MLRT MetAlert Inc (PK)

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-K

 

(Mark One)

 

☒	ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the fiscal year ended December 31, 2023
☐	TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

Commission File Number 000-53046

 

MetAlert Inc.

(Exact name of registrant as specified in its charter)

 

Nevada		98-0493446
(State of incorporation)		(I.R.S. Employer Identification No.)

 

117 W 9th Street; Suite 1214, Los Angeles, CA 90015		213-489-3019
(Address of principal executive offices)		(Registrant’s telephone number, including area code)

 

Securities registered under Section 12(b) of the Act:

 

Title of each class registered:		Trading Symbol(s)		Name of each exchange on which registered:
None		MLRT		None

 

Securities registered under Section 12(g) of the Act:

Common Stock, Par Value $0.0001 (Title of class)

 

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.

 

Yes ☐ No ☒

 

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.

 

Yes ☐ No ☒

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and, (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

 

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ☒ No ☐

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer ☐	Accelerated filer ☐	Non-accelerated filer ☐	Smaller reporting company ☒
	(Do not check if a smaller reporting company)
	Emerging growth company ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

Indicate by check mark whether the registrant has filed a report on and attestation to its management’s assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☐

 

If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐

 

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant’s executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☒

 

The aggregate market value of registrant’s common stock held by non-affiliates of the registrant, based upon the closing price of a share of the registrant’s common stock on June 30, 2023 was approximately $1,407,332. At May 24, 2024, there were 33,845,931 shares of the registrant’s common stock outstanding.

 

DOCUMENTS INCORPORATED BY REFERENCE

 

Documents incorporated by reference: No documents are incorporated by reference into this annual report on Form 10-K.

 

 

 

TABLE OF CONTENTS

 

	SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS AND OTHER INFORMATION CONTAINED IN THIS REPORT		3
PART I
	ITEM 1.	DESCRIPTION OF BUSINESS	3
	ITEM 1A.	RISK FACTORS	13
	ITEM 1B.	UNRESOLVED STAFF COMMENTS	25
	ITEM 1C.	CYBERSECURITY	25
	ITEM 2.	DESCRIPTION OF PROPERTIES	26
	ITEM 3.	LEGAL PROCEEDINGS	26
	ITEM 4.	MINE SAFETY DISCLOSURES	26
PART II
	ITEM 5.	MARKET FOR COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES	27
	ITEM 6.	SELECTED FINANCIAL DATA.	28
	ITEM 7.	MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS	29
	ITEM 7A.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.	38
	ITEM 8.	FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA	38
	ITEM 9.	CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE	38
	ITEM 9A.	CONTROLS AND PROCEDURES	39
	ITEM 9B.	OTHER INFORMATION	40
PART III
	ITEM 10.	DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE	40
	ITEM 11.	EXECUTIVE COMPENSATION	44
	ITEM 12.	SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS	48
	ITEM 13.	CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE	49
	ITEM 14.	PRINCIPAL ACCOUNTING FEES AND SERVICES.	49
PART IV
	ITEM 15.	EXHIBITS AND FINANCIAL STATEMENT SCHEDULES	50
	ITEM 16.	SUMMARY	51
SIGNATURES			52

 

 

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS AND OTHER INFORMATION CONTAINED IN THIS REPORT

 

Information in this report contains “forward looking statements” which may be identified by the use of forward-looking terminology, such as “may”, “shall”, “will”, “could”, “expect”, “estimate”, “anticipate”, “predict”, “probable”, “possible”, “should”, “continue”, or similar terms, variations of those terms or the negative of those terms. The forward-looking statements specified in the following information have been compiled by our management on the basis of assumptions made by management and considered by management to be reasonable. Our future operating results, however, are impossible to predict and no representation, guaranty, or warranty is to be inferred from those forward-looking statements.

 

The assumptions used for purposes of the forward-looking statements specified in the following information represent estimates of future events and are subject to uncertainty as to possible changes in economic, legislative, industry, and other circumstances. As a result, the identification and interpretation of data and other information and their use in developing and selecting assumptions from and among reasonable alternatives requires the exercise of judgment. To the extent that the assumed events do not occur, the outcome may vary substantially from anticipated or projected results, and, accordingly, no opinion is expressed on the achievability of those forward-looking statements. No assurance can be given that any of the assumptions relating to the forward-looking statements specified in the following information are accurate, and we assume no obligation to update any such forward-looking statements.

 

Note Regarding Reverse Stock Split

 

The Company effected a reverse split of its outstanding common stock, par value $0.0001, at a ratio of 1-for-65, effective as of September 12, 2022 (the “Reverse Split”). All share and per share amounts have been restated as if the split occurred as of the earliest period presented.

 

PART 1

 

ITEM 1.

DESCRIPTION OF BUSINESS

 

Unless otherwise noted, the terms “MetAlert, Inc.”, the “Company”, “MLRT” “we”, “us”, and “our” refer to the ongoing business operations of MetAlert, Inc. and our wholly-owned subsidiaries, Global Trek Xploration, Inc., Level 2 Security Products, Inc.

 

BUSINESS OVERVIEW

 

MetAlert, Inc. (OTC Pinks: MLRT) is a pioneer in location sensitive remote patient health monitoring devices and wearable technology products industry.

 

MetAlert and its subsidiaries are engaged in designing, developing, manufacturing, distributing, and selling products and services in GPS/BLE wearable technology, personal location, wandering assistive technology, and health data collection and monitoring. The company offers a global end-to-end hardware, software, and connectivity solution, in addition to developing two-way tracking technologies, which seamlessly integrate with consumer products and enterprise applications.

 

With over 20 years of experience and an extensive patent portfolio with more than twenty-five patents, MetAlert provides solutions for consumers/patients afflicted with Alzheimer, Dementia, and Autism (ADA). This market represents approximately 2.9% of the world’s population (approximately 34 million people in 24 developed countries). Due to specific behaviors (problems with memory, adversity to wearing unknown items, etc.) consumers/patients in this market segment, cannot use products such as an iPhone or Fitbit. This has created a significant market with very few competitors for MetAlert.

 

 

Using its award-winning patented GPS SmartSole® as a hub for collecting and transmitting data to the cloud in real-time, MetAlert is expanding its value proposition to consumers and increasing its revenue per user (RPU) while creating the largest database of health statistics for ADA consumers/patients. MetAlert generates revenue from product sales, recurring subscriptions, intellectual property licensing, and professional services. The company has international distributors servicing customers in over 35 countries and is an approved U.S. military government contractor. Customers include public health authorities and municipalities, emergency and law enforcement, private schools, assisted living facilities, NGOs, small business enterprises, senior care homes and consumers.

 

The Company is headquartered in Los Angeles, California, has a sales office in London, England, and distributors across the globe.

 

The Company was originally founded in 2002 as Global Trek Xploration, Inc. and, as part of a reverse merger, became publicly traded in 2008 as a 100% wholly owned subsidiary of GTX Corp, a Nevada corporation, under its former name “Deeas Resources Inc.” In September 2022, the public Company changed its name from GTX Corp to MetAlert, Inc. and effected a 1-for-65 reverse stock split of its issued and outstanding stock (OTC Pinks: MLRT). Post name change the Company kept its 2 wholly owned subsidiaries. During the periods covered by this report, MetAlert, Inc. and its subsidiaries were engaged in business operations that design, manufacture and sell various interrelated and complementary products and services in the wearable technology and Personal Location Services marketplace. In September of 2023, we acquired Level 2 Security, LLC and merged it into a new 100% wholly owned subsidiary Level 2 Security Products, Inc. During that period, the operations of LOCiMobile, Inc., another 100% wholly owned subsidiary, was consolidated under Global Trek Xploration and the corporate entity was dissolved. MetAlert now owns 100% of the issued and outstanding capital stock of its two operating subsidiaries - Global Trek Xploration, Inc. and Level 2 Security Products, Inc. The LOCiMOBILE digital assets are now under the management of the parent company MetAlert and remain there, post dissolution, of the corporate entity (LOCiMobile, Inc.). The Company’s digital platform which has been at the forefront of Smartphone application (“App”) development since 2008 designs mobile applications that turn the iPhone, iPad, Android and other GPS enabled handsets into a tracking device which can then be tracked from any mobile device or through our proprietary tracking portal or on any connected device with internet access.

 

Global Trek Xploration, Inc. is a wearable technology company which designs, manufactures, sells, and distributes tracking and remote patient monitoring solutions for humans. Utilizing patent protected proprietary hardware, software, connectivity, Global Positioning System (“GPS”) and Bluetooth Low Energy (“BLE”) monitoring and tracking platform, which provides real-time tracking and monitoring of people. Utilizing a miniature quad-band GPRS transceiver, antenna, circuitry, battery and inductive charging pad our solutions can be customized and integrated into numerous products whose location and movement can be monitored in real time over the Internet through our 24x7 tracking portal or on a web enabled cellular telephone. Our core products and services are supported by an IP portfolio of patents, patents pending, registered trademarks, copyrights, URL’s and a library of software source code, all of which is managed by Global Trek.

 

MetAlert’s flagship product is its award-winning, patented GPS SmartSole® tracking and monitoring solution, which is the world’s first invisible wearable technology GPS tracking device created for those at risk of wandering due to Alzheimer’s, dementia, autism, and traumatic brain injury. The GPS SmartSole is reimbursable through Medicaid or various insurance providers and government agencies in some U.S. States, Canada, Norway, and the UK.

 

We answer the “where is” question: such as, where is my mother, child, employee, soldier, pet, drone, artwork, or other high value assets, through our proprietary IoT (“Internet of Things”) enterprise platform.

 

Level 2 Security Products, Inc., our newly acquired subsidiary, is in the high value non-human asset monitoring and recovery business for items such as firearms, vehicles, bikes, boats, ATVs, and a host of other valuable mobile assets which require oversight monitoring and theft recovery.

 

Since inception, MetAlert has developed, sold and commercially launched numerous products, including, its GPS Smart Shoes, SmartSoles, Bluetooth Low Energy (“BLE”) SmartSoles, hand-held GPS tracking devices, a proprietary custom military personnel and asset tracking solution, a weapons tracker, pet tracker, infant tracker and more than 20 smartphone and tablet Apps, all supported by its hosted and scalable backend monitoring platform and intellectual property portfolio. The Company has multiple product lines comprising of its core wearable tech SmartSole line, Military line, OEM devices and supplies, professional services, Near Field Communications (NFC) asset tracking and intellectual property licensing. The business units generate various revenue streams, such as product sales, recurring subscriptions, software, and intellectual property (IP) licensing, fees for custom hardware and software development, along with professional consulting, support, and maintenance services. Many of its products are protected by MetAlert’s intellectual property portfolio of issued patents, licensed patents, patents pending, registered trademarks, copyrights, URLs and a library of proprietary hardware and software designs. MetAlert’s customer base ranges from the U.S. military, foreign military, public health authorities and municipalities, emergency, and law enforcement, first responders, private schools, assisted living facilities, NGOs, business enterprises, senior care homes and direct to consumer.

 

 

Media recognition is an important component of MetAlert’s marketing strategy and over the years, the company and its GPS SmartSole have been featured on CNN, Good Morning America, The Doctors, Fox News, Discovery Channel, ABC, NBC, CBS, The New York Times, LA Times, U.S.A. Today, the LA Business Journal, AARP, Keeping up with the Kardashians and numerous other television, radio, magazine, and newspaper media outlets worldwide. Additionally, our new Gun Alert product is also receiving media accolades and has received media exposure across local news channels as gun safety continues to dominate the national headlines.

 

The Company maintains several Internet websites, blogs and social media sites including; www.metalert.com, www.mygunalert.com, www.gtxmask.com, www.locimobile.com, www.trackmyworkforce.co, and www.gpssmartsole.com. Our annual reports, quarterly reports, current reports on Form 8-K and amendments to such reports filed or furnished pursuant to section 13(a) or 15(d) of the Securities and Exchange Act of 1934, as amended (the “Exchange Act”), and other information related to this Company, are available, free of charge, on our corporate website as soon as we electronically file those documents with, or otherwise furnish them to, the Securities and Exchange Commission. The Company’s various Internet websites and the information contained therein, or connected thereto, are not, and are not intended, to be incorporated into this Annual Report on Form 10-K. Our principal executive offices are located at 117 W 9^th Street, Los Angeles, California, 90015 and our main telephone number is (213) 489-3019. The information on, or that can be accessed through, our websites is not part of this report, and you should not rely on any such information in making any investment decision relating to our common stock.

 

Our business is comprised of one reportable segment.

 

We are a “smaller reporting company” as defined in the Exchange Act. We may take advantage of certain of the scaled disclosures available to smaller reporting companies until the fiscal year following the determination that our voting and non-voting common stock held by non-affiliates is more than $250 million measured on the last business day of our second fiscal quarter, or our annual revenues are less than $100 million during the most recently completed fiscal year and our voting and non-voting common stock held by non-affiliates is less than $700 million measured on the last business day of our second fiscal quarter.

 

BUSINESS UNITS

 

1)	Human Tracking and Monitoring Technology - Our SmartSole line of wearable footwear technology is designed for people with cognitive memory disorders, such as Alzheimer’s, dementia, autism, and traumatic brain injury (“TBI”). Approximately 9 million people in the U.S. and over 100 million worldwide expected to reach 277 million by 2050 fall under this umbrella of people with cognitive disorders. Typically, these people tend to wander and require some wander guard technology and remote oversight. The SmartSoles are comfortable orthotic insoles embedded with a GPS and cellular tracking module, so that a caregiver can know in real time where a loved one is at the touch of a button from any smartphone or computer. The Company also leverages its technology platform for use in high value asset tracking such as drones, small light weight cargo, and other high value mobile assets that require a robust, small footprint and low power consumption hardware and software platform. MetAlert has been working on expanding this unit to include Short Range and Logistics tracking, utilizing BLE and NFC technology for tracking valuable assets across the supply chain, such as expensive clothing, wines, foods, or pharmaceuticals. BLE - Bluetooth Low Energy and NFC – Near Field Communication are a short-range wireless protocol that triggers data exchange from one device to another. The chip is about the size of a nickel and can be attached, embedded, sewn, glued, embroidered, and even ironed on or otherwise affixed to just about any person or product, including print materials, packaging, and wearables.
2)	Asset Monitoring and Theft Recovery – In 2023 the Company expanded its product line into the high value non-human asset monitoring and recovery business for items such as firearms, vehicles, bikes, boats, ATVs, and a host of other valuable mobile assets which require oversight monitoring and theft recovery.
3)	IP and Technology licensing- many of our patents were issued over the past 10 years and we continue to add new patents to our portfolio, and as GPS and wearable technology becomes more ubiquitous and used in numerous products, the MetAlert intellectual property portfolio is garnering interest within the tech community. MetAlert is currently engaged in a licensing and monetization campaign. Over 150 companies that could potentially license some or all our IP have been identified and so far, the Company has signed 14 licensing agreements and generated over $1 million dollars in license fees.
4)	Medical Supplies – In 2020 the Company expanded its product line from medical devices to high quality Health & Safety protective equipment and supplies, ranging from hearing assisted technology to masks, sanitizing equipment, UV sterilization equipment, and rapid test kits. With many of its products made or sourced in the U.S. This business unit was significant during Covid, however moving forward we will adjust the unit size to account for market conditions and market demands.

 

 

CORPORATE STRATEGY

 

Management’s corporate strategy is to continue to build and grow MetAlert as a health & safety medical and wearable technology company that provides turnkey solutions for the consumer, enterprise, and government. Most of the MetAlert tracking and monitoring products are sold with a monthly, quarterly, or annual subscription service plan or licensing fees ranging from $2.00 to $35.00, per month per monitored asset. In addition to product sales and recurring subscription fees, the Company also generates revenues through software and IP licensing. Many of our patents have filing dates going back to 2004, 2005 and 2006, have ongoing open continuations, with many of patent claims being used in the marketplace today, providing an opportunity for the Company to license its IP to other technology companies. Part of our strategy is to identify new companies or existing companies that launch new products that are a potential licensee candidate.

