Note 9 - Leases

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

9. Leases

The Company’s leases do not provide an implicit rate that can be readily determined. Therefore, the Company uses discount rates based on the incremental borrowing rate of its current external debt of 3%, 10%, and 17%, depending on the entity and timing of the lease implementation.

The Company’s weighted-average remaining lease term relating to its operating leases is 5.22 years, with a weighted-average discount rate of the 13.13%.

The Company incurred lease expense for its operating leases of $103,959 and $3,347, which was included in general and administrative expenses in the condensed consolidated statements of operation for the periods ended September 2021 and 2020, respectively. During the nine months ended September 30, 2021 and 2020, the Company made cash lease payments in the amount of $82,487 and $3,256, respectively.

The following table presents information about the future maturity of the lease liability under the Company’s operating leases as of September 30, 2021.

Maturity of Lease Liability	Total
2021	$	72,796
2022		299,888
2023		260,600
2024		165,375
2025		173,644
Thereafter		405,930
Total undiscounted lease payments		1,378,233
Less: Imputed interest		442,528
Present value of lease liabilities	$	935,705
Remaining lease term (years)		5.14