Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2022 | Nov. 21, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Sep. 30, 2022 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2022 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 000-53574 | |
Entity Registrant Name | Basanite, Inc. | |
Entity Central Index Key | 0001448705 | |
Entity Tax Identification Number | 20-4959207 | |
Entity Incorporation, State or Country Code | NV | |
Entity Address, Address Line One | 2041 NW 15th Avenue | |
Entity Address, City or Town | Pompano Beach | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33069 | |
City Area Code | (954) | |
Local Phone Number | 532-4653 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 257,156,796 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
CURRENT ASSETS | ||
Cash | $ 71,293 | $ 109,514 |
Accounts receivable, net | 65,734 | 7,817 |
Inventory | 283,557 | 714,655 |
Prepaid expenses | 170,938 | 127,806 |
Deposits and other current assets | 253,436 | 265,553 |
TOTAL CURRENT ASSETS | 844,958 | 1,225,345 |
Lease right-of-use asset, operating | 529,381 | 749,116 |
Lease right-of-use asset, financing | 450,705 | |
Lease right-of-use asset, financing, related-party | 451,725 | |
Fixed assets, net | 3,016,631 | 3,236,825 |
TOTAL NON CURRENT ASSETS | 4,448,442 | 3,985,941 |
TOTAL ASSETS | 5,293,400 | 5,211,286 |
CURRENT LIABILITIES | ||
Accounts payable | 1,494,543 | 1,175,682 |
Accrued expenses | 457,811 | 407,454 |
Accrued legal liability | 165,000 | 165,000 |
Subscription liability | 1,300,000 | |
Notes payable | 320,122 | 466,762 |
Notes payable - related party | 605,000 | 300,000 |
Notes payable - convertible - related party, net | 2,027,695 | 1,689,745 |
Lease liability – operating, current portion | 371,960 | 325,339 |
Lease liability – financing, current portion | 3,824 | |
Lease liability – financing, related party, current portion | 4,031 | |
TOTAL CURRENT LIABILITIES | 6,749,986 | 4,529,982 |
Lease liability – operating, net of current portion | 214,330 | 499,546 |
Lease liability – net of current portion | 445,613 | |
Lease liability – financing, related party, net of current portion | 444,525 | |
TOTAL LIABILITIES | 7,854,454 | 5,029,528 |
STOCKHOLDERS’ (DEFICIT) EQUITY | ||
Preferred stock, $0.001 par value, 5,000,000 shares authorized, none issued and outstanding | ||
Common stock, $0.001 par value, 1,000,000,000 shares authorized, 253,217,402 and 248,840,144 shares issued and outstanding, respectively | 253,218 | 248,842 |
Additional paid-in capital | 47,433,354 | 46,054,126 |
Accumulated deficit | (50,427,626) | (46,121,210) |
TOTAL STOCKHOLDERS' (DEFICIT) EQUITY | (2,561,054) | 181,758 |
TOTAL LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY | $ 5,293,400 | $ 5,211,286 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 253,217,402 | 248,840,144 |
Common stock, shares outstanding | 253,217,402 | 248,840,144 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenue | ||||
Products sales - rebar | $ 235,579 | $ 155,477 | $ 781,918 | $ 175,162 |
Total cost of goods sold | 387,621 | 176,994 | 1,584,595 | 194,687 |
Gross (loss) | (152,042) | (21,517) | (802,677) | (19,525) |
OPERATING EXPENSES | ||||
Sales, general, and administrative | 595,310 | 1,632,956 | 2,678,405 | 4,145,403 |
Total operating expenses | 595,310 | 1,632,956 | 2,678,405 | 4,145,403 |
NET LOSS FROM OPERATIONS | (747,352) | (1,654,473) | (3,481,082) | (4,164,928) |
OTHER INCOME (EXPENSE) | ||||
Gain on settlement of legal contingency | 94,127 | 438,649 | ||
Liquidated damages – loan commitment | 0 | 0 | (426,759) | 0 |
Miscellaneous income | 30 | 8,131 | 30 | 8,131 |
Loss on extinguishment of debt | (6,743,015) | |||
Gain on loan forgiveness | 170,096 | 170,096 | 124,143 | |
Interest expense | (84,467) | (120,070) | (388,701) | (325,944) |
Total other income (expense) | 85,659 | (17,812) | (645,334) | (6,498,036) |
NET LOSS | $ (661,693) | $ (1,672,285) | $ (4,126,416) | $ (10,662,964) |
Net loss per share – | ||||
Basic | $ 0 | $ (0.01) | $ (0.02) | $ (0.05) |
Diluted | $ 0 | $ (0.01) | $ (0.02) | $ (0.05) |
Weighted average number of shares outstanding – | ||||
Basic | 253,187,772 | 238,136,804 | 251,736,069 | 233,829,833 |
Diluted | 253,187,772 | 238,136,804 | 251,736,069 | 233,829,833 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT) (UNAUDITED) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2020 | $ 224,838 | $ 28,714,488 | $ (29,643,387) | $ (704,061) |
Beginning balance, shares at Dec. 31, 2020 | 224,836,785 | |||
Warrants exercised for cash | $ 1,000 | 122,500 | 123,500 | |
Warrants exercised for cash, Shares | 1,000,000 | |||
Stock-based compensation | $ 600 | 173,400 | 174,000 | |
Stock-based compensation, shares | 600,000 | |||
Stock issued for cash, net of costs of $50,409 | $ 450 | 89,550 | 90,000 | |
Stock issued for cash, shares | 450,000 | |||
Warrants issued | 3,686,123 | 3,686,123 | ||
Net loss | (4,672,205) | (4,672,205) | ||
Ending balance, value at Mar. 31, 2021 | $ 226,888 | 32,786,061 | (34,315,592) | (1,302,643) |
Ending balance, Shares at Mar. 31, 2021 | 226,886,785 | |||
Stock-based compensation | $ 900 | 554,625 | 555,525 | |
Stock-based compensation, shares | 900,000 | |||
Stock issued for cash, net of costs of $50,409 | $ 735 | 241,041 | 241,776 | |
Stock issued for cash, shares | 735,669 | |||
Warrants issued | 3,362,091 | 3,362,091 | ||
Net loss | (4,318,474) | (4,318,474) | ||
Ending balance, value at Jun. 30, 2021 | $ 228,523 | 36,943,818 | (38,634,066) | (1,461,725) |
Ending balance, Shares at Jun. 30, 2021 | 228,522,454 | |||
Stock-based compensation | $ 600 | 288,950 | 289,550 | |
Stock-based compensation, shares | 600,000 | |||
Stock issued for cash, net of costs of $50,409 | $ 19,399 | 4,703,487 | 4,722,886 | |
Stock issued for cash, shares | 19,398,144 | |||
Warrants issued | ||||
Net loss | (1,672,285) | (1,672,285) | ||
Ending balance, value at Sep. 30, 2021 | $ 248,522 | 41,936,255 | (40,306,351) | 1,878,426 |
Ending balance, Shares at Sep. 30, 2021 | 248,520,598 | |||
Beginning balance, value at Dec. 31, 2021 | $ 248,842 | 46,054,126 | (46,121,210) | 181,758 |
Beginning balance, shares at Dec. 31, 2021 | 248,840,144 | |||
Stock issued for cash, net of costs of $50,409 | $ 2,121 | 647,470 | 649,591 | |
Stock issued for cash, shares | 2,121,212 | |||
Stock issued for exercise of warrants | $ 500 | 124,500 | 125,000 | |
Stock issued for exercise of warrants, shares | 500,000 | |||
Stock issued to service provider | $ 300 | 57,600 | 57,900 | |
Stock issued to service provider, shares | 300,000 | |||
Warrants issued to management | 169,565 | 169,565 | ||
Net loss | (1,520,661) | (1,520,661) | ||
Ending balance, value at Mar. 31, 2022 | $ 251,763 | 47,053,261 | (47,641,871) | (336,847) |
Ending balance, Shares at Mar. 31, 2022 | 251,761,356 | |||
Shares issued to related party for services | $ 122 | 18,162 | 18,284 | |
Shares issued to related party for services, shares | 122,713 | |||
Vesting of warrants issued to management | 41,706 | 41,706 | ||
Warrants issued to Related Party for services provided | 64,264 | 64,264 | ||
Net loss | (1,944,062) | (1,944,062) | ||
Ending balance, value at Jun. 30, 2022 | $ 251,885 | 47,177,393 | (49,585,933) | (2,156,655) |
Ending balance, Shares at Jun. 30, 2022 | 251,884,069 | |||
Shares issued for exercise of warrants | $ 1,333 | 98,667 | 100,000 | |
Shares issued for exercise of warrants , shares | 1,333,333 | |||
Warrants issued to service provider | 157,294 | 157,294 | ||
Net loss | (661,693) | (661,693) | ||
Ending balance, value at Sep. 30, 2022 | $ 253,218 | $ 47,433,354 | $ (50,247,626) | $ (2,561,054) |
Ending balance, Shares at Sep. 30, 2022 | 253,217,402 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT) (UNAUDITED) (Parenthetical) | 3 Months Ended |
Mar. 31, 2022 USD ($) | |
Statement of Stockholders' Equity [Abstract] | |
Net of cost | $ 50,409 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (4,126,416) | $ (10,662,964) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Lease right-of-use lease amortization | 220,933 | 187,464 |
Lease right-of-use asset amortization, financing lease | (1,725) | |
Lease right-of-use asset amortization, financing lease, related party | (705) | |
Depreciation and amortization | 100,670 | 96,355 |
Gain on settlement of legal contingency | (438,649) | |