 

As part of our long-term growth strategy, we are focused on launching new medical and tracking wearable products, either internally developed or acquired through licensing, that stand alone or can be part of our SmartSole platform that help grow our subscriber base or increase our average revenue per subscriber. New product development can lead to new IP, hence strengthening our IP portfolio creating additional licensing opportunities. Collectively this approach feeds on one another whereby we can build steady recurring revenue streams. Launching new products, new vertical sales channels and building out our patent portfolio are the key drivers for growth. The more products we develop and sell, the more subscribers we bring onboard. And, as our patent portfolio grows and evolves, so do our licensing opportunities. To date we have built a network of strategic global partners, a robust technology platform of proprietary hardware and software and a growing intellectual property (IP) portfolio. The MetAlert product lines of embedded smart wearable GPS devices, Stand-Alone GPS devices, Asset and Theft Recovery devices, Digital Apps, BLE/NFC solution, encrypted RF military personnel and asset tracking solutions and protective medical supplies and devices are sold direct to the consumer (“B2C”), to the enterprise business to business (“B2B”), and to local, state, federal and international government agencies , through our network of resellers, affiliates, distributors, non-profit organizations, military and police departments, manufacturers reps and retailers. The Company has been ramping up its product distribution and sales channels and, as of December 31, 2023, the Company had live units in the field and / or paying subscribers in over 40 countries, with customers and distributors in Canada, Mexico, Europe, Latin America, Asia, the Middle East, and parts of Africa. In the U.S. the Company sells direct to the consumer through its online ecommerce platform, a host of retailers and resellers along with hundreds of online affiliates. The Company also manages direct B2B enterprise and government sales through its business development team and advisors. The B2B initiatives comprise of supporting existing distributors along with bringing on new distributors, working with U.S. and Foreign agencies, to support existing business and secure new business, and domestically to work with local, state, and federal agencies to acquire reimbursement codes for its line of SmartSoles. To date, MetAlert has been issued a vendor number for reimbursement in 11 U.S. states and internationally in Canada, Norway, Sweden and in the U.K. the National Health Services (“NHS”) began conducting regional pilots for the wander assistive GPS SmartSoles, in urban centers with high populations of seniors afflicted with dementia. Under these reimbursement programs, the SmartSoles are either partially (50% to 60%) or sometimes up to (100% including the monthly subscriptions) paid for or subsidized by the local, state, or federal grants or through insurance reimbursement. As additional resources become available, we plan to apply for new grants and private insurance reimbursement along with other health and municipal services both domestically and in other countries. Where granted, the subsidies lower the cost of buying and owning our tracking products, which can result in an increase in customers and revenues.

 

 

INDUSTRY OVERVIEW

 

Smart wearable technology is becoming ubiquitous, and it is starting to find its way into all parts of the global society. Miniature electronic devices that are worn by a person, commonly referred to as wearables, are continuing a strong upward trajectory evident by the likes of Nike, Garmin, Google, Samsung, Apple, Verizon and a host of other fortune 100 companies that have entered into this space. Wearable Technology is on the rise in personal fitness, wellness, healthcare, and business use. CCS Insight (a provider of market information, data analysis and market intelligence) recently updated its outlook on the future of wearable tech, indicating that 411 million smart wearable devices, worth a staggering $34 billion, were be sold in 2020.

 

Location-Based Services (LBS) and Real-Time Location Systems (RTLS), published by Markets and Markets, are expected to grow from USD 16.0 billion in 2019 to USD 40.0 billion by 2024, at a Compound Annual Growth Rate (“CAGR”) of 20.1%. This growth will be fueled because it is now possible for a network of physical objects (humans, vehicles, buildings, infrastructure, equipment of all shapes and types) to collect and exchange data and to communicate and work together. This enables devices, sensors and systems to operate autonomously in pursuit of goals and objectives set by the human architects of the system. We believe that accurately identifying the location of a person or assets in real time will be a key driver in many applications for the consumer, enterprise, and government sectors.

 

The Caregiving Innovation Frontiers (“CIF”) study by the Longevity Network, used analysis and research from Parks Associates found that an estimated 117 million Americans will need assistance of some kind by 2022, but the number of unpaid caregivers is only expected to reach 45 million in the same year. This demand represents a $279 billion revenue opportunity over the coming years across six different business areas identified in the study, with 80% of spending being out-of-pocket costs. Technology solutions and remote health monitoring systems that enable family caregivers to monitor the location of elderly persons could provide key relief, according to the report. The CIF report outlined six areas for business opportunities, with huge potential for revenue grabs. Technology represents an opportunity across all the service areas, according to the Association of American Retired Persons (AARP). Most family caregivers (67% of them) want to use technology to monitor their loved one’s health and safety, but only about 10% are doing so right now, leaving a lot of room for growth.

 

In our ever-mobile society, it helps to know where we are and where we are going. Same with caregivers of seniors suffering from Alzheimer’s and dementia, freight forwarding companies wanting to know where their packages are, and employers wanting to know where their field workers are. Many parents desire to have the ability to know where their children are and where they are going. Having such information is now possible with access to real-time information delivered on-demand through miniaturized, low power consumption locator systems and technologies such as ours. The same logic applies for high value assets, and specifically in the world of gun safety. Whereby, there is estimated to be over 400 million firearms in the U.S. and a concentrated effort by lawmakers, federal government and local agencies and consumers at large to implement reasonable and sensible gun safety solutions.

 

The rising need for real-time location systems (RTLS) and wearable location-based services (LBS) is influenced by several factors, among them:

 

	●	Universal awareness and expanding penetration of GPS enabled mobile smartphones & tablets (estimated 2 billion devices).
	●	Personal and asset security concerns affecting a greater portion of the population. This includes the increased awareness related to global terrorism, active shootings, natural disasters, and general unrest.
	●	Increasing numbers of elderly or memory impaired (Alzheimer’s, dementia, autism, etc. approximately 9 million in U.S. and according to the World Health Organization who estimates that Alzheimer’s will reach 135 million worldwide by 2050).
	●	Corporations needing to manage worker productivity, efficiency, and logistics.
	●	Government agencies, law enforcement and military need to track personnel and assets.
	●	Massive lifestyle adoption of location-based advertising and social networking.

 

MetAlert’s management believes that more and more consumers, enterprises, and government agencies are realizing the importance of using tracking and monitoring information technology. The technology growth story has long focused on the consumer, but as enterprises in every industry sector, including the government sector, look to technology to facilitate and transform their own operations, the opportunities for technology companies have broadened considerably. The following information illustrates the ways in which various tech markets are expected to grow.

 

 

The LBS and RTLS market have grown considerably over the past few years and is expected to grow further with increasing portable personal digital assistant (“PDA”) based e-commerce. The overall market is expected to grow from $15.04 billion in 2016 to $77.84 billion by 2021, at a CAGR of 38.9 %.

 

CORPORATE STRUCTURE

 

MetAlert, Inc. is a Nevada corporation which operates two wholly owned subsidiaries Global Trek Xploration, Inc. and Level 2 Security Products, Inc.

 

Global Trek Xploration is a California corporation which engages in the business of, design, development, manufacturing, and sales of medical devices and supplies, and Global Positioning Satellite (“GPS”), Cellular, Radio Frequency (“RF”) Near Field Communications (“NFC”) WiFi and Bluetooth low energy (“BLE”) monitoring and tracking solutions. MetAlert is vertically integrated and provides hardware, software, and connectivity, delivering a location-based platform that enables subscribers to track in real time the whereabouts of people, or high valued assets. Our proprietary GPS devices, which consist of a miniature quad-band General Packet Radio Service (“GPRS”) transceiver, custom antenna, circuitry, battery, and inductive charging pad can be customized and integrated into numerous form factors. The finished products are then placed or worn so that their location and movement can be monitored in real time over the Internet through our 24x7 tracking portal or on a web-enabled cellular telephone. The tracking portal is fully scalable and has been licensed to several partners both in the U.S. and internationally. It is a secure platform equipped with a database, application-programming interface (“API”) for custom integration, and communication SMS gateway software and hardware. Subscriber internet communications are routed through MetAlert’s proprietary, fault-tolerant, carrier-class, and application-specific interface software. Our Location Data Center services are also offered to non-Global Trek Xploration products and hardware systems (i.e. handsets and personal electronics) of major electronics manufacturers through the offer and sale of exclusive licenses (either geographical, regional or product categories).

 

Markets that Global Trek Xploration is currently in, or is exploring, include:

 

	●	Families with members who have Alzheimer’s and or dementia, including developmentally challenged adults;
	●	Elder care support, life-style management, and e-health applications;
	●	Adults and children with cognitive disorders such as Autism and TBI;
	●	High value asset tracking and location capability of drones, bikes, motorcycles, containers, luggage, artwork, and other mobile valuable assets that require monitoring or tracking;
	●	GIG Economy mobile work force;
	●	Security for high-level executives, field workers, first responders, journalists, government employees;
	●	Military and law enforcement;
	●	Biometrics, health, safety, and wellness; and
	●	Accessories and peripherals.

 

Level 2 Security Products, Inc. is in the high value non-human asset monitoring and recovery business for items such as firearms, vehicles, bikes, boats, ATVs, and a host of other valuable mobile assets which require oversight monitoring and theft recovery.

 

 

PRODUCTS & SERVICES

 

	●	GPS SmartSole and the SmartSole plus – a wearable orthotic insole GPS tracking, monitoring and recovery solution for those at risk of wandering due to Alzheimer’s, dementia and autism.
	●	MyGunAlert – a gun lock safety technology solution designed to lock a firearm, detect unauthorized movement and with GPS, help you recover your firearm by sending you an alert immediately if it is touched, moved, or stolen.
	●	Take Along Tracker 4G – a stand-alone miniature tracking and SOS device that allows for GPS capabilities, plus 4G, GSM, data and voice as well as a 3-way motion sensor.
	●	Track My Workforce – a mobile app allowing employers to monitor mobile employees like drivers and sales representatives through their Smartphone.
	●	Sole Protector for GPS Smartsole – created specifically for the GPS SmartSole® in order to boost longevity, hygiene, covertness, protection and comfort. Extends the life of the SmartSole with increased shock absorption and water resistance.
	●	Protective Medical devices and supplies – Ranging from PPE’s such as masks, sanitizers, face shields, UV wands and assorted equipment all the way to and including; Antibody and Antigen rapid test kits and hearing assisted technologies.
	●	VeriTap - an NFC tag and middleware application designed to monitor logistics and assets in the supply chain.

 

CUSTOMERS

 

The Company, along with its international distributors, services thousands of consumers, hundreds of businesses, and dozens of local, state, and federal government agencies, across 6 continents. MetAlert also sells products and services to the U.S. Military and law enforcement agencies and is an approved government contractor. Other MetAlert customers include public health authorities, municipalities, and Universities, in the U.S., Canada and across Europe. MetAlert also has a vendor number in 11 U.S. States and sells to local and state agencies supported by Medicare and Medicaid. Other customers range from retailers, healthcare facilities, private schools, assisted living facilities, NGOs, small business enterprises, senior care homes, and security companies. The Company also has several branded products and sells direct to the consumer.

 

INTELECTUAL PROPERTY

 

MetAlert’s IP portfolio not only supports the Company’s core product lines by creating barriers of entry to competitors, but also underscores the Company’s intrinsic value and generates revenues from out bound licensing. Our early investment in IP dates to 2002 and demonstrates MetAlert’s commitment to developing innovative technology in the growing wearable GPS, LBS and RTLS space. The MetAlert IP portfolio underpins its business and provides support across all its business units. The portfolio addresses three core areas: Footwear, Communication and International coverage and as of December 31, 2023, we had twenty-three (23) patents and several trademark registrations. These include eighteen (18) issued U.S. utility patents, three of which are insole patents, two (2) issued U.S. design patents, and two (2) other pending U.S. utility patent applications and (1) U.S. gun tracking patent. We also have two (2) issued Mexican utility patents and one (1) issued European foreign national patent application based on our U.S. filings. In addition to the five (5) comm protocol’s (program-to-program communications access methods), which falls under MetAlert U.S. Patent 8,760,286, commonly referred to as the 286 MetAlert patent family, MetAlert also has several patents on the device side. The international multi- pronged IP protection approach is part of the overall intellectual property strategy protecting all aspects of the MetAlert enterprise and value of its hardware and platform.

 

MetAlert also has under license one (1) U.S. patent and twelve (12) foreign patents. Included under the IP portfolio MetAlert has U.S. trademark registrations including, but not limited to, registrations for the marks “LOCi” and “LOCIMOBILE.” In addition, another U.S. trademark application for “GPS SMART SOLE SATELLITE MONITORING AND REALTIME TRACKING”, “GTX CORP”, “WITH YOU” “GUNALERT”, and “IF IT MOVES…”.

 

 

TECHNOLOGY

 

MetAlert Inc. has developed a “carrier-class” architecture and no longer needs to host the servers in a facility Data Center. Throughout 2020 most of our servers were migrated to the cloud which enables cost-efficient expansion, without the need for application code changes.

 

Our current location tracking product design utilizes quad-band GSM/GPRS telephony chip sets and can be adapted to the prevalent GSM/GPRS wireless technologies. Our modules utilize advanced “weak signal server-enhanced” technology which provide rapid location identification. Each module is programmed with a unique identification number and uses standard cellular frequencies to communicate its location. The module is also programmed with a unique subscriber identification number allowing each owner to subscribe to different services.

 

We continue to modify and upgrade our modules for our SmartSoles and other GPS tracking products. The production and roll-out of version 4G of our SmartSole product we will no longer have to be custom make SmartSoles for our international distributors, so our manufacturing cost and timelines are reduced, and we have more flexibility to timely meet our customers’ requirements. Also, we now can bill for data charges in over 100 countries, thereby increasing our potential markets. The ability to produce a product that can be delivered to foreign market without customization and to bill for data charges in additional countries will enable us to increase our RPS (revenue per subscriber). Our core tracking products (SmartSole, Take-Along-Tracker, OEM modules and Track my Work Force App) are supported by the existing infrastructure for the worldwide cell network that provides coverage throughout the United States, Canada, Mexico and numerous other countries that operate on the global GSM Wireless networks. Our personal locator modules have the ability to operate on the networks of 290 carriers in over 210 countries.

 

STRATEGIC RELATIONSHIPS & LICENSING

 

We offer location-based hardware and/or IoT data monitoring platform to third parties for the sale and distribution of location-based products/services in various vertical markets. We begin the process by entering into a platform test agreement or pilot program with a potential partner with the intent to transition into a long-term relationship. By establishing and building partnerships, through licensing agreements, OEM, and carrier relationships, we facilitate efficient entry into new markets leveraging each third parties core competencies. We enhance the value of our distribution channels by aligning our sales and marketing efforts with strategic partners, including co-branding, distribution and marketing with telecommunication companies, wireless carriers, national retailers and major consumer branded companies. We can customize our products into different form factors for the specific needs of customers. To date, the Company has created custom solutions for the monitoring of seniors with cognitive memory disorders by installing the GPS device into specially designed shoes and insoles; the monitoring of children by installing the GPS device into specially designed toys, belts, insoles and backpacks; and the monitoring of various high value assets such as drones, long guns and other mobile assets.

 

 

The Company has several key strategic relationships established both on the supply side and the distribution side. Some of the key partners on the supply side are Atlantic Footcare (which manufactures our SmartSoles), Spline (our engineering firm), Nordic (which manufactures our GPS and Cellular electronics) and Telefonica (which provides our global connectivity). On the distribution side, we have numerous partnerships worldwide, ranging from distributors, health organizations, and retailers.

 

RESEARCH & DEVELOPMENT

 

As an emerging tech company our long-term growth is predicated on making investments in R&D and Intellectual Property. This year we took the opportunity to invest in our future, by ramping up NFC, BLE and 4G development projects. We are integrating our NFC tags with Blockchain technology and started developing a secured, scalable middleware layer that sits in-between our NFC devices and third-party backend platforms. We started working with several partners that provide various vertical specific Block chain, IoT and AI backend platforms but needed a secure and seamless flow of data from hardware to backend. This middleware lawyer is industry agnostic and is designed to help drive NFC hardware business and other IoT device sales. We also continued testing our Near Field Communication (NFC) Temperature Trackers, which provide real-time temperature sensing and data logging across the supply chain necessary with transportation of perishables; food, drinks, pharmaceuticals, and other temperature sensitive products that can be negatively affected by conditions in transit. This is still a new business silo that has not begun generating revenue, but we see this new technology as a natural extension into the world of asset tracking, taking us beyond humans to tracking and monitoring of perishable shipments of food, beverages, biopharmaceuticals, live organs and many other temperature sensitive shipments. In addition to temperature sensing we are now looking into NFC tags that can authenticate products, addressing the multibillion dollar worldwide counterfeit market.

