Document And Entity Information
Document And Entity Information | 9 Months Ended |
Jun. 30, 2023 | |
Document Information Line Items | |
Entity Registrant Name | BANTEC, INC. |
Document Type | S-1/A |
Amendment Flag | true |
Amendment Description | Amendment No. 1 |
Entity Central Index Key | 0001704795 |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | true |
Entity Emerging Growth Company | true |
Entity Ex Transition Period | false |
Entity Incorporation, State or Country Code | DE |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Current Assets | |||
Cash | $ 43,772 | $ 186,386 | $ 985,953 |
Accounts receivable | 268,180 | 419,951 | 128,386 |
Inventory | 55,123 | 92,917 | 61,837 |
Prepaid expenses and other current assets | 34,527 | 4,663 | 28,882 |
TOTAL CURRENT ASSETS | 401,602 | 703,917 | 1,205,058 |
Property and equipment, net | 1,461 | 1,461 | 1,461 |
Patents and other intangibles | 44,650 | ||
Right of use asset | 140,561 | 33,568 | 85,747 |
Other assets | 119,670 | ||
Total non-current assets | 35,029 | 251,528 | |
TOTAL ASSETS | 543,624 | 738,946 | 1,456,586 |
Current Liabilities: | |||
Accounts payable | 2,667,897 | 2,730,309 | 2,667,110 |
Accrued expenses and interest | 6,257,978 | 5,094,394 | 4,316,258 |
Convertible notes, net of debt discount and premiums | 585,467 | 7,422,326 | 7,662,640 |
Note payable – seller | 834,000 | 837,000 | 873,000 |
Line of credit | 20,000 | 4,885 | |
Current portion notes and loans payable – net of discounts | 523,876 | 217,897 | 170,036 |
Mandatorily redeemable Preferred Stock Series C - $1.50 stated value, 1,000,000 shares designated and authorized, 224,000 issued and outstanding at June 30, 2023 | 336,000 | ||
Settlement payable | 57,448 | 154,562 | 42,850 |
Lease liability - current portion | 40,311 | 34,475 | 52,178 |
Derivative liabilities | 125,693 | ||
TOTAL CURRENT LIABILITIES | 18,474,767 | 16,504,500 | 15,914,650 |
Long-term Liabilities: | |||
Notes and loans payable – net of current portion | 150,000 | 127,539 | 303,202 |
Lease liability - long-term portion | 100,250 | 34,812 | |
TOTAL LONG-TERM LIABILITIES | 250,250 | 127,539 | 338,014 |
TOTAL LIABILITIES | 18,725,017 | 16,632,039 | 16,252,664 |
Temporary Equity value | 461,064 | 685,440 | |
Commitments and Contingencies (See Note 15) | |||
Stockholders’ Deficit: | |||
Preferred stock value | |||
Common stock value | 699 | 441 | 247 |
Additional paid-in capital | 19,242,756 | 19,051,212 | 18,160,515 |
Accumulated deficit | (37,885,912) | (35,630,186) | (32,956,840) |
TOTAL STOCKHOLDERS’ DEFICIT | (18,642,457) | (16,578,533) | (14,796,078) |
TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT | 543,624 | 738,946 | 1,456,586 |
Related Party | |||
Current Liabilities: | |||
Notes payable – related party | $ 7,151,790 | $ 13,537 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Preferred stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 | 5,000,000 |
Common stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 12,000,000,000 | 12,000,000,000 | 12,000,000,000 |
Common stock, shares issued | 6,994,378 | 4,407,321 | 2,470,511 |
Common stock, shares outstanding | 6,994,378 | 4,407,321 | 2,470,511 |
Convertible Preferred Stock Series B | |||
Temporary Equity – Convertible Preferred Stock Series B stated value (in Dollars per share) | $ 1.5 | $ 1.5 | $ 1.5 |
Temporary Equity – Convertible Preferred Stock Series B shares designated | 1,000,000 | 1,000,000 | 1,000,000 |
Temporary Equity – Convertible Preferred Stock Series B shares authorized | 1,000,000 | 1,000,000 | 1,000,000 |
Temporary Equity – Convertible Preferred Stock Series B issued | 224,000 | 448,000 | 448,000 |
Temporary Equity – Convertible Preferred Stock Series B outstanding | 224,000 | 448,000 | 448,000 |
Series A Preferred Stock | |||
Preferred stock, par value (in Dollars per share) | |||
Preferred stock, shares designated | 250 | 250 | 250 |
Preferred stock, shares issued | 250 | 250 | 250 |
Preferred stock, shares outstanding | 250 | 250 | 250 |
Preferred Stock Series C | |||
Mandatorily redeemable preferred stock value (in Dollars per share) | $ 1.5 | $ 1.5 | |
Mandatorily redeemable preferred stock series C shares designated | 1,000,000 | 1,000,000 | |
Mandatorily redeemable preferred stock series C shares authorized | 1,000,000 | 1,000,000 | |
Mandatorily redeemable preferred stock series C issued | 224,000 | ||
Mandatorily redeemable preferred stock series C outstanding | 224,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Statement [Abstract] | ||||||
Sales | $ 590,333 | $ 750,756 | $ 1,819,622 | $ 1,522,781 | $ 2,466,198 | $ 2,422,996 |
Cost of Goods Sold | 489,822 | 629,023 | 1,515,984 | 1,258,376 | 2,048,173 | 1,553,516 |
Gross Profit | 100,511 | 121,733 | 303,638 | 264,405 | 418,025 | 869,480 |
Operating Expenses: | ||||||
Selling, general, and administrative expenses | 397,360 | 477,310 | 1,393,133 | 1,679,135 | 2,180,288 | 2,834,856 |
Intangibles impairment | 35,719 | |||||
Depreciation and amortization | 8,931 | 7,374 | ||||
TOTAL OPERATING EXPENSES | 397,360 | 477,310 | 1,393,133 | 1,679,135 | 2,224,938 | 2,842,430 |
LOSS FROM OPERATIONS | (296,849) | (355,577) | (1,089,495) | (1,414,730) | (1,806,913) | (1,972,750) |
Other (Income) Expense: | ||||||
Other expense | 7,068 | |||||
Interest and financing costs | (346,534) | (240,715) | (1,166,231) | (844,426) | 1,220,730 | 1,440,220 |
Gains on debt extinguishment, net of prepayment penalty | 159,846 | 234,933 | (370,075) | (1,536,815) | ||
Gain (loss) on change in fair market value of derivative | (20,811) | (8,710) | 8,710 | 5,916 | ||
TOTAL OTHER EXPENSE, NET | (346,534) | (101,680) | (1,166,231) | (618,203) | 866,433 | (90,679) |
LOSS BEFORE TAXES | (643,383) | (457,257) | (2,255,726) | (2,032,933) | (2,673,346) | (1,882,071) |
Provision for Income tax | ||||||
NET LOSS | (643,383) | (457,257) | (2,255,726) | (2,032,933) | (2,673,346) | (1,882,071) |
Dividends Attributable to Series B Preferred Stock | (34,931) | (111,623) | 584,072 | |||
NET LOSS AVAILABLE TO COMMON STOCKHOLDERS | $ (678,314) | $ (457,257) | $ (2,367,349) | $ (2,032,933) | $ (3,257,418) | $ (1,882,071) |
BASIC NET LOSS PER SHARE AVAILABLE TO COMMON STOCKHOLDERS (in Dollars per share) | $ (0.1) | $ (0.12) | $ (0.38) | $ (0.68) | $ (0.95) | $ (1.32) |
Weighted Average Number of Common Shares Outstanding: | ||||||
BASIC WEIGHTED AVERAGE SHARES OUTSTANDING (in Shares) | 6,993,995 | 3,761,575 | 6,281,211 | 3,003,634 | 3,424,570 | 1,425,249 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) (Parentheticals) - $ / shares | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Statement [Abstract] | ||||||
DILUTED NET LOSS PER SHARE AVAILABLE TO COMMON STOCKHOLDERS | $ (0.10) | $ (0.12) | $ (0.38) | $ (0.68) | $ (0.95) | $ (1.32) |
DILUTED WEIGHTED AVERAGE SHARES OUTSTANDING | 6,993,995 | 3,761,575 | 6,281,211 | 3,003,634 | 3,424,570 | 1,425,249 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders’ Deficit - USD ($) | Series A Preferred Stock | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Total |
Balance at Sep. 30, 2020 | $ 49 | $ 13,129,747 | $ (31,074,769) | $ (17,944,973) | |
Balance (in Shares) at Sep. 30, 2020 | 250 | 491,033 | |||
Share option expense | 82,308 | 82,308 | |||
Shares issued to employees | $ 1 | 77,399 | 77,400 | ||
Shares issued to employees (in Shares) | 11,000 | ||||
Shares issued to non-employees for services | $ 2 | 147,998 | 148,000 | ||
Shares issued to non-employees for services (in Shares) | 20,000 | ||||
Shares issued for legal settlement | $ 4 | 119,666 | 119,670 | ||
Shares issued for legal settlement (in Shares) | 36,821 | ||||
Shares issued for cash | $ 139 | 3,083,791 | 3,083,930 | ||
Shares issued for cash (in Shares) | 1,393,007 | ||||
Shares issued for conversions of notes and accrued interest including premiums reclassified | $ 52 | 1,519,606 | 1,519,658 | ||
Shares issued for conversions of notes and accrued interest including premiums reclassified (in Shares) | 518,650 | ||||
Net loss | (1,882,071) | (1,882,071) | |||
Balance at Sep. 30, 2021 | $ 247 | 18,160,515 | (32,956,840) | (14,796,078) | |
Balance (in Shares) at Sep. 30, 2021 | 250 | 2,470,511 | |||
Shares issued for cash | $ 10 | 249,990 | 250,000 | ||
Shares issued for cash (in Shares) | 100,000 | ||||
Shares issued for conversion of notes and reclassification of debt premiums | $ 12 | 185,838 | 185,850 | ||
Shares issued for conversion of notes and reclassification of debt premiums (in Shares) | 122,850 | ||||
Share-based compensation | 34,934 | 34,934 | |||
Net loss | (852,972) | (852,972) | |||
Balance at Dec. 31, 2021 | $ 269 | 18,631,277 | (33,809,812) | (15,178,266) | |
Balance (in Shares) at Dec. 31, 2021 | 250 | 2,693,361 | |||
Balance at Sep. 30, 2021 | $ 247 | 18,160,515 | (32,956,840) | (14,796,078) | |
Balance (in Shares) at Sep. 30, 2021 | 250 | 2,470,511 | |||
Net loss | (2,032,933) | ||||
Balance at Jun. 30, 2022 | $ 397 | 19,401,123 | (34,989,773) | (15,588,253) | |
Balance (in Shares) at Jun. 30, 2022 | 250 | 3,973,005 | |||
Balance at Sep. 30, 2021 | $ 247 | 18,160,515 | (32,956,840) | (14,796,078) | |
Balance (in Shares) at Sep. 30, 2021 | 250 | 2,470,511 | |||
Share option expense | 69,108 | 69,108 | |||
Cancellation of common stock issued for settlement | $ (4) | (119,666) | (119,670) | ||
Cancellation of common stock issued for settlement (in Shares) | (36,821) | ||||
Shares issued for cash | $ 85 | 699,504 | 699,589 | ||
Shares issued for cash (in Shares) | 849,313 | ||||
Shares issued for conversions of notes and accrued interest including premiums reclassified | $ 112 | 625,436 | 625,548 | ||
Shares issued for conversions of notes and accrued interest including premiums reclassified (in Shares) | 1,124,318 | ||||
Relative fair value of warrants issued with debt | 200,387 | 200,387 | |||
Deemed dividend to adjust temporary equity to redemption value | (570,632) | (570,632) | |||
Preferred Stock Series B dividend | (13,440) | (13,440) | |||
Net loss | (2,673,346) | (2,673,346) | |||
Balance at Sep. 30, 2022 | $ 441 | 19,051,212 | (35,630,186) | (16,578,533) | |
Balance (in Shares) at Sep. 30, 2022 | 250 | 4,407,321 | |||
Balance at Dec. 31, 2021 | $ 269 | 18,631,277 | (33,809,812) | (15,178,266) | |
Balance (in Shares) at Dec. 31, 2021 | 250 | 2,693,361 | |||
Shares issued for cash | $ 54 | 324,535 | 324,589 | ||
Shares issued for cash (in Shares) | 540,980 | ||||
Shares issued for conversion of notes and reclassification of debt premiums | $ 23 | 164,779 | 164,802 | ||
Shares issued for conversion of notes and reclassification of debt premiums (in Shares) | 237,476 | ||||
Share-based compensation | 34,174 | 34,174 | |||
Net loss | (722,704) | (722,704) | |||
Balance at Mar. 31, 2022 | $ 346 | 19,154,765 | (34,532,516) | (15,377,405) | |
Balance (in Shares) at Mar. 31, 2022 | 250 | 3,471,817 | |||
Shares issued for cash | $ 21 | 124,979 | 125,000 | ||
Shares issued for cash (in Shares) | 208,333 | ||||
Shares issued for conversion of notes and reclassification of debt premiums | $ 30 | 121,379 | 121,409 | ||
Shares issued for conversion of notes and reclassification of debt premiums (in Shares) | 292,855 | ||||
Net loss | (457,257) | (457,257) | |||
Balance at Jun. 30, 2022 | $ 397 | 19,401,123 | (34,989,773) | (15,588,253) | |
Balance (in Shares) at Jun. 30, 2022 | 250 | 3,973,005 | |||
Balance at Sep. 30, 2022 | $ 441 | 19,051,212 | (35,630,186) | (16,578,533) | |
Balance (in Shares) at Sep. 30, 2022 | 250 | 4,407,321 | |||
Shares issued for cash | $ 49 | 99,284 | 99,333 | ||
Shares issued for cash (in Shares) | 496,667 | ||||
Shares issued for conversion of notes and reclassification of debt premiums | $ 96 | 102,501 | 102,597 | ||
Shares issued for conversion of notes and reclassification of debt premiums (in Shares) | 960,120 | ||||
Preferred Stock Series B dividend | (36,960) | (36,960) | |||
Net loss | (781,675) | (781,675) | |||
Balance at Dec. 31, 2022 | $ 586 | 19,216,037 | (36,411,861) | (17,195,238) | |
Balance (in Shares) at Dec. 31, 2022 | 250 | 5,864,108 | |||
Balance at Sep. 30, 2022 | $ 441 | 19,051,212 | (35,630,186) | $ (16,578,533) | |
Balance (in Shares) at Sep. 30, 2022 | 250 | 4,407,321 | |||
Shares issued for cash (in Shares) | 496,667 | ||||
Net loss | $ (2,255,726) | ||||
Balance at Jun. 30, 2023 | $ 699 | 19,242,756 | (37,885,912) | (18,642,457) | |
Balance (in Shares) at Jun. 30, 2023 | 250 | 6,994,378 | |||
Balance at Dec. 31, 2022 | $ 586 | 19,216,037 | (36,411,861) | (17,195,238) | |
Balance (in Shares) at Dec. 31, 2022 | 250 | 5,864,108 | |||
Shares issued for conversion of notes and reclassification of debt premiums | $ 113 | 101,382 | 101,495 | ||
Shares issued for conversion of notes and reclassification of debt premiums (in Shares) | 1,129,887 | ||||
Preferred Stock Series B dividend | (39,732) | (39,732) | |||
Net loss | (830,668) | (830,668) | |||
Balance at Mar. 31, 2023 | $ 699 | 19,277,687 | (37,242,529) | (17,964,143) | |
Balance (in Shares) at Mar. 31, 2023 | 250 | 6,993,995 | |||
Preferred Stock Series B dividend | (34,931) | (34,931) | |||
Fractional shares issued from reverse split | |||||
Fractional shares issued from reverse split (in Shares) | 383 | ||||
Net loss | (643,383) | (643,383) | |||
Balance at Jun. 30, 2023 | $ 699 | $ 19,242,756 | $ (37,885,912) | $ (18,642,457) | |
Balance (in Shares) at Jun. 30, 2023 | 250 | 6,994,378 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Cash Flows from Operating Activities: | ||||
Net loss | $ (2,255,726) | $ (2,032,933) | $ (2,673,346) | $ (1,882,071) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||||
Share-based compensation expense | 69,108 | 69,108 | 250,709 | |
Share issued for conversion fees | 18,704 | 3,295 | ||
Stock based fee, upon conversion of notes | 9,884 | 6,830 | ||
Depreciation and intangibles amortization | 6,698 | 8,931 | 7,374 | |
Write-off of impaired intangible | 35,719 | |||
Amortization of debt discounts | 276,972 | 65,753 | 157,446 | 183,992 |
Accretion of premium on convertible notes | 156,000 | 193,557 | 258,557 | 407,186 |
Net gain on settlement of accounts payable and accrued expenses | (31,479) | |||
(Gain) on debt extinguishment | (259,215) | (370,075) | (1,505,336) | |
Non-cash rent expense | 4 | (336) | 848 | |
Fee notes issued | 156,000 | 135,000 | 196,000 | 62,500 |
(Gain) Loss on derivative, change in fair market value | 8,710 | 8,710 | 5,916 | |
Loan fee expense | 2,670 | |||
Changes in Operating Assets and Liabilities: | ||||
Accounts receivable | 151,771 | (153,380) | (291,565) | 221,003 |
Inventory | 37,794 | (41,216) | (31,080) | (17,238) |
Prepaid expenses and other assets | (29,864) | 24,219 | 24,219 | 6,521 |
Right of use lease asset | (907) | |||
Accounts payable and accrued expenses | 1,106,561 | 739,894 | ||
Accounts payable and accrued expenses and interest | 961,654 | 703,927 | ||
Settlement payable | (97,114) | (7,958) | ||
NET CASH USED IN OPERATING ACTIVITIES | (479,809) | (1,240,506) | (1,644,132) | (1,576,648) |
Cash Flows from Investing Activities: | ||||
Purchase of Patent (Intangible) | (44,650) | |||
Cash Used in Investing Activities | (44,650) | |||
Cash Flows from Financing Activities: | ||||
Proceeds from stock sales | 699,589 | 3,083,930 | ||
Proceeds from issuance of shares | 99,333 | 699,589 | ||
Proceeds from line of credit | 20,000 | |||
Net proceeds from notes payable | 118,250 | |||
Repayments of notes payable | (26,042) | |||
Net proceeds from convertible notes payable | 101,250 | 101,250 | 487,500 | |
Repayments of convertible notes | (122,766) | |||
Repayments of promissory notes, MFA | (40,741) | |||
Net proceeds from notes payable, related party | 245,062 | 125,000 | ||
Repayments of convertible notes payable | (122,766) | (18,000) | ||
Proceeds from loans and notes payable | 390,000 | 752,382 | ||
Repayments on loans and notes payable | (232,763) | (880,624) | ||
Repayment of line of credit | (4,885) | (36,724) | ||
Proceeds notes payable – related party | 125,000 | 190,000 | ||
Repayments on notes payable, related party | (75,667) | (76,745) | (110,860) | (190,000) |
Repayments on note payable - seller | (3,000) | (27,000) | ||
Repayments of line of credit | (4,885) | |||
Repayments of factoring notes | (196,764) | |||
Proceeds from short-term advances – related party | 60,400 | |||
Repayments short-term advances related party | (60,400) | |||
Repayment of loans and line of credit – related parties | (945,227) | |||
NET CASH PROVIDED BY FINANCING ACTIVITIES | 337,195 | 497,679 | 844,565 | 2,443,237 |
NET DECREASE IN CASH | (142,614) | (742,827) | (799,567) | 821,939 |
CASH AT BEGINNING OF PERIOD | 186,386 | 985,953 | 985,953 | 164,014 |
CASH AT END OF PERIOD | 43,772 | 243,126 | 186,386 | 985,953 |
Supplemental Disclosures of Cash Flow Information: | ||||
Interest | 26,067 | 26,767 | 37,551 | 501,690 |
Income Tax | ||||
Issuance of common stock for conversion of convertible notes and accrued interest | 95,388 | 305,286 | ||
Original issue discounts notes | 65,500 | 180,533 | ||
Reclassification of debt premium upon conversion of convertible debt | 90,000 | 163,480 | ||
Issuance of common stock for note conversions | 374,501 | 822,545 | ||
Debt discount | 38,000 | 7,500 | ||
Issuance of common stock for accrued interest of note | 18,744 | 60,298 | ||
Right-of-use asset and lease liability pursuant to ASC 842 | 140,561 | |||
Reclassification of debt premium upon note conversions | 222,420 | 629,984 | ||
Value of Series C preferred stock in connection with an Exchange Agreement | 336,000 | |||
Issuance of common stock for accrued salary | 57,000 | |||
Purchase of convertible note by related party | 5,747,872 | |||
Deemed dividend to adjust temporary equity to redemption value | 570,632 | |||
Transfer of debt premium upon purchase by related party | $ 1,220,986 | |||
Issuance of convertible preferred stock charged to debt discounts | 101,368 | |||
Dividend on convertible preferred stock | 13,440 | |||
Warrants for common stock issued | 200,387 | |||
Issuance/(cancellation) of common stock for potential legal settlement | (119,670) | 119,670 | ||
Issuance of convertible note for accounts payable | $ 4,000 |
Nature of Operations
Nature of Operations | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Nature of Operations [Abstract] | ||
NATURE OF OPERATIONS | NOTE 1 - NATURE OF OPERATIONS Bantec, Inc. is a company providing products and services (“Bantec” or the “Company”), targeting the U.S. Government, state governments, municipalities, hospitals, universities, manufacturers and other building owners. Bantec provides product procurement, distribution, and logistics services through its wholly-owned subsidiary, Howco Distributing Co. (“Howco”) to the U.S. Department of Defense and Defense Logistics Agency. The Company established Bantec Sanitizing, LLC in fiscal 2021, which offers sanitizing products and equipment through its online store - Bantec.store. The Company has operations based in Sparta, New Jersey and Vancouver, Washington. Howco operates in Vancouver, Washington and all other operations are in Sparta, New Jersey. The Company continues to seek strategic acquisitions and partnerships that would offer it an opportunity to grow sales and profit. On July 11, 2023, the Company filed a certificate of amendment to its certificate of incorporation, as amended, to effect a one-for-one thousand (1:1,000) Reverse Stock Split (the “Reverse Stock Split”). Proportional adjustments for the Reverse Stock Split were made to the Company’s outstanding stock options, warrants and equity incentive plans. All share and per-share data and amounts have been retroactively adjusted as of the earliest period presented in the consolidated financial statements to reflect the Reverse Stock Split. | NOTE 1 – NATURE OF OPERATIONS Bantec, Inc. is a product and service company targeting the U.S. Government, state governments, municipalities, hospitals, universities, manufacturers and other building owners. Bantec also provides product procurement, distribution, and logistics services through its wholly-owned subsidiary, Howco Distributing Co., (“Howco”) (collectively, the “Company”) to the United States Department of Defense and Defense Logistics Agency. The Company established Bantec Sanitizing in fiscal 2021, which offers sanitizing products and equipment through its new store Bantec.store. Bantec Sanitizing is currently offering Bantec Sanitizing franchises for sale. The Company has operations based in Little Falls, New Jersey and Vancouver, Washington. The Company continues to seek strategic acquisitions and partnerships that offer us an opportunity to grow sales and profit. |
Summary of Significant Accounti
Summary of Significant Accounting Policies and Going Concern | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Accounting Policies [Abstract] | ||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND GOING CONCERN | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND GOING CONCERN Basis of Presentation and Principles of Consolidation The Company prepares its consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”). The accompanying consolidated financial statements include the accounts of Bantec Inc. and its wholly-owned subsidiaries, Drone USA, LLC, Bantec Construction, LLC, Bantec Sanitizing, LLC, Bantec Logistics LLC and Howco. Bantec Construction, LLC, Bantec Logistics LLC and Bantec Sanitizing, LLC are in start-up stages with minor revenues and cash expenditures. All significant intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, certain information and footnote disclosures normally included in financial statements in accordance with GAAP have been omitted. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the nine months ended June 30, 2023 are not necessarily indicative of the results that may be expected for the year ending September 30, 2023. The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements as of and for the year ended September 30, 2022 and footnotes thereto included in the Company’s Annual Report on Form 10-K filed with the SEC on January 12, 2023. The consolidated balance sheet as of September 30, 2022 contained herein has been derived from the audited consolidated financial statements as of September 30, 2022 but does not include all disclosures required by GAAP. Going Concern The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the recoverability of assets and the satisfaction of liabilities in the normal course of business. For the nine months ended June 30, 2023, the Company has incurred a net loss of $2,255,726 and used cash in operations of $479,809. The working capital deficit, stockholders’ deficit and accumulated deficit was $18,073,165, $18,642,457 and $37,885,912, respectively, at June 30, 2023. On September 6, 2019, the Company received a default notice on its payment obligations under the senior secured credit facility agreement which was previously in default (see Note 9). The Company also defaulted on its Note Payable – Seller in September 2017 and has since defaulted on other promissory notes. As of June 30, 2023, the Company has received demands for payment of past due amounts from several consultants and service providers. It is the management’s opinion that these matters raise substantial doubt about the Company’s ability to continue as a going concern for a period of twelve months from the issuance date of this report. The ability of the Company to continue as a going concern is dependent upon the management’s ability to further implement its business plan and raise additional capital as needed from the sales of stock or debt. The Company has continued to implement cost-cutting measures and restructuring or setting up payment plans with vendors and service providers and plans to raise equity through a private placement, and restructure or repay its obligations. The accompanying consolidated financial statements do not include any adjustments that might be required should the Company be unable to continue as a going concern. However, additional funding may not be available to the Company on acceptable terms, or at all. Any failure to raise capital as and when needed could have a negative impact on the Company’s ability to pursue its business plans and strategies, and the Company would likely be forced to delay, reduce, or terminate some or all of its activities, all of which could have a material adverse effect on the Company’s business, results of operations and financial condition. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include the allowance for bad debt on accounts receivable, reserves on inventory, valuation of intangible assets for impairment analysis, valuation of the lease liability and related right-of-use asset, valuation of stock-based compensation, valuation of redeemable preferred stock, valuation of derivative liabilities, and the valuation allowance on deferred tax assets. Fair Value Measurements The Company follows the FASB Fair Value Measurements 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. The standard establishes a hierarchy in determining the fair value of an asset or liability. The fair value hierarchy has three levels of inputs, both observable and unobservable. Level 1 inputs include quoted market prices for identical assets or liabilities in an active market that the Company has the ability to access at the measurement date. Level 2 inputs are market data, other than Level 1, that are observable either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities, quoted market prices in an inactive market, and other observable information that can be corroborated by market data. Level 3 inputs are unobservable and corroborated by little or no market data. The standard requires the utilization of the lowest possible level of input to determine fair value and carrying amounts of current liabilities approximate fair value due to their short-term nature. The estimated fair value of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued expenses are carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. The Company’s non-financial assets, such as ROU assets, and property and equipment, are adjusted to fair value only when an impairment is recognized. Such fair value measurements are based predominantly on Level 3 inputs . Cash and Cash Equivalents Cash equivalents consist of liquid investments with maturities of three months or less at the time of purchase. There are no cash equivalents at the balance sheet dates. Accounts Receivable Trade receivables are recorded at net realizable value consisting of the carrying amount less the allowance for doubtful accounts, as needed. Factors used to establish an allowance include the credit quality of the customer and whether the balance is significant. The Company may also use the direct write-off method to account for uncollectible accounts that are not received. Using the direct write-off method, trade receivable balances are written off to bad debt expense when an account balance is deemed to be uncollectible. Inventory Inventory consists of finished goods, which are purchased directly from manufacturers. The Company utilizes a just-in-time type of inventory system where products are ordered from the vendor only when the Company has received sales order from its customers. Inventory is stated at the lower of cost and net realizable value on a first-in, first-out basis. Property & Equipment Property and equipment are stated at cost and depreciated over their estimated useful lives. Maintenance and repairs are charged to expense as incurred. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in income in the year of disposition. The Company examines the possibility of decreases in the value of these assets when events or changes in circumstances reflect the fact that their recorded value may not be recoverable. The assets are fully operational drones used as demonstration units and each unit exceeds management’s threshold for capitalization of $2,000. The Company depreciates these demonstration units over a period of 3 years. No depreciation was recognized during the nine months ended June 30, 2023, as the related equipment was depreciated to salvageable value as of September 30, 2021. Management believes that the salvageable value of $1,461 is an adequate representation of the value of the demonstration drones at June 30, 2023. Long-Lived Assets Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Impairment is determined by comparing the carrying value of the long-lived assets to the estimated undiscounted future cash flows expected to result from use of the assets and their ultimate disposition. In instances where impairment is determined to exist, the Company writes down the asset to its fair value based on the present value of estimated future cash flows. Deferred Financing Costs All unamortized deferred financing costs related to the Company’s borrowings are presented in the consolidated balance sheets as a direct deduction from the related debt. Amortization of these costs is reported as interest and financing costs Revenue Recognition The Company follows Accounting Standards Codification (“ASC”) 606, Revenue From Contracts With Customers, which has a five-step process: a) Determine whether a contract exists; b) Identify the performance obligations; c) Determine the transaction price; d) Allocate the transaction price; and e) Recognize revenue when (or as) performance obligations are satisfied. The Company sells a variety of products to government entities. The purchase order received specifies each item and its manufacturer; the Company only needs to fulfill the performance obligation by shipping the specified items. No other performance obligations exist under the terms of the contracts. The Company recognizes revenue for the agreed upon sales price when the product is shipped to the customer, which satisfies the performance obligation. The Company through its subsidiary Howco enters into contracts to package products for a third-party company servicing the same government customer base. The contracts are based on the job lot as shipped to Howco for packaging. The customer is billed upon completion each job lot at which time revenue is recognized. The Company sells drones and related products manufactured by third parties to various parties, primarily local government entities. Contracts for drone related products and services sales will be evaluated using the five-step process outline above. There have been no material sales for drone products or other services for which full compliance with performance obligations has not been met. Upon significant sales for drone products, the Company will disaggregate sales by these lines of business and within the lines of business to the extent that the product or service has different revenue recognition characteristics. The Company began sales of sanitizing products and services during the year ended September 30, 2022. Revenue for this line of business is recognized upon shipment and delivery of training services (as applicable). Stock-based compensation Stock-based compensation is accounted for based on the requirements of ASC 718 – “Compensation –Stock Compensation ), Improvements to Employee Share-Based Payment Accounting As of October 1, 2018, the Company has early adopted ASU 2018-7 Compensation-Stock Compensation which conforms the accounting for non-employees to the accounting treatment for employees. The new standard replaces using a fair value as of each reporting date with use of the calculated fair value as of the grant date. The implementation of the standard provides for the use of the fair market value as of the adoption date, rather than using the value as of the original grant date. Therefore, the values calculated and reported at September 30, 2018 become a proxy for the grant date value. The Company utilizes the Black-Sholes option pricing model and uses the simplified method to determine expected term because of lack of sufficient exercise history. There was no cumulative effect on the adoption date. Shipping and Handling Costs The Company has included freight-out as a component of cost of sales, which amounted to $39,382 and $45,316 for the nine months ended June 30, 2023 and 2022, respectively. Convertible Notes with Fixed Rate Conversion Options The Company may enter into convertible notes, some of which contain, predominantly, fixed rate conversion features, whereby the outstanding principal and accrued interest may be converted by the holder, into common shares at a fixed discount to the market price of the common stock at the time of conversion. This results in a fair value of the convertible note being equal to a fixed monetary amount. The Company records the convertible note liability at its fixed monetary amount by measuring and recording a premium, as applicable, on the Note date with a charge to interest expense in accordance with ASC 480 - “Distinguishing Liabilities from Equity”. Derivative Liabilities The Company has certain financial instruments that are derivatives or contain embedded derivatives. The Company evaluates all its financial instruments to determine if those contracts or any potential embedded components of those contracts qualify as derivatives to be separately accounted for in accordance with ASC 810-10-05-4 and 815-40. This accounting treatment requires that the carrying amount of any derivatives be recorded at fair value at issuance and marked-to-market at each balance sheet date. In the event that the fair value is recorded as a liability, as is the case with the Company, the change in the fair value during the period is recorded as either other income or expense. Upon conversion, exercise or repayment, the respective derivative liability is marked to fair value at the conversion, repayment or exercise date and then the related fair value amount is reclassified to other income or expense as part of gain or loss on extinguishment. Lease Accounting In February 2016, the FASB issued ASU No. 2016-02, Leases In 2020, the Company’s subsidiary renewed the lease for the warehouse and office facility in Vancouver, Washington through May 30, 2023, and accounted for it under ASC 842. The Company signed the seventh amendment to the lease on May 2, 2023 extending the lease end date to May 31, 2026 with two additional option years. The corporate office is an annual arrangement which provides for a single office in a shared office environment and is exempt from ASC 842 treatment. The Company recognized a lease liability of $140,561 and the related right-of-use asset for the same amount and will amortize both over the life of the lease. Income Taxes The Company’s current provision for income taxes is based upon its estimated taxable income in each of the jurisdictions in which it operates, after considering the impact on taxable income of temporary differences resulting from different treatment of items for tax and financial reporting purposes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and any operating loss or tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in those periods in which temporary differences become deductible. Should management determine that it is more likely than not that some portion of the deferred tax assets will not be realized, a valuation allowance against the deferred tax assets would be established in the period such determination was made. The Company follows the accounting for uncertainty in income taxes guidance, which clarifies the accounting and disclosures for uncertainty in income taxes recognized in the Company’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition and measurement of a tax position taken or expected to be taken in a tax return. The Company currently has no federal or state tax examinations in progress. As of June 30, 2023, the Company’s tax returns for the tax years 2022, 2021 and 2020 remain subject to audit, primarily by the Internal Revenue Service. The Company did not have material unrecognized tax benefits as of June 30, 2023 and does not expect this to change significantly over the next 12 months. The Company will recognize interest and penalties accrued on any unrecognized tax benefits as a component of the provision for income taxes. Net Loss Per Share Basic loss per share is calculated by dividing the loss attributable to stockholders by the weighted-average number of shares outstanding for the period. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that shared in the earnings (loss) of the Company. Diluted loss per share is computed by dividing the loss available to stockholders by the weighted average number of shares outstanding for the period and dilutive potential shares outstanding unless such dilutive potential shares would result in anti-dilution. It should be noted that contractually the limitations on the third-party notes (and the related warrants) limit the number of shares converted to either 4.99% or 9.99% of the then outstanding shares. The Company’s CEO and Chairman of the Board of Directors holds all issued and outstanding shares of Series A Preferred Stock, which confers upon him a majority vote in all Company matters including authorization of additional shares of common stock or reverse stock split. As of June 30, 2023 and 2022, potentially dilutive securities consisted of the following: June 30, June 30, Stock options 16 16 Warrants 2,240,000 399,257 Series B Preferred Stock 922,128,000 - Third party convertible debt 1,108,244,329 18,643,854 Total 2,032,612,345 19,043,127 Segment Reporting The Company uses “the management approach” in determining reportable operating segments. The management approach considers the internal organization and reporting used by the Company’s chief operating decision maker for making operating decisions and assessing performance as the source for determining the Company’s reportable segments. The Company’s chief operating decision maker is the chief executive officer of the Company, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. For the nine months ended June 30, 2023, the Company had three operating segments. Howco generated 99.78% of the consolidated sales which are primarily from department of defense. Drone LLC generated less than 0.22% of sales primarily due to state and municipal government purchases of drones and accessories. Bantec Sanitizing Inc. had no contribution to consolidated sales of its sanitizing products for the nine months ended June 30, 2023. Howco had 87% of the consolidated tangible assets, Drone had no allocated assets and Bantec Sanitizing Inc. had 4% of consolidated assets and the parent company had 9% of the consolidated tangible assets as of June 30, 2023 and additionally, there are no formal cost allocations to Howco or the other subsidiaries. Management decisions about allocation of working capital and other assets are based on sales, inventory and operating costs, with no formal processes in place. Recent Accounting Pronouncements The Company has reviewed the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) accounting pronouncements and interpretations thereof that have effectiveness dates during the periods reported and in future periods. We have carefully considered the new pronouncements that alter previous generally accepted accounting principles and do not believe that any new or modified principles will have a material impact on the Company’s reported financial position or operations in the near term. The applicability of any standard is subject to the formal review of the Company’s financial management. In August 2020, the FASB issued Accounting Standards Update (“ASU”) 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging Contracts in Entity’s Own Equity (Subtopic 815-40), which eliminates the beneficial conversion and cash conversion accounting models for convertible instruments, amends the accounting for certain contracts in an entity’s own equity that are currently accounted for as derivatives because of specific settlement provisions, and modifies how particular convertible instruments and certain contracts that may be settled in cash or shares impact the diluted EPS calculation. The standard is effective for annual periods beginning after December 15, 2023 for smaller reporting companies, and interim periods within those reporting periods. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those reporting periods. The Company is currently assessing the impact the new guidance will have on its condensed consolidated financial statements. In March 2022, the FASB issued ASU 2022-02, “Financial Instruments - Credit Losses (Topic 326)”, which is intended to address issues identified during the post-implementation review of ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. The amendment, among other things, eliminates the accounting guidance for troubled debt restructurings by creditors in Subtopic 310-40, “Receivables - Troubled Debt Restructurings by Creditors”, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. The new guidance is effective for interim and annual periods beginning after December 15, 2022. This adoption did not have a material effect to the Company. The Company does not believe that any other recently issued but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying consolidated financial statements. | NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND GOING CONCERN Basis of Presentation and Principles of Consolidation The Company prepares its consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”). The accompanying consolidated financial statements include the accounts of Bantec, Inc. and its wholly-owned subsidiaries, Drone USA, LLC, Bantec Construction, LLC, Bantec Sanitizing, LLC, Bantec Logistics LLC and Howco. Bantec Construction, LLC, Bantec Logistics LLC and Bantec Sanitizing, LLC are in start-up stages with minor revenues and cash expenditures. All significant intercompany accounts and transactions have been eliminated in consolidation. On October 28, 2021, the Wyoming Secretary of State approved the application to create Bantec Logistics, LLC which includes a new line of business focused on drone package delivery logistics and other delivery methods. Going Concern The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the recoverability of assets and the satisfaction of liabilities in the normal course of business. For the year ended September 30, 2022, the Company has incurred a net loss of $2,673,346 and used cash in operations of $1,644,132. The working capital deficit, stockholders’ deficit and accumulated deficit was $15,800,583, $16,578,533 and $35,630,186, respectively, at September 30, 2022. On September 6, 2019 the Company received a default notice on its payment obligations under the senior secured credit facility agreement (see Note 10), defaulted on its Note Payable – Seller in September 2017 and has since defaulted on other promissory notes. As of September 30, 2022 the Company has received demands for payment of past due amounts from several consultants and service providers. It is management’s opinion that these matters raise substantial doubt about the Company’s ability to continue as a going concern for a period of twelve months from the issuance date of this report. The ability of the Company to continue as a going concern is dependent upon management’s ability to further implement its business plan and raise additional capital as needed from the sales of stock or debt. The Company has continued to implement cost-cutting measures and restructuring or setting up payment plans with vendors and service providers and plans to raise equity through a private placement, and restructure or repay its secured obligations. The accompanying consolidated financial statements do not include any adjustments that might be required should the Company be unable to continue as a going concern. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include the allowance for bad debt on accounts receivable, reserves on inventory, valuation of intangible assets for impairment analysis, valuation of the lease liability and related right-of-use asset, valuation of stock-based compensation, the valuation of derivative liabilities, valuation of redeemable preferred stock and the valuation allowance on deferred tax assets. Fair Value Measurements The Company follows the FASB Fair Value Measurements 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. The standard establishes a hierarchy in determining the fair value of an asset or liability. The fair value hierarchy has three levels of inputs, both observable and unobservable. Level 1 inputs include quoted market prices for identical assets or liabilities in an active market that the Company has the ability to access at the measurement date. Level 2 inputs are market data, other than Level 1, that are observable either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities, quoted market prices in an inactive market, and other observable information that can be corroborated by market data. Level 3 inputs are unobservable and corroborated by little or no market data. The standard requires the utilization of the lowest possible level of input to determine fair value and carrying amounts of current liabilities approximate fair value due to their short-term nature. The Company accounts for certain instruments at fair value using level 3 valuation. At September 30, 2022 At September 30, 2021 Description Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Derivative Liability - - $ - - - $ 125,693 A roll-forward of the level 3 valuation financial instruments is as follows: Derivative Balance at September 30, 2020 $ 128,628 Gain on debt extinguishment upon conversion of related note payable (8,851 ) Derivative expense 5,916 Balance at September 30, 2021 $ 125,693 Change in fair market value of warrant 8,710 Surrender of warrants (134,403 ) Balance at September 30, 2022 $ - The warrants were issued to a convertible note holder in November and December 2017 and initially determined to be equity instruments and recorded as note discount and as additional paid in capital. On June 4, 2018 the anti-dilutive provision of the warrants took effect and based on the new conversion formula management determined the warrant became a derivative liability and reclassified the Fair Value on June 4, 2018 from additional paid-in capital to derivative liability with fair market value changes recognized in operations for each reporting date. The derivative liability associated with the warrants has been extinguished on July 1, 2022 by the terms of the agreement made by the holder with the SEC and the fair value was recorded as a gain on extinguishment during fiscal 2022. Cash and Cash Equivalents Cash equivalents consist of liquid investments with maturities of three months or less at the time of purchase. There are no cash equivalents at the balance sheet dates. Accounts Receivable Trade receivables are recorded at net realizable value consisting of the carrying amount less the allowance for doubtful accounts, as needed. Factors used to establish an allowance include the credit quality of the customer and whether the balance is significant. The Company may also use the direct write-off method to account for uncollectible accounts that are not received. Using the direct write-off method, trade receivable balances are written off to bad debt expense when an account balance is deemed to be uncollectible. Inventory Inventory consists of finished goods, which are purchased directly from manufacturers. The Company utilizes a just in time type of inventory system where products are ordered from the vendor only when the Company has received sales order from its customers. Inventory is stated at the lower of cost and net realizable value on a first-in, first-out basis. Property & Equipment Property and equipment are stated at cost and depreciated over their estimated useful lives. Maintenance and repairs are charged to expense as incurred. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in income in the year of disposition. The Company examines the possibility of decreases in the value of these assets when events or changes in circumstances reflect the fact that their recorded value may not be recoverable. The assets are fully operational drones used as demonstration units and each unit exceeds management’s threshold for capitalization of $2,000. The Company depreciates these demonstration units over a period of 3 years. Depreciation expense was $0 and $7,374 in year ended September 30, 2022 and 2021, respectively. No depreciation was recognized during the year ended September 30, 2022, as the related equipment was depreciated to salvageable value as of September 30, 2021. Management believes that the salvageable value of $1,461 is an adequate representation of the value of the demonstration drones at September 30, 2022. Goodwill and Intangible Assets The Company acquired a patent for a new product during the year ended September 30, 2021. The Company capitalized acquisition and related legal fees related to the patent totaling $44,650. The capitalized amount will be amortized over five years. Impairment will be tested annually or as indicators of impairment are available. (see Note 5) Long-Lived Assets Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Impairment is determined by comparing the carrying value of the long-lived assets to the estimated undiscounted future cash flows expected to result from use of the assets and their ultimate disposition. In instances where impairment is determined to exist, the Company writes down the asset to its fair value based on the present value of estimated future cash flows. Deferred Financing Costs All unamortized deferred financing costs related to the Company’s borrowings are presented in the consolidated balance sheets as a direct deduction from the related debt. Amortization of these costs is reported as interest and financing costs Revenue Recognition The Company follows Accounting Standards Codification (“ASC”) 606, Revenue From Contracts With Customers, which has a five-step process: a) Determine whether a contract exists; b) Identify the performance obligations; c) Determine the transaction price; d) Allocate the transaction price; and e) Recognize revenue when (or as) performance obligations are satisfied. The Company sells a variety of products to government entities. The purchase order received specifies each item and its manufacturer; the Company only needs to fulfill the performance obligation by shipping the specified items. No other performance obligations exist under the terms of the contracts. The Company recognizes revenue for the agreed upon sales price when the product is shipped to the customer, which satisfies the performance obligation. During the years ended September 30, 2022 and 2021, the Company through its subsidiary Howco entered into contracts to package products for a third-party company servicing the same government customer base. The contracts were on job lot basis as shipped to Howco for packaging. The customer was billed upon completion each job lot at which time revenue was recognized. The Company sells drones and related products manufactured by third parties to various parties, primarily local government entities. The Company also offers technical services related to drone utilization and performs other services. Contracts for drone related products and services sales will be evaluated using the five-step process outline above. There have been no material sales for drone products or other services for which full compliance with performance obligations has not been met. Upon significant sales for drone products and services and insulation jackets, the Company will disaggregate sales by these lines of business and within the lines of business to the extent that the product or service has different revenue recognition characteristics. The Company began sales of sanitizing products and services during the year ended September 30, 2022. Revenue for this line of business is recognized upon shipment and delivery of training services (as applicable). Stock-based compensation Stock-based compensation is accounted for based on the requirements of ASC 718 – “Compensation –Stock Compensation ), Improvements to Employee Share-Based Payment Accounting As of October 1, 2018, the Company early adopted ASU 2018-7 Compensation-Stock Compensation which conforms the accounting for non-employees to the accounting treatment for employees. The new standard replaces using a fair value as of each reporting date with use of the calculated fair value as of the grant date. The implementation of the standard provides for the use of the fair market value as of the adoption date, rather than using the value as of the original grant date. Therefore, the values calculated and reported at September 30, 2018 become a proxy for the grant date value. The Company utilizes the Black-Sholes option pricing model and uses the simplified method to determine expected term because of lack of sufficient exercise history. There was no cumulative effect on the adoption date. Shipping and Handling Costs The Company has included freight-out as a component of cost of sales, which amounted to $61,032 and $47,716 for the year ended September 30, 2022 and 2021, respectively. Convertible Notes with Fixed Rate Conversion Options The Company may enter into convertible notes, some of which contain, predominantly, fixed rate conversion features, whereby the outstanding principal and accrued interest may be converted by the holder, into common shares at a fixed discount to the market price of the common stock at the time of conversion. This results in a fair value of the convertible note being equal to a fixed monetary amount. The Company records the convertible note liability at its fixed monetary amount by measuring and recording a premium, as applicable, on the Note date with a charge to interest expense in accordance with ASC 480 - “Distinguishing Liabilities from Equity”. Derivative Liabilities The Company has certain financial instruments that are derivatives or contain embedded derivatives. The Company evaluates all its financial instruments to determine if those contracts or any potential embedded components of those contracts qualify as derivatives to be separately accounted for in accordance with ASC 810-10-05-4 and 815-40. This accounting treatment requires that the carrying amount of any derivatives be recorded at fair value at issuance and marked-to-market at each balance sheet date. In the event that the fair value is recorded as a liability, as is the case with the Company, the change in the fair value during the period is recorded as either other income or expense. Upon conversion, exercise or repayment, the respective derivative liability is marked to fair value at the conversion, repayment or exercise date and then the related fair value amount is reclassified to other income or expense as part of gain or loss on extinguishment. Lease Accounting In February 2016, the FASB issued ASU No. 2016-02, Leases The Company’s subsidiary has renewed the lease for the warehouse and office facility in Vancouver, Washington in May 2020 effective June 1, 2020, which extends through May 30, 2023, and is accounted for under ASC 842. The corporate office is an annual arrangement which provides for a single office in a shared office environment and is exempt from ASC 842 treatment. During the year ended September 30, 2020 the Company recognized a lease liability of $156,554 and the related right-of-use asset for the same amount and will amortize both over the life of the lease. Income Taxes The Company’s current provision for income taxes is based upon its estimated taxable income in each of the jurisdictions in which it operates, after considering the impact on taxable income of temporary differences resulting from different treatment of items for tax and financial reporting purposes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and any operating loss or tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in those periods in which temporary differences become deductible. Should management determine that it is more likely than not that some portion of the deferred tax assets will not be realized, a valuation allowance against the deferred tax assets would be established in the period such determination was made. The Company follows the accounting for uncertainty in income taxes guidance, which clarifies the accounting and disclosures for uncertainty in income taxes recognized in the Company’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition and measurement of a tax position taken or expected to be taken in a tax return. The Company currently has no federal or state tax examinations in progress. As of September 30, 2022, the Company’s tax returns for the tax years 2021, 2020 and 2019 remain subject to audit, primarily by the Internal Revenue Service. The income tax returns for the tax year 2022 are on extension and have not yet been filed. The Company did not have material unrecognized tax benefits as of September 30, 2022 and 2021 and does not expect this to change significantly over the next 12 months. The Company will recognize interest and penalties accrued on any unrecognized tax benefits as a component of the provision for income taxes. Net Loss Per Share Basic loss per share is calculated by dividing the loss attributable to stockholders by the weighted-average number of shares outstanding for the period. