Concentration Of Credit Risk And Economic Dependence

3 Months Ended

Mar. 31, 2019

Risks and Uncertainties [Abstract]

Concentration of Credit Risk and Economic Dependence

NOTE 2 - CONCENTRATIONS OF CREDIT RISK AND ECONOMIC DEPENDENCE 

Financial instruments that potentially subject the Company to credit risk consist principally of cash and accounts receivable.

The Company has no significant off-balance-sheet concentrations of credit risk such as foreign exchange contracts, options contracts or other foreign hedging arrangements.

Cash

The Company at times has cash with its financial institution in excess of Federal Deposit Insurance Corporation ("FIDC") insurance limits. The Company places its cash with high credit quality financial institutions which minimize these risks. 

Accounts Receivable

 The Company grants credit to its customers, substantially all of whom are retail establishments located throughout the United States and their international locations. The Company typically does not require collateral from customers. Credit risk is limited due to the financial strength of the customers comprising the Company's customer base and their dispersion across different geographical regions. The Company monitors exposure of credit losses and maintains allowances for anticipated losses considered necessary under the circumstances. These various anticipated allowances are accrued for but would be deducted from open invoices by the customer.

Major Customers

The Company had one customer who comprised 100% of net revenue during the three months ended March 31, 2019 and two customers who comprised of 26% and 71% of net revenue during the three months ended March 31, 2018.  The loss of these customers would adversely impact the business of the Company.

For the three months ended March 31, 2019 and 2018, approximately 10% and 8%, respectively, of the Company's net revenue resulted from international sales.

Major Customers

	Net Revenue %						Gross Accounts Receivable
	For the Three Months ended March 31,						As of March 31,		As of December 31,
	2019			2018			2019		2018
Customer A		100	%		26	%	$	2,606,110	$	402,294
Customer B		—	%		71	%		—		—
Total		100	%		97	%	$	2,606,110	$	402,294

 
Major Vendors

The Company had one vendor from which it purchased 100% of merchandise sold during the period ended March 31, 2019, and two vendors from which it purchased 89% and 8% of merchandise sold during the period ended March 31, 2018. The loss of these suppliers could adversely impact the business of the Company.

	Purchases %						Accounts Payable
	For the Three Months ended March 31,						As of March 31,		As of December 31,
	2019			2018			2019		2018
Vendor A		100	%		89	%	$	333,623		63,594
Vendor B		—	%		8	%		—		—
Total		100	%		97	%	$	333,623		63,594