LEASE

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

LEASE

4.     LEASE

The Company entered into an operating lease for office space which became effective in June 2020. The lease term is 10 years from the effective date and allows for two optional extensions of five years each. The two optional extensions are not recognized as part of the right-of-use asset or lease liability since it is not reasonably certain that the Company will extend this lease. As of June 30, 2022, the remaining lease term was 7.9 years and the discount rate was 6%.

Operating lease cost included in selling, general and administrative expenses was $184,329 and $367,550 for the three and six months ended June 30, 2022, respectively. Operating lease cost included in selling, general and administrative expenses was $209,056 and $424,200 for the three and six months ended June 30, 2021, respectively.

The following is the lease maturity analysis of our operating lease as of June 30, 2022:

Year ending December 31,

2022 (excluding the six months ended June 30, 2022)	$	285,984
2023		571,968
2024		571,968
2025		612,006
2026		640,604
Thereafter		2,188,731
Total lease payments		4,871,261
Less: Imputed interest		(1,025,323	)
Present value of future lease payments		3,845,938
Less: current portion of lease liability		(350,753	)
Long-term portion of lease liability	$	3,495,185