Exhibit 16.1

Sinister Labs LLC

Balance Sheets

(Unaudited)

							For the six
							Months Ended
	December 31, 2019			December 31, 2018			June 30, 2020
Assets
Current Assets
Cash	$	28,899		$	-		$	72,944
Accounts receivable		527,669			654,671			295,744
Other current assets		856,253			1,592,356			332,791
Total current assets		1,412,821			2,247,027			701,479
Fixed Assets
Machinery, net		1,949			1,949			1,949
Funiture & fixtures, net		-			-			1,028
Total fixed assets		1,949			1,949			2,977
Total Assets	$	1,414,770			2,248,976			704,456
Liabilities and Members Equity
Current liabilites
Accounts payable	$	403,491		$	628,997			64,405
Bank overdraft		-			7,761			-
Credit cards		31,379			18,377			2,200
Payroll liabilities		332			11,481			-
Sales tax payable		159			48			-
Other current liabilites		-			304			-
Notes payable		3,910,037			3,605,606			3,987,106
Total current liabilities		4,345,398			4,272,574			4,053,711
Members Equity
Accumulated Deficit		(2,930,628	)		(2,023,598	)		(3,349,255	)
Total equity		(2,930,628	)		(2,023,598	)		(3,349,255	)
Total liabilites and Members Equity	$	1,414,770		$	2,248,976		$	704,456

F-1

Sinister Labs LLC

Statements of Operations

(Unaudited)

							For the six months
	For the years ended						ended
	December 31, 2019			December 31, 2018			June 30, 2020
Revenue	$	2,239,266		$	3,327,078		$	271,394
Cost of goods sold		1,607,941			2,289,304			420,663
Gross profit		631,325			1,037,774			(149,269	)
Operating expenses								-
Amazon Advertising Fees		787			-			1,072
Bad Debt		171,931			-			-
Charitable Contributions		-			50			-
E-commerce Expenses		-			-			-
CS Product Replacement		1,463			626			393
D2C Shipping		114,418			179,061			19,895
Digital Strategy		65,000			132,000			-
Ecommerce Software		12,712			3,253			7,901
Gateway Fees		120			120			60
Merchant Fees		16,184			16,977			4,574
Paid Advertising		114,477			201,206			15,713
Website Expenses		330			-			-
Domain Registration		77			51			260
Shopify Application Fee		(3,330	)		3,482			2,149
Shopify Shipping Fee		-			5,097			-
Shopify Subscription Fees		2,664			1,034			132
Shopify Transaction Fees		2,279			4,421			-
Website Expenses - UK		187			(79	)		-
Total Website Expenses		2,207			14,008			2,540
Total E-commerce Expenses		326,582			547,250			51,077
Employee Benefits & Labor
Dental Insurance		1,210			788			201
Health Insurance		13,796			11,746			1,610
Vision Insurance		165			31			7
Total Employee Benefits		15,171			12,565			1,818
Reimbursement								5
Taxes		26,044			37,011			9,237
Wages								-
Bonus		13,862			12,034			-
Commission		39,340			68,787			8,974
Holiday Pay		288			-			-
Other Earnings		15,356			-			9
Overtime					191			157
Paid time off		672						-
Regular Pay		22,970			53,254			32,968
Salary		244,487			302,426			83,219
Vacation Pay					1,318			-
Total Wages		336,976			438,010			125,327
Total Employee Benefits & Labor		378,191			487,586			136,387
Facility Expenses
Janitorial		1,214			848			-
Pest Control		80			90			-
Rent Expense		17,178			26,398			-
Repair & Maintenance		716			206			-
TX Internet Expenses		508			743			-
Utilities		1,877			3,306			-
Total Facility Expenses		21,573			31,590			-
General/Administrative Expenses
Bank Fees		1,021			1,877			384
Computer Maintenance		820						229
G&A Software Expense		4,148			4,512			1,066
Gifts		656			1,940			773
Insurance Expense		11,064			25,615			5,460
Interest Expense		64,430			146,684			1,836
Inventory XFer Account		-			(18	)		-
Licenses, Registrations, & Permits		649			1,010			159
Management Services		-			90,000			-
Meals & Entertainment		1,345			3,508			491
Office Supplies		3,262			4,686			2,134
Payroll Processing Fees		650			760			-
Postage		532			106			127
Professional Fees		-			-			-
Contract Consultant		6,376			2,582			2,983
Legal & Professional Fees		38,369			13,504			2,865
Total Professional Fees		44,745			16,086			5,848
Recruiting Expenses					180
Taxes Paid		14			-			76
Franchise Taxes		963			800			611
Property Taxes		25,657			4,955			-
Total Taxes Paid		26,634			5,755			687
Total General/Administrative Expenses		159,956			302,702			19,192
Marketing & Advertising
Athlete Sponsorship		4,800			113,174			3,000
Clothing		176			476			-
Demo Expense		3,250			10,894			120
Event Sponsorships		-			575			-
Influencer Commission		-						468
Influencer Product		3,121			2,572			301
Marketing Materials		47,275			7,704			489
Marketing Other		2,799			352			-
Print Advertising		562			22,252			-
Promotional Product		33,856			73,643			1,782
Sampling Expense		182			791			46
Social Media Consulting		20,000			24,000			2,000
Tradeshow Expenses		-			-			-
Tradeshow Booth Fees/Materials		20,776			38,216			-
Tradeshow Booth Workers		3,015			4,154			-
Tradeshow Discounts & Giveaways					5,194			-
Tradeshow Internet		2,664			2,177			-
Tradeshow M&E		4,467			8,838			-
Tradeshow Shipping		4,718			7,051			-
Tradeshow Travel		11,253			18,212			-
Total Tradeshow Expenses		46,894			83,842			-
Total Marketing & Advertising		162,914			340,275			8,206
Payroll Expenses
Wages
Paid time off		-			-			230
Total Wages		-			-			230
Total Payroll Expenses		-			-			230
Product Development		1,760			-			-
Miscellaneous Development		12,163			6,438			-
Packaging Design		18,359			27,599			-
Product Registrations		315			450			-
Research & Development		6,484			1,132			28
Total Product Development		39,081			35,619			28
Selling Expenses
Advertising/Promotional		8,004			-			-
Amazon Fees		14,853			21,849			203
Car Stock		6,821			6,547			-
Distributor/Wholesale Freight		102,368			159,621			15,847
EDI Expense		3,149			2,292			614
Freight Damages		3,440			-			657
Outside Sales Commission		585			1,371			-
QuickBooks Payments Fees		1,088			2,086			-
Registration Fees		51			499			-
Store/Retail Product Promo		5,120			14,947			-
Travel Expenses
Airfare		4,336			21,934			604
Gas		5,663			7,992			1,324
Hotel		2,419			13,297			65
Taxi/Train/Bus/Shuttle		4,259			8,739			380
Travel Internet		46			109			6
Travel Meals		5,645			8,279			617
Total Travel Expenses		22,367			60,350			2,996
UPS Shipping		5,063
Vendor Slotting, Compliance  & Other Fees		18,986			10,613			8,184
Wholesale Software		750			750
Total Selling Expenses		192,644			280,925			28,500
Technology Expenses								293
Minor Hardware					213			462
Total Technology Expenses		-			213			755
Warehouse & Logistics		-			-			170
Inner Warehouse Shipping		4,797			7,505			1,082
Logistics Consulting		4,100			10,410			600
Warehouse Labor		5,730			21,328			4,385
Warehouse Repairs		-			128			-
Warehouse Storage - External		55,166			58,863			11,507
Warehouse Supplies		14,903			25,993			6,167
Total Warehouse & Logistics		84,696			124,227			23,911
Total Expenses		1,538,354			2,150,438			269,359
Net Operating Income		(907,029	)		(2,150,438	)		(269,359	)
Other Expenses
Depreciation		-			550			-
Other Miscellaneous Expense		-			30			-
Total Other Expenses		-			580			-
Net Other Income		-			(580	)		-
Net loss	$	(907,029	)	$	(1,113,245	)	$	(418,628	)