Gains on settlement of payable | (8,131) | |
Loss on extinguishment of debt | 6,743,015 | |
Loan forgiveness | (170,096) | (124,143) |
Stock-based compensation | 509,013 | 1,019,075 |
Changes in operating assets and liabilities: | ||
Prepaid expenses | (43,132) | (36,263) |
Inventory | 431,098 | (207,553) |
Accounts receivable | (57,917) | (34,056) |
Deposits and other current assets | 12,117 | (9,004) |
Accounts payable and accrued expenses | 1,159,268 | (167,424) |
Subscription liability | 1,300,000 | (40,000) |
Lease liability, operating lease | (238,595) | (197,008) |
Lease liability, financing lease | (563) | |
Lease liability, financing lease – related party | (1,444) | |
Net cash used in operating activities | (907,494) | (3,879,286) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of equipment | (780,476) | (1,687,696) |
Proceeds from sale of equipment | 450,000 | |
Deposits on equipment | (181,200) | |
Net cash used in investing activities | (330,476) | (1,868,896) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from sale of common stock, net of costs | 649,591 | 5,054,662 |
Proceeds from exercise of warrants | 225,000 | 123,500 |
Proceeds of convertible notes payable and convertible notes payable related party | 579,741 | |
Repayments of convertible notes payable and convertible notes payable related party | (35,000) | |
Proceeds from notes payable and notes payable related party | 305,000 | 1,491,194 |
Repayments of notes payable and notes payable related party | 20,158 | (417,193) |
Net cash provided by financing activities | 1,199,749 | 6,796,904 |
NET (DECREASE) INCREASE IN CASH | (38,221) | 1,048,722 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 109,514 | 259,505 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 71,293 | 1,308,227 |
Supplemental cash flow information: | ||
Cash paid for income taxes | ||
Cash paid for interest | ||
Forgiveness of Paycheck Protection Program loan and accrued interest | 167,996 | 124,143 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Accounts payable paid by financing lease, related party | (450,000) | |
ROU Asset from financing leases | 450,000 | |
Conversion of notes payable into common stock | 1,487,386 | |
Issuance of warrants for services | 143,595 | |
Conversion of note payable in exchange for cash | 300,000 | |
Extension of convertible note interest rolled in | $ 337,950 |
ORGANIZATION, NATURE OF BUSINES
ORGANIZATION, NATURE OF BUSINESS AND GOING CONCERN | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION, NATURE OF BUSINESS AND GOING CONCERN | NOTE 1 – ORGANIZATION, NATURE OF BUSINESS AND GOING CONCERN (A) Description of Business Basanite, Inc., a Nevada corporation (the “Company”, “Basanite”, “we”, “us”, “our” or similar terminology), through our wholly owned subsidiary, Basanite Industries, LLC, a Delaware limited liability company (“BI”), manufactures a range of “green” (environmentally friendly), sustainable, non-corrosive, lightweight, composite products used in concrete reinforcement by the construction industry. Our core product is BasaFlex™, a basalt fiber reinforced polymer reinforcing bar (“rebar”) which we believe is a stronger, lighter, sustainable, non-conductive and corrosion-proof alternative to traditional steel. Our two other main product lines are BasaMix™, which are fine denier basalt fibers available in various sizes, and BasaMesh™, a line of Basalt Geogrid Mesh Rolls, intended to replace welded wire mesh (made of steel) and other fiber reinforced polymer (“FRB”) grids and mesh. BasaMix™ is designed to help absorb the stresses associated with early-aged plastic shrinkage and settlement cracking in concrete, as well as providing an increased toughness for enhanced reinforcement in Slab-on-Grade (“SOG”) and precast elements. BasaMix™ also serves in a “system approach” for optimum performance of a concrete element when used in conjunction with our BasaFlex™ rebar. BasaMesh™ is designed for secondary and temperature shrinkage reinforcement. BasaMesh™ can also work in conjunction with the BasaFlex™ rebar or BasaMix™ for a total reinforcement program. Each of our products is specifically designed to extend the lifecycle of concrete products by eliminating “concrete spalling.” Spalling results from the steel reinforcing materials embedded within the concrete member rusting (contrary to popular belief, concrete is porous and water can permeate into concrete). Rusting leads to the steel expanding and eventually causing the surrounding concrete to delaminate, crack, or even break off, resulting in potential structural failure. We believe that each Basanite product addresses this important need along with other key requirements in today’s construction market. (B) Liquidity and Management Plans Since inception, the Company has incurred net operating losses and used cash in operations. As of September 30, 2022, and December 31, 2021, respectively, the Company reported: · an accumulated deficit of $ 50,247,626 46,121,210 · a working capital deficiency of $ 5,905,028 3,304,637 · cash used in operations of $ 907,494 3,879,286 Losses have principally occurred as a result of the substantial resources required for product research and development, establishment and upgrading of our manufacturing facility and equipment, and for certification, government approval and marketing of the Company’s products; including the general and administrative expenses associated with the organization. Due to our cash flow and liquidity challenges, we have received demand letters from a number of vendors to our company seeking payment of past due amounts to such vendors. As of the date of this report, such demands have not become formal litigations or other proceedings against our company, but they may become litigations against us in the future. While we have generated relatively little revenue to date, revenue from sales of product began to increase during the nine months of 2022 (including the quarter ended September 30, 2022), and we continue to receive inquiries and solicit orders from a range of customers for our products, indicating what we believe is a significant level of market interest for BasaFlex™ and BasaMix ™ products. We also spent time and resources during the three quarters of 2022 in introducing our products to, and receiving approvals and certifications from, various county and local government agencies to have our products used in such agencies’ construction projects, While the Company plans to expand its manufacturing capacity in the future, based on our current limited manufacturing capacity, and given that we plan to vacate our current facility in Pompano Beach, Florida due to a recent dispute with our landlord (see note 12), there is no guarantee that orders secured from marketing and governmental approval activities will actually be received or that orders, if received, can be properly fulfilled. On September 27, 2022, we furloughed the majority of our staff to reduce costs during a period of reduced production. We anticipate re-staffing as soon as we obtain adequate funding and are in a new facility with the new equipment. We have historically satisfied our working capital requirements through the sale of restricted common stock of the Company, $ 0.001 These conditions raise substantial doubt about the Company’s ability to continue as a going concern. These condensed consolidated financial statements do not include any adjustments to reflect the possible future effect on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from the outcome of these uncertainties. At September 30, 2022, the Company had cash of $ 71,293 109,514 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (A) Use of Estimates in Financial Statements The presentation of financial statements in conformity with accounting principles generally accepted in the United States of America 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 revenues and expenses during the reporting period. Actual results could differ from those estimates. Stock-based compensation and stock awards related to convertible debt instruments are recognized based on the fair value of the awards granted. The fair value of each award or conversion feature is typically estimated on the grant date using the Black-Scholes pricing model. The Black-Scholes pricing model requires the input of