Cover
Cover - shares | 3 Months Ended | |
Jun. 30, 2021 | Aug. 13, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2022 | |
Current Fiscal Year End Date | --03-31 | |
Entity File Number | 333-197642 | |
Entity Registrant Name | Tribus Enterprises, Inc. | |
Entity Central Index Key | 0001706573 | |
Entity Tax Identification Number | 82-1104757 | |
Entity Incorporation, State or Country Code | WA | |
Entity Address, Address Line One | 155 Haas Drive | |
Entity Address, City or Town | Englewood | |
Entity Address, State or Province | OH | |
Entity Address, Postal Zip Code | 45322 | |
City Area Code | 509 | |
Local Phone Number | 992-4743 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Elected Not To Use the Extended Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 35,983,858 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) | Jun. 30, 2021 | Mar. 31, 2021 |
Current assets | ||
Cash | $ 902,120 | $ 390,197 |
Accounts Receivable (Note 5) | 1,237 | 3,374 |
Inventory, net of inventory valuation of $28,960 and $3,891, respectively (Note 6) | 428,270 | 403,951 |
Prepaid expenses | 270 | 270 |
Deposits, current (Note 7) | 100,000 | |
Total current assets | 1,331,897 | 897,792 |
Deposits | 10,240 | 10,240 |
Right of use asset, operating leases | 75,404 | 93,929 |
Equipment, net of accumulated depreciation of $409,631 and $368,180, respectively (Note 8) | 2,877,562 | 1,625,022 |
Total assets | 4,295,103 | 2,626,983 |
Current liabilities | ||
Accounts payable and accrued liabilities | 332,784 | 291,144 |
Deferred revenue (Note 9) | 4,050 | 12,249 |
Operating lease liability, current (Note 10) | 71,164 | 86,495 |
Finance lease, current (Note 11) | 137,905 | 137,213 |
Loans payable, current (Note 12) | 1,588,686 | 273,528 |
Total current liabilities | 2,134,589 | 800,629 |
Operating lease liability, net of current portion (Note 10) | 4,233 | |
Finance lease, net of current portion (Note 11) | 75,698 | 110,435 |
Loans payable, net of current portion (Note 12) | 19,662 | 255,887 |
Other Long-Term Liabilities | 6,297 | 6,255 |
Total liabilities | 2,236,246 | 1,177,439 |
Stockholders’ equity | ||
Common stock, $0.001 par value; 100,000,000 authorized; 35,551,858 and 34,421,158 issued and outstanding at June 30, 2021 and March 31, 2021, respectively (Note 13) | 35,552 | 34,421 |
Additional paid in capital | 7,309,403 | 6,249,834 |
Accumulated deficit | (5,297,765) | (4,846,378) |
Total stockholders’ equity | 2,058,857 | 1,449,544 |
Total liabilities and stockholders’ equity | 4,295,103 | 2,626,983 |
Series A Preferred Stock [Member] | ||
Stockholders’ equity | ||
Preferred Stock, Value, Issued | 6,667 | 6,667 |
Total stockholders’ equity | 6,667 | 6,667 |
Series B Preferred Stock [Member] | ||
Stockholders’ equity | ||
Preferred Stock, Value, Issued | 5,000 | 5,000 |
Total stockholders’ equity | $ 5,000 | $ 5,000 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - USD ($) | Jun. 30, 2021 | Mar. 31, 2021 |
Inventory Valuation Reserves | $ 28,960 | $ 3,891 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | $ 409,631 | $ 368,180 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued | 35,551,858 | 34,421,158 |
Common Stock, Shares, Outstanding | 35,551,858 | 34,421,158 |
Series A Preferred Stock [Member] | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Preferred Stock, Shares Authorized | 20,000,000 | 20,000,000 |
Preferred Stock, Shares Issued | 6,666,666 | 6,666,666 |
Preferred Stock, Shares Outstanding | 6,666,666 | 6,666,666 |
Series B Preferred Stock [Member] | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Preferred Stock, Shares Authorized | 5,000,000 | 5,000,000 |
Preferred Stock, Shares Issued | 4,999,800 | 4,999,800 |
Preferred Stock, Shares Outstanding | 4,999,800 | 4,999,800 |
UNAUDITED CONDENSED CONSOLIDATE
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 3 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Income Statement [Abstract] | ||
Revenue | $ 31,609 | $ 7,454 |
Cost of goods sold | 246,342 | 77,568 |
