INTANGIBLES, NET

9 Months Ended

Sep. 30, 2023

Restructuring Cost and Reserve [Line Items]

INTANGIBLES, NET

NOTE 5 – INTANGIBLES, NET

Intangible assets consisted of the following as of September 30, 2023 and December 31, 2022:

	September 30,			December 31,
	2023			2022
Customer Lists	$	687,500		$	687,500
Intellectual Property		10,333,144			-
Tradenames		275,447			-
Noncompete Agreement		72,886			-
Less: accumulated amortization		(464,589	)		-
Net book value	$	10,904,388		$	687,500

Amortization expense from intangible assets was $464,589 and $0 for the nine months ended September 30, 2023 and 2022, respectively.

On December 9, 2022, Titan entered into a purchase agreement with WTI Global, Inc. (the “seller” or “WTI”) for consideration of approximately $687,500 in exchange for intangible assets. The entire purchase consideration was allocated as fair value to the customer lists acquired from the seller. The $687,500 was funded through a combination of a note payable to the seller of $170,000 and an equity infusion from a member of Titan for $517,500. See Note 9 – Notes Payable and Note 10 – Convertible Notes Payable for further details.

As a result of the Titan Merger, the Company recorded $10,333,144 of intellectual property, $275,447 of tradenames, and a $72,886 noncompete agreement on the acquisition date (Note 3 – Business Combinations).

Future amortization expense from intangible assets as of September 30, 2023 were as follows:

	For the Year Ended,
	December 31,
Remainder of 2023	$	298,798
2024		1,188,698
2025		1,185,450
2026		1,185,450
2027		1,185,450
Thereafter		5,860,542
Total remaining amortization expense	$	10,904,388

Titan Trucking LLC [Member]

Restructuring Cost and Reserve [Line Items]

INTANGIBLES, NET

NOTE 6 – INTANGIBLES, NET

Intangible assets acquired consisted of the following as of December 31, 2022 and 2021: 

	December 31, 2022		December 31, 2021
Customer lists	$	687,500	$	-
Less: accumulated amortization		-		-
Net book value	$	687,500	$	-

For the years ended December 31, 2022 and 2021, there were no amortization expenses recorded. Amortization is expected to be $68,750 for each of the next five years.

On December 9, 2022, the Company entered into a purchase agreement with WTI Global, Inc. (the “seller”) for consideration of approximately $687,500 in exchange for intangible assets. The entire purchase consideration was allocated as fair value to the customer lists acquired from the seller. The $687,500 was funded through a combination of a note payable to the seller of $170,000 and an equity infusion from a member of the Company for $517,500. See Note 9 and 10 for further details.