highly subjective assumptions, including the fair value of the underlying Common Stock, the expected term of the option, the expected volatility of the price of our Common Stock, risk-free interest rates and the expected dividend yield of our Common Stock. The assumptions used to determine the fair value of the stock awards represent management’s best estimates. These estimates involve inherent uncertainties and the application of management’s judgment. The Company used the Black Scholes valuation model to determine the fair value of the warrants and options issued, using the following key assumptions for the nine months ended September 30, 2022. There were no such valuations during the nine months ended September 30, 2021: Schedule of Fair Value Assumptions Nine months Nine months ended ended September 30, September 30, 2022 2021 (Unaudited) Expected price volatility 144.21 145.73 N/A Risk-free interest rate 2.55 4.21 N/A Expected life in years 5 N/A Dividend yield — N/A (B) Principles of Consolidation The condensed consolidated financial statements include the accounts of Basanite, Inc. and its wholly owned subsidiaries, Basanite Industries, LLC and Basalt America, LLC. All intercompany balances have been eliminated in consolidation. The Company’s operations are conducted primarily through Basanite Industries, LLC. Basalt America, LLC is currently inactive. (C) Cash The Company considers all highly liquid temporary cash instruments with an original maturity of three months or less to be cash equivalents. The Company places its cash, cash equivalents and restricted cash on deposit with financial institutions in the United States, which are insured by the Federal Deposit Insurance Company “(“FDIC”) up to $ 250,000 (D) Inventories The Company’s inventories consist of raw materials, work in process and finished goods, both purchased and manufactured. Inventories are stated at lower of cost or net realizable value. Cost is determined on a first-in, first-out basis. Raw materials inventory consists of basalt fiber and other necessary elements to produce BasaFlex™ rebar and our other products. On a quarterly basis, the Company analyzes its inventory levels and records allowances for inventory that has become obsolete and inventory that has a cost basis in excess of the expected net realizable value. The Company’s inventory at September 30, 2022 and December 31, 2021 was comprised of: Schedule of Inventories September 30, December 31, 2022 2021 (Unaudited) Finished goods $ 21,061 $ 328,229 Work in process 83,141 35,213 Raw materials 155,696 351,213 Other inventory 23,659 — Total Inventory $ 283,557 $ 714,655 (E) Fixed assets Fixed assets consist of the following: Schedule of Fixed Assets September 30, December 31, 2022 2021 (Unaudited) Computer equipment $ 199,704 $ 133,654 Machinery 728,245 717,437 Leasehold improvements 170,452 166,252 Office furniture and equipment 71,292 71,292 Land improvements 7,270 7,270 Website development 2,500 2,500 Construction in process 2,208,404 2,408,986 3,387,867 3,507,391 Accumulated depreciation and amortization (371,236 ) (270,566 ) $ 3,016,631 $ 3,236,825 Depreciation expense for the three and nine months ended September 30, 2022, was $ 33,919 100,670 32,430 96,355 (F) Deposits and other current assets The Company’s deposits and other current assets consist of the deposits made on equipment, security deposits, utility deposits and other receivables. The deposits are reclassified as part of the fixed asset cost when received and placed into service. (G) Loss Per Share The basic loss per share is calculated by dividing the Company’s net loss available to common shareholders by the weighted average number of common shares during the period. The diluted loss per share is calculated by dividing the Company’s net loss by the diluted weighted average number of shares outstanding during the period. The diluted weighted average number of shares outstanding is the basic weighted number of shares adjusted for any potentially dilutive debt or equity. Schedule of Dilutive Shares Not Included in Loss Per Share Computation September 30, December 31, 2022 2021 (Unaudited) Options 1,727,778 4,227,778 Warrants 140,055,757 138,191,666 Convertible securities 8,016,068 6,970,063 Total 149,799,603 149,389,507 (H) Stock-Based Compensation The Company recognizes compensation costs to employees under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718, Compensation – Stock Compensation. Under FASB ASC Topic 718, companies are required to measure the compensation costs of share-based compensation arrangements based on the grant-date fair value and recognize the costs in the financial statements over the period during which employees are required to provide services. Share based compensation arrangements include stock options, restricted share plans, performance-based awards, share appreciation rights and employee share purchase plans. As such, compensation cost is measured on the date of grant at their fair value. Such compensation amounts, if any, are amortized over the respective vesting periods of the grant. (I) Revenue Recognition We recognize revenue when control of the promised goods or services is transferred to the Company’s customers in an amount that reflects the consideration we expected to be entitled to in exchange for those goods or services. The timing of revenue recognition largely is dependent on shipping terms. Revenue is recorded at the time of shipment for terms designated free on board (“FOB”) shipping point. For sales transactions designated FOB destination, revenue is recorded when the product is delivered to the customer’s delivery site. All revenues recognized are net of trade allowances, cash discounts, and sales returns. Trade allowances are based on the estimated obligations. Adjustments to earnings resulting from revisions to estimates on discounts and returns have been immaterial for each of the reported periods. Shipping and handling amounts billed to a customer as part of a sales transaction are included in revenues, and the related costs are included in cost of goods sold. Shipping and handling are treated as fulfillment activities, rather than promised services, and therefore are not considered separate performance obligations. During the three and nine months ended September 30, 2022, and 2021, the Company incurred shipping and handling costs in the amount of $ 40,254 0 |
OPERATING LEASE
OPERATING LEASE | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
OPERATING LEASE | NOTE 3 – OPERATING LEASE On January 18, 2019, the Company entered into an agreement to lease approximately 25,470 square feet of office and manufacturing space in Pompano Beach, Florida through March 2024. On March 25, 2019, the Company entered into an amendment to the agreement to increase the square footage of leased premises to 36,900 square feet, increasing the Company’s base rent obligation to be approximately $ 33,825 The right-of-use asset is composed of the sum of all remaining lease payments plus any initial direct costs and is amortized over the life of the expected lease term. For the expected term of the lease, the Company used the initial term of the five-year lease. If the Company does elect to exercise its option to extend the lease for another five years, for which the election will be treated as a lease modification, the lease will be reviewed for remeasurement. The future minimum lease payments to be made under the operating lease as of September 30, 2022, are as follows: Schedule of Operating Lease Liability 2022 $ 107,656 2023 440,308 2024 110,884 Total minimum lease payments 658,848 Discount (72,558 ) Operating lease liability $ 586,290 Operating lease liabilities are based on the net present value of the remaining lease payments over the remaining lease term. In determining the present value of lease payments, the Company used the incremental borrowing rate based on the information available at the lease commencement date. As of September 30, 2022, the weighted-average remaining lease term is 2.0 15.0 340,147 321,153 |
FINANCING LEASE
FINANCING LEASE | 9 Months Ended |
Sep. 30, 2022 | |
Financing Lease | |
FINANCING LEASE | NOTE 4 FINANCING LEASE On July 11, 2022, the Company entered into an equipment financing agreement (the “Agreement”) with Quayco, LLC, a Pennsylvania limited liability company (the “Lessor”). The Company had previously ordered certain specialized BasaMax™ Pultrusion Machines (the “Machines”) from Upstate Custom Products LLC, a South Carolina limited liability company (the “Manufacturer”). The Machines are to be used to manufacture the Company’s basalt fiber reinforced polymer (BFRP) rebar products. Pursuant to the Agreement, the Lessor will pay the Company (Lessee) $ 450,000 450,000 21 8,250 450,000 The future minimum lease payments to be made under the financing lease as of September 30, 2022, are as follows: Schedule of future minimum lease payments 2022 $ 24,750 2023 99,000 2024 499,500 Total minimum lease payments 623,250 Present value discount (173,813 ) Financing lease liability $ 449,437 |
FINANCING LEASE _ RELATED PARTY
FINANCING LEASE – RELATED PARTY | 9 Months Ended |
Sep. 30, 2022 | |
Financing Lease Related Party | |
FINANCING LEASE – RELATED PARTY | NOTE 5 – FINANCING LEASE – RELATED PARTY On April 27, 2022, the Company entered into an Equipment Rental Agreement (the “Agreement”) with First New Haven Mortgage Company, LLC, a Connecticut limited liability company and an affiliate of the Company (the “Lessor”). Ronald J. LoRicco, the Chairman of the Company’s Board of Directors, is the co-managing member of the Lessor and has an indirect pecuniary interest in the Lessor. In accordance with Nevada corporate law, the Agreement was independently reviewed and approved by the unanimous vote of the disinterested directors of the Company, with Mr. LoRicco recusing himself from voting. Pursuant to the Agreement, the Lessor paid approximately $ 450,000 8,250 The future minimum lease payments to be made under the financing lease as of September 30, 2022, are as follows: Schedule of Financing Lease Liability 2022 $ 24,750 2023 99,000 2024 474,750 Total minimum lease payments 598,500 Discount (149,944 ) Financing lease liability $ 448,556 |
NOTES PAYABLE
NOTES PAYABLE | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE | NOTE 6 – NOTES PAYABLE Notes payable totaled an aggregate of $ 320,122 466,762 On February 25, 2021, the Company entered a promissory note agreement with a bank for $ 165,747 1.0 On April 2, 2021, the Company issued a promissory note with an investor in exchange for $ 200,000 18 1 2,000,000 0.20 5 On April 9, 2021, the Company issued a promissory note with an investor in exchange for $ 50,000 18 1 500,000 0.20 5 On April 16, 2021, the Company issued a promissory note with an investor in exchange for $ 25,000 18 1 250,000 0.25 5 On April 16, 2021, the Company issued a promissory note with an investor in exchange for $ 20,000 18 1 200,000 0.25 5 The Company enters into financing arrangements for its liability insurance premiums. The financings have a term of one year and an interest rate of 9.40 25,122 6,015 Interest expense for the Company’s promissory notes payable for the three and nine months ended September 30, 2022 was, in the aggregate, $ 16,800 32,866 23,666 53,784 Accrued interest for the Company’s promissory notes payable on September 30, 2022 and December 31, 2021 was, in the aggregate, $ 83,510 42,773 |
NOTES PAYABLE _ RELATED PARTY
NOTES PAYABLE – RELATED PARTY | 9 Months Ended |
Sep. 30, 2022 | |
Notes Payable Related Party | |
NOTES PAYABLE – RELATED PARTY | NOTE 7 – NOTES PAYABLE – RELATED PARTY Notes payable – Related Party, totaled an aggregate of $ 605,000 300,000 On August 31, 2022 the Company issued a promissory note to a board member in exchange for $ 37,000 10 August 31, 2023 On August 22, 2022 the Company issued a promissory note to a board member in exchange for $ 20,000 10 August 22, 2023 On August 22, 2022 the Company issued a promissory note to a board member in exchange for $ 5,000 10 August 22, 2023 On August 29, 2022 the Company issued a promissory note to a board member in exchange for $ 25,000 10 August 29, 2023 On August 29, 2022 the Company issued a promissory note to a board member in exchange for $ 10,000 10 August 29, 2023 On August 31, 2022 the Company issued a promissory note to a board member in exchange for $ 13,000 10 August 31, 2023 On September 9, 2022 the Company issued a promissory note to a board member in exchange for $ 60,000 10 August 16, 2023 On September 9, 2022 the Company issued a promissory note to a board member in exchange for $ 10,000 10 September 9, 2023 On September 9, 2022 the Company issued a promissory note to a strategic partner in exchange for $ 10,000 10 September 9, 2023 On September 9, 2022 the Company issued a promissory note to a strategic partner in exchange for $ 15,000 10 September 9, 2023 On September 9, 2022 the Company issued a promissory note to an investor and advisor to the board, in exchange for $ 15,000 10 September 9, 2023 On September 22, 2022 the Company issued a promissory note to a board member in exchange for $ 42,500 10 March 22, 2023 On September 22, 2022 the Company issued a promissory note to an investor and advisor to the board in exchange for $ 42,500 10 March 22, 2023 On April 2, 2021, the Company issued a promissory note to Paul Sallarulo, a member of our Board of Directors, in exchange for $ 150,000 18 April 2, 2022 1,500,000 0.20 5 As of the date of this report, the note has not been called. On April 2, 2021, the Company issued a promissory note to Michael V. Barbera, our Chairman of the Board, in exchange for $ 150,000 18 April 2, 2022 1,500,000 0.20 5 As of the date of this report, the note has not been called. Interest expense for the Company’s notes payable – related party for the three and nine months ended September 30, 2022 was $ 9,473 34,562 16,635 27,648 Accrued interest for the Company’s notes payable - related party on September 30, 2022, and December 31, 2021, was an aggregate of $ 92,270 42,614 |
NOTES PAYABLE _ CONVERTIBLE _ R
NOTES PAYABLE – CONVERTIBLE – RELATED PARTY | 9 Months Ended |
Sep. 30, 2022 | |
Notes Payable Convertible Related Party | |
NOTES PAYABLE – CONVERTIBLE – RELATED PARTY | NOTE 8 – NOTES PAYABLE – CONVERTIBLE – RELATED PARTY Convertible Notes payable – related party totaled an aggregate of $ 2,027,695 1,689,746 On August 3, 2020, the Company issued a secured convertible promissory note to certain investors in exchange for $ 1,000,000 20 750,000 On February 12, 2021, the Company exchanged the original debt for a newly issued amended and restated secured convertible promissory note with a new principal balance of $ 1,610,005 20 1,000,000 110,005 15,000,000 0.20 3,686,123 On May 12, 2021, the Company extended the debt for a newly issued amended and restated secured convertible promissory note with a new principal balance of $1,689,746 bearing an interest rate of 20 1,610,005 79,742 5 0.35 1,874,705 On September 15, 2022, the Company extended the debt for a newly issued amended and restated secured convertible promissory note with a new principal balance of $ 2,027,695 20 February 12, 2023 1,689,746 337,949 Interest expense for the Company’s convertible notes payable – related parties for the three and nine months ended September 30, 2022, was an aggregate of $ 45,371 276,228 88,244 239,766 Accrued interest for the Company’s convertible notes payable – related parties on September 30, 2022, and December 31, 2021, was an aggregate of $ 176,724 227,022 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 9 – COMMITMENTS AND CONTINGENCIES The Company is the obligor under certain promissory notes that are currently past due (although formal events of default have not been declared). The Company is presently in default of its obligations under the terms of the Company’s private placement which closed in August 2021 to file a registration statement for an underwritten public offering and concurrently an application for listing on a national stock exchange. As a result, the Company is required to pay liquidated damages in the amount of $ 53,345 106,690 480,104 0 426,759 |
STOCKHOLDERS_ DEFICIT
STOCKHOLDERS’ DEFICIT | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
STOCKHOLDERS’ DEFICIT | NOTE 10 – STOCKHOLDERS’ DEFICIT The Company raised $ 1,300,000 During the three months ended September 30, 2022, the company charged the amount of $ 80,058 |
OPTIONS AND WARRANTS
OPTIONS AND WARRANTS | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