F-2

Sinister Labs LLC

Statement of Members’ Equity

(Unaudited)

							For the six months
	For the years ended Decemeber 31,						ended June 30,
	2019			2018			2020
Members’ equity, beginning of year	$	(2,023,598	)	$	(910,353	)	$	(2,930,627	)
Net loss		(907,029	)		(1,113,245	)		(418,628	)
Members’ equity, end of year	$	(2,930,627	)	$	(2,023,598	)	$	(3,349,255	)

F-3

Sinister Labs LLC

Statements of Cash Flows

(Unaudited)

							For the six
	For the years ended						Months Ended
	December 31, 2019			December 31, 2018			June 30, 2020
OPERATING ACTIVITIES
Net Income	$	(907,029	)	$	(1,113,245	)	$	(418,628	)
Adjustments to reconcile Net Income to Net Cash provided by operations:
Accounts Receivable (A/R)		127,002			(508,985	)		217,943
Amazon Holding		(46	)
Due from (to) Employees		10,163			(4,561	)		61
Due from Others		(372	)		-			213,245
Intercompany Allocations		(98,218	)		(49,465	)		(49,539	)
Inventory Asset		812,104			(499,059	)		370,729
Prepaid Expenses		12,428			8,651			3,523
Accumulated Depreciation		-			550
Accounts Payable		(225,476	)		(22,752	)		(340,302	)
Accrued expenses		13,679			(17,793	)		(29,198	)
Taxes Payable		(281	)		145			73,386
Payroll Liabilities		(11,725	)		2,592			(72	)
Total Adjustments to reconcile Net Income to Net Cash provided by operations:		639,258			(1,090,677	)		459,776
Net cash provided by operating activities		(267,771	)		(2,203,922	)		41,148
INVESTING ACTIVITIES
Fixed Assets:Furnitures & Fixtures		-			-			(1,028	)
Net cash used in investing activities		-			-			(1,028	)
FINANCING ACTIVITIES
Notes payable		304,431			2,116,482			3,432
Net cash provided by financing activities		304,431			2,116,482			3,432
Net cash increase for the period		36,660			(87,439	)		43,552
Cash balance at beginning of period		(7,761	)		87,439			29,392
cash balance at December 31, 2019	$	28,899		$	-		$	72,944