 

GROWTH STRATEGY

 

We have developed a multi-prong business model approach; business-to-business (B2B), business-to-consumer (B2C), Government and Military sales, and licensing of our technology and IP. We have successfully proven out all our models in a small scale. With B2C, we continue to invest in e-commerce and once we can hit critical mass with lower pricing, we will expand into the mass consumer markets. With B2B our strategy is to establish more partners and relationships with key industry leaders who will embed our technology into their products to sell to their established customer base. In addition, we plan to continue working with the Military both in the U.S. and abroad. Lastly, we plan to continue to identify companies that can license our IP. This approach requires time and capital to grow, however it is also diversified so that all our eggs are not in one basket and once scaled can show rapid growth. As a growing underfinanced company, we have managed to prove out our business models and now need to scale. Management believes that once we have the resources to scale any of these models or all of them, we can expect to see steady and sustainable growth. We are still looking to raising capital to meet our growth strategies through an Offering Statement on Form 1-A, filed on August 7, 2023, and qualified on August 14, 2023 (the “Reg A”), and the Reg A may require updating once the 10K is filed.

 

Key elements of our growth strategy include:

 

	●	Providing our Personal Locator hardware module to licensees to empower their products with our two-way GPS tracking capabilities;
	●	Become eligible for federal grant funding for gun safety solutions;
	●	OEM private label manufacturing;
	●	A mass market retail price under $99.00 for Personal Location devices;
	●	A monthly service fee structure, under $20.00;
	●	Reduction in hardware size and cost in order to open new markets;
	●	Continue expanding our medical reimbursement programs;
	●	Rolling out bio metrics and NFC;
	●	Expanding distribution channels;
	●	Increasing the number of solutions for the military and law enforcement markets;
	●	Ease of use at the location interface point as well as with the device, using state-of-the-art cloud computing and cloud application development and;
	●	Expanding our IP monetization campaign.

 

 

COMPETITION

 

Personal location and asset tracking devices of various kinds are currently available from numerous vendors, and the number of competitive products is increasing rapidly in the marketplace. Furthermore, many of the location products and services are available at no cost to the user or are already included in other products. Nevertheless, we believe this rapidly growing market acceptance of the tracking solutions that we offer represents an opportunity as the intrinsic value of the tracking solutions is recognized and mass market adoption continues. The key competitive advantage for MetAlert in its lead SmartSole product is our innovative approach to embedding electronics inside a flexible footwear system, which advantage is protected by an extensive patent portfolio and first to market. Another key competitive advantage is our large and growing patent portfolio along with our ability, because we are a small company, to be agile and responsive while still having deep and long industry knowledge of the GPS space.

 

Key differentiators between ourselves and the competition is:

 

B2B:

 

	●	Providing a comprehensive fully integrated, patented end-to-end solution comprised of hardware, software, and global connectivity, that can be embedded or OEM into other companies’ product lines.
	●	Being small and nimble we can provide faster turnaround times and lower pricing, which has been a key advantage in our military business.

 

B2C:

 

	●	Our BLE & GPS SmartSole is the only patented, non-visible, non-intrusive tracking and monitoring solution.
	●	Our GunAlert is the only patented, lockable, motion sensor gun safety solution on the market.

 

There are numerous competitors for GPS products in general, and for our smart phone applications, including Location Based Technologies, Inc., Google Latitude, Foursquare, Trimble Navigation, Inc., Brick House Security, Verizon, and Trackimo, Inc. Many of our competitors are better financed than we are and/or have greater marketing and scientific resources than we can provide. We are also aware of a number of domestic and foreign competitors that offer much lower quality products in order to gain market share. The U.S. Government systems integration business is intensely competitive and subject to rapid change due to new requirements and budget allocation. We compete with many military suppliers and other large and diverse companies attempting to enter or expand their presence in the U.S. Government market. Many of the existing and potential competitors have greater financial, operating, and technological resources than we have. The competitive environment may require us to make changes in our pricing, services, or marketing. The competitive bidding process involves substantial costs and a number of risks, including significant cost and managerial time to prepare bids and proposals for contracts that may not be awarded to us, or that may be awarded, but for which we do not receive meaningful revenues. Accordingly, our success depends on our ability to develop services and products that address changing needs and to provide people and technology needed to deliver these services and products. In the government services sector, our competition includes large systems integrators and defense contractors. Some of these competitors include global defense and IT service companies such as, Northrop Grumman and Raytheon. However so far being small and nibble along with our ability to deliver product and services, quickly, at a fair market price and customize products on demand, have been to our advantage, over many larger competitors.

 

EMPLOYEES AND CONSULTANTS

 

As of December 31, 2023, the Company had eight full-time and part-time employees along with three consultants and two commission-based sales personnel. Any selling, marketing, technical, IT and/or software development work that is not handled by our employees, advisors, or sales personnel, is outsourced to qualified contractors and consultants. The Company has over a dozen active outside consultants and contractors which are hired on an as needed basis.

 

 

GOVERNMENT REGULATION

 

We are subject to federal, state and local laws and regulations applied to businesses generally as well as FCC, IC and CE wireless device regulations and controls. We believe that we are in conformity with all applicable laws in all relevant jurisdictions. We do not believe that our operations are subject to any environmental laws and regulations of the United States nor the states in which they operate.

 

Because our SmartSoles are sold globally, our certification’s not only cover domestic regulations and controls but the international regulations and controls required under FCC, RED, CE and IC certifications.

 

ITEM 1A:

RISK FACTORS

 

Investing in our common stock is highly speculative and involves a high degree of risk. Any potential investor should carefully consider the risks and uncertainties described below before purchasing any shares of our common stock. The risks described below are those we currently believe may materially affect us. If any of them occur, our business, financial condition, operating results or cash flow could be materially harmed. As a result, the trading price of our stock could decline, and you might lose all or part of your investment. Our business, financial condition and operating results, or the value of any investment you make in the stock of our company, or both, could be adversely affected by any of the factors listed and described below. These risks and uncertainties, however, are not the only ones that we face. Additional risks and uncertainties not currently known to us, or that we currently think are immaterial, may also impair our business operations or the value of your investment.

 

Forward-Looking Statements

 

We make forward-looking statements in Management’s Discussion and Analysis of Financial Condition and Results of Operations and elsewhere in this report based on the beliefs and assumptions of our management and on information currently available to us. Forward-looking statements include information about our possible or assumed future results of operations, which follow under the headings “Business”, “Liquidity and Capital Resource”, and other statements throughout this report preceded by, followed by or include the words “believes”, “expects”, “anticipates”, “intends”, “plans”, “estimates” or similar expressions.

 

Any number of risks and uncertainties could cause actual results to differ materially from those we express in our forward-looking statements, including the risks and uncertainties we describe below and other factors we describe from time to time in our periodic filings with the SEC. We therefore caution you not to rely unduly on any forward-looking statement. The forward-looking statements in this report speak only as of the date of this report, and we undertake no obligation to update or revise any forward-looking statement, whether as a result of new information, future developments, or otherwise.

 

RISKS RELATED TO CLIMATE

 

We may suffer climate related risks in the future

 

The industry-led Task Force on Climate-related Financial Disclosures (TCFD) establishes recommendations for disclosing clear, comparable and consistent information about the risks and opportunities presented by climate change. It is expected to help companies better demonstrate responsibility and foresight in how they consider climate change issues, make smarter, more efficient allocations of capital and facilitate the transition towards a more sustainable, low-carbon economy.

 

MetAlert Corp believes that decision-useful climate-related information in mainstream reports is needed more than ever. The TCFD recommendations fit well into our commitment to conduct business in a financially, environmentally and socially responsible way. We believe the TCFD recommendations will assure investors that MetAlert Corp takes climate change seriously and works proactively to understand the risks and opportunities to our business related to climate change.

 

We will take a step-wise approach to incorporate climate-related disclosures as per the TCFD recommendations into our Annual Report; Below is a summary of how MetAlert Corp addresses the risks related to climate change.

 

All our decisions are driven by the Triple Bottom Line (TBL) business principle: a commitment to do business in a way that is financially, environmentally, and socially responsibility.

 

Our risk management process is governed by our Executive Management and is designed to ensure that key business risks are effectively identified, assessed, and mitigated so that they do not affect the company’s ability to achieve its business objectives.

 

 

Climate-related risks are identified and assessed through the risk management system. So far, neither the short-term nor the medium-term risk of climate change at company level has been material/critical in terms of potential direct impacts. The risks have therefore been identified, assessed and mitigated through individual departments or business units.

 

For the upstream production and sourcing of components MetAlert Corp performs an annual risk assessment of all active direct spend items and vendor combinations on the approved supplier list. The assessment includes likelihood of disruption paired with financial implications. The risk assessment serves to provide input for risk mitigation in sourcing categories, and consequently prioritize actions to prevent or minimize the impact of supply disruptions on manufacturing. The assessment includes a natural hazards risk rating of supplier locations, provided by external insurance companies. The risk rating is related to various parameters, including flooding, earthquake, wind speed, tornado, hailstorm, and lightning.

 

RISKS RELATED TO OUR BUSINESS

 

We will need additional funding in the near future to continue our current level of operations and growth.

 

As of December 31, 2023, we had a working capital deficit of $4,049,387 and an accumulated deficit of $28,746,629. In addition, for the year ended December 31, 2023, we had a loss of $1,190,158. Revenues generated from our current operations are not sufficient to pay our on-going operating expenses. In addition to product and services sales, our working capital needs in 2023 were partially funded by the sale of $345,500 in debt, and the sale of preferred D shares for $100,000. Therefore, we continue to obtain additional funding from the sale of our securities or from strategic transactions in order to fund our current level of operations.

 

Aside from continuing these loan transactions, we have not identified the sources for additional financing that we may require, and we do not have commitments from third parties to continue to provide this financing. Being a micro-cap stock, certain investors may be unwilling to invest in our securities. There is no assurance that sufficient funding through a financing will be available to us at acceptable terms or at all. Historically, we have raised capital through the issuance of convertible debt securities or straight equity securities. However, given the risks associated with our business, the risks associated with our common stock, the worldwide financial uncertainty that has affected the capital markets, and our status as a small, unknown public company, we expect in the near future, we will have difficulty raising capital through traditional financing sources. Therefore, we cannot guarantee that we will be able to raise capital, or if we are able to raise capital, that such capital will be in the amounts needed. Our failure to raise capital, when needed, and in sufficient amounts, will severely impact our ability to continue to develop our business as planned. In addition, if we are unable to obtain funding as, and when needed, we may have to further reduce and/or cease our future operations. Any additional funding that we obtain in an equity or convertible debt financing is likely to reduce the percentage ownership of the company held by our existing security holders.

 

Based on the above factors, our auditors have concluded that there is substantial doubt as to our ability to continue as a going concern.

 

There is substantial doubt about the entity’s ability to continue as a going concern.

 

The consolidated financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has incurred net losses of $1,190,158 and $1,503,087 for the years ended December 31, 2023, and 2022, respectively, has incurred losses since inception resulting in an accumulated deficit of $28,746,629 as of December 31, 2023, and has negative working capital of $4,049,387 as of December 31, 2023. A significant part of our negative working capital position on December 31, 2023, consisted of $1,739,165, of amounts due to various accredited investors of the Company for convertible promissory notes, loans and a letter of credit, as well as the current portion of $12,972 in CARE loans. The Company anticipates further losses in the development of its business.

 

The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. The Company’s ability to raise additional capital through the future issuances of debt or equity is unknown. The obtainment of additional financing, the successful development of the Company’s contemplated plan of operations, or its attainment of profitable operations are necessary for the Company to continue operations. The ability to successfully resolve these factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements of the Company do not include any adjustments that may result from the outcome of these uncertainties.

 

 

We have had operating losses since formation and expect to continue to incur net losses for the near term.

 

We currently have a working capital deficit and our current and projected revenues are not sufficient to fund our anticipated operating needs. We have reported net losses of $1,190,158 and $1,503,087 for the years ended December 31, 2023, and 2022, respectively. While we anticipate that revenues will increase in 2024, unless our sales increase substantially in the near future, we will continue to incur net losses in the near term, and we may never be able to achieve profitability. In order to achieve profitable operations, we need to significantly increase our revenues from the sales of product, subscriptions and licensing fees. We cannot be certain that our business will ever be successful or that we will generate significant revenues and become profitable. As a result, an investment in our company is highly speculative and no assurance can be given that our business model will be successful and, therefore, that our stockholders will realize any return on their investment or that they will not lose their entire investment.

 

Our current sources of funding are limited, and any additional funding that we may obtain may be on unfavorable terms and may significantly dilute our existing shareholders.

 

We have not identified sources to fund our current and proposed operating activities. The amount of revenues that we currently generate is not sufficient to fund our operating expenses. As a result, unless and until our revenues increase significantly in the near future, we will have to obtain additional public or private equity financings or debt financings in order to continue our operations. Any additional funding that we obtain in a financing is likely to reduce the percentage ownership of the Company held by our existing security-holders. The amount of this dilution may be substantial based on our current stock price, and could increase if the trading price of our common stock declines at the time of any financing from its current levels. To the extent we raise additional capital by issuing equity securities, our stockholders will experience further dilution. If we raise funds through debt financings, we may become subject to restrictive covenants. We may also attempt to raise funds through corporate collaboration and licensing arrangements. To the extent that we raise additional funds through such means, we may be required to relinquish some rights to our technologies or products, or grant licenses on terms that are not favorable to us. There can be no assurance that financing will be available in amounts or on terms acceptable to us, if at all. If we are unable to obtain the needed additional funding, we will have to reduce or even totally discontinue our operations, which would have a significant negative impact on our stockholders and could result in a total loss of their investment in our stock.

 

Our future capital requirements, and our currently projected operating and liquidity requirements, will depend on many factors, including:

 

	●	The ramping and scaling of the GPS SmartSole® and BLE SmartSole;
	●	Supporting growth with advertising and marketing;
	●	Our ongoing general and administrative expenses related to our being a reporting company;
	●	The cost of developing and improving our products and technologies thru R&D to stay competitive; and
	●	The maintenance and the ongoing development of our IP portfolio.

 

Funding, especially on terms acceptable to us, may not be available to meet our future capital needs because of the state of the credit and capital markets. Global market and economic conditions have been, and continue to be, disruptive and volatile. The cost of raising money in the debt and equity capital markets for smaller companies like ours has increased substantially while the availability of funds from those markets has diminished significantly. Also, low valuations and decreased appetite for equity investments, among other factors, may make the equity markets difficult to access on acceptable terms or unavailable altogether.

 

If adequate funds are not available, we may be required to delay, scale-back or eliminate our product enhancement and new product development programs. There can be no assurance that additional financing will be available on acceptable terms or at all, if and when required.

 

 

Our projected revenues in 2024 rely on the scaling of the our new 4G LTE GPS SmartSole^® and the introduction of the Gun Alert product to local state and federal government agencies, adding subscribers, increasing our military business, growing our OEM and IP monetization business, and continuing the sales of related medical, health and wellness products and supplies.

 

Our revenue projections for 2023 assumed that the revenues we generate from the SmartSole, including subscriptions will increase from the amount generated in 2022 and that our other business units will grow accordingly. However, we cannot predict the future and continued market acceptance of the SmartSole and new Gun Alerts product lines. Accordingly, it is uncertain whether our revenues will equal our internally projected levels. Failure to reach our target revenue levels will materially, and adversely, affect our financial condition.

 

With the acquisition of Level 2 Security, LLC, and their Gun Alert product, in the 3rd quarter of 2023, we expect that this product line will help us grow in 2024.

 

The nature of our business is speculative and dependent on a number of variables beyond our control that cannot be reliably ascertained in advance.

 

The revenues and profits of an enterprise involved in the location based business are generally dependent upon many variables. Our customer appeal depends upon factors which cannot be reliably ascertained in advance and over which we have no control, such as unpredictable customer and media reviews, industry analyst commentaries, and comparisons to competitive products. As with any relatively new business enterprise operating in a specialized and intensely competitive market, we are subject to many business risks which include, but are not limited to, unforeseen marketing difficulties, excessive research and development expenses, unforeseen negative publicity, competition, product liability issues, manufacturing and logistical difficulties, and lack of operating experience. Many of the risks may be unforeseeable or beyond our control. There can be no assurance that we will successfully implement our business plan in a timely or effective manner, that we will be able to generate sufficient interest in our products, or that we will be able to market and sell enough products and services to generate sufficient revenues to continue as a going concern.

 

Our wireless location products and technologies have to continuously evolve and respond to market changes. If we are unable to commercially release products that are accepted in the market or that generate significant revenues, our financial results will continue to suffer.