OPTIONS AND WARRANTS | NOTE 11 – OPTIONS AND WARRANTS Stock Options: The following table provides the activity in options for the respective periods: Schedule of Option Activity Total Options Weighted Average Aggregate Intrinsic Outstanding Exercise Price Value Balance at January 1, 2021 4,542,500 $ 0.41 $ — Issued 1,277,778 0.27 — Cancelled / Expired (1,592,500 ) 0.53 — Balance at December 31, 2021 4,227,778 $ 0.33 $ 19,500 Exercised (500,000 ) 0.25 — Cancelled / Expired (1,000,000 ) 0.55 — Balance at March 31, 2022 2,727,778 ) $ 0.26 $ — Cancelled / Expired (1,000,000 ) 0.25 Balance at June 30, 2022 1,727,778 $ 0.27 $ — Cancelled / Expired — — — Balance at September 30, 2022 1,727,778 $ 0.27 $ — Options exercisable and outstanding at September 30, 2022 are as follows: Schedule of Options Exercisable and Outstanding Weighted Average Remaining Range of Number Contractual Weighted Average Aggregate Exercise Prices Outstanding Life (Years) Exercise Price Intrinsic Value $ 0.25 0.28 1,727,778 2.9 $0.27 — Stock Warrants: The following table provides the activity in warrants to purchase shares of Common Stock for the respective periods: Schedule of Warrants Activity Weighted Average Aggregate Total Warrants Exercise Price Intrinsic Value Balance at January 1, 2021 38,920,378 $ 0.27 $ 2,973,660 Granted 100,271,288 0.29 — Exercised (1,000,000 ) 0.12 — Balance at December 31, 2021 138,191,666 $ 0.29 $ 3,824,750 Granted 5,242,424 0.33 — Balance at March 31, 2022 143,434,090 $ 0.29 $ 1,147,100 Granted 500,000 0.33 Expired – cancelled (2,045,000 ) 0.00 Balance at June 30, 2022 141,889,090 $ 0.29 $ 204,000 Granted 1,000,000 0.33 — Exercised (1,333,333 ) 0.08 Expired – cancelled (1,500,000 ) 0.00 — Balance at September 30, 2022 140,055,757 $ 0.29 $ 150,667 Warrants exercisable and outstanding at September 30, 2022 are as follows: Schedule of Warrants Exercisable and Outstanding Weighted Average Remaining Range of Number Contractual Weighted Average Aggregate Exercise Prices Outstanding Life (Years) Exercise Price Intrinsic Value $ 0.01 0.50 138,512,714 3.40 $0.29 $150,667 $ 0.51 1.00 1,543,043 0.75 $0.60 — 140,055,757 $150,667 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 12 – SUBSEQUENT EVENTS On October 17, 2022, the Company was presented with a written notice from Camton, LLC (the “Landlord”), the landlord of the Company’s headquarters and principal manufacturing facility in Pompano Beach, Florida, demanding the Company pay past due rent or relinquish possession of its facilities. On October 25, 2022, the Landlord filed a complaint in the Broward County Court, Fort Lauderdale, Florida, and on November 1, 2022, the Company received an eviction summons. On November 3, 2022, in accordance with the instructions within the complaint, the Company presented 100% of the past due amount payable to the Broward County Court and commenced negotiations with the Landlord for an early exit of its lease. On October 31, 2022, the Company entered into an Equipment Rental Agreement (the “Agreement”) with LoRicco Enterprises, LLC, a Connecticut limited liability company and an affiliate of the Company (the “Lessor”). Ronald J. LoRicco, the Chairman of the Company’s Board of Directors, is the co-managing member of the Lessor and has an indirect pecuniary interest in the Lessor. In accordance with Nevada corporate law, the Agreement was independently reviewed and approved by the unanimous vote of the disinterested directors of the Company, with Mr. LoRicco recusing himself from voting. 21 . Pursuant to this lease of TM , the Company will conditionally defer payments in the amount of $ 8,250 per month for up to 24 months, followed by a final payment in the amount of $ 450,000 . On October 20, 2022, 3,939,390 7,878,780 On November 14, 2022, Simon Kay, the Company’s Chief Executive Officer and President, resigned his positions with the Company. Pursuant to her employment agreement with the Company, Lisa Gainsborg, the Company’s Chief Financial Officer, is entitled to receive options to purchase Common Stock which vest in quarterly increments over time. The initial tranche of options vested on November 17, 2022, but as a courtesy to the Company. Ms. Gainsborg has waived her right to such options. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Use of Estimates in Financial Statements | (A) Use of Estimates in Financial Statements The presentation of financial statements in conformity with accounting principles generally accepted in the United States of America 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 revenues and expenses during the reporting period. Actual results could differ from those estimates. Stock-based compensation and stock awards related to convertible debt instruments are recognized based on the fair value of the awards granted. The fair value of each award or conversion feature is typically estimated on the grant date using the Black-Scholes pricing model. The Black-Scholes pricing model requires the input of highly subjective assumptions, including the fair value of the underlying Common Stock, the expected term of the option, the expected volatility of the price of our Common Stock, risk-free interest rates and the expected dividend yield of our Common Stock. The assumptions used to determine the fair value of the stock awards represent management’s best estimates. These estimates involve inherent uncertainties and the application of management’s judgment. The Company used the Black Scholes valuation model to determine the fair value of the warrants and options issued, using the following key assumptions for the nine months ended September 30, 2022. There were no such valuations during the nine months ended September 30, 2021: Schedule of Fair Value Assumptions Nine months Nine months ended ended September 30, September 30, 2022 2021 (Unaudited) Expected price volatility 144.21 145.73 N/A Risk-free interest rate 2.55 4.21 N/A Expected life in years 5 N/A Dividend yield — N/A |
Principles of Consolidation | (B) Principles of Consolidation The condensed consolidated financial statements include the accounts of Basanite, Inc. and its wholly owned subsidiaries, Basanite Industries, LLC and Basalt America, LLC. All intercompany balances have been eliminated in consolidation. The Company’s operations are conducted primarily through Basanite Industries, LLC. Basalt America, LLC is currently inactive. |
Cash | (C) Cash The Company considers all highly liquid temporary cash instruments with an original maturity of three months or less to be cash equivalents. The Company places its cash, cash equivalents and restricted cash on deposit with financial institutions in the United States, which are insured by the Federal Deposit Insurance Company “(“FDIC”) up to $ 250,000 |
Inventories | (D) Inventories The Company’s inventories consist of raw materials, work in process and finished goods, both purchased and manufactured. Inventories are stated at lower of cost or net realizable value. Cost is determined on a first-in, first-out basis. Raw materials inventory consists of basalt fiber and other necessary elements to produce BasaFlex™ rebar and our other products. On a quarterly basis, the Company analyzes its inventory levels and records allowances for inventory that has become obsolete and inventory that has a cost basis in excess of the expected net realizable value. The Company’s inventory at September 30, 2022 and December 31, 2021 was comprised of: Schedule of Inventories September 30, December 31, 2022 2021 (Unaudited) Finished goods $ 21,061 $ 328,229 Work in process 83,141 35,213 Raw materials 155,696 351,213 Other inventory 23,659 — Total Inventory $ 283,557 $ 714,655 |
Fixed assets | (E) Fixed assets Fixed assets consist of the following: Schedule of Fixed Assets September 30, December 31, 2022 2021 (Unaudited) Computer equipment $ 199,704 $ 133,654 Machinery 728,245 717,437 Leasehold improvements 170,452 166,252 Office furniture and equipment 71,292 71,292 Land improvements 7,270 7,270 Website development 2,500 2,500 Construction in process 2,208,404 2,408,986 3,387,867 3,507,391 Accumulated depreciation and amortization (371,236 ) (270,566 ) $ 3,016,631 $ 3,236,825 Depreciation expense for the three and nine months ended September 30, 2022, was $ 33,919 100,670 32,430 96,355 |
