series B Convertible Preferred Stock [Member] | |||||||||||||||
Preferred stock, shares authorized | 2,000,000 | ||||||||||||||
Cumulative dividends annual rate percentage | 12.00% | ||||||||||||||
Liquidation price per share | $ 1.20 | ||||||||||||||
Conversion of stock | 500 |
Stockholders' Equity (Deficit_3
Stockholders' Equity (Deficit) - Schedule of Warrants Outstanding (Details) | Sep. 30, 2020USD ($)$ / sharesshares |
Equity [Abstract] | |
Exercise Price | $ / shares | $ 0.10 |
Warrants Outstanding | $ | $ 233,060 |
Warrants Exercisable | shares | 233,060 |
Weighted Average Contractual Life (Years) | 4 years 9 months 14 days |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Warrants Outstanding (Details) (10-K) - $ / shares | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Equity [Abstract] | ||
Number of Warrants Outstanding, Beginning | 5,052,497 | 6,169,497 |
Number of Warrants Granted/restated | ||
Number of Warrants Cancelled | ||
Number of Warrants Expired | (5,052,497) | (1,117,000) |
Number of Warrants Outstanding, Ending | 5,052,497 | |
Weighted Average Exercise Price Outstanding, Beginning | $ 1.50 | $ 1.50 |
Weighted Average Exercise Price Granted | ||
Weighted Average Exercise Price Cancelled | ||
Weighted Average Exercise Price Expired | (1.50) | (1.48) |
Weighted Average Exercise Price Outstanding, Ending | $ 1.50 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Changes in Employee Stock Options Outstanding and the Related Prices (Details) (10-K) - USD ($) | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Equity [Abstract] | ||
Number of Options Outstanding, Beginning | 35,000 | 35,000 |
Number of Options Outstanding, Granted | ||
Number of Options Outstanding, Exercised | ||
Number of Options Outstanding, Cancelled/expired | (35,000) | |
Number of Options Outstanding, Outstanding, Ending | 35,000 | |
Number of Options, Exercisable | ||
Weighted Average Exercise Price Outstanding, Beginning | $ 10 | $ 10 |
Weighted Average Exercise Price Outstanding, Granted | ||
Weighted Average Exercise Price Outstanding, Exercised | ||
Weighted Average Exercise Price Outstanding, Cancelled/expired | 10 | |
Weighted Average Exercise Price Outstanding, Ending | $ 10 | |
Weighted Average Exercise Price, Exercisable | ||
Weighted Average Remaining Contractual Life Outstanding, Beginning | 6 months 3 days | 1 year 6 months 3 days |
Weighted Average Remaining Contractual Life Outstanding, Ending | 0 years | 6 months 3 days |
Weighted Average Remaining Contractual Life, Exercisable | 0 years | |
Aggregate Intrinsic Value Outstanding, Beginning | ||
Aggregate Intrinsic Value Outstanding, Ending | ||
Aggregate Intrinsic Value, Exercisable |
Operating Lease (Details Narrat
Operating Lease (Details Narrative) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2020USD ($)ft² | Sep. 30, 2020USD ($)ft² | Mar. 31, 2020USD ($)ft² | Mar. 31, 2019USD ($) | |
Variable lease costs | $ 831 | $ 1,662 | $ 2,217 | |
Operating lease liabilities | 79,428 | 79,428 | 106,798 | |
Operating lease right-of-use asset | 72,093 | 72,093 | 99,465 | |
Operating lease expense | 16,397 | 32,794 | 41,027 | |
Operating cash flow lease for operating leases | $ 16,897 | $ 32,794 | $ 33,694 | |
Operating lease weighted average remaining lease term | 1 year 9 months 29 days | 1 year 9 months 29 days | 2 years 1 month 24 days | |
Operating lease weighted average discount rate | 12.00% | 12.00% | 12.00% | |
Eatontown New Jersey [Member] | ||||
Operating lease liabilities | $ 110,097 | $ 110,097 | $ 110,097 | |
Kaysville Lease [Member] | ||||
Operating lease right-of-use asset | $ 21,147 | $ 21,147 | $ 21,147 | |
Eatontown New Jersey and Kaysville Utah [Member] | ||||
Operating lease terms | 3 years | 3 years | 3 years | |
Area of land | ft² | 1.75 | 1.75 | 1.75 |
Operating Lease (Details Narr_2
Operating Lease (Details Narrative) (10-K) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2020USD ($)ft² | Sep. 30, 2020USD ($)ft² | Mar. 31, 2020USD ($)ft² | Mar. 31, 2019USD ($) | |
Variable lease costs | $ 831 | $ 1,662 | $ 2,217 | |
Operating lease liabilities | 79,428 | 79,428 | 106,798 | |
Operating lease right-of-use asset | 72,093 | 72,093 | 99,465 | |
Operating lease expense | 16,397 | 32,794 | 41,027 | |
Operating cash flow lease for operating leases | $ 16,897 | $ 32,794 | $ 33,694 | |
Operating lease weighted average remaining lease term | 1 year 9 months 29 days | 1 year 9 months 29 days | 2 years 1 month 24 days | |
Operating lease weighted average discount rate | 12.00% | 12.00% | 12.00% | |
Eatontown New Jersey [Member] | ||||
Operating lease liabilities | $ 110,097 | $ 110,097 | $ 110,097 | |
Kaysville Lease [Member] | ||||
Operating lease right-of-use asset | $ 21,147 | $ 21,147 | $ 21,147 | |
Eatontown New Jersey and Kaysville Utah [Member] | ||||
Operating lease terms | 3 years | 3 years | 3 years | |
Area of land | ft² | 1.75 | 1.75 | 1.75 |
