Leases - The Company as Lessee

12 Months Ended

Dec. 31, 2023

18. Leases – The Company as Lessee

Office lease

January 2021, the Company entered into

agreement to lease office space from a related party for a period until December 2022 at an amount of EUR 7,000 ($8,279) per month. In January 2023, the

Company entered into a new agreement to lease office space from a related party for a 2-year period at an amount of

EUR 8,000 ($8,855) per month. The Company determined these office leases to be operating leases and recorded the related

right-of-use-assets

within operating lease

right-of-use-assets

and the lease liabilities within operating lease liabilities in the accompanying consolidated balance sheets and the lease expense within General and administrative expenses in the accompanying consolidated statement of operations (Note 3).

Lease Disclosures Under ASC 842

Operating lease

right-of-use

assets and lease liabilities as of December 31, 2022 and 2023 as follows:


Description	Location in balance sheet	December 31, 2022		December 31, 2023

Non current assets:
Office leases	Operating lease right-of-use assets		—	$	99,379

			—	$	99,379

Liabilities:
Office leases	Current portion of operating lease liabilities		—	$	71,173

Lease liabilities – current portion			—	$	71,173
Office leases	Non-Current portion of operating lease liabilities		—	$	28,206

Lease liabilities – non-current portion			—	$	28,206

The Operating lease

right-of-use

asset and Operating lease liabilities represent the present value of lease payments for the remaining term of the lease.

The table below presents the components of the Company’s lease expenses:


Description	Location in statement of operations	2021		2022		2023
Lease expense for office leases	General and administrative expenses		97,726		88,326		104,167

The

cash paid for operating leases with terms greater than 12 months for the years ended December 31, 2021, 2022 and 2023 amounted to $97,726, $88,326 and $104,167,

respectively.

The table below provides the total amount of lease payments on an undiscounted basis on our office lease greater than 12 months as of December 31, 2023:


Year	Office leases			Total Operating leases
Discount rate		5.6	%		5.6	%
2023 (undiscounted lease payments)	$	107,520		$	107,520
Present value of lease liability		99,379			99,379
Lease liabilities - short term		71,173			71,173
Lease liabilities - long term		28,206			28,206
Total lease liabilities		99,379			99,379
Discount based on incremental borrowing rate (Difference between undiscounted lease payments and present value of lease liability)	$	8,141		$	8,141