Note 12 - Major Customers and Accounts Receivable

9 Months Ended

Sep. 30, 2017

Concentration Risk Disclosure [Text Block]

1 2.	MAJOR CUSTOMERS AND ACCOUNTS RECEIVABLE

For the

three

months ended

September 30,

201

and

2016,

two

customers accounted for

45%

and

two

customers accounted for

44%

of revenue, respectively. For the

nine

months ended

September 30, 2017

and

2016,

two

customers accounted for

32%

and

one

customer accounted for

22%

of revenue, respectively.

September 30, 2017,

one

customer accounted for

44%

of accounts receivable. One customer accounted for

100%

of non-current accounts receivable as of

September 30, 2017

and

December 31, 2016.

Based on prior history with this customer, the Company believes the amount is fully collectable, however, the Company has reserved

$1,000,000

which represents

48%

of the remaining balance owed under the contract, due to the length of time the receivable has been outstanding. At

December 31, 2016,

one

customer accounted for

81%

of current accounts receivable.