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that shared in the earnings (loss) of the Company. Diluted loss per share is computed by dividing the loss available to stockholders by the weighted average number of shares outstanding for the period and dilutive potential shares outstanding unless such dilutive potential shares would result in anti-dilution. As of September 30, 2022, 16 options were outstanding, warrants to purchase 2,240,000 shares of common stock were outstanding and exercisable. There are 448,000 shares of Series B Preferred Stock outstanding which are convertible into 4,480,000 shares of common stock at September 30, 2022. Additionally, as of September 30, 2022, the outstanding principal balance, including accrued interest of the third-party convertible debt, totaled $8,405,055 and was convertible into 31,756,035 shares of common stock. The total potentially dilutive shares calculated is 38,476,051. It should be noted that contractually the limitations on the third-party notes (and the related warrant) limit the number of shares converted to either 4.99% or 9.99% of the then outstanding shares. The Company’s CEO holds a control block of Series A Preferred Stock which confers upon him a majority vote in all Company matters including authorization of additional common shares or to reverse split the stock. The Company has filed a Pre 14C to effect the reverse stock split outlined below. Following that reverse split the shortfall in available stock will be remedied. As of September 30, 2022, and 2021, potentially dilutive securities consisted of the following: September 30, September 30, Stock options 16 17 Warrants 2,240,000 42,777 Series B Preferred Stock 4,480,000 - Third party convertible debt (including senior debt) 31,756,035 2,549,848 Total 38,476,051 2,592,642 Segment Reporting The Company uses “the management approach” in determining reportable operating segments. The management approach considers the internal organization and reporting used by the Company’s chief operating decision maker for making operating decisions and assessing performance as the source for determining the Company’s reportable segments. The Company’s chief operating decision maker is the chief executive officer of the Company, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. As of September 30, 2022, the Company has three operating segments. Howco generates 94% of the consolidated sales which are primarily from department of defense. Drone LLC generated 6% of sales primarily to state and municipal government purchases of drones and accessories. Bantec Sanitizing Inc. had less than 1% of consolidated sales of its sanitizing products. Howco has 68% of the consolidated tangible assets, Drone has no allocated assets and Bantec Sanitizing Inc. has 4% of consolidated asset. The parent company has 29% of the consolidated tangible assets. and Additionally, there are no formal cost allocations to Howco or the other subsidiaries. Management decisions about allocation of working capital and other assets are based on sales, inventory and operating costs, with no formal processes in place. Recent Accounting Pronouncements On August 5, 2020, the Financial Accounting Standards Board (FASB) issued accounting standards update (ASU) No. 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40) The amendments in the ASU remove certain separation models for convertible debt instruments and convertible preferred stock that require the separation of a convertible debt instrument into a debt component and an equity or derivative component. The ASU also amends the derivative scope exception guidance for contracts in an entity’s own equity. The amendments remove three settlement conditions that are required for equity contracts to qualify for the derivative scope exception. In addition to the above, the ASU expands disclosure requirements for convertible instruments and simplifies areas of the guidance for diluted earnings-per-share calculations that are impacted by the amendments. The ASU is effective for public business entities that meet the definition of a Securities and Exchange Commission (SEC) filer, excluding smaller reporting companies as defined by the SEC, for fiscal years beginning after December 15, 2021. Early adoption is permitted. The FASB noted that an entity should adopt the guidance as of the beginning of its annual fiscal year. The standard is effective for the Company beginning in fiscal year September 30, 2024. Entities may elect to adopt the amendments through either a modified retrospective method of transition or a fully retrospective method of transition. If an entity has convertible instruments that include a down round feature, early adoption of the ASU is permitted for fiscal years beginning after December 15, 2020. ASU 2016-13 Measurement of Credit Losses on Financial Instrument is effective for fiscal years beginning after December 15, 2022. This is not expected to apply to the Company. In May 2021, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt-Modifications and Extinguishments (Subtopic 470-50), Compensation-Stock Compensation (Topic 718), and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815-40). The new ASU addresses issuer’s accounting for certain modifications or exchanges of freestanding equity-classified written call options. This amendment is effective for all entities, for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact this new guidance will have on its financial statements. The Company does not believe that any other recently issued but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying consolidated financial statements. |
Accounts Receivable
Accounts Receivable | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Accounts Receivable [Abstract] | ||
ACCOUNTS RECEIVABLE | NOTE 3 - ACCOUNTS RECEIVABLE The Company’s accounts receivable at June 30, 2023 and September 30, 2022 was as follow: June 30, September 30, Accounts receivable $ 268,180 $ 419,951 Reserve for doubtful accounts - - $ 268,180 $ 419,951 Bad debt expense was $0 for the nine months ended June 30, 2023 and 2022. | NOTE 3 - ACCOUNTS RECEIVABLE The Company’s accounts receivable at September 30, 2022 and 2021 is as follow: September 30, September 30, Accounts receivable $ 419,951 $ 128,386 Reserve for doubtful accounts - - $ 419,951 $ 128,386 Bad debt expense was $0 for the years ended September 30, 2022 and 2021. |
Inventory
Inventory | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Inventory [Abstract] | ||
INVENTORY | NOTE 4 - INVENTORY At June 30, 2023 and September 30, 2022, inventory consisted of finished goods and was valued at $55,123 and $92,917, respectively. No inventory reserve was deemed necessary at June 30, 2023 or September 30, 2022. | NOTE 4 - INVENTORY At September 30, 2022 and 2021, inventory consists of finished goods and was valued at $92,917 and $61,837, respectively. No inventory reserve was deemed necessary at September 30, 2022 or 2021. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Sep. 30, 2022 | |
Intangible Assets [Abstract] | |
INTANGIBLE ASSETS | NOTE 5 - INTANGIBLE ASSETS The Company acquired a patent for a new product during the year ended September 30, 2021. The Company capitalized acquisition and related legal fees related to the patent totaling $44,650. During the year ended September 30, 2022, amortization amounted to $8,931, however the net carrying value of the patent of $35,719, was determined to be impaired in 2022 and charged to Operating expenses. |
Line of Credit - Bank
Line of Credit - Bank | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Line of Credit - Bank [Abstract] | ||
LINE OF CREDIT - BANK | NOTE 5 - LINE OF CREDIT - BANK The Company has a revolving line of credit with a financial institution, which balance is due on demand and principal payments are due monthly at 1/60 th | NOTE 6 - LINE OF CREDIT - BANK The Company has a revolving line of credit with a financial institution, which balance is due on demand and principal payments are due monthly at 1/60 th $0 |
Settlements Payable
Settlements Payable | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Settlements Payable [Abstract] | ||
SETTLEMENTS PAYABLE | NOTE 6 - SETTLEMENTS On July 20, 2018, the Company entered into a settlement agreement with a collection agent for American Express relating to $127,056 of past due charges. The agreement provided for initial payment of $12,706, monthly payments of $6,500 and final payment on January 27, 2020 of $3,850. Under the terms of the agreement, this debt was in default. On June 27, 2022, the Company entered into an agreement for the balance and the other losses were $7,042 for collection fees. Under the agreement established $5,000 per month is being paid by the Company. The amount due at June 30, 2023 and September 30, 2022, was $0 and $34,892, respectively. During the year ended September 30, 2022, $119,670 was accrued in recognition of an appeals court ruling that certain obligations be settled in cash (see Note 15). On February 14, 2023, the former CFO received a judgement of $130,400 relating to compensation. The Company paid $2,222 as of March 31, 2023. On May 3, 2023, the Company and the former CFO executed an agreement to settle the judgement amount plus potential obligations for legal fees incurred by the former CFO for a total amount of $90,000 to be paid in three equal installments beginning May 4, 2023, June 3, 2023 and July 3, 2023. The May 2023 and June 2023 payments of $60,000 were made. As of the date of filing this Form 10-Q, all payments have been made and the matter has been concluded. The total amounts due at June 30, 2023 and September 30, 2022, was $57,448, and $154,562, respectively. | NOTE 7 - SETTLEMENTS PAYABLE On July 20, 2018, the Company entered into a settlement agreement with a collection agent for American Express relating to $127,056 of past due charges. The agreement provides for initial payment of $12,706, monthly payments of $6,500 and final payment on January 27, 2020 of $3,850. Under the terms of the agreement, this debt is in default. On June 27, 2022, the Company entered into an agreement for the balance and the other losses were $7,042 for collection fees. Under the agreement established $5,000 per month is being paid by the Company. The amount due at September 30, 2022 and 2021, was $34,892 and $42,850, respectively. During the year ended September 30, 2022, $119,670 was reclassified from other assets to equity upon the cancellation of the 36,821,330 shares and a liability, previously recorded is included in the settlement payable balance (see Note 17). The total amounts due at September 30, 2022, and 2021, was $154,562, and $42,850, respectively. |
Note Payable - Seller
Note Payable - Seller | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Note Payable Seller [Abstract] | ||
NOTE PAYABLE - SELLER | NOTE 7 - NOTE PAYABLE – SELLER In connection with the acquisition of Howco in September 2016, the Company issued a note payable in the amount of $900,000 to the sellers of Howco. The note matured on September 9, 2017 and bears interest at 5.50% per annum. The note requires payment of unpaid principal and interest upon maturity. The note is secured by all assets of Howco and subordinated to the Senior Secured Credit Facility discussed below. The note is currently in default and the default interest rate is 8% per annum. At June 30, 2023 and September 30, 2022, the principal and accrued interest on this note amounted to $834,000, $458,946 and $837,000, and $409,063, respectively (see Note 15). | NOTE 8 - NOTE PAYABLE – SELLER In connection with the acquisition of Howco in September 2016, the Company issued a note payable in the amount of $900,000 to the sellers of Howco. The note matured on September 9, 2017 and bears interest at 5.50% per annum. The note requires payment of unpaid principal and interest upon maturity. The note is secured by all assets of Howco Distribution Co. and subordinated to the Senior Secured Credit Facility discussed below. The note is currently in default and the default interest rate is 8% per annum. At September 30, 2022 and September 30, 2021, the principal and accrued interest on this note amounted to $837,000, $409,063 and $873,000, and $340,663, respectively. (see Note 17) |
Convertible and Promissory Note
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates | 12 Months Ended |
Sep. 30, 2022 | |
Convertable and Promissory Notes Payable – Related Party Officer and his Affiliates [Abstract] | |
CONVERTIBLE AND PROMISSORY NOTES PAYABLE – RELATED PARTY OFFICER AND HIS AFFILIATES | NOTE 9 - CONVERTIBLE AND PROMISSORY NOTES PAYABLE – RELATED PARTY OFFICER AND HIS AFFILIATES The related party officer and his affiliates convertible and other notes balance consisted of the following at September 30, 2022 and September 30, 2021: September 30, September 30, Principal $ 13,537 $ - Long term $ 13,527 $ - Convertible Notes The Company has a $840,000 convertible note payable (“Note 1”) to a related party entity controlled by the Company’s CEO. Note 1 bear interest at an annual rate of 7% with an original maturity date of June 11, 2017, which has been extended to June 11, 2022, at which time all unpaid principal and interest is due. The holder of Note 1 has the option to convert the outstanding principal and accrued interest, in whole or in part, into shares of common stock at a conversion price equal to the volume weighted average price per share of common stock for the 30-day period prior to conversion. On April 15, 2020, the Company amended the above Note 1 first issued to AIG and subsequently assigned to Pike Falls LLC (entities controlled by the Company’s CEO) in amount of $840,000, with a principal and accrued interest balance of $688,444, and $210,409, respectively at June 30, 2020. The amendment changes conversion terms, which now state the note principal and interest may be converted to common stock at 50% of the lowest closing bid price during the thirty days prior to conversion, increases the interest rate to 10%, and has a maturity date of January 7, 2022. The change in conversion terms has been treated as a debt extinguishment and the modified note is treated as stock settled debt under ASC 480, and a put premium of $688,444 was recognized with a charge to loss on debt extinguishment. The principal balance was $377,194 and accrued interest was $221,323 at September 30, 2020. As of September 30, 2021, Note 1 principal has been fully converted or paid in cash along with accrued interest of $224,370, and the accrued interest balance was $0 as of September 30, 2021. $377,194, related to put premiums was recognized as a gain on extinguishment of debt during the year ended September 30, 2021. The Company has a convertible note payable (for an unspecified amount) with the Company’s CEO. This line of credit (“LoC”) bears interest at an annual rate of 7% with a maturity date of December 31, 2017, at which time all unpaid principal and interest was due. On December 15, 2017 the due date was extended to July 2, 2018 and then in July, 2018, the due date was extended to June 30, 2019, and on December 23, 2018 the maturity date of the LoC was extended to September 23, 2024. The holder of the LoC has the option to convert the outstanding principal and accrued interest, in whole or in part, into shares of common stock at a conversion price equal to the volume weighted average price per share of common stock for the 30-day period prior to conversion. This LoC is considered a stock settled debt in accordance with ASC 480 and the fixed monetary amount is equal to the principal amount based on the conversion formula. During the year ended September 30, 2020 the Company was advanced $64,940 and repaid $132,803, on this LoC. As of September 30, 2020, the LoC had not been converted and the balance was $99,142, and accrued interest was $31,260. During the year ended September 30, 2021 the balance of the LoC principal was fully paid in cash along with all accrued interest, totaling $32,900. On July 2, 2019, the Company issued a convertible note payable (“Note 2”) to an affiliate of the Company’s CEO for $15,000 cash. The funds were paid directly to a vendor to the Company. The note had an original maturity of June 9, 2020; however, the note was amended effective September 30, 2020 and the new maturity is May 31, 2022. The note bears interest at 10% and may be converted into the Company’s common stock at 50% of the lowest closing bid in the 20 trading days prior to notification of conversion. The Company accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $15,000 with a charge to interest expense for the note. The note principal and accrued interest ($2,155) was fully repaid during the year ended September 30, 2021 and put premium of $15,000, was recognized as gain on debt extinguishment. Accrued interest was $0 at September 31, 2021 and $1,843, at September 30, 2020. On September 13, 2019, the Company issued a convertible note payable to an entity controlled by the Company’s CEO for $17,000 in cash. The note had an original maturity of June 9, 2020., The note was amended, effective September 30, 2020, and the new maturity is May 31, 2022. The note bears interest at 10% and may be converted to the Company’s common stock at 50% of the lowest closing bid in the 20 trading days prior to notification of conversion. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $17,000 with a charge to interest expense for the notes. The note principal and accrued interest of $2,152 was fully repaid and a put premium of $17,000, was recognized as gain on debt extinguishment during the year ended September 30, 2021. Accrued interest was $1,799, at September 30, 2020. On December 30, 2018 the Company issued a promissory note to the CEO for a $400,000 in cash. The note bears interest at 12% per annum, matures on January 7, 2024 and required monthly payment of principal of $5,000 with a balloon payment at maturity. On April 14, 2020, the Company amended the above note first issued to Michael Bannon (the Company’s CEO) with a principal and interest balance of $367,500, and $76,619, respectively at September 30, 2020. The amendment adds conversion terms, which state the note principal and interest may be converted to common stock at 50% of the lowest closing bid price during thirty days prior to conversion, and reduces the interest rate to 10%, and extends the maturity date to January 7, 2024. The change in conversion terms was treated as a debt extinguishment and the new note is considered a stock settled debt under ASC 480, and a put premium of $367,500 was recognized with a charge to interest expense. The note principal and accrued interest of $83,133 was fully repaid in cash during the year ended September 30, 2021 and a gain on debt extinguishment was recognized for the premium upon cash repayment. The accrued interest balance was $76,619 at September 30, 2020. On January 19, 2019 the Company issued a, promissory note to the CEO for a $200,000, cash loan. The note bears interest at 12% per annum, matures on September 23, 2021 and requires monthly payments of $2,500 principal. On April 14, 2020, the Company amended the note with a principal and interest balance of $195,000, and $17,947. The amendment adds conversion terms, which state the note principal and interest may be converted to common stock at 50% of the lowest closing bid price during thirty days prior to conversion, and reduces the note interest rate to 10%, and extends the maturity date to April 15, 2026. The change in conversion terms has been treated as a debt extinguishment and the new note is considered a stock settled debt under ASC 480, and put premium of $195,000 has been recognized with a charge to loss on debt extinguishment. During 2020, $14,250 was repaid and $180,750 was converted to common stock. Accrued interest of $20,855 was repaid as of September 30, 2021. On April 15, 2020, the Company issued a convertible note payable to Michael Bannon (the Company’s CEO) in the principal amount of $69,391, in replacement for the amounts owed to an entity controlled by Mr. Bannon The new note interest rate is 10%, and it matures on January 31, 2022. The new note principal and interest may be converted into the Company’s common stock at 50% of the lowest closing bid price in the thirty days preceding the conversion notice. This issuance was treated as a debt extinguishment of the old note and the new note conversion terms have been treated as stock settled debt under ASC 480, and put premium of $69,391 was recognized with a charge to interest expense. The principal and accrued interest was $69,391 and $5,332 respectively as of September 30, 2020. During the year ended September 30, 2021 the principal and accrued interest of $6,206 was fully paid in cash and $69,391 was recognized as gain on extinguishment of debt. Other Notes Payable On December 22, 2020 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $2,580 for twenty-five weeks, which include a total of $14,500 of interest. The principal and interest due were fully paid at September 30, 2021. On May 21, 2021 a promissory note was issued to the CEO by Howco for $40,000 having weekly payments of $2,080 for twenty-five weeks, which include a total of $12,000 of interest. During the year ended September 30, 2021, repayments of principal were $40,000 and interest of $8,308 were changed to Interest Expense and were made reducing the principal balance to $0. Interest charged was reduced due to early repayment. On June 27, 2021 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $2,580 for twenty-five weeks, which include a total of $14,500 of interest. During the year ended September 30, 2021, repayments of principal were $50,000 and interest of $6,692 were changed to Interest Expense and were made reducing the principal balance to $0. Interest charged was reduced due to early repayment. On July 12, 2021 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $2,580 for twenty-five weeks, which include a total of $14,500 of interest. During the year ended September 30, 2021, repayments of principal of $50,000 were made reducing the principal balance to $0 and interest of $6,135, were changed to interest expense. During the year ended September 30, 2021, the CEO extended short-term advances totaling $60,400, which were fully repaid as of September 30, 2021. On January 25, 2022 a promissory note was issued to the CEO by Howco for $75,000 having weekly payments of $3,870 for twenty-five weeks, which include a total of $21,750 of interest. The principal at September 30, 2022 was $0 and interest of $18,945, was charged to interest expense. The note was repaid early therefore the interest charged was less than under the original agreement. On April 25, 2022 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $1,570 for fifty weeks, which include a total of $28,500 of interest. The principal at September 30, 2022 was $13,537 and interest of $10,783, was charged to interest expense. The note is being repaid faster than the original payment terms and therefore the interest will be lower than the original agreement terms. |
Convertible Notes Payable and A
Convertible Notes Payable and Advisory Fee Liabilities | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Convertible Notes Payable and Advisory Fee Liabilities [Abstract] | ||
CONVERTIBLE NOTES PAYABLE AND ADVISORY FEE LIABILITIES | NOTE 9 - CONVERTIBLE NOTES PAYABLE AND ADVISORY FEE LIABILITIES The senior secured credit facility note balance and convertible debt balances consisted of the following at June 30, 2023 and September 30, 2022: June 30, September 30, 2023 2022 Principal $ 297,019 $ 5,978,891 Premiums 288,448 1,443,435 $ 585,467 $ 7,442,326 For the nine months ended June 30, 2023 and 2022, amortization of debt discount on the above convertible notes amounted to $0 and $19,937 respectively. Senior Secured Credit Facility Note - Default On September 13, 2016, the Company entered into a senior secured credit facility note with an investment fund for the acquisition of Howco. The Company can borrow up to $6,500,000, subject to lender approval, with an initial convertible promissory note at closing of $3,500,000 (the “Note”). The Note bears interest at a rate of 18% per annum, required monthly payments of $52,500, which is interest only, starting on October 13, 2016 through February 13, 2017, and monthly payments, including interest and principal, of $298,341 starting on March 13, 2017 through maturity on March 13, 2018. In the event of default, the Note balance will bear interest at 25% per annum. In connection with this Agreement, the Company was obligated to pay additional advisory fees of $850,000 payable in the form of cash or common stock in accordance with the terms of the Agreement. The Company was also required to reserve 7 shares of common stock related to this transaction. The reserved shares will be released upon the satisfaction of the loan. As of June 30, 2023, and September 30, 2022, the Company issued 1 share of common stock in satisfaction of the $850,000 advisory fee in accordance with the terms of the agreement, such shares being issued in September 2016. The proceeds from the sale of the 1 share were to be applied to the $850,000 advisory fee due. Based upon the value of the shares, at the time the lender sells the shares, the Company may be required to redeem unsold shares for the difference between the $850,000 and the lender’s sales proceeds. Accordingly, the $850,000 was reflected as a current liability through December 31, 2017. In January 2018, in connection with a settlement agreement (see below), the accrued advisory fee was reclassified to the principal balance of the replacement Convertible Note. Through the date of the settlement agreement and through June 30, 2023 and September 30, 2022, the lender had not reported any proceeds from the sale of these shares (see below). Prior to the settlement agreement in January 2018, notwithstanding anything contained in the Agreement to the contrary, in the event the Lender has not realized net proceeds from the sale of Advisory Fee Shares equal to at least the Advisory Fee by the earlier to occur of: (A) September 13, 2017; (B) the occurrence of an Event of Default; or (C) the Maturity Date, then at any time thereafter, the Lender shall have the right, upon written notice to the Borrower, to require that the Borrower redeem all Advisory Fee Shares then in Lender’s possession for cash equal to the Advisory Fee, less any cash proceeds received by the Lender from any previous sales of Advisory Fee Shares, if any within five (5) Business Days from the date the Lender delivers such redemption notice to the Borrower. The Note is only convertible upon default or mutual agreement by both parties at a conversion rate of 85% of the lowest of the daily volume weighted average price of the Company’s common stock during the 5 business days immediately prior to the conversion date. At any time and from time to time while this Note is outstanding, but only upon: (i) the occurrence of an Event of Default under any of the Loan Documents; or (ii) mutual agreement between the Company and the Holder, this Note may be, at the sole option of the Holder, convertible into shares of the Company’s common stock, in accordance with the terms and conditions of the Note. Upon liquidation by the Holder of Conversion Shares issued pursuant to a conversion notice, provided that the Holder realizes a net amount from such liquidation equal to less than the conversion amount specified in the relevant conversion notice, the Company shall issue to the Holder additional shares of the Company’s common stock equal to: (i) the Conversion Amount specified in the relevant conversion notice; minus divided by Once a default occurs, the Note and the $850,000 advisory fee payable will be accounted for as stock settled debt at its fixed monetary value. On March 13, 2017, the Company defaulted on the monthly principal and interest payment of $298,341. Due to this default, as of June 30, 2017, the Company has accounted for the embedded conversion option as stock settled debt and recorded a debt premium of $617,647 with a charge to interest expense, and the interest rate increased to 25% (default rate). On March 28, 2017, the Company entered into an additional agreement with the above senior secured credit facility lender to receive a range of advisory services for a total of $1,200,000 with no definitive terms or length of service which was expensed in fiscal 2017 and had been recorded as an accrued liability – advisory fees through December 31, 2017. In connection with the settlement agreement discussed below, in January 2018, the advisory services fees payable were reclassified to the principal balance of the replacement Convertible Note. On January 3, 2018, the Company entered into a settlement agreement (the “Settlement Agreement”) and replacement note agreements with the investment fund related to a senior secured credit facility note dated September 13, 2016. On the effective date of the Settlement Agreement, all amounts owed to the investment fund aggregated $5,788,642 and consisted of a convertible promissory note of $3,500,000, accrued interest payable of $238,642, and accrued advisory fees payable of $2,050,000. On the effective date of the Settlement Agreement, the amount due of $5,788,642 was split and apportioned into two separate replacement notes (“Replacement Note A” and Note B”). Replacement Note A had a principal amount of $1,000,000 and Replacement Note B had a principal balance of $4,788,642, both of which remained secured by the original security, pledge and guarantee agreements; and other applicable loan documents, and bear interest at 18% per annum. The default was not waived by this settlement agreement. The Company originally recorded a premium on stock settled debt of $617,647 on the $3,500,000, and subsequent to the settlement agreement recorded an additional premium on stock settled debt of $403,878 on the additional $2,288,642 for accrued interest and advisory fees payable that were capitalized as note principal. The interest rate was amended to 12% effective June 12, 2018. The Credit Agreement was amended such that the maturity date was extended to January 13, 2019 (the “Extended Maturity Date”) for replacement Note B, while the Note A maturity date remained at March 13, 2018 but was due as of March 2017 due to the principal and interest payment default discussed above. Notwithstanding anything contained in this Agreement to the contrary, all obligations owing by the Company and all other Credit Parties under the Credit Agreement, First Replacement Note B, and all other Loan Documents shall be paid in full by the Extended Maturity Date as follows: $52,500 per month from January 13, 2018 to December 13, 2018 and the remaining principal and accrued interest on January 13, 2019. Interest payments made since the amendment have totaled $323,440 and are therefore not in accord with that amendment. However, TCA has received payments under the 3(a) (10) settlement (below) totaling $308,100 during the year ended September 30, 2018, and another $270,320, during the year ended September 30, 2019. The principal balance was $4,788,642 at September 30, 2018. On October 30, 2018, TCA, the Company’s senior lender, amended its credit facility which had been restructured in January 2018 when fees for advisory and other matters along with accrued but unpaid interest were capitalized and separated into two notes, Note A having $1,000,000 principal and Note B having $4,788,642 both having the same maturity terms, interest rates and conversion rights. Under the current amendment total amounts outstanding under the notes along with accrued interest of $537,643 has been capitalized with the principal amount due of $6,018,192, $5,326,285 for Note B and $691,907 for Note A. The restated note has the same conversion price discount and therefore continues to be stock settled debt under ASC 480, an additional $94,878 was charged to interest with a credit to debt premium. The restated note accrues interest on the principal balance at 12% per annum, includes amortization to the new maturity date of December 15, 2020. The amortization payments credited toward the principal amount and accrued interest vary and include payments made under the 3(a)(10) settlement agreement with a third party related to Note A. Economically the total principal and accrued interest outstanding remain unchanged as reported in the consolidated balance sheet. All other terms including conversion rights and a make-whole provision in the case of a conversion shortfall remain the same as stated in the footnotes above. On September 6, 2019, the Company received a default notice on its payment obligations under the senior secured credit facility agreement from TCA. The Company has proposed a number of solutions including refinancing the debt with other parties. The default was declared due to non-payment of monthly scheduled amortization (principal and interest). TCA holds security interests in all assets of the Company including its subsidiary Howco (see below). On January 30, 2018, pursuant to the Liability Purchase Term Sheet, the TCA Replacement Note A in the principal amount of $1,000,000 was acquired by Livingston Asset Management LLC (“Livingston”) from the original lender. Principal of Replacement Note A is due to Livingston with all then accrued but unpaid interest due to the original lender. In accordance with the terms of the Settlement Agreement, the Court was advised of the Company’s intention to rely upon the exception to registration set forth in Section 3(a)(l0) of the Securities Act to support the issuance of its common shares and the Court held a fairness hearing regarding the issuance on March 12, 2018. Following entry of an Order by the Court which occurred on March 12, 2018, in settlement of the claims, the Company shall issue and deliver to Livingston shares of its common stock (the “Settlement Shares”) in one or more tranches as necessary, and subject to adjustment and ownership limitations as set forth in the Settlement Agreement, sufficient to generate proceeds such that the aggregate Remittance Amount equals the Claim Amount. The Company will issue free trading shares of its common stock under section 3(a) (10) of the Securities Act to Livingston in the amount of such judgment in a series of tranches so that Livingston will not own more than 9.99% of the Company’s outstanding shares per tranche. The parties reasonably estimate that the fair market value of the Settlement Shares to be received by Livingston is equal to approximately $1,666,667 which is based on a discount of 40%. In the nine months ended June 30, 2023, there were no 3(a)(10) issuances. As of June 30, 2023, there have been seventeen issuances under Section 3(a) (10) of the Securities Act totaling 1,375 shares; 1,273, in 2019, and 102, in 2018, which have been recorded at par value with an equal charge to additional paid-in capital. On November 17, 2019, 195 of the shares issued under Section 3(a)(10) were cancelled at the request of Livingston. The value originally recorded as a liability remains in the convertible note balance, until these shares have been sold and reported to the Company by the lender as part of the Make-Whole provision at which time the proceeds value of such shares are reclassified to additional paid-in capital. During the years ended September 30, 2018 and September 30, 2019, proceeds of $308,100 and $270,320, respectively were remitted to TCA by Livingston and applied to reduce the liability with corresponding credits to additional paid in capital. $180,618 of debt premium was credited to additional paid in capital in conjunction with the payments to TCA. At June 30, 2023 and September 30, 2022, the balance, of $421,587 along with related debt premium of $281,054 are included in convertible notes payable on the balance sheet. At June 30, 2023 and September 30, 2022, the principal of the Note B portion was $5,326,285 and accrued interest was $2,958,251 and $2,377,557 respectively and the Note A principal subject to the 3(a) (10) court order was $421,587 as noted above. During the nine months ended June 30, 2023, the Company has not paid interest or principal and Livingston Asset Management (under the 3(a)(10) settlement) has not made any payments to TCA. (see Note 17) On April 12, 2023, Ekimnel Strategies LLC, 100% owned by Michael Bannon, Bantec’s Chairman, CEO and CFO, purchased and assumed, all of TCA’s rights and obligations as a lender under the Senior Secured Credit Facility Agreement dated May 31, 2016 and effective September 13, 2016 and all subsequent documents from the Receiver for TCA Global Credit Master Fund, LP. The value of the note at the time of agreement was valued at $8,546,334 including principal and accrued interest (also see Note 8 and 17). Other Convertible Notes On March 7, 2018, the Company entered into a placement agent and advisory agreement with Scottsdale Capital Advisors in connection with the Livingston liability purchase term sheet executed on November 15, 2017. The placement agent services fee amounted to $15,000 payable to Scottsdale Capital Advisors in the form of a convertible note. The note matures six months from the date of issuance and accrues interest at the rate of 10% per annum. The $15,000 note is convertible into shares of the Company’s common stock at a discount of 30% of the low closing bid price for the twenty trading days prior to the conversion and is not subject to any registration rights. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $6,429 with a charge to interest expense. The note has not been converted and the principal balance is $15,000, at June 30, 2023 and September 30, 2022 with $8,899, and $7,777, of accrued interest, respectively. As the note has matured it is in default. Under the terms of the note no default interest or penalties accrue. On December 1, 2021, the Company terminated its agreement with Livingston Asset Management and entered into a consulting and services arrangement with Frondeur Partners LLC which has no stipulated term. The arrangement provides for financial management services including accounting and related periodic reporting among other advisory services. Under the agreement, the Company is obligated to issue to Frondeur Partners LLC convertible notes having principal of $15,000, interest of 10% per annum, maturity of seven months. The notes are convertible into shares of common stock at a discount of 50% to the lowest bid price in the twenty trading days immediately preceding the notice of conversion. Between March 1, 2022 and August 1, 2022, the Company issued convertible promissory notes to Frondeur Partners LLC for an aggregate principal amount of $90,000 for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible notes bear interest of 10% per annum and matures in nine months. The notes issued were convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The notes have conversion feature and are treated as stock settled debt under ASC 480 and a total debt premium of $90,000 were recognized as interest expense on note issuance dates. At September 30, 2022 the accrued interest was $3,203. Between October 3, 2022 and March 2023, the Company issued an aggregate of 2,090,007 shares of common stock in conversion of Frondeur Partners LLC, convertible note payables dated from March 1, 2022 to August 1, 2022, all principal of $90,000 and accrued interest of $5,388 were converted. Premium of $90,000 was reclassified to additional paid in capital. Between September 1, 2022 to May 1, 2023, the Company issued convertible promissory notes to Frondeur Partners LLC for an aggregate amount of $135,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible notes bear interest ranging from 10% to 12% per annum and matures in nine months. The notes issued are convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The notes have conversion features and are treated as stock settled debt under ASC 480 and a total debt premium of $135,000 is recognized as interest expense on the note issuance dates. The principal balance for the Frondeur notes was $135,000 and $105,000 at June 30, 2023 and September 30, 2022, respectively, as detailed above. Accrued interest for these notes totaled $6,725 and $3,631 at June 30, 2023 and September 30, 2022, respectively also detailed above. From May 1, 2022 until June 1, 2023, the Company issued a $4,000 convertible notes every month to the law firm for fees incurred, each note having six-month term to maturity and 10% annual interest. The notes are convertible into shares of common stock at a fixed discount of 50% of the lowest bid price in the 30 trading days immediately preceding the notice of conversion from the lender. The notes have cross default provisions. The Company has accounted for the convertible promissory notes as stock settled debt under ASC 480 and recorded debt premiums equal to the face value of the notes with a charge to interest expense. The note principal amount was charged to professional fees during the month the note was issued. The principal balances owed to the law firm under the agreement as of June 30, 2023 and September 30, 2022 were $56,000, and $20,000 respectively and accrued interest was $3,455 and $563 as of June 30, 2023, and September 30, 2022, respectively. On November 13, 2018, the Company issued a convertible promissory note for $90,000 to a vendor in settlement of approximately $161,700 of past due amounts due for services. The note bears interest at 5%, matures on June 30, 2019 and is convertible into the Company’s common stock at 50% of the lowest closing bid price during the 20 trading days immediately preceding the notice of conversion. The note matured on June 30, 2019, there is no default penalty or interest rate increase associated with the note, nor are there any cross-default provisions in the note. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded debt premium $90,000 with a charge to interest expense for the notes. At June 30,2023 and September 30, 2022 the principal, and premium were both $90,000. At June 30, 2023 and September 30, 2022 accrued interest was $44,692 and $36,614, respectively (see Note 15). | NOTE 10 - CONVERTIBLE NOTES PAYABLE AND ADVISORY FEE LIABILITIES The senior secured credit facility note balance and convertible debt balances consisted of the following at September 30, 2022 and 2021: September 30, September 30, 2022 2021 Principal $ 5,978,891 $ 6,167,407 Premiums 1,443,435 1,509,673 Unamortized discounts - (14,440 ) $ 7,422,326 $ 7,662,640 For the years ended September 30, 2022 and 2021, amortization of debt discount on the above convertible notes amounted to $21,940 and $30,533, respectively. Senior Secured Credit Facility Note - Default On September 13, 2016, the Company entered into a senior secured credit facility note with an investment fund for the acquisition of Howco. The Company can borrow up to $6,500,000, subject to lender approval, with an initial convertible promissory note at closing of $3,500,000 (the “Note”). The Note bears interest at a rate of 18% per annum, required monthly payments of $52,500, which is interest only, starting on October 13, 2016 through February 13, 2017, and monthly payments, including interest and principal, of $298,341 starting on March 13, 2017 through maturity on March 13, 2018. In the event of default, the Note balance will bear interest at 25% per annum. In connection with this Agreement, the Company was obligated to pay additional advisory fees of $850,000 payable in the form of cash or common stock in accordance with the terms of the Agreement. The Company was also required to reserve 7 shares of common stock related to this transaction. The reserved shares will be released upon the satisfaction of the loan. As of September 30, 2022, and September 30, 2021, the Company had issued 1 share of common stock in satisfaction of the $850,000 advisory fee in accordance with the terms of the agreement, such shares being issued in September 2016. The proceeds from the sale of the 1 share were to be applied to the $850,000 advisory fee due. Based upon the value of the shares, at the time the lender sells the shares, the Company may be required to redeem unsold shares for the difference between the $850,000 and the lender’s sales proceeds. Accordingly, the $850,000 was reflected as a current liability through December 31, 2017. In January 2018, in connection with a settlement agreement (see below), the accrued advisory fee was reclassified to the principal balance of the replacement Convertible Note. Through the date of the settlement agreement and through September 30, 2022 and September 30, 2021, the lender had not reported any proceeds from the sale of these shares (see below). Prior to the settlement agreement in January 2018, notwithstanding anything contained in the Agreement to the contrary, in the event the Lender has not realized net proceeds from the sale of Advisory Fee Shares equal to at least the Advisory Fee by the earlier to occur of: (A) September 13, 2017; (B) the occurrence of an Event of Default; or (C) the Maturity Date, then at any time thereafter, the Lender shall have the right, upon written notice to the Borrower, to require that the Borrower redeem all Advisory Fee Shares then in Lender’s possession for cash equal to the Advisory Fee, less any cash proceeds received by the Lender from any previous sales of Advisory Fee Shares, if any within five (5) Business Days from the date the Lender delivers such redemption notice to the Borrower. The Note is only convertible upon default or mutual agreement by both parties at a conversion rate of 85% of the lowest of the daily volume weighted average price of the Company’s common stock during the 5 business days immediately prior to the conversion date. At any time and from time to time while this Note is outstanding, but only upon: (i) the occurrence of an Event of Default under any of the Loan Documents; or (ii) mutual agreement between the Company and the Holder, this Note may be, at the sole option of the Holder, convertible into shares of the Company’s common stock, in accordance with the terms and conditions of the Note. Upon liquidation by the Holder of Conversion Shares issued pursuant to a conversion notice, provided that the Holder realizes a net amount from such liquidation equal to less than the conversion amount specified in the relevant conversion notice, the Company shall issue to the Holder additional shares of the Company’s common stock equal to: (i) the Conversion Amount specified in the relevant conversion notice; minus divided by Once a default occurs, the Note and the $850,000 advisory fee payable will be accounted for as stock settled debt at its fixed monetary value. On March 13, 2017 the Company defaulted on the monthly principal and interest payment of $298,341. Due to this default, as of June 30, 2017, the Company has accounted for the embedded conversion option as stock settled debt and recorded a debt premium of $617,647 with a charge to interest expense, and the interest rate increased to 25% (default rate). On March 28, 2017, the Company entered into an additional agreement with the above senior secured credit facility lender to receive a range of advisory services for a total of $1,200,000 with no definitive terms or length of service which was expensed in fiscal 2017 and had been recorded as an accrued liability – advisory fees through December 31, 2017. In connection with the settlement agreement discussed below, in January 2018, the advisory services fees payable were reclassified to the principal balance of the replacement Convertible Note. On January 3, 2018, the Company entered into a settlement agreement (the “Settlement Agreement”) and replacement note agreements with the investment fund related to a senior secured credit facility note dated September 13, 2016. On the effective date of the Settlement Agreement, all amounts owed to the investment fund aggregated $5,788,642 and consisted of a convertible promissory note of $3,500,000, accrued interest payable of $238,642, and accrued advisory fees payable of $2,050,000. On the effective date of the Settlement Agreement, the amount due of $5,788,642 was split and apportioned into two separate replacement notes (“Replacement Note A” and Note B”). Replacement Note A had a principal amount of $1,000,000 and Replacement Note B had a principal balance of $4,788,642, both of which remained secured by the original security, pledge and guarantee agreements; and other applicable loan documents, and bear interest at 18% per annum. The default was not waived by this settlement agreement. The Company originally recorded a premium on stock settled debt of $617,647 on the $3,500,000, and subsequent to the settlement agreement recorded an additional premium on stock settled debt of $403,878 on the additional $2,288,642 for accrued interest and advisory fees payable that were capitalized as note principal. The interest rate was amended to 12% effective June 12, 2018. The Credit Agreement was amended such that the maturity date was extended to January 13, 2019 (the “Extended Maturity Date”) for replacement Note B, while the Note A maturity date remained at March 13, 2018 but was due as of March 2017 due to the principal and interest payment default discussed above. Notwithstanding anything contained in this Agreement to the contrary, all obligations owing by the Company and all other Credit Parties under the Credit Agreement, First Replacement Note B, and all other Loan Documents shall be paid in full by the Extended Maturity Date as follows: $52,500 per month from January 13, 2018 to December 13, 2018 and the remaining principal and accrued interest on January 13, 2019. Interest payments made since the amendment have totaled $323,440 and are therefore not in accord with that amendment. However, TCA has received payments under the 3(a) (10) settlement (below) totaling $308,100 during the year ended September 30, 2018, and another $270,320, during the year ended September 30, 2019. The principal balance was $4,788,642 at September 30, 2018. On October 30, 2018, TCA the Company’s senior lender amended its credit facility which had been restructured in January 2018 when fees for advisory and other matters along with accrued but unpaid interest were capitalized and separated into two notes, Note A having $1,000,000 principal and Note B having $4,788,642 both having the same maturity terms, interest rates and conversion rights. Under the current amendment total amounts outstanding under the notes along with accrued interest of $537,643 has been capitalized with the principal amount due of $6,018,192, $5,326,285 for Note B and $691,907 for Note A. The restated note has the same conversion price discount and therefore continues to be stock settled debt under ASC 480, an additional $94,878 was charged to interest with a credit to debt premium. The restated note accrues interest on the principal balance at 12% per annum, includes amortization to the new maturity date of December 15, 2020. The amortization payments credited toward the principal amount and accrued interest vary and include payments made under the 3(a)(10) settlement agreement with a third party related to Note A. Economically the total principal and accrued interest outstanding remain unchanged as reported in the consolidated balance sheet. All other terms including conversion rights and a make-whole provision in the case of a conversion shortfall remain the same as stated in the footnotes above. On September 6, 2019, the Company received a default notice on its payment obligations under the senior secured credit facility agreement from TCA. The Company has proposed a number of solutions including refinancing the debt with other parties. The default was declared due to non-payment of monthly scheduled amortization (principal and interest). TCA holds security interests in all assets of the Company including its subsidiary Howco. The Company is in negotiation with the receiver appointed by the court related to the senior secured creditor’s claim and has proposed a preliminary settlement. On January 30, 2018 pursuant to the Liability Purchase Term Sheet, the TCA Replacement Note A in the principal amount of $1,000,000 was acquired by Livingston Asset Management LLC (“Livingston”) from the original lender. Principal of Replacement Note A is due to Livingston with all then accrued but unpaid interest due to the original lender. In accordance with the terms of the Settlement Agreement, the Court was advised of the Company’s intention to rely upon the exception to registration set forth in Section 3(a) (l0) of the Securities Act to support the issuance of its common shares and the Court held a fairness hearing regarding the issuance on March 12, 2018. Following entry of an Order by the Court which occurred on March 12, 2018, in settlement of the claims, the Company shall issue and deliver to Livingston shares of its common stock (the “Settlement Shares”) in one or more tranches as necessary, and subject to adjustment and ownership limitations as set forth in the Settlement Agreement, sufficient to generate proceeds such that the aggregate Remittance Amount equals the Claim Amount. The Company will issue free trading shares of its common stock under section 3(a) (10) of the Securities Act to Livingston in the amount of such judgment in a series of tranches so that Livingston will not own more than 9.99% of the Company’s outstanding shares per tranche. The parties reasonably estimate that the fair market value of the Settlement Shares to be received by Livingston is equal to approximately $1,666,667 which is based on a discount of 40%. In the year ended September 30, 2022, there were no 3(a) (10) issuances. As of September 30, 2022, there have been seventeen issuances under section 3(a) (10) of the Securities Act totaling 1,375 shares; 1,273, in 2019, and 102, in 2018, which have been recorded at par value with an equal charge to additional paid-in capital. On November 17, 2019, 195 of the shares issued under the 3(a) (10) were cancelled at the request of Livingston. The value originally recorded as a liability remains in the convertible note balance, until these shares have been sold and reported to the Company by the lender as part of the Make-Whole provision at which time the proceeds value of such shares are reclassified to additional paid-in capital. During the years ended September 30, 2018 and September 30, 2019, proceeds of $308,100 and $270,320, respectively were remitted to TCA by Livingston and applied to reduce the liability with corresponding credits to additional paid in capital. $180,618 of debt premium was credited to additional paid in capital in conjunction with the payments to TCA. At September 30, 2022 and September 30, 2021, the balance, of $421,587 along with related debt premium of $281,054 are included in convertible notes payable on the balance sheet. At September 30, 2022 and September 30, 2021, the principal of the Note B portion was $5,326,285 and accrued interest was $2,377,557 and $1,738,403 respectively and the Note A principal subject to the 3(a) (10) court order was $421,587 as noted above. During the year ended September 30, 2022, the Company has not paid interest or principal and Livingston Asset Management (under the 3(a) (10) settlement) has not made any payments to TCA. On March 7, 2018 the Company entered into a placement agent and advisory agreement with Scottsdale Capital Advisors in connection with the Livingston liability purchase term sheet executed on November 15, 2017. The placement agent services fee amounted to $15,000 payable to Scottsdale Capital Advisors in the form of a convertible note. The note matures six months from the date of issuance and shall accrue interest at the rate of 10% per annum. The $15,000 note is convertible into shares of the Company’s common stock at a discount of 30% of the low closing bid price for the twenty trading days prior to the conversion and is not subject to any registration rights. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $6,429 with a charge to interest expense. The note has not been converted and the principal balance is $15,000, at September 30, 2022 and September 30, 2021 with $7,777, and $6,273, of accrued interest, respectively. As the note has matured it is technically in default. Under the terms of the note no default interest or penalties accrue. Other Convertible Debt The $85,375 of principal from the Livingston Asset Management LLC notes issued December 1, 2018 through June 1, 2019, along with $8,475 of accrued interest were sold and assigned to Alpha Capital Anstalt, on February 20, 2020. The assigned notes became convertible as of the date of the assignment by virtue of an agreement between the Company and the new note holder. The terms of the notes provide for conversion of principal and accrued interest at a 50% discount to the lowest closing bid price over the 20 days prior to conversion. The notes have been accounted for as stock settled debt under ASC 480, and put premium of $93,850 has been recognized with a charge to interest expense. During the year ended September 30, 2020, $2,200 of the principal was converted into common stock. The total accrued unpaid interest (also not converted) is $5,277 at September 30, 2020. The assigned notes are in default and there are cross-default terms in the original notes or the assignment documentation. Following conversions during the year ended September 30, 2021 the principal balance was $0 at September 30, 2021 and $91,300 as of September 30, 2020. Accrued interest was $0 and $5,277 at September 30, 2021 and September 30, 2020, respectively. Put premiums of $91,300 were reclassified to additional paid in capital during the year ended September 30, 2021. Under the terms of the June 1, 2018 consulting and services agreement with Livingston Asset Management, LLC, as amended on July 1, 2019, Livingston is to receive $20,000, per month including $3,000 cash and $17,000 in promissory notes. The notes bear interest of 10% per annum and mature in six months. The promissory notes are convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the 30 trading days prior to conversion. The notes having a conversion feature are treated as stock settled debt under ASC 480 and a debt premium of $17,000 is recognized as interest expense on note issuance date. During the year ended September 30, 2021, the October 1, 2020, November 1, 2020, December 1, 2020 and January 1, 2020 notes were fully converted and Livingston agreed to forgive seven months (“February 1, 2020 through August 1, 2020”) of service including the cash payments due which were recorded as accounts payable. A gain on debt extinguishment was recognized of $263,938 related to the principal, premiums and accrued interest during the year ended September 30, 2021. The specific notes forgiven are indicated below. Convertible notes were issued to Livingston as follows: January 1, 2020 - $17,000 non-convertible note amended to original conversion terms, fully converted; February 1, 2020 - $17,000 note and accrued interest forgiven; March 1, 2020 - $17,000 note and accrued interest forgiven; April 1, 2020 - $17,000 note and accrued interest forgiven; May 1, 2020, $17,000 note and accrued interest forgiven; June 1, 2020 - $17,000 note and accrued interest forgiven; July 1, 2020 - $17,000 note and accrued interest forgiven; and August 1, 2020 - $17,000, note and accrued interest forgiven. Livingston has given the Company forbearance on fees beginning September 1, 2020 through June 1, 2021. Effective July 1, 2021 the agreement was amended changing the advisory fees to $15,000 due on the first day of each month. Fees are to be paid in the form of a convertible note having a nine-month maturity and conversion discount of 50% of the lowest closing bid price during the 30 trading days prior to conversion. The principal balance for the Livingston notes was $45,000 and accrued interest totaled $752 at September 30, 2021, as detailed below. Under the terms of the July 1, 2021 amendment to the consulting and services agreement with Livingston Asset Management, LLC, Livingston is to receive $15,000, per month in convertible promissory notes. On July 1, 2021 the Company issued a $15,000 convertible note bearing interest of 10% per annum which matures in nine months. The notes issued are convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the twenty trading days prior to conversion. The notes having a conversion feature are treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2021, the accrued interest was $378. At September 30, 2022 the accrued interest was $0. See below (March 7, 2022, redemption). August 1, 2021, the Company issued a $15,000 convertible promissory note to Livingston. The convertible note bears interest of 10% per annum which matures in nine months. The notes issued are convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the twenty trading days prior to conversion. The notes having a conversion feature are treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2021, the accrued interest was $251. At September 30, 2022 the accrued interest was $0. See below (March 7, 2022, redemption). September 1, 2021, the Company issued a $15,000 convertible promissory note to Livingston. The convertible note bears interest of 10% per annum and matures in nine months. The notes issued are convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the twenty trading days prior to conversion. The notes having a conversion feature are treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2021, the accrued interest was $123. At September 30, 2022 the accrued interest was $0. See below (March 7, 2022, redemption). On October 1, 2021, the Company issued a convertible promissory note to Livingston Asset Management LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the twenty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $0. See below (March 7, 2022, redemption). On November 1, 2021, the Company issued a convertible promissory note to Livingston Asset Management LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the twenty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $0. See below (March 7, 2022, redemption). On March 7, 2022, the Company redeemed five fee notes issued to Livingston Asset Management LLC (July 1, through November 1, 2021 notes above) for $85,000 cash. Principal, penalty and accrued interest of $75,000, $7,612 and $2,388 was recognized along with gain on debt extinguishment of $67,388 during the year ended September 30, 2022. The penalty was recorded against the gain. On December 1, 2021, the Company terminated its agreement with Livingston Asset Management and entered into a consulting and services arrangement with Frondeur Partners LLC which has no stipulated term. The arrangement provides for financial management services including accounting and related periodic reporting among other advisory services. Under the agreement the Company will issue to Frondeur Partners LLC convertible fee notes having principal of $15,000, interest of 10% per annum, maturity of seven months. The notes are convertible into common shares at a discount of 50% to the lowest bid price in the twenty trading days immediately preceding the notice of conversion. The notes are charged to professional fees for each corresponding service month. The principal balance for the Frondeur notes was $105,000 and accrued interest for the notes totaled $3,631 at September 30, 2022, as detailed below. On December 1, 2021, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. During the year ended September 30, 2022 the principal and accrued interest of $748, were converted to common stock. Premium of $15,000 was reclassified to additional paid in capital. On January 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. During the year ended September 30, 2022 the principal and accrued interest of $744, were converted to common stock. Premium of $15,000 was reclassified to additional paid in capital. On February 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. During the year ended September 30, 2022 the principal and accrued interest of $777, were converted to common stock. Premium of $15,000 was reclassified to additional paid in capital. On March 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $820. On April 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $752. On May 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $629. On June 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $501. On July 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $314. On August 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $187. On September 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services (service agreement replacing agreement with Livingston Asset Management LLC). The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. At September 30, 2022 the accrued interest was $62. The principal balance for the Frondeur notes was $105,000 and Livingston notes was $45,000 at September 30, 2022 and 2021, respectively, as detailed above. Accrued interest for these notes totaled $3,631 and $752 at September 30, 2022 and 2021, respectively also detailed above. On August 29, 2018 the Company entered into an agreement with a legal firm to provide securities related and other legal services which has no stipulated term. Under the agreement the Company will issue convertible notes with varying principal amounts for services. The first note was issued on August 29, 2018, for $6,000, interest of 12%, and a maturity date of February 28, 2019. The conversion feature allows for conversion into common shares at the lesser of: a) 70% of the share price on the date of the note; or b) 50% of the lowest bid price during the 30 trading days preceding the date of the notice of conversion. In connection with the issuance of this Note, the Company determined that the terms of the Note contain a conversion formula that caused variations in the conversion price resulting in the treatment of the conversion option as a bifurcated derivative to be accounted for at fair value. Accordingly, under the provisions of FASB ASC Topic No. 815-40, “Derivatives and Hedging – Contracts in an Entity’s Own Stock”, the embedded conversion option contained in the convertible instruments were accounted for as derivative liabilities at the date of issuance and shall be adjusted to fair value through earnings at each reporting date. The fair values of the embedded conversion option derivatives were determined using the Binomial valuation model. $10,435 was recognized as derivative liability with $6,000 charged to debt discount and $4,035 charged to derivative expense on issuance. The debt discount of $6,000 was amortized to interest expense to the maturity date of the note. At March 31, 2019 the derivative fair value was determined to have decreased to $8,881. As the note reached its maturity date no further fair value adjustments will be recorded. For the year ended September 30, 2019, the $5,000, balance of the debt discount was charged to interest expense and debt discount balances was $0. During the year ended September 30, 2021 the note principal was fully repaid in cash and the derivative liability was recognized as gain on extinguishment of debt. The following notes have been issued to the law firm, each having six-month term to maturity and 12% annual interest but a change in the conversion terms such that a fixed discount of 50% of the lowest bid price in the 30 trading days immediately preceding the notice of conversion. The notes have cross default provisions. The Company has accounted for the convertible promis |
Notes and Loans Payable
Notes and Loans Payable | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Notes and Loans Payable [Abstract] | ||
NOTES AND LOANS PAYABLE | NOTE 10 – NOTES AND LOANS PAYABLE The notes balance consisted of the following at June 30, 2023 and September 30, 2022 June 30, September 30, Principal loans and notes $ 704,967 $ 615,500 Discounts (31,091 ) (270,064 ) Total 673,876 345,436 Less Current portion (523,876 ) (217,897 ) Non-current $ 150,000 $ 127,539 For the nine months ended June 30, 2023 and 2022, amortization of debt discount on the above notes amounted to $276,972 and $45,816, respectively. On June 17, 2020, the Company through Howco, entered into a loan directly with the Small Business Administration for $150,000. The loan term is thirty years and begins amortization one year from the date of promissory note to be issued upon funding. Amortization payments are $731 per month and include interest and principal of 3.75% from the date of funding. The loan is secured by the assets of Howco. As of June 30, 2023 and September 30, 2022, the principal balance is $150,000. As of June 30, 2023 and September 30, 2022, $0, and $22,461 respectively, is classified as current. During the year ended September 30, 2021, the Company issued seven notes payable totaling $17,500. The notes were issued for monthly fees ($2,500) for a service vendor and are issued the first day of the month and each has one year maturity and does not bear interest. The service arrangement was terminated in April 2021, with $17,500 owed as of June 30, 2023, and September 30, 2022. On July 1, 2022, the Company entered into a Securities Purchase Agreement with Trillium Partners, LP (“Trillium”). Under the terms of the SPA, Trillium agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant to purchase 1,120,000 shares of common stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,846 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 11), the default interest rate still applies and now the note accrues interest of 22% and the payments are due upon the notes maturity. Total accrued interest at June 30, 2023 and September 30, 2022 was $33,832 and $10,923, respectively. On October 25, 2022, the Company repaid $50,000 of the July merchant financing arrangement. The payment was applied to the Trillium LP notes’ accrued interest and principal bringing its principal balance to $183,259, at June 30, 2023. On July 1, 2022, the Company entered into a Securities Purchase Agreement with JP Carey Limited Partners, LP (“JPC”). Under the terms of the SPA, JPC agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant to purchase 1,120,000 shares of common stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,845 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 11), the default interest rate still applies and now the note accrues interest of 22%, and the payments are due upon the notes maturity. Total accrued interest at June 30, 2023 and September 30, 2022 was $47,781 and $10,923, respectively. On April 28, 2023, Howco executed a sale of receivables agreement with Itria Ventures LLC (“Itria Ventures”), Itria funded $125,000, which included fees of $6,750 withheld for a net payment to Howco of $118,250. Itria will withdraw weekly repayments of $3,255.21 for 48 weeks. The total repayments is $156,250, including interest totaling $31,250. The Company recognized a total of $38,000 of debt discount related to this agreement to be amortized over the term of the receivable agreement. During the nine months ended June 30, 2023, the Company repaid $26,042. As of June 30, 2023, loan balance to Itria amounted to $99,117, net of unamortized debt discount of $31,091. | NOTE 11 – NOTES AND LOANS PAYABLE The notes balance consisted of the following at September 30, 2022 and 2021: September 30, September 30, Principal loans and notes $ 615,500 $ 519,054 Discounts (270,064 ) (45,816 ) Total 345,436 473,238 Less Current portion (217,897 ) (170,036 ) Non-current $ 127,539 $ 303,202 For the years ended September 30, 2022 and 2021, amortization of debt discount on the above notes amounted to $135,506 and $149,614, respectively. On June 1, 2018 the Company entered into a consulting and services arrangement with Livingston Asset Management. The arrangement provides for financial management services including accounting and related periodic reporting among other advisory services. The agreement was amended on July 1, 2019 regard payment terms. Under the amended agreement the Company will issue to Livingston Asset Management Fee Notes having principal of $17,000, interest of 10% per annum, maturity of six or seven months. The Company will also pay $3,000 in cash due on the first of each month. Following the assignments during fiscal year 2020, to Alpha Capital Anstalt and TBV LLC, the principal and accrued interest of the promissory notes described below, held by Livingston totaled, $85,000 and $6,760, respectively at September 30, 2020. During the year ended September 30, 2021, the conversion terms associated with the original October, November, December and January notes below were reinstated and the notes and accrued interest of $7,168, were converted into shares of common stock. The February note was forgiven by Livingston as of September 30, 2021. Following conversions, forgiveness and reclassification, the principal balance was $0, as of September 30, 2021. On October 1, 2019, the Company issued a promissory note to Livingston Asset Management LLC, for $17,000, under the terms of the agreement above. The note is now in default and there are no cross-default provisions in the note. The principal amount was charged to professional fees on the issuance date. The note bears interest at 10% and matures in year. At September 30, 2020, accrued interest was $1,637. Conversion terms of the original note were reinstated and the note and accrued interest of $1,924 were fully converted into common stock during the year ended September 30, 2021. $17,000 was charged to loss on debt extinguishment due to reinstatement of conversion feature treated as stock settled debt in accordance with ASC 480. On November 1, 2019, the Company issued a promissory note to Livingston Asset Management LLC, for $17,000, under the terms of the agreement above. The note is now in default and there are no cross-default provisions in the note. The principal amount was charged to professional fees on the issuance date. The note bears interest at 10% and matures in year. At September 30, 2020, accrued interest was $1,495. Conversion terms were reinstated and the note and accrued interest of $1,779 were fully converted into common stock during the year ended September 30, 2021. $17,000 was charged to loss on debt extinguishment due to reinstatement of conversion feature treated as stock settled debt in accordance with ASC 480. On December 1, 2019, the Company issued a promissory note to Livingston Asset Management LLC, for $17,000, under the terms of the agreement above. The note is now in default and there are no cross-default provisions in the note. The principal amount was charged to professional fees on the issuance date. The note bears interest at 10% and matures in six months. At September 30, 2020, accrued interest was $1,353. Conversion terms were reinstated and the note and accrued interest of $1,770 were fully converted into common stock during the year ended September 30, 2021. $17,000 was charged to loss on debt extinguishment due to reinstatement of conversion feature treated as stock settled debt in accordance with ASC 480. On January 1, 2020, the Company issued a promissory note to Livingston Asset Management LLC, for $17,000, under the terms of the agreement above. The note is now in default and there are no cross-default provisions in the note. The principal amount was charged to professional fees on the issuance date. The note bears interest at 10% and matures in six months. The note principal balance was $17,000 at September 30, 2020 and accrued interest was $1,209. During the year ended September 30, 2021, the principal and accrued interest were fully converted following an amendment to reinstate the original conversion terms. On February 1, 2020, the Company issued a promissory note to Livingston Asset Management LLC, for $17,000, under the terms of the agreement above. The note is now in default and there are no cross-default provisions in the note. The principal amount was charged to professional fees on the issuance date. The note bears interest at 10% and matures in year The note principal of $17,000 and accrued interest of $1,491 were forgiven at September 30, 2021 and a gain on debt extinguishment was recognized for $18,491. On April 7, 2020, the Company through Howco, entered into a bank loan which is guaranteed by the Small Business Administration under the Paycheck Protection Plan for $220,710. The loan has a maturity of 24 months and an interest rate of .98%, which starts accruing on April 7, 2020. The loan will be forgiven provided the terms of forgiveness upon submission of a valid application for loan forgiveness when approved by the agent bank. The terms call for Howco to use 75% of the funded amount for payroll costs. Howco has put in place controls designed to ensure compliance with the terms of forgiveness. On January 20, 2021 the Company was notified by its bank that the Small Business Administration authorized full forgiveness of its Paycheck Protection Program Loan in the amount of $220,710. The forgiveness of debt was recognized as a gain on debt extinguishment for the amount forgiven. On June 2, 2020, the Company entered into a financing arrangement through its subsidiary Howco with I Financial Business Loans, LLC. Howco received $150,000, net of discounts totaling $60,000, less legal and underwriting fees of $3,750 and prior loan payoff amount of $40,975. A total of $210,000 was to be paid by direct debit of Howco’s bank account of $854, for 245 daily installments payments. The Company will recognize a principal amount of $210,000 with debt discounts of $63,750, and liquidate the principal balance and related discounts from the 2019 financing. The Company’s CEO is a personal guarantor on financing facility. At September 30, 2020, the principal balance was $140,854, with unamortized debt discount of $28,944, having a net balance of $111,910. As of December 31, 2020, the principal balance was $87,927, with unamortized debt discount of $11,473, having a net balance of $76,454. The balance of $75,975 on January 26, 2021 was fully liquidated upon funding of the IOU note discussed below. On June 17, 2020, the Company through Howco, entered into a loan directly with the Small Business Administration for $150,000. The loan term is thirty years and begins amortization one year from the date of promissory note to be issued upon funding. Amortization payments are $731 per month and include interest and principal of 3.75% from the date of funding. The loan is secured by the assets of Howco. As of September 30, 2022 and September 30, 2021, the principal balance is $150,000. As of September 30, 2022, $22,461 is classified as current. On August 25, 2020, the Company entered into a financing arrangement through its subsidiary Howco with IOU Central Inc. Howco received $199,405 less fees of $595 and Original Issue Discount of $22,000 and deferred finance charges of $47,606, for a total of $70,201 to be amortized over the term of the note. A total of $269,606 was to be paid by direct debit of Howco’s bank account of $5,173, for 52 weekly payments and 1 payment of $620. The Company recognized a principal amount of $269,606 with debt discounts of $70,201. The Company’s CEO is a personal guarantor on financing facility. At September 30, 2020, the principal balance was $243,742, with unamortized debt discount of $58,110 having a net balance of $185,632. As of December 31, 2020 the principal balance was $176,495, with unamortized debt discount of $26,544 having a net balance of $149,951. The principal balance of $152,318 on January 26, 2021 was fully liquidated upon funding of the IOU note discussed below. On September 11, 2020, the Company issued a promissory note in the amount of $150,000 to Trillium Partners LP and received the full amount of the note in cash. The note includes cross-default provisions. The note matured on June 30, 2021 and bears interest of 2%. The principal balance was $150,000 at September 30, 2020. During the year ended September 30, 2021 the Company repaid $70,000 of note principal, and Trillium forgave $50,000 bringing the balance to $30,000 with accrued interest of $2,260. Default was given forbearance on the maturity date. On September 30, 2021, the Company repaid the principal balance and accrued interest. On January 26, 2021, the Company entered into a financing arrangement through its subsidiary Howco with IOU Central Inc. Howco received $121,707, net of discounts totaling $119,929 fees of $595 and prior loan payoff amounts of $75,975 (FORA) and $152,318 (IOU prior note). A total of $462,524 will be paid by direct debit of Howco’s bank account of $8,895, for 51 weekly payments and a final payment of $8,894. The Company recognized a principal amount of $462,524 with debt discounts of $119,929, and liquidated the principal balance and related discounts from the FORA and IOU prior notes. The Company’s CEO is a personal guarantor on financing facility. As of September 30, 2021, the principal balance is $140,449, with unamortized debt discount of $36,142, having a net balance of $104,307. As of September 30, 2022, the principal balance is $0, and the debt discount was fully amortized. On January 29, 2021, the Company issued a promissory note in the amount of $95,000 to Trillium Partners LP and received cash amounting to $93,692, and OID of $1,308. The note includes cross-default provisions. The note matured on July 31, 2021 and bears interest of 2%. The principal balance of $95,000 and accrued interest of $790 were forgiven during the year ended September 30, 2021. The Company recognized a gain on debt extinguishment equal to the principal and interest forgiven. On February 3, 2021, the Company issued a promissory note in the amount of $75,000 to Trillium Partners LP and received cash amounting to $73,085, and OID of $1,915. The note includes cross-default provisions. The note matured on July 31, 2021 and bears interest of 2%. The principal balance of $75,000 and accrued interest of $604 were forgiven during the year ended September 30, 2021. The Company recognized a gain on debt extinguishment equal to the principal and interest forgiven. On March 30, 2021, the Company entered into a financing arrangement through its subsidiary Howco with ODK Capital, LLC. Howco received $83,000 less fees of $2,075 and Original Issue Discount of $29,631 to be amortized over the term of the note. A total of $112,631 will be paid by direct debit of Howco’s bank account of $2,166, for 52 weekly payments. The Company recognized a principal amount of $112,631, $2,075 charged to expense and debt discounts of $29,631. The Company’s CEO is a personal guarantor of the financing facility. As of September 30, 2021 the principal balance is $56,315, with unamortized debt discount of $9,674 having a net balance of $46,641. As of September 30, 2022, the principal balance is $0, and the debt discount was fully amortized. In March 2021, the Company through Howco, entered into a bank loan which is guaranteed by the Small Business Administration under the Paycheck Protection Plan for $154,790. The loan has a maturity of sixty months and an interest rate of .98%. The loan will be forgiven provided the terms of forgiveness upon submission of a valid application for loan forgiveness when approved by the agent bank. The terms call for Howco to use the funds for specified purposes. Howco has put in place controls designed to ensure compliance with the terms of forgiveness. The Company received an email notification from the SBA bank agent forgiving the full amount which, has been recognized as gain on debt extinguishment. During the year ended September 30, 2021, the Company issued seven notes payable totaling $17,500. The notes were issued for monthly fees ($2,500) for a service vendor and are issued the first day of the month and each has one year maturity and does not bear interest. The service arrangement was terminated in April 2021, with $17,500 owed as of September 30, 2021 and 2022. On July 1, 2022, the “Company entered into a Securities Purchase Agreement with Trillium Partners, LP (“Trillium”). Under the terms of the SPA, Trillium agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant for the purchase of 1,120,000 shares of Common Stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,846 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 12) the default interest rate still applies and now the note accrues interest of 22% and the payments are due upon the notes maturity. Total accrued interest at September 30, 2022 is $10,923. On July 1, 2022, the “Company entered into a Securities Purchase Agreement with JP Carey Limited Partners, LP (“JPC”). Under the terms of the SPA, JPC agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant for the purchase of 1,120,000 shares of Common Stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,845 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 12) the default interest rate still applies and now the note accrues interest of 22%, and the payments are due upon the notes maturity. Total accrued interest at September 30, 2022 is $10,923. |
Temporary Equity
Temporary Equity | 12 Months Ended |
Sep. 30, 2022 | |
Temporary Equity [Abstract] | |
TEMPORARY EQUITY | NOTE 12 - TEMPORARY EQUITY On July 1, 2022 the Company’s Board of Directors designated as Series B Preferred Stock and authorized 1,000,000 shares which will not be subject to increase without the consent of the holders (each a “Holder” and collectively, the “Holders”) of a majority of the outstanding shares of Series B Preferred Stock. The designations, powers, preferences, rights and restrictions granted or imposed upon the Series B Preferred Stock are as set forth in the Certificate of Designation as filed. Each share of Series B Preferred Stock shall have an initial stated value of $1.00 (the “Stated Value”). Ranking The Series B Preferred Stock will, with respect to dividend rights and rights upon liquidation, winding-up or dissolution, rank: (a) senior with respect to dividends and right of liquidation with the Company’s common stock and (b) junior with respect to dividends and right of liquidation to all existing and future indebtedness of the Company and existing and outstanding preferred stock of the Company. Series B Preferred Stock shall have no right to vote on any matters requiring shareholder approval or any matters on which the shareholders are permitted to vote, with the exception to matters that would change the number or features of the Series B Preferred Stock. Each share of Series B Preferred Stock will carry an annual dividend in the amount of twelve percent (12%) of the Stated Value (the “Divided Rate”), which shall be cumulative, payable solely upon redemption, liquidation or conversion. Upon the occurrence of an Event of Default, the Dividend Rate shall automatically increase to twenty two percent (22%). Upon any liquidation, dissolution or winding up of the Company, whether voluntary or involuntary, or upon any Deemed Liquidation Event, after payment or provision for payment of debts and other liabilities of the Company, and after payment or provision for any liquidation preference payable to the holders of any Preferred Stock ranking senior upon liquidation to the Series B Preferred Stock, if any, but prior to any distribution or payment made to the holders of Common Stock or the holders of any Preferred Stock ranking junior upon liquidation to the Series B Preferred Stock by reason of their ownership thereof, the Holders will be entitled to be paid out of the assets of the Company available for distribution to its stockholders an amount with respect to each share of Series B Preferred Stock equal to (i) the Stated Value plus (ii) any accrued but unpaid dividends, the Default Adjustment, if applicable, Failure to Deliver Fees, if any, (the amounts in this clause (ii) collectively, the “Adjustment Amount”). Conversion Right. At any time following the date which is one hundred eighty (180) days after the Issuance Date, the Holder shall have the right at any time, to convert all or any part of the outstanding Series B Preferred Stock into fully paid and non-assessable shares of Common Stock. The Holders of the Series B Preferred Stock are limited to holding no more than 9.99% of the Common Stock. Conversion Price. The conversion price (the “Conversion Price”) shall equal the Fixed Conversion Price (subject to equitable adjustments by the Company relating to the Company’s securities or the securities of any subsidiary of the Company, combinations, recapitalization, reclassifications, extraordinary distributions and similar events). The “Fixed Conversion Price” shall mean $0.20. Notwithstanding anything contained herein to the contrary in the Event of Default, the Conversion Price shall be the lower of the Fixed Conversion Price and the Variable Conversion Price. The “Variable Conversion Price” shall mean 50% multiplied by the Market Price (as defined herein) (representing a discount rate of 50%). “Market Price” means the lowest bid price for the Common Stock during the twenty (20) Trading Day period ending on the latest complete Trading Day prior to the Conversion Date. The Company will reserve from its authorized and unissued Common Stock a sufficient number of shares, free from preemptive rights, to provide for the issuance of Common Stock upon the full conversion of this Series B Preferred Stock issued. The Company is required at all times to have authorized and reserved four times the number of shares that would be issuable upon full conversion of the Series B Preferred, at any time the Company does not maintain the required Reserved Amount, the Company shall be put on notice by the Holder, and shall have five (5) days to cure its deficiency, after which time, such failure will be deemed an Event of Default hereunder. During July 2022, the Company issued 448,000 shares of the Series B Preferred Stock in conjunction with a debt financing with two investors (See Note 11). The Company determined that under ASC 480, the Series B Preferred Stock should be treated as Temporary Equity and that it needed to apply the SAB topic 3c (SEC guidance) as well. Upon issuance of the shares the Company allocated a relative value of $101,368 to the Stock. Upon issuance the Company recorded an aggregate value of $461,440, with $360,072 charged to additional paid in capital including the dividends due of $13,440 at September 30, 2022. The Company breached its covenants in the Convertible Series B Preferred Stock in July 2022. The breached covenant defines as an event of default relates to any breach of a material covenant or material terms of conditions contained in the Certificate of Designations or in any purchase agreement, subscription agreement or other agreement with any Holder (of the Convertible Series B Preferred Stock). As a result of this event of default the Stated Value of the preferred stock increased to $1.50 per share and the conversion price became the “the lower of the Fixed Conversion Price ($0.20) or 50% of the lowest closing bid price of the Company’s stock in the twenty days prior to a conversion”. The Preferred Stock’s redemption value was increased by another $224,000 as a result of the default and dividends will accrue at 22%. At September 30, 2022 the outstanding Convertible Series B Preferred Stock would convert into 4,480,000 common shares. |
Stockholders' Deficit
Stockholders' Deficit | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Stockholders' Deficit [Abstract] | ||
STOCKHOLDERS’ DEFICIT | NOTE 12 - STOCKHOLDERS’ DEFICIT Preferred Stock As of June 30, 2023, the Company is authorized to issue 5,000,000 shares of $0.0001 par value preferred stock, with designations, voting, and other rights and preferences to be determined by the Board of Directors of which 2,999,750 remain available for designation and issuance. As of June 30, 2023 and September 30, 2022, the Company has designated 250 shares of $0.0001 par value Series A preferred stock, of which 250 shares are issued and outstanding. These preferred shares have voting rights per shareholder equal to the total number of issued and outstanding shares of common stock divided by 0.99. See Note 11, regarding the issuance of Series B and Series C Preferred Stock and the related designations. Common Stock As of June 30, 2023 and September 30, 2022, there were 6,994,378 and 4,407,321, shares outstanding, respectively. Reverse Stock Split On July 11, 2023, the Company filed a certificate of amendment to its certificate of incorporation, as amended, to effect a one-for-one thousand (1:1,000) Reverse Stock Split, effective as of July 17, 2023. Proportional adjustments for the Reverse Stock Split were made to the Company’s outstanding stock options, warrants and equity incentive plans. All share and per-share data and amounts have been retroactively adjusted as of the earliest period presented in the consolidated financial statements to reflect the Reverse Stock Split. Stock Incentive Plan The Company established its 2016 Stock Incentive Plan (the “Plan”) that permits the granting of incentive stock options and other common stock awards. The maximum number of shares available under the Plan is 100 shares. The Plan is open to all employees, officers, directors, and non-employees of the Company. Options granted under the Plan will terminate and may no longer be exercised (i) immediately upon termination of an employee or consultant for cause or (ii) one year after termination of employment, but not later than the remaining term of the option. As of June 30, 2023, 84 awards remain available for grant under the Plan. S-1 Offerings On September 16, 2022, the Company filed a registration statement on Form S-1. The registration statement became effective on September 29, 2022. The offering provided for the issuance of up to 5,000,000 shares of common stock at a price of $0.20, under subscriptions. The Company used the proceeds for working capital. During the nine months ending June 30, 2023, the Company issued 496,667 shares of common stock under the September 16, 2022 S-1 offering and received $99,333. Shares Issued for Conversion of Convertible Notes In total 2,090,007 shares of common stock were issued upon conversion of convertible notes and accrued interest during the nine months ended June 30, 2023 as follows: On October 3, 2022, the Company issued 191,827 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated March 1, 2022, all principal of $15,000 and accrued interest of $888 were converted. On November 17, 2022, the Company issued 384,804 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated April 1, 2022, all principal of $15,000 and accrued interest of $945 were converted. On December 1, 2022, the Company issued 383,489 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated May 1, 2022, all principal of $15,000 and accrued interest of $879 were converted. On January 11, 2023, the Company issued 384,311 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated June 1, 2022, all principal of $15,000 and accrued interest of $921 were converted. On February 1, 2023, the Company issued 372,911 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated July 1, 2022, all principal of $15,000 and accrued interest of $884 were converted. On March 1, 2023, the Company issued 372,665 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated August 1, 2022, all principal of $15,000 and accrued interest of $871 were converted. $90,000 of put premiums (related to the Stock Settled Debt treatment of the conversions listed above) was reclassified to additional paid in during the nine months ended June 30, 2023. Stock Options The Company recognizes compensation cost for unvested stock-based incentive awards on a straight-line basis over the requisite service period. There were no options granted under the 2016 Stock Incentive Plan for the nine months ended June 30, 2023 and 2022. For the nine months ended June 30, 2023 and 2022, the Company recorded $0 and $69,108 of compensation and consulting expense related to stock options, respectively. Total unrecognized compensation was $0, at June 30, 2023 and September 30, 2022. For the nine months ended June 30, 2023, a summary of the Company’s stock options activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding at September 30, 2022 16 $ 220,000 1.97 $ - $ - Outstanding and Exercisable at June 30, 2023 16 $ 220,000 1.22 $ - $ - All options were issued at an options price equal to the market price of the shares on the date of the grant. Warrants For the nine months ended June 30, 2023, a summary of the Company’s warrant activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding and exercisable at September 30, 2022 2,240,000 $ 0.20 6.75 $ 0.20 $ 448,000 Outstanding and exercisable at June 30, 2023 2,240,000 $ 0.20 6.00 $ 0.20 $ - There were no new warrants issued during the nine months ended June 30, 2023. | NOTE 13 - STOCKHOLDERS’ DEFICIT Preferred Stock As of September 30, 2022, the Company is authorized to issue 5,000,000 shares of $0.0001 par value preferred stock, with designations, voting, and other rights and preferences to be determined by the Board of Directors of which 3,999,750 remain available for designation and issuance. As of September 30, 2022 and September 30, 2021, the Company has designated 250 shares of $0.0001 par value Series A preferred stock, of which 250 shares are issued and outstanding. These preferred shares have voting rights per shareholder equal to the total number of issued and outstanding shares of common stock divided by 0.99. See also Note 12, regarding the issuance of Series B Preferred Stock and the related designation. Common Stock On February 14, 2022 the Company’s shareholders approved an increase in authorized common stock to 12,000,000,000 from 6,000,000,000, which became effective the same day. On August 6, 2019, the Company filed amendments with the Secretary of the State of Delaware, amending its articles of incorporation to execute a reverse stock split of 1 share for every 1,000 shares outstanding, and changing its name to Bantec, Inc. The name change and the stock split became effective in February 2020, and the transfer agent adjusted the outstanding shares for the reverse split on February 10, 2020. All share and per share related amounts in the accompanying consolidated financial statements and footnotes have been retroactively adjusted for all periods presented to recognize the reverse split. As of September 30, 2022 and September 30, 2021 there were 4,407,321 and 2,470,511 shares outstanding, respectively. Stock Incentive Plan The Company established its 2016 Stock Incentive Plan (the “Plan”) that permits the granting of incentive stock options and other common stock awards. The maximum number of shares available under the Plan is 100 shares. The Plan is open to all employees, officers, directors, and non-employees of the Company. Options granted under the Plan will terminate and may no longer be exercised (i) immediately upon termination of an employee or consultant for cause or (ii) one year after termination of employment, but not later than the remaining term of the option. As of September 30, 2022, 84 awards remain available for grant under the Plan. S-1 Offerings On July 20, 2020, the Company submitted an amendment to its registration statement filed on Form S-1 in response to comments on its original filing on June 8, 2020. The Company requested accelerated status and the registration statement became effective on July 23, 2020. The offering provided for the issuance of up to 1,500,000 shares of common stock at a price of $ 1.75, under subscriptions. The Company used the proceeds for working capital. On March 5, 2021, the Company submitted a second registration statement filed on Form S-1. The Company requested accelerated status and the registration statement became effective on March 16, 2021. The offering provides for the issuance of up to 1,250,000 shares of common stock at a price of $17.50, under subscriptions. The Company will use the proceeds for working capital and may seek to expand the business through investment. On June 8, 2021, the offering was withdrawn. On June 9, 2021, the Company submitted a third registration statement filed on Form S-1. The Company requested accelerated status and the registration statement became effective on June 22, 2021. The offering provides for the issuance of up to 1,500,000 shares of common stock at a price of $2.50, under subscriptions. The Company will use the proceeds for working capital and may seek to expand the business through investment. On January 20, 2022, the Company filed a Post-Effective Amendment to its Form S-1 filed on June 9, 2021, deregistering all unissued shares of common stock from that offering. On January 21, 2022, the Company submitted a registration statement filed on Form S-1. The Company requested accelerated status and the registration statement became effective on January 24, 2022. The offering provides for the issuance of up to 1,800,000 shares of common stock at a price of $0.60, under subscriptions. The Company will use the proceeds for working capital and may seek to expand the business through investment. On February 1, 2022 the Form S-1 offering was made effective. On September 16, 2022, the Company submitted a registration statement filed on Form S-1. The Company requested accelerated status and the registration statement became effective on September 29, 2022. The offering provides for the issuance of up to 5,000,000 shares of common stock at a price of $0.20, under subscriptions. The Company will use the proceeds for working capital and may seek to expand the business through investment. Subscription Under S-1 2020 Offering Between October 7, 2020 and February 3, 2021, the Company issued 617,162 shares of common stock to Trillium Partners LP for $1,080,032 of cash under the terms of the S-1A offering statement. Subscriptions Under March 16, 2021 S-1 Offering