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Note 7 - Concentrations
12 Months Ended
Oct. 31, 2020
Risks and Uncertainties [Abstract]  
Concentrations

Note 7 - Concentrations  

 

Financial instruments, which potentially subject the Company to concentrations of credit risk, consist primarily of purchases of inventories, accounts payable, accounts receivable, and revenue.

 

Concentration of Purchases and Accounts Payable- Related Party

 

For the year ended October 31, 2020, 100% of the inventories of products, primarily consisting of the “Bidi Stick,” were purchased from Bidi, a related party company that is also owned by Nirajkumar Patel, the Company’s Chief Executive Officer and Chief Financial Officer, in the amount of $53,981,351. It also accounted for 100% of the total accounts payable as of October 31, 2020.

 

Concentration of Revenues and Accounts Receivable

 

For the year ended October 31, 2020, approximately 41% of the revenue from the sale of the Products, primarily consisting of the “Bidi Stick,” was generated from Favs Business, LLC in the amount of $26,428,760 and approximately 6% of the revenue from the sale of products was generated from MMS Distro, Inc. in the amount of $3,905,704.

  

Go Brands, Inc., with an outstanding balance of $319,175 and GPM Investment, LLC, with an outstanding balance of $551,212 , accounted for approximately 33% and 56% of the total accounts receivable from customers, respectively, as of October 31, 2020.