XML 27 R16.htm IDEA: XBRL DOCUMENT
v3.24.3

Leases | 9 Months Ended
--- | ---
Sep. 30, 2024
Leases [Abstract] |
Leases | Leases As of September 30, 2024, the Company had three active leases for office suites: a short-term lease in California, a long-term lease in Florida set to expire in January 2025, and a long-term lease in Montana, detailed in the subsequent paragraph. The previous long-term California lease expired in August 2024. Termination of any lease is prohibited unless there is a violation under the lease agreement. The Florida lease has payments of $16,457 per month for the term of the lease. At lease commencement date, the Company estimated the lease liability and the right-of-use assets at present value using the Company’s estimated incremental borrowing rate of 10.5%. In conjunction with the Credova Merger, the Company acquired a lease agreement for its corporate office in Montana which had a commencement date of May 2022 and contains annual rent increases through April 2027. There is no purchase option or transfer of title of the leased premises at the end of the lease. The Company is responsible for all expenses, maintenance and taxes on the leased premises during the lease term. The Company has the option to renew the lease for an additional five-year period at prevailing rental rates at that time. In determining the length of the lease term, the Company did not include the optional renewal as on commencement date that renewal was not probable. At acquisition date, the Company estimated the lease liability and the right-of-use assets at present value using the Company’s estimated incremental borrowing rate of 9.75%. Rent expense under the operating leases included in the results of operations, inclusive of common area maintenance charges and real estate taxes, was approximately $0.1 million and $0.1 million for the three months ended September 30, 2024 and 2023, respectively, and approximately $0.4 million and $0.2 million for the nine months ended September 30, 2024 and 2023, respectively. The following amounts were recorded in the Company’s condensed consolidated balance sheets relating to its operating lease and other supplemental information:
| September 30, 2024 |  | December 31, 2023
ROU assets | $ | 350,782 |  |  | $ | 324,238 |
Lease liabilities: |  |  |
Current lease liabilities | $ | 167,749 |  |  | $ | 310,911 |
Non-current lease liabilities | 191,502 |  |  | 16,457 |
Total lease liabilities | $ | 359,251 |  |  | $ | 327,368 |
Other supplemental information: |  |  |
Weighted average remaining lease term | 2.4 years |  | 1 year
Weighted average discount rate | 10.0 | % |  | 10.5 | %
The following table presents the lease payments relating to the Company’s operating leases:
Fiscal Year |  | September 30, 2024
Remainder of 2024 |  | $ | 80,775 |
2025 |  | 144,273 |
2026 |  | 131,196 |
2027 |  | 44,112 |
Total lease payments |  | 400,356 |
Less: imputed interest |  | (41,105) |
Present value of operating lease liabilities |  | $ | 359,251 |

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 842 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/842-20/tableOfContent + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration