16. Segment reporting

9 Months Ended

12 Months Ended

Sep. 30, 2020

Dec. 31, 2019

Segment Reporting [Abstract]

Segment reporting

Note 15 – Segment reporting

The Company consists of two types of operations. Focus Universal, Inc. and Perfecular Inc. (“Focus”) involve wholesale, research and development of universal smart instrument and farming devices. AVX Design & Integration, Inc. (“AVX”) is an IoT installation and management company specializeing in high performance and easy to use audio/gideo, home theater, lighting control, automation, and integration. The table below discloses income statement information by segment.

	Nine months ended September 30, 2020
	Focus			AVX			Total
Revenue	$	667,443		$	600,450		$	1,267,893
Revenue - related party		21,267			–			21,267
Total revenue		688,710			600,450			1,289,160
Cost of Revenue		492,533			543,067			1,035,600
Gross Profit		196,177			57,383			253,560
Operating Expenses:
Selling		8,936			8,760			17,696
Compensation - officers		102,000			–			102,000
Research and development		194,232			–			194,232
Professional fees		1,066,525			4,844			1,071,369
General and administrative		729,186			244,939			974,125
Total Operating Expenses		2,100,879			258,543			2,359,422
Loss from Operations		(1,904,702	)		(201,160	)		(2,105,862	)
Other Income (Expense):
Interest income (expense), net		(994	)		(849	)		(1,843	)
Interest (expense) – related party		(81	)		–			(81	)
Other income		113,706			5,747			119,453
Total other income (expense)		112,631			4,898			117,729
Loss before income taxes		(1,792,071	)		(196,262	)		(1,988,333	)
Tax expense		–			–			–
Net Loss	$	(1,792,071	)	$	(196,262	)	$	(1,988,333	)

Note 16 – Segment reporting

The Company consists of two types of operations. Focus Universal, Inc. and Perfecular Inc. (“Focus”) involves wholesale, research and development of universal smart instrument and farming devices. AVX Design & Integration, Inc. (“AVX”) is an IoT installation and management company, specializes in high performance and easy to use Audio/Video, Home Theater, Lighting Control, Automation and Integration. The table below discloses income statement information by segment.

	Year ended December 31, 2019
	Focus			AVX			Total
Revenue	$	628,953		$	817,233		$	1,446,186
Revenue - related party		14,184			–			14,184
Total revenue		643,137			817,233			1,460,370
Cost of Revenue		461,076			881,063			1,342,139
Gross Profit		182,061			(63,830	)		118,231
Operation Expenses:
Selling		23,907			22,717			46,624
Compensation - officers		150,154			–			150,154
Research and development		255,232			–			255,232
Professional fees		1,370,262			6,733			1,376,995
General and administrative		835,999			277,202			1,113,201
Goodwill impairment		458,490			–			458,490
Intangible assets impairment		47,975			–			47,975
Total Operating Expenses		3,142,019			306,652			3,448,671
Loss from Operations		(2,959,958	)		(370,482	)		(3,330,440	)
Other Income (Expense)
Interest income (expense), net		2,273			(16	)		2,257
Interest (expense) – related party		(1,750	)		–			(1,750	)
Other income		154,390			–			154,390
Total other income (expense)		154,913			(16	)		154,897
Loss before income taxes		(2,805,045	)		(370,498	)		(3,175,543	)
Tax expense		–			–			–
Net Loss	$	(2,805,045	)	$	(370,498	)	$	(3,175,543	)