NOTE 8: CONCENTRATIONS

Concentration of Purchase Order Financing

The Company used a third-party financing company for the quarters ended March 31, 2021 and 2020, respectively, which provided letters of credit to vendors for a fee against the purchase orders received by the Company for sale of products to its customers. The letters of credit were issued to the vendors to manufacture Company’s products pursuant to the purchase orders received by the Company.

Concentration of Customers

For the three months ended March 31, 2021 and 2020, respectively, the Company had the following concentrations of customers:

Concentration of Suppliers

For the three months ended March 31, 2021 and 2020, respectively, the Company had the following concentrations of suppliers:

Concentration of Credit Risk

The Company maintains its cash in bank and financial institution deposits that at times may exceed federally insured limits. The Company has not experienced any losses in such accounts through March 31, 2021 and 2020. The Company’s bank balances exceeded FDIC insured amounts at times during the three months ended March 31, 2021 and 2020. The Company’s bank balance exceeded the FDIC insured amounts as of March 31, 2021 by approximately $32.2 million.

Geographic Concentration

For the three months ended March 31, 2021 and 2020, respectively, the Company had the following geographic concentrations: