3. Accounts Receivable

12 Months Ended

Dec. 31, 2017

Receivables [Abstract]

Accounts Receivable

The following table sets forth the components of the Company’s accounts receivable at December 31, 2017 and December 31, 2016:

	December 31, 2017		December 31, 2016
Accounts receivable	$	445,388	$	697,115
Allowance for doubtful accounts		–		(146,970	)
Total accounts receivable, net	$	445,388	$	550,145

Effective July 1, 2016, the Company received $1,719,001 in gross accounts receivable in connection with its acquisition of TD Holdings. See Note 6 – Business Combinations. An allowance for bad debts totaling $146,904 was reserved against those trade receivables. As of December 31, 2017, and December 31, 2016, the Company evaluated its outstanding trade receivables and determined that its allowance for bad debts was sufficiently reserved. No bad debt expense was recorded during the years ended December 31, 2017 and December 31, 2016.

During the year ended December 31, 2017, the Company had four customers that accounted for approximately 71.6% of consolidated revenues and three customers that accounted for 77.3% of consolidated accounts receivable.

During the year ended December 31, 2016, the Company had four customers that accounted for 60% revenues and the same four customers that accounted for 73.7% of accounts receivable.