Concentrations |
9 Months Ended |
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Sep. 30, 2024 | |
Risks and Uncertainties [Abstract] | |
Concentrations |
Note 17 – Concentrations
Major suppliers
The Company sourced approximately 87% of its inventory purchases from four vendors for the nine months ended September 30, 2024. The Company sourced approximately 74% of its inventory purchases from three vendors for the nine months ended September 30, 2023. As of September 30, 2024 and December 31, 2023, $1.6 million and $5.5 million of inventory purchases from major suppliers were in accounts payable on the Condensed Consolidated Balance Sheets, respectively.
Major customers
Accounts receivable from three customers represented 88% of accounts receivable as of September 30, 2024. Accounts receivable from two customers represented 79% of accounts receivable as of December 31, 2023. Three customers represented 78% of gross sales for the nine months ended September 30, 2024. Three customers represented 63% of gross sales for the nine months ended September 30, 2023.
Credit risk
As of September 30, 2024 and December 31, 2023, the Company’s cash and cash equivalents were deposited in accounts at several financial institutions and may maintain some balances in excess of federally insured limits. The Company maintains its cash and cash equivalents with high-quality, accredited financial institutions and, accordingly, such funds are subject to minimal credit risk. The Company has not experienced any losses historically in these accounts and believes it is not exposed to significant credit risk in its cash and cash equivalents.
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