Gross margin | (214,733) | (70,114) |
Operating expenses | ||
Employee costs | 142,740 | 46,527 |
Professional fees | 51,823 | 10,998 |
General and administrative | 47,051 | 36,485 |
Facilities | 17,258 | 24,678 |
Research and development | 12,781 | |
Depreciation expense | 3,945 | 79,987 |
Total operating expenses | 262,817 | 211,456 |
Net loss from operations | (477,550) | (281,570) |
Other income (expense) | ||
Other income/(expense), net | 29,252 | 146,443 |
Gain/(loss) on sale of equipment | (145,127) | |
Interest expense | (3,089) | (36,029) |
Total other income (expense) | 26,163 | (34,713) |
Income tax | ||
Net and comprehensive loss | $ (451,387) | $ (316,283) |
Net loss per share, basic and diluted | $ (0.01) | $ (0.03) |
Weighted average shares outstanding, basic and diluted | 35,185,801 | 11,637,465 |
UNAUDITED CONDENSED CONSOLIDA_2
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($) | Series A Preferred Stock [Member] | Series B Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Mar. 31, 2020 | $ 20,000 | $ 3,910 | $ 7,361 | $ 3,600,752 | $ (3,718,479) | $ (86,456) |
Shares, Outstanding, Beginning Balance at Mar. 31, 2020 | 19,999,998 | 3,910,000 | 7,360,858 | |||
Series B preferred stock issued for cash | $ 740 | 517,120 | 517,860 | |||
Stock Issued During Period, Shares, Conversion of Convertible Securities | 0 | 739,800 | ||||
Common stock issued for cash | $ 6,185 | 1,540,016 | 1,546,201 | |||
Stock Issued During Period, Shares, New Issues | 0 | 6,184,800 | ||||
Direct Incremental Costs | (200,000) | (200,000) | ||||
Net loss, three months ended June 30, 2021 | (316,283) | (316,283) | ||||
Ending balance, value at Jun. 30, 2020 | $ 20,000 | $ 4,650 | $ 13,546 | 5,457,888 | (4,034,762) | 1,461,322 |
Shares, Outstanding, Ending Balance at Jun. 30, 2020 | 19,999,998 | 4,649,800 | 13,545,658 | |||
Beginning balance, value at Mar. 31, 2021 | $ 6,667 | $ 5,000 | $ 34,421 | 6,249,834 | (4,846,378) | 1,449,544 |
Shares, Outstanding, Beginning Balance at Mar. 31, 2021 | 6,666,666 | 4,999,800 | 34,421,158 | |||
Common stock issued for cash | $ 1,131 | 1,129,569 | 1,130,700 | |||
Stock Issued During Period, Shares, New Issues | 0 | 1,130,700 | ||||
Direct Incremental Costs | (70,000) | (70,000) | ||||
Net loss, three months ended June 30, 2021 | (451,387) | (451,387) | ||||
Ending balance, value at Jun. 30, 2021 | $ 6,667 | $ 5,000 | $ 35,552 | $ 7,309,403 | $ (5,297,765) | $ 2,058,857 |
Shares, Outstanding, Ending Balance at Jun. 30, 2021 | 6,666,666 | 4,999,800 | 35,551,858 |
UNAUDITED CONDENSED CONSOLIDA_3
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 3 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash flows from operating activities | ||
Net loss | $ (451,387) | $ (316,283) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation | 59,976 | 99,250 |
Inventory Allowance | 25,069 | |
(Gain)/loss on sale of equipment | 145,127 | |
Loan Forgiveness | (131,720) | |
Changes in operating assets and liabilities: | ||
Accounts receivable | 2,137 | |
Prepaid expenses | (20,873) | |
Prepaid inventory | ||
Deposits, current | 100,000 | |
Deposits | 3,502 | |
Inventory | (49,388) | (22,185) |
Accounts payable and accrued liabilities | 41,640 | (210,950) |
Interest payable | (37,936) | |
Deferred rent | 1,247 | |
Estimated Warranty Liability | 42 | |
Deferred revenue | (8,199) | (3,814) |
Sub lease security deposit | 3,200 | |
Net cash used in operating activities | (280,110) | (491,435) |
Cash flows from investing activities | ||
Purchase of equipment | (194,091) | (193,838) |
Sale of equipment | 370,000 | |
Net cash provided by (used in) investing activities | (194,091) | 176,162 |
Cash flows from financing activities | ||
Repayments of finance leases | (34,045) | (403,942) |
Payments of operating lease liability | (19,564) | (14,958) |
Repayments of loans payable | (31,382) | (385,090) |
Proceeds from Loan Payable | 24,719 | |
Proceeds from CARES Act Loan | 14,304 | |
