Business and Credit Concentrations

9 Months Ended

Mar. 31, 2018

NOTE 2 - 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 two customers, both of which are nationwide distributors of the Company’s products, with accounts receivable balances that comprised 29% of the Company’s accounts receivable at March 31, 2018 and 24% and at June 30, 2017. Sales to one of these customers comprised 9% of net sales in both the three and nine months ended March 31, 2018. Sales to this customers comprised 13% of net sales in both the three and nine months ended March 31, 2017.