 

Wireless technology is rapidly changing, as are the products that our customers are demanding. In order to be able to provide our customers with the products and services that they desire, we too must continuously develop and offer new and improved products and services. We have attempted to adjust our product offerings to address changing market conditions by offering products such as proprietary GPS enabled transport containers, footwear location products, and a variety of smartphone location Apps, secure backpacks, etc. These products have met with short-term or limited commercial success, and there can be no assurances that consumer or commercial demand for our future products will meet, or even approach, our expectations. In addition, our pricing and marketing strategies may not be successful. Lack of customer demand, a change in marketing strategy and changes to our pricing models could dramatically alter our financial results. Unless we are able to release location based products that meet a significant market demand, we will not be able to improve our financial condition or the results of our future operations.

 

In order for our products to be successful, we need to establish market recognition quickly, following the introduction of our products.

 

We believe it is imperative to our success that we obtain significant market recognition to compete in our various markets. Accordingly, it is important that we establish market recognition for our brands in order to be able to continue to be a material participant in the large markets that we are addressing. To date, we have utilized various marketing and free media exposure with our international distributors to build market recognition for our products. However, because of our lack of funding and limited resources, our ability to quickly establish our brands may be severely hampered.

 

 

We may encounter manufacturing or assembly problems for our products, which would adversely affect our results of operations and financial condition.

 

To date, we have only manufactured a limited number of products. In addition, we are continually redesigning and enhancing our products and we are designing new products based on that technology that we hope to manufacture and market in the near future. The manufacture and assembly of our products involves complex and precise processes, some of which have subcontracted to other companies and consultants. To date, we have experienced some quality issues with the limited production of some of our initial products. Although we continue to address these issues, we have only manufactured a limited quantity of products and so we do not yet know whether we will encounter any serious problems in the production of larger quantities of our existing or new products. Any significant problems in manufacturing, assembling or testing our products could delay the sales of our products and have an adverse impact on our business and prospects. The willingness of manufacturers to make the product, or lack of availability of manufacturing capacity, may have an adverse impact on the availability of our products and on our ability to sell our products. Manufacturing difficulties will harm our ability to compete and adversely affect our results of operations and financial condition, and may hinder our ability to grow our business as we expect.

 

We primarily depend upon two manufacturers for the components of our SmartSole and if we encounter problems with these manufacturers there is no assurance that we could obtain products from other manufacturers without significant disruptions to our business.

 

The principal components and subassemblies of our products are currently manufactured for us by two manufacturers, one in the U.S. and the other an OEM licensed manufacturer in Europe. Although we could arrange for other manufacturers to supply these components and subassemblies, there is no assurance that we could do so without undue cost, expense and delay. If our manufacturers are unable to provide us with adequate supplies of high-quality components on a timely and cost-efficient basis, our operations will be disrupted and our net revenue and profitability will suffer. Moreover, if those manufacturers cannot consistently produce high-quality products that are free of defects, we may experience a high rate of product returns, which would also reduce our profitability and may harm our reputation and brand. Although we believe that we could locate alternate contract manufacturers, our operations would be impacted until alternate manufacturers are found.

 

Our markets are highly competitive, and our failure to compete successfully would limit our ability to sell our products, attract and retain customers and grow our business.

 

Our markets are highly competitive, and we expect that both direct and indirect competition will increase in the future. Within each of our markets, we encounter direct competition from various larger U.S. and non-U.S. competitors. The adoption of new technology in the communications industry likely will intensify the competition for improved wireless location technologies. The wireless location services market has historically been dominated by large companies, such as Siemens AG, AT&T and Assa Abloy. In addition, a number of other companies such as Trimble Navigation, Zoomback, Verizon, FireFly, Disney, Mattel, Digital Angel Corporation, Location-Based Technologies, Inc. and WebTech Wireless Inc. either have announced plans for new products or have commenced selling products that are similar to our wireless location products, and new competitors are emerging both in the U.S. and abroad to compete with our wireless location services products. Due to the rapidly evolving markets in which we compete, additional competitors with significant market presence and financial resources may enter those markets, thereby further intensifying competition, adversely affecting our sales, and adversely affecting our business and prospects.

 

We may not be successful in developing our new products and services.

 

The market for telecommunications-based products and services is characterized by rapid technological change, changing customer needs, frequent new product introductions and evolving industry standards. These market characteristics are exacerbated by the emerging nature of this market and the fact that many companies are expected to continually introduce new and innovative products and services. Our success will depend partially on our ability to introduce new products, services, and technologies continually and on a timely basis and to continue to improve the performance, features and reliability of our products and services in response to both evolving demands of prospective customers and competitive products. There can be no assurance that any of our new or proposed products or services will maintain the limited market acceptance that we have to date established. Our failure to design, develop, test, market and introduce new and enhanced products, technologies and services successfully so as to achieve market acceptance could have a material adverse effect upon our business, operating results and financial condition.

 

 

There can be no assurance that we will not experience difficulties that could delay or prevent the successful development, introduction, or marketing of new or enhanced products and services, or that our new products and services will adequately satisfy the requirements of prospective customers and achieve significant acceptance by those customers. Because of certain market characteristics, including technological change, changing customer needs, frequent new product and service introductions and evolving industry standards, the continued introduction of new products and services is critical. Delays in the introduction of new products and services may result in customer dissatisfaction and may delay or cause a loss of revenue. There can be no assurance that we will be successful in developing new products or services or improving existing products and services that respond to technological changes or evolving industry standards.

 

In addition, new or enhanced products and services introduced by us may contain undetected errors that require significant design modifications. This could result in a loss of customer confidence which could adversely affect the use of our products, which in turn, could have a material adverse effect upon our business, results of operations or financial condition.

 

Our software products are complex and may contain unknown defects that could result in numerous adverse consequences, resulting in costly litigation or diverting management’s attention and resources.

 

Complex software products such as those associated with our products often contain latent errors or defects, particularly when first introduced, or when new versions or enhancements are released. We have experienced and addressed errors and defects in the software associated with our products, but do not believe these errors will have a material negative effect in the future on the functionality of the products. However, there can be no assurance that, despite testing, additional defects and errors will not be found in the current version, or in any new versions or enhancements of this software or any of our products, any of which could result in damage to our reputation, the loss of sales, a diversion of our product development resources, and/or a delay in market acceptance, and thereby materially adversely affecting our business, operating results and financial condition. Furthermore, there can be no assurance that our products will meet all of the expectations and demands of our customers. The failure of our products to perform to customer expectations could give rise to warranty claims. Any of these claims, even if not meritorious, could result in costly litigation or divert management’s attention and resources. Any product liability insurance that we may carry could be insufficient to protect us from all liability that may be imposed under any asserted claims.

 

If we are not able to take advantage of developments in technology and address changing consumer demand on a timely basis, we may experience a decline in the demand for our services, be unable to implement our business strategy and experience reduced profits.

 

Our industries are rapidly changing as new technologies are developed that offer consumers an array of choices for their location-based needs and allow new entrants into the markets we serve. In order to grow and remain competitive, we will need to adapt to future changes in technology, enhance our existing offerings and introduce new offerings to address our customers’ changing demands. If we are unable to meet future challenges from competing technologies on a timely basis or at an acceptable cost, we could lose customers to our competitors. We may not be able to accurately predict technological trends or the success of new services in the market.

 

The deployment of our 4G network is subject to a variety of risks, though less due to its maturing proliferation, including those related to equipment and spectrum availability, unexpected costs, and regulatory permitting requirements that could cause deployment delays or network performance issues. These issues could result in significant costs or reduce the anticipated benefits of the enhancements to our products. If our services fail to gain acceptance in the marketplace, or if costs associated with the implementation and introduction of these services materially increase, our ability to retain and attract customers could be adversely affected.

 

 

In addition to introducing new offerings and technologies, we must phase out outdated and unprofitable technologies and services. If we are unable to do so on a cost-effective basis, we could experience reduced profits. In addition, there could be legal or regulatory restraints on our ability to phase out current services.

 

However, in territories such as Ecuador, where we have a distributor, 4G has not been completely rolled out, making it where there are some market penetration limitations, which risks, we expect to mitigate as 4G becomes more widely used.

 

We cannot accurately predict our future revenues and expenses.

 

We are currently developing various sources of revenues based on market conditions and the type of products that we are marketing. Our sales will not become stable and predictable until we either have a larger installed base of users for our tracking devices (which will provide us with predictable, monthly revenues), we enter into other license agreements that provide us with regular royalties or subscription revenues, or we consummate other large scale enterprise contracts. As such, the amount of revenues we receive from the sale and use of our products, our subscriptions, and our licensing agreements, will fluctuate and depend upon our customer’s willingness to buy our products, and for our partner’s abilities to sell the products that contain our technology. As with any developing enterprise operating in a specialized and intensely competitive market, we are subject to many business risks which include, but are not limited to, unforeseen negative publicity, competition, product liability and lack of operating experience. Many of the risks may be unforeseeable or beyond our control. There can be no assurance that we will successfully implement our business plan in a timely manner, or generate sufficient interest in our products or services, or that we will be able to market and sell enough products and services to generate sufficient revenues to continue as a going concern.

 

Our expense levels in the future will be based, in large part, on our expectations regarding future revenue, and as a result net income/loss for any quarterly period in which material orders are delayed could vary significantly. In addition, our costs and expenses may vary from period to period because of a variety of factors, including our research and development costs, our introduction of new products and services, cost increases from third-party service providers or product manufacturers, production interruptions, changes in marketing and sales expenditures, and competitive pricing pressures.

 

There are risks of international sales and operations.

 

We anticipate that a growing, and potentially substantial portion of our future revenue from the sale of our products and services may be derived from customers located outside the United States. As such, a portion of our sales and operations could be subject to tariffs and other import-export barriers, currency exchange risks and exchange controls, foreign product standards, potentially adverse tax consequences, longer payment cycles, problems in collecting accounts receivable, political instability, and difficulties in staffing and managing foreign operations. Although we intend to monitor our exposure to currency fluctuations and currently the U.S. dollar is very strong giving us a significant buying advantage, there can be no assurance that exchange rate fluctuations will not have an adverse effect on our results of operations or financial condition. In the future, we could be required to sell our products and services in other currencies, which would make the management of currency fluctuations more difficult and expose our business to greater risks in this regard.

  

Our products may be subject to numerous foreign government standards and regulations that are continually being amended. Although we will endeavor to satisfy foreign technical and regulatory standards, there can be no assurance that we will be able to comply with foreign government standards and regulations, or changes thereto, or that it will be cost effective for us to redesign our products to comply with such standards or regulations. Our inability to design or redesign products to comply with foreign standards could have a material adverse effect on our business, financial condition and results of operations.

 

Because of the global nature of the telecommunications business, it is possible that the governments of other states and foreign countries might attempt to regulate our transmissions or prosecute us for violations of their laws. There can be no assurance that violations of local laws will not be alleged by state or foreign governments, that we might not unintentionally violate such law, or that such laws will not be modified, or new laws enacted, in the future.

 

Any of the foregoing factors could have a material adverse effect on our business, results of operations, and financial condition.

 

 

If we fail to develop and maintain an effective system of internal controls, we may not be able to accurately report our financial results or prevent fraud. As a result, our current and potential stockholders could lose confidence in our financial reports, which could harm our business and the trading price of our common stock.

 

Effective internal controls are necessary for us to provide reliable financial reports and effectively prevent fraud. Section 404 of the Sarbanes-Oxley Act of 2002 requires us to evaluate and report on our internal controls over financial reporting and, depending on our future growth, may require our independent registered public accounting firm to annually attest to our evaluation, as well as issue their own opinion on our internal controls over financial reporting. The process of implementing and maintaining proper internal controls and complying with Section 404 is expensive and time consuming. We cannot be certain that the measures we will undertake will ensure that we will maintain adequate controls over our financial processes and reporting in the future. Furthermore, if we are able to rapidly grow our business, the internal controls that we will need will become more complex, and significantly more resources will be required to ensure our internal controls remain effective. Failure to implement required controls, or difficulties encountered in their implementation, could harm our operating results or cause us to fail to meet our reporting obligations. If we or our auditors discover a material weakness in our internal controls, the disclosure of that fact, even if the weakness is quickly remedied, could diminish investors’ confidence in our financial statements and harm our stock price. In addition, non-compliance with Section 404 could subject us to a variety of administrative sanctions, including the suspension of trading, ineligibility for future listing on one of the Nasdaq Stock Markets or national securities exchanges, and the inability of registered broker-dealers to make a market in our common stock, which may reduce our stock price.

 

We may suffer from product liability claims.

 

Faulty operation of our products may result in product liability claims brought against us. Regardless of the merit or eventual outcome, product liability claims may materially adversely affect our business and further result in:

 

	●	decreased demand for our products or withdrawal of the products from the market;
	●	injury to our reputation and significant media attention;
	●	costs of litigation; and
	●	substantial monetary awards to plaintiffs.

 

We have purchased annual product liability insurance with liability limits of $1,000,000 per occurrence and $2,000,000 in the aggregate. This coverage may not be sufficient to fully protect us against product liability claims. We intend to expand our product liability insurance coverage as sales of our products expand. Our inability to obtain sufficient product liability insurance at an acceptable cost to protect against product liability claims could prevent or limit the commercialization of our products and expose us to liability in excess of our coverage.

 

 

Our ability to compete could be jeopardized and our business seriously compromised if we are unable to protect ourselves from third-party challenges or infringement of the proprietary aspects of the wireless location products and technology we develop.

 

Our products utilize a variety of proprietary rights that are critical to our competitive position. Because the technology and intellectual property associated with our wireless location products are evolving and rapidly changing, our current intellectual property rights may not adequately protect us in the future. We rely on a combination of patent, copyright, trademark and trade secret laws and contractual restrictions to protect the intellectual property utilized in our products. Despite our efforts to protect our proprietary rights, unauthorized parties may attempt to copy or otherwise obtain and use our products or technology. In addition, monitoring unauthorized use of our products is difficult and we cannot be certain the steps we have taken will prevent unauthorized use of our technology. Also, it is possible that no additional patents or trademarks will be issued from our currently pending or future patent or trademark applications. Because legal standards relating to the validity, enforceability and scope of protection of patent and intellectual property rights are uncertain and still evolving, the future viability or value of our intellectual property rights is uncertain. Moreover, effective patent, trademark, copyright and trade secret protection may not be available in some countries in which we distribute or anticipate distributing our products. Furthermore, our competitors may independently develop similar technologies that limit the value of our intellectual property, design or patents. In addition, third parties may at some point claim certain aspects of our business infringe their intellectual property rights. While we are not currently subject to nor aware of any such claim, any future claim (with or without merit) could result in one or more of the following:

 

	●	Significant litigation costs;
	●	Diversion of resources, including the attention of management;
	●	Our agreement to pay certain royalty and/or licensing fees;
	●	Cause us to redesign those products that use such technology; or
	●	Cessation of our rights to use, market, or distribute such technology.

 

Any of these developments could materially and adversely affect our business, results of operations and financial condition. In the future, we may also need to file lawsuits to enforce our intellectual property rights, to protect our trade secrets, or to determine the validity and scope of the proprietary rights of others. Whether successful or unsuccessful, such litigation could result in substantial costs and diversion of resources. Such costs and diversion could materially and adversely affect our business, results of operations and financial condition.

 

We depend on our key personnel to manage our business effectively in a rapidly changing market. If we are unable to retain our key employees, our business, financial condition and results of operations could be harmed.

 

Our future success depends to a significant degree on the skills, efforts and continued services of our executive officers and other key engineering, manufacturing, operations, sales, marketing and support personnel. If we were to lose the services of one or more of our key executive officers or other key engineering, manufacturing, operations, sales, marketing and support personnel, we may not be able to grow our business as we expect, and our ability to compete could be harmed, adversely affecting our business and prospects.

 

Our products depend on continued availability of GPS and cellular wireless telecommunications systems.

 

Our products use existing GPS and cellular wireless telecommunications systems to identify the position of our products. Any temporary or permanent change in the availability of these systems, or any material change in the existing infrastructure and our ability to access those systems, would materially and adversely affect our business, operating results and financial condition may be materially and adversely affected.

 

 

Rapid technological change in our market and/or changes in customer requirements could cause our products to become obsolete or require us to redesign our products, which would have a material adverse effect on our business, operating results and financial condition.

 

The market for our products is characterized by rapid technological change, frequent new product introductions and enhancements, uncertain product life cycles, changing customer demands and evolving industry standards, any of which can render existing products obsolete. We believe that our future success will depend in large part on our ability to develop new and effective products in a timely manner and on a cost-effective basis. As a result of the complexities inherent in our products, major new products and product enhancements can require long development and testing periods, which may result in significant delays in the general availability of new releases or significant problems in the implementation of new releases. In addition, if we or our competitors announce or introduce new products our current or future customers may defer or cancel purchases of our products, which could materially adversely affect our business, operating results and financial condition. Our failure to develop successfully, on a timely and cost-effective basis, new products or new product enhancements that respond to technological change, evolving industry standards or customer requirements would have a material adverse effect on our business, operating results and financial condition.

