LEASES

6 Months Ended

Jun. 30, 2021

Leases [Abstract]

Leases of Lessee Disclosure [Text Block]

NOTE 4 – LEASES

Operating Leases

On March 16, 2017, the Company entered into a 5-year operating lease agreement for permanent office space, base rent payment is approximately $9,000 per month, subject to annual adjustments.

Supplemental cash flow information related to leases:	Three months ended June 30, 2021			Six months ended June 30, 2021
Operating leases liabilities	$	(27,808	)	$	(54,356	)
Non-cash lease expense	$	26,834		$	53,264

Supplemental balance sheet information related to leases:	As of June 30, 2021
Operating lease Right-of-use assets	$	83,044
Current portion of operating lease liabilities	$	85,965
Long-term operating lease liabilities		-
Total operating lease liabilities	$	85,965
Weighted average remaining operating lease term		0.75 years
Weighted average discount rate		6	%

The following table summarizes the maturity of lease liabilities under operating leases as of June 30, 2021:

2021 (remaining six months)	$	58,752
2022		29,376
Total lease payments		88,128
Less: imputed interest		(2,163	)
Total lease liabilities	$	85,965

In July 2020, the Company entered into a sublease agreement with respect to its N.Y. office. The sublease agreement expires in April 2022. The base rent of the sublease agreement is $7,049 per month and increases by 2.5% in July 2021.

The Company entered into an agreement to sublet a portion of its office space. The sublease is considered to be an operating lease and the Company has not been released from its obligations under the March 16, 2017, 5-year lease agreement. The Company recognizes income from sublease on a straight-line basis over the term of the sublease, as a reduction to lease expense. The sublease is not measured under ASC 842 since the Company remains the primary obligor under the original lease and the sublease is considered to be an operating lease.

Finance Lease

On May 14, 2021, the Company entered into a 4-year financing lease agreement for an equipment, base rent payment is approximately $1,107 per month.

Supplemental cash flow information related to leases:	Three months ended June 30, 2021			Six months ended June 30, 2021
Finance cash flows from finance lease	$	(2,028	)	$	(2,028	)
Operating cash flows from finance lease	$	1,874		$	1,874

14

Supplemental balance sheet information related to leases:	As of June 30, 2021
Finance lease Right-of-use assets	$	48,545
Current portion of finance lease liability	$	11,639
Long-term finance lease liability		36,906
Total finance lease liability	$	48,545
Weighted average remaining operating lease term		3.79 years
Weighted average discount rate		6	%

The following table summarizes the maturity of lease liability under finance lease as of June 30, 2021:

2021 (remaining six months)	$	7,049
2022		14,099
2023		14,099
2024		14,099
2025		4,700
Total lease payments		54,046
Less: imputed interest		(5,501	)
Total lease liabilities	$	48,545