Discontinued Operations

6 Months Ended

Jun. 30, 2024

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

NOTE 13 – DISCONTINUED OPERATIONS

On March 20, 2024, the Company entered into the Purchase Agreement to sell AxoBio and closed the AxoBio Disposition on March 26, 2024 as detailed in Note 1. The assets and liabilities of AxoBio are classified as available for sale in the accompanying unaudited condensed consolidated balance sheets and consist of the following:

	June 30, 2024		December 31, 2023
Assets available for sale
Cash and cash equivalents	$	—	$	804,277
Accounts receivable, net		—		7,713,600
Prepaid expenses		—		251,086
Inventories		—		3,038,179
Property and equipment, net		—		63,384
Intangible assets, net		—		22,262,568
Goodwill		—		19,188,278
Total assets available for sale	$	—	$	53,321,372
Liabilities available for sale
Accounts payable	$	—	$	8,520,243
Accrued interest		—		134,961
Accrued interest, related party		—		98,982
Other accrued expenses		—		468,652
Loans payable, current		—		1,505,070
Related party loans, current		—		5,610,000
Earnout liability		—		8,000,000
Deferred income taxes		—		5,536,923
Total liabilities available for sale	$	—	$	29,874,831

The significant components of discontinued operations in the accompanying unaudited condensed consolidated statements of income are as follows:

	For the Six Months Ended
	June 30,
	2024			2023
Revenue	$	—		$	—
Cost of sales		—			—
Gross profit		—			—
Operating expenses:
Selling and marketing	$	100,000		$	—
Research and development		89,972			—
General and administrative		470,686			—
Depreciation and amortization		636,449			—
Total operating expenses		1,297,107			—
Loss from operations		(1,297,107	)		—
Other income (expense):
Amortization of debt discount		(4,242	)
Interest expense, related party		(89,448	)		—
Interest expense		(17,571	)		—
Total other (expense) income		(111,261	)		—
Loss before income taxes		(1,408,368	)		—
Income tax benefit, deferred		156,092			—
Discontinued operations, net	$	(1,252,276	)	$	—