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Intangible Assets | 6 Months Ended
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Jun. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract] |
Intangible Assets | Note 10 – Intangible Assets Year Ended December 31, 2024 Acquisition of Stat-EI, Inc. (Business Combination) In January 2024, the Company acquired 100% of the equity interests in STAT in exchange for $5,500,000. STAT has patented technology that will be used in the Company’s expected future operations. Prior to the acquisition, the operations of STAT were insignificant. In 2023, the Company paid a deposit of $250,000 towards this acquisition. In 2024, the Company paid an additional $1,550,000 for total cash consideration paid of $1,800,000 at closing. The balance of $3,700,000 was financed through a note payable. This note bears interest at 7%, is unsecured was due in May 2024 (“initial maturity date”). The Company also has the option to extend the due date to July 2024 for no additional consideration or change in terms. Subsequent to the initial maturity date, the lender has agreed to extend the due date of the note multiple times, for payments of $130,000, respectively. Each of these payments was recorded as interest expense. In October 2024, without any additional extension payments required, the Company repaid the note plus accrued interest totaling $3,826,112. An additional $59,800 of accrued interest was forgiven by the lender and recorded as other income in the accompanying unaudited consolidated statements of operations during the year ended December 31, 2024. The Company has accounted for this transaction as a business combination. The table below summarizes the estimated fair value of the assets acquired and liabilities assumed: Schedule of Estimated Fair Value of Assets Acquired and Liabilities
Consideration |  |  |  |
Cash |  | $ | 1,800,000 |
Note payable |  |  | 3,700,000 |
Fair value of consideration transferred |  | $ | 5,500,000 |
Recognized amounts of identifiable assets acquired and liabilities assumed: |  |  |  |
License agreements |  | $ | 4,900,000 |
Trademarks/Tradenames |  |  | 600,000 |
Total assets acquired |  |  | 5,500,000 |
Total identifiable net assets |  |  | 5,500,000 |
Goodwill |  | $ | - |
The valuation of the intangible assets acquired was based upon an independent third party valuation specialist. At the time of acquisition, STAT had no revenues and historical losses from operations, it was deemed an immaterial acquisition and no additional financial reporting was required. See Note 5 for discussion of these intangible assets acquired from STAT in exchange for debt. Intangibles consisted of the following at June 30, 2025 and December 31, 2024, respectively: Schedule of Intangible Assets
Type |  | June 30, 2025 |  | December 31, 2024 |  | Estimated Useful Lives (Years)
License agreements |  | $ | 4,900,000 |  |  | $ | 4,900,000 |  |  |  | 15 |
Tradenames/trademarks |  |  | 600,000 |  |  |  | 600,000 |  |  |  | 5 |
Intangibles - gross |  |  | 600,000 |  |  |  | 600,000 |  |  |  | 5 |
Less: accumulated amortization |  |  | (670,002 | ) |  |  | (446,668 | ) |  |  |  |
Intangibles - net |  | $ | 4,829,998 |  |  | $ | 5,053,332 |  |  |  |  |
Amortization expense for the six months ended June 30, 2025 and 2024 was $223,334 and $111,667, respectively. There were no impairment losses for the three months ended June 30, 2025 and 2024, respectively. Estimated amortization expense for each of the five succeeding years and thereafter is as follows: Schedule of Estimated Amortization Expense
For the Years Ending December 31: |  |
2025 (6 Months) |  | $ | 223,332 |
2026 |  |  | 446,667 |
2027 |  |  | 446,667 |
2028 |  |  | 446,667 |
2029 |  |  | 326,665 |
Thereafter |  |  | 2,940,000 |
Total |  | $ | 4,829,998 |

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 30 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-30/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-20/tableOfContent + Details
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