Leases

12 Months Ended

Dec. 31, 2021

Leases

Leases

12. Leases

Leases

The Company currently leases 4,500 square feet of corporate office space in Knoxville, Tennessee through an operating lease agreement for a term of five years ending on June 30, 2022. Payments are approximately $6,100 per month.

On August 13, 2021, the Company negotiated a reduced rent from July 1, 2021 through December 31, 2021 in the amount of $6,100 per month.

Total expense for operating leases for the year ended December 31, 2021 was $86,545, of which, $57,697 was included within research and development and $28,848 was included within general and administrative expenses on the consolidated statements of operations. Total expense for operating leases for the year ended December 31, 2020 was $90,821, of which, $60,547 was included within research and development and $30,274 was included within general and administrative expenses on the consolidated statements of operations.

As of December 31, 2021, the Company had no leases that were classified as a financing lease. As of December 31, 2021, the Company did not have additional operating and financing leases that have not yet commenced. 

A summary of the Company’s right-of-use assets and liabilities is as follows:

	For The Years Ended
	December 31,
	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used in operating leases	$	82,678		$	91,605
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	-		$	-
Weighted Average Remaining Lease Term
Operating leases		0.50 Years			1.50 Years
Weighted Average Discount Rate
Operating leases		8.0	%		8.0	%

Future minimum payments under non-cancellable lease as of December 31, 2021 were as follows:

Years	Amount
2022		46,687
Total future minimum lease payments		46,687
Less: amount representing imputed interest		(1,070	)
Total	$	45,617