On June 30, 2021, the Company issued 4,286 shares of common stock to Trillium Partners LP for $75,000 of cash under the terms of the March 16, 2021 S-1 offering statement. Subscriptions Under June 9, 2021 S-1 Offering During the year ended September 30, 2021 a total of 771,559 shares of common stock were issued under the June 9, 2021 offering for $1,928,898 in cash as detailed below. Between June 22, and July 8, 2021 Oscaleta Partners LLC was issued 24,000 common shares of stock for $60,000 of cash under the terms of the June 9, 2021 S-1 offering statement. Between June 28, and September 30, 2021 Trillium Partners LP was issued 577,559 common shares of stock for $1,443,898 of cash under the terms of the June 9, 2021 S-1 offering statement. Between July 6, and August 17, 2021 JP Carey was issued 120,000 common shares of stock for $300,000 of cash under the terms of the June 9, 2021 S-1 offering statement. On September 7, 2021, the Company issued 50,000 shares of common stock to Anvil Financial Management for $125,000 of cash under the terms of the June 9, 2021 S-1 offering statement. Since September 30, 2021, the Company issued 100,000 shares of common stock under the June 9, 2021 S-1 offering and received $250,000. Subscriptions Under January 21, 2022 Post-Effective Amendment to the S-1 Offering Since February 2, 2022, Trillium Partners LP subscribed to 749,313 shares of common stock under the new S-1 for cash payments of $449,589. Common Stock Issued for Employee Compensation On October 22, 2020, the Company granted 1,000 shares of common stock to an employee, which were valued at $3.40, based on the stock price on the date of the grant. The cost of $3,400 was charged to compensation expense. On October 22, 2020, the Company granted 5,000 shares of common stock to an employee, which were valued at $3.40, based on the stock price on the date of the grant. The cost of $17,000 was charged to compensation expense. On April 13, 2021, the Company issued 5,000 shares of common stock to its then COO, which were valued at $ 11.40, based on the stock price on the date of the grant. The cost of $57,000 was charged to accrued salary. Shares Issued for non-employee Services On October 22, 2020, the Company issued 10,000 shares of common stock to a consultant for services rendered, which were valued at $ 3.40, based on the stock price on the date of the grant. The cost of $34,000 was charged to consulting expense. On April 13, 2021, the Company issued 10,000 shares of common stock to a consultant for services, which were valued at $11.40, based on the stock price on the date of the grant. The cost of $114,000 was charged to consulting expense. Shares Issued in Potential Settlement of Legal Matter On September 30, 2021, the Company issued 36,821 common shares to a former officer in potential settlement of a claim for compensation due plus accrued interest. The shares were valued $119,670, with $92,723 related to salary due and $26,947 was charged to interest expense. At September 30, 2021 $119,670 was recognized as a deferred charge presented as other assets on the balance sheet. During the year ended September 30, 2022, the shares were cancelled. All shares issued to employees and non-employees are valued at the quoted trading prices on the respective grant dates. Shares Issued for Conversion of Convertible Notes In total 518,650, shares of common stock were issued upon conversion of convertible notes and accrued interest during the year ended September 30, 2021 as follows: Alpha Capital Anstalt was issued a total of 88,303, shares of common stock in conversion of assigned notes. The principal and interest converted was $111,050 and the assigned notes were fully converted; Geneva Roth Remark Holdings, Inc. was issued a total of 233,396, shares of common stock in conversion of nine notes. The principal and accrued interest converted amounted to $553,875; Livingston Asset Management was issued a total of 72,642, shares of common stock in conversion of four notes. The principal, accrued interest and conversion fees totaled $68,000, $7,168 and $4,100 respectively; Tri-Bridge Ventures LLC was issued a total of 29,008 shares of common stock in conversion of a note. The principal and accrued interest converted was $35,000 and $1,550 respectively; and Trillium Partners LP was issued a total of 95,301 shares of common stock in conversion of assigned notes. The principal/accrued interest and conversion fees totaled $90,000, and $16,201, respectively. Approximately $630,000 of put premiums (related to the Stock Settled Debt treatment of the conversions listed above) was reclassified to additional paid in capital in fiscal 2021. In total 1,124,319 shares of common stock were issued upon conversion of convertible notes and accrued interest during the year ended September 30, 2022 as follows: On November 4, 2021, Geneva Roth Remark Holdings Inc. converted principal of $58,500 and accrued interest of $2,925 from its convertible note dated May 3, 2021 into 40,950 shares of common stock at contracted prices. Following the conversions, the balance of principal and accrued interest was $0. On December 17, 2021, Geneva Roth Remark Holdings Inc. converted principal of $58,500 and accrued interest of $2,925 from its convertible note dated June 14, 2021 into 81,900 shares of common stock at contracted prices. Following the conversions, the balance of principal and accrued interest was $0. On January 21, 2022, Geneva Roth Remark Holdings Inc. converted principal of $53,750 and accrued interest of $2,688 from its convertible note dated July 19, 2021 into 78,385 shares of common stock at contracted prices. Following the conversions, the balance of principal and accrued interest was $0. On March 22 and 25, 2022, Geneva Roth Remark Holdings Inc. converted principal of $50,000 and accrued interest of $2,500 from its convertible note dated September 17, 2021 into 159,091 shares of common stock at contracted prices. Following the conversions, the balance of principal and accrued interest was $0. On May 18, and 25, 2022 1800 Diagonal Lending LLC (f/k/a Sixth Street Lending LLC, fully converted principal and accrued interest of $55,000 and $2,750 from the convertible note dated November 12, 2021 into 197,640 shares of common stock. On June 6, 2022, Frondeur Partners LLC fully converted principal and accrued interest of $15,000 and $747 from the convertible note dated December 1, 2021 into 95,215 shares of common stock. On July 12 2022, Frondeur Partners LLC fully converted principal and accrued interest of $15,000 and $744 from the convertible note dated January 1, 2022 into 126,926 shares of common stock. On July 14, and 18, 2022 1800 Diagonal Lending LLC (f/k/a Sixth Street Lending LLC, fully converted principal and accrued interest of $53,750 and $2,688 from the convertible note dated November 12, 2021 into 217,067 shares of common stock. On September 23 2022, Frondeur Partners LLC fully converted principal and accrued interest of $15,000 and $777 from the convertible note dated February 1, 2022 into 127,145 shares of common stock. Approximately $222,000 of put premiums (related to the Stock Settled Debt treatment of the conversions listed above) was reclassified to additional paid in capital in fiscal 2022. Stock Options The Company recognizes compensation cost for unvested stock-based incentive awards on a straight-line basis over the requisite service period. There were no options granted under the 2016 Stock Incentive Plan for the years ended September 30, 2022 and 2021. For the year ended September 30, 2022 and 2021, the Company recorded $69,108 and $82,308 of compensation and consulting expense related to stock options, respectively. Total unrecognized compensation and consulting expense related to unvested stock options at September 30, 2022 amounted to $0. For the years ended September 30, 2022 and 2021, a summary of the Company’s stock options activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding at September 30, 2020 18 220,000.00 5.29 - - Forfeited (1 ) Outstanding at September 30, 2021 17 230,000.00 3.71 - - Forfeited (1 ) - - - Outstanding and Exercisable at September 30, 2022 16 220,000.00 1.97 - - All options were issued at an options price equal to the market price of the shares on the date of the grant. Warrants On September 9, 2016, 1 5-year warrant exercisable at $10,000 per share were issued as part of the consideration for the Howco acquisition. These warrants were valued at aggregate of $180,000, and have no intrinsic value. The warrants expired unexercised on September 9, 2021. On November 9, 2017, the Company received a first tranche payment of $75,500 under the terms of a Securities Purchase Agreement dated October 25, 2017, with Crown Bridge under which the Company issued to Crown Bridge a convertible note in the principal amount of $105,000 and a five-year warrant to purchase 0.10 share of the Company’s common stock at an exercise price of $350,000 as a commitment fee which is equal to the product of one-third of the face value of each tranche divided by $0.35. On December 20, 2017 an additional 0.20 warrant were issued as a penalty and in order to entice Crown Bridge to waive its right of first refusal to provide additional financing under the terms of their convertible note. A debt discount of $44,036 was recorded for the relative fair market value of the total 0.30 warrants and amortized to interest expense as of September 30, 2018. The warrants have full ratchet price protection and cashless exercise rights (See Note 10). The warrant includes an anti-dilution clause that was triggered on June 4, 2018. On June 4, 2018 an unrelated convertible note holder became entitled to convert their note into common shares at a 60% discount to the stock’s market price. The anti-dilution provision trigger in the warrant agreement entitled Crown Bridge to exercise its warrants under a formula that increased the number of common shares to 31 at a price of $3,600 per share. Due to the fact that the number of shares and exercise price can change due to market changes in the price of the common stock the Company has concluded to treat the warrants as derivatives and to revalue that derivative at each reporting date. Therefore, a derivative liability of $261,484 with a charge to additional paid in capital was recorded on June 4, 2018. As of September 30, 2021, the warrant was revalued and the warrant holder is entitled to exercise its warrants for 42,778 common shares and the related derivative liability is $125,693. The holder of the warrants have agreed to surrender the warrants following an agreement with the SEC on a matter not related to the Company, therefore the derivative liability was reclassified to a gain on debt extinguishment. On July 1, 2022, the “Company entered into separate Securities Purchase Agreements with Trillium Partners, LP (“Trillium”) and with JP Carey Limited Partners, LP (“JPC”). Under the terms of each SPA, Trillium and JPC each agreed to advance funds under a merchant financing arrangement, treated as loans. Warrants for the purchase of 1,120,000 shares of Common Stock were issued as consideration for the advance agreement. In total 2,240,000 warrants were issued and a relative value for the bundled transaction of $200,387, was charged to debt discount (amortized to interest expense over the term of the related loans), additional paid in capital was credited for the same amount. The Warrants are exercisable at $0.20 for a term of 7 years, permit the Holder thereof to elect a cashless exercise, are subject to adjustment according to certain anti-dilution provisions, and carry no voting rights. For the years ended September 30, 2022 and 2021, a summary of the Company’s warrant activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding and exercisable at September 30, 2020 25,484 $ 1.90 2.11 $ - $ 71,866 Anti-dilution adjustment 17,293 - - - - Outstanding and exercisable at September 30, 2021 42,777 $ 1.12 1.11 - $ 93,255 Anti-dilution adjustment 356,479 - - - - Surrender of warrants (399,256 ) - - - - Issuance of warrants 2,240,000 $ 0.20 6.75 $ 0.20 $ 448,000 Outstanding and exercisable at September 30, 2022 2,240,000 $ 0.20 6.5 $ 0.20 $ 224,000 |
Defined Contribution Plans
Defined Contribution Plans | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Defined Contribution Plans [Abstract] | ||
DEFINED CONTRIBUTION PLANS | NOTE 13 - DEFINED CONTRIBUTION PLANS The Company’s subsidiary, Howco, is the sponsor of a qualified 401(k) plan with a safe harbor provision. All employees are eligible to enter the plan within one year of the commencement of employment. Employer contributions charged to expense for the nine months ended June 30, 2023 and 2022 were $3,126 and $4,502, respectively. | NOTE 14 - DEFINED CONTRIBUTION PLANS In August 2016, Bantec established a qualified 401(k) plan with a discretionary employer matching provision. All employees who are at least twenty-one years of age and no minimum service requirement are eligible to participate in the plan. The plan allows participants to defer up to 90% of their annual compensation, up to statutory limits. Employer contributions charged to operations for the years ended September 30, 2022 and 2021, was $0 and $0, respectively. The Company’s subsidiary, Howco, is the sponsor of a qualified 401(k) plan with a safe harbor provision. All employees are eligible to enter the plan within one year of the commencement of employment. Employer contributions charged to expense for the years ended September 30, 2022 and 2021, was $5,541 and $9,704, respectively. |
Related Party Transactions
Related Party Transactions | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Related Party Transactions [Abstract] | ||
RELATED PARTY TRANSACTIONS | NOTE 14 - RELATED PARTY TRANSACTIONS On October 1, 2016, the Company entered into employment agreements with the Company’s President and CEO which provides for annual base compensation of $370,000 for a period of three years, which can, at the Company’s election, be paid in cash or Common Stock or deferred if insufficient cash is available, and provides for other benefits, including a discretionary bonus and equity provision for the equivalent of 12 months’ base salary, and an additional one-time severance payment of $2,500,000 upon termination under certain circumstances, as defined in the agreement. On September 16, 2019, this employment agreement was modified for a period of five years to provide an annual salary of $624,000 along with the aforementioned benefits including education reimbursement. The Company recognized expenses of $468,000 for the nine months ended June 30, 2023 and 2022 for the CEO’s base compensation. The Company had certain promissory notes payable to related parties (see Note 8). | NOTE 15 - RELATED PARTY TRANSACTIONS On October 1, 2016, the Company entered into employment agreements with two of its officers. The employment agreement with the Company’s President and CEO provides for annual base compensation of $370,000 for a period of three years, which can, at the Company’s election, be paid in cash or Common Stock or deferred if insufficient cash is available, and provides for other benefits, including a discretionary bonus and equity provision for the equivalent of 12 months’ base salary, and an additional one-time severance payment of $2,500,000 upon termination under certain circumstances, as defined in the agreement. On September 16, 2019, this employment agreement was modified to provide an annual salary of $624,000. The Company recognized expenses of $624,000 for the years ended September 30, 2022 and 2021 for the CEO’s base compensation. On March 28, 2017, Bantec entered into an at-will employment agreement with Matthew Wiles as General Manager of Howco. Under the terms of the employment agreement, Mr. Wiles’ compensation is $140,000 per annum and he also will be eligible for a bonus of 10% of Howco’s gross profits over $1.25 million to be paid in cash after the annual financial statements have been completed and, if applicable, audited for filing with the SEC. Mr. Wiles will also receive options to acquire 0.25 shares of Bantec’s common stock, vesting over five years in equal amounts on the anniversary date of his Employment Agreement. On September 16, 2019, Mr. Wiles’ employment agreement was modified to provide salary of $275,000, and an annual bonus of 2% of net income. At the Company’s discretion, salary and bonus may be paid in cash or stock and payment may be deferred. The difference between the amended agreement and salary paid by Howco is recorded in the accounts of the parent company. $90,866 was recognized as expense in the parent company’s accounts for the year ended September 30, 2021. Mr. Wiles resigned with effective date of June 2, 2021. Under the terms of the employment agreement there is no continuing obligation from either party. Shares of Common Stock Issued to Former COO On April 13, 2021, the Company issued 5,000 shares of common stock to its then COO, which were valued at $11.40, based on the stock price on the date of the grant. The cost of $57,000 was charged to accrued salary. The Company has certain other promissory notes payable to related parties (see Note 9). |
Income Taxes
Income Taxes | 12 Months Ended |
Sep. 30, 2022 | |
Income Taxes [Abstract] | |
INCOME TAXES | NOTE 16 - INCOME TAXES The Company recognizes deferred tax assets and liabilities for the tax effects of differences between the financial statement and tax basis of assets and liabilities. A valuation allowance is established to reduce the deferred tax assets if it is more likely than not that a deferred tax asset will not be realized. As of September 30, 2022, the Company has net operating loss carryforwards of approximately $17,382,000 to reduce future taxable income. Of the $17,382,000, approximately $14,604,000 can be used through 2039, and $2,778,000 may be carried forward indefinitely. A valuation allowance for the entire amount of deferred tax assets has been established as of September 30, 2022 and 2021. The provision for (benefit from) income taxes consists of the following: Year Ended Year Ended Current Federal $ - $ - State - - - - Deferred Federal - - State - - - - Total income tax provision (benefit) $ - $ - A reconciliation of the provision for income taxes at the federal statutory rates of 21% to the Company’s provision for income tax is as follows: Year Ended Year Ended U.S. Federal (tax benefit) provision at statutory rate $ (561,403 ) $ (395,235 ) State (tax benefit) income taxes, net of federal benefit (225,898 ) (159,035 ) Permanent differences (40,511 ) (1,040,685 ) True up 78,612 638,984 Changes in valuation allowance 749,200 955,971 Total $ - $ - Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The following table presents the significant components of the Company’s deferred tax assets and liabilities for the periods presented: September 30, September 30, Deferred Tax Assets Stock-based compensation $ 873,096 $ 872,055 Accrued salary – unpaid 827,377 826,390 Net operating losses 5,147,202 4,400,030 Total deferred tax assets 6,847,675 6,098,475 Valuation allowance (6,847,675 ) (6,098,475 ) Net deferred tax assets - - Deferred Tax Liabilities Identifiable intangibles - Howco Purchase - - Total deferred tax liabilities - - Net deferred tax $ - $ - The Company determines its valuation allowance on deferred tax assets by considering both positive and negative evidence in order to ascertain whether it is more likely than not that deferred tax assets will be realized. Realization of deferred tax assets is dependent upon the generation of future taxable income, if any, the timing and amount of which are uncertain. Due to the history of losses the Company has generated in the past, the Company believes that it is not more likely than not that all of the deferred tax assets in the U.S. can be realized as of September 30, 2022 and 2021, accordingly, the Company has recorded a full valuation allowance on its U.S. deferred tax assets. The Company files income tax returns in the United States on federal basis and various states. The Company is not currently under any international or any United States federal, state and local income tax examinations for any taxable years. All of the Company’s net operating losses are subject to tax authority adjustment upon examination. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Commitments and Contingencies [Abstract] | ||
COMMITMENTS AND CONTINGENCIES | NOTE 15 - COMMITMENTS AND CONTINGENCIES Contingencies Legal Matters On February 6, 2018, the Company sent a letter to the previous owners of Howco Distributing Co. (“Howco”) alleging that they made certain financial misrepresentations under the terms of the Stock Purchase Agreement by which the Company acquired control of Howco during 2016. The Company claimed that the previous owners took excessive amounts of cash from the business prior to the close of the merger. On March 13, 2018, the Company filed a lawsuit against the previous owners by issuing a summons. On April 12, 2018, the Company received the Defendants’ answer. On July 22, 2019, the Company sought and was granted a dismissal without prejudice of the lawsuit filed against the previous owners of Howco. A company representative and the previous owners have been in contact. An informal oral agreement with the Seller was made whereby the Company had been paying the previous owners $3,000 per month. The Company is no longer paying the previous owner $3,000 a month. A company representative informed the previous owner that the Company will resume the $3,000 payment as soon as it is able to do so (see Note 7). In connection with the merger in fiscal 2016, with Texas Wyoming Drilling, Inc., a vendor has a claim for unpaid bills of approximately $75,000 against the Company. The Company and its legal counsel believe the Company is not liable for the claim pursuant to its indemnification clause in the merger agreement. In the suit Drone USA, Inc and Michael Bannon (plaintiffs) vs the former Chief Financial Officer or CFO, currently pending in New York State court, the plaintiffs sought to compel the former CFO to meet his obligations under an agreement guaranteeing payments to another former executive. The former CFO filed a cross-claim against the plaintiffs for past due salary. The employment agreement with the former CFO allowed salary payments to be paid in cash or stock. During the year ended September 30, 2021, the Company issued 36,821 shares of its common stock for the past due salary and claims that this payment moots the former CFO’s claim for past due salary. During the year ended September 30, 2022, the Company began the process to cancel the shares issued and reclassified the amount to equity and a previously recorded liability for $119,670 remains which is included in the settlement payable balance at June 30, 2023. The former CFO filed a motion for summary judgement which was denied, then filed an appeal to that order. The appellate court reversed the lower court’s decision. The Company settled the lawsuit for $90,000. Three equal payments of $30,000 were required to be made. As of the date of filing this Form 10-Q, all payments have been made and the matter has been concluded (see Note 6). On April 10, 2019, a former service provider filed a complaint with three charges with the Superior Court Judicial District of New Haven, CT seeking payment for professional services. The Company has previously recognized expenses of $218,637, which remain unpaid in accounts payable. On May 2, 2023, the Company reached a settlement agreement with a former vendor which had a pending legal action against the Company concerning services rendered having outstanding amounts owed of $219,613. The Company agreed to pay a total of $110,000 in total, consisting of a cash payment of $25,000 and a note payable of $85,000 (having a 3% annual interest). The Company will pay $2,472 for 36 months . During the year ended September 30, 2019, two vendors (The Equity Group and Toppan Vintage) have asserted claims for past due amounts of approximately $59,000, arising from services provided. The Company has fully recognized in accounts payable the amounts associated with these claims. On December 30, 2020, a Howco vendor filed a lawsuit seeking payment of past due invoices totaling $276,430 and finance charges of $40,212. The Company has recorded the liability for the invoices in the normal course of business. Management at Howco as well as an intermediary consultant structured a repayment plan with this vender and other venders as well. Settlements On January 29, 2018, the Company entered into a settlement agreement and mutual release with a vendor who had provided public relations and other consulting services whereby the Company shall pay to this vendor an aggregate amount of $60,000 of which $30,000 was paid on February 2, 2018. The Company was to have paid ten monthly payments of $3,000 per month beginning on February 29, 2018. The vendor is to return 1 common share of the Company’s common stock which will be cancelled upon satisfaction of the liability. The liability is recorded at $21,000 as of June 30, 2023, and September 30, 2022. On November 13, 2018, the Company and a vendor agreed to settle $161,700 in past due professional fees for a convertible note in the amount of $90,000. The note bears interest at 5% and matures in July 2019, and has a fixed discount conversion feature. The note is now past due and remains unconverted at June 30, 2023 and September 30, 2022; however there is no default interest or penalty associated with the default. The difference between the settlement amount and the recorded amount in accounts payable of $71,700 was recognized as a gain on debt extinguishment upon receipt of the waiver and release from the vendor in 2018. On June 23, 2023, Howco entered into a settlement agreement with Crane Machinery Inc. (CMI). Howco agreed to pay $16,500 with an initial settlement of $2,000, to be followed by five monthly installments of $2,900, until paid in full. As of June 30, 2023, the Company has received demand for payment of past due amounts for services by several consultants and service providers. Commitments Lease Obligations The Company entered into an agreement with a manufacturer in Pismo Beach, California. The agreement provides for certain services to be provided by the manufacturer as needed by the Company. The agreement has an initial term of three years with one year renewals. In connection with this agreement, the Company has agreed to sublease space based in San Luis Obispo, California from the manufacturer for the purposes of the development and manufacturing of unmanned aerial vehicles. The lease provides for base monthly rent of approximately $15,000 for the initial term to be increased to $16,500 per month upon extension. The lease term begins February 1, 2017 and expires January 31, 2019 with the option to extend the term an additional 24 months. However, the Company never took possession of the premises and in July 2017, the Company made a decision to not take possession of the premises. The Company is in default of the rent payments and had received oral demand for payments. As of June 30, 2023 and September 30, 2022, the Company has not made any of the required monthly rent payments in connection with this agreement. During fiscal 2017, the Company had expensed and accrued into accounts payable the remaining amounts due under the term of the lease for a total accrual of $360,000 pursuant to ASC 420-10-30. This balance remains accrued as of June 30, 2023 and September 30, 2022. On April 16, 2020 the Company’s subsidiary Howco renewed its office and warehouse lease in Vancouver, WA for a term commencing on June 1, 2020 extending through June 1, 2023 at an initial monthly rent of approximately $5,154. The lease requires monthly payments including base rent plus CAM with annual increases. On April 16, 2023, Howco renewed its office and warehouse lease for an additional three years. The initial year (commencing on June 1, 2023) monthly lease payment is $4,542, in years two and three the monthly lease payments are $4,679 and $4,819 respectively. Monthly common charges at $1,481 for the first year, subject to change in years two and three. The Company recognized a right-of-use asset of and a lease liability of $140,561, which represents the fair value of the lease payments calculated as present value of the minimum lease payments using a discount rate of 12% on date of the lease renewal in accordance with ASC 842. The asset and liability will be amortized as monthly payments are made and lease expense will be recognized on a straight-line basis over the term of the lease. Right of use asset (ROU) is summarized below: June 30, September 30, Operating lease at inception $ 140,561 $ 156,554 Less accumulated reduction (- ) (122,986 ) Balance ROU asset $ 140,561 $ 33,568 Operating lease liability related to the ROU asset is summarized below: Operating lease liabilities at inception $ 140,561 $ 156,554 Reduction of lease liabilities (- ) (122,079 ) Total lease liabilities $ 140,561 $ 34,475 Less: current portion (40,311 ) - Lease liabilities, non-current $ 100,250 $ - Non-cancellable operating lease total future payments are summarized below: Total minimum operating lease payments $ 167,061 $ 42,929 Less discount to fair value (26,500 ) (8,454 ) Total lease liability $ 140,561 $ 34,475 Future minimum lease payments under non-cancellable operating leases at June 30, 2023 are as follows: Years ending September 30, Amount 2024 $ 31,277 2025 56,279 2026 53,005 Total minimum non-cancelable operating lease payments $ 140,561 The weighted average remaining lease term for the operating lease is 2.92 years as of June 30, 2023. In December 2019, the Company relocated its primary office to 195 Paterson Avenue, Little Falls, New Jersey, under a one-year lease with a renewal option having monthly payments of $500. Following subsequent renewals the current rent is $700, per month as of June 30, 2023. For the nine months ended June 30, 2023 and 2022, rent expense for all leases amounted to $57,356 and $53,855, respectively. Notice of Default On September 6, 2019, the Company received a notice of default under its senior secured credit facility with TCA, for non-payment of amounts due among other matters. Left uncured the default remedies include seizure of operating assets such as the Company’s subsidiary. Additionally, the default may trigger cross default provisions under the agreements with other creditors (see Note 9). Directors’ & Officers’ Insurance Policy Expiration On October 11, 2019, the Company’s insurance policy covering directors and officers expired and the carrier declined to renew the policy. The Company is working with its broker and other carriers to obtain coverage. This lapse of insurance coverage exposes the Company to the risk associated with its indemnification of its officers against legal actions by third parties as outlined in the officers’ employment agreements as amended on September 16, 2019. | NOTE 17 - COMMITMENTS AND CONTINGENCIES Contingencies Legal Matters On February 6, 2018 the Company sent a letter to the previous owners of Howco Distributing Co. (“Howco”) alleging that they made certain financial misrepresentations under the terms of the Stock Purchase Agreement by which the Company acquired control of Howco during 2016. The Company claimed that the previous owners took excessive amounts of cash from the business prior to the close of the merger. On March 13, 2018 the Company filed a lawsuit against the previous owners by issuing a summons. On April 12, 2018, the Company received the Defendants’ answer. On July 22, 2019, the Company sought and was granted a dismissal without prejudice of the lawsuit filed against the previous owners of Howco. The Company and the previous owners are in discussion to settle the matter as of September 30, 2022. An informal oral agreement with the Seller has been made whereby the Company has been paying the previous owners $3,000 per month since January 2021 in satisfaction of Seller’s note payable. (see Note 8) In connection with the merger in fiscal 2016, with Texas Wyoming Drilling, Inc., a vendor has a claim for unpaid bills of approximately $75,000 against the Company. The Company and its legal counsel believe the Company is not liable for the claim pursuant to its indemnification clause in the merger agreement. In the suit Drone USA, Inc and Michael Bannon (plaintiffs) vs Dennis Antonelos (former Chief Financial Officer or CFO), currently pending in New York State court, the plaintiffs seek to compel the former CFO to meet his obligations under an agreement guaranteeing payments to another former executive. The former CFO filed a cross-claim against the plaintiffs for past due salary. The employment agreement with the former CFO allowed salary payments to be paid in cash or stock. During the year ended September 30, 2021, the Company issued 36,821 shares of its common stock for the past due salary and claims that this payment moots the former CFO’s claim for past due salary. During the year ended September 30, 2022 the Company cancelled the shares issued and reclassified the amount to equity and a previously recorded liability for $119,670 remains (see Note 7), which is included in the settlement reserves at September 30, 2022. The former CFO filed a motion for summary judgement which was denied, then filed an appeal to that order. The appellate court reversed the lower court’s decision. On April 10, 2019, a former service provider filed a complaint with three charges with the Superior Court Judicial District of New Haven, CT seeking payment for professional services. The Company has previously recognized expenses of $218,637, which remain unpaid in accounts payable. The Company has retained an attorney who is currently working to address the complaint. On August 9, 2019 the Company filed a motion to dismiss the charge of unjust enrichment. The judge granted the Company’s motion to dismiss. The Company, through its attorney, is working to negotiate a settlement. A trial is scheduled for March 2023. During the year ended September 30, 2019, two vendors (The Equity Group and Toppan Vintage) have asserted claims for past due amounts of approximately $59,000, arising from services provided. The Company has fully recognized in accounts payable the amounts associated with these claims and expects to resolve the matters to satisfaction of all parties. On December 30, 2020, a Howco vendor filed a lawsuit seeking payment of past due invoices totaling $276,430 and finance charges of $40,212. The Company has recorded the liability for the invoices in the normal course of business. Management at Howco as well as an intermediary consultant structured a repayment plan with this vender and other venders as well. The Impact of COVID-19 The Company is a wholesale vendor to the Department of Defense through its wholly owned subsidiary Howco whose business has been affected due to the COVID-19 social distancing requirements mandated by the federal, state and local governments where the Company’s operations occur. For some businesses, like the Company’s, core business cannot always be done through “virtual” means, and even when this is possible, it requires significant capital and time to achieve. During the year ended September 30, 2022 sales and shipments at Howco have increased modestly from the year ended September 30, 2021. It is anticipated that COVID-19 restrictions had an impact on the Company’s operations during the year ended September 30, 2022, however the Company cannot assess the financial impact of the related COVID-19 restrictions as compared to other economic and business factors. Settlements On January 29, 2018, the Company entered into a settlement agreement and mutual release with a vendor who had provided public relations and other consulting services whereby the Company shall pay to this vendor an aggregate amount of $60,000 of which $30,000 was paid on February 2, 2018. The Company was to have paid ten monthly payments of $3,000 per month beginning on February 29, 2018. The vendor is to return 0.4 common shares of the Company’s common stock which will be cancelled upon satisfaction of the liability. The liability is recorded at $21,000 as of September 30, 2022 and 2021. On November 13, 2018 the Company and a vendor agreed to settle $161,700 in past due professional fees for a convertible note in the amount of $90,000. The note bears interest at 5% and matures in July 2019, and has a fixed discount conversion feature. The note is now past due and remains unconverted at September 30, 2021 and 2022; however there is no default interest or penalty associated with the default. The difference between the settlement amount and the recorded amount in accounts payable of $71,700 was recognized as a gain on debt extinguishment upon receipt of the waiver and release from the vendor in 2018. As of September 30, 2022, the Company has received demand for payment of past due amounts for services by several consultants and service providers. Commitments Lease Obligations The Company entered into an agreement with a manufacturer in Pismo Beach, California. The agreement provides for certain services to be provided by the manufacturer as needed by the Company. The agreement has an initial term of three years with one year renewals. In connection with this agreement, the Company has agreed to sublease space based in San Luis Obispo, California from the manufacturer for the purposes of the development and manufacturing of unmanned aerial vehicles. The lease provides for base monthly rent of approximately $15,000 for the initial term to be increased to $16,500 per month upon extension. The lease term begins February 1, 2017 and expires January 31, 2019 with the option to extend the term an additional 24 months. However, the Company never took possession of the premises and in July 2017, the Company made a decision to not take possession of the premises. The Company is in default of the rent payments and had received oral demand for payments. As of September 30, 2022 and 2021, the Company has not made any of the required monthly rent payments in connection with this agreement. During fiscal 2017, the Company had expensed and accrued into accounts payable the remaining amounts due under the term of the lease for a total accrual of $360,000 pursuant to ASC 420-10-30. This balance remains accrued as of September 30, 2022 and September 30, 2021. On April 16, 2020 the Company’s subsidiary Howco renewed its office and warehouse lease in Vancouver, WA for a term commencing on June 1, 2020 extending through June 1, 2023 at an initial monthly rent of approximately $5,154. The lease requires monthly payments including base rent plus CAM with annual increases. The Company recognized a right-of-use asset of and a lease liability of $156,554, which represents the fair value of the lease payments calculated as present value of the minimum lease payments using a discount rate of 10% on date of the lease renewal in accordance with ASC 842. The asset and liability will be amortized as monthly payments are made and lease expense will be recognized on a straight-line basis over the term of the lease. Right of use asset (ROU) is summarized below: September 30, September 30, Operating lease at inception - June 2, 2020 $ 156,554 $ 156,554 Less accumulated reduction (122,986 ) (70,807 ) Balance ROU asset $ 33,568 $ 85,747 Operating lease liability related to the ROU asset is summarized below: Operating lease liabilities at inception - June 2, 2020 $ 156,554 $ 156,554 Reduction of lease liabilities (122,079 ) (69,564 ) Total lease liabilities $ 34,475 $ 86,990 Less: current portion - (52,178 ) Lease liabilities, non-current $ - $ 34,812 Non-cancellable operating lease total future payments are summarized below: Total minimum operating lease payments $ 42,929 $ 106,298 Less discount to fair value (8,454 ) (19,308 ) Total lease liability $ 34,475 $ 86,990 Future minimum lease payments under non-cancellable operating leases at September 30, 2022 are as follows: Years ending September 30, Amount 2023 42,929 Total minimum non-cancelable operating lease payments $ 42,929 For the years ended September 30, 2022 and 2021, rent expense for all leases amounted to $73,346 and $68,246, respectively. In December 2019, the Company relocated its primary office to 195 Paterson Avenue, Little Falls, New Jersey, under a one-year lease with a renewal option having monthly payments of $500. Profit Sharing Plan (for Howco) On April 13, 2018, Howco announced to its employees a Company-wide profit sharing program. The employee profit share is equal to their annual salary divided by the Company’s total annual payroll and multiplied by 10% of net income for the fiscal year. During the years ended September 30, 2022 and 2021 the employees earned $0 and $0, under this plan. Notice of Default On September 6, 2019, the Company received a notice of default under its senior secured credit facility with TCA, for non-payment of amounts due among other matters. Left uncured the default remedies include seizure of operating assets such as the Company’s subsidiary. Additionally, the default may trigger cross default provisions under other agreements with other creditors. Directors’ & Officers’ Insurance Policy Expiration On October 11, 2019, the Company’s insurance policy covering directors and officers expired and the carrier declined to renew the policy. The Company is working with its broker and other carriers to obtain coverage. This lapse of insurance coverage exposes the Company to the risk associated with its indemnification of its officers against legal actions by third parties as outlined in the officers’ employment agreements as amended on September 16, 2019. |
Concentrations
Concentrations | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Concentrations [Abstract] | ||
CONCENTRATIONS | NOTE 16 - CONCENTRATIONS Concentration of Credit Risk The Company maintains its cash in bank and financial institution deposits that at times may exceed federally insured limits of $250,000. At June 30, 2023, cash in a bank did not exceed the federally insured limits. The Company has not experienced any losses in such accounts through June 30, 2023. Economic Concentrations With respect to customer concentration, one customer accounted for approximately 85% of total sales for the nine months ended June 30, 2023. One customer accounted for approximately 80% of total sales for the nine months ended June 30, 2022. With respect to accounts receivable concentration, three customers accounted for 73%, 13% and 11% of total accounts receivable at June 30, 2023. Three customers accounted for approximately 50%, 23% and 15% of total accounts receivable at September 30, 2022. With respect to supplier concentrations, one supplier accounted for approximately 14% of total purchases for the nine months ended June 30, 2023. Three suppliers accounted for approximately 21%, 11% and 10% of total purchases for the nine months ended June 30, 2022. With respect to Howco accounts payable concentration, two suppliers accounted for approximately 15% and 13% of total accounts payable at June 30, 2023. Three suppliers accounted for approximately 27%, 24% and 13% of total accounts payable at September 30, 2022. Foreign sales were $4,509 and $0 for the nine months ended June 30, 2023 and 2022, respectively. | NOTE 18 - CONCENTRATIONS Concentration of Credit Risk The Company maintains its cash in bank and financial institution deposits that at times may exceed federally insured limits of $250,000. At September 30, 2022, cash in a bank did not exceed the federally insured limits. The Company has not experienced any losses in such accounts through September 30, 2022. Economic Concentrations With respect to customer concentration, one customer accounted for approximately 73%, of total sales for the year ended September 30, 2022. Two customers accounted for approximately 57%, and 23%, of total sales for the period ended September 30, 2021. It should be noted that federal government agencies account for 89% of Howco sales. With respect to accounts receivable concentration, three customers accounted for approximately 50%, 23%, and 15%, of total accounts receivable at September 30, 2022. Three customers accounted for approximately 53%, 24%, and 20%, of total accounts receivable at September 30, 2021. With respect to Howco supplier concentration, two suppliers accounted for approximately 17% and 13%, of total purchases for the year ended September 30, 2022. One supplier accounted for approximately 22% of total purchases for the year ended September 30, 2021. With respect to Howco accounts payable concentration, three suppliers accounted for approximately 27%, 24%, and 13% of total accounts payable at September 30, 2022. Three suppliers accounted for approximately 21%, 19%, and 14% of total accounts payable at September 30, 2021. With respect to foreign sales, it totaled approximately $0 and $0 for the years ended September 30, 2022 and 2021 respectively. |
Subsequent Events
Subsequent Events | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Subsequent Events [Abstract] | ||
SUBSEQUENT EVENTS | NOTE 17 - SUBSEQUENT EVENTS Convertible Notes – Frondeur Partners, LLC On July 10, 2023, the Company and Frondeur Partners LLC., signed an Omnibus Amendment to Promissory Notes dated between October 2022 and May 2023 eliminating conversion rights in each note. All other terms remain the same. Senior Debt – TCA Global Credit Master Fund, LP The Company previously reported that, on April 12, 2023, the receiver for TCA Global Credit Master Fund, LP (“TCA”) sold and assigned to Ekimnel Strategies, LLC, a Delaware limited liability company (“Ekimnel”), and Ekimnel purchased and assumed, all of TCA’s rights and obligations as a lender under that certain Senior Secured Credit Facility Agreement (the “Agreement”). Ekimnel is a company controlled by Michael Bannon, the Company’s Chief Executive Officer. On August 12, 2023, the Company, as the Borrower, and the Company’s subsidiaries: Drone USA, LLC and Howco Distributing Co., as Corporate Guarantors, and Michael Bannon, as a Validity Guarantor (collectively, “Credit Parties”), entered into an Amendment (the “Amendment”) to the Agreement with Ekimnel, as the Lender, pursuant to which the Company issued the Second Replacement Promissory Note (the “Note”) to Ekimnel in the principal amount of $8,676,957. The Note was issued in substitution for and to supersede the First Replacement Promissory Convertible Note A and the First Replacement Promissory Convertible Note B, previously issued by the Company, as amended from time to time (collectively “Replacement Notes”). Capitalized terms used but not defined herein shall have the meanings ascribed to them in the Amendment or the Agreement. Pursuant to the Amendment, the Lender and the Credit Parties: (i) combined and consolidated both the Replacement Notes into the Note; (ii) extended the Maturity Date of the Note to August 12, 2047; (iii) lowered the interest rate on the Note to 2.0% per year, with (a) the principal and interest payments starting on August 12, 2026, and (ii) for the period commencing on August 12, 2023 and ending on August 11, 2026, interest due on the Note being added to the outstanding principal amount of the Note; (iv) removed the Lender’s right to convert the Company’s obligations under the Note into shares of common stock of the Company; and (v) made certain conforming changes to the terms of the Agreement. Convertible Notes Issued On July 17, 2023, the Company entered into the Securities Purchase Agreement (the “Agreement”) with 1800 Diagonal Lending LLC (“Lender”), pursuant to which the Company issued a promissory note (the “Note”) to the Lender in the principal amount of $90,400, including an original issue discount of $10,400. The Agreement contains certain customary representations, warranties, and covenants made by the Company. Under the Note, the Company is required to make ten payments of $10,305.60, which includes a one-time interest charge of 14% ($12,565). The first payment is due on August 30, 2023, with nine subsequent payments due each month thereafter. The Note is not secured by any collateral. The Note matures on May 15, 2024 and contains customary events of default. Upon the occurrence and during the continuation of any such event of default, the Note will become immediately due and payable, and the Company is obligated to pay to the Lender an amount equal to 150% times the sum of (w) the then outstanding principal amount of the Note plus (x) accrued and unpaid interest on the unpaid principal amount of the Note to the date of payment plus (y) default interest at 22% per annum on the amounts referred to in clauses (w) and/or (x) plus (z) any amounts owed to the Lender pursuant to Article IV of the Note (amounts set forth in clauses (w), (x), (y) and (z) are collectively referred to as the “Default Amount”). If the Company fails to pay the Default Amount within five (5) business days of the Lender’s written notice that such amount is due and payable, then the Lender has the right to convert the balance owed pursuant to the Note, including the Default Amount, into shares of common stock of the Company (“Common Stock”) at a variable conversion price equal to 39% of the lowest closing price pe share of Common Stock during the ten trading day period ending on the latest complete trading day prior to the conversion date, provided that the Lender and its affiliates may not own greater than 4.99% of the Company’s outstanding shares of Common Stock, as set forth in the Note. The Company received funding under the Note on July 24, 2023. The Company intends to use the proceeds from the Note for general working capital purposes. Bantec Environmental Corp. On August 26, 2023, the Company filed incorporation documents to set up a subsidiary called Bantec Environmental Corp. Demand and Default Letter On July 26, 2023, the Company received a demand and default letter from Trillium Partners L.P. The letter references a document titled “Securities Purchase Agreement” dated July 2022. In the demand letter, Trillium is looking for immediate payment of $275,710.25. On August 4, 2023, the Company received a demand notification revising the demand amount to $214,563.33 with $183,259 in principal and $31,304.33 in interest and for JP Carey, a total of $270,947.95 with $224,000 in principal and $46,947.95 in accrued interest. In addition, the demand notification included outstanding fee notes for Frondeur Partners LLC, a total of $135,000 in principal and $7,903 of accrued interest. According to the demand notification, as of this day, only one note, dated October 1 st | NOTE 19 - SUBSEQUENT EVENTS Shares Issued for Subscription Since September 30, 2022, the Company issued 496,667 shares of common stock under the January 21, 2022 S-1 offering and received $99,333. Partial Redemption of Promissory Note On October 25, 2022, the Company repaid $50,000 of the July merchant financing arrangement. The payment was applied to the Trillium LP note bringing its balance to $174,000. Shares Issued for Conversions of Convertible Notes On October 3, 2022, the Company issued 191,827 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated March 1, 2022, all principal of $15,000 and accrued interest of $888 were converted. On November 17, 2022, the Company issued 384,804 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated April 1, 2022, all principal of $15,000 and accrued interest of $945 were converted. On December 1, 2022, the Company issued 383,489 shares of common stock in conversion of Frondeur Partners LLC, convertible note payable dated May 1, 2022, all principal of $15,000 and accrued interest of $879 were converted. Filing PRE 14C On December 15, 2022, the Company filed form PRE 14C with the SEC announcing its intent to effect a reverse stock split with a ratio of between 1:500 or 1:1000. Convertible Notes Issued On October 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. On October 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. On November 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. On November 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. On December 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. On December 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. On January 1, 2023, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. On January 1, 2023, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. Reverse Stock Split On July 11, 2023, the Company filed an Amendment to the Articles of Incorporation to effectuate a reverse split of the Company’s issued and outstanding common stock at an exchange ratio of 1-for-1,000. The reverse stock split was effective as of July 11, 2023. All share and per share data in the accompanying consolidated financial statements and footnotes has been retroactively adjusted to reflect the effects of the reverse stock split. |
Promissory Notes Payable _ Rela
Promissory Notes Payable – Related Party Officer and His Affiliates | 9 Months Ended |