Forgiveness of CARES Act Loan | (14,304) | |
Proceeds from sale of common stock | 1,130,700 | 1,546,200 |
Proceeds from the sale of series B preferred stock | 517,860 | |
Payments of direct incremental costs associated with the sale of stock | (70,000) | (200,000) |
Net cash provided by financing activities | 986,124 | 1,074,374 |
Cash, beginning of period | 390,197 | 150,741 |
Net change in cash | 511,923 | 759,101 |
Cash, end of period | 902,120 | 909,842 |
Supplemental cash flow information | ||
Cash paid for interest | 3,089 | 73,965 |
Cash paid for income taxes | ||
Supplemental disclosure of non-cash financing activities | ||
Finance leases entered into for purchase of equipment | ||
Loan entered into for purchase of equipment | $ 1,099,900 | $ 146,340 |
NATURE OF OPERATIONS AND ORGANI
NATURE OF OPERATIONS AND ORGANIZATION | 3 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NATURE OF OPERATIONS AND ORGANIZATION | NOTE 1 – NATURE OF OPERATIONS AND ORGANIZATION The Company was incorporated in the State of Washington on March 29, 2017 for the purpose of developing, designing, manufacturing and distributing hand tools. Upon incorporation, the Company entered into a share exchange agreement with Tribus Innovations, LLC (“Tribus Innovations”) and acquired all of the outstanding ownership interests of Tribus Innovations. Tribus Innovations was formed on December 1, 2015. The transaction was accounted for as a reverse merger and these financial statements present the historical financial information of Tribus Innovations from its inception and include the financial information of the Company from the completion of the share exchange agreement on March 29, 2017. Tribus Enterprises, Inc. was formed to develop, manufacture, and market a compelling product line of innovative ratcheting flare nut wrenches which have been issued a Patent Number 10,414,029. The Company’s ratcheting flare nut wrench product line, which includes line and O2/NOx sensor wrenches, are being sold in the hand tool industry. Historically there have been limited designs for the ratcheting flare nut wrench or the traditional non-ratcheting flare nut wrench. These designs do not allow for small incremental movement in confined spaces, whereas Tribus’ version of the ratcheting flare nut wrench breaks new ground in this market. Due to the wide application of Tribus Tools, Tribus has extensive marketing opportunities. Currently, Tribus has been selling its tools through on-line sales that include Facebook and Google ads and tool trucks. In the latter part of our fiscal year, we started selling our O2/NOx Sensor wrench on Amazon. While these efforts generated modest sales to date, it has provided Tribus with the feedback and assurance that the tools are needed, wanted, and provide value to our customers. During the quarter ending June 30, 2021, the Company focused most of its’ efforts implementing new equipment to expand operations while fine-tuning engineering product designs. As such, sales during the quarter were minimal as production was down for most of the quarter. |
UNAUDITED CONDENSED CONSOLIDA_4
UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS | 3 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS | NOTE 2 – UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS The accompanying unaudited condensed consolidated interim financial statements have been prepared by the Company without audit. In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows for the periods ended June 30, 2021 and for all periods presented herein, have been made. Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. It is suggested that these condensed consolidated financial statements be read in conjunction with the financial statements and notes thereto included in the Company’s March 31, 2021 audited financial statements. The results of operations for the periods ended June 30, 2021 are not necessarily indicative of the operating results for the full year. These consolidated financial statements include the accounts of the Company and its wholly owned subsidiary, Tribus Innovations LLC. All intercompany balances and transactions are eliminated on consolidation. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reported period. Actual results could differ from those estimates. Management further acknowledges that it is solely responsible for adopting sound accounting practices, establishing and maintaining a system of internal accounting control and preventing and detecting fraud. The Company’s system of internal accounting control is designed to assure, among other items, that (1) recorded transactions are valid; (2) all valid transactions are recorded and (3) transactions are recorded in the period in a timely manner to produce financial statements which present fairly the financial condition, results of operations and cash flows of the company for the respective periods being presented. |
GOING CONCERN
GOING CONCERN | 3 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GOING CONCERN | NOTE 3 – GOING CONCERN The Company’s financial statements are prepared using accounting principles generally accepted in the United States of America applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. However, the Company does not have significant cash or other current assets, nor does it have an established source of revenues sufficient to cover its operating costs which raises substantial doubt regarding the Company’s ability to continue as a going concern. Under the going concern assumption, an entity is ordinarily viewed as continuing in business for the foreseeable future with neither the intention nor the necessity of liquidation, ceasing trading, or seeking protection from creditors pursuant to laws or regulations. Accordingly, assets and liabilities are recorded on the basis that the entity will be able to realize its assets and discharge its liabilities in the normal course of business. The ability of the Company to continue as a going concern is dependent upon its ability to successfully execute its plans and eventually attain profitable operations. The accompanying financial statements do not include any adjustments that may be necessary if the Company is unable to continue as a going concern. The Company’s foreseeable cash requirements will relate to continual development of the operations of its business, maintaining its good standing and making the requisite filings with the Securities and Exchange Commission, and the payment of expenses associated with operations. The Company may experience a cash shortfall and be required to raise additional capital. Historically, it has mostly relied upon internally generated funds and funds from the sale of shares of stock to finance its operations and growth. Management may raise additional capital through future public or private offerings of the Company’s stock or through loans from private investors, although there can be no assurance that it will be able to obtain such financing. The Company’s failure to do so could have a material and adverse effect upon it and its shareholders. |
REVENUE RECOGNITION
REVENUE RECOGNITION | 3 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE RECOGNITION | NOTE 4 – REVENUE RECOGNITION The Company follows Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers The Company offers a lifetime warranty for manufacturing defects on products sold. The Company has estimated future costs that will be incurred under its lifetime warranty program based on its historical defect rate. The amount of estimated warranty liability was $ 3,097 3,055 The Company recognized revenues of $ 31,609 7,454 |
ACCOUNTS RECEIVABLE
ACCOUNTS RECEIVABLE | 3 Months Ended |
Jun. 30, 2021 | |
Accounts Receivable | |
ACCOUNTS RECEIVABLE | NOTE 5 - ACCOUNTS RECEIVABLE Accounts receivable represents money due to the Company for products sold and delivered but not yet paid. The accounts receivable balance was $ 1,237 3,374 |
INVENTORY
INVENTORY | 3 Months Ended |
