| SCHEDULE OF FAIR VALUE OF ASSETS ASSUMED AND LIABILITIES ACQUIRED |
SCHEDULE OF FAIR VALUE OF ASSETS ASSUMED AND LIABILITIES ACQUIRED
| Assets Acquired: |
|
|
|
|
|
|
|
|
| Cash |
|
$ |
229,000 |
|
|
|
|
|
| Accounts receivable |
|
|
207,000 |
|
|
$ |
436,000 |
|
| Liabilities Assumed: |
|
|
|
|
|
|
|
|
| Current liabilities |
|
|
(241,000 |
) |
|
|
|
|
| Long-term liabilities |
|
|
(90,000 |
) |
|
|
(331,000 |
) |
| Intangible assets |
|
|
|
|
|
|
1,419,000 |
|
| Goodwill |
|
|
|
|
|
|
3,426,000 |
|
| Purchase Price |
|
|
|
|
|
$ |
4,950,000 |
|
|
| SCHEDULE OF AMORTIZATION EXPENSE FOR FUTURE PERIODS FOR INTANGIBLE ASSETS |
SCHEDULE OF AMORTIZATION EXPENSE FOR FUTURE PERIODS FOR INTANGIBLE ASSETS
| Year
ending |
|
Amortization |
|
| 2021
remaining (remaining 3 months) |
|
$ |
416,000 |
|
| 2022 |
|
|
1,466,000 |
|
| 2023 |
|
|
1,464,000 |
|
| 2024 |
|
|
395,000 |
|
| 2025
and thereafter |
|
|
186,000 |
|
| Total
amortization |
|
$ |
3,927,000 |
|
|
| SCHEDULE OF PRO FORMA STATEMENTS OF OPERATIONS |
The
following unaudited pro forma statement of operations present the Company’s pro forma results of operations for the three and nine
months ended September 30, 2020, to give effect to the acquisition of SoloFire as if it had occurred on January 1, 2020.
SCHEDULE OF PRO FORMA STATEMENTS OF OPERATIONS
| |
|
Three Months Ended September 30, 2020
|
|
|
Nine Months Ended September 30, 2020
|
|
| |
|
(Proforma,
unaudited) |
|
|
(Proforma,
unaudited) |
|
| SaaS recurring subscription revenue |
|
$ |
1,661,000 |
|
|
$ |
4,511,000 |
|
| Other digital |
|
|
360,000 |
|
|
|
1,166,000 |
|
| Welcome kits and fulfilment |
|
|
836,000 |
|
|
|
2,277,000 |
|
| Shipping |
|
|
186,000 |
|
|
|
614,000 |
|
| Total revenue |
|
|
3,043,000 |
|
|
|
8,568,000 |
|
| |
|
|
|
|
|
|
|
|
| Cost of revenue |
|
|
1,344,000 |
|
|
|
3,661,000 |
|
| |
|
|
|
|
|
|
|
|
| Gross margin |
|
|
1,699,000 |
|
|
|
4,907,000 |
|
| |
|
|
|
|
|
|
|
|
| Operating expenses |
|
|
(9,771,000 |
) |
|
|
(21,615,000 |
) |
| |
|
|
|
|
|
|
|
|
| Other income, net |
|
|
574,000 |
|
|
|
3,550,000 |
|
| |
|
|
|
|
|
|
|
|
| Net loss |
|
|
(7,498,000 |
) |
|
|
(13,158,000 |
) |
| |
|
|
|
|
|
|
|
|
| Deemed dividends to Series A stockholders |
|
|
- |
|
|
|
(3,951,000 |
) |
| |
|
|
|
|
|
|
|
|
| Net loss attributed to common stockholders |
|
$ |
(7,498,000 |
) |
|
$ |
(17,109,000 |
) |
|
| SCHEDULE OF RESULTS OF OPERATION OF SUBSIDIARY |
Pursuant
to the provisions of ASC 805, the following results of operations of Verb Acquisition subsequent to the acquisition date included in
the consolidated statement of operations for the reporting period:
SCHEDULE OF RESULTS OF OPERATION OF SUBSIDIARY
| |
|
Three
Months Ended
September
30, 2020
|
|
|
Nine
Months
Ended
September
30, 2020
|
|
| Revenue |
|
$ |
276,000 |
|
|
$ |
795,000 |
|
| Cost
of revenue |
|
|
(65,000 |
)
|
|
|
(184,000 |
)
|
| Operating
expenses |
|
|
(897,000 |
) |
|
|
(1,474,000 |
) |
| Other
income/ (expense) |
|
|
- |
|
|
|
- |
|
| Net
loss |
|
$ |
(686,000 |
) |
|
$ |
(863,000 |
) |
|