 

Changes in the government regulation of our wireless location products or wireless carriers could harm our business.

 

Our products, wireless carriers and other components of the communications industry are subject to domestic government regulation by the Federal Communications Commission (the “FCC”) and international regulatory bodies. If we are unable to satisfy all of the regulations of the FCC or any other regulatory body, we could be prevented from releasing one or more of our products, which could materially and adversely affect our future revenues. In addition, any delay in obtaining FCC and other regulatory approval could likewise have a negative impact on our business and on our relationships with our customers. These regulatory bodies could enact regulations that affect our products or the service providers which distribute our products, such as limiting the scope of the service providers’ market, capping fees for services provided by them or imposing communication technology standards which impact our products. Changes in these regulations could affect our products and, thereby, adversely affect our business and operations.

 

Future acquisitions or strategic investments may not be successful and may harm our operating results.

 

As part of our strategy, we have acquired or established smaller businesses, and we may do so in the future. For example, in 2023 we acquired Level 2 Security, LCC, which is now Level 2 Security Products, Inc., a 100% owned subsidiary. Future acquisitions or strategic investments could have a material adverse effect on our business and operating results because of:

 

	●	The assumption of unknown liabilities, including employee obligations. Although we normally conduct extensive legal and accounting due diligence in connection with our acquisitions, there are many liabilities that cannot be discovered, and which liabilities could be material.
	●	We may become subject to significant expenses related to bringing the financial, accounting and internal control procedures of the acquired business into compliance with U.S. GAAP financial accounting standards and the Sarbanes Oxley Act of 2002.
	●	Our operating results could be impaired as a result of restructuring or impairment charges related to amortization expenses associated with intangible assets.
	●	We could experience significant difficulties in successfully integrating any acquired operations, technologies, customers’ products and businesses with our existing operations.
	●	Future acquisitions could divert substantial capital and our management’s attention.
	●	We may not be able to hire the key employees necessary to manage or staff the acquired enterprise operations.

 

 

Our executive officers and directors have the ability to significantly influence matters submitted to our stockholders for approval.

 

As of May 17, 2024, our executive officers and directors, in the aggregate, beneficially own shares representing approximately 0.5971% of our common stock as well as super voting rights due to the Directors’ ownership of Preferred A shares (see Footnote #13 of our Financial Statements included herein). Beneficial ownership includes shares over which an individual or entity has investment or voting power and includes shares that could be issued upon the exercise of options and warrants within 60 days after the date of determination. On matters submitted to our stockholders for approval, holders of our common stock are entitled to one vote per share. If our executive officers and directors choose to act together, they would have significant influence over all matters submitted to our stockholders for approval, as well as our management and affairs. For example, these individuals, if they chose to act together, would have significant influence on the election of directors and approval of any merger, consolidation or sale of all or substantially all of our assets. This concentration of voting power could delay or prevent an acquisition of our company on terms that other stockholders may desire.

 

Failure to manage growth effectively could adversely affect our business, results of operations and financial condition.

 

The success of our future operating activities will depend upon our ability to expand our support system to meet the demands of our growing business. Any failure by our management to effectively anticipate, implement, and manage changes required to sustain our growth would have a material adverse effect on our business, financial condition, and results of operations. We cannot assure you that we will be able to successfully operate acquired businesses, become profitable in the future, or effectively manage any other change.

 

RISKS RELATED TO AN INVESTMENT IN OUR SECURITIES

 

The resale of shares by the holders of our convertible promissory notes and our other investors could depress the market price of our common stock.

 

We have issued a substantial amount of convertible promissory notes in the recent past to fund our working capital and other financial needs and may need to do so in the future. A number of the holders of these convertible notes have been converting these promissory notes into shares of our common stock. In addition, a substantial additional number of shares are issuable upon the conversion of currently outstanding convertible notes. The resale of a significant number of these shares into the public market by the investors could depress the market price of our common stock.

 

Our convertible notes may be converted into shares of our common stock at less than the then-prevailing market price for our common stock if the lenders chooses to convert the notes.

 

As of December 31, 2023, we had short term convertible notes with outstanding principal balances totaling $1,490,930 some of which can potentially be convertible into shares of the Company’s common stock at prices less than the then-prevailing market price. The lenders for these convertible notes have a financial incentive to convert the notes and realize the profit equal to the difference between the conversion price and the market price. If the convertible notes are converted, the price of our common stock could decrease. See further discussion regarding the conversion features of our convertible debentures in footnote 8 of our Financial Statements included herein.

 

During 2023, we converted notes payable with principal balances of approximately $73,469 owed to various investors and employees into 7,421,137 shares of our common stock. Our average market price during 2023 was $0.0950 per share. Although our goal is to limit future issuances of such convertible notes, no assurance can be given that we will not have to raise funds from these types of investments in the future.

 

Our common stock is thinly traded and the price of our common stock may be negatively impacted by factors that are unrelated to our operations.

 

Our common stock is currently quoted on the OTC Pink Open Market (the “Pinks”). Trading of our stock through the Pinks is frequently thin and highly volatile. The market price of our common stock could fluctuate substantially due to a variety of factors, including market perception of our ability to achieve our business objectives, trading volume in our common stock, changes in general conditions in the economy and the financial markets, or other developments which affect us or our industry. In addition, the stock market is subject to extreme price and volume fluctuations. This volatility has had a significant effect on the market price of securities issued by many companies for reasons unrelated to their operating performance and could have the same effect on our common stock.

 

 

When we issue additional shares in the future, it will likely result in the dilution of our existing stockholders.

 

Our articles of incorporation authorizes the issuance of up to 2,071,000,000 shares of common stock with a $0.0001 par value, of which 32,445,931 common shares were issued and outstanding as of December 31, 2023 (we also are authorized to issue 10,000,000 preferred shares with a par value of $0.0001, 13,846 of which have been issued and are outstanding Series-A, 3 of which have been issued and outstanding Series-B, 6 of which have been issued and outstanding Series-C), and 15,000 of which have been issued and outstanding Series-D). From time to time we may increase the number of shares available for issuance in connection with our equity compensation plans. Our board of directors may fix and determine the designations, rights, preferences or other variations of each class or series within each class of preferred stock and may choose to issue some or all of such shares to provide additional financing or acquire more businesses in the future.

 

The issuance of any shares for acquisition, licensing or financing efforts, upon conversion of any preferred stock or exercise of warrants and options, pursuant to our equity compensation plans, or otherwise may result in a reduction of the book value and market price of the outstanding shares of our common stock. If we issue any such additional shares, such issuance will cause a reduction in the proportionate ownership and voting power of all current stockholders.

 

Financial Industry Regulatory Authority (FINRA) sales practice requirements may also limit a stockholder’s ability to buy and sell our common stock.

 

The Financial Industry Regulatory Authority (“FINRA”) has adopted rules that require that in recommending an investment to a customer, a broker-dealer must have reasonable grounds for believing that the investment is suitable for that customer. Prior to recommending speculative low priced securities to their non-institutional customers, broker-dealers must make reasonable efforts to obtain information about the customer’s financial status, tax status, investment objectives and other information. Under interpretations of these rules, FINRA believes that there is a high probability that speculative low priced securities will not be suitable for at least some customers. FINRA requirements make it more difficult for broker-dealers to recommend that their customers buy our common stock, which may limit your ability to buy and sell our stock and have an adverse effect on the market for our shares.

 

We have never paid dividends on our common stock and do not anticipate paying any in the foreseeable future.

 

We have never declared or paid a cash dividend on our common stock and we do not expect to pay cash dividends in the foreseeable future. If we do have available cash, we intend to use it to grow our business. Our payment of any future dividends will be at the discretion of our board of directors after taking into account various factors, including but not limited to our financial condition, operating results, cash needs, growth plans and the terms of any credit agreements that we may be a party to at that time. In addition, our ability to pay dividends on our common stock may be limited by Nevada corporate law. Accordingly, investors must rely on sales of their common stock after price appreciation, which may never occur, as the only way to realize a return on their investment. Investors seeking cash dividends should not purchase our common stock.

 

The elimination of monetary liability against our directors, officers and employees under Nevada law and the existence of indemnification rights to our directors, officers and employees may result in substantial expenditures by us and may discourage lawsuits against our directors, officers and employees.

 

Our Amended and Restated Bylaws contain specific provisions that eliminate the liability of our directors for monetary damages to our company and stockholders, and permit indemnification of our directors and officers to the extent provided by Nevada law. We may also have contractual indemnification obligations under our employment agreements with our officers. The foregoing indemnification obligations could result in our company incurring substantial expenditures to cover the cost of settlement or damage awards against directors and officers, which we may be unable to recoup. These provisions and resultant costs may also discourage our company from bringing a lawsuit against directors and officers for breaches of their fiduciary duties, and may similarly discourage the filing of derivative litigation by our stockholders against our directors and officers even though such actions, if successful, might otherwise benefit our company and stockholders.

 

 

You may have difficulty selling our shares because they are deemed “penny stocks.”

 

Our common stock is currently quoted on the Pinks under the symbol “MLRT.” Since our common stock is not listed on a national securities exchange, if the trading price of our common stock remains below $5.00 per share, trading in our common stock will be subject to the requirements of certain rules promulgated under the Exchange Act, which require additional disclosure by broker-dealers in connection with any trades involving a stock defined as a penny stock (generally, any non-national securities exchange equity security that has a market price of less than $5.00 per share, subject to certain exceptions). The additional burdens imposed upon broker-dealers could discourage broker-dealers from effecting transactions in our common stock, which could severely limit the market liquidity of the common stock and the ability of holders of the common stock to sell their shares.

 

Stockholders should be aware that, according to SEC Release No. 34-29093, the market for penny stocks has suffered in recent years from patterns of fraud and abuse. Such patterns include (1) control of the market for the security by one or a few broker-dealers that are often related to the promoter or issuer; (2) manipulation of prices through pre-arranged matching of purchases and sales and false and misleading press releases; (3) boiler room practices involving high-pressure sales tactics and unrealistic price projections by inexperienced sales persons; (4) excessive and undisclosed bid-ask differential and markups by selling broker-dealers; and (5) the wholesale dumping of the same securities by promoters and broker-dealers after prices have been manipulated to a desired level, along with the resulting inevitable collapse of those prices and with consequent investor losses. Our management is aware of the abuses that have occurred historically in the penny stock market. Although we do not expect to be in a position to dictate the behavior of the market or of broker-dealers who participate in the market, management will strive within the confines of practical limitations to prevent the described patterns from being established with respect to our securities. The occurrence of these patterns or practices could increase the volatility of our share price.

 

ITEM 1B.

UNRESOLVED STAFF COMMENTS

 

None

 

ITEM 1C.

CYBERSECURITY

 

At MetAlert, we recognize the critical importance of maintaining the trust and confidence of our customers, partners, and employees.

 

Our operations utilize multiple information systems, including accounting software, multiple selling platforms (SHOPIFY, AMAZON) and banking platforms. In the ordinary course of our business, we collect, DO NOT collect, process, transmit, disclose, and retain personal information regarding our employees, vendors, contractors, and customers (which can include social security numbers, social insurance numbers, banking and tax identification information, health care information for employees, and credit card information).

 

To protect the information that we gather and the availability of our information systems from cybersecurity threats, we have an ongoing cybersecurity risk mitigation program, which includes maintaining up-to-date detection, prevention and monitoring systems. We define a cybersecurity threat as any potential unauthorized occurrence on or conducted through our information systems or information systems of a third party that we utilize in our business that may result in adverse effects on the confidentiality, integrity or availability of our information systems or any information residing therein.

 

We comply with the annual PCI DSS survey report. We have filed and maintained our compliance for the past ten years. The Payment Card Industry Data Security Standard (PCI DSS) is an information security standard used to handle credit cards from major card brands. The standard is administered by the Payment Card Industry Security Standards Council, and its use is mandated by the card brands. It was created to better control cardholder data and reduce credit card fraud. Validation of compliance is performed annually or quarterly with a method suited to the volume of transactions:^[1]

 

	●	Self-assessment questionnaire (SAQ)
	●	Firm-specific Internal Security Assessor (ISA)
	●	External Qualified Security Assessor (QSA)

 

 

Our cybersecurity risk management program includes:

 

	-	Risk assessments designed to help identify material cybersecurity risks to our critical systems, information, products, services, and our broader enterprise IT environment and;
	-	Company leadership managing our cybersecurity security controls, and response to cybersecurity incidents.

 

The Audit Committee reports to the full board of directors regarding its activities, including those related to cybersecurity.

 

Our management team is responsible for assessing and managing our material risks from cybersecurity threats. The team has primary responsibility for our overall cybersecurity risk management program.

 

We have not encountered any risks from cybersecurity threats, including as a result of any previous cybersecurity incidents, that have materially affected or are reasonably likely to affect us, including our business strategy, results of operations or financial condition. Notwithstanding the extensive approach we take to cybersecurity, we may not be successful in preventing or mitigating a cybersecurity incident that could have a material adverse effect on us cybersecurity laws and regulations could cause us to face litigation and penalties that could adversely affect our business, financial conditions, and results of operations.”).

 

ITEM 2.

DESCRIPTION OF PROPERTIES

 

We have executive, administrative, and operating offices at 117 W 9^th Street, Suite 1214, Los Angeles, California 90015. Our office space is approximately 1,600 square feet and consists of executive and administrative workspace for a base rent of $1,450 per month, on a month-to-month basis.

 

ITEM 3.

LEGAL PROCEEDINGS

 

From time to time, we may be involved in routine legal proceedings, as well as demands, claims and threatened litigation that arise in the normal course of our business. The ultimate amount of liability, if any, for any claims of any type (either alone or in the aggregate) may materially and adversely affect our financial condition, results of operations and liquidity. In addition, the ultimate outcome of any litigation is uncertain. Any outcome, whether favorable or unfavorable, may materially and adversely affect us due to legal costs and expenses, diversion of management attention and other factors. We expense legal costs in the period incurred. We cannot assure you that additional contingencies of a legal nature or contingencies having legal aspects will not be asserted against us in the future, and these matters could relate to prior, current or future transactions or events.

 

We are not currently a party to any material legal proceedings. We are not aware of any pending or threatened litigation against us that we expect will have a material adverse effect on our business, financial condition, liquidity, or operating results. However, legal claims are inherently uncertain, and we cannot assure you that we will not be adversely affected in the future by legal proceedings.

 

ITEM 4.

MINE SAFETY DISCLOSURES

 

Not applicable

 

 

PART II

 

ITEM 5.

MARKET FOR COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

 

Market Information.

 

Our common stock is quoted on the over-the-counter market on the Pinks trading platform under the symbol “MLRT”. And first began trading on April 17, 2008. The following table sets forth the high and low sale prices for our common stock on the Pinks for the periods indicated. The quotations below reflect inter-dealer prices, without retail mark-up, mark down, or commission, and may not necessarily represent actual transactions:

 

		Year Ended
		December 31, 2023
		High				Low
Quarter ended March 31, 2023		$	0.3959			$	0.0325
Quarter ended June 30, 2023		$	0.1310			$	0.0551
Quarter ended September 30, 2023		$	0.1400			$	0.0401
Quarter ended December 31, 2023		$	0.0950			$	0.0396

 

		Year Ended
		December 31, 2022
		High				Low
Quarter ended March 31, 2022		$	0.0128			$	0.0067
Quarter ended June 30, 2022		$	0.0105			$	0.0069
Quarter ended September 30, 2022		$	0.5052			$	0.0063
Quarter ended December 31, 2022		$	0.4900			$	0.1400

 

Holders of Record.

 

As of December 31, 2023, an aggregate of 32,445,931 shares of our common stock were issued and outstanding and were owned by approximately 299 holders of record, based on information provided by our transfer agent. The foregoing number of record holders does not include an unknown number of stockholders who hold their stock in “street name”.

 

Recent Sales of Unregistered Securities.

 

The following is a summary of transactions involving sales of our securities that were not registered under the Securities Act of 1933, as amended (the “Securities Act”). Each offer and sale were exempt from registration under either Section 4(a)(2) of the Securities Act or Rule 506(b) under Regulation D of the Securities Act.

 

On January 19, 2023, an investor converted a note into 571,400 shares of common stock with a value of $5,714.

 

On January 23, 2023, employees converted 40,000 of notes into 4,269,600 shares of common stock with a value of $42,696.