Jun. 30, 2021 | |
Inventory Disclosure [Abstract] | |
INVENTORY | NOTE 6 - INVENTORY The Company recognizes the cost of inventory through cost of goods sold as product is shipped to customers on an average cost basis. The value of inventory is carried at the lower of cost or market of raw materials purchased to manufacture the finished goods, direct labor associated with manufacturing and certain overhead related to the manufacturing facility. As of June 30, 2021, the Company’s finished goods inventory balance was $ 97,566 28,960 243,255 50,126 54,422 11,861 As of March 31, 2021, the Company’s finished goods inventory balance was $ 26,887 3,891 291,930 30,842 48,362 9,821 |
CURRENT DEPOSITS
CURRENT DEPOSITS | 3 Months Ended |
Jun. 30, 2021 | |
Current Deposits | |
CURRENT DEPOSITS | NOTE 7 - CURRENT DEPOSITS During the year ended March 31, 2021, the Company made a deposit of $ 100,000 |
EQUIPMENT
EQUIPMENT | 3 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
EQUIPMENT | NOTE 8 – EQUIPMENT Property and equipment are stated at cost. Depreciation is computed using the average cost method over the estimated useful lives of the assets, which range from 3 10 As of June 30, 2021, the Company’s equipment net of accumulated depreciation was $ 2,877,562 1,625,022 |
DEFERRED REVENUE
DEFERRED REVENUE | 3 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
DEFERRED REVENUE | NOTE 9 - DEFERRED REVENUE Deferred revenue represents revenues collected but not earned as of June 30, 2021. This is primarily composed of rent or sales revenue received in advance of goods or services being delivered. The balance of deferred revenue was $ 4,050 12,249 |
OPERATING LEASES
OPERATING LEASES | 3 Months Ended |
Jun. 30, 2021 | |
Operating Leases | |
OPERATING LEASES | NOTE 10 – OPERATING LEASES In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), Leases, Topic 842 Topic 840 On March 23, 2017, the Company entered into a lease agreement for the rent of warehouse space that terminates on April 30, 2022 which was amended on May 20, 2017. Additionally, on March 12, 2019, the Company entered into an additional lease for the rent of warehouse space that terminates on March 31, 2022. On April 1, 2019, the Company recorded a right of use asset and operating lease liability totaling $ 207,359 25 19,565 71,164 Subsequent to June 30, 2021, the Company entered into a short-term lease for the rent of an additional warehouse that terminates on March 31, 2022 32,645 The leases require future minimum payments as shown below: Year Ending March 31, 2022 107,534 2023 4,321 111,855 Less imputed interest (8,046 ) Operating lease liability, total $ 103,809 On May 8, 2019, the Company entered into a sublease agreement whereby it will sublet a portion of its space for a period of twelve months commencing on May 1, 2019. The sublease requires a prorated amount of rent of $ 1,800 4,100 April 2020 23 June 1, 2020 1,200 On May 11, 2020, the Company entered into a separate sublease agreement whereby it will sublet a portion of its space for a period of 24 May 1, 2020 1,875 1,510 The Company records sublease payments received as other income in the statement of operations. Sublease income of $ 13,755 8,378 The subleases provide future income as shown below: Year Ending March 31, 2022 27,675 2023 3,075 Other income from subleases, total $ 30,750 |
FINANCING LEASES PAYABLE
FINANCING LEASES PAYABLE | 3 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