Deposits and other current assets | (F) Deposits and other current assets The Company’s deposits and other current assets consist of the deposits made on equipment, security deposits, utility deposits and other receivables. The deposits are reclassified as part of the fixed asset cost when received and placed into service. |
Loss Per Share | (G) Loss Per Share The basic loss per share is calculated by dividing the Company’s net loss available to common shareholders by the weighted average number of common shares during the period. The diluted loss per share is calculated by dividing the Company’s net loss by the diluted weighted average number of shares outstanding during the period. The diluted weighted average number of shares outstanding is the basic weighted number of shares adjusted for any potentially dilutive debt or equity. Schedule of Dilutive Shares Not Included in Loss Per Share Computation September 30, December 31, 2022 2021 (Unaudited) Options 1,727,778 4,227,778 Warrants 140,055,757 138,191,666 Convertible securities 8,016,068 6,970,063 Total 149,799,603 149,389,507 |
Stock-Based Compensation | (H) Stock-Based Compensation The Company recognizes compensation costs to employees under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718, Compensation – Stock Compensation. Under FASB ASC Topic 718, companies are required to measure the compensation costs of share-based compensation arrangements based on the grant-date fair value and recognize the costs in the financial statements over the period during which employees are required to provide services. Share based compensation arrangements include stock options, restricted share plans, performance-based awards, share appreciation rights and employee share purchase plans. As such, compensation cost is measured on the date of grant at their fair value. Such compensation amounts, if any, are amortized over the respective vesting periods of the grant. |
Revenue Recognition | (I) Revenue Recognition We recognize revenue when control of the promised goods or services is transferred to the Company’s customers in an amount that reflects the consideration we expected to be entitled to in exchange for those goods or services. The timing of revenue recognition largely is dependent on shipping terms. Revenue is recorded at the time of shipment for terms designated free on board (“FOB”) shipping point. For sales transactions designated FOB destination, revenue is recorded when the product is delivered to the customer’s delivery site. All revenues recognized are net of trade allowances, cash discounts, and sales returns. Trade allowances are based on the estimated obligations. Adjustments to earnings resulting from revisions to estimates on discounts and returns have been immaterial for each of the reported periods. Shipping and handling amounts billed to a customer as part of a sales transaction are included in revenues, and the related costs are included in cost of goods sold. Shipping and handling are treated as fulfillment activities, rather than promised services, and therefore are not considered separate performance obligations. During the three and nine months ended September 30, 2022, and 2021, the Company incurred shipping and handling costs in the amount of $ 40,254 0 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Schedule of Fair Value Assumptions | Schedule of Fair Value Assumptions Nine months Nine months ended ended September 30, September 30, 2022 2021 (Unaudited) Expected price volatility 144.21 145.73 N/A Risk-free interest rate 2.55 4.21 N/A Expected life in years 5 N/A Dividend yield — N/A |
Schedule of Inventories | Schedule of Inventories September 30, December 31, 2022 2021 (Unaudited) Finished goods $ 21,061 $ 328,229 Work in process 83,141 35,213 Raw materials 155,696 351,213 Other inventory 23,659 — Total Inventory $ 283,557 $ 714,655 |
Schedule of Fixed Assets | Schedule of Fixed Assets September 30, December 31, 2022 2021 (Unaudited) Computer equipment $ 199,704 $ 133,654 Machinery 728,245 717,437 Leasehold improvements 170,452 166,252 Office furniture and equipment 71,292 71,292 Land improvements 7,270 7,270 Website development 2,500 2,500 Construction in process 2,208,404 2,408,986 3,387,867 3,507,391 Accumulated depreciation and amortization (371,236 ) (270,566 ) $ 3,016,631 $ 3,236,825 |
Schedule of Dilutive Shares Not Included in Loss Per Share Computation | Schedule of Dilutive Shares Not Included in Loss Per Share Computation September 30, December 31, 2022 2021 (Unaudited) Options 1,727,778 4,227,778 Warrants 140,055,757 138,191,666 Convertible securities 8,016,068 6,970,063 Total 149,799,603 149,389,507 |
OPERATING LEASE (Tables)
OPERATING LEASE (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Leases [Abstract] | |
Schedule of Operating Lease Liability | Schedule of Operating Lease Liability 2022 $ 107,656 2023 440,308 2024 110,884 Total minimum lease payments 658,848 Discount (72,558 ) Operating lease liability $ 586,290 |
FINANCING LEASE (Tables)
FINANCING LEASE (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Financing Lease | |
Schedule of future minimum lease payments | Schedule of future minimum lease payments 2022 $ 24,750 2023 99,000 2024 499,500 Total minimum lease payments 623,250 Present value discount (173,813 ) Financing lease liability $ 449,437 |
FINANCING LEASE _ RELATED PAR_2
FINANCING LEASE – RELATED PARTY (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Financing Lease Related Party | |
Schedule of Financing Lease Liability | Schedule of Financing Lease Liability 2022 $ 24,750 2023 99,000 2024 474,750 Total minimum lease payments 598,500 Discount (149,944 ) Financing lease liability $ 448,556 |
OPTIONS AND WARRANTS (Tables)
OPTIONS AND WARRANTS (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Option Activity | Schedule of Option Activity Total Options Weighted Average Aggregate Intrinsic Outstanding Exercise Price Value Balance at January 1, 2021 4,542,500 $ 0.41 $ — Issued 1,277,778 0.27 — Cancelled / Expired (1,592,500 ) 0.53 — Balance at December 31, 2021 4,227,778 $ 0.33 $ 19,500 Exercised (500,000 ) 0.25 — Cancelled / Expired (1,000,000 ) 0.55 — Balance at March 31, 2022 2,727,778 ) $ 0.26 $ — Cancelled / Expired (1,000,000 ) 0.25 Balance at June 30, 2022 1,727,778 $ 0.27 $ — Cancelled / Expired — — — Balance at September 30, 2022 1,727,778 $ 0.27 $ — |
Schedule of Options Exercisable and Outstanding | Schedule of Options Exercisable and Outstanding Weighted Average Remaining Range of Number Contractual Weighted Average Aggregate Exercise Prices Outstanding Life (Years) Exercise Price Intrinsic Value $ 0.25 0.28 1,727,778 2.9 $0.27 — |
Schedule of Warrants Activity | Schedule of Warrants Activity Weighted Average Aggregate Total Warrants Exercise Price Intrinsic Value Balance at January 1, 2021 38,920,378 $ 0.27 $ 2,973,660 Granted 100,271,288 0.29 — Exercised (1,000,000 ) 0.12 — Balance at December 31, 2021 138,191,666 $ 0.29 $ 3,824,750 Granted 5,242,424 0.33 — Balance at March 31, 2022 143,434,090 $ 0.29 $ 1,147,100 Granted 500,000 0.33 Expired – cancelled (2,045,000 ) 0.00 Balance at June 30, 2022 141,889,090 $ 0.29 $ 204,000 Granted 1,000,000 0.33 — Exercised (1,333,333 ) 0.08 Expired – cancelled (1,500,000 ) 0.00 — Balance at September 30, 2022 140,055,757 $ 0.29 $ 150,667 |
Schedule of Warrants Exercisable and Outstanding | Schedule of Warrants Exercisable and Outstanding Weighted Average Remaining Range of Number Contractual Weighted Average Aggregate Exercise Prices Outstanding Life (Years) Exercise Price Intrinsic Value $ 0.01 0.50 138,512,714 3.40 $0.29 $150,667 $ 0.51 1.00 1,543,043 0.75 $0.60 — 140,055,757 $150,667 |
ORGANIZATION, NATURE OF BUSIN_2
ORGANIZATION, NATURE OF BUSINESS AND GOING CONCERN (Details Narrative) - USD ($) | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Accumulated deficit | $ 50,247,626 | $ 46,121,210 | |
Working capital deficiency | 5,905,028 | $ 3,304,637 | |
Cash used in opeartions | $ 907,494 | $ 3,879,286 | |
Common Stock par value | $ 0.001 | $ 0.001 | |
Cash | $ 71,293 | $ 109,514 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule of Fair Value Assumptions) (Details) | 9 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Equipment [Line Items] | |
Expected life in years | 5 years |
Dividend yield | |
Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected price volatility, maximum | 144.21% |
Risk-free interest rate, maximum | 2.55% |
Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected price volatility, maximum | 145.73% |
Risk-free interest rate, maximum | 4.21% |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule of Inventory) (Details) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
Accounting Policies [Abstract] | ||
Finished goods | $ 21,061 | $ 328,229 |
Work in process | 83,141 | 35,213 |
Raw materials | 155,696 | 351,213 |
Other inventory | 23,659 | |
Total Inventory | $ 283,557 | $ 714,655 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Fixed assets) (Details) - USD ($) | Sep. 30, 2022 | Dec. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | $ 3,387,867 | $ 3,507,391 |
Accumulated depreciation | (371,236) | (270,566) |
Total fixed assets, net | 3,016,631 | 3,236,825 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | 199,704 | 133,654 |
Machinery [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | 728,245 | 717,437 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | 170,452 | 166,252 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | 71,292 | 71,292 |
Land and Land Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | 7,270 | 7,270 |
Website Development [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | 2,500 | 2,500 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total fixed assets | $ 2,208,404 | $ 2,408,986 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Schedule of Dilutive Shares Not Included in Loss Per Share Computation) (Details) - shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 | Dec. 31, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Dilutive shares not included in loss per share computation | 149,799,603 | 149,389,507 |
Equity Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Dilutive shares not included in loss per share computation | 1,727,778 | 4,227,778 |
Warrant [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Dilutive shares not included in loss per share computation | 140,055,757 | 138,191,666 |
Convertible Debt Securities [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Dilutive shares not included in loss per share computation | 8,016,068 | 6,970,063 |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Accounting Policies [Abstract] | ||||
Cash insured amount | $ 250,000 | $ 250,000 | ||
Depreciation expense | 33,919 | $ 32,430 | 100,670 | $ 96,355 |
Shipping and handling costs | $ 40,254 | $ 0 | $ 40,254 | $ 0 |
OPERATING LEASE (Schedule of Fu
OPERATING LEASE (Schedule of Future Minimum Lease Payments under Operating Lease) (Details) | Sep. 30, 2022 USD ($) |
Leases [Abstract] | |
2022 | $ 107,656 |
2023 | 440,308 |
2024 | 110,884 |
Total minimum lease payments | 658,848 |
Discount | (72,558) |
Operating lease liability | $ 586,290 |
OPERATING LEASE (Details Narrat
OPERATING LEASE (Details Narrative) - USD ($) | 1 Months Ended | 9 Months Ended | |
Mar. 25, 2019 | Sep. 30, 2022 | Sep. 30, 2021 | |
Leases [Abstract] | |||
Base rent obligation | $ 33,825 | ||
Lease term | 2 years | ||
Weighted average discount rate | 15% | ||
Operating lease rent expense | $ 340,147 | $ 321,153 |
FINANCING LEASE (Details)
FINANCING LEASE (Details) | Sep. 30, 2022 USD ($) |
Financing Lease | |
2022 | $ 24,750 |
2023 | 99,000 |
2024 | 499,500 |
Total minimum lease payments | 623,250 |
Present value discount | (173,813) |
Financing lease liability | $ 449,437 |
FINANCING LEASE (Details Narrat
FINANCING LEASE (Details Narrative) - USD ($) | 1 Months Ended | |
Jul. 11, 2022 | Apr. 27, 2022 | |
Offsetting Assets [Line Items] | ||
Lease payment | $ 8,250 | |
Equipment Financing Agreement [Member] | ||
Offsetting Assets [Line Items] | ||
Lessor paid value | $ 450,000 | |
Right of use and lease liability | $ 450,000 | |
Discount rate | 21% | |
Lease payment | $ 8,250 | |
Final payment | $ 450,000 |
FINANCING LEASE - RELATED PARTY
FINANCING LEASE - RELATED PARTY (Details) | Sep. 30, 2022 USD ($) |
2022 | $ 24,750 |
2023 | 99,000 |
2024 | 499,500 |
Total minimum lease payments | 623,250 |
Discount | (173,813) |
Financing lease liability | 449,437 |
Financing Lease Related Party [Member] | |
2022 | 24,750 |
2023 | 99,000 |
2024 | 474,750 |
Total minimum lease payments | 598,500 |
Discount | (149,944) |
Financing lease liability | $ 448,556 |
FINANCING LEASE _ RELATED PAR_3
FINANCING LEASE – RELATED PARTY (Details Narrative) | 1 Months Ended |
Apr. 27, 2022 USD ($) | |
Offsetting Assets [Line Items] | |
Lease payment | $ 8,250 |
Equipment Rental Agreement [Member] | |
Offsetting Assets [Line Items] | |
Leassor paid | $ 450,000 |
NOTES PAYABLE (Details Narrativ
NOTES PAYABLE (Details Narrative) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||||||
Apr. 09, 2021 | Apr. 02, 2021 | Apr. 16, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 22, 2022 | Sep. 15, 2022 | Sep. 09, 2022 | Aug. 31, 2022 | Aug. 29, 2022 | Aug. 22, 2022 | Dec. 31, 2021 | Feb. 25, 2021 | Feb. 12, 2021 | |
Debt Instrument [Line Items] | ||||||||||||||||
Notes payable | $ 320,122 | $ 320,122 | $ 466,762 | |||||||||||||
Debt principal amount | $ 2,027,695 | $ 1,610,005 | ||||||||||||||
Interest rate | 20% | |||||||||||||||
Notes payable | 320,122 | 320,122 | 466,762 | |||||||||||||
Interest expense | 16,800 | $ 23,666 | 32,866 | $ 53,784 | ||||||||||||
Accrued interest | $ 83,510 | $ 83,510 | 42,773 | |||||||||||||
Promissory Note Agreement With Its Bank [Member] | ||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||
Interest rate | 9.40% | 9.40% | ||||||||||||||
Financing Arrangements [Member] | ||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||
Notes payable | $ 25,122 | $ 25,122 | $ 6,015 | |||||||||||||
Promissory Note Agreement 1 [Member] | ||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||
Debt principal amount | $ 165,747 | |||||||||||||||
Interest rate | 1% | |||||||||||||||
Promissory Note [Member] | ||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||
Debt principal amount | $ 50,000 | $ 200,000 | $ 25,000 | $ 42,500 | $ 60,000 | $ 37,000 | $ 25,000 | $ 20,000 | ||||||||
Interest rate | 18% | 18% | 18% | 10% | 10% | 10% | 10% | 10% | ||||||||
Debt Instrument, Term | 5 years | 5 years | ||||||||||||||
Common stock warrants issued | 500,000 | 2,000,000 | 250,000 | |||||||||||||
Warrants exercise price | $ 0.20 | $ 0.20 | $ 0.25 | |||||||||||||
Warrant expire term | 5 years | |||||||||||||||
Promissory Note [Member] | Notes Payable, Other Payables [Member] | ||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||
Debt Instrument, Term | 1 year | 1 year | 1 year | |||||||||||||
Promissory Note 1 [Member] | ||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||
Debt principal amount | $ 20,000 | $ 42,500 | $ 10,000 | $ 13,000 | $ 10,000 | $ 5,000 | ||||||||||
Interest rate | 18% | 10% | 10% | 10% | 10% | 10% | ||||||||||
Debt Instrument, Term | 5 years | |||||||||||||||
Common stock warrants issued | 200,000 | |||||||||||||||
Warrants exercise price | $ 0.25 | |||||||||||||||
Promissory Note 1 [Member] | Notes Payable, Other Payables [Member] | ||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||
Debt Instrument, Term | 1 year |
NOTES PAYABLE _ RELATED PARTY (
NOTES PAYABLE – RELATED PARTY (Details Narrative) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||
Sep. 09, 2022 | Sep. 22, 2022 | Sep. 15, 2022 | Aug. 31, 2022 | Aug. 29, 2022 | Aug. 22, 2022 | Apr. 02, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | Apr. 16, 2021 | Apr. 09, 2021 | Feb. 12, 2021 | |
Offsetting Assets [Line Items] | |||||||||||||||
Notes payable - related party | $ 605,000 | $ 605,000 | $ 300,000 | ||||||||||||
Face amount | $ 2,027,695 | $ 1,610,005 | |||||||||||||
Interest rate | 20% | ||||||||||||||
Maturity date | Feb. 12, 2023 | ||||||||||||||
Exercise price | $ 0.20 | ||||||||||||||
Interest expense | 9,473 | $ 16,635 | 34,562 | $ 27,648 | |||||||||||
Accrued interest | $ 92,270 | $ 92,270 | $ 42,614 | ||||||||||||
Paul Sallarulo [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Issuance of shares | 1,500,000 | 1,500,000 | |||||||||||||
Exercise price | $ 0.20 | $ 0.20 | |||||||||||||
Maturity term | 5 years | 5 years | |||||||||||||
Michael V Barbera [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Issuance of shares | 1,500,000 | 1,500,000 | |||||||||||||
Exercise price | $ 0.20 | $ 0.20 | |||||||||||||
Maturity term | 5 years | 5 years | |||||||||||||