 

On February 6, 2023, an investor converted a note into 812,671 shares of common stock with a value of $8,127.

 

On June 20, 2023, an investor converted a note into 577,877 shares of common stock with a value of $5,778.77.

 

On July 5, 2023, the Company issued 170,000 shares of common stock worth $22,780 to various consultants for services rendered.

 

 

On August 14, 2023, the Company registered an Offering Statement on a Form 1-A (“Reg A”). This offering relates to the sale of up to 13,335,000 shares of our common stock (the “Shares”) at a price of $0.10 per share, for total offering proceeds of up to $1,333,500 if all offered shares are sold.

 

On September 5, 2023, the Company issued 7,100,000 shares of common stock as part of the Level 2 Security acquisition, for a value of $347,900.

 

On September 6, 2023, an investor converted a note into 1,189,589 shares of common stock with a value of $11,896.

 

On October 6, 2023, the Company issued common stock of 250,000 shares with a fair value of $17,500 to a consultant for services.

 

On December 21, 2023, the Company issued 325,000 shares of common stock worth $16,218 to various consultants for services rendered.

 

Repurchase of Equity Securities.

 

None

 

Dividends.

 

We have never declared or paid cash dividends on our capital stock ad we do not anticipate declaring or paying cash dividends on our capital stock in the foreseeable future. Any payments of cash dividends will be at the discretion of our board of directors, and will depend upon our results of operations, earnings, capital requirements, legal and contractual restrictions, and other factors deemed relevant by our board of directors.

 

Equity Compensation Plan Information.

 

On March 14, 2008, we adopted the 2008 Equity Compensation Plan (the “2008 Plan”) pursuant to which were authorized to grant stock options, stock awards and stock appreciation rights of up to 7,000,000 shares of common stock to our employees, officers, directors and consultants. The 2008 Plan is administered by the Board of Directors of the Company.

 

		Number of securities to be issued upon exercise of outstanding options				Weighted-average exercise price of outstanding options				Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a))
			(a)
2023
Equity compensation plans approved by security holders			-			$	-				2,234,877
Equity compensation plans not approved by security holders			-				-				-
Total			-			$	-				2,234,877

 

ITEM 6.

SELECTED FINANCIAL DATA.

 

Not applicable to a “smaller reporting company” as defined in Item 10(f)(1) of SEC Regulation S-K.

 

 

ITEM 7.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

 

The following discussion and analysis of our financial condition and results of operations should be read together with the audited financial statements and related notes included elsewhere in this registration statement. Certain statements contained in this registration statement, including statements regarding the anticipated development and expansion of our business, our intent, belief or current expectations, primarily with respect to the future operating performance of our company and the products and services we expect to offer and other statements contained herein regarding matters that are not historical facts, are “forward-looking” statements. Our Management’s Discussion and Analysis contains not only statements that are historical facts, but also forward-looking statements which involve risks, uncertainties, and assumptions. Because forward-looking statements are inherently subject to risks and uncertainties, our actual results may differ materially from the results discussed in the forward-looking statements.

 

Overview

 

Headquartered in Los Angeles, MLRT has developed a suite of products and solutions, powered by a proprietary real time tracking technology platform, allowing remote monitoring, location-based tracking, and health data collection of humans, and theft recovery for high value assets. Many of the products have a wide range of applications, focusing on addressing two pressing global problems: remote patient monitoring for people with cognitive decline and gun safety and recovery for firearm owners.

 

The Company was originally founded in 2002 as Global Trek Xploration, Inc. and, as part of a reverse merger, became publicly traded in 2008 as a 100% wholly owned subsidiary of GTX Corp, a Nevada corporation, under its former name “Deeas Resources Inc.” In September 2022, the public Company changed its name from GTX Corp to MetAlert, Inc. and effected a 1-for-65 reverse stock split of its issued and outstanding stock (OTC Pinks: MLRT). Post name change the Company kept its 2 wholly owned subsidiaries. During the periods covered by this report, MetAlert, Inc. and its subsidiaries were engaged in business operations that design, manufacture and sell various interrelated and complementary products and services in the wearable technology and Personal Location Services marketplace. In September of 2023, we acquired Level 2 Security, LLC and merged it into a new 100% wholly owned subsidiary Level 2 Security Products, Inc. During that period, the operations of LOCiMobile, Inc., another 100% wholly owned subsidiary, was consolidated under Global Trek Xploration and the corporate entity was dissolved. MetAlert now owns 100% of the issued and outstanding capital stock of its two operating subsidiaries - Global Trek Xploration, Inc. and Level 2 Security Products, Inc. The LOCiMOBILE digital assets are now under the management of the parent company MetAlert and remain there, post dissolution, of the corporate entity (LOCiMobile, Inc.). The Company’s digital platform which has been at the forefront of Smartphone application (“App”) development since 2008 designs mobile applications that turn the iPhone, iPad, Android and other GPS enabled handsets into a tracking device which can then be tracked from any mobile device or through our proprietary tracking portal or on any connected device with internet access.

 

Global Trek Xploration, Inc. is a wearable technology company which designs, manufactures, sells, and distributes tracking and remote patient monitoring solutions for humans. Utilizing patent protected proprietary hardware, software, connectivity, Global Positioning System (“GPS”) and Bluetooth Low Energy (“BLE”) monitoring and tracking platform, which provides real-time tracking and monitoring of people. Utilizing a miniature quad-band GPRS transceiver, antenna, circuitry, battery and inductive charging pad our solutions can be customized and integrated into numerous products whose location and movement can be monitored in real time over the Internet through our 24x7 tracking portal or on a web enabled cellular telephone. Our core products and services are supported by an IP portfolio of patents, patents pending, registered trademarks, copyrights, URL’s and a library of software source code, all of which is managed by Global Trek.

 

Other technology that the Company has developed or resells includes health and safety monitoring products and wellness products that are complementary to our main product lines and general mission.

 

Level 2 Security Products, Inc. is in the high value non-human asset monitoring and recovery business for items such as firearms, vehicles, bikes, boats, ATVs, and a host of other valuable mobile assets which require oversight monitoring and theft recovery.

 

Operations

 

The Company designs, develops, manufactures, sells, and distributes health and safety monitoring products and services, along with other related medical supplies and equipment, and asset theft and recovery products and services, all through a global business to business (“B2B”) and business to consumer (“B2C”) network of resellers, affiliates, distributors, nonprofit organizations, local, state, and federal government agencies, police departments, manufacturers reps, retailers and direct to consumer. Offering a variety of electronic and non-electronic devices and equipment, a proprietary Internet of things (“IoT”) enterprise monitoring platform and a licensing subscription business model. The Company provides a complete end to end solution of hardware, middleware, apps, connectivity, licensing, and professional services, letting our customers know where or how someone, or something, is at the touch of a button, delivering safety, security, and peace of mind in real-time. Except for our military products and recently acquired Level 2 Security devices, all of our consumer and enterprise tracking products funnel into the MetAlert IoT monitoring platform which supports end user customers in over 35 countries. The Company is also in the business of licensing intellectual property, monetizing its patent portfolio, and providing backend infrastructure logistic and subscription management services.

 

 

Year in Review

 

Since 2008, we have been pioneering world class tracking and monitoring solutions for people with cognitive disorders, helping improve quality of life and in some cases save lives; and we have developed tracking and monitoring solutions for the U.S. military, so we see the expansion into the gun safety market as a perfect extension to our stated mission of providing practical and affordable technology solutions that can deliver lifesaving results.

 

During the reporting period of 2023 we took transformative steps to broaden our product line, expand our customer base, grow our government business, and increase our subscription revenue, by entering into the high value asset and firearm theft and recovery business. We successfully acquired Level 2 Security LLC, which we merged into our new 100% wholly owned subsidiary Level 2 Security Products, Inc. Management believes, this was a formidable step in solidifying the financial and operational position of the Company and encapsulates our vision to amplify recurring revenue streams while scaling the Company’s life-saving technology solutions and IP portfolio.

 

Included in the acquisition came two fully certified ready for commercial release products, bank balances, Intellectual Property, product inventory, digital collateral, an online store, an Amazon account, smartphone apps, and an ongoing research and development roadmap for possible future product releases. The strategic synergy from the merger enables us to expand our target market beyond those of humans with cognitive disorders and opens the doors to entirely new and much larger markets. The current estimate of firearms owned in the U.S. is over 400 million. The Level 2 proprietary technology can safeguard an extensive range of these mobile assets, and by integrating this with MetAlert’s infrastructure, the Company envisions fiscal improvements in the near term.

 

By tapping into this vast new market of gun safety and theft recovery, management believes this acquisition signifies a strategic investment in bolstering our short and long-term growth strategy and will broadly expand our reach into the arena of non-human asset tracking and theft recovery. This transaction represents a convergence of our core mission of delivering life-saving technology with a sharp focus on sustainable, long-term subscription-based revenue growth. The Company plans to start an immediate marketing and product awareness campaign to gun activist groups, gun safety groups, police departments, child safety advocate groups, gun stores and ranges, military supply lines, strategic partners and local, state and federal government agencies.

 

Within a few weeks of starting our marketing campaign we received and delivered our first commercial order for the GunAlert® firearm recovery device. The order came from Range USA which has 40+ locations across 10 states and is headquartered in Cincinnati Ohio. We have also sent out test units for evaluation to several police departments of which some have already replied back with interest and or compelling testimonials. As with all of our products, we sell both B2B and B2C and have already embarked on a direct-to-consumer marketing campaign across several social media platforms and Amazon.

 

The strategic timing for expanding into this market coincides well with the Office of Justice Programs (“OJP”) recent announcement of investing unprecedented resources in programs designed to reduce gun crime and community violence. Last September $100 million in grant funding was initiated under the Community Violence Intervention and Prevention Initiative making this the largest targeted federal investment for these strategies in history.

 

We are seeing numerous bills and laws being passed both at the state and federal level for subsidies to support gun safety solutions. This is quickly becoming part of a broader national conversation whereby politicians on both sides of the isle are looking to introduce legislation, for example the Biden Administration recently announced new executive actions to help promote safe gun storage in order to reduce gun violence. Gun violence is the leading cause of death of children in America and that is why the Administration is taking comprehensive action to prevent gun violence. Approximately 4.6 million children live in homes with unsecured firearms. Representatives Mark DeSaulnier (CA-10), Zoe Lofgren (CA-18), and Don Beyer (VA-08) announced the introduction of the Advancing Gun Safety Technology Act (H.R. 6697), a bill that would help bring life-saving gun safety technology to the market. Specifically, the bill would create a $10 million pilot program at the Department of Justice’s National Institute of Justice to support private-sector commercialization of gun safety technology. Recently, gun safety legislation was signed into law by Gov. Gretchen Whitmer, of Michigan, that took effect on Feb. 13, 2024, whereby Michiganders will be required to secure their firearms at home.

 

The list of government agencies, politicians and nonprofits supporting and funding gun safety is staggering. As part of our go to market strategy we have brought on retired police officers that can assist us with messaging, and grant approval procedures, so that we can become a approved vendor/supplier and recognized solution provider in the ever-growing national conversation on gun safety.

 

The Global Wearable Medical Devices Market is driven by the growing geriatric population which is susceptible to various chronic diseases. This has drastically increased the patient pool across the globe requiring diagnosis, treatment, and monitoring of their health conditions. This in turn is expected to increase the demand for various wearable medical devices used for health monitoring and diagnosis, thereby positively influencing the market growth over the next few years. MetAlert is committed to implementing technological advancements and adoption of AI, IoT, BLE, NFC and other technologies into its GPS SmartSole plus platform to bring about innovations in the wearable medical device industry, thereby propelling the market growth over the next decade.

 

 

During the reporting period of 2023, we also made some significant advancements with our SmartSole plus which went through rigorous testing at Intertek labs and obtained FCC and IEC certification. This enabled us to release some back orders to larger enterprise customers in Europe that required the final certification documentation. We also saw some improvements in our production capacity, and were able to streamline some manufacturing processes, thereby increasing our production quantities and enhancing our low inventory position.

 

After going through 2 years of production delays caused by post pandemic supply chain disruptions, labor shortages, and significant cost increases on electronic components, we concluded that we had to expand our sourcing and manufacturing capabilities, while also leveraging our IP portfolio, hence we set out to find a partner to license our technology and start manufacturing under an O.E.M. license. We are pleased to announce we entered into an OEM licensing agreement with Global Safe Tracks, a German based IT/GPS tracking company, to manufacture and distribute our GPS SmartSole technology in Europe. Global Safe Tracks under the license will manufacture a modified version of the GPS SmartSole that includes 2G technology as a fall back to 4G technology for use where 4G coverage has not been fully built out in some European countries. The European version shall be marketed and distributed under the brand name of “SafeSole” however Global Safe Tracks will also continue to market and distribute the 4G Cat M1 GPS SmartSole plus version made in the U.S.

 

As part of the agreement, Metalert shall also have the rights to distribute the OEM 4G/2G version under the GPS SmartSole trademark for its own distribution purposes across other countries that still do not have a fully robust 4G infrastructure. We believe this is a turning point with many benefits both short term and long term. Most importantly in the short term, this will increase the number of SmartSoles manufactured and help keep up with the growing demand, while at the same time we continue to evaluate ways to scale up production in the U.S. and bring down our costs with a stated mission to reduce costs by 10% to 18% and increase production capacity by 25% to 40%. This also provides us with a new income stream from licensing royalties that are attached to each pair of SmartSoles made in Germany and sold in Europe. Under the 3-year license agreement Global Safe Tracks will be manufacturing the SafeSole in Germany enabling a faster on demand delivery throughout Europe, while significantly reducing the associated tariff and shipping costs, in addition to opening up new markets where 4G is currently unavailable.

 

In the later half of 2023, we were able to see results from our OEM manufacturing in Germany and started to see an increase in inventory levels that would support our fulfillment of orders in Europe and the US. Overall, we still have some supply chain issues, but this was the first time since the launch of the SmartSole plus that we saw noticeable improvements in lead times, increases in inventory and shortening our time from order to delivery by 2-3 weeks, on average.

 

Prior to finalizing our OEM agreement, we were granted a new patent by the European Patent Office (EPO). This is the company’s first European utility patent in the GPS SmartSole family and covers various ways to design, protect and manufacture a GPS, Cellular, Bluetooth and Wi-Fi monitoring electronic device embedded inside an insole including the inductive charging unit. This is the fifth patent granted to Metalert around tracking and monitoring devices within footwear with particular protection on the insole format.

 

During the reporting period 2023, we also expanded our distribution in Latin America, and began delivering our SmartSoles and Take Along GPS Trackers into Ecuador to serve two different market sectors. The Company partnered with GLOBAL SEGURIDAD S.A, a security company providing security and monitoring services to VIP’s and other high-profile people who may be vulnerable to kidnapping, and FISIO Technology, a company dedicated to long-term health and well-being for patients afflicted with Alzheimer’s or related dementia. GLOBAL SEGURIDAD S.A, is a privately owned personal security business offering VIP clients 24/7 monitoring and video surveillance with armed response in case of break of entry, kidnappings, and security related activities. The company currently has 10 employees growing to 30 in 2024.

 

During the third quarter, the Company continued to work on the launch of Hands Free Health (HFH) which provides real-time telehealth access via Walmart Health Virtual Care (WHVC). We expect this business silo will help grow subscribers but also help with the SmartSole expansion plan. As we drive towards Medicare reimbursement, having access to a virtual doctor who could diagnose a person with Alzheimer’s or dementia should help facilitate access to SmartSoles by people who require financial assistance.

 

Despite lower total revenues as compared to the year ended 2022, we saw a 38% increase in overall sales, excluding PPE’s and the new GunAlert, with a 292% increase in direct-to-consumer orders that included a 90% increase in SmartSole sales and increases in domestic subscriptions of over 400%. Part of this domestic subscription increase was due to a post covid bump and getting customers back online. This, combined with our cost cutting initiatives helped the Company achieve a 36% drop in losses from operations.

 

International distributors also saw an increase in orders of 127% and subscriptions of 132% over the previous year. As international end users activate their devices, we expect to see subscriptions increase in 2024 in conjunction with this increase in product sales. Additionally, as our European OEM, increases sales, we expect the savings from shipping and duties to help increase margins.  