FINANCING LEASES PAYABLE | NOTE 11 – FINANCING LEASES PAYABLE In February 206, the FASB issued ASU 2016-02, Leases (Topic 842), Leases, Topic 842 Topic 840 The Company accounts for financing leases in accordance with ASC 842. As of December 31, 2020, the Company had three outstanding long-term leases for equipment that grants the Company the option to purchase the underlying asset at lease termination that the Company is reasonably certain to exercise. The Company determined these were financing leases based on the reasonable certainty the Company will exercise its right to purchase the underlying assets and capitalized the net present value of the leases which totaled $ 347,512 11,764 As of June 30, 2021, there was a total of $ 217,702 4,099 213,603 137,905 75,698 Future annual payments required under the financing leases through termination are as follows: Year Ending March 31, Principal Interest Total 2022 103,168 2,712 105,880 2023 105,773 1,221 106,994 2024 4,293 164 4,457 2025 369 2 371 $ 213,603 $ 4,099 $ 217,702 As of March 31, 2021, there was a total of $ 252,996 5,348 247,648 137,213 110,435 |
LOANS PAYABLE
LOANS PAYABLE | 3 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
LOANS PAYABLE | NOTE 12 – LOANS PAYABLE As of June 30, 2021, the Company had outstanding three separate loan agreements and one loan that was forgiven during the period. ● June 1, 2019, the Company entered into a loan to borrow $ 34,222 6.59 24,720 2.890 ● On January 20, 2021, the Company entered into a short-term loan with a related party in the amount of $ 150,000 eleven 2,500 4.017 ● On February 18, 2021, the Company entered into a verbal loan for equipment valued at $ 352,696 1,199,900 42,000 ● On May 1, 2020, the Company received loan proceeds in the amount of $ 14,304 Total loans outstanding as of June 30, 2021 were $ 1,608,348 1,588,686 19,662 Total loans outstanding as of March 31, 2021 were $ 529,415 273,528 255,887 |
CAPITAL STOCK
CAPITAL STOCK | 3 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
CAPITAL STOCK | NOTE 13 – CAPITAL STOCK Authorized The Company is authorized to issue up to 20,000,000 0.001 5,000,000 0.001 100,000,000 0.001 The holders of the Series A Preferred Stock are entitled to 10 votes for each share held. Each share of Series A Preferred Stock is convertible into 10 shares of Common Stock at the discretion of the Company’s directors. In the event that there is a change of control transaction, each share of Series A Preferred Stock is convertible into 10 shares of Common Stock at the option of the holder. The holders of the Series A Preferred Stock are entitled to participate in dividends. Dividends are non-cumulative and are at the discretion of the Company’s directors. The holders of the Series B Preferred Stock are entitled to 4 votes for each share held. Each share of Series B Preferred Stock is convertible into 4 shares of Common Stock at the discretion of the stockholder. The holders of the Series B Preferred Stock are entitled to participate in dividends. Dividends are non-cumulative and are at the discretion of the Company’s directors. Issued During the three months ended June 30, 2021, the Company accepted stock subscriptions to issue a total of 1,130,700 1.00 1,130,700 602,500 There were 6,666,666 4,999,800 35,551,858 There were 6,666,666 4,999,800 34,421,158 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Jun. 30, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 14 – SUBSEQUENT EVENTS Subsequent to June 30, 2021, the Company issued an additional 432,000 249,000 4,000 |
OPERATING LEASES (Tables)
OPERATING LEASES (Tables) | 3 Months Ended |
Jun. 30, 2021 | |
Operating Leases | |
The leases require future minimum payments as shown below: | The leases require future minimum payments as shown below: Year Ending March 31, 2022 107,534 2023 4,321 111,855 Less imputed interest (8,046 ) Operating lease liability, total $ 103,809 |
The subleases provide future income as shown below: | The subleases provide future income as shown below: Year Ending March 31, 2022 27,675 2023 3,075 Other income from subleases, total $ 30,750 |
FINANCING LEASES PAYABLE (Table
FINANCING LEASES PAYABLE (Tables) | 3 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Future annual payments required under the financing leases through termination are as follows: | Future annual payments required under the financing leases through termination are as follows: Year Ending March 31, Principal Interest Total 2022 103,168 2,712 105,880 2023 105,773 1,221 106,994 2024 4,293 164 4,457 2025 369 2 371 $ 213,603 $ 4,099 $ 217,702 |