Promissory Note [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Face amount | $ 60,000 | $ 42,500 | $ 37,000 | $ 25,000 | $ 20,000 | $ 200,000 | $ 25,000 | $ 50,000 | |||||||
Interest rate | 10% | 10% | 10% | 10% | 10% | 18% | 18% | 18% | |||||||
Maturity date | Aug. 16, 2023 | Mar. 22, 2023 | Aug. 31, 2023 | Aug. 29, 2023 | Aug. 22, 2023 | ||||||||||
Promissory Note [Member] | Paul Sallarulo [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Face amount | $ 150,000 | ||||||||||||||
Interest rate | 18% | ||||||||||||||
Maturity date | Apr. 02, 2022 | ||||||||||||||
Promissory Note [Member] | Michael V Barbera [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Face amount | $ 150,000 | ||||||||||||||
Interest rate | 18% | ||||||||||||||
Maturity date | Apr. 02, 2022 | ||||||||||||||
Promissory Note 1 [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Face amount | $ 10,000 | $ 42,500 | $ 13,000 | $ 10,000 | $ 5,000 | $ 20,000 | |||||||||
Interest rate | 10% | 10% | 10% | 10% | 10% | 18% | |||||||||
Maturity date | Sep. 09, 2023 | Mar. 22, 2023 | Aug. 31, 2023 | Aug. 29, 2023 | Aug. 22, 2023 | ||||||||||
Promissory Note 2 [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Face amount | $ 10,000 | ||||||||||||||
Interest rate | 10% | ||||||||||||||
Maturity date | Sep. 09, 2023 | ||||||||||||||
Promissory Note 3 [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Face amount | $ 15,000 | ||||||||||||||
Interest rate | 10% | ||||||||||||||
Maturity date | Sep. 09, 2023 | ||||||||||||||
Promissory Notes [Member] | |||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||
Face amount | $ 15,000 | ||||||||||||||
Interest rate | 10% | ||||||||||||||
Maturity date | Sep. 09, 2023 |
NOTES PAYABLE _ CONVERTIBLE __2
NOTES PAYABLE – CONVERTIBLE – RELATED PARTY (Details Narrative) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||||
May 12, 2021 | Feb. 12, 2021 | Aug. 03, 2020 | Sep. 15, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Short-Term Debt [Line Items] | |||||||||
Notes payable - convertible - related party | $ 2,027,695 | $ 2,027,695 | $ 1,689,746 | ||||||
Interest rate | 20% | ||||||||
Debt principal amount | $ 1,610,005 | $ 2,027,695 | |||||||
Repayments of Convertible Debt | 1,689,746 | $ 35,000 | |||||||
Accrued interest paid | $ 337,949 | ||||||||
Exercise price of warrants | $ 0.20 | ||||||||
Gain (Loss) on Extinguishment of Debt | (6,743,015) | ||||||||
Maturity date | Feb. 12, 2023 | ||||||||
Interest expense | 16,800 | 23,666 | 32,866 | 53,784 | |||||
Accrued interest | 83,510 | 83,510 | 42,773 | ||||||
Convertible Note Payable [Member] | |||||||||
Short-Term Debt [Line Items] | |||||||||
Interest expense | 45,371 | $ 88,244 | 276,228 | $ 239,766 | |||||
Secured Convertible Promissory Note Agreements With Related Party [Member] | |||||||||
Short-Term Debt [Line Items] | |||||||||
Amount of debt conversion | $ 1,000,000 | ||||||||
Interest rate | 20% | ||||||||
Secured Convertible Promissory Note Agreements With Related Party [Member] | Louis Demaio As Trustee [Member] | |||||||||
Short-Term Debt [Line Items] | |||||||||
Debt principal amount | $ 750,000 | ||||||||
Convertible Promissory Note Investors [Member] | |||||||||
Short-Term Debt [Line Items] | |||||||||
Interest rate | 20% | 20% | |||||||
Repayments of Convertible Debt | $ 1,610,005 | $ 1,000,000 | |||||||
Accrued interest paid | $ 79,742 | $ 110,005 | |||||||
Number of shares converted | 5 | 15,000,000 | |||||||
Exercise price of warrants | $ 0.35 | ||||||||
Loss on extinguishment | $ 3,686,123 | ||||||||
Gain (Loss) on Extinguishment of Debt | $ 1,874,705 | ||||||||
Convertible Notes Payable Related Party [Member] | |||||||||
Short-Term Debt [Line Items] | |||||||||
Accrued interest | $ 176,724 | $ 176,724 | $ 227,022 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||||
Jun. 02, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Aug. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | ||||||
Liquidated damages | $ 480,104 | $ 480,104 | $ 53,345 | |||
Periodic payment | $ 106,690 | |||||
Liquidated damages loan commitment | $ 0 | $ 0 | $ 426,759 | $ 0 |
STOCKHOLDERS_ DEFICIT (Details
STOCKHOLDERS’ DEFICIT (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |||
Proceeds pursuant to a private placement of Common Stock and warrants | $ 1,300,000 | $ 1,300,000 | |
Non cash compensation | $ 509,013 | $ 1,019,075 | |
Chief Executive Officer [Member] | |||
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |||
Non cash compensation | $ 80,058 |
OPTIONS AND WARRANTS (Schedule
OPTIONS AND WARRANTS (Schedule of Activity in Options and Warrants) (Details) - Equity Option [Member] - USD ($) | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | |
Offsetting Assets [Line Items] | ||||
Options Outstanding, beginning | 1,727,778 | 2,727,778 | 4,227,778 | 4,542,500 |
Weighted Average Exercise Price, beginning | $ 0.27 | $ 0.26 | $ 0.33 | $ 0.41 |
Aggregate intrinsic value, beginning | $ 19,500 | |||
Issued | 1,277,778 | |||
Weighted Average Exercise Price, issued | $ 0.27 | |||
Cancelled | (1,000,000) | (1,000,000) | (1,592,500) | |
Weighted Average Exercise Price, Cancelled | $ 0.25 | $ 0.55 | $ 0.53 | |
Exercised | (500,000) | |||
Weighted Average Exercise Price, Exercised | $ 0.25 | |||
Options Outstanding, ending | 1,727,778 | 1,727,778 | 2,727,778 | 4,227,778 |
Weighted Average Exercise Price, ending | $ 0.27 | $ 0.27 | $ 0.26 | $ 0.33 |
Aggregate intrinsic value, ending | $ 19,500 |
OPTIONS AND WARRANTS (Schedul_2
OPTIONS AND WARRANTS (Schedule of Options and Warrant Exercisable and Outstanding) (Details) - Equity Option [Member] | 9 Months Ended |
Sep. 30, 2022 USD ($) $ / shares shares | |
Price Range One [Member] | |
Offsetting Assets [Line Items] | |
Range of Exercise Prices, Lower | $ 0.25 |
Range of Exercise Prices, Upper | $ 0.28 |
$0.01 - $0.50 [Member] | |
Offsetting Assets [Line Items] | |
Number Outstanding | shares | 1,727,778 |
Weighted Average Remaining Contractual Life (Years) | 2 years 10 months 24 days |
Weighted Average Exercise Price | $ 0.27 |
Average Intrinsic Value | $ |
OPTIONS AND WARRANTS (Schedul_3
OPTIONS AND WARRANTS (Schedule of Options and Warrants Exercisable and Outstanding) (Details) - Warrant [Member] - USD ($) | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Options Outstanding, beginning | 141,889,090 | 143,434,090 | 138,191,666 | 38,920,378 |
Weighted Average Exercise Price, beginning | $ 0.29 | $ 0.29 | $ 0.29 | $ 0.27 |
Aggregate intrinsic value, beginning | $ 204,000 | $ 1,147,100 | $ 3,824,750 | $ 2,973,660 |
Granted | 1,000,000 | 500,000 | 5,242,424 | 100,271,288 |
Weighted Average Exercise Price, Granted | $ 0.33 | $ 0.33 | $ 0.33 | $ 0.29 |
Warrant exercised | (1,333,333) | (1,000,000) | ||
Weighted Average Exercise Price, Exercised | $ 0.08 | $ 0.12 | ||
Cancelled | (1,500,000) | (2,045,000) | ||
Weighted Average Exercise Price, Cancelled | $ 0 | $ 0 | ||
Options Outstanding, ending | 140,055,757 | 141,889,090 | 143,434,090 | 138,191,666 |
Weighted Average Exercise Price, ending | $ 0.29 | $ 0.29 | $ 0.29 | $ 0.29 |
Aggregate intrinsic value, ending | $ 150,667 | $ 204,000 | $ 1,147,100 | $ 3,824,750 |
OPTIONS AND WARRANTS (Warrant E
OPTIONS AND WARRANTS (Warrant Exercisable and Outstanding) (Details) - Warrant [Member] | 9 Months Ended |
Sep. 30, 2022 USD ($) $ / shares shares | |
Number Outstanding | shares | 140,055,757 |
Average Intrinsic Value | $ | $ 150,667 |
$0.01 - $0.50 [Member] | |
Range of Exercise Prices, Lower | $ 0.01 |
Range of Exercise Prices, Upper | $ 0.50 |
Number Outstanding | shares | 138,512,714 |
Weighted Average Remaining Contractual Life (Years) | 3 years 4 months 24 days |
Weighted Average Exercise Price | $ 0.29 |
Average Intrinsic Value | $ | $ 150,667 |
$0.51 - $1.00 [Member] | |
Range of Exercise Prices, Lower | $ 0.51 |
Range of Exercise Prices, Upper | $ 1 |
Number Outstanding | shares | 1,543,043 |
Weighted Average Remaining Contractual Life (Years) | 9 months |
Weighted Average Exercise Price | $ 0.60 |
Average Intrinsic Value | $ |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member] - USD ($) | 1 Months Ended | |
Oct. 31, 2022 | Oct. 20, 2022 | |
Subsequent Event [Line Items] | ||
Lessee, Operating Lease, Discount Rate | 21% | |
Deferred Rent Credit | $ 8,250 | |
Final payment | $ 450,000 | |
Shares issued | 3,939,390 | |
Warrants issued shares | 7,878,780 |