Operating Lease - Schedule of F
Operating Lease - Schedule of Future Minimum Lease Payments Under Non-cancellable Leases (Details) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Leases [Abstract] | ||||
Remainder of 2021 | $ 24,000 | |||
2022 | 48,000 | $ 56,794 | ||
2023 | 16,000 | 48,000 | ||
Total | 88,000 | 120,794 | ||
Less: Interest | (8,572) | (13,996) | ||
Present value of lease liability | 79,428 | 106,798 | ||
Operating lease liability, current | (48,000) | [1] | (56,530) | |
Operating lease liability, long term | $ 31,428 | $ 50,268 | ||
[1] | Represents lease payments to be made in the next 12 months |
Operating Lease - Schedule of_2
Operating Lease - Schedule of Future Minimum Lease Payments Under Non-cancellable Leases (Details) (10-K) - USD ($) | Sep. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Leases [Abstract] | ||||
2021 | $ 48,000 | $ 56,794 | ||
2022 | 16,000 | 48,000 | ||
2023 | 16,000 | |||
Total | 88,000 | 120,794 | ||
Less: Interest | (8,572) | (13,996) | ||
Present value of lease liability | 79,428 | 106,798 | ||
Operating lease liability, current | (48,000) | [1] | (56,530) | |
Operating lease liability, long term | $ 31,428 | $ 50,268 | ||
[1] | Represents lease payments to be made in the next 12 months |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) (10-K) - USD ($) | 12 Months Ended | |
Mar. 31, 2020 | Feb. 28, 2018 | |
CFTC [Member] | ||
Loss contingency amount | $ 150,000 | |
Fibernet Corp [Member] | ||
Settlement amount | $ 35,160 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) (10-K) - USD ($) | 6 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate | 30.00% | |||
Net operating loss carryforwards | $ 24,051,000 | |||
Acquisition offset future income | 13,837 | |||
Tax benefit from continuing or discontinued operations | ||||
Unrecognized tax benefits, income tax penalties and interest accrued | ||||
Income taxes | $ 3,282 | $ 5,544 | $ 7,383 | $ 70,768 |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) (10-K) - USD ($) | Mar. 31, 2020 | Mar. 31, 2019 |
Income Tax Disclosure [Abstract] | ||
Deferred tax assets, NOL carryover | $ 7,215,400 | $ 2,363,900 |
Deferred tax assets, Accrued Payroll | 207,100 | 209,100 |
Deferred tax assets, Amortization | 275,700 | 49,100 |
Deferred tax assets, Related party accruals | 10,000 | 1,500 |
Deferred tax liabilities, Depreciation | (899,300) | (1,200) |
Deferred tax liabilities. Valuation allowance | (6,808,900) | (2,622,400) |
Total long-term deferred income tax assets |
Income Taxes - Schedule of Prov
Income Taxes - Schedule of Provision for Income Tax (Details) (10-K) - USD ($) | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||
Book income (loss) | $ (6,385,600) | $ (1,493,400) |
Stock for services | 929,600 | 32,800 |
Amortization | 38,400 | (33,100) |
Contingent liability | (45,000) | |
Unrealized gain on cryptocurrency | (34,000) | (31,900) |
Meals and entertainment | 15,900 | 12,400 |
Non-cash interest expense | 765,700 | 315,800 |
Depreciation | (821,700) | (7,200) |
Related party accruals | 8,500 | 1,500 |
Related party accrued payroll | (2,000) | 174,600 |
Gain on deconsolidation of WG LATAM | (16,100) | |
Gain on bargain purchase | (291,400) | |
(Gain)/Loss on value of derivative liabilities | (171,400) | 64,300 |
Stock issued for loan fees | 21,000 | |
Impairment of prepaid paid for with equity | 549,700 | |
Amortization of prepaid paid for with equity | 248,600 | 45,100 |
Valuation allowance | 4,874,400 | 1,234,500 |
Total long-term deferred income tax assets |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) - USD ($) | Sep. 30, 2020 | Nov. 03, 2020 | Sep. 30, 2020 | Sep. 30, 2020 |
Dividends | $ 52,342 | |||
Proceeds from offering | $ 93,300 | $ 1,405,300 | ||
Subsequent Event [Member] | ||||
Dividends | $ 7,601 | |||
Subsequent Event [Member] | Unit Offering [Member] | ||||
Proceeds from offering | $ 93,300 |
Subsequent Events (Details Na_2
Subsequent Events (Details Narrative) (10-K) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
Apr. 30, 2020 | Aug. 31, 2018 | Jun. 29, 2020 | Mar. 31, 2020 | |
Proceeds from related party | $ 75,000 | $ 200,000 | ||
Number of common stock shares issued for services and compensation | 21,000,000 | 522,000,000 | ||
U.S. Small Business Administration [Member] | ||||
Proceeds from loans | $ 500,000 | |||
Paycheck Protection Program [Member] | ||||
Proceeds from loans | 505,300 | |||
Paycheck Protection Program [Member] | U.S. Small Business Administration [Member] | ||||
Proceeds from related party | $ 505,300 | |||
Related Parties One [Member] | ||||
Proceeds from related party | 2,091,135 | |||
Related Parties Two [Member] | ||||
Proceeds from related party | 2,000,000 | |||
Non-Related Party [Member] | ||||
Proceeds from related party | $ 400,000 | |||
Third Party [Member] | ||||
Number of common stock repurchased, shares | 9,079 |