REVENUE RECOGNITION (Details Na
REVENUE RECOGNITION (Details Narrative) - USD ($) | 3 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Mar. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |||
Warranty liability | $ 3,097 | $ 3,055 | |
Revenue | $ 31,609 | $ 7,454 |
ACCOUNTS RECEIVABLE (Details Na
ACCOUNTS RECEIVABLE (Details Narrative) - USD ($) | Jun. 30, 2021 | Mar. 31, 2021 |
Accounts Receivable | ||
Accounts receivable | $ 1,237 | $ 3,374 |
INVENTORY (Details Narrative)
INVENTORY (Details Narrative) - USD ($) | Jun. 30, 2021 | Mar. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 97,566 | $ 26,887 |
Inventory valuation | 28,960 | 3,891 |
Work in process | 243,255 | 291,930 |
Raw materials | 50,126 | 30,842 |
Tooling inventory | 54,422 | 48,362 |
Packaging inventory | $ 11,861 | $ 9,821 |
CURRENT DEPOSITS (Details Narra
CURRENT DEPOSITS (Details Narrative) | Jun. 30, 2021USD ($) |
Current Deposits | |
Deposit | $ 100,000 |
EQUIPMENT (Details Narrative)
EQUIPMENT (Details Narrative) - USD ($) | 3 Months Ended | |
Jun. 30, 2021 | Mar. 31, 2021 | |
Property, Plant and Equipment [Line Items] | ||
Equipment net of accumulated depreciation | $ 409,631 | $ 368,180 |
Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 3 years | |
Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, useful life | 10 years |
DEFERRED REVENUE (Details Narra
DEFERRED REVENUE (Details Narrative) - USD ($) | Jun. 30, 2021 | Mar. 31, 2021 |
Revenue from Contract with Customer [Abstract] | ||
Deferred revenue | $ 4,050 | $ 12,249 |
The leases require future minim
The leases require future minimum payments as shown below: (Details) | Jun. 30, 2021USD ($) |
Operating Leases | |
2022 | $ 107,534 |
2023 | 4,321 |
111,855 | |
Less imputed interest | (8,046) |
Operating lease liability, total | $ 103,809 |
The subleases provide future in
The subleases provide future income as shown below: (Details) | Jun. 30, 2021USD ($) |
Operating Leases | |
2022 | $ 27,675 |
2023 | 3,075 |
Other income from subleases, total | $ 30,750 |
OPERATING LEASES (Details Narra
OPERATING LEASES (Details Narrative) - USD ($) | May 28, 2020 | May 11, 2020 | May 31, 2019 | Jun. 30, 2021 | Jun. 30, 2020 | Mar. 31, 2021 | Apr. 02, 2019 |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Operating lease liability right of use asset | $ 75,404 | $ 93,929 | $ 207,359 | ||||
Operating lease, imputed interest rate | 25.00% | ||||||
Operating lease liability, net of current portion | $ 71,164 | $ 86,495 | |||||
Maturity date | Mar. 31, 2022 | ||||||
Future minimum payments | $ 32,645 | ||||||
Other Nonoperating Income (Expense) [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Sublease income | $ 13,755 | $ 8,378 | |||||
Sublease Agreement [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Operating sublease, portion of rent | $ 1,800 | ||||||
Operating sublease, monthly rental payments | $ 1,875 | $ 4,100 | |||||
Sublease maturity date | April 2020 | ||||||
Sublease maturity terms | 24 months | ||||||
Sublease commencing date | May 1, 2020 | ||||||
Operating sublease, rent for additional space | $ 1,510 | ||||||
New Sublease Agreement [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Operating sublease, monthly rental payments | $ 1,200 | ||||||
Sublease maturity terms | 23 months | ||||||
Sublease commencing date | Jun. 1, 2020 |
Future annual payments required
Future annual payments required under the financing leases through termination are as follows: (Details) | Jun. 30, 2021USD ($) |
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items] | |
2022 | $ 105,880 |
2023 | 106,994 |
2024 | 4,457 |
2025 | 371 |
217,702 | |
Finance Leases [Member] | |
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items] | |
2022 | 103,168 |
2023 | 105,773 |
2024 | 4,293 |
2025 | 369 |
213,603 | |
Interest Payable [Member] | |
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items] | |