 

In summary, we made some positive steps forward during this year, but did not meet our revenue targets. The Company implemented many cost saving measures, including the entire senior management team deferring salaries, and cutting out all non-essential expenses by approximately 41% from the year ended 2022. We have worked with all our suppliers to reduce unnecessary expenses related to production inefficiencies in order to position ourselves to maximize profits as we scale back up. The Company continues to work towards receiving Medicare and other government assistance for our SmartSole, which will then foster growth and build our subscription base, which we believe will ultimately provide us with a large global data base that can be analyzed by using artificial intelligence (A.I.) to produce predictive models. Healthcare assisted with A.I. is the prize we have set our sights on, and we are doing everything we can to put in place the necessary steps to get to that prize as quickly as possible.

 

We believe the steps we took in 2023 will start to yield the results in the coming months that we have been stiving towards. And looking ahead in 2024 management expects to focus on market penetration in the gun safety industry, continue to expand the SmartSole production while lowering costs and look for new products and technologies to deploy.

 

Sources of Revenue

 

Our main sources of revenue are product sales, recurring subscriptions, technology and intellectual property licensing, and professional services.

 

Product Sales

 

	●	During 2022 & 2023 the majority of our product sales came from SmartSoles, Take Along Trackers and other hardware related tracking technologies, along with sales related to the release of our new Gun Alert in late 2023.
	●	Sales of medical supplies vary according to demand.

 

 

Other Revenue:

 

	●	Subscription monitoring fees - charged to customers/subscribers for our web-based tracking and information services.
	●	Licensing of our patents, technology and software platforms.
	●	Professional fees for new product designs and support and maintenance of existing products.
	●	Other – 3rd party order fulfillment and non-compete agreement royalties.

 

Costs and Expenses

 

Cost of Revenue

 

	●	Hardware - consists primarily of manufacturing and assembly of raw materials.
	●	Recurring – usage fees for data and 24/7 access to our platform.
	●	Licensing – legal, USPTO and related filing fees and maintenance fees and engineering development costs.

 

Operating Expense

 

●

Operating expenses consists primarily of SG&A, which includes, but is not limited to payroll, rent, infrastructure and communication, professional fees and other related office expenses.

 

Sales and Marketing Expense

 

●

Sales and marketing expenses for the purchase of advertising time/space.

 

Other Expense

 

●

Depreciation and amortization expense.

 

Research and Development Expense

 

●

Consists of costs related to the development of new products.

 

Key Business Metrics

 

In addition to our GAAP financial information, we utilize several performance indicators. Below are several key metrics we use to manage and evaluate our business, measure our performance, identify trends affecting our business and make strategic decisions:

 

	●	Number of new customers
	●	Number of subscribers, current, new and churn;
	●	Number of new product launches;
	●	Number of new geographical territories; and
	●	Number of 3rd party payers, i.e. Medicare.

 

Results of Operations

 

The following discussion should be read in conjunction with our financial statements and the related notes that appear elsewhere in this Annual Report.

 

 

The following table represents our statement of operations for the years ended December 31, 2023 and 2022:

 

		Years ended December 31,
		2023								2022
		$				% of Revenues				$				% of Revenues
Product sales			181,022				73	%			213,306				64	%
Subscription and other revenue			67,309				27	%			121,300				36	%
IP royalties			-				-	%			-				-	%
Total revenues			248,331				100	%			334,606				100	%
Cost of goods sold			226,892				91	%			189,758				57	%
Gross Margin			21,439				9	%			144,848				43	%
Operating expenses:
Wages and benefits			426,758				168	%			509,064				152	%
Professional fees			218,180				86	%			757,371				226	%
Sales and marketing expenses			7,778				3	%			22,733				7	%
General and administrative			245,652				99	%			226,055				68	%
Total operating expenses			898,368				362	%			1,515,223				453	%
Gain/(loss) from operations			(876,929	)			-353	%			(1,370,375	)			-410	%
Other expense/income, net			(313,229	)			-126	%			(132,712	)			-40	%
Net loss			(1,190,158	)			-479	%			(1,503,087	)			-449	%

 

Revenues

 

Revenues as a whole in fiscal 2023 decreased by 26% or $86,275 in comparison to fiscal 2022, yet, we saw a 38% increase in overall sales, excluding PPE’s and the new GunAlert, with a 292% increase in direct to consumer orders that included a 90% increase in SmartSole sales and increases in domestic subscriptions of over 400%. Part of this domestic subscription increase was due to a post covid bump and getting customers back on line.

 

International distributors also saw an increase in orders of 127% and subscriptions of 132% over the previous year. As international end users activate their devices we expect to see subscriptions increase in 2024 in conjunction with this increase in product sales. Additionally, as our European OEM, increases sales, we expect the savings from shipping and duties to help increase margins.

 

During the year ended December 31, 2023, the Company’s customer base and revenue streams were comprised of approximately 70% B2B (Wholesale Distributors and Enterprise Institutions), 30% B2C (consumers and government agencies who bought on the behalf of consumers, through our online ecommerce platform and through Amazon, Google and iTunes), 0.00% IP (our monetization campaign from consulting, licensing and asserting our patents) and 0.00% Military and Law Enforcement.

 

During the year ended December 31, 2022, the Company’s customer base and revenue streams were comprised of approximately 62% B2B (Wholesale Distributors and Enterprise Institutions), 37% B2C (consumers and government agencies who bought on the behalf of consumers, through our online ecommerce platform and through Amazon, Google and iTunes), 0.00% IP (our monetization campaign from consulting, licensing and asserting our patents) and 1.00% Military and Law Enforcement.

 

Cost of goods sold

 

Cost of goods sold increased by 20% or $37,133 during fiscal year 2023 in comparison to fiscal year 2022. This increase was primarily due to the addition of costs related to the new GUNALERT product as compared to the previous year’s same period. Additionally, inventory at year-end was analyzed and it was determined that as we progressed into our newest version of the SmartSole, that various parts and inventory levels held at our third-party contract manufacturers were now obsolete, and had no resale value, and thus subsequently written-off.

 

The Company expects our margins to increase once we start ramping up our subscriptions and licensing and sell more of our proprietary products like our SmartSoles, where we have no competition. Our overall gross margin was lower in 2023, predominately because most of our revenues came from product sales which require competitive pricing, and that includes shipping charges. In order to be competitive with the major online retailers (many of them include free shipping) we had to reduce our shipping charges to be in line with competitors.

 

 

Wages and benefits

 

Wages and benefits for fiscal year 2023 decreased by $82,306 or 16% as compared to fiscal year 2022, predominantly because of cost cutting and time saving initiatives that have been in place during slower periods and the executives of the Company agreeing to not accrue unpaid salary since Q3 2023.

 

Professional fees

 

Professional fees consist of costs attributable to consultants and contractors who primarily spend their time on legal, accounting, product development, business development, corporate advisory services and shareholder communications. Such costs decreased $539,192 or 71% in fiscal year 2023 compared to fiscal year 2022. Professional fees have decreased as more responsibilities were transferred from outside contractors and consultants to in-house personnel, along with the reduced fees related to investor relations and business development.

 

Sale and marketing expenses

 

Sales and marketing expenses decreased by 660% or $14,954 during fiscal year 2023 in comparison to fiscal year 2022, this is primarily due to costs related to marketing the new 4G SmartSole predominately being in 2022.

 

General and administrative

 

General and administrative costs during fiscal year 2023 increased by $19,597 or 9%, in comparison to fiscal year 2022, mostly due to increases in investor relations expense.

 

Other expense/income, net

 

Other expense/income in fiscal year 2023 increased by $180,517 or 136%, in comparison to fiscal year 2022. This is primarily as a result of increases of the amortization of debt discount and interest expense, coupled with the, gain in forgiveness of CARE and EDD loans and refunds that took place in 2022. This increase included one-time additions due to the acceleration of the amortization of debt discounts for notes that were converted or forgiven early, and the inclusion of interest expense for a defunct company’s note as per accounting guidelines.

 

Net loss

 

Net loss during fiscal year 2023 decreased by $312,929, or 21%, in comparison to the net loss incurred during fiscal year 2022 primarily as a result of large decreases in professional fees related to stock-based compensation, and the lowering of wages and salaries.

 

Liquidity and Capital Resources

 

As of December 31, 2023, we had $68,440 in cash and $322,654 of current assets, and $4,372,041 of current liabilities, resulting in a working capital deficit of $4,049,387 compared to $8,534 in cash and a working capital deficit of approximately $3,233,209 as of December 31, 2022.

 

Net cash used in operating activities was $417,245 for fiscal 2023 compared to net cash used of $506,950 for fiscal 2022, a decrease of 17.70%. Other than the large reduction in overall operating expenses, the decrease in net cash used in operating activities was largely attributed to the net change in non-cash items that includes: stock based compensation, loss on the extinguishment of debt, the elimination of derivative income and the interest and financing costs on note assignments and the net change in operating assets and liabilities that includes increased spending for inventory, the payment of accounts payable and accrued expenses, including interest expense attributable to the reduction in debt.

 

Net cash used by investing activities during fiscal 2023 was $42,408 and net cash provided by investing activities during fiscal year 2022 was $3,308, respectively and consisted of the purchase of intangible assets in 2023.

 

Net cash provided by financing activities during fiscal 2023 was $434,743 and consisted of proceeds totaling $345,500 in proceeds from the issuance of debt, $100,000 from the sale of preferred stock, $38,599 in loans from officers and proceeds from the line of credit of $46,881 with payments on debt and the lines of credit of $96,138. Net cash provided by financing activities during fiscal 2022 was $380,450 and consisted of proceeds totaling $145,000 in proceeds from the issuance of debt, $25,000 from the conversion of warrants, $180,000 from proceeds from the Reg A, and proceeds from the line of credit of $144,118 with payments on debt and the lines of credit of $113,668.

 

 

We expect to continue to generate revenues from all our business units from existing product sales, recurring subscriptions, software and Intellectual Property licensing, military and professional services. We also expect to see new revenues come in from recently launched products and products that are scheduled for launch throughout 2024 however, even though existing product sales and recurring subscriptions are starting to become more consistent, the amount of revenues is still unpredictable and may not be sufficient to fund all our working capital needs. Accordingly, we anticipate that we will have negative cash flow from our operations and, therefore, will have to raise additional capital in order to fund our operations in 2024.

 

In order to continue funding our working capital needs and our product development costs we continued to draw upon our Lines of Credit with our bank (see Notes Payable Footnote 8 in our Financial Statements included herein for more information), which resulted in $46,881 of draws and repayments of $26,492 against this balance in fiscal year 2023. Further, the Company continues to raise capital through an Offering Statement on Form 1-A, filed on August 7, 2023, and qualified on August 14, 2023, with a $0.10 per share offering price.

 

In fiscal 2022, we drew upon our Lines of Credit with an accredited investor or our bank (see Notes Payable Footnote 8 in our Financial Statements included herein for more information), which resulted in $144,118 of draws and repayments of $69,467.

 

In addition to continuing to incur normal operating expenses, we intend to continue our research and development efforts for our various technologies and products, including hardware, software, interface customization, and website development, and we also expect to further develop our sales, marketing and manufacturing programs associated with the commercialization, licensing and sales of our GPS devices and security technology. We currently do not have sufficient capital on hand to fully fund our proposed research and development activities, which lack of product development may negatively affect our future revenues.

 

As noted above, based on budgeted revenues and expenditures, unless revenues increase significantly, we believe that our existing and projected sources of liquidity may not be sufficient to satisfy our cash requirements for the next twelve months. Using currently available capital resources, management believes we can conduct planned operations for 120 days. Accordingly, management believes we need to raise a minimum of $500,000 to remain in business for the next 12 months, which may be accomplished the sale of equity or debt securities. The sale of additional equity securities will result in additional dilution to our existing stockholders. Sale of debt securities could involve substantial operational and financial covenants that might inhibit our ability to follow our business plan. Any additional funding that we obtain in a financing is likely to reduce the percentage ownership of the Company held by our existing security-holders. The amount of this dilution may be substantial based on our current stock price, and could increase if the trading price of our common stock declines at the time of any financing from its current levels. We may also attempt to raise funds through corporate collaboration and licensing arrangements. To the extent that we raise additional funds through collaboration and licensing arrangements, we may be required to grant licenses on terms that are not favorable to us. There can be no assurance that financing will be available in amounts or on terms acceptable to us, if at all. If we are unable to obtain the needed additional funding, we may have to further reduce our current level of operations, or, may even have to totally discontinue our operations.

 

We are subject to many risks associated with businesses at our stage, including the above discussed risks associated with the ability to raise capital. Please see the section entitled “Risk Factors” for more information regarding risks associated with our business.

 

Off-Balance Sheet Arrangements

 

There are no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.

 

 

Inflation

 

Inflation and changing prices have had effects on our net sales and revenues and our income from continuing operations over our two most recent fiscal years. Our costs on both materials and labor have risen between 10-25% across the board, thereby affecting our margins. These cost increases will be offset over time with pricing adjustments, when possible.

 

Going Concern

 

The consolidated financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has incurred net losses of $1,190158 and $1,503,087 for the years ended December 31, 2023, and 2022, respectively, has incurred losses since inception resulting in an accumulated deficit of $28,746,629 as of December 31, 2023, and has negative working capital of $4,049,387 as of December 31, 2023. A significant part of our negative working capital position at December 31, 2023 consisted of $1,490,930, of amounts due to various accredited investors of the Company for convertible promissory notes, loans of $146,195, letters of credit with a balance of $102,040 and short-term CARE loans of $12,972. The Company anticipates further losses in the development of its business.

 

The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. The Company’s ability to raise additional capital through the future issuances of debt or equity is unknown. The obtainment of additional financing, the successful development of the Company’s contemplated plan of operations, or its attainment of profitable operations are necessary for the Company to continue operations. The ability to successfully resolve these factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements of the Company do not include any adjustments that may result from the outcome of these aforementioned uncertainties.

 

Critical Accounting Policies and Estimates

 

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States. Because a precise determination of many assets and liabilities is dependent upon future events, the preparation of financial statements for a period necessarily involves the use of estimates which have been made using careful judgment.

 

The financial statements have, in management’s opinion, been properly prepared within reasonable limits of materiality and within the framework of the significant accounting policies summarized below.

 

We have identified the following critical accounting policies that are most important to the portrayal of our financial condition and results of operations and that require management’s most difficult, subjective or complex judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain. The following is a review of the more critical accounting policies and methods used by us.

 

Revenue Recognition

 

The Company recognizes revenue in accordance with ASU 2014-09, Revenue from Contracts with Customers (Topic 606), (“ASC 606”). The underlying principle of ASC 606 is to recognize revenue to depict the transfer of goods or services to customers at the amount expected to be collected. ASC 606 creates a five-step model that requires entities to exercise judgment when considering the terms of contract(s), which include (1) identifying the contract or agreement with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.

 

We derive our revenues primarily from hardware sales, subscription services fees, IP licensing and professional services fees. Hardware includes our SmartSole, GunTracker, Military and other Stand-Alone Devices. Subscription services revenues consist of fees from customers accessing our Geo-Location cloud-based platform through subscription or license fee, that are billed monthly, quarterly, semi-annual or annually. Predominately most of our subscriptions at this time are billed monthly and recognized at the time of billing. Professional services and other revenues consist primarily of fees from implementation services, configuration, data services, training and managed services related to our solutions, which are also recognized at the time of billing once the service has been performed/delivered IP licensing is related to any agreement with 3^rd parties to license our IP portfolio and that revenue is recognized as per the term of the specific licensing agreements.

 

The Company’s initial point of contact with its retail customers is thru its e-commerce site whereby any contract with the customer is entered into and dealt with thru the online ordering process and does not require performance beyond delivery. Shipping and handling activities are performed before the customer obtains control of the goods and therefore represent a fulfillment activity rather than a promised service to the customer. Revenue and costs of sales are recognized when control of the products transfers to our customer, which generally occurs upon shipment from our facilities. The Company’s performance obligations are satisfied at that time.

 

The Company’s recognizes revenues with its wholesale customers, as with retail, upon shipment, and recurring subscription revenue is recognized at the time of billing which is done 30 days in the arrears from delivery of service. Rendering the service obligation fulfilled

 

 

Product sales

 

At the inception of each customer sale, either online or through a purchase order, we assess the goods and services promised in our contracts and identify each distinct performance obligation. The Company recognizes revenue upon the transfer of control of promised products or services to the customer in an amount that depicts the consideration the Company expects to be entitled to for the related products or services. For the large majority of the Company’s sales, transfer of control occurs once the product has shipped and title and risk of loss have transferred to the customer.

 

Subscription and Other Revenue

 

The Company’s software solutions are available for use as hosted application arrangements under subscription fee agreements without licensing perpetual rights to the software. Subscription fees from these applications are recognized over time on a ratable basis over the customer agreement term beginning on the date the Company’s solution is made available to the customer. Our subscription contracts are generally one to three months in length. Amounts that have been invoiced are recorded in accounts receivable and deferred revenues or revenues, depending on whether the revenue recognition criteria have been met.