Jun. 30, 2023 | |
Promissory Notes Payable – Related Party Officer and His Affiliates [Abstract] | |
PROMISSORY NOTES PAYABLE – RELATED PARTY OFFICER AND HIS AFFILIATES | NOTE 8 - PROMISSORY NOTES PAYABLE – RELATED PARTY OFFICER AND HIS AFFILIATES The outstanding balance of convertible and other notes issued to the Company’s chief executive officer and his affiliates consisted of the following at June 30, 2023 and September 30, 2022: June 30, September 30, Principal $ 5,930,804 $ 13,537 Premiums 1,220,986 - Short term $ 7,151,790 $ 13,527 Promissory Notes Payable On January 1, 2023, Bantec, Inc., Bantec Sanitizing LLC and Howco each executed line of credit agreements with an entity controlled by the Company’s CEO. Each agreement has the same terms: advances up to $100,000, maturity is one year, a ten percent advance fee and daily interest at 0.07% (approximately 26% annually) on the net balance due. The Company will charge the advance fees to interest expense. As of June 30, 2023: (i) Bantec, Inc. borrowed $155,500 and repaid $26,450, leaving an outstanding balance of $129,050, fees and interest charged totaled $4,576. (ii) Bantec Sanitizing LLC borrowed $14,562 and repaid $1,000, leaving an outstanding balance of $13,562, fees and interest charged totaled $1,664. (iii) Howco borrowed $75,000 and repaid $42,250, including $7,570 of fees and interest, leaving an outstanding balance of $40,320. Howco was making weekly payments of $3,250. On April 25, 2022, a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $1,570 for fifty weeks, which includes a total of $28,500 of interest. The principal at June 30, 2023 and September 30, 2022 was $0 and $13,527. Interest of $4,713 was charged to interest expense during the nine months ended June 30, 2022 prior to repayment. The note was repaid faster than the original payment terms, and therefore the interest was lower than the original agreement terms. On April 12, 2023, Ekimnel Strategies LLC, 100% owned by Michael Bannon, Bantec’s Chairman, CEO and CFO, purchased and assumed, all of TCA’s rights and obligations as a lender under the Senior Secured Credit Facility Agreement dated May 31, 2016 and effective September 13, 2016 and all subsequent documents from the Receiver for TCA Global Credit Master Fund, LP. The value of the note at the time of agreement was valued at $8,546,334 including principal and accrued interest (also see Note 9 and 17). |
Series B and Series C Preferred
Series B and Series C Preferred Stock | 9 Months Ended |
Jun. 30, 2023 | |
Series B and Series C Preferred Stock [Abstract] | |
SERIES B AND SERIES C PREFERRED STOCK | NOTE 11 - SERIES B AND SERIES C PREFERRED STOCK Temporary Equity – Convertible Series B Preferred Stock On July 1, 2022, the Company’s Board of Directors designated as Series B Preferred Stock and authorized 1,000,000 shares which will not be subject to increase without the consent of the holders (each a “Holder” and collectively, the “Holders”) of a majority of the outstanding shares of Series B Preferred Stock. The designations, powers, preferences, rights and restrictions granted or imposed upon the Series B Preferred Stock are as set forth in the Certificate of Designation filed in the State of Delaware. Each share of Series B Preferred Stock shall have an initial stated value of $1.00 (the “Stated Value”). The Series B Preferred Stock will, with respect to dividend rights and rights upon liquidation, winding-up or dissolution, rank: (a) senior with respect to dividends and right of liquidation with the Company’s common stock and (b) junior with respect to dividends and right of liquidation to all existing and future indebtedness of the Company and existing and outstanding preferred stock of the Company. Series B Preferred Stock shall have no right to vote on any matters requiring shareholder approval or any matters on which the shareholders are permitted to vote, with the exception to matters that would change the number or features of the Series B Preferred Stock. Each share of Series B Preferred Stock will carry an annual dividend in the amount of twelve percent (12%) of the Stated Value (the “Divided Rate”), which shall be cumulative, payable solely upon redemption, liquidation or conversion. Upon the occurrence of an Event of Default, the Dividend Rate shall automatically increase to twenty two percent (22%). Upon any liquidation, dissolution or winding up of the Company, whether voluntary or involuntary, or upon any Deemed Liquidation Event, after payment or provision for payment of debts and other liabilities of the Company, and after payment or provision for any liquidation preference payable to the holders of any Preferred Stock ranking senior upon liquidation to the Series B Preferred Stock, if any, but prior to any distribution or payment made to the holders of Common Stock or the holders of any Preferred Stock ranking junior upon liquidation to the Series B Preferred Stock by reason of their ownership thereof, the Holders will be entitled to be paid out of the assets of the Company available for distribution to its stockholders an amount with respect to each share of Series B Preferred Stock equal to (i) the Stated Value plus (ii) any accrued but unpaid dividends, the Default Adjustment, if applicable, Failure to Deliver Fees, if any, (the amounts in this clause (ii) collectively, the “Adjustment Amount”). Conversion Right. At any time following the date which is one hundred eighty (180) days after the Issuance Date, the Holder shall have the right at any time, to convert all or any part of the outstanding Series B Preferred Stock into fully paid and non-assessable shares of Common Stock. The Holders of the Series B Preferred Stock are limited to holding no more than 9.99% of the Common Stock. Conversion Price. The conversion price (the “Conversion Price”) shall equal the Fixed Conversion Price (subject to equitable adjustments by the Company relating to the Company’s securities or the securities of any subsidiary of the Company, combinations, recapitalization, reclassifications, extraordinary distributions and similar events). The “Fixed Conversion Price” shall mean $0.20. Notwithstanding anything contained herein to the contrary in the Event of Default, the Conversion Price shall be the lower of the Fixed Conversion Price and the Variable Conversion Price. The “Variable Conversion Price” shall mean 50% multiplied by the Market Price (as defined herein) (representing a discount rate of 50%). “Market Price” means the lowest bid price for the Common Stock during the twenty (20) Trading Day period ending on the latest complete Trading Day prior to the Conversion Date. Company will reserve from its authorized and unissued Common Stock a sufficient number of shares, free from preemptive rights, to provide for the issuance of Common Stock upon the full conversion of this Series B Preferred Stock issued. The Company is required at all times to have authorized and reserved four times the number of shares that would be issuable upon full conversion of the Series B Preferred, at any time the Company does not maintain the required Reserved Amount, the Company shall be put on notice by the Holder, and shall have five (5) days to cure its deficiency, after which time, such failure will be deemed an Event of Default hereunder. During July 2022, the Company issued 448,000 shares of the Series B Preferred Stock in conjunction with a debt financing with two investors (See Note 10). The Company determined that under ASC 480, the Series B Preferred Stock should be treated as Temporary Equity and that it needed to apply the SAB topic 3c (SEC guidance) as well. Upon issuance of the shares, the Company allocated a relative value of $101,368 to the Preferred Stock. Upon issuance, the Company recorded an aggregate value of $461,440, with $360,072 charged to additional paid in capital including the dividends due of $13,440 at September 30, 2022. The Company breached its covenants in the Convertible Series B Preferred Stock in July 2022. The breached covenant defines as an event of default as any breach of a material covenant or material terms or conditions contained in the Certificate of Designations or in any purchase agreement, subscription agreement or other agreement with any Holder (of the Convertible Series B Preferred Stock). As a result of this event of default, the Stated Value of the preferred stock increased to $1.50 per share and the conversion price became the “the lower of the Fixed Conversion Price ($0.2) or 50% of the lowest closing bid price of the Company’s stock in the twenty days prior to a conversion”. The Preferred Stock’s redemption value was increased by another $224,000 as a result of the default and dividends are now accruing at 22%. On April 18, 2023, the Company and the Holder of 224,000 Series B Preferred Stock (the “Holder”) entered into an Exchange Agreement whereby the Holder exchanged (the “Exchange”) 224,000 Series B Preferred Stock of the Company for 224,000 Series C Preferred Stock of the Company which shall have the rights and preferences in the Certificate of Designation of the Series C Preferred Stock as discussed below and for no other consideration. At June 30, 2023, there remains 224,000 outstanding Convertible Series B Preferred Stock with stated value of $1.50 and would convert into 922,128,000 common shares. During the nine months ended June 30, 2023, the Company charged an additional $111,623 to additional paid in capital for the dividend of the preferred shares. At June 30, 2023, the Series B Preferred Stock redemption value amounted to $461,064 (including dividends of $125,063). Mandatory Redeemable Series C Preferred Stock Certificate of Designation of Series C 3% Preferred Stock On April 25, 2023, the Company filed a Certificate of Designation for Series C Preferred Stock with the Delaware Secretary of State, designating 1,000,000 shares of preferred stock as Series C Preferred Stock. Each share of Series C Preferred Stock has a par value of $0.0001 per share and a stated value of $1.00 (the “Stated Value”). The Series C Preferred Stock shall have no right to vote on any matters requiring shareholder approval or any matters on which the shareholders are permitted to vote. Each share of Series C Preferred Stock is entitled to an annual dividend equal to 3% of the stated value which shall be cumulative, payable solely upon redemption, liquidation or conversion. Upon the occurrence of an event of default, the dividend rate shall automatically increase to 18%. Upon any liquidation, dissolution or winding-up of the Company, whether voluntary or involuntary or upon any deemed liquidation event, after payment or provision for payment of debts and other liabilities of the Company and after payment or provision for ay liquidation preference payable to the holders of any preferred stock ranking senior upon liquidation to the Series C Preferred Stock, if any, but prior to any distribution or payment made to the holders of common stock or the holders of the preferred stock ranking junior upon liquidation to the Series C Preferred Stock, the holders will be entitled to be paid out of the assets of the Company available for distribution an amount equal to the stated value plus any accrued but unpaid dividends, default adjustment, if applicable, and any other fees (collectively the “Adjustment Amount”). The Holder shall have no right at any time to convert all or any part of the outstanding Series C Preferred Stock into shares of common stock. Mandatory Redemption by the Company Upon the occurrence and during the continuation of any Event of Default (other than as set forth in Section 8ai of the amendment which is the failure to redeem), the Stated Value shall immediately be increased to $1.50 per share of Series C Preferred Stock; and upon the occurrence and during the continuation of any Event of Default specified in Section 8ai which is the failure to redeem, the Stated Value shall immediately be increased to $2.00 per share of Series C Preferred Stock (the amounts referred to herein shall be referred to collectively as the “Default Adjustment”). In the event of a Default Adjustment, the Company shall immediately, upon the demand of the Majority Holders, redeem the issued and outstanding Series C Preferred Stock and pay to the Holders the amount which is equal to (i) the number of shares of Series C Preferred Stock held by such Holders multiplied by (ii) the Stated Value plus any Adjustment Amount. Upon any Event of Default set forth in Section 8(A)(ix), provided that there is no other default, no Default Adjustment shall occur; however, the Company shall immediately, upon the demand of the Majority Holders, redeem the issued and outstanding Series C Preferred Stock and pay to the Holders the amount which is equal to (i) the number of shares of Series C Preferred Stock held by such Holders multiplied by (ii) the Stated Value plus any Adjustment Amount. ASC 480, Distinguishing Liabilities from Equity, As a result of the Exchange of 224,000 shares of Convertible Series B Preferred Stock for Series C Preferred Stock on April 18, 2023 (see above), there were 224,000 shares of Series C Preferred Stock issued and outstanding as of June 30, 2023. The Series C preferred shares are mandatorily redeemable by the Company and are therefore classified as a liability for $336,000 (based on the $1.50 stated value) as reflected in the unaudited condensed consolidated balance sheet as of June 30, 2023. There was no gain or loss recognized in connection with the Exchange Agreement. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Accounting Policies [Abstract] | ||
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The Company prepares its consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”). The accompanying consolidated financial statements include the accounts of Bantec Inc. and its wholly-owned subsidiaries, Drone USA, LLC, Bantec Construction, LLC, Bantec Sanitizing, LLC, Bantec Logistics LLC and Howco. Bantec Construction, LLC, Bantec Logistics LLC and Bantec Sanitizing, LLC are in start-up stages with minor revenues and cash expenditures. All significant intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, certain information and footnote disclosures normally included in financial statements in accordance with GAAP have been omitted. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the nine months ended June 30, 2023 are not necessarily indicative of the results that may be expected for the year ending September 30, 2023. The unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements as of and for the year ended September 30, 2022 and footnotes thereto included in the Company’s Annual Report on Form 10-K filed with the SEC on January 12, 2023. The consolidated balance sheet as of September 30, 2022 contained herein has been derived from the audited consolidated financial statements as of September 30, 2022 but does not include all disclosures required by GAAP. | Basis of Presentation and Principles of Consolidation The Company prepares its consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”). The accompanying consolidated financial statements include the accounts of Bantec, Inc. and its wholly-owned subsidiaries, Drone USA, LLC, Bantec Construction, LLC, Bantec Sanitizing, LLC, Bantec Logistics LLC and Howco. Bantec Construction, LLC, Bantec Logistics LLC and Bantec Sanitizing, LLC are in start-up stages with minor revenues and cash expenditures. All significant intercompany accounts and transactions have been eliminated in consolidation. On October 28, 2021, the Wyoming Secretary of State approved the application to create Bantec Logistics, LLC which includes a new line of business focused on drone package delivery logistics and other delivery methods. |
Going Concern | Going Concern | Going Concern The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the recoverability of assets and the satisfaction of liabilities in the normal course of business. For the year ended September 30, 2022, the Company has incurred a net loss of $2,673,346 and used cash in operations of $1,644,132. The working capital deficit, stockholders’ deficit and accumulated deficit was $15,800,583, $16,578,533 and $35,630,186, respectively, at September 30, 2022. On September 6, 2019 the Company received a default notice on its payment obligations under the senior secured credit facility agreement (see Note 10), defaulted on its Note Payable – Seller in September 2017 and has since defaulted on other promissory notes. As of September 30, 2022 the Company has received demands for payment of past due amounts from several consultants and service providers. It is management’s opinion that these matters raise substantial doubt about the Company’s ability to continue as a going concern for a period of twelve months from the issuance date of this report. The ability of the Company to continue as a going concern is dependent upon management’s ability to further implement its business plan and raise additional capital as needed from the sales of stock or debt. The Company has continued to implement cost-cutting measures and restructuring or setting up payment plans with vendors and service providers and plans to raise equity through a private placement, and restructure or repay its secured obligations. The accompanying consolidated financial statements do not include any adjustments that might be required should the Company be unable to continue as a going concern. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include the allowance for bad debt on accounts receivable, reserves on inventory, valuation of intangible assets for impairment analysis, valuation of the lease liability and related right-of-use asset, valuation of stock-based compensation, valuation of redeemable preferred stock, valuation of derivative liabilities, and the valuation allowance on deferred tax assets. | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include the allowance for bad debt on accounts receivable, reserves on inventory, valuation of intangible assets for impairment analysis, valuation of the lease liability and related right-of-use asset, valuation of stock-based compensation, the valuation of derivative liabilities, valuation of redeemable preferred stock and the valuation allowance on deferred tax assets. |
Fair Value Measurements | Fair Value Measurements The Company follows the FASB Fair Value Measurements 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. The standard establishes a hierarchy in determining the fair value of an asset or liability. The fair value hierarchy has three levels of inputs, both observable and unobservable. Level 1 inputs include quoted market prices for identical assets or liabilities in an active market that the Company has the ability to access at the measurement date. Level 2 inputs are market data, other than Level 1, that are observable either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities, quoted market prices in an inactive market, and other observable information that can be corroborated by market data. Level 3 inputs are unobservable and corroborated by little or no market data. The standard requires the utilization of the lowest possible level of input to determine fair value and carrying amounts of current liabilities approximate fair value due to their short-term nature. The estimated fair value of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued expenses are carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. The Company’s non-financial assets, such as ROU assets, and property and equipment, are adjusted to fair value only when an impairment is recognized. Such fair value measurements are based predominantly on Level 3 inputs . | Fair Value Measurements The Company follows the FASB Fair Value Measurements 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. The standard establishes a hierarchy in determining the fair value of an asset or liability. The fair value hierarchy has three levels of inputs, both observable and unobservable. Level 1 inputs include quoted market prices for identical assets or liabilities in an active market that the Company has the ability to access at the measurement date. Level 2 inputs are market data, other than Level 1, that are observable either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities, quoted market prices in an inactive market, and other observable information that can be corroborated by market data. Level 3 inputs are unobservable and corroborated by little or no market data. The standard requires the utilization of the lowest possible level of input to determine fair value and carrying amounts of current liabilities approximate fair value due to their short-term nature. The Company accounts for certain instruments at fair value using level 3 valuation. At September 30, 2022 At September 30, 2021 Description Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Derivative Liability - - $ - - - $ 125,693 A roll-forward of the level 3 valuation financial instruments is as follows: Derivative Balance at September 30, 2020 $ 128,628 Gain on debt extinguishment upon conversion of related note payable (8,851 ) Derivative expense 5,916 Balance at September 30, 2021 $ 125,693 Change in fair market value of warrant 8,710 Surrender of warrants (134,403 ) Balance at September 30, 2022 $ - The warrants were issued to a convertible note holder in November and December 2017 and initially determined to be equity instruments and recorded as note discount and as additional paid in capital. On June 4, 2018 the anti-dilutive provision of the warrants took effect and based on the new conversion formula management determined the warrant became a derivative liability and reclassified the Fair Value on June 4, 2018 from additional paid-in capital to derivative liability with fair market value changes recognized in operations for each reporting date. The derivative liability associated with the warrants has been extinguished on July 1, 2022 by the terms of the agreement made by the holder with the SEC and the fair value was recorded as a gain on extinguishment during fiscal 2022. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash equivalents consist of liquid investments with maturities of three months or less at the time of purchase. There are no cash equivalents at the balance sheet dates. | Cash and Cash Equivalents Cash equivalents consist of liquid investments with maturities of three months or less at the time of purchase. There are no cash equivalents at the balance sheet dates. |
Accounts Receivable | Accounts Receivable Trade receivables are recorded at net realizable value consisting of the carrying amount less the allowance for doubtful accounts, as needed. Factors used to establish an allowance include the credit quality of the customer and whether the balance is significant. The Company may also use the direct write-off method to account for uncollectible accounts that are not received. Using the direct write-off method, trade receivable balances are written off to bad debt expense when an account balance is deemed to be uncollectible. | Accounts Receivable Trade receivables are recorded at net realizable value consisting of the carrying amount less the allowance for doubtful accounts, as needed. Factors used to establish an allowance include the credit quality of the customer and whether the balance is significant. The Company may also use the direct write-off method to account for uncollectible accounts that are not received. Using the direct write-off method, trade receivable balances are written off to bad debt expense when an account balance is deemed to be uncollectible. |
Inventory | Inventory Inventory consists of finished goods, which are purchased directly from manufacturers. The Company utilizes a just-in-time type of inventory system where products are ordered from the vendor only when the Company has received sales order from its customers. Inventory is stated at the lower of cost and net realizable value on a first-in, first-out basis. | Inventory Inventory consists of finished goods, which are purchased directly from manufacturers. The Company utilizes a just in time type of inventory system where products are ordered from the vendor only when the Company has received sales order from its customers. Inventory is stated at the lower of cost and net realizable value on a first-in, first-out basis. |
Property & Equipment | Property & Equipment Property and equipment are stated at cost and depreciated over their estimated useful lives. Maintenance and repairs are charged to expense as incurred. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in income in the year of disposition. The Company examines the possibility of decreases in the value of these assets when events or changes in circumstances reflect the fact that their recorded value may not be recoverable. The assets are fully operational drones used as demonstration units and each unit exceeds management’s threshold for capitalization of $2,000. The Company depreciates these demonstration units over a period of 3 years. No depreciation was recognized during the nine months ended June 30, 2023, as the related equipment was depreciated to salvageable value as of September 30, 2021. Management believes that the salvageable value of $1,461 is an adequate representation of the value of the demonstration drones at June 30, 2023. | Property & Equipment Property and equipment are stated at cost and depreciated over their estimated useful lives. Maintenance and repairs are charged to expense as incurred. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and any resulting gains or losses are included in income in the year of disposition. The Company examines the possibility of decreases in the value of these assets when events or changes in circumstances reflect the fact that their recorded value may not be recoverable. The assets are fully operational drones used as demonstration units and each unit exceeds management’s threshold for capitalization of $2,000. The Company depreciates these demonstration units over a period of 3 years. Depreciation expense was $0 and $7,374 in year ended September 30, 2022 and 2021, respectively. No depreciation was recognized during the year ended September 30, 2022, as the related equipment was depreciated to salvageable value as of September 30, 2021. Management believes that the salvageable value of $1,461 is an adequate representation of the value of the demonstration drones at September 30, 2022. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The Company acquired a patent for a new product during the year ended September 30, 2021. The Company capitalized acquisition and related legal fees related to the patent totaling $44,650. The capitalized amount will be amortized over five years. Impairment will be tested annually or as indicators of impairment are available. (see Note 5) | |
Long-Lived Assets | Long-Lived Assets Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Impairment is determined by comparing the carrying value of the long-lived assets to the estimated undiscounted future cash flows expected to result from use of the assets and their ultimate disposition. In instances where impairment is determined to exist, the Company writes down the asset to its fair value based on the present value of estimated future cash flows. | Long-Lived Assets Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Impairment is determined by comparing the carrying value of the long-lived assets to the estimated undiscounted future cash flows expected to result from use of the assets and their ultimate disposition. In instances where impairment is determined to exist, the Company writes down the asset to its fair value based on the present value of estimated future cash flows. |
Deferred Financing Costs | Deferred Financing Costs All unamortized deferred financing costs related to the Company’s borrowings are presented in the consolidated balance sheets as a direct deduction from the related debt. Amortization of these costs is reported as interest and financing costs | Deferred Financing Costs All unamortized deferred financing costs related to the Company’s borrowings are presented in the consolidated balance sheets as a direct deduction from the related debt. Amortization of these costs is reported as interest and financing costs |
Revenue Recognition | Revenue Recognition The Company follows Accounting Standards Codification (“ASC”) 606, Revenue From Contracts With Customers, which has a five-step process: a) Determine whether a contract exists; b) Identify the performance obligations; c) Determine the transaction price; d) Allocate the transaction price; and e) Recognize revenue when (or as) performance obligations are satisfied. The Company sells a variety of products to government entities. The purchase order received specifies each item and its manufacturer; the Company only needs to fulfill the performance obligation by shipping the specified items. No other performance obligations exist under the terms of the contracts. The Company recognizes revenue for the agreed upon sales price when the product is shipped to the customer, which satisfies the performance obligation. The Company through its subsidiary Howco enters into contracts to package products for a third-party company servicing the same government customer base. The contracts are based on the job lot as shipped to Howco for packaging. The customer is billed upon completion each job lot at which time revenue is recognized. The Company sells drones and related products manufactured by third parties to various parties, primarily local government entities. Contracts for drone related products and services sales will be evaluated using the five-step process outline above. There have been no material sales for drone products or other services for which full compliance with performance obligations has not been met. Upon significant sales for drone products, the Company will disaggregate sales by these lines of business and within the lines of business to the extent that the product or service has different revenue recognition characteristics. The Company began sales of sanitizing products and services during the year ended September 30, 2022. Revenue for this line of business is recognized upon shipment and delivery of training services (as applicable). | Revenue Recognition The Company follows Accounting Standards Codification (“ASC”) 606, Revenue From Contracts With Customers, which has a five-step process: a) Determine whether a contract exists; b) Identify the performance obligations; c) Determine the transaction price; d) Allocate the transaction price; and e) Recognize revenue when (or as) performance obligations are satisfied. The Company sells a variety of products to government entities. The purchase order received specifies each item and its manufacturer; the Company only needs to fulfill the performance obligation by shipping the specified items. No other performance obligations exist under the terms of the contracts. The Company recognizes revenue for the agreed upon sales price when the product is shipped to the customer, which satisfies the performance obligation. During the years ended September 30, 2022 and 2021, the Company through its subsidiary Howco entered into contracts to package products for a third-party company servicing the same government customer base. The contracts were on job lot basis as shipped to Howco for packaging. The customer was billed upon completion each job lot at which time revenue was recognized. The Company sells drones and related products manufactured by third parties to various parties, primarily local government entities. The Company also offers technical services related to drone utilization and performs other services. Contracts for drone related products and services sales will be evaluated using the five-step process outline above. There have been no material sales for drone products or other services for which full compliance with performance obligations has not been met. Upon significant sales for drone products and services and insulation jackets, the Company will disaggregate sales by these lines of business and within the lines of business to the extent that the product or service has different revenue recognition characteristics. The Company began sales of sanitizing products and services during the year ended September 30, 2022. Revenue for this line of business is recognized upon shipment and delivery of training services (as applicable). |
Stock-based compensation | Stock-based compensation Stock-based compensation is accounted for based on the requirements of ASC 718 – “Compensation –Stock Compensation ), Improvements to Employee Share-Based Payment Accounting As of October 1, 2018, the Company has early adopted ASU 2018-7 Compensation-Stock Compensation which conforms the accounting for non-employees to the accounting treatment for employees. The new standard replaces using a fair value as of each reporting date with use of the calculated fair value as of the grant date. The implementation of the standard provides for the use of the fair market value as of the adoption date, rather than using the value as of the original grant date. Therefore, the values calculated and reported at September 30, 2018 become a proxy for the grant date value. The Company utilizes the Black-Sholes option pricing model and uses the simplified method to determine expected term because of lack of sufficient exercise history. There was no cumulative effect on the adoption date. | Stock-based compensation Stock-based compensation is accounted for based on the requirements of ASC 718 – “Compensation –Stock Compensation ), Improvements to Employee Share-Based Payment Accounting As of October 1, 2018, the Company early adopted ASU 2018-7 Compensation-Stock Compensation which conforms the accounting for non-employees to the accounting treatment for employees. The new standard replaces using a fair value as of each reporting date with use of the calculated fair value as of the grant date. The implementation of the standard provides for the use of the fair market value as of the adoption date, rather than using the value as of the original grant date. Therefore, the values calculated and reported at September 30, 2018 become a proxy for the grant date value. The Company utilizes the Black-Sholes option pricing model and uses the simplified method to determine expected term because of lack of sufficient exercise history. There was no cumulative effect on the adoption date. |
Shipping and Handling Costs | Shipping and Handling Costs The Company has included freight-out as a component of cost of sales, which amounted to $39,382 and $45,316 for the nine months ended June 30, 2023 and 2022, respectively. | Shipping and Handling Costs The Company has included freight-out as a component of cost of sales, which amounted to $61,032 and $47,716 for the year ended September 30, 2022 and 2021, respectively. |
Convertible Notes with Fixed Rate Conversion Options | Convertible Notes with Fixed Rate Conversion Options The Company may enter into convertible notes, some of which contain, predominantly, fixed rate conversion features, whereby the outstanding principal and accrued interest may be converted by the holder, into common shares at a fixed discount to the market price of the common stock at the time of conversion. This results in a fair value of the convertible note being equal to a fixed monetary amount. The Company records the convertible note liability at its fixed monetary amount by measuring and recording a premium, as applicable, on the Note date with a charge to interest expense in accordance with ASC 480 - “Distinguishing Liabilities from Equity”. | Convertible Notes with Fixed Rate Conversion Options The Company may enter into convertible notes, some of which contain, predominantly, fixed rate conversion features, whereby the outstanding principal and accrued interest may be converted by the holder, into common shares at a fixed discount to the market price of the common stock at the time of conversion. This results in a fair value of the convertible note being equal to a fixed monetary amount. The Company records the convertible note liability at its fixed monetary amount by measuring and recording a premium, as applicable, on the Note date with a charge to interest expense in accordance with ASC 480 - “Distinguishing Liabilities from Equity”. |
Derivative Liabilities | Derivative Liabilities The Company has certain financial instruments that are derivatives or contain embedded derivatives. The Company evaluates all its financial instruments to determine if those contracts or any potential embedded components of those contracts qualify as derivatives to be separately accounted for in accordance with ASC 810-10-05-4 and 815-40. This accounting treatment requires that the carrying amount of any derivatives be recorded at fair value at issuance and marked-to-market at each balance sheet date. In the event that the fair value is recorded as a liability, as is the case with the Company, the change in the fair value during the period is recorded as either other income or expense. Upon conversion, exercise or repayment, the respective derivative liability is marked to fair value at the conversion, repayment or exercise date and then the related fair value amount is reclassified to other income or expense as part of gain or loss on extinguishment. | Derivative Liabilities The Company has certain financial instruments that are derivatives or contain embedded derivatives. The Company evaluates all its financial instruments to determine if those contracts or any potential embedded components of those contracts qualify as derivatives to be separately accounted for in accordance with ASC 810-10-05-4 and 815-40. This accounting treatment requires that the carrying amount of any derivatives be recorded at fair value at issuance and marked-to-market at each balance sheet date. In the event that the fair value is recorded as a liability, as is the case with the Company, the change in the fair value during the period is recorded as either other income or expense. Upon conversion, exercise or repayment, the respective derivative liability is marked to fair value at the conversion, repayment or exercise date and then the related fair value amount is reclassified to other income or expense as part of gain or loss on extinguishment. |
Lease Accounting | Lease Accounting In February 2016, the FASB issued ASU No. 2016-02, Leases In 2020, the Company’s subsidiary renewed the lease for the warehouse and office facility in Vancouver, Washington through May 30, 2023, and accounted for it under ASC 842. The Company signed the seventh amendment to the lease on May 2, 2023 extending the lease end date to May 31, 2026 with two additional option years. The corporate office is an annual arrangement which provides for a single office in a shared office environment and is exempt from ASC 842 treatment. The Company recognized a lease liability of $140,561 and the related right-of-use asset for the same amount and will amortize both over the life of the lease. | Lease Accounting In February 2016, the FASB issued ASU No. 2016-02, Leases The Company’s subsidiary has renewed the lease for the warehouse and office facility in Vancouver, Washington in May 2020 effective June 1, 2020, which extends through May 30, 2023, and is accounted for under ASC 842. The corporate office is an annual arrangement which provides for a single office in a shared office environment and is exempt from ASC 842 treatment. During the year ended September 30, 2020 the Company recognized a lease liability of $156,554 and the related right-of-use asset for the same amount and will amortize both over the life of the lease. |
Income Taxes | Income Taxes The Company’s current provision for income taxes is based upon its estimated taxable income in each of the jurisdictions in which it operates, after considering the impact on taxable income of temporary differences resulting from different treatment of items for tax and financial reporting purposes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and any operating loss or tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in those periods in which temporary differences become deductible. Should management determine that it is more likely than not that some portion of the deferred tax assets will not be realized, a valuation allowance against the deferred tax assets would be established in the period such determination was made. The Company follows the accounting for uncertainty in income taxes guidance, which clarifies the accounting and disclosures for uncertainty in income taxes recognized in the Company’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition and measurement of a tax position taken or expected to be taken in a tax return. The Company currently has no federal or state tax examinations in progress. As of June 30, 2023, the Company’s tax returns for the tax years 2022, 2021 and 2020 remain subject to audit, primarily by the Internal Revenue Service. The Company did not have material unrecognized tax benefits as of June 30, 2023 and does not expect this to change significantly over the next 12 months. The Company will recognize interest and penalties accrued on any unrecognized tax benefits as a component of the provision for income taxes. | Income Taxes The Company’s current provision for income taxes is based upon its estimated taxable income in each of the jurisdictions in which it operates, after considering the impact on taxable income of temporary differences resulting from different treatment of items for tax and financial reporting purposes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and any operating loss or tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in those periods in which temporary differences become deductible. Should management determine that it is more likely than not that some portion of the deferred tax assets will not be realized, a valuation allowance against the deferred tax assets would be established in the period such determination was made. The Company follows the accounting for uncertainty in income taxes guidance, which clarifies the accounting and disclosures for uncertainty in income taxes recognized in the Company’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition and measurement of a tax position taken or expected to be taken in a tax return. The Company currently has no federal or state tax examinations in progress. As of September 30, 2022, the Company’s tax returns for the tax years 2021, 2020 and 2019 remain subject to audit, primarily by the Internal Revenue Service. The income tax returns for the tax year 2022 are on extension and have not yet been filed. The Company did not have material unrecognized tax benefits as of September 30, 2022 and 2021 and does not expect this to change significantly over the next 12 months. The Company will recognize interest and penalties accrued on any unrecognized tax benefits as a component of the provision for income taxes. |
Net Loss Per Share | Net Loss Per Share Basic loss per share is calculated by dividing the loss attributable to stockholders by the weighted-average number of shares outstanding for the period. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that shared in the earnings (loss) of the Company. Diluted loss per share is computed by dividing the loss available to stockholders by the weighted average number of shares outstanding for the period and dilutive potential shares outstanding unless such dilutive potential shares would result in anti-dilution. It should be noted that contractually the limitations on the third-party notes (and the related warrants) limit the number of shares converted to either 4.99% or 9.99% of the then outstanding shares. The Company’s CEO and Chairman of the Board of Directors holds all issued and outstanding shares of Series A Preferred Stock, which confers upon him a majority vote in all Company matters including authorization of additional shares of common stock or reverse stock split. As of June 30, 2023 and 2022, potentially dilutive securities consisted of the following: June 30, June 30, Stock options 16 16 Warrants 2,240,000 399,257 Series B Preferred Stock 922,128,000 - Third party convertible debt 1,108,244,329 18,643,854 Total 2,032,612,345 19,043,127 | Net Loss Per Share Basic loss per share is calculated by dividing the loss attributable to stockholders by the weighted-average number of shares outstanding for the period. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that shared in the earnings (loss) of the Company. Diluted loss per share is computed by dividing the loss available to stockholders by the weighted average number of shares outstanding for the period and dilutive potential shares outstanding unless such dilutive potential shares would result in anti-dilution. As of September 30, 2022, 16 options were outstanding, warrants to purchase 2,240,000 shares of common stock were outstanding and exercisable. There are 448,000 shares of Series B Preferred Stock outstanding which are convertible into 4,480,000 shares of common stock at September 30, 2022. Additionally, as of September 30, 2022, the outstanding principal balance, including accrued interest of the third-party convertible debt, totaled $8,405,055 and was convertible into 31,756,035 shares of common stock. The total potentially dilutive shares calculated is 38,476,051. It should be noted that contractually the limitations on the third-party notes (and the related warrant) limit the number of shares converted to either 4.99% or 9.99% of the then outstanding shares. The Company’s CEO holds a control block of Series A Preferred Stock which confers upon him a majority vote in all Company matters including authorization of additional common shares or to reverse split the stock. The Company has filed a Pre 14C to effect the reverse stock split outlined below. Following that reverse split the shortfall in available stock will be remedied. As of September 30, 2022, and 2021, potentially dilutive securities consisted of the following: September 30, September 30, Stock options 16 17 Warrants 2,240,000 42,777 Series B Preferred Stock 4,480,000 - Third party convertible debt (including senior debt) 31,756,035 2,549,848 Total 38,476,051 2,592,642 |
Segment Reporting | Segment Reporting The Company uses “the management approach” in determining reportable operating segments. The management approach considers the internal organization and reporting used by the Company’s chief operating decision maker for making operating decisions and assessing performance as the source for determining the Company’s reportable segments. The Company’s chief operating decision maker is the chief executive officer of the Company, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. For the nine months ended June 30, 2023, the Company had three operating segments. Howco generated 99.78% of the consolidated sales which are primarily from department of defense. Drone LLC generated less than 0.22% of sales primarily due to state and municipal government purchases of drones and accessories. Bantec Sanitizing Inc. had no contribution to consolidated sales of its sanitizing products for the nine months ended June 30, 2023. Howco had 87% of the consolidated tangible assets, Drone had no allocated assets and Bantec Sanitizing Inc. had 4% of consolidated assets and the parent company had 9% of the consolidated tangible assets as of June 30, 2023 and additionally, there are no formal cost allocations to Howco or the other subsidiaries. Management decisions about allocation of working capital and other assets are based on sales, inventory and operating costs, with no formal processes in place. | Segment Reporting The Company uses “the management approach” in determining reportable operating segments. The management approach considers the internal organization and reporting used by the Company’s chief operating decision maker for making operating decisions and assessing performance as the source for determining the Company’s reportable segments. The Company’s chief operating decision maker is the chief executive officer of the Company, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. As of September 30, 2022, the Company has three operating segments. Howco generates 94% of the consolidated sales which are primarily from department of defense. Drone LLC generated 6% of sales primarily to state and municipal government purchases of drones and accessories. Bantec Sanitizing Inc. had less than 1% of consolidated sales of its sanitizing products. Howco has 68% of the consolidated tangible assets, Drone has no allocated assets and Bantec Sanitizing Inc. has 4% of consolidated asset. The parent company has 29% of the consolidated tangible assets. and Additionally, there are no formal cost allocations to Howco or the other subsidiaries. Management decisions about allocation of working capital and other assets are based on sales, inventory and operating costs, with no formal processes in place. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The Company has reviewed the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) accounting pronouncements and interpretations thereof that have effectiveness dates during the periods reported and in future periods. We have carefully considered the new pronouncements that alter previous generally accepted accounting principles and do not believe that any new or modified principles will have a material impact on the Company’s reported financial position or operations in the near term. The applicability of any standard is subject to the formal review of the Company’s financial management. In August 2020, the FASB issued Accounting Standards Update (“ASU”) 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging Contracts in Entity’s Own Equity (Subtopic 815-40), which eliminates the beneficial conversion and cash conversion accounting models for convertible instruments, amends the accounting for certain contracts in an entity’s own equity that are currently accounted for as derivatives because of specific settlement provisions, and modifies how particular convertible instruments and certain contracts that may be settled in cash or shares impact the diluted EPS calculation. The standard is effective for annual periods beginning after December 15, 2023 for smaller reporting companies, and interim periods within those reporting periods. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those reporting periods. The Company is currently assessing the impact the new guidance will have on its condensed consolidated financial statements. In March 2022, the FASB issued ASU 2022-02, “Financial Instruments - Credit Losses (Topic 326)”, which is intended to address issues identified during the post-implementation review of ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. The amendment, among other things, eliminates the accounting guidance for troubled debt restructurings by creditors in Subtopic 310-40, “Receivables - Troubled Debt Restructurings by Creditors”, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. The new guidance is effective for interim and annual periods beginning after December 15, 2022. This adoption did not have a material effect to the Company. The Company does not believe that any other recently issued but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying consolidated financial statements. | Recent Accounting Pronouncements On August 5, 2020, the Financial Accounting Standards Board (FASB) issued accounting standards update (ASU) No. 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40) The amendments in the ASU remove certain separation models for convertible debt instruments and convertible preferred stock that require the separation of a convertible debt instrument into a debt component and an equity or derivative component. The ASU also amends the derivative scope exception guidance for contracts in an entity’s own equity. The amendments remove three settlement conditions that are required for equity contracts to qualify for the derivative scope exception. In addition to the above, the ASU expands disclosure requirements for convertible instruments and simplifies areas of the guidance for diluted earnings-per-share calculations that are impacted by the amendments. The ASU is effective for public business entities that meet the definition of a Securities and Exchange Commission (SEC) filer, excluding smaller reporting companies as defined by the SEC, for fiscal years beginning after December 15, 2021. Early adoption is permitted. The FASB noted that an entity should adopt the guidance as of the beginning of its annual fiscal year. The standard is effective for the Company beginning in fiscal year September 30, 2024. Entities may elect to adopt the amendments through either a modified retrospective method of transition or a fully retrospective method of transition. If an entity has convertible instruments that include a down round feature, early adoption of the ASU is permitted for fiscal years beginning after December 15, 2020. ASU 2016-13 Measurement of Credit Losses on Financial Instrument is effective for fiscal years beginning after December 15, 2022. This is not expected to apply to the Company. In May 2021, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt-Modifications and Extinguishments (Subtopic 470-50), Compensation-Stock Compensation (Topic 718), and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815-40). The new ASU addresses issuer’s accounting for certain modifications or exchanges of freestanding equity-classified written call options. This amendment is effective for all entities, for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact this new guidance will have on its financial statements. The Company does not believe that any other recently issued but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying consolidated financial statements. |