2022 | 2,712 |
2023 | 1,221 |
2024 | 164 |
2025 | 2 |
$ 4,099 |
FINANCING LEASES PAYABLE (Detai
FINANCING LEASES PAYABLE (Details Narrative) - USD ($) | 3 Months Ended | |
Jun. 30, 2021 | Mar. 31, 2021 | |
Obligation with Joint and Several Liability Arrangement [Line Items] | ||
Capitalized net present value | $ 347,512 | |
Finance Lease, Liability, Payment, Due, Total | 217,702 | $ 252,996 |
Finance Lease, Liability, Undiscounted Excess Amount | 4,099 | 5,348 |
Finance Lease, Liability, Total | 213,603 | 247,648 |
Finance Lease, Liability, Current | 137,905 | 137,213 |
Finance Lease, Liability, Noncurrent | 75,698 | $ 110,435 |
Capital Lease Obligations [Member] | ||
Obligation with Joint and Several Liability Arrangement [Line Items] | ||
Debt Instrument, Periodic Payment, Total | $ 11,764 |
LOANS PAYABLE (Details Narrativ
LOANS PAYABLE (Details Narrative) - USD ($) | May 01, 2021 | Feb. 18, 2021 | Jan. 20, 2021 | Jun. 30, 2021 | May 07, 2021 | Apr. 30, 2021 | Mar. 31, 2021 | Jun. 01, 2019 |
Short-term Debt [Line Items] | ||||||||
Equipment value | $ 2,877,562 | $ 1,625,022 | ||||||
Secured debt | 1,608,348 | 529,415 | ||||||
Secured debt, current | 1,588,686 | 273,528 | ||||||
Secured debt, noncurrent | $ 19,662 | $ 255,887 | ||||||
Equipment [Member] | Verbal Loan Agreement [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Monthly loan payments | $ 42,000 | |||||||
Equipment value | $ 352,696 | $ 1,199,900 | ||||||
Related Parties [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Interest rate | 4.017% | |||||||
Short-term loan | $ 150,000 | |||||||
Monthly loan payments | $ 2,500 | |||||||
The 6.59% Loan Payable [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Debt face amount | $ 34,222 | |||||||
Interest rate | 6.59% | |||||||
The 652 Loan Payable [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Debt face amount | $ 24,720 | |||||||
Interest rate | 2.89% | |||||||
Paycheck Protection Program [Member] | ||||||||
Short-term Debt [Line Items] | ||||||||
Loan proceeds | $ 14,304 |
CAPITAL STOCK (Details Narrativ
CAPITAL STOCK (Details Narrative) - USD ($) | 3 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Mar. 31, 2021 | |
Class of Stock [Line Items] | |||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Proceeds from issuance of common stock | $ 1,130,700 | $ 1,546,200 | |
Common stock, issued | 35,551,858 | 34,421,158 | |
Common stock, outstanding | 35,551,858 | 34,421,158 | |
Commo Stock Subscriber [Member] | Subscription Agreements [Member] | |||
Class of Stock [Line Items] | |||
Number of shares subscribed | 1,130,700 | ||
Common stock, par value (in dollars per share) | $ 1 | ||
Proceeds from issuance of common stock | $ 1,130,700 | ||
Related Parties [Member] | |||
Class of Stock [Line Items] | |||
Proceeds from issuance of common stock | $ 602,500 | ||
Common Stock [Member] | |||
Class of Stock [Line Items] | |||
Preferred stock, authorized | 100,000,000 | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | ||
Series A Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Preferred stock, authorized | 20,000,000 | 20,000,000 | |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Preferred stock, issued | 6,666,666 | 6,666,666 | |
Preferred stock, outstanding | 6,666,666 | 6,666,666 | |
Series B Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Preferred stock, authorized | 5,000,000 | 5,000,000 | |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Preferred stock, issued | 4,999,800 | 4,999,800 | |
Preferred stock, outstanding | 4,999,800 | 4,999,800 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - USD ($) | Jul. 01, 2021 | Jun. 30, 2021 | Mar. 31, 2021 |
Subsequent Event [Line Items] | |||
Equipment value | $ 2,877,562 | $ 1,625,022 | |
Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Monthly loan payments | $ 4,000 | ||
Related Parties [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Number of additional common shares issued | 432,000 | ||
Equipment value | $ 249,000 |