F-4

Sinister Labs, LLC

NOTES TO THE FINANCIAL STATEMENTS

June 30, 2020

Note 1 – Organization and Description of Business

Sinister Labs, LLC. (the Company), was incorporated under the laws of the State of Florida on October 21, 2016. The Company sells health and nutrition products.

The Company has elected December 31 as its year end.

Note 2 – Going Concern

The Company’s financial statements are prepared using accounting principles generally accepted in the United States of America applicable to a going concern that contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has not established any source of revenue to cover its operating costs. These conditions raise substantial doubt about the company’s ability to continue as a going concern Company will engage in very limited activities without incurring any liabilities that must be satisfied in cash until a source of funding is secured. The Company will offer noncash consideration and seek equity lines as a means of financing its operations. If the Company is unable to obtain revenue producing contracts or financing or if the revenue or financing it does obtain is insufficient to cover any operating losses it may incur, it may substantially curtail or terminate its operations or seek other business opportunities through strategic alliances, acquisitions or other arrangements that may dilute the interests of existing stockholders.

Note 3 – Summary of Significant Accounting Policies

Basis of Presentation

The Financial Statements and related disclosures have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The Financial Statements have been prepared using the accrual basis of accounting in accordance with Generally Accepted Accounting Principles (“GAAP”) of the United States (See Note 2) regarding the assumption that the Company is a “going concern”.

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. In the opinion of management, all adjustments necessary in order to make the financial statements not misleading have been included. Actual results could differ from those estimates.

Cash Equivalents

The Company considers all highly liquid investments with maturity of three months or less when purchased to be cash equivalents. Consolidated cash and cash equivalents for the six months ended June 30, 2020 was $72,944 and at December 31, 2019 was $28,899. Sinister Labs, Inc. considers all highly liquid investments with maturities of three months or less to be cash equivalents.

F-5

Income Taxes

The Company accounts for income taxes under ASC 740 “Income Taxes.”  Under the asset and liability method of ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax bases.  Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled.  The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period the enactment occurs.  A valuation allowance is provided for certain deferred tax assets if it is more likely than not that the Company will not realize tax assets through future operations.

Basic Earnings (Loss) Per Share

The Company computes basic and diluted earnings per share amounts in accordance with ASC Topic 260, Earnings per Share. Basic earnings per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of common shares outstanding during the reporting period. Diluted earnings per share reflects the potential dilution that could occur if stock options and other commitments to issue common stock were exercised or equity awards vest resulting in the issuance of common stock that could share in the earnings of the Company.

Fair Value of Financial Instruments

The Company’s balance sheet includes certain financial instruments. The carrying amounts of current assets and current liabilities approximate their fair value because of the relatively short period of time between the origination of these instruments and their expected realization.

The Company follows FASB Accounting Standards Codification (ASC) 820 “Fair Value Measurements and Disclosures” which defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:

☐☐	Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities.
☐☐	Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates); and inputs that are derived principally from or corroborated by observable market data by correlation or other means.
☐☐	Level 3 - Inputs that are both significant to the fair value measurement and unobservable.

F-6

Fair value estimates discussed herein are based upon certain market assumptions and pertinent information available to management as of February 28, 2019. The respective carrying value of certain on-balance-sheet financial instruments approximated their fair values due to the short-term nature of these instruments. These financial instruments include accounts receivable, other current assets, accounts payable, accrued compensation and accrued expenses. The fair value of the Company’s notes payable is estimated based on current rates that would be available for debt of similar terms which is not significantly different from its stated value.

Related Parties

The Company follows ASC 850, Related Party Disclosures, for the identification of related parties and disclosure of related party transactions

Recently Issued Accounting Pronouncements

Except for rules and interpretive releases of the SEC under authority of federal securities laws and a limited number of grandfathered standards, the FASB Accounting Standards Codification™ (“ASC”) is the sole source of authoritative GAAP literature recognized by the FASB and applicable to the Company.

We have reviewed the FASB issued Accounting Standards Update (“ASU”) accounting pronouncements and interpretations thereof that have effectiveness dates during the periods reported and in future periods. The Company has carefully considered the new pronouncements that alter previous generally accepted accounting principles and does not believe that any new or modified principles will have a material impact on the corporation’s reported financial position or operations in the near term. The applicability of any standard is subject to the formal review of our financial management and certain standards are under consideration.

F-7