Effect of the Planned Reverse Split (Unaudited) | In addition to the above, the ASU expands disclosure requirements for convertible instruments and simplifies areas of the guidance for diluted earnings-per-share calculations that are impacted by the amendments. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies and Going Concern (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Accounting Policies [Abstract] | ||
Schedule of instruments at fair value using level 3 valuation | The standard requires the utilization of the lowest possible level of input to determine fair value and carrying amounts of current liabilities approximate fair value due to their short-term nature. The Company accounts for certain instruments at fair value using level 3 valuation. At September 30, 2022 At September 30, 2021 Description Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Derivative Liability - - $ - - - $ 125,693 | |
Schedule of level 3 valuation financial instruments | A roll-forward of the level 3 valuation financial instruments is as follows: Derivative Balance at September 30, 2020 $ 128,628 Gain on debt extinguishment upon conversion of related note payable (8,851 ) Derivative expense 5,916 Balance at September 30, 2021 $ 125,693 Change in fair market value of warrant 8,710 Surrender of warrants (134,403 ) Balance at September 30, 2022 $ - | |
Schedule of potentially dilutive securities | The Company’s CEO and Chairman of the Board of Directors holds all issued and outstanding shares of Series A Preferred Stock, which confers upon him a majority vote in all Company matters including authorization of additional shares of common stock or reverse stock split. As of June 30, 2023 and 2022, potentially dilutive securities consisted of the following: June 30, June 30, Stock options 16 16 Warrants 2,240,000 399,257 Series B Preferred Stock 922,128,000 - Third party convertible debt 1,108,244,329 18,643,854 Total 2,032,612,345 19,043,127 | As of September 30, 2022, and 2021, potentially dilutive securities consisted of the following: September 30, September 30, Stock options 16 17 Warrants 2,240,000 42,777 Series B Preferred Stock 4,480,000 - Third party convertible debt (including senior debt) 31,756,035 2,549,848 Total 38,476,051 2,592,642 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Accounts Receivable [Abstract] | ||
Schedule of accounts receivable | The Company’s accounts receivable at June 30, 2023 and September 30, 2022 was as follow: June 30, September 30, Accounts receivable $ 268,180 $ 419,951 Reserve for doubtful accounts - - $ 268,180 $ 419,951 | The Company’s accounts receivable at September 30, 2022 and 2021 is as follow: September 30, September 30, Accounts receivable $ 419,951 $ 128,386 Reserve for doubtful accounts - - $ 419,951 $ 128,386 |
Convertible and Promissory No_2
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Convertable and Promissory Notes Payable – Related Party Officer and his Affiliates [Abstract] | ||
Schedule of Related Party Officer and His Affiliates Convertible Notes | The outstanding balance of convertible and other notes issued to the Company’s chief executive officer and his affiliates consisted of the following at June 30, 2023 and September 30, 2022: June 30, September 30, Principal $ 5,930,804 $ 13,537 Premiums 1,220,986 - Short term $ 7,151,790 $ 13,527 | The related party officer and his affiliates convertible and other notes balance consisted of the following at September 30, 2022 and September 30, 2021: September 30, September 30, Principal $ 13,537 $ - Long term $ 13,527 $ - |
Convertible Notes Payable and_2
Convertible Notes Payable and Advisory Fee Liabilities (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Convertible Notes Payable and Advisory Fee Liabilities [Abstract] | ||
Schedule of Senior Secured Credit Facility Note Balance and Convertible Debt Balances | The senior secured credit facility note balance and convertible debt balances consisted of the following at June 30, 2023 and September 30, 2022: June 30, September 30, 2023 2022 Principal $ 297,019 $ 5,978,891 Premiums 288,448 1,443,435 $ 585,467 $ 7,442,326 | The senior secured credit facility note balance and convertible debt balances consisted of the following at September 30, 2022 and 2021: September 30, September 30, 2022 2021 Principal $ 5,978,891 $ 6,167,407 Premiums 1,443,435 1,509,673 Unamortized discounts - (14,440 ) $ 7,422,326 $ 7,662,640 |
Notes and Loans Payable (Tables
Notes and Loans Payable (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Notes and Loans Payable [Abstract] | ||
Schedule of Loans and Notes Payable | The notes balance consisted of the following at June 30, 2023 and September 30, 2022 June 30, September 30, Principal loans and notes $ 704,967 $ 615,500 Discounts (31,091 ) (270,064 ) Total 673,876 345,436 Less Current portion (523,876 ) (217,897 ) Non-current $ 150,000 $ 127,539 | September 30, September 30, Principal loans and notes $ 615,500 $ 519,054 Discounts (270,064 ) (45,816 ) Total 345,436 473,238 Less Current portion (217,897 ) (170,036 ) Non-current $ 127,539 $ 303,202 |
Stockholders' Deficit (Tables)
Stockholders' Deficit (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Stockholders' Deficit [Abstract] | ||
Schedule of the Company's Stock Options Activity | For the nine months ended June 30, 2023, a summary of the Company’s stock options activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding at September 30, 2022 16 $ 220,000 1.97 $ - $ - Outstanding and Exercisable at June 30, 2023 16 $ 220,000 1.22 $ - $ - | For the years ended September 30, 2022 and 2021, a summary of the Company’s stock options activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding at September 30, 2020 18 220,000.00 5.29 - - Forfeited (1 ) Outstanding at September 30, 2021 17 230,000.00 3.71 - - Forfeited (1 ) - - - Outstanding and Exercisable at September 30, 2022 16 220,000.00 1.97 - - |
Schedule of the Company's Warrant Activity | For the nine months ended June 30, 2023, a summary of the Company’s warrant activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding and exercisable at September 30, 2022 2,240,000 $ 0.20 6.75 $ 0.20 $ 448,000 Outstanding and exercisable at June 30, 2023 2,240,000 $ 0.20 6.00 $ 0.20 $ - | For the years ended September 30, 2022 and 2021, a summary of the Company’s warrant activity is as follows: Number of Weighted- Weighted- Weighted- Aggregate Outstanding and exercisable at September 30, 2020 25,484 $ 1.90 2.11 $ - $ 71,866 Anti-dilution adjustment 17,293 - - - - Outstanding and exercisable at September 30, 2021 42,777 $ 1.12 1.11 - $ 93,255 Anti-dilution adjustment 356,479 - - - - Surrender of warrants (399,256 ) - - - - Issuance of warrants 2,240,000 $ 0.20 6.75 $ 0.20 $ 448,000 Outstanding and exercisable at September 30, 2022 2,240,000 $ 0.20 6.5 $ 0.20 $ 224,000 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2022 | |
Income Taxes [Abstract] | |
Schedule of Reconciliation of the Provision for Income Taxes | The provision for (benefit from) income taxes consists of the following: Year Ended Year Ended Current Federal $ - $ - State - - - - Deferred Federal - - State - - - - Total income tax provision (benefit) $ - $ - |
Schedule of Reconciliation of the Provision for Income Taxes at the Federal Statutory Rates | A reconciliation of the provision for income taxes at the federal statutory rates of 21% to the Company’s provision for income tax is as follows: Year Ended Year Ended U.S. Federal (tax benefit) provision at statutory rate $ (561,403 ) $ (395,235 ) State (tax benefit) income taxes, net of federal benefit (225,898 ) (159,035 ) Permanent differences (40,511 ) (1,040,685 ) True up 78,612 638,984 Changes in valuation allowance 749,200 955,971 Total $ - $ - |
Schedule of Deferred Tax Assets and Liabilities | Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The following table presents the significant components of the Company’s deferred tax assets and liabilities for the periods presented: September 30, September 30, Deferred Tax Assets Stock-based compensation $ 873,096 $ 872,055 Accrued salary – unpaid 827,377 826,390 Net operating losses 5,147,202 4,400,030 Total deferred tax assets 6,847,675 6,098,475 Valuation allowance (6,847,675 ) (6,098,475 ) Net deferred tax assets - - Deferred Tax Liabilities Identifiable intangibles - Howco Purchase - - Total deferred tax liabilities - - Net deferred tax $ - $ - |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Commitments and Contingencies [Abstract] | ||
Schedule of Right of Use Asset | Right of use asset (ROU) is summarized below: June 30, September 30, Operating lease at inception $ 140,561 $ 156,554 Less accumulated reduction (- ) (122,986 ) Balance ROU asset $ 140,561 $ 33,568 Operating lease liabilities at inception $ 140,561 $ 156,554 Reduction of lease liabilities (- ) (122,079 ) Total lease liabilities $ 140,561 $ 34,475 Less: current portion (40,311 ) - Lease liabilities, non-current $ 100,250 $ - Total minimum operating lease payments $ 167,061 $ 42,929 Less discount to fair value (26,500 ) (8,454 ) Total lease liability $ 140,561 $ 34,475 | Right of use asset (ROU) is summarized below: September 30, September 30, Operating lease at inception - June 2, 2020 $ 156,554 $ 156,554 Less accumulated reduction (122,986 ) (70,807 ) Balance ROU asset $ 33,568 $ 85,747 Operating lease liabilities at inception - June 2, 2020 $ 156,554 $ 156,554 Reduction of lease liabilities (122,079 ) (69,564 ) Total lease liabilities $ 34,475 $ 86,990 Less: current portion - (52,178 ) Lease liabilities, non-current $ - $ 34,812 Total minimum operating lease payments $ 42,929 $ 106,298 Less discount to fair value (8,454 ) (19,308 ) Total lease liability $ 34,475 $ 86,990 |
Schedule of Future Minimum Lease Payments | Future minimum lease payments under non-cancellable operating leases at June 30, 2023 are as follows: Years ending September 30, Amount 2024 $ 31,277 2025 56,279 2026 53,005 Total minimum non-cancelable operating lease payments $ 140,561 | Future minimum lease payments under non-cancellable operating leases at September 30, 2022 are as follows: Years ending September 30, Amount 2023 42,929 Total minimum non-cancelable operating lease payments $ 42,929 |
Promissory Notes Payable _ Re_2
Promissory Notes Payable – Related Party Officer and His Affiliates (Tables) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Promissory Notes Payable – Related Party Officer and His Affiliates [Abstract] | ||
Schedule of Outstanding Balance of Convertible and Other Notes Issued | The outstanding balance of convertible and other notes issued to the Company’s chief executive officer and his affiliates consisted of the following at June 30, 2023 and September 30, 2022: June 30, September 30, Principal $ 5,930,804 $ 13,537 Premiums 1,220,986 - Short term $ 7,151,790 $ 13,527 | The related party officer and his affiliates convertible and other notes balance consisted of the following at September 30, 2022 and September 30, 2021: September 30, September 30, Principal $ 13,537 $ - Long term $ 13,527 $ - |
Nature of Operations (Details)
Nature of Operations (Details) | Jul. 11, 2023 |
Nature of Operations [Abstract] | |
Reverse stock Split ratio, description | On July 11, 2023, the Company filed a certificate of amendment to its certificate of incorporation, as amended, to effect a one-for-one thousand (1:1,000) Reverse Stock Split (the “Reverse Stock Split”). Proportional adjustments for the Reverse Stock Split were made to the Company’s outstanding stock options, warrants and equity incentive plans. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies and Going Concern (Details) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
May 04, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | |
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||||||||
Net loss | $ (643,383) | $ (457,257) | $ (2,255,726) | $ (2,032,933) | $ (2,673,346) | $ (1,882,071) | ||
Cash in operations | 479,809 | 479,809 | 1,644,132 | |||||
Working capital deficit | 18,073,165 | 15,800,583 | ||||||
Stockholders’ deficit | 18,642,457 | 16,578,533 | ||||||
Accumulated deficit | $ (37,885,912) | (37,885,912) | (35,630,186) | (32,956,840) | ||||
Capitalization cost | $ 2,000 | $ 2,000 | ||||||
Depreciates demonstration period | 3 years | 3 years | 3 years | |||||
Depreciation expense | $ 0 | 7,374 | ||||||
Salvageable value | $ 1,461 | 1,461 | ||||||
Legal fees related to the patent | $ 90,000 | $ 44,650 | ||||||
Amortized period | 5 years | |||||||
Cost of sales amount | 39,382 | $ 45,316 | $ 61,032 | $ 47,716 | ||||
Lease liability | $ 140,561 | $ 140,561 | $ 156,554 | |||||
Options outstanding and exercisable (in Shares) | 16 | |||||||
Warrants outstanding and exercisable (in Shares) | 2,240,000 | |||||||
Shares of common stock (in Shares) | 31,756,035 | |||||||
Convertible debt, amount | $ 8,405,055 | |||||||
Potentially dilutive shares | 38,476,051 | |||||||
Shares converted percentage | 4.99% | |||||||
Outstanding shares percentage | 9.99% | |||||||
Operating segments | 3 | 3 | ||||||
Split description | In addition to the above, the ASU expands disclosure requirements for convertible instruments and simplifies areas of the guidance for diluted earnings-per-share calculations that are impacted by the amendments. The ASU is effective for public business entities that meet the definition of a Securities and Exchange Commission (SEC) filer, excluding smaller reporting companies as defined by the SEC, for fiscal years beginning after December 15, 2021. | |||||||
Net income loss | $ 2,255,726 | |||||||
Common Stock [Member] | ||||||||
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||||||||
Shares of common stock (in Shares) | 4,480,000 | |||||||
Minimum [Member] | ||||||||
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||||||||
Shares converted percentage | 4.99% | |||||||
Maximum [Member] | ||||||||
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||||||||
Outstanding shares percentage | 9.99% | |||||||
Series B Preferred Stock [Member] | ||||||||
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||||||||
Preferred stock, shares outstanding (in Shares) | 224,000 | 224,000 | 448,000 | 448,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies and Going Concern (Details) - Schedule of instruments at fair value using level 3 valuation - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Level 1 [Member] | ||
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||
Derivative Liability | ||
Level 2 [Member] | ||
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||
Derivative Liability | ||
Level 3 [Member] | ||
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||
Derivative Liability | $ 125,693 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies and Going Concern (Details) - Schedule of level 3 valuation financial instruments - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||
Balance as of beginning | $ 125,693 | $ 128,628 |
Change in fair market value of warrant | 8,710 | |
Surrender of warrants | (134,403) | |
Balance as of ending | 125,693 | |
Gain on debt extinguishment upon conversion of related note payable | (8,851) | |
Derivative expense | $ 5,916 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies and Going Concern (Details) - Schedule of potentially dilutive securities - shares | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||||
Stock options | 16 | 16 | 16 | 17 |
Warrants | 2,240,000 | 399,257 | 2,240,000 | 42,777 |
Series B Preferred Stock | 922,128,000 | 4,480,000 | ||
Third party convertible debt (including senior debt) | 1,108,244,329 | 18,643,854 | 31,756,035 | 2,549,848 |
Total | 2,032,612,345 | 19,043,127 | 38,476,051 | 2,592,642 |
Accounts Receivable (Details)
Accounts Receivable (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Accounts Receivable [Line Items] | ||||
Bad debt expense | $ 0 | $ 0 | $ 0 | $ 0 |
Accounts Receivable (Details) -
Accounts Receivable (Details) - Schedule of accounts receivable - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Schedule Of Accounts Receivable Abstract | |||
Accounts receivable | $ 268,180 | $ 419,951 | $ 128,386 |
Reserve for doubtful accounts | |||
Total accounts receivable | $ 268,180 | $ 419,951 | $ 128,386 |
Inventory (Details)
Inventory (Details) - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Inventory [Abstract] | |||
Inventory finished goods value | $ 55,123 | $ 92,917 | $ 61,837 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) | 12 Months Ended | |
May 04, 2023 | Sep. 30, 2022 | |
Intangible Assets [Abstract] | ||
Legal fees | $ 90,000 | $ 44,650 |
Amortization of intangible assets | 8,931 | |
Net carrying value | $ 35,719 |
Line of Credit - Bank (Details)
Line of Credit - Bank (Details) - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Line of Credit - Bank [Abstract] | |||
Balance of the line of credit | $ 20,000 | $ 4,885 | |
Line of credit available | 30,000 | 50,000 | |
Line of credit | 20,000 | 0 | |
Revolving Line of Credit [Member] | |||
Line of Credit - Bank [Abstract] | |||
Revolving line of credit | $ 50,000 | $ 50,000 | |
Debt interest rate | 12.50% | 10.50% | 7.50% |
Chief Executive Officer [Member] | |||
Line of Credit - Bank [Abstract] | |||
Debt interest rate | 4.25% | 4.25% |
Settlements Payable (Details)
Settlements Payable (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||||||||||||
Jun. 30, 2023 | May 31, 2023 | May 04, 2023 | Apr. 28, 2023 | Jun. 27, 2022 | Jan. 27, 2020 | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Apr. 12, 2023 | Mar. 31, 2023 | Feb. 14, 2023 | Mar. 07, 2022 | Jul. 20, 2018 | |
Settlements Payable [Line Items] | ||||||||||||||
Settlement agreement | $ 127,056 | |||||||||||||
Initial payment | $ 12,706 | |||||||||||||
Monthly payments | 6,500 | $ 3,000 | ||||||||||||
Final payment | $ 3,850 | $ 8,546,334 | ||||||||||||
Collection fees | $ 6,750 | $ 7,042 | ||||||||||||
Monthly payment | 5,000 | |||||||||||||
Amount due | 57,448 | $ 154,562 | $ 42,850 | |||||||||||
Settlement payable balance amount | $ 119,670 | |||||||||||||
Common stock shares issued (in Shares) | 36,821,330 | 36,821 | ||||||||||||
Collection fees | $ 7,042 | |||||||||||||
Compensation | $ 130,400 | |||||||||||||
Cash | $ 2,222 | $ 85,000 | ||||||||||||
Legal fees | $ 90,000 | $ 44,650 | ||||||||||||
Payments made | $ 60,000 | $ 60,000 | ||||||||||||
American Express [Member] | ||||||||||||||
Settlements Payable [Line Items] | ||||||||||||||
Amount due | $ 0 | $ 34,892 | $ 42,850 |
Note Payable - Seller (Details)
Note Payable - Seller (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2016 | |
Note Payable - Seller [Line Items] | ||||
Notes bears interest rate | 5.50% | 5.50% | ||
Default interest rate | 8% | 8% | ||
Maturity date of note | Sep. 09, 2017 | |||
Howco [Member] | ||||
Note Payable - Seller [Line Items] | ||||
Issuance of note payable | $ 900,000 | |||
Principal of note payable | $ 834,000 | $ 837,000 | $ 873,000 | |
Accrued interest | $ 458,946 | $ 409,063 | $ 340,663 |
Convertible and Promissory No_3
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||
Jan. 07, 2024 | Jul. 12, 2022 | Jun. 06, 2022 | May 25, 2022 | May 18, 2022 | Jul. 12, 2021 | Jul. 01, 2021 | Apr. 14, 2020 | Jan. 27, 2020 | Sep. 13, 2019 | Jul. 02, 2019 | Apr. 25, 2022 | Jan. 25, 2022 | Jun. 27, 2021 | May 21, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Dec. 22, 2020 | Jun. 30, 2020 | Apr. 15, 2020 | Jan. 19, 2019 | Dec. 30, 2018 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | Jan. 02, 2023 | |
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Convertible note payable | $ 840,000 | $ 90,000 | $ 90,000 | $ 222,000 | ||||||||||||||||||||||||||
Interest annual rate | 7% | |||||||||||||||||||||||||||||
Accrued interest balance | $ 688,444 | $ 0 | ||||||||||||||||||||||||||||
Accrued interest balance | $ 210,409 | $ 221,323 | ||||||||||||||||||||||||||||
Common stock, percentage | 50% | |||||||||||||||||||||||||||||
Note bears interest | 10% | 98% | 10% | |||||||||||||||||||||||||||
Loss on debt extinguishment | $ 688,444 | |||||||||||||||||||||||||||||
Balance of principal amount | $ 150,000 | 377,194 | ||||||||||||||||||||||||||||
Converted or paid in cash long with accrued interest | 224,370 | |||||||||||||||||||||||||||||
Recognized gain on extinguishment of debt | 377,194 | |||||||||||||||||||||||||||||
Accrued interest | $ 744 | $ 747 | $ 2,750 | $ 2,750 | 0 | 5,277 | ||||||||||||||||||||||||
Debt premium | 281,054 | |||||||||||||||||||||||||||||
Principal and accrued interest | 744 | |||||||||||||||||||||||||||||
Gain on extinguishment of debt | $ 159,846 | $ 234,933 | (370,075) | (1,536,815) | ||||||||||||||||||||||||||
Payment of monthly principal and interest | $ 6,500 | 3,000 | ||||||||||||||||||||||||||||
Principal and interest balance | the Company amended the note with a principal and interest balance of $195,000, and $17,947 | |||||||||||||||||||||||||||||
Converted to common stock | $ 180,750 | |||||||||||||||||||||||||||||
Short-term advances totaling | 60,400 | |||||||||||||||||||||||||||||
Charged to interest expense | 18,945 | |||||||||||||||||||||||||||||
Chief Executive Officer [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Convertible note payable | $ 14,250 | |||||||||||||||||||||||||||||
Accrued interest balance | $ 76,619 | |||||||||||||||||||||||||||||
Common stock, percentage | 50% | 50% | ||||||||||||||||||||||||||||
Note bears interest | 10% | 12% | ||||||||||||||||||||||||||||
Loss on debt extinguishment | $ 195,000 | |||||||||||||||||||||||||||||
Principal value | $ 2,500 | |||||||||||||||||||||||||||||
Accrued interest | 20,855 | $ 1,799 | ||||||||||||||||||||||||||||
Cash loan | $ 200,000 | $ 400,000 | ||||||||||||||||||||||||||||
Principal and accrued interest | 83,133 | |||||||||||||||||||||||||||||
Payments of interest | 367,500 | $ 76,619 | ||||||||||||||||||||||||||||
Interest rate percentage | 10% | |||||||||||||||||||||||||||||
Debt premium | $ 367,500 | |||||||||||||||||||||||||||||
Convertible note payable, description | the principal amount of $69,391, in replacement for the amounts owed to an entity controlled by Mr. Bannon The new note interest rate is 10%, and it matures on January 31, 2022. The new note principal and interest may be converted into the Company’s common stock at 50% of the lowest closing bid price in the thirty days preceding the conversion notice. This issuance was treated as a debt extinguishment of the old note and the new note conversion terms have been treated as stock settled debt under ASC 480, and put premium of $69,391 was recognized with a charge to interest expense. The principal and accrued interest was $69,391 and $5,332 respectively as of September 30, 2020. During the year ended September 30, 2021 the principal and accrued interest of $6,206 was fully paid in cash and $69,391 was recognized as gain on extinguishment of debt. | |||||||||||||||||||||||||||||
Chief Executive Officer [Member] | Subsequent Event [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Note bears interest | 12% | |||||||||||||||||||||||||||||
Payment of monthly principal and interest | $ 5,000 | |||||||||||||||||||||||||||||
Convertible Notes Payable [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Convertible note payable | 840,000 | |||||||||||||||||||||||||||||
Repayments of principal | 13,537 | |||||||||||||||||||||||||||||
Charged to interest expense | 10,783 | |||||||||||||||||||||||||||||
Convertible Notes Payable [Member] | Chief Executive Officer [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Common stock, percentage | 50% | |||||||||||||||||||||||||||||
Note bears interest | 10% | |||||||||||||||||||||||||||||
Cash loan | $ 17,000 | |||||||||||||||||||||||||||||
Debt premium | $ 17,000 | |||||||||||||||||||||||||||||
Principal and accrued interest | 2,152 | |||||||||||||||||||||||||||||
Gain on extinguishment of debt | $ 17,000 | |||||||||||||||||||||||||||||
Line of Credit [Member] | Chief Executive Officer [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Convertible note payable | $ 132,803 | |||||||||||||||||||||||||||||
Note bears interest | 7% | |||||||||||||||||||||||||||||
Principal value | 99,142 | |||||||||||||||||||||||||||||
Accrued interest | $ 32,900 | 31,260 | ||||||||||||||||||||||||||||
Line of Credit [Member] | Chief Executive Officer [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Advance amount | 64,940 | $ 100,000 | ||||||||||||||||||||||||||||
Note 2 [Member] | Chief Executive Officer [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Common stock, percentage | 50% | |||||||||||||||||||||||||||||
Note bears interest | 10% | |||||||||||||||||||||||||||||
Accrued interest | 0 | $ 1,843 | ||||||||||||||||||||||||||||
Cash loan | $ 15,000 | |||||||||||||||||||||||||||||
Debt premium | $ 15,000 | 15,000 | ||||||||||||||||||||||||||||
Principal and accrued interest | (2,155) | |||||||||||||||||||||||||||||
Non-Convertible Promissory Note [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Convertible note payable, description | On July 12, 2021 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $2,580 for twenty-five weeks, which include a total of $14,500 of interest. | On April 25, 2022 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $1,570 for fifty weeks, which include a total of $28,500 of interest. | On January 25, 2022 a promissory note was issued to the CEO by Howco for $75,000 having weekly payments of $3,870 for twenty-five weeks, which include a total of $21,750 of interest. | On June 27, 2021 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $2,580 for twenty-five weeks, which include a total of $14,500 of interest. | On May 21, 2021 a promissory note was issued to the CEO by Howco for $40,000 having weekly payments of $2,080 for twenty-five weeks, which include a total of $12,000 of interest. | On December 22, 2020 a promissory note was issued to the CEO by Howco for $50,000 having weekly payments of $2,580 for twenty-five weeks, which include a total of $14,500 of interest. The principal and interest due were fully paid at September 30, 2021. | ||||||||||||||||||||||||
Promissory Note [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Repayments of principal | 40,000 | |||||||||||||||||||||||||||||
Interest expense | 8,308 | |||||||||||||||||||||||||||||
Principal amount | $ 0 | 13,527 | 0 | |||||||||||||||||||||||||||
Repayments of principal | $ 0 | |||||||||||||||||||||||||||||
Promissory Note 1 [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Repayments of principal | 50,000 | |||||||||||||||||||||||||||||
Interest expense | 6,692 | |||||||||||||||||||||||||||||
Principal amount | 0 | |||||||||||||||||||||||||||||
Promissory Note 2 [Member] | ||||||||||||||||||||||||||||||
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) [Line Items] | ||||||||||||||||||||||||||||||
Repayments of principal | 50,000 | |||||||||||||||||||||||||||||
Interest expense | 6,135 | |||||||||||||||||||||||||||||
Principal amount | $ 0 |
Convertible and Promissory No_4
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) - Schedule of Related Party Officer and His Affiliates Convertible Notes - Convertible Notes Payable [Member] - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Convertible and Promissory Notes Payable – Related Party Officer and his Affiliates (Details) - Schedule of Related Party Officer and His Affiliates Convertible Notes [Line Items] | |||
Principal | $ 5,930,804 | $ 13,537 | |
Long term | $ 7,151,790 | $ 13,527 |
Convertible Notes Payable and_3
Convertible Notes Payable and Advisory Fee Liabilities (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 8 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Apr. 12, 2023 | Mar. 01, 2023 | Feb. 01, 2023 | Jan. 11, 2023 | Dec. 01, 2022 | Nov. 17, 2022 | Oct. 03, 2022 | Sep. 23, 2022 | Sep. 01, 2022 | Aug. 01, 2022 | Jul. 12, 2022 | Jul. 01, 2022 | Jun. 06, 2022 | Jun. 01, 2022 | May 25, 2022 | May 18, 2022 | May 01, 2022 | Apr. 01, 2022 | Mar. 07, 2022 | Mar. 01, 2022 | Feb. 01, 2022 | Jan. 11, 2022 | Jan. 01, 2022 | Dec. 01, 2021 | Nov. 12, 2021 | Nov. 01, 2021 | Oct. 01, 2021 | Sep. 17, 2021 | Sep. 01, 2021 | Aug. 17, 2021 | Aug. 01, 2021 | Jul. 01, 2021 | Jun. 14, 2021 | May 03, 2021 | Mar. 15, 2021 | Jan. 12, 2021 | Dec. 15, 2020 | Nov. 02, 2020 | Jul. 10, 2020 | Jun. 09, 2020 | May 14, 2020 | Apr. 20, 2020 | Feb. 20, 2020 | Nov. 17, 2019 | Nov. 01, 2019 | Jul. 12, 2019 | Jul. 02, 2019 | Mar. 01, 2019 | Nov. 13, 2018 | Nov. 13, 2018 | Oct. 30, 2018 | Aug. 29, 2018 | Mar. 07, 2018 | Jan. 30, 2018 | Jan. 03, 2018 | Nov. 09, 2017 | Jun. 30, 2017 | Mar. 13, 2017 | Mar. 13, 2017 | Sep. 13, 2016 | Jul. 19, 2021 | Mar. 31, 2021 | Feb. 15, 2021 | Aug. 28, 2020 | Apr. 15, 2020 | Jun. 30, 2023 | Jun. 30, 2022 | Mar. 30, 2023 | May 01, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 01, 2023 | Jun. 01, 2023 | Mar. 31, 2023 | Sep. 18, 2020 | Aug. 18, 2020 | Aug. 01, 2020 | Jul. 18, 2020 | Jul. 01, 2020 | Jun. 18, 2020 | Jun. 01, 2020 | May 18, 2020 | May 01, 2020 | Apr. 18, 2020 | Apr. 01, 2020 | Mar. 18, 2020 | Mar. 01, 2020 | Feb. 01, 2020 | Jan. 18, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 18, 2019 | Nov. 18, 2019 | Oct. 18, 2019 | Sep. 18, 2019 | Aug. 18, 2019 | Jul. 18, 2019 | Jul. 01, 2019 | Jun. 18, 2019 | May 18, 2019 | Apr. 18, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Mar. 28, 2017 | |
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of debt discounts | $ 0 | $ 19,937 | $ 21,940 | $ 30,533 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 135,000 | $ 135,000 | 53,750 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reserve shares of common stock (in Shares) | 7 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sales proceeds | $ 270,320 | $ 308,100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Embedded conversion option as stock settled debt | $ 617,647 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Increase in interest rate, percentage | 25% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities shares issued (in Shares) | 1,273 | 102 | 1,273 | 102 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares cancelled (in Shares) | 195 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible debt balance amount | $ 421,587 | 421,587 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | 281,054 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt conversion rate, description | The conversion feature allows for conversion into common shares at the lesser of: a) 70% of the share price on the date of the note; or b) 50% of the lowest bid price during the 30 trading days preceding the date of the notice of conversion. In connection with the issuance of this Note, the Company determined that the terms of the Note contain a conversion formula that caused variations in the conversion price resulting in the treatment of the conversion option as a bifurcated derivative to be accounted for at fair value. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Conversion discount | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | 50% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense premium | $ 93,850 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount converted into common stock | $ 15,000 | $ 15,000 | $ 55,000 | $ 55,000 | $ 2,200 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total accrued interest | $ 744 | $ 747 | $ 2,750 | $ 2,750 | 0 | 5,277 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Conversions principal balance | 0 | 91,300 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Additional paid in capital | $ 28,942 | 91,300 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivable amount | $ 20,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash | $ 85,000 | $ 2,222 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Promissory notes | $ 17,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note, description | On January 11, 2022, the Company executed a convertible promissory note issued to Sixth Street Lending LLC for $53,750, having a 10% annual interest rate, maturity of January 11, 2023, and conversion right to a 35% discount to the average of the two lowest traded price in the 15 days prior to delivery of a conversion notice. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,942 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The note was funded for $50,000, with $3,750, disbursed for legal and execution fees. During the year ended September 30, 2022 the note holder fully converted principal and accrued interest of $53,750 and $2,688 into of common stock. Premium of $28,942 was reclassified to additional paid in capital. | On November 12, 2021, the Company executed a convertible promissory note issued to Sixth Street Lending LLC for $55,000, having a 10% annual interest rate, maturity of November 12, 2022, and conversion right to a 35% discount to the average of the two lowest traded price in the 15 days prior to delivery of a conversion notice. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $29,615 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The note was funded for $51,250, with $3,750, disbursed for legal and execution fees. At September 30, 2022, the note principal and accrued interest was fully converted into common stock and $29,615 of premium was reclassified to additional paid in capital. | On August 17, 2021, the Company entered into a convertible promissory note with Geneva Roth Remark Holdings, Inc. (“Lender”) in the principal amount of $45,000, (the “August 17, 2021 Note”). The August 17, 2021 Note carries interest at the rate of 10%, matures on August 17, 2022, and is convertible into shares of the Company’s common stock, par value $0.0001, at the Lender’s election, after 180 days, at a 35% discount, provided that the Lender may not own greater than 4.99% of the Company’s common stock at any time. The note was funded for $41,250, with $3,750, disbursed for legal and execution fees. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $24,231 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. At September 30, 2021, the principal and accrued interest was $45,000 and $561, respectively. On February 11, 2022, the Company redeemed the note for $63,746 in cash, for the principal of $45,000, penalties of $17,533 and accrued interest of $2,213, OID of $3,298 was recognized as interest expense and a gain on debt settlement of $7,698 was recognized. | The note bears interest at 5%, matures on June 30, 2019 and is convertible into the Company’s common stock at 50% of the lowest closing bid price during the 20 trading days immediately preceding the notice of conversion. | The note bears interest at 5%, matures on June 30, 2019 and is convertible into the Company’s common stock at 50% of the lowest closing bid price during the 20 trading days immediately preceding the notice of conversion. | The convertible note (the “Note”) issued to Crown Bridge in the principal amount of $105,000, has an original issue discount of $10,500 and issue costs of $19,000 both of which are recorded as debt discount along with the warrant relative fair value of $12,507 for the original 0.1 warrant and $32 for the penalty warrants to be amortized over the twelve month term of this tranche, bears interest of 10% (12% default rate) per annum, and has a maturity date of 12 months from the date of each tranche of payments under the Note with future tranches being at the discretion of Crown Bridge. The conversion rate for any conversion of unpaid principal and interest under the Notes is at a 35% discount to the lowest market price of the shares of the Company’s common stock within a 20 day trading period prior to the date of conversion to which an additional 10% discount will be added if the conversion price of the Company’s common stock is less than $50,000 per share and no shares of the Company’s common stock can be issued to the extent Crown Bridge would own more than 4.99% of the outstanding shares of the Company’s common stock and the conversion shares contain piggy-back registration rights. The Note is subject to customary default provisions including an event of default if the bid price of the Company’s common stock is less than its par value of $.0001 per share. The Company is entitled to prepay the Note between 30 days after its issuance until 180 days from its issuance at amounts that increase from 112% of the prepayment amount to 137% of the prepayment amount depending on the length of time when prepayments are made. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $56,538 with a charge to interest expense. As of September 30, 2018 the note holder fully converted principal and accrued interest into common shares. The debt premium on stock settled debt was fully recognized as additional paid in capital. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt extinguishment | $ 159,846 | 234,933 | $ (370,075) | (1,536,815) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-convertible note | $ 17,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 820 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal balance amounted | 45,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 752 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory notes | $ 15,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible notes | $ 15,000 | $ 90,000 | $ 90,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | $ 6,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bearing interest | 10% | 98% | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | 15,000 | 630,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 0 | 378 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | 10% | 10% | 10% | 10% | 10% | 10% | 10% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal balance | $ 2,090,007 | $ 105,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal and accrued interest | 744 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassified additional paid in capital | $ 90,000 | 15,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 5,388 | 90,000 | 90,000 | 90,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Frondeur notes | 135,000 | 105,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Livingston notes | 45,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 3,631 | 752 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt issuance | $ 6,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt instrument fixed interest rate, percentage | 12% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative liability | $ 10,435 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt discount | 6,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative expense on issuance | 4,035 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of debt discounts | $ 6,000 | 276,972 | $ 65,753 | $ 157,446 | 183,992 | $ 5,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative fair value | $ 8,881 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense and debt discount balances | $ 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Extinguishment of debt, description | During the year ended September 30, 2021 the note principal was fully repaid in cash and the derivative liability was recognized as gain on extinguishment of debt. The following notes have been issued to the law firm, each having six-month term to maturity and 12% annual interest but a change in the conversion terms such that a fixed discount of 50% of the lowest bid price in the 30 trading days immediately preceding the notice of conversion. The notes have cross default provisions. The Company has accounted for the convertible promissory notes as stock settled debt under ASC 480 and recorded debt premiums equal to the face value of the notes with a charge to interest expense. The note principal amount was charged to professional fees during the month the note was issued. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible note issued amount | $ 4,000 | 4,000 | $ 4,000 | $ 4,000 | $ 4,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agreement principal owned amount | 56,000 | $ 20,000 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Vendor settlement | $ 161,700 | 161,700 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium charge to interest expense | $ 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Holder accrued interest | 2,688 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate | 18% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
tw bsrstmg | $ 298,341 | $ 543,624 | 543,624 | 738,946 | 1,456,586 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ekimnel strategies llc | 100% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agreement value | $ 8,546,334 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal of aggregate amount | $ 135,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deposit liabilitie accrued interest | 6,725 | 3,631 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common shares conversion stock (in Shares) | 4,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal fees | $ 10 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total accrued interest | $ 44,692 | 36,614 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Livingston Asset Management LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible note, description | The placement agent services fee amounted to $15,000 payable to Scottsdale Capital Advisors in the form of a convertible note. The note matures six months from the date of issuance and shall accrue interest at the rate of 10% per annum. The $15,000 note is convertible into shares of the Company’s common stock at a discount of 30% of the low closing bid price for the twenty trading days prior to the conversion and is not subject to any registration rights. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $6,429 with a charge to interest expense. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Settlement agreement, description | The Company will issue free trading shares of its common stock under section 3(a) (10) of the Securities Act to Livingston in the amount of such judgment in a series of tranches so that Livingston will not own more than 9.99% of the Company’s outstanding shares per tranche. The parties reasonably estimate that the fair market value of the Settlement Shares to be received by Livingston is equal to approximately $1,666,667 which is based on a discount of 40%. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Conversion discount | 50% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash | $ 3,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note, description | The notes bear interest of 10% per annum and mature in six months. The promissory notes are convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the 30 trading days prior to conversion. The notes having a conversion feature are treated as stock settled debt under ASC 480 and a debt premium of $17,000 is recognized as interest expense on note issuance date. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt extinguishment | 263,938 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible note, description | The placement agent services fee amounted to $15,000 payable to Scottsdale Capital Advisors in the form of a convertible note. The note matures six months from the date of issuance and accrues interest at the rate of 10% per annum. The $15,000 note is convertible into shares of the Company’s common stock at a discount of 30% of the low closing bid price for the twenty trading days prior to the conversion and is not subject to any registration rights. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $6,429 with a charge to interest expense. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Frondeur PartnersLLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | 90,000 | $ 15,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Conversion discount | 50% | 50% | 50% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 3,203 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bearing interest | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | $ 15,000 | $ 15,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of debt discounts | $ 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Frondeur PartnersLLC [Member] | Minimum [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bearing interest | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Frondeur PartnersLLC [Member] | Maximum [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bearing interest | 12% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Crown Bridge Partners, LLc [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 105,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments received | $ 75,500 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note, description | On March 1, 2019, the Company received a second tranche advance under the Crown Bridge Partners, LLC, master note dated October 25, 2017, for principal amount of $35,000, including covered fees and original issue discount totaling $5,000. Under the conversion terms of the above note, the holder is entitled to a 35% discount plus an additional 10% discount based on the conversion rights of certain other note holders. Therefore, a discount of 45% is assumed for any conversions of this note tranche. The Company has accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded a debt premium of $28,636 with a charge to interest expense. The original issue discount and fees charged were treated as debt discount and will be amortized to financing expenses over the term of the note. Following conversions during the year ended September 30, 2020 the principal balance and debt premium balances were reduced and the unamortized debt discount was $0, at September 30, 2020. The principal was increased by charges of $17,500 for technical default effective during the year ended September 30, 2020 and an additional put premium was calculated to be $26,250. The cross-default provisions of the note include defaults on any notes issued to third parties including any issued subsequent to the issuance of this note. The default charge and the put premium were charged to interest expense at June 30, 2020. The conversion discount increased to 60% as a result of the default. The note principal and accrued interest of $10,987 was redeemed for cash during the year ended September 30, 2022. The principal and accrued interest balances were $2,766 and $6,464, respectively at September 30, 2021. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Warrant purchase (in Shares) | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tranche value | $ 350,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitment fee | $ 350 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trillium Partners LP [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | 10,395 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note, description | The principal balance of $10,000 was reclassified to notes and loans payable and the related put premium totaling $10,000 was recognized as a gain on debt extinguishment on the date of the amendment. | On July 12, 2019, the Company issued a convertible promissory note to Trillium Partners LP for cash in the amount of $10,000. The note bears interest at 10%, matures on January 11, 2020, and was convertible into the Company’s common stock at 50% of the lowest closing bid price on the 20 trading days immediately preceding the notice of conversion. The Company accounted for the convertible promissory note as stock settled debt under ASC 480 and recorded debt premium $10,000 with a charge to interest expense for the note. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 1,854 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Geneva Roth Remark Holdings [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note, description | On September 17, 2021, the Company entered into a convertible promissory note with Geneva Roth Remark Holdings, Inc. (“Lender”) in the principal amount of $50,000, (the “September 17, 2021 Note”). The September 17, 2021 Note carries interest at the rate of 10%, matures on September 17, 2022, and is convertible into shares of the Company’s common stock, par value $0.0001, at the Lender’s election, after 180 days, at a 35% discount, provided that the Lender may not own greater than 4.99% of the Company’s common stock at any time. The note was funded for $46,250, with $3,750, disbursed for legal and execution fees. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $26,923 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. At September 30, 2021, the principal and accrued interest was $50,000 and $205, respectively. On March 25, 2022, the note was fully converted along with $2,500 of accrued interest and OID of $3,616 was recognized as interest expense and put premiums of $26,923 was reclassified to additional paid in capital. | On June 14, 2021, the Company entered into a convertible promissory note with Geneva Roth Remark Holdings, Inc. (“Lender”) in the principal amount of $58,500, (the “June 14, 2021 Note”). The June 14, 2021 Note carries interest at the rate of 10%, matures on June 14, 2022, and is convertible into shares of the Company’s common stock, par value $0.0001, at the Lender’s election, after 180 days, at a 35% discount, provided that the Lender may not own greater than 4.99% of the Company’s common stock at any time. The note was funded for $55,000, with $3,500, disbursed for legal and execution fees. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $31,500 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal, premium and accrued interest were $58,500, $31,500 and $1,715 respectively at September 30, 2021. The principal and accrued interest of $58,500 and $2,925 were fully converted into common stock during the three months ended December 31, 2021 and put premium of $31,500 was reclassified to additional paid in capital. | On May 3, 2021, the Company entered into a convertible promissory note with Geneva Roth Remark Holdings, Inc. (“Lender”) in the principal amount of $58,500, (the “May 3, 2021 Note”). The May 3, 2021 Note carries interest at the rate of 10%, matures on May 3, 2022, and is convertible into shares of the Company’s common stock, par value $0.0001, at the Lender’s election, after 180 days, at a 35% discount, provided that the Lender may not own greater than 4.99% of the Company’s common stock at any time. The note was funded for $55,000, with $3,500, disbursed for legal and execution fees. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $31,500 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal, premium and accrued interest were $58,500, $31,500 and $2,204 respectively at September 30, 2021. The principal and accrued interest of $58,500 and $2,925 were fully converted into common stock during the three months ended December 31, 2021 and put premium of $31,500 was reclassified to additional paid in capital. On June 14, 2021, the Company entered into a convertible promissory note with Geneva Roth Remark Holdings, Inc. (“Lender”) in the principal amount of $58,500, (the “June 14, 2021 Note”). The June 14, 2021 Note carries interest at the rate of 10%, matures on June 14, 2022, and is convertible into shares of the Company’s common stock, par value $0.0001, at the Lender’s election, after 180 days, at a 35% discount, provided that the Lender may not own greater than 4.99% of the Company’s common stock at any time. The note was funded for $55,000, with $3,500, disbursed for legal and execution fees. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $31,500 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal, premium and accrued interest were $58,500, $31,500 and $1,715 respectively at September 30, 2021. The principal and accrued interest of $58,500 and $2,925 were fully converted into common stock during the three months ended December 31, 2021 and put premium of $31,500 was reclassified to additional paid in capital. | On January 12, 2021, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $53,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of January 12, 2022, and conversion right to a 35% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,807 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $53,500 and $2,675 were fully converted into common stock during the year ended September 30, 2021 and put premium of $28,807 was reclassified to additional paid in capital. | On May 14, 2020, the Company issued a convertible promissory note for $35,000 issued to Tri-Bridge Ventures LLC for a cash loan of $35,000. The note has a one year maturity, 8% annual interest and can be converted to common stock at the contracted price of 60% of the lowest daily traded price during the 10 days prior to delivery of a conversion notice. There are no cross-default provisions in the note. The Company has treated the convertible note in accordance with ASC 480 Stock Settled Debt, and recognized the put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $1,550 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $23,333 of put premium was reclassified to additional paid in capital upon conversion. | On April 20, 2020, the Company issued a convertible promissory note to Geneva Roth Remark Holdings for $60,000, for $57,000, cash and fees of $3,000 (treated as OID to be amortized over the life of the note) having a 10% annual interest rate, maturity of April 20, 2021, and conversion right to a 42% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, and recognized the put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The note and accrued interest were fully converted during the year ended September 30, 2021. $43,448 of put premium was reclassified to additional paid in capital upon conversion. On May 14, 2020, the Company issued a convertible promissory note for $35,000 issued to Tri-Bridge Ventures LLC for a cash loan of $35,000. The note has a one year maturity, 8% annual interest and can be converted to common stock at the contracted price of 60% of the lowest daily traded price during the 10 days prior to delivery of a conversion notice. There are no cross-default provisions in the note. The Company has treated the convertible note in accordance with ASC 480 Stock Settled Debt, and recognized the put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $1,550 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $23,333 of put premium was reclassified to additional paid in capital upon conversion.On June 9, 2020, the Company issued a convertible promissory note in the amount of $53,000 to Geneva Roth Remark Holdings Inc. The Company received $50,000, in cash on June 10, 2020 with $3,000, being retained for legal and underwriting fees which will be treated as OID and be amortized to interest expense over the term of the note. The note matures on June 10, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $38,379 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,650 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $38,379 of put premium was reclassified to additional paid in capital upon conversion.On July 10, 2020, the Company issued a convertible promissory note to Geneva Roth Remark Holdings Inc. in the amount of $53,000. The Company received $50,000, in cash on July 15, 2020 with $3,000, being retained for legal and underwriting fees which will be treated as debt discount and be amortized to interest expense over the term of the note. The note matures on July 10, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $38,379 as put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,650 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $38,379 of put premium was reclassified to additional paid in capital upon conversion.On August 28, 2020, the Company issued a convertible promissory note in the amount of $104,000 to Geneva Roth Remark Holdings Inc. The Company received $100,500, in cash on August 28, 2020 with $3,500, being retained for legal and underwriting fees which will be treated as OID and be amortized to interest expense over the term of the note. The note matures on August 28, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. | The note matured on June 30, 2019, there is no default penalty or interest rate increase associated with the note, nor are there any cross-default provisions in the note. | On July 19, 2021, the Company entered into a convertible promissory note with Geneva Roth Remark Holdings, Inc. (“Lender”) in the principal amount of $53,750, (the “July 19, 2021 Note”). Note carries interest at the rate of 10%, matures on July 19, 2022, and is convertible into shares of the Company’s common stock, par value $0.0001, at the Lender’s election, after 180 days, at a 35% discount, provided that the Lender may not own greater than 4.99% of the Company’s common stock at any time. The note was funded for $50,000, with $3,750, disbursed for legal and execution fees. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,942 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. At September 30, 2021, the principal and accrued interest was $53,750 and $1,127, respectively. On January 21, 2022, the note was fully converted along with $2,688 of accrued interest and OID of $3,000 was recognized as interest expense and put premiums of $28,942 was reclassified to additional paid in capital. | The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,807 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $53,500 and $2,675 were fully converted into common stock during the year ended September 30, 2021 and put premium of $28,807 was reclassified to additional paid in capital. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Geneva Roth Remark Holdings Inc. [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note, description | On December 15, 2020, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $43,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of December 15, 2021, and conversion right to a 40% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $40,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $29,000 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,675 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $29,000 of put premium was reclassified to additional paid in capital upon conversion.On January 12, 2021, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $53,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of January 12, 2022, and conversion right to a 35% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,807 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $53,500 and $2,675 were fully converted into common stock during the year ended September 30, 2021 and put premium of $28,807 was reclassified to additional paid in capital.On February 15, 2021, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $53,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of February 15, 2022, and conversion right to a 35% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. | On November 2, 2020, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $53,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of November 2, 2021, and conversion right to a 40% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $35,666 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,175 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $35,666 of put premium was reclassified to additional paid in capital upon conversion.On December 15, 2020, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $43,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of December 15, 2021, and conversion right to a 40% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $40,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $29,000 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,675 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $29,000 of put premium was reclassified to additional paid in capital upon conversion.On January 12, 2021, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $53,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of January 12, 2022, and conversion right to a 35% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,807 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $53,500 and $2,675 were fully converted into common stock during the year ended September 30, 2021 and put premium of $28,807 was reclassified to additional paid in capital.On February 15, 2021, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $53,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of February 15, 2022, and conversion right to a 35% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,807 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $53,500 and $2,675 were fully converted into common stock during the year ended September 30, 2021 and put premium of $28,807 was reclassified to additional paid in capital.On March 15, 2021, the Company executed a convertible promissory note issued to Geneva Roth Remark Holdings for $53,500, having a 10% annual interest rate, with a 22% default interest rate, maturity of March 15, 2022, and conversion right to a 35% discount to the lowest traded price in the 20 days prior to delivery of a conversion notice. The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. | On July 10, 2020, the Company issued a convertible promissory note to Geneva Roth Remark Holdings Inc. in the amount of $53,000. The Company received $50,000, in cash on July 15, 2020 with $3,000, being retained for legal and underwriting fees which will be treated as debt discount and be amortized to interest expense over the term of the note. The note matures on July 10, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $38,379 as put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,650 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $38,379 of put premium was reclassified to additional paid in capital upon conversion.On August 28, 2020, the Company issued a convertible promissory note in the amount of $104,000 to Geneva Roth Remark Holdings Inc. The Company received $100,500, in cash on August 28, 2020 with $3,500, being retained for legal and underwriting fees which will be treated as OID and be amortized to interest expense over the term of the note. The note matures on August 28, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. | On June 9, 2020, the Company issued a convertible promissory note in the amount of $53,000 to Geneva Roth Remark Holdings Inc. The Company received $50,000, in cash on June 10, 2020 with $3,000, being retained for legal and underwriting fees which will be treated as OID and be amortized to interest expense over the term of the note. The note matures on June 10, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $38,379 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,650 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $38,379 of put premium was reclassified to additional paid in capital upon conversion.On July 10, 2020, the Company issued a convertible promissory note to Geneva Roth Remark Holdings Inc. in the amount of $53,000. The Company received $50,000, in cash on July 15, 2020 with $3,000, being retained for legal and underwriting fees which will be treated as debt discount and be amortized to interest expense over the term of the note. The note matures on July 10, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $38,379 as put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $2,650 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $38,379 of put premium was reclassified to additional paid in capital upon conversion. | On August 28, 2020, the Company issued a convertible promissory note in the amount of $104,000 to Geneva Roth Remark Holdings Inc. The Company received $100,500, in cash on August 28, 2020 with $3,500, being retained for legal and underwriting fees which will be treated as OID and be amortized to interest expense over the term of the note. The note matures on August 28, 2021, bears interest at 10%, with a 22% default interest rate and may be converted at 58% of the lowest closing bid price in the 20 days preceding a conversion. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company treated the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $75,310 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $5,200 were fully converted and balances were $0, and $0 respectively at September 30, 2021. $75,310 of put premium was reclassified to additional paid in capital upon conversion. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Note [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total accrued interest | 563 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Settlement Agreement [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Advisory fee | $ 2,050,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Embedded conversion option as stock settled debt | 3,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments received | 5,788,642 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 238,642 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities purchase agreement term, description | On the effective date of the Settlement Agreement, the amount due of $5,788,642 was split and apportioned into two separate replacement notes (“Replacement Note A” and Note B”). Replacement Note A had a principal amount of $1,000,000 and Replacement Note B had a principal balance of $4,788,642, both of which remained secured by the original security, pledge and guarantee agreements; and other applicable loan documents, and bear interest at 18% per annum. The default was not waived by this settlement agreement. The Company originally recorded a premium on stock settled debt of $617,647 on the $3,500,000, and subsequent to the settlement agreement recorded an additional premium on stock settled debt of $403,878 on the additional $2,288,642 for accrued interest and advisory fees payable that were capitalized as note principal. The interest rate was amended to 12% effective June 12, 2018. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Note [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sales proceeds | $ 850,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total accrued interest | $ 563 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Agreement [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maturity date, description | The Credit Agreement was amended such that the maturity date was extended to January 13, 2019 (the “Extended Maturity Date”) for replacement Note B, while the Note A maturity date remained at March 13, 2018 but was due as of March 2017 due to the principal and interest payment default discussed above. Notwithstanding anything contained in this Agreement to the contrary, all obligations owing by the Company and all other Credit Parties under the Credit Agreement, First Replacement Note B, and all other Loan Documents shall be paid in full by the Extended Maturity Date as follows: $52,500 per month from January 13, 2018 to December 13, 2018 and the remaining principal and accrued interest on January 13, 2019. Interest payments made since the amendment have totaled $323,440 and are therefore not in accord with that amendment. However, TCA has received payments under the 3(a) (10) settlement (below) totaling $308,100 during the year ended September 30, 2018, and another $270,320, during the year ended September 30, 2019. The principal balance was $4,788,642 at September 30, 2018. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Settlement Agreement [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 238,642 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities purchase agreement term, description | On the effective date of the Settlement Agreement, the amount due of $5,788,642 was split and apportioned into two separate replacement notes (“Replacement Note A” and Note B”). Replacement Note A had a principal amount of $1,000,000 and Replacement Note B had a principal balance of $4,788,642, both of which remained secured by the original security, pledge and guarantee agreements; and other applicable loan documents, and bear interest at 18% per annum. The default was not waived by this settlement agreement. The Company originally recorded a premium on stock settled debt of $617,647 on the $3,500,000, and subsequent to the settlement agreement recorded an additional premium on stock settled debt of $403,878 on the additional $2,288,642 for accrued interest and advisory fees payable that were capitalized as note principal. The interest rate was amended to 12% effective June 12, 2018. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Agreement [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maturity date, description | The Credit Agreement was amended such that the maturity date was extended to January 13, 2019 (the “Extended Maturity Date”) for replacement Note B, while the Note A maturity date remained at March 13, 2018 but was due as of March 2017 due to the principal and interest payment default discussed above. Notwithstanding anything contained in this Agreement to the contrary, all obligations owing by the Company and all other Credit Parties under the Credit Agreement, First Replacement Note B, and all other Loan Documents shall be paid in full by the Extended Maturity Date as follows: $52,500 per month from January 13, 2018 to December 13, 2018 and the remaining principal and accrued interest on January 13, 2019. Interest payments made since the amendment have totaled $323,440 and are therefore not in accord with that amendment. However, TCA has received payments under the 3(a) (10) settlement (below) totaling $308,100 during the year ended September 30, 2018, and another $270,320, during the year ended September 30, 2019. The principal balance was $4,788,642 at September 30, 2018. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Note [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total accrued interest | $ 3,455 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note [Member] | Livingston Asset Management LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note [Member] | Geneva Roth Remark Holdings [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible promissory note, description | The note was funded for $50,000, with $3,500, disbursed for legal and execution fees. The cross-default terms in the note only include defaults on notes issued to related parties of the note holder. The Company will treat the convertible note in accordance with ASC 480 Stock Settled Debt, recognizing $28,807 of put premium for the stock price discount as a liability with a charge to interest expense at the date of the issuance of the convertible promissory note. The principal and accrued interest of $53,500 and $2,675 were fully converted into common stock during the year ended September 30, 2021 and put premium of $28,807 was reclassified to additional paid in capital. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Note [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sales proceeds | $ 850,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 25,725 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium charge to interest expense | 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Note [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible note, description | The Note is only convertible upon default or mutual agreement by both parties at a conversion rate of 85% of the lowest of the daily volume weighted average price of the Company’s common stock during the 5 business days immediately prior to the conversion date. | The Note is only convertible upon default or mutual agreement by both parties at a conversion rate of 85% of the lowest of the daily volume weighted average price of the Company’s common stock during the 5 business days immediately prior to the conversion date. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Convertible Debt [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total accrued interest | $ 5,277 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note 1 [Member] | Livingston [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 0 | 123 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note 1 [Member] | Frondeur PartnersLLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal and accrued interest | 748 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassified additional paid in capital | 15,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note One [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 752 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal and accrued interest | 777 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassified additional paid in capital | 15,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note Two [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 629 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note Two [Member] | Frondeur PartnersLLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note Three [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 501 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note Four [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 314 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Notes Five [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note Six [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 187 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Promissory Note Seven [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 62 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Promissory Note [Member] | Convertible Note [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 36,614 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium charge to interest expense | $ 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Senior Secured Credit Facility [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 6,018,192 | $ 3,500,000 | $ 2,958,251 | $ 2,958,251 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible note, description | The Note bears interest at a rate of 18% per annum, required monthly payments of $52,500, which is interest only, starting on October 13, 2016 through February 13, 2017, and monthly payments, including interest and principal, of $298,341 starting on March 13, 2017 through maturity on March 13, 2018. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate at period end | 25% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Additional advisory fees | $ 850,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued (in Shares) | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Advisory fee | $ 850,000 | 850,000 | $ 850,000 | 850,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Proceeds from sale of shares (in Shares) | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Advisory fee due | 850,000 | $ 850,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current liability | 850,000 | $ 850,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Advisory fee payable | $ 850,000 | $ 850,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payment of monthly principal and interest | $ 298,341 | $ 298,341 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 537,643 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Additional Debt Premium | $ 94,878 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate | 12% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities shares issued (in Shares) | 1,375 | 1,375 | 1,375 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Additional paid in capital debt discount | $ 180,618 | $ 180,618 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible debt balance amount | $ 421,587 | $ 421,587 | 421,587 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | 281,054 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest amount | 52,500 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Senior Secured Credit Facility [Member] | Convertible Note [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Advisory fee | $ 1,200,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Senior Secured Credit Facility [Member] | Convertible Promissory Note [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maximum borrowing amount | $ 6,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Livingston Asset Management LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt conversion rate, description | The note has not been converted and the principal balance is $15,000, at June 30, 2023 and September 30, 2022 with $8,899, and $7,777, of accrued interest, respectively. | The note has not been converted and the principal balance is $15,000, at September 30, 2022 and September 30, 2021 with $7,777, and $6,273, of accrued interest, respectively. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Livingston [Member] | Convertible Promissory Note 1 [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 0 | 251 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Frondeur PartnersLLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Conversion discount | 50% | 50% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount converted into common stock | $ 15,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total accrued interest | $ 871 | $ 884 | $ 921 | $ 879 | $ 945 | $ 888 | $ 777 | 3,631 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | $ 15,000 | $ 15,000 | $ 15,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Note A [Member] | Two Notes [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 1,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Note A [Member] | Two Notes [Member] | Livingston Asset Management LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 1,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Note A [Member] | Senior Secured Credit Facility [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | 691,907 | 421,587 | $ 421,587 | 421,587 | 421,587 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Note B [Member] | Two Notes [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | 4,788,642 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Note B [Member] | Senior Secured Credit Facility [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 5,326,285 | $ 5,326,285 | 5,326,285 | 5,326,285 | 5,326,285 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 2,377,557 | 2,377,557 | $ 1,738,403 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Note B [Member] | Livingston [Member] | Convertible Promissory Note 1 [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bear interest percentage | 10% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Livingston Asset Management LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible Notes Payable and Advisory Fee Liabilities [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | 75,000 | 85,375 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 8,475 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 15,000 | $ 17,000 | $ 17,000 | $ 17,000 | $ 17,000 | $ 17,000 | $ 17,000 | $ 17,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | 2,388 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Penalty charges | $ 7,612 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain on debt extinguishment | $ 67,388 |
Convertible Notes Payable and_4
Convertible Notes Payable and Advisory Fee Liabilities (Details) - Schedule of Senior Secured Credit Facility Note Balance and Convertible Debt Balances - Senior Secured Credit Facility Note [Member] - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Convertible Notes Payable and Advisory Fee Liabilities (Details) - Schedule of Senior Secured Credit Facility Note Balance and Convertible Debt Balances [Line Items] | |||
Principal | $ 297,019 | $ 5,978,891 | $ 6,167,407 |
Premiums | 1,443,435 | 1,509,673 | |
Unamortized discounts | (14,440) | ||
Convertible note payable | $ 7,422,326 | $ 7,662,640 |
Notes and Loans Payable (Detail
Notes and Loans Payable (Details) - USD ($) | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||
May 04, 2023 | Apr. 28, 2023 | Jun. 27, 2022 | Jul. 01, 2021 | Apr. 13, 2021 | Mar. 30, 2021 | Feb. 03, 2021 | Jan. 29, 2021 | Jan. 26, 2021 | Oct. 22, 2020 | Sep. 11, 2020 | Jun. 17, 2020 | Apr. 07, 2020 | Feb. 01, 2020 | Jan. 01, 2020 | Dec. 01, 2019 | Nov. 01, 2019 | Oct. 01, 2019 | Jul. 01, 2019 | Aug. 29, 2018 | Mar. 31, 2021 | Jun. 17, 2020 | Apr. 15, 2020 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2019 | May 02, 2023 | Jun. 01, 2018 | |
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Amortization of debt discount | $ 276,972 | $ 45,816 | $ 135,506 | $ 149,614 | |||||||||||||||||||||||||||
Principal amount | 150,000 | $ 377,194 | |||||||||||||||||||||||||||||
Bears interest rate | 10% | 98% | 10% | ||||||||||||||||||||||||||||
Debt instrument term | 1 year | 1 year | |||||||||||||||||||||||||||||
Cash | $ 3,000 | ||||||||||||||||||||||||||||||
Accrued interest | $ 752 | ||||||||||||||||||||||||||||||
Note principal and accrued interest related description | Conversion terms were reinstated and the note and accrued interest of $1,770 were fully converted into common stock during the year ended September 30, 2021. $17,000 was charged to loss on debt extinguishment due to reinstatement of conversion feature treated as stock settled debt in accordance with ASC 480. | $2,260 | |||||||||||||||||||||||||||||
Agreement, description | On April 13, 2021, the Company issued 10,000 shares of common stock to a consultant for services, which were valued at $11.40, based on the stock price on the date of the grant. The cost of $114,000 was charged to consulting expense. | On October 22, 2020, the Company issued 10,000 shares of common stock to a consultant for services rendered, which were valued at $ 3.40, based on the stock price on the date of the grant. The cost of $34,000 was charged to consulting expense. | |||||||||||||||||||||||||||||
Principal loan, current | 22,461 | ||||||||||||||||||||||||||||||
Legal and other fees | $ 90,000 | 44,650 | |||||||||||||||||||||||||||||
Total debt discount | $ 38,000 | $ 9,674 | |||||||||||||||||||||||||||||
Debt discount amortized | $ 6,000 | $ 276,972 | 65,753 | 157,446 | 183,992 | $ 5,000 | |||||||||||||||||||||||||
Maturity Term | Sep. 09, 2017 | ||||||||||||||||||||||||||||||
Accrued interest | $ 604 | ||||||||||||||||||||||||||||||
Issuance of discount amortization amount | 0 | ||||||||||||||||||||||||||||||
Debt discounts | $ 6,000 | ||||||||||||||||||||||||||||||
Number of notes payable | seven | ||||||||||||||||||||||||||||||
Notes payable | $ 17,500 | $ 85,000 | |||||||||||||||||||||||||||||
Service vendor fee | (2,500) | ||||||||||||||||||||||||||||||
Service arrangement | $ 17,500 | 17,500 | 17,500 | ||||||||||||||||||||||||||||
Classified current interest | 0 | 22,461 | |||||||||||||||||||||||||||||
sale of receivables | 125,000 | ||||||||||||||||||||||||||||||
fees | 6,750 | $ 7,042 | |||||||||||||||||||||||||||||
Net Payment | 118,250 | ||||||||||||||||||||||||||||||
Repayment amount | 3,255.21 | 122,766 | |||||||||||||||||||||||||||||
Total repayment | 156,250 | 40,741 | |||||||||||||||||||||||||||||
Interest amount | $ 31,250 | ||||||||||||||||||||||||||||||
Repaid loan | 26,042 | ||||||||||||||||||||||||||||||
Loan balance | 99,117 | ||||||||||||||||||||||||||||||
Discount | 31,091 | $ 270,064 | |||||||||||||||||||||||||||||
FORA [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Prior loan payoff amounts | $ 75,975 | ||||||||||||||||||||||||||||||
Livingston Asset Management [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Bears interest rate | 10% | 10% | |||||||||||||||||||||||||||||
Debt instrument term | 6 years | 6 years | |||||||||||||||||||||||||||||
Livingston Asset Management [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Principal amount | $ 17,000 | 0 | 85,000 | ||||||||||||||||||||||||||||
Bears interest rate | 10% | 10% | 10% | ||||||||||||||||||||||||||||
Accrued interest | $ 1,353 | $ 1,495 | $ 1,637 | 6,760 | |||||||||||||||||||||||||||
Note and accrued interest | 7,168 | ||||||||||||||||||||||||||||||
Promissory note issued | $ 17,000 | $ 17,000 | $ 17,000 | $ 17,000 | $ 17,000 | ||||||||||||||||||||||||||
Note principal and accrued interest related description | The note bears interest at 10% and matures in year The note principal of $17,000 and accrued interest of $1,491 were forgiven at September 30, 2021 and a gain on debt extinguishment was recognized for $18,491. | The note principal balance was $17,000 at September 30, 2020 and accrued interest was $1,209. | Conversion terms were reinstated and the note and accrued interest of $1,779 were fully converted into common stock during the year ended September 30, 2021. $17,000 was charged to loss on debt extinguishment due to reinstatement of conversion feature treated as stock settled debt in accordance with ASC 480. | Conversion terms of the original note were reinstated and the note and accrued interest of $1,924 were fully converted into common stock during the year ended September 30, 2021. $17,000 was charged to loss on debt extinguishment due to reinstatement of conversion feature treated as stock settled debt in accordance with ASC 480. | |||||||||||||||||||||||||||
Livingston Asset Management [Member] | Minimum [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Debt instrument term | 6 months | ||||||||||||||||||||||||||||||
Livingston Asset Management [Member] | Maximum [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Debt instrument term | 7 months | ||||||||||||||||||||||||||||||
HowCo [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Bears interest rate | 98% | ||||||||||||||||||||||||||||||
Debt instrument term | 24 months | ||||||||||||||||||||||||||||||
Principal amount outstanding | $ 220,710 | ||||||||||||||||||||||||||||||
Agreement, description | The terms call for Howco to use 75% of the funded amount for payroll costs. Howco has put in place controls designed to ensure compliance with the terms of forgiveness. On January 20, 2021 the Company was notified by its bank that the Small Business Administration authorized full forgiveness of its Paycheck Protection Program Loan in the amount of $220,710. The forgiveness of debt was recognized as a gain on debt extinguishment for the amount forgiven. | ||||||||||||||||||||||||||||||
Paycheck protection plan loan amount | $ 154,790 | ||||||||||||||||||||||||||||||
HowCo [Member] | Financing Arrangement [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Agreement, description | the Company entered into a financing arrangement through its subsidiary Howco with IOU Central Inc. Howco received $199,405 less fees of $595 and Original Issue Discount of $22,000 and deferred finance charges of $47,606, for a total of $70,201 to be amortized over the term of the note. A total of $269,606 was to be paid by direct debit of Howco’s bank account of $5,173, for 52 weekly payments and 1 payment of $620. The Company recognized a principal amount of $269,606 with debt discounts of $70,201. The Company’s CEO is a personal guarantor on financing facility. At September 30, 2020, the principal balance was $243,742, with unamortized debt discount of $58,110 having a net balance of $185,632. As of December 31, 2020 the principal balance was $176,495, with unamortized debt discount of $26,544 having a net balance of $149,951. The principal balance of $152,318 on January 26, 2021 was fully liquidated upon funding of the IOU note discussed below.On September 11, 2020, the Company issued a promissory note in the amount of $150,000 to Trillium Partners LP and received the full amount of the note in cash. The note includes cross-default provisions. The note matured on June 30, 2021 and bears interest of 2%. The principal balance was $150,000 at September 30, 2020. During the year ended September 30, 2021 the Company repaid $70,000 of note principal, and Trillium forgave $50,000 bringing the balance to $30,000 with accrued interest of $2,260. Default was given forbearance on the maturity date. On September 30, 2021, the Company repaid the principal balance and accrued interest. On January 26, 2021, the Company entered into a financing arrangement through its subsidiary Howco with IOU Central Inc. Howco received $121,707, net of discounts totaling $119,929 fees of $595 and prior loan payoff amounts of $75,975 (FORA) and $152,318 (IOU prior note). A total of $462,524 will be paid by direct debit of Howco’s bank account of $8,895, for 51 weekly payments and a final payment of $8,894. The Company recognized a principal amount of $462,524 with debt discounts of $119,929, and liquidated the principal balance and related discounts from the FORA and IOU prior notes. The Company’s CEO is a personal guarantor on financing facility. As of September 30, 2021, the principal balance is $140,449, with unamortized debt discount of $36,142, having a net balance of $104,307. As of September 30, 2022, the principal balance is $0, and the debt discount was fully amortized.On January 29, 2021, the Company issued a promissory note in the amount of $95,000 to Trillium Partners LP and received cash amounting to $93,692, and OID of $1,308. The note includes cross-default provisions. The note matured on July 31, 2021 and bears interest of 2%. The principal balance of $95,000 and accrued interest of $790 were forgiven during the year ended September 30, 2021. The Company recognized a gain on debt extinguishment equal to the principal and interest forgiven.On February 3, 2021, the Company issued a promissory note in the amount of $75,000 to Trillium Partners LP and received cash amounting to $73,085, and OID of $1,915. The note includes cross-default provisions. The note matured on July 31, 2021 and bears interest of 2%. The principal balance of $75,000 and accrued interest of $604 were forgiven during the year ended September 30, 2021. The Company recognized a gain on debt extinguishment equal to the principal and interest forgiven.On March 30, 2021, the Company entered into a financing arrangement through its subsidiary Howco with ODK Capital, LLC. Howco received $83,000 less fees of $2,075 and Original Issue Discount of $29,631 to be amortized over the term of the note. A total of $112,631 will be paid by direct debit of Howco’s bank account of $2,166, for 52 weekly payments. The Company recognized a principal amount of $112,631, $2,075 charged to expense and debt discounts of $29,631. The Company’s CEO is a personal guarantor of the financing facility. As of September 30, 2021 the principal balance is $56,315, with unamortized debt discount of $9,674 having a net balance of $46,641. As of September 30, 2022, the principal balance is $0, and the debt discount was fully amortized. | ||||||||||||||||||||||||||||||
Financial Business Loans LLC [Member] | Financing Arrangement [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Agreement, description | On June 2, 2020, the Company entered into a financing arrangement through its subsidiary Howco with I Financial Business Loans, LLC. Howco received $150,000, net of discounts totaling $60,000, less legal and underwriting fees of $3,750 and prior loan payoff amount of $40,975. A total of $210,000 was to be paid by direct debit of Howco’s bank account of $854, for 245 daily installments payments. The Company will recognize a principal amount of $210,000 with debt discounts of $63,750, and liquidate the principal balance and related discounts from the 2019 financing. The Company’s CEO is a personal guarantor on financing facility. At September 30, 2020, the principal balance was $140,854, with unamortized debt discount of $28,944, having a net balance of $111,910. As of December 31, 2020, the principal balance was $87,927, with unamortized debt discount of $11,473, having a net balance of $76,454. The balance of $75,975 on January 26, 2021 was fully liquidated upon funding of the IOU note discussed below.On June 17, 2020, the Company through Howco, entered into a loan directly with the Small Business Administration for $150,000. The loan term is thirty years and begins amortization one year from the date of promissory note to be issued upon funding. Amortization payments are $731 per month and include interest and principal of 3.75% from the date of funding. The loan is secured by the assets of Howco. As of September 30, 2022 and September 30, 2021, the principal balance is $150,000. As of September 30, 2022, $22,461 is classified as current.On August 25, 2020, the Company entered into a financing arrangement through its subsidiary Howco with IOU Central Inc. Howco received $199,405 less fees of $595 and Original Issue Discount of $22,000 and deferred finance charges of $47,606, for a total of $70,201 to be amortized over the term of the note. A total of $269,606 was to be paid by direct debit of Howco’s bank account of $5,173, for 52 weekly payments and 1 payment of $620. The Company recognized a principal amount of $269,606 with debt discounts of $70,201. The Company’s CEO is a personal guarantor on financing facility. At September 30, 2020, the principal balance was $243,742, with unamortized debt discount of $58,110 having a net balance of $185,632. As of December 31, 2020 the principal balance was $176,495, with unamortized debt discount of $26,544 having a net balance of $149,951. The principal balance of $152,318 on January 26, 2021 was fully liquidated upon funding of the IOU note discussed below.On September 11, 2020, the Company issued a promissory note in the amount of $150,000 to Trillium Partners LP and received the full amount of the note in cash. The note includes cross-default provisions. The note matured on June 30, 2021 and bears interest of 2%. The principal balance was $150,000 at September 30, 2020. During the year ended September 30, 2021 the Company repaid $70,000 of note principal, and Trillium forgave $50,000 bringing the balance to $30,000 with accrued interest of $2,260. Default was given forbearance on the maturity date. On September 30, 2021, the Company repaid the principal balance and accrued interest. On January 26, 2021, the Company entered into a financing arrangement through its subsidiary Howco with IOU Central Inc. Howco received $121,707, net of discounts totaling $119,929 fees of $595 and prior loan payoff amounts of $75,975 (FORA) and $152,318 (IOU prior note). A total of $462,524 will be paid by direct debit of Howco’s bank account of $8,895, for 51 weekly payments and a final payment of $8,894. The Company recognized a principal amount of $462,524 with debt discounts of $119,929, and liquidated the principal balance and related discounts from the FORA and IOU prior notes. The Company’s CEO is a personal guarantor on financing facility. As of September 30, 2021, the principal balance is $140,449, with unamortized debt discount of $36,142, having a net balance of $104,307. As of September 30, 2022, the principal balance is $0, and the debt discount was fully amortized.On January 29, 2021, the Company issued a promissory note in the amount of $95,000 to Trillium Partners LP and received cash amounting to $93,692, and OID of $1,308. The note includes cross-default provisions. The note matured on July 31, 2021 and bears interest of 2%. The principal balance of $95,000 and accrued interest of $790 were forgiven during the year ended September 30, 2021. The Company recognized a gain on debt extinguishment equal to the principal and interest forgiven.On February 3, 2021, the Company issued a promissory note in the amount of $75,000 to Trillium Partners LP and received cash amounting to $73,085, and OID of $1,915. The note includes cross-default provisions. The note matured on July 31, 2021 and bears interest of 2%. The principal balance of $75,000 and accrued interest of $604 were forgiven during the year ended September 30, 2021. The Company recognized a gain on debt extinguishment equal to the principal and interest forgiven.On March 30, 2021, the Company entered into a financing arrangement through its subsidiary Howco with ODK Capital, LLC. Howco received $83,000 less fees of $2,075 and Original Issue Discount of $29,631 to be amortized over the term of the note. A total of $112,631 will be paid by direct debit of Howco’s bank account of $2,166, for 52 weekly payments. The Company recognized a principal amount of $112,631, $2,075 charged to expense and debt discounts of $29,631. The Company’s CEO is a personal guarantor of the financing facility. As of September 30, 2021 the principal balance is $56,315, with unamortized debt discount of $9,674 having a net balance of $46,641. As of September 30, 2022, the principal balance is $0, and the debt discount was fully amortized. | ||||||||||||||||||||||||||||||
Small Business Administration [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Principal amount | $ 150,000 | $ 150,000 | $ 150,000 | ||||||||||||||||||||||||||||
Bears interest rate | 3.75% | 3.75% | |||||||||||||||||||||||||||||
Debt instrument amortization payments | $ 731 | $ 731 | |||||||||||||||||||||||||||||
Principal loan | 150,000 | ||||||||||||||||||||||||||||||
Trillium [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Principal amount | $ 95,000 | $ 150,000 | 75,000 | $ 150,000 | |||||||||||||||||||||||||||
Bears interest rate | 2% | 2% | 2% | ||||||||||||||||||||||||||||
Accrued interest | 30,000 | ||||||||||||||||||||||||||||||
Promissory note issued | $ 75,000 | $ 95,000 | |||||||||||||||||||||||||||||
Repaid note principal | 70,000 | ||||||||||||||||||||||||||||||
Forgave amount | 50,000 | ||||||||||||||||||||||||||||||
Cash received | 73,085 | 93,692 | |||||||||||||||||||||||||||||
Original issue discount | $ 1,915 | $ 1,308 | |||||||||||||||||||||||||||||
Accrued interest | 790 | ||||||||||||||||||||||||||||||
Maturity Term | Jul. 31, 2021 | ||||||||||||||||||||||||||||||
Securities purchase agreement description | On July 1, 2022, the Company entered into a Securities Purchase Agreement with Trillium Partners, LP (“Trillium”). Under the terms of the SPA, Trillium agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant to purchase 1,120,000 shares of common stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,846 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 11), the default interest rate still applies and now the note accrues interest of 22% and the payments are due upon the notes maturity. Total accrued interest at June 30, 2023 and September 30, 2022 was $33,832 and $10,923, respectively. On October 25, 2022, the Company repaid $50,000 of the July merchant financing arrangement. The payment was applied to the Trillium LP notes’ accrued interest and principal bringing its principal balance to $183,259, at June 30, 2023.On July 1, 2022, the Company entered into a Securities Purchase Agreement with JP Carey Limited Partners, LP (“JPC”). Under the terms of the SPA, JPC agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant to purchase 1,120,000 shares of common stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,845 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. | On July 1, 2022, the “Company entered into a Securities Purchase Agreement with Trillium Partners, LP (“Trillium”). Under the terms of the SPA, Trillium agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant for the purchase of 1,120,000 shares of Common Stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,846 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 12) the default interest rate still applies and now the note accrues interest of 22% and the payments are due upon the notes maturity. Total accrued interest at September 30, 2022 is $10,923.On July 1, 2022, the “Company entered into a Securities Purchase Agreement with JP Carey Limited Partners, LP (“JPC”). Under the terms of the SPA, JPC agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant for the purchase of 1,120,000 shares of Common Stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,845 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 12) the default interest rate still applies and now the note accrues interest of 22%, and the payments are due upon the notes maturity. Total accrued interest at September 30, 2022 is $10,923. | |||||||||||||||||||||||||||||
Howco with IOU Central Inc [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Principal amount | 140,449 | ||||||||||||||||||||||||||||||
Agreement, description | A total of $462,524 will be paid by direct debit of Howco’s bank account of $8,895, for 51 weekly payments and a final payment of $8,894. The Company recognized a principal amount of $462,524 with debt discounts of $119,929, and liquidated the principal balance and related discounts from the FORA and IOU prior notes. | ||||||||||||||||||||||||||||||
Howco received | $ 121,707 | ||||||||||||||||||||||||||||||
Net of discounts | 119,929 | 104,307 | |||||||||||||||||||||||||||||
Legal and other fees | 595 | ||||||||||||||||||||||||||||||
Prior loan payoff amounts | $ 152,318 | ||||||||||||||||||||||||||||||
Total debt discount | 36,142 | ||||||||||||||||||||||||||||||
Debt discount amortized | $ 0 | ||||||||||||||||||||||||||||||
Howco with ODK Capital, LLC [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Principal amount | $ 112,631 | 56,315 | |||||||||||||||||||||||||||||
Legal and other fees | 83,000 | ||||||||||||||||||||||||||||||
Original issue discount | 2,075 | ||||||||||||||||||||||||||||||
Issuance of discount amortization amount | 29,631 | ||||||||||||||||||||||||||||||
Direct debit | 112,631 | ||||||||||||||||||||||||||||||
Direct debt bank account | 2,166 | ||||||||||||||||||||||||||||||
Weekly payments | 52 | ||||||||||||||||||||||||||||||
Charged expenses | 2,075 | ||||||||||||||||||||||||||||||
Debt discounts | $ 29,631 | ||||||||||||||||||||||||||||||
Net balance | $ 46,641 | ||||||||||||||||||||||||||||||
JPC [Member] | |||||||||||||||||||||||||||||||
Loans and Notes Payable [Line Items] | |||||||||||||||||||||||||||||||
Securities purchase agreement description | On July 1, 2022, the Company entered into a Securities Purchase Agreement with JP Carey Limited Partners, LP (“JPC”). Under the terms of the SPA, JPC agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant to purchase 1,120,000 shares of common stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,845 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 11), the default interest rate still applies and now the note accrues interest of 22%, and the payments are due upon the notes maturity. | On July 1, 2022, the “Company entered into a Securities Purchase Agreement with JP Carey Limited Partners, LP (“JPC”). Under the terms of the SPA, JPC agreed to advance funds under a merchant financing arrangement, treated as a loan. The loan principal is $224,000, including legal fees of $5,000 and OID of $24,000, the Company received cash of $195,000. Loan bears interest of 12% per annum and matures on June 30, 2023. The Company agreed to issue 224,000 shares of the Company’s Series B Preferred Stock, and a Warrant for the purchase of 1,120,000 shares of Common Stock as consideration for the advance agreement. The Series B Preferred Stock met the criteria for treatment as temporary equity and debt discount of $50,684 was recognized. The Warrant caused a recognition of $100,194 in debt discount. Total debt discount recognized was $179,878, to be amortized over the term of the loan, $44,845 was recognized as interest expense as of September 30, 2022 from amortization of discounts. The Company defaulted on the weekly payment terms of the note; however, the note holder granted a limited waiver of the default. Under the waiver amendment (see Note 12) the default interest rate still applies and now the note accrues interest of 22%, and the payments are due upon the notes maturity. Total accrued interest at September 30, 2022 is $10,923. |
Notes and Loans Payable (Deta_2
Notes and Loans Payable (Details) - Schedule of Loans and Notes Payable - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Schedule Of Loans And Notes Payable Abstract | ||
Principal loans and notes | $ 615,500 | $ 519,054 |
Discounts | (270,064) | (45,816) |
Total | 345,436 | 473,238 |
Less Current portion | (217,897) | (170,036) |
Non-current | $ 127,539 | $ 303,202 |
Temporary Equity (Details)
Temporary Equity (Details) - USD ($) | 1 Months Ended | 9 Months Ended | 12 Months Ended | |||
Apr. 15, 2020 | Jun. 30, 2023 | Sep. 30, 2022 | Jul. 31, 2022 | Jul. 01, 2022 | Sep. 30, 2021 | |
Temporary Equity [Line Items] | ||||||
Preferred stock, shares authorized (in Shares) | 5,000,000 | 5,000,000 | 5,000,000 | |||
Preferred stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 | $ 0.0001 | |||
Annual dividend rate | 22% | 22% | ||||
Common stock percentage | 50% | |||||
Conversion price (in Dollars per share) | $ 0.2 | $ 0.2 | ||||
Variable conversion price | 50% | 50% | ||||
Discount rate | 50% | 50% | ||||
Relative value (in Dollars) | $ 101,368 | $ 101,368 | ||||
Aggregate value (in Dollars) | $ 461,440 | 461,440 | ||||
Additional paid in capital including dividends (in Dollars) | 360,072 | |||||
Dividend due (in Dollars) | $ 13,440 | |||||
Preferred stock per share (in Dollars per share) | $ 1.5 | $ 1.5 | ||||
Conversion price per share (in Dollars per share) | $ 0.2 | $ 0.2 | ||||
Conversion price percentage | 50% | 50% | ||||
Preferred stock redemption value (in Dollars) | $ 461,064 | $ 224,000 | ||||
Convertible Series B Preferred Stock [Member] | ||||||
Temporary Equity [Line Items] | ||||||
Preferred stock, shares authorized (in Shares) | 1,000,000 | |||||
Preferred stock, par value (in Dollars per share) | $ 1 | |||||
Common stock percentage | 9.99% | 9.99% | ||||
Preferred stock, shares issued (in Shares) | 448,000 | 448,000 | ||||
