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Business and Credit Concentrations
6 Months Ended
Dec. 31, 2020
Business and Credit Concentrations  
Business and Credit Concentrations

NOTE 3 - Business and Credit Concentrations

An entity is more vulnerable to concentrations of credit risk if it is exposed to risk of loss greater than it would have had if it mitigated its risk through diversification of customers. Such risks of loss manifest themselves differently, depending on the nature of the concentration, and vary in significance. The Company had one customer with an accounts receivable balance that comprised 18% and 24% of the Company’s accounts receivable at December 31, 2020 and June 30, 2020, respectively. Sales to this customer comprised 14% and 10% of net sales in the three and six months ended December 31, 2020, respectively. Sales to this customer comprised 10% of net sales in the six months ended December 31, 2019, respectively. The Company had another customer with an accounts receivable balance that comprised 12% of the Company’s accounts receivable at December 31, 2020. The customer's accounts receivable balance did not exceed 10% of accounts receivable at June 30, 2020. Sales to this customer did not exceed 10% of net sales in either of the six or three months ended December 31, 2020 and 2019. The Company had another customer with an accounts receivable balance that comprised 11% of the Company's accounts receivable at December 31, 2020.The customer’s accounts receivable balance did not exceed 10% of accounts receivable at June 30, 2020. Sales to this customer did not exceed 10% of net sales in either of the six or three months ended December 31, 2020 and 2019.