Outstanding convertible shares (in Shares) | 4,480,000 | |||||
Convertible Series B Preferred Stock [Member] | Minimum [Member] | ||||||
Temporary Equity [Line Items] | ||||||
Annual dividend rate | 12% | 12% | ||||
Convertible Series B Preferred Stock [Member] | Maximum [Member] | ||||||
Temporary Equity [Line Items] | ||||||
Annual dividend rate | 22% | 22% |
Stockholders' Deficit (Details)
Stockholders' Deficit (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 4 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Jul. 11, 2023 | Mar. 01, 2023 | Feb. 01, 2023 | Jan. 11, 2023 | Dec. 01, 2022 | Nov. 17, 2022 | Oct. 03, 2022 | Sep. 23, 2022 | Sep. 16, 2022 | Sep. 01, 2022 | Jul. 18, 2022 | Jul. 14, 2022 | Jul. 12, 2022 | Jul. 01, 2022 | Jun. 06, 2022 | Jun. 01, 2022 | May 25, 2022 | May 18, 2022 | May 01, 2022 | Apr. 01, 2022 | Mar. 25, 2022 | Mar. 22, 2022 | Mar. 01, 2022 | Feb. 02, 2022 | Feb. 01, 2022 | Jan. 21, 2022 | Jan. 01, 2022 | Dec. 17, 2021 | Nov. 04, 2021 | Nov. 01, 2021 | Oct. 01, 2021 | Sep. 07, 2021 | Sep. 01, 2021 | Aug. 01, 2021 | Jun. 30, 2021 | Apr. 13, 2021 | Oct. 22, 2020 | Aug. 06, 2019 | Dec. 20, 2017 | Nov. 09, 2017 | Sep. 30, 2021 | Aug. 17, 2021 | Jul. 08, 2021 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Feb. 03, 2021 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | Feb. 14, 2022 | Jun. 09, 2021 | Mar. 05, 2021 | Jul. 20, 2020 | Apr. 15, 2020 | Sep. 09, 2016 | |
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock, shares authorized (in Shares) | 5,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock designations amount (in Shares) | 2,999,750 | 3,999,750 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock dividend (in Dollars per share) | $ 0.99 | $ 0.99 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares authorized (in Shares) | 12,000,000,000 | 12,000,000,000 | 12,000,000,000 | 12,000,000,000 | 12,000,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reverse stock split, description | On July 11, 2023, the Company filed a certificate of amendment to its certificate of incorporation, as amended, to effect a one-for-one thousand (1:1,000) Reverse Stock Split (the “Reverse Stock Split”). Proportional adjustments for the Reverse Stock Split were made to the Company’s outstanding stock options, warrants and equity incentive plans. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares outstanding (in Shares) | 4,407,321 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares of common stock (in Shares) | 5,000,000 | 1,800,000 | 5,000 | 2,470,511 | 2,470,511 | 6,994,378 | 4,407,321 | 2,470,511 | 1,500,000 | 1,250,000 | 1,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, per share (in Dollars per share) | $ 0.2 | $ 0.6 | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 2.5 | $ 17.5 | $ 1.75 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued (in Shares) | 50,000 | 100,000 | 120,000 | 496,667 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued, value | $ 125,000 | $ 300,000 | $ 99,333 | $ 125,000 | $ 324,589 | $ 250,000 | $ 699,589 | $ 3,083,930 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Offering in cash | $ 1,928,898 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Offering and received | $ 250,000 | $ 99,333 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agreement, description | On April 13, 2021, the Company issued 10,000 shares of common stock to a consultant for services, which were valued at $11.40, based on the stock price on the date of the grant. The cost of $114,000 was charged to consulting expense. | On October 22, 2020, the Company issued 10,000 shares of common stock to a consultant for services rendered, which were valued at $ 3.40, based on the stock price on the date of the grant. The cost of $34,000 was charged to consulting expense. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares issued (in Shares) | 36,821 | 36,821 | 36,821,330 | 36,821 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 119,670 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued compensation | 92,723 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | 26,947 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deferred charge | $ 119,670 | $ 119,670 | $ 119,670 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock conversion (in Shares) | 2,090,007 | 1,124,319 | 518,650 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 630,000 | |||||||||||||||||||||||||||||||||||||||||||||||||
Converted principal | $ 15,000 | $ 15,000 | $ 55,000 | $ 55,000 | $ 2,200 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 744 | $ 747 | $ 2,750 | $ 2,750 | $ 0 | $ 5,277 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares of common stock (in Shares) | 126,926 | 95,215 | 197,640 | 197,640 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal and accrued Interest | 744 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt conversions | $ 90,000 | 222,000 | $ 840,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compensation and consulting expense | 0 | $ 69,108 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total unrecognized compensation | $ 0 | $ 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Term of warrants | 7 years | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Warrants exercise price (in Dollars per share) | $ 0.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares outstanding (in Shares) | 6,994,378 | 4,407,321 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance settled amount due, description | The offering provided for the issuance of up to 5,000,000 shares of common stock at a price of $0.20, under subscriptions. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reverse stock split, description | On August 6, 2019, the Company filed amendments with the Secretary of the State of Delaware, amending its articles of incorporation to execute a reverse stock split of 1 share for every 1,000 shares outstanding, and changing its name to Bantec, Inc. The name change and the stock split became effective in February 2020, and the transfer agent adjusted the outstanding shares for the reverse split on February 10, 2020. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares of common stock (in Shares) | 771,559 | 771,559 | 771,559 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued (in Shares) | 496,667 | 208,333 | 540,980 | 100,000 | 849,313 | 1,393,007 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued, value | $ 49 | $ 21 | $ 54 | $ 10 | $ 85 | $ 139 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Security Purchase Agreement [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Security purchase agreement, description | On December 20, 2017 an additional 0.20 warrant were issued as a penalty and in order to entice Crown Bridge to waive its right of first refusal to provide additional financing under the terms of their convertible note. A debt discount of $44,036 was recorded for the relative fair market value of the total 0.30 warrants and amortized to interest expense as of September 30, 2018. The warrants have full ratchet price protection and cashless exercise rights (See Note 10). The warrant includes an anti-dilution clause that was triggered on June 4, 2018. On June 4, 2018 an unrelated convertible note holder became entitled to convert their note into common shares at a 60% discount to the stock’s market price. The anti-dilution provision trigger in the warrant agreement entitled Crown Bridge to exercise its warrants under a formula that increased the number of common shares to 31 at a price of $3,600 per share. Due to the fact that the number of shares and exercise price can change due to market changes in the price of the common stock the Company has concluded to treat the warrants as derivatives and to revalue that derivative at each reporting date. Therefore, a derivative liability of $261,484 with a charge to additional paid in capital was recorded on June 4, 2018. As of September 30, 2021, the warrant was revalued and the warrant holder is entitled to exercise its warrants for 42,778 common shares and the related derivative liability is $125,693. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maximum [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares authorized (in Shares) | 12,000,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Minimum [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares authorized (in Shares) | 6,000,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Previously Reported [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares outstanding (in Shares) | 2,470,511 | 2,470,511 | 2,470,511 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Warrant [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of warrants exercisable | $ 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Term of warrants | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Warrants exercise price (in Dollars per share) | $ 10,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate value of warrants | $ 180,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Warrant [Member] | Security Purchase Agreement [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Convertible note, description | On November 9, 2017, the Company received a first tranche payment of $75,500 under the terms of a Securities Purchase Agreement dated October 25, 2017, with Crown Bridge under which the Company issued to Crown Bridge a convertible note in the principal amount of $105,000 and a five-year warrant to purchase 0.10 share of the Company’s common stock at an exercise price of $350,000 as a commitment fee which is equal to the product of one-third of the face value of each tranche divided by $0.35. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agreement, description | On October 22, 2020, the Company granted 1,000 shares of common stock to an employee, which were valued at $3.40, based on the stock price on the date of the grant. The cost of $3,400 was charged to compensation expense. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-employee Services [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agreement, description | On April 13, 2021, the Company issued 5,000 shares of common stock to its then COO, which were valued at $ 11.40, based on the stock price on the date of the grant. The cost of $57,000 was charged to accrued salary. | On October 22, 2020, the Company granted 5,000 shares of common stock to an employee, which were valued at $3.40, based on the stock price on the date of the grant. The cost of $17,000 was charged to compensation expense. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series A Preferred Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock, par value (in Dollars per share) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock shares designated (in Shares) | 250 | 250 | 250 | 250 | 250 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock, shares outstanding (in Shares) | 250 | 250 | 250 | 250 | 250 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock, shares issued (in Shares) | 250 | 250 | 250 | 250 | 250 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series A Preferred Stock [Member] | Preferred Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued, value | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred Class A [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock shares designated (in Shares) | 250 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee Stock Option [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compensation and consulting expense | $ 69,108 | 82,308 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total unrecognized compensation | $ 0 | $ 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trillium Partners LP [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued (in Shares) | 749,313 | 4,286 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued, value | $ 75,000 | $ 1,443,898 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash payments | $ 449,589 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued compensation | 90,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | $ 16,201 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock conversion (in Shares) | 95,301 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Security purchase agreement, description | Under the terms of each SPA, Trillium and JPC each agreed to advance funds under a merchant financing arrangement, treated as loans. Warrants for the purchase of 1,120,000 shares of Common Stock were issued as consideration for the advance agreement. In total 2,240,000 warrants were issued and a relative value for the bundled transaction of $200,387, was charged to debt discount (amortized to interest expense over the term of the related loans), additional paid in capital was credited for the same amount. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trillium Partners LP [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued (in Shares) | 577,559 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trillium Partners LP [Member] | Initial S-1 Offering [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued (in Shares) | 617,162 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued, value | $ 1,080,032 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oscaleta Partners LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued, value | $ 60,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oscaleta Partners LLC [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares issued (in Shares) | 24,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Alpha Capital Anstalt [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 111,050 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock conversion (in Shares) | 88,303 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Geneva Roth Remark Holdings Inc. [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock conversion (in Shares) | 233,396 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Conversion fees | $ 553,875 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Converted principal | $ 50,000 | $ 50,000 | $ 53,750 | $ 58,500 | $ 58,500 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 2,500 | $ 2,500 | $ 2,688 | $ 2,925 | $ 2,925 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares of common stock (in Shares) | 159,091 | 159,091 | 78,385 | 81,900 | 40,950 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal and accrued Interest | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Livingston Asset Management LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued compensation | 68,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | $ 7,168 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock conversion (in Shares) | 72,642 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Conversion fees | $ 4,100 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tri-Bridge Ventures, LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued compensation | 35,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | $ 1,550 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock conversion (in Shares) | 29,008 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Diagonal Lending LLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Converted principal | $ 53,750 | $ 53,750 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 2,688 | $ 2,688 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares of common stock (in Shares) | 217,067 | 217,067 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Frondeur PartnersLLC [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common stock conversion (in Shares) | 372,665 | 372,911 | 384,311 | 383,489 | 384,804 | 191,827 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt premium | $ 15,000 | $ 15,000 | $ 15,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Converted principal | $ 15,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued interest | $ 871 | $ 884 | $ 921 | $ 879 | $ 945 | $ 888 | $ 777 | $ 3,631 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares of common stock (in Shares) | 127,145 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | $ 15,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock Incentive Plan [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Deficit [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock incentive plan, description | The maximum number of shares available under the Plan is 100 shares. The Plan is open to all employees, officers, directors, and non-employees of the Company. Options granted under the Plan will terminate and may no longer be exercised (i) immediately upon termination of an employee or consultant for cause or (ii) one year after termination of employment, but not later than the remaining term of the option. As of June 30, 2023, 84 awards remain available for grant under the Plan. | The maximum number of shares available under the Plan is 100 shares. The Plan is open to all employees, officers, directors, and non-employees of the Company. Options granted under the Plan will terminate and may no longer be exercised (i) immediately upon termination of an employee or consultant for cause or (ii) one year after termination of employment, but not later than the remaining term of the option. As of September 30, 2022, 84 awards remain available for grant under the Plan. |
Stockholders' Deficit (Detail_2
Stockholders' Deficit (Details) - Schedule of the Company's Stock Options Activity - USD ($) | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Schedule Of The Companys Stock Options Activity Abstract | ||||
Number of Options, Outstanding ending Beginning (in Shares) | 16 | 16 | 17 | 18 |
Weighted-Average Exercise Price, Outstanding Beginning | $ 220,000 | $ 220,000 | $ 230,000 | $ 220,000 |
Weighted-Average Remaining Contractual Term (Years), Outstanding Beginning | 1 year 2 months 19 days | 1 year 11 months 19 days | 5 years 3 months 14 days | |
Weighted-Average Grant-Date Fair Value, Outstanding Beginning | ||||
Aggregate Intrinsic Value, Outstanding Beginning (in Dollars) | ||||
Number of Options, Forfeited (in Shares) | (1) | (1) | ||
Weighted-Average Exercise Price, Forfeited | ||||
Weighted-Average Remaining Contractual Term (Years), Forfeited | ||||
Weighted-Average Grant-Date Fair Value, Forfeited | ||||
Aggregate Intrinsic Value, Forfeited (in Dollars) | ||||
Number of Options, Outstanding ending (in Shares) | 16 | 17 | ||
Weighted-Average Exercise Price, Outstanding ending | $ 220,000 | $ 230,000 | ||
Weighted-Average Remaining Contractual Term (Years), Outstanding ending | 1 year 11 months 19 days | 3 years 8 months 15 days | ||
Weighted-Average Grant-Date Fair Value, Outstanding ending | ||||
Aggregate Intrinsic Value, Outstanding ending (in Dollars) |
Stockholders' Deficit (Detail_3
Stockholders' Deficit (Details) - Schedule of the Company's Warrant Activity - USD ($) | 12 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Schedule Of The Companys Warrant Activity Abstract | ||
Number of Warrants, Outstanding and exercisableBeginning (in Shares) | 42,777 | 25,484 |
Weighted-Average Exercise Price, Outstanding and exercisable Beginning | $ 1.12 | $ 1.9 |
Weighted-Average Remaining Contractual Term (Years), Outstanding and exercisable Beginning | 2 years 1 month 9 days | |
Weighted-Average Grant-Date Fair Value, Outstanding and exercisable Beginning | ||
Aggregate Intrinsic Value, Outstanding and exercisable Beginning (in Dollars) | $ 93,255 | $ 71,866 |
Number of Warrants, Anti-Dilution adjustment (in Shares) | 356,479 | 17,293 |
Weighted- Average Exercise Price, Anti-Dilution adjustment | ||
Weighted- Average Remaining Contractual Term (Years), Anti-Dilution adjustment | ||
Weighted- Average Grant-Date Fair Value, Anti-Dilution adjustment | ||
Aggregate Intrinsic Value, Anti-Dilution adjustment (in Dollars) | ||
Number of Warrants, Surrender of warrants (in Shares) | (399,256) | |
Weighted- Average Exercise Price, Surrender of warrants | ||
Weighted- Average Remaining Contractual Term (Years), Surrender of warrants | ||
Weighted- Average Grant-Date Fair Value, Surrender of warrants (in Dollars) | ||
Number of Warrants, issuance of warrants (in Shares) | 2,240,000 | |
Weighted- Average Exercise Price, issuance of warrants | $ 0.2 | |
Weighted- Average Remaining Contractual Term (Years), issuance of warrants | 6 years 9 months | |
Weighted- Average Grant-Date Fair Value, issuance of warrants | $ 0.2 | |
Aggregate Intrinsic Value, issuance of warrants (in Dollars) | $ 448,000 | |
Number of Warrants, Outstanding and exercisable ending (in Shares) | 2,240,000 | 42,777 |
Weighted-Average Exercise Price, Outstanding and exercisable ending | $ 0.2 | $ 1.12 |
Weighted-Average Remaining Contractual Term (Years), Outstanding and exercisable ending | 6 years 6 months | 1 year 1 month 9 days |
Weighted-Average Grant-Date Fair Value, Outstanding and exercisable ending | $ 0.2 | |
Aggregate Intrinsic Value, Outstanding and exercisable ending (in Dollars) | $ 224,000 | $ 93,255 |
Defined Contribution Plans (Det
Defined Contribution Plans (Details) - USD ($) | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||
Aug. 31, 2016 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Contribution Plan [Line Items] | |||||
Percentage of annual compensation | 90% | ||||
Employer contributions charged to operations | $ 0 | $ 0 | |||
Employer contributions charged to expense | $ 3,126 | $ 4,502 | $ 5,541 | $ 9,704 | |
Employees contribution plans term | 1 year |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||
Oct. 01, 2016 | Sep. 16, 2019 | Mar. 28, 2017 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 16, 2022 | Jan. 21, 2022 | Jun. 09, 2021 | Apr. 13, 2021 | Mar. 05, 2021 | Jul. 20, 2020 | |
Related Party Transactions [Line Items] | |||||||||||||
Annual base compensation | $ 370,000 | $ 370,000 | |||||||||||
Severance payment | $ 2,500,000 | $ 2,500,000 | |||||||||||
Annual salary | $ 624,000 | ||||||||||||
Bonus Rate | 10% | ||||||||||||
Common stock, shares issued (in Shares) | 0.25 | ||||||||||||
Vesting period | 5 years | ||||||||||||
Modified salary | $ 275,000 | ||||||||||||
Annual bonus of net income | 2% | ||||||||||||
Recognized expenses | $ 90,866 | ||||||||||||
Common stock shares (in Shares) | 6,994,378 | 4,407,321 | 2,470,511 | 5,000,000 | 1,800,000 | 1,500,000 | 5,000 | 1,250,000 | 1,500,000 | ||||
Common stock par value (in Dollars per share) | $ 11.4 | ||||||||||||
Compensation expense | $ 57,000 | ||||||||||||
Chief Executive Officer [Member] | |||||||||||||
Related Party Transactions [Line Items] | |||||||||||||
Company recognized expense | $ 468,000 | $ 468,000 | $ 624,000 | $ 624,000 | |||||||||
Mr. Wiles [Member] | |||||||||||||
Related Party Transactions [Line Items] | |||||||||||||
Employment agreement compensation | $ 140,000 | ||||||||||||
Gross profit | $ 1,250,000 |
Income Taxes (Details)
Income Taxes (Details) | 12 Months Ended |
Sep. 30, 2022 | |
Income Taxes [Abstract] | |
Net operating loss carryforwards, description | As of September 30, 2022, the Company has net operating loss carryforwards of approximately $17,382,000 to reduce future taxable income. Of the $17,382,000, approximately $14,604,000 can be used through 2039, and $2,778,000 may be carried forward indefinitely. |
Federal statutory rates | 21% |
Income Taxes (Details) - Schedu
Income Taxes (Details) - Schedule of Reconciliation of the Provision for Income Taxes - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Current | ||||||
Federal | ||||||
State | ||||||
Total current | ||||||
Deferred | ||||||
Federal | ||||||
State | ||||||
Total deferred | ||||||
Total income tax provision (benefit) |
Income Taxes (Details) - Sche_2
Income Taxes (Details) - Schedule of Reconciliation of the Provision for Income Taxes at the Federal Statutory Rates - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Schedule Of Reconciliation Of The Provision For Income Taxes At The Federal Statutory Rates Abstract | ||||||
U.S. Federal (tax benefit) provision at statutory rate | $ (561,403) | $ (395,235) | ||||
State (tax benefit) income taxes, net of federal benefit | (225,898) | (159,035) | ||||
Permanent differences | (40,511) | (1,040,685) | ||||
True up | 78,612 | 638,984 | ||||
Changes in valuation allowance | 749,200 | 955,971 | ||||
Total |
Income Taxes (Details) - Sche_3
Income Taxes (Details) - Schedule of Deferred Tax Assets and Liabilities - USD ($) | Sep. 30, 2022 | Sep. 30, 2021 |
Schedule Of Deferred Tax Assets And Liabilities Abstract | ||
Stock-based compensation | $ 873,096 | $ 872,055 |
Accrued salary – unpaid | 827,377 | 826,390 |
Net operating losses | 5,147,202 | 4,400,030 |
Total deferred tax assets | 6,847,675 | 6,098,475 |
Valuation allowance | (6,847,675) | (6,098,475) |
Net deferred tax assets | ||
Identifiable intangibles - Howco Purchase | ||
Total deferred tax liabilities | ||
Net deferred tax |
Commitments and Contingencies_2
Commitments and Contingencies (Details) | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Jun. 30, 2023 USD ($) shares | Jun. 23, 2023 USD ($) | May 02, 2023 USD ($) | Apr. 16, 2023 USD ($) | Jan. 27, 2020 USD ($) | Dec. 31, 2019 | Apr. 10, 2019 USD ($) | Apr. 10, 2019 USD ($) | Nov. 13, 2018 USD ($) | Nov. 13, 2018 USD ($) | Apr. 13, 2018 | Jan. 29, 2018 | Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2020 USD ($) | Jun. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) shares | Sep. 30, 2021 USD ($) shares | Dec. 31, 2016 USD ($) | Sep. 30, 2016 USD ($) | Dec. 30, 2020 USD ($) | Sep. 30, 2019 USD ($) | Sep. 30, 2017 USD ($) | |
Commitments and Contingencies (Details) [Line Items] | |||||||||||||||||||||||
Monthly settlement | $3,000 | $3,000 | |||||||||||||||||||||
Common stock shares issued (in Shares) | shares | 36,821,330 | 36,821 | |||||||||||||||||||||
Cancellation of share (in Shares) | shares | 119,670 | 119,670 | |||||||||||||||||||||
Previously recognized expenses | $ 218,637 | $ 218,637 | |||||||||||||||||||||
Past due amounts | $ 59,000 | ||||||||||||||||||||||
Lawsuit seeking payment | $ 276,430 | ||||||||||||||||||||||
Finance charges | $ 40,212 | ||||||||||||||||||||||
Commitments and contingencies, description | The agreement has an initial term of three years with one year renewals. | The agreement has an initial term of three years with one year renewals. | |||||||||||||||||||||
Convertible note amount | $ 180,750 | ||||||||||||||||||||||
Total accrual under the lease term | $ 360,000 | ||||||||||||||||||||||
Description of lease | In December 2019, the Company relocated its primary office to 195 Paterson Avenue, Little Falls, New Jersey, under a one-year lease with a renewal option having monthly payments of $500. | On April 16, 2020 the Company’s subsidiary Howco renewed its office and warehouse lease in Vancouver, WA for a term commencing on June 1, 2020 extending through June 1, 2023 at an initial monthly rent of approximately $5,154. | On April 16, 2020 the Company’s subsidiary Howco renewed its office and warehouse lease in Vancouver, WA for a term commencing on June 1, 2020 extending through June 1, 2023 at an initial monthly rent of approximately $5,154. | ||||||||||||||||||||
Lease liability | $ 140,561 | $ 156,554 | |||||||||||||||||||||
Minimum lease payments discount rate | 12% | 12% | 12% | 10% | |||||||||||||||||||
Leases rent expense | $ 57,356 | $ 53,855 | $ 73,346 | $ 68,246 | |||||||||||||||||||
Description of lease | In December 2019, the Company relocated its primary office to 195 Paterson Avenue, Little Falls, New Jersey, under a one-year lease with a renewal option having monthly payments of $500. | ||||||||||||||||||||||
Employees earned value | $ 0 | 0 | |||||||||||||||||||||
No longer paying amount | $ 3,000 | ||||||||||||||||||||||
Future payments amount | $ 6,500 | $ 3,000 | |||||||||||||||||||||
vendor claim unpaid bills | 90,000 | ||||||||||||||||||||||
Equal payments | $ 30,000 | 30,000 | $ 30,000 | ||||||||||||||||||||
Outstanding amounts | $ 219,613 | ||||||||||||||||||||||
Total payable | 110,000 | ||||||||||||||||||||||
Cash payment | 25,000 | ||||||||||||||||||||||
Notes payable | $ 85,000 | 17,500 | |||||||||||||||||||||
Annual interest | 3% | ||||||||||||||||||||||
Company pay | 2,472 | 2,472 | $ 2,472 | ||||||||||||||||||||
Settlement agreement | 57,448 | $ 16,500 | 57,448 | 57,448 | 154,562 | $ 42,850 | |||||||||||||||||
Initial Settlement | 2,000 | ||||||||||||||||||||||
Other Commitment, to be Paid, Remainder of Fiscal Year | $ 2,900 | ||||||||||||||||||||||
Lessor, Operating Lease, Payment to be Received, Next Rolling 12 Months | $ 4,542 | $ 4,542 | $ 4,542 | ||||||||||||||||||||
Lessor, Operating Lease, Payment to be Received, Rolling Year Two | $ 4,679 | ||||||||||||||||||||||
Lessor, Operating Lease, Payment to be Received, Rolling Year Three | 4,819 | ||||||||||||||||||||||
Monthly common charges | $ 1,481 | ||||||||||||||||||||||
Operating Lease, Weighted Average Remaining Lease Term | 2 years 11 months 1 day | 2 years 11 months 1 day | 2 years 11 months 1 day | ||||||||||||||||||||
Rent | $ 700 | $ 700 | $ 700 | ||||||||||||||||||||
Minimum [Member] | |||||||||||||||||||||||
Commitments and Contingencies (Details) [Line Items] | |||||||||||||||||||||||
Monthly lease rent obligation | 15,000 | 15,000 | 15,000 | 15,000 | |||||||||||||||||||
Maximum [Member] | |||||||||||||||||||||||
Commitments and Contingencies (Details) [Line Items] | |||||||||||||||||||||||
Monthly lease rent obligation | $ 16,500 | $ 16,500 | $ 16,500 | $ 16,500 | |||||||||||||||||||
Settlement Agreement [Member] | |||||||||||||||||||||||
Commitments and Contingencies (Details) [Line Items] | |||||||||||||||||||||||
Commitments and contingencies, description | the Company entered into a settlement agreement and mutual release with a vendor who had provided public relations and other consulting services whereby the Company shall pay to this vendor an aggregate amount of $60,000 of which $30,000 was paid on February 2, 2018. The Company was to have paid ten monthly payments of $3,000 per month beginning on February 29, 2018. The vendor is to return 0.4 common shares of the Company’s common stock which will be cancelled upon satisfaction of the liability. The liability is recorded at $21,000 as of September 30, 2022 and 2021. | the Company entered into a settlement agreement and mutual release with a vendor who had provided public relations and other consulting services whereby the Company shall pay to this vendor an aggregate amount of $60,000 of which $30,000 was paid on February 2, 2018. The Company was to have paid ten monthly payments of $3,000 per month beginning on February 29, 2018. The vendor is to return 1 common share of the Company’s common stock which will be cancelled upon satisfaction of the liability. The liability is recorded at $21,000 as of June 30, 2023, and September 30, 2022. | |||||||||||||||||||||
Convertible Note [Member] | |||||||||||||||||||||||
Commitments and Contingencies (Details) [Line Items] | |||||||||||||||||||||||
Professional fees | $ 161,700 | $ 161,700 | |||||||||||||||||||||
Convertible note amount | $ 90,000 | $ 90,000 | |||||||||||||||||||||
Note bears interest | 5% | 5% | |||||||||||||||||||||
Accrued accounts payable | $ 71,700 | $ 71,700 | |||||||||||||||||||||
HowCo [Member] | |||||||||||||||||||||||
Commitments and Contingencies (Details) [Line Items] | |||||||||||||||||||||||
Payroll percentage | 10% | ||||||||||||||||||||||
Texas Wyoming Drilling, Inc. [Member] | |||||||||||||||||||||||
Commitments and Contingencies (Details) [Line Items] | |||||||||||||||||||||||
Amount of claim for unpaid bills | $ 75,000 | $ 75,000 |
Commitments and Contingencies_3
Commitments and Contingencies (Details) - Schedule of Right of Use Asset - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Schedule Of Right Of Use Asset Abstract | |||
Operating lease at inception - June 2, 2020 | $ 140,561 | $ 156,554 | $ 156,554 |
Less accumulated reduction | (122,986) | (70,807) | |
Balance ROU asset | 140,561 | 33,568 | 85,747 |
Operating lease liabilities at inception - June 2, 2020 | 140,561 | 156,554 | 156,554 |
Reduction of lease liabilities | (122,079) | (69,564) | |
Total lease liabilities | 140,561 | 34,475 | 86,990 |
Less: current portion | (40,311) | (52,178) | |
Lease liabilities, non-current | 100,250 | 34,812 | |
Total minimum operating lease payments | 167,061 | 42,929 | 106,298 |
Less discount to fair value | (26,500) | (8,454) | (19,308) |
Total lease liability | $ 140,561 | $ 34,475 | $ 86,990 |
Commitments and Contingencies_4
Commitments and Contingencies (Details) - Schedule of Future Minimum Lease Payments - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 |
Schedule Of Future Minimum Lease Payments Abstract | ||
2023 | $ 42,929 | |
Total minimum non-cancelable operating lease payments | $ 140,561 | $ 42,929 |
Concentrations (Details)
Concentrations (Details) | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | |
Concentrations (Details) [Line Items] | ||||
Federally insured limit amount (in Dollars) | $ 250,000 | $ 250,000 | ||
Concentrations of foreign sales (in Dollars) | $ 4,509 | $ 0 | $ 0 | $ 0 |
Sales Revenue, Net [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Number of customers | 1 | 1 | 1 | 2 |
Concentration risk percentage | 89% | |||
Sales Revenue, Net [Member] | Customer One [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 73% | 57% | ||
Sales Revenue, Net [Member] | Customer Two [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 23% | |||
Sales Revenue, Net [Member] | Customer One [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 85% | 80% | ||
Accounts Receivable [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Number of customers | 3 | 3 | 3 | |
Accounts Receivable [Member] | Customer One [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 50% | 53% | ||
Accounts Receivable [Member] | Customer Two [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 23% | 24% | ||
Accounts Receivable [Member] | Customer Three [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 15% | 20% | ||
Accounts Receivable [Member] | Customer One [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 73% | 50% | ||
Accounts Receivable [Member] | Customer Two [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 13% | 23% | ||
Accounts Receivable [Member] | Customer Three [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 11% | 15% | ||
Purchase [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Number of suppliers | 1 | 3 | 2 | 1 |
Purchase [Member] | Supplier One [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 17% | 22% | ||
Purchase [Member] | Supplier Two [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 13% | |||
Accounts Payable [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Number of suppliers | 2 | 3 | 3 | |
Accounts Payable [Member] | Supplier One [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 27% | 14% | ||
Accounts Payable [Member] | Supplier Two [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 24% | 21% | ||
Accounts Payable [Member] | Supplier Three [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 13% | 19% | ||
Supplier One [Member] | Purchase [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 14% | 21% | ||
Supplier One [Member] | Accounts Payable [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 13% | 27% | ||
Supplier Two [Member] | Purchase [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 11% | |||
Supplier Two [Member] | Accounts Payable [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 15% | 24% | ||
Supplier Three [Member] | Purchase [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 10% | |||
Supplier Three [Member] | Accounts Payable [Member] | ||||
Concentrations (Details) [Line Items] | ||||
Concentration risk percentage | 13% |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||
Aug. 12, 2023 | Aug. 04, 2023 | Jul. 11, 2023 | Jan. 01, 2023 | Dec. 15, 2022 | Dec. 01, 2022 | Nov. 01, 2022 | Oct. 25, 2022 | Oct. 03, 2022 | Oct. 01, 2022 | Sep. 23, 2022 | Jul. 12, 2022 | Jun. 06, 2022 | May 25, 2022 | May 18, 2022 | Mar. 25, 2022 | Mar. 22, 2022 | Jan. 21, 2022 | Dec. 17, 2021 | Nov. 04, 2021 | Jun. 30, 2017 | Jul. 17, 2023 | Nov. 17, 2022 | Jun. 30, 2023 | Sep. 30, 2022 | Jul. 11, 2022 | Sep. 30, 2020 | Jul. 26, 2023 | Aug. 01, 2022 | |
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Issued shares of common stock (in Shares) | 496,667 | ||||||||||||||||||||||||||||
Offering and received | $ 99,333 | ||||||||||||||||||||||||||||
Converted principal | $ 15,000 | $ 15,000 | $ 55,000 | $ 55,000 | $ 2,200 | ||||||||||||||||||||||||
Accrued interest | $ 90,000 | $ 90,000 | $ 5,388 | ||||||||||||||||||||||||||
Reserve stock split, description | On July 11, 2023, the Company filed a certificate of amendment to its certificate of incorporation, as amended, to effect a one-for-one thousand (1:1,000) Reverse Stock Split (the “Reverse Stock Split”). Proportional adjustments for the Reverse Stock Split were made to the Company’s outstanding stock options, warrants and equity incentive plans. | ||||||||||||||||||||||||||||
Lowered interest rate | 25% | ||||||||||||||||||||||||||||
Company payments | $ 10,305.6 | ||||||||||||||||||||||||||||
Interest charge percentage | 14% | ||||||||||||||||||||||||||||
Interest charge | $ 12,565 | ||||||||||||||||||||||||||||
Outstanding principal percentage | 150% | ||||||||||||||||||||||||||||
Interest per annum | 22% | ||||||||||||||||||||||||||||
Variable percentage | 39% | ||||||||||||||||||||||||||||
Own greater percentage | 4.99% | ||||||||||||||||||||||||||||
Subsequent Event [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Converted principal | $ 191,827 | $ 384,804 | |||||||||||||||||||||||||||
Principal and accrued interests | $ 174,000 | ||||||||||||||||||||||||||||
Accrued interest | $ 15,000 | $ 15,000 | |||||||||||||||||||||||||||
Shares of common stock at contracted prices (in Shares) | 888 | 945 | |||||||||||||||||||||||||||
Reserve stock split, description | On December 15, 2022, the Company filed form PRE 14C with the SEC announcing its intent to effect a reverse stock split with a ratio of between 1:500 or 1:1000. | 1-for-1,000 | |||||||||||||||||||||||||||
Convertible promissory note issued, description | On January 1, 2023, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. | On December 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. | On November 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On December 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On December 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. | ||||||||||||||||||||||||||
Principal amount | $ 8,676,957 | $ 90,400 | |||||||||||||||||||||||||||
Lowered interest rate | 2% | ||||||||||||||||||||||||||||
Including an original issue discount | $ 10,400 | ||||||||||||||||||||||||||||
Immediate payment | $ 275,710.25 | ||||||||||||||||||||||||||||
Demand amount | $ 214,563.33 | ||||||||||||||||||||||||||||
Demand principal | 183,259 | ||||||||||||||||||||||||||||
Demand interest | 31,304.33 | ||||||||||||||||||||||||||||
Geneva Roth Remark Holdings Inc. [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Converted principal | $ 50,000 | $ 50,000 | $ 53,750 | $ 58,500 | $ 58,500 | ||||||||||||||||||||||||
Geneva Roth Remark Holdings Inc. [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Converted principal | $ 383,489 | $ 50,000 | |||||||||||||||||||||||||||
Accrued interest | $ 15,000 | ||||||||||||||||||||||||||||
Geneva Roth Remark Holdings Inc. [Member] | Convertible Notes [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Shares of common stock at contracted prices (in Shares) | 879 | ||||||||||||||||||||||||||||
Livingston Asset Management LLC [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Convertible promissory note issued, description | On November 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On November 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On December 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On December 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. | On October 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. On October 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On November 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On November 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On December 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On December 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date. | |||||||||||||||||||||||||||
Frondeur PartnersLLC [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Converted principal | $ 15,000 | ||||||||||||||||||||||||||||
Demand interest | 7,903 | ||||||||||||||||||||||||||||
Frondeur PartnersLLC [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Convertible promissory note issued, description | On January 1, 2023, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. | On December 1, 2022, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date.On December 1, 2022, the Company issued a convertible promissory note to an attorney for $4,000 in principal for services. The convertible note bears interest of 10% per annum and matures in seven months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $4,000 is recognized as interest expense on note issuance date.On January 1, 2023, the Company issued a convertible promissory note to Frondeur Partners LLC for $15,000 in principal for services. The convertible note bears interest of 10% per annum and matures in nine months. The note issued is convertible into shares of common stock at a discount of 50% of the lowest closing bid price during the thirty trading days prior to conversion. The note has a conversion feature and is treated as stock settled debt under ASC 480 and a debt premium of $15,000 is recognized as interest expense on note issuance date. | |||||||||||||||||||||||||||
Outstanding principal | 135,000 | ||||||||||||||||||||||||||||
JP Carey [Member] | Subsequent Event [Member] | |||||||||||||||||||||||||||||
Subsequent Events [Line Items] | |||||||||||||||||||||||||||||
Demand amount | 270,947.95 | ||||||||||||||||||||||||||||
Demand principal | 224,000 | ||||||||||||||||||||||||||||
Demand interest | $ 46,947.95 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies and Going Concern (Details) - Schedule of Potentially Dilutive Securities - shares | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Summary of Significant Accounting Policies and Going Concern [Line Items] | ||||
Stock options | 16 | 16 | 16 | 17 |
Warrants | 2,240,000 | 399,257 | 2,240,000 | 42,777 |
Series B Preferred Stock | 922,128,000 | 4,480,000 | ||
Third party convertible debt | 1,108,244,329 | 18,643,854 | 31,756,035 | 2,549,848 |
Total | 2,032,612,345 | 19,043,127 | 38,476,051 | 2,592,642 |
Accounts Receivable (Details)_2
Accounts Receivable (Details) - Schedule of Accounts Receivable - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Accounts receivable | $ 268,180 | $ 419,951 | $ 128,386 |
Reserve for doubtful accounts | |||
Total accounts receivable | $ 268,180 | $ 419,951 | $ 128,386 |
Promissory Notes Payable _ Re_3
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||||||||||
Apr. 28, 2023 | Apr. 12, 2023 | Apr. 25, 2022 | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Jan. 02, 2023 | Dec. 31, 2020 | Sep. 30, 2020 | Apr. 15, 2020 | Jan. 27, 2020 | Sep. 13, 2016 | |
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Daily interest | 18% | |||||||||||
Interest rates | 26% | |||||||||||
Repaid amount | $ 90,000 | $ 222,000 | $ 840,000 | |||||||||
Charged to interest expense | $ 31,250 | |||||||||||
Percentage owned | 100% | |||||||||||
Principal and accrued interest amount | $ 8,546,334 | $ 3,850 | ||||||||||
Chief Executive Officer [Member] | ||||||||||||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Repaid amount | $ 14,250 | |||||||||||
Bantec [Member] | ||||||||||||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Advances paid | 155,500 | |||||||||||
Repaid amount | 26,450 | |||||||||||
Fees | 129,050 | |||||||||||
Interest charged | 4,576 | |||||||||||
Bantec Sanitizing LLC [Member] | ||||||||||||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Advances paid | 14,562 | |||||||||||
Repaid amount | 1,000 | |||||||||||
Fees | 13,562 | |||||||||||
Interest charged | 1,664 | |||||||||||
HowCo [Member] | ||||||||||||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Advances paid | 75,000 | |||||||||||
Repaid amount | 42,250 | |||||||||||
Fees | 7,570 | |||||||||||
Interest charged | 40,320 | |||||||||||
Weekly payments | 3,250 | |||||||||||
Letter of Credit [Member] | Chief Executive Officer [Member] | ||||||||||||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Advance amount | $ 100,000 | $ 64,940 | ||||||||||
Line of Credit [Member] | Chief Executive Officer [Member] | ||||||||||||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Daily interest | 0.07% | |||||||||||
Repaid amount | $ 132,803 | |||||||||||
Promissory Notes Payable [Member] | ||||||||||||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) [Line Items] | ||||||||||||
Advances paid | $ 40,000 | |||||||||||
Promissory note | $ 50,000 | |||||||||||
Payments | 1,570 | |||||||||||
Interest | $ 28,500 | |||||||||||
Principal amount | 0 | $ 13,527 | $ 0 | |||||||||
Charged to interest expense | $ 4,713 |
Promissory Notes Payable _ Re_4
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) - Schedule of Outstanding Balance of Convertible and Other Notes Issued - USD ($) | 9 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) - Schedule of Outstanding Balance of Convertible and Other Notes Issued [Line Items] | |||
Premiums | $ 1,220,986 | ||
Convertible Notes Payable [Member] | |||
Promissory Notes Payable – Related Party Officer and His Affiliates (Details) - Schedule of Outstanding Balance of Convertible and Other Notes Issued [Line Items] | |||
Principal | 5,930,804 | 13,537 | |
Short term | $ 7,151,790 | $ 13,527 |
Convertible Notes Payable and_5
Convertible Notes Payable and Advisory Fee Liabilities (Details) - Schedule of Senior Secured Credit Facility Note Balance and Convertible Debt Balances - Senior Secured Credit Facility Note [Member] - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Convertible Notes Payable and Advisory Fee Liabilities (Details) - Schedule of Senior Secured Credit Facility Note Balance and Convertible Debt Balances [Line Items] | |||
Principal | $ 297,019 | $ 5,978,891 | $ 6,167,407 |
Premiums | 288,448 | 1,443,435 | |
Convertible note payable | $ 585,467 | $ 7,442,326 |
Notes and Loans Payable (Deta_3
Notes and Loans Payable (Details) - Schedule of loans and notes payable - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 |
Schedule of loans and notes payable [Abstract] | ||
Principal loans and notes | $ 704,967 | $ 615,500 |
Discounts | (31,091) | (270,064) |
Total | 673,876 | 345,436 |
Less Current portion | (523,876) | (217,897) |
Non-current | $ 150,000 | $ 127,539 |
Series B and Series C Preferr_2
Series B and Series C Preferred Stock (Details) - USD ($) | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||||||
Apr. 25, 2023 | Apr. 15, 2020 | Jun. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Apr. 18, 2023 | Jul. 31, 2022 | Jul. 01, 2022 | |
Series B and Series C Preferred Stock [Line Items] | |||||||||
Preferred stock, shares authorized | 5,000,000 | 5,000,000 | 5,000,000 | ||||||
Preferred stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||||||
Annual dividend rate | 22% | 22% | |||||||
Common stock percentage | 50% | ||||||||
Conversion price | $ 0.2 | $ 0.2 | |||||||
Variable conversion price | 50% | 50% | |||||||
Discount rate | 50% | 50% | |||||||
Relative value | $ 101,368 | $ 101,368 | |||||||
Aggregate value | $ 461,440 | 461,440 | |||||||
Additional paid in capital chargers including dividends | 360,072 | ||||||||
Dividend due | $ 13,440 | ||||||||
Preferred stock per share | $ 1.5 | $ 1.5 | |||||||
Conversion price per share | $ 0.2 | $ 0.2 | |||||||
Conversion price percentage | 50% | 50% | |||||||
Preferred stock redemption value | $ 461,064 | $ 224,000 | |||||||
Preferred stock conversion | the Company and the Holder of 224,000 Series B Preferred Stock (the “Holder”) entered into an Exchange Agreement whereby the Holder exchanged (the “Exchange”) 224,000 Series B Preferred Stock of the Company for 224,000 Series C Preferred Stock of the Company which shall have the rights and preferences in the Certificate of Designation of the Series C Preferred Stock as discussed below and for no other consideration. | ||||||||
Converted shares | 922,128,000 | 4,480,000 | |||||||
Additional paid in capital | $ 111,623 | ||||||||
Dividends amount | 125,063 | ||||||||
preferred stock value | |||||||||
Preferred stock dividend | 3% | ||||||||
Preferred stock issued and outstanding | 224,000 | ||||||||
Mandatorily redeemable liability | $ 336,000 | ||||||||
Preferred Stock [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Preferred stock redemption value | $ 224,000 | ||||||||
Series B Preferred Stock [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Preferred stock, shares authorized | 1,000,000 | ||||||||
Preferred stock, par value | $ 1 | ||||||||
Common stock percentage | 9.99% | 9.99% | |||||||
Preferred stock, shares issued | 448,000 | 448,000 | |||||||
Preferred stock value | $ 1.5 | $ 1.5 | $ 1.5 | ||||||
Preferred stock | 224,000 | 448,000 | 448,000 | ||||||
Series B Preferred Stock [Member] | Minimum [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Annual dividend rate | 12% | 12% | |||||||
Series B Preferred Stock [Member] | Maximum [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Annual dividend rate | 22% | 22% | |||||||
Series C Preferred Stock [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Preferred stock, par value | $ 0.0001 | ||||||||
Annual dividend rate | 18% | ||||||||
Convertible preferred stock | 224,000 | ||||||||
preferred stock value | $ 1,000,000 | ||||||||
Preferred stated value | $ 1 | ||||||||
Preferred stock value | $ 1.5 | ||||||||
Price per share | 2 | ||||||||
Mandatorily per share | $ 1.5 | $ 1.5 | |||||||
Convertible Series B Preferred Stock [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Converted shares | 922,128,000 | ||||||||
Redeemable Convertible Preferred Stock [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Preferred stock | 224,000 | ||||||||
Convertible Preferred Stock [Member] | |||||||||
Series B and Series C Preferred Stock [Line Items] | |||||||||
Mandatorily redeemable liability | $ 336,000 | ||||||||
Mandatorily per share | $ 1.5 |
Stockholders' Deficit (Detail_4
Stockholders' Deficit (Details) - Schedule of Stock Options Activity - USD ($) | 9 Months Ended | 12 Months Ended | |||
Jun. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2020 | |
Schedule of Stock Options Activity [Abstract] | |||||
Number of Options, Outstanding, ending (in Shares) | 16 | 16 | |||
Weighted- Average Exercise Price, Outstanding, ending | $ 220,000 | $ 220,000 | |||
Weighted- Average Remaining Contractual Term (Years), Outstanding, ending | 1 year 2 months 19 days | 1 year 11 months 19 days | 5 years 3 months 14 days | ||
Weighted- Average Grant-Date Fair Value, Outstanding,ending | |||||
Aggregate Intrinsic Value, Outstanding, ending (in Dollars) |
Stockholders' Deficit (Detail_5
Stockholders' Deficit (Details) - Schedule of the Company's Warrant Activity - USD ($) | 9 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Sep. 30, 2022 | |
Schedule of Warrant Activity [Abstract] | ||
Number of Warrants, Outstanding and exercisable, ending (in Shares) | 2,240,000 | 2,240,000 |
Weighted- Average Exercise Price, Outstanding and exercisable, ending | $ 0.2 | $ 0.2 |
Weighted- Average Remaining Contractual Term (Years), Outstanding and exercisable, ending | 6 years | 6 years 9 months |
Weighted- Average Grant-Date Fair Value, Outstanding and exercisable, ending | $ 0.2 | $ 0.2 |
Aggregate Intrinsic Value, Outstanding and exercisable, ending (in Dollars) | $ 448,000 |
Commitments and Contingencies_5
Commitments and Contingencies (Details) - Schedule of Right of Use Asset - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 |
Schedule of Right of Use Asset [Line Items] | |||
Operating lease at inception | $ 140,561 | $ 156,554 | $ 156,554 |
Less accumulated reduction | (122,986) | (70,807) | |
Balance ROU asset | 140,561 | 33,568 | 85,747 |
Operating lease liabilities at inception | 140,561 | 156,554 | 156,554 |
Reduction of lease liabilities | (122,079) | (69,564) | |
Total lease liabilities | 140,561 | 34,475 | 86,990 |
Less: current portion | (40,311) | (52,178) | |
Lease liabilities, non-current | 100,250 | 34,812 | |
Total minimum operating lease payments | 167,061 | 42,929 | 106,298 |
Less discount to fair value | (26,500) | (8,454) | (19,308) |
Total lease liability | $ 140,561 | $ 34,475 | $ 86,990 |
Commitments and Contingencies_6
Commitments and Contingencies (Details) - Schedule of Future Minimum Lease Payments - USD ($) | Jun. 30, 2023 | Sep. 30, 2022 |
Schedule of Future Minimum Lease Payments [Line Items] | ||
2024 | $ 31,277 | |
2025 | 56,279 | |
2026 | 53,005 | |
Total minimum non-cancelable operating lease payments | $ 140,561 | $ 42,929 |