 

Other revenue can include various items, such as our professional services arrangements that are recognized on a time and materials basis. Professional services revenues recognized on a time and materials basis are measured monthly based on time incurred and contractually agreed upon rates. Certain professional services revenues are based on fixed fee arrangements and revenues are recognized based on the proportional performance method. In some cases, the terms of our time and materials and fixed fee arrangements may require that we defer the recognition of revenue until contractual conditions are met. Data services and training revenues are generally recognized as the services are performed. Additionally, we have had non-compete revenue from the sale of assets, engineering and design work, all of which are recognized over the term of the agreed contracts.

 

Licensing Revenue

 

Licensing revenue recorded by the Company relates exclusively to the Company’s monetization of IP licenses. The Company recognizes revenue for licensing under ASC 606, which provides revenue recognition constraints by requiring the recognition of revenue at the later of the following: 1) sale or usage of the products or 2) satisfaction of the performance obligations. The Company has satisfied its performance obligations and therefore recognizes licensing revenue when the sales to which the licensing relate are completed, under the terms of the specific licensing agreement.

 

Concentration of Revenue

 

During the year ended December 31, 2023, the Company’s customer base was comprised of approximately 70.28% B2B (Wholesale Distributors and Enterprise Institutions), 29.72% B2C (consumers and government agencies who bought on the behalf of consumers, through our online ecommerce platform and through Amazon, Google and iTunes), 0.00% IP (our monetization campaign from consulting, licensing and asserting our patents) and 0.00% Military and Law Enforcement.

 

 

During the year ended December 31, 2022, the Company’s customer base was comprised of approximately 62.13% B2B (Wholesale Distributors and Enterprise Institutions), 36.87% B2C (consumers and government agencies who bought on the behalf of consumers, through our online ecommerce platform and through Amazon, Google and iTunes), 0.00% IP (our monetization campaign from consulting, licensing and asserting our patents) and 1.00% Military and Law Enforcement.

 

Product Warranty

 

The Company’s warranty policy provides repair or replacement of products (excluding GPS Shoe devices) returned for defects within ninety days of purchase. Warranty liabilities are recorded at the time of sale for the estimated costs that may be incurred under our standard warranty. As of December 31, 2023, products returned for repair or replacement have been immaterial. Accordingly, a warranty liability has not been deemed necessary.

 

Derivative Instruments

 

Our debt or equity instruments may contain embedded derivative instruments, such as conversion options, which in certain circumstances may be required to be bifurcated from the associated host instrument and accounted for separately as a derivative instrument liability.

 

Our derivative instrument liabilities are re-valued at the end of each reporting period, with changes in the fair value of the derivative liability recorded as charges or credits to income, in the period in which the changes occur. For bifurcated conversion options that are accounted for as derivative instrument liabilities, we determine the fair value of these instruments using the Black-Scholes option pricing model. This model requires assumptions related to the remaining term of the instrument and risk-free rates of return, our current Common Stock price and expected dividend yield, and the expected volatility of our Common Stock price over the life of the option.

 

On December 31, 2023, it was determined that the Company had no derivative liabilities.

 

Stock-Based Compensation

 

Stock-based compensation expense is recorded for stock and stock options awarded in return for services rendered. The expense is measured at the grant-date fair value of the award and recognized as compensation expense on a straight-line basis, which is generally commensurate with the vesting period. The Company estimates forfeitures that it expects will occur and records expense based upon the number of awards expected to vest.

 

Recent Accounting Pronouncements

 

Please refer to footnote for management’s discussion of recent accounting pronouncements.

 

ITEM 7A.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

 

Not applicable to a “smaller reporting company” as defined in Item 10(f)(1) of SEC Regulation.

 

ITEM 8.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

 

The financial statements required by Item 8 are submitted in a separate section of this report, beginning on page F-1, and are incorporated herein and made a part hereof.

 

ITEM 9.

CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

 

None.

 

 

ITEM 9A.

CONTROLS AND PROCEDURES

 

Evaluation of Disclosure Controls and Procedures

 

Our management is responsible for establishing and maintaining a system of disclosure controls and procedures (as defined in Rule 13a-15(e)) under the Exchange Act) that is designed to ensure that information required to be disclosed by the Company in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported, within the time specified in the Commission’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by an issuer in the reports that it files or submits under the Exchange Act is accumulated and communicated to the issuer’s management, including its principal executive officer or officers and principal financial officer or officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

 

Our management, including our chief executive officer and chief financial officer, evaluated the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) or 15d-15(e) under the Exchange Act) as of the end of the period covered by this report. There are inherent limitations to the effectiveness of any system of disclosure controls and procedures. In designing and evaluating the disclosure controls and procedures, management recognized that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives.

 

Based on the evaluation as of December 31, 2023, for the reasons set forth below, our chief executive officer and chief financial officer concluded that our disclosure controls and procedures were effective to provide reasonable assurance that information we are required to disclose in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, as appropriate, to allow timely decisions regarding required disclosure.

 

Management’s Annual Report on Internal Control Over Financial Reporting

 

Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act, as amended). Under the supervision and with the participation of management, including our Chief Executive Officer and Chief Financial Officer, we assessed the effectiveness of our internal control over financial reporting as of December 31, 2023. In making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”) in Internal Control—Integrated Framework (2013) to evaluate our control environment, risk assessment, information and communication, monitoring activities, and existing control activities. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.

 

We have identified the following weakness:

 

●

Due to the nature and number of year-end adjustments by our external auditors, we have a deficiency related to our closing process.

 

As a result, management concluded that, as of December 31, 2023, the Company’s internal control over financial reporting were ineffective for the size of our Company. However, there can be no assurance that implementation of any change will be completed in a timely manner or that it will be adequate once implemented. To the extent possible, we will implement procedures to assure that the initiation of transactions, the custody of assets and the recording of transactions will be performed by separate individuals.

 

No Attestation Report by Independent Registered Accountant

 

This annual report does not include an attestation report of our registered public accounting firm regarding internal control over financial reporting since one is not required.

 

Changes in Internal Control Over Financial Reporting

 

There have been no changes in our internal controls over financial reporting that occurred during the annual reporting period covered by this report that have materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting.

 

 

Limitations on Effectiveness of Controls and Procedures

 

The Company’s management does not expect that its disclosure controls or its internal control over financial reporting will prevent or detect all error and all fraud. A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the control system’s objectives will be met. The design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Further, because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, within the Company have been detected. These inherent limitations include the realities that judgments in decision making can be faulty and that breakdowns can occur because of simple error or mistake. Controls can also be circumvented by the individual acts of some persons, by collusion of two or more people, or management override of the controls. The design of any system of controls is based in part on certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Projections of any evaluation of controls effectiveness to future periods are subject to risks. Over time, controls may become inadequate because of changes in conditions or deterioration in the degree of compliance with policies or procedures.

 

ITEM 9B.

OTHER INFORMATION

 

None.

 

PART III

 

ITEM 10.

DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

 

Executive Officers and Directors. Each of our directors was elected by the stockholders and serves until his or her successor is elected and qualified.

 

The board of directors currently has no nominating or compensation committee.

 

Our Chief Executive Officer serves pursuant to an employment agreement that was automatically extended for one year on March 14, 2024, and that will automatically be extended for successive one-year periods if not cancelled by either party. See “Item 10, Executive Compensation – Employment Agreements in our Financial Statements included herein”.

 

The following table sets forth information regarding our executive officers and directors.

 

Name		Position Held		Age		Date First Appointed
Patrick E. Bertagna		President, Chief Executive Officer and Chairman of the Board		60		March 14, 2008
Alex McKean		Chief Financial Officer		59		October 3, 2011
Louis Rosenbaum		VP of Operations & Finance, Director		73		March 14, 2008 (Director) March 1, 2015 (VP)
Andrew Duncan		Director, Audit Committee Member, Corporate Secretary and Treasurer		59		April 2, 2010

 

Biographical Information

 

The following describes the backgrounds of current executive officers and directors. The Company currently has no independent directors, as defined in the NASDAQ rules governing members of boards of directors.

 

Mr. Bertagna is the director and the Chief Executive Officer of Global Trek Xploration and Level 2 Security Products, Inc., Inc. Mr. Rosenbaum is the VP of Operations and Finance and Mr. McKean is the Chief Financial Officer of each of those subsidiaries.

 

 

Patrick E. Bertagna – Director, Chief Executive Officer, President and Chairman of the Board

 

Mr. Bertagna was the founder of Global Trek Xploration in September 2002 and has since served as its Chief Executive Officer, President and Chairman of the Board of Directors of MetAlert. He is co-inventor of our patented GPS footwear technology. His career spans over 35 years in building companies in both technology and consumer branded products.

 

Mr. Bertagna began his career in consumer products importing apparel from Europe and later went on to import and manufacture apparel, accessories and footwear in over 20 countries. In 1993, Mr. Bertagna transitioned into technology and founded Barcode World, Inc. a supply chain software company, enabling accurate tracking of consumer products from design to retail. In June 2002 after selling this company, Mr. Bertagna combined his two past careers in consumer products and tracking technology and founded MetAlert Inc.

 

Mr. Bertagna was born in the South of France and is fluent in French and Spanish, has formed alliances with Fortune 500 companies such as IBM, AT&T, Sports Authority, Federated Stores, Netscape and GE. He has been a keynote speaker and has been awarded several patents (including, but not limited to U.S. Patent #’s: 8,154,401, 8,760,286, 9,219,978).

 

Mr. Bertagna has extensive knowledge of the manufacturing industry, internet software development, building intellectual property portfolios and overall experience in growing early stage high-tech companies. As a founder of Global Trek Xploration and co-inventor of the GPS Shoe, this knowledge enables Mr. Bertagna to be uniquely qualified to be CEO and on the Board of Directors.

 

Alex McKean – Chief Financial Officer

 

Mr. McKean was appointed as our Chief Financial Officer in 2015, previously he was our Interim Chief Financial Officer since October 2011. He is currently also the Chief Financial Officer of Encore Brands, Inc., a position he has held since October 2009. Previous to that, he acted as an independent management consultant under his own firm, SGT Enterprises, Inc. as well as an independent contractor with Robert Half International and Ajilon Finance. Prior to establishing his own firm, during 2004-2007 Mr. McKean was with Parson Consulting working in such areas as: strategy, financial modeling, SEC filings, process management and Sarbanes Oxley. Mr. McKean has held positions as a Controller and VP of Finance at 24:7 Film from 2002-2004, VP of Finance at InternetStudios.com from 2000-2002, Director of FP&A/SVP at Franchise Mortgage Acceptance Company from 1998-2000, as Corporate Accounting Manager/Treasurer of Polygram Filmed Entertainment from 1996-1998 and Assistant Treasurer/Controller for State Street Bank from 1989-1996.

 

Mr. McKean holds an International MBA from Thunderbird’s School of Global Management and undergraduate degrees in Finance and Political Science from Trinity University.

 

Louis Rosenbaum – VP of Operations and Finance, Director

 

Mr. Rosenbaum served as a member of MetAlert Board of Directors from September 2002 until June 2005 and then again from October 2007 until March 2008, at which time he became a director of MetAlert Inc. Subsequently, Mr. Rosenbaum was asked to act as the VP of Operations and Finance since March 1, 2015. Mr. Rosenbaum was a founder and early investor in Global Trek Xploration.

 

Mr. Rosenbaum has been the President of Advanced Environmental Services since July 1997. His responsibilities at Advanced Environmental Services encompass supervising all administrative and financial activities, including all contractual aspects of the business. Mr. Rosenbaum has been working in the environmental and waste disposal industry for the past eighteen years. He started with Allied Waste Services, a division of Eastern Environmental (purchased by Waste Management Inc. in 1998) in 1990.

 

 

Mr. Rosenbaum founded and was President of Elements, a successful clothing manufacturer that produced a line of upscale women’s clothing in Hong Kong, China, Korea and Italy, from 1978 to 1987.

 

Mr. Rosenbaum has a long history in the consumer products industry, electronics and software sales and development. Mr. Rosenbaum is a co-founder of MetAlert Inc., was the first large investor and has assisted in the overall vision and development of the Company since inception. Mr. Rosenbaum has served on numerous private and community public boards and this unique blend of experience and history, combined with his strategic and tactical insight, makes Mr. Rosenbaum an asset to the MetAlert Inc. Board.

 

Andrew Duncan – Head of International Business Development, Director, Member of Audit Committee, Corporate Secretary and Treasurer

 

Mr. Duncan has been working in the consumer electronics and technology licensing business for over 20 years. Since 2006 he has been the CEO of ClearPlay International, a software licensing company. Prior thereto, he founded Global TechLink Consultants Inc., a technology consultancy company, specializing in technology licensing, multimedia, communication and application technology on a global basis, including Interactive TV, Digital downloads/streaming and Consumer Electronics. From 1994 to 2001, Mr. Duncan worked as Vice President Consumer Electronics for Gemstar TV Guide International (Los Angeles USA).

 

Mr. Duncan earned his honors degree in Chemistry from Nottingham University and postgraduate qualifications in Marketing and Direct Marketing from London University (Kings College). He also has a Certificate of Business Management from the Anderson School of Business UCLA.

 

Mr. Duncan’s experience in global intellectual property, branding and licensing, uniquely qualifies him to serve on our Board. Mr. Duncan’s long involvement in global business development, with an extensive background working in both Europe and Asia as a business strategist for major corporations, directly assists the Board in its international strategic planning objectives and activities.

 

Director Qualifications and Diversity

 

Our Board of Directors (the “Board”) has not adopted a formal policy with regard to the consideration of diversity when evaluating candidates for election to the Board. However, our Board believes that membership should reflect diversity in its broadest sense, but should not be chosen nor excluded based on race, color, gender, national origin or sexual orientation. In this context, the Board does consider a candidate’s experience, education, industry knowledge, history with the Company, and differences of viewpoint when evaluating his or her qualifications for election to the Board. Whenever our Board evaluates a potential candidate, the Board considers that individual in the context of the composition of the Board as a whole.

 

The standards that our Board considers in selecting candidates (although candidates need not possess all of the following characteristics, and not all factors are weighted equally) include the director’s or nominee’s, Industry knowledge and contacts in industries served by the Company, independent judgment, ability to broadly represent the interests of all stockholders and other constituencies, maturity and experience in policy making decisions, business skills, background and relevant expertise that are useful to the company and its future needs, and other factors determined to be relevant by the Board.

 

Audit Committee

 

The Company has established a standing Audit and Finance Committee (the “Audit Committee”) for purpose of overseeing accounting and financial reporting processes and audits of financial statements for the Company. The Audit Committee held one meeting in 2023. Members of the Audit Committee are the COO (Chair), CEO and CFO.

 

The Audit Committee’s responsibilities include:

 

●

appointing, approving the compensation of, and assessing the independence of our independent registered public accounting firm;

 

 

	●	pre-approving auditing and permissible non-audit services, and the terms of such services, to be provided by our independent registered public accounting firm;
	●	reviewing the overall audit plan with our independent registered public accounting firm and members of management responsible for preparing our consolidated financial statements;
	●	reviewing and discussing with management and our independent registered public accounting firm our annual and quarterly financial statements and related disclosures as well as critical accounting policies and practices used by us;
	●	coordinating the oversight and reviewing the adequacy of our internal control over financial reporting;
	●	establishing policies and procedures for the receipt and retention of accounting-related complaints and concerns;
	●	recommending based upon the audit committee’s review and discussions with management and our independent registered public accounting firm whether our audited financial statements shall be included in our Annual Report on Form 10-K;
	●	monitoring the integrity of our consolidated financial statements and our compliance with legal and regulatory requirements as they relate to our consolidated financial statements and accounting matters;
	●	preparing the audit committee report required by SEC rules to be included in our annual proxy statement;
	●	reviewing all related person transactions for potential conflict of interest situations and approving all such transactions; and
	●	reviewing quarterly earnings releases.

 

All services, other than de minimis non-audit services, to be provided to us by our independent registered public accounting firm must be approved in advance by our audit committee.

 

All members of our audit committee will meet the requirements for financial literacy under the applicable rules and regulations of the SEC and the Nasdaq listing rules. Our board of directors has determined that the CFO qualifies as an “audit committee financial expert” within the meaning of applicable SEC regulations. In making this determination, our board of directors considered the nature and scope of experience that our CFO has had throughout his career as a financial and accounting executive. Our board of directors has determined that all of the directors that are members of our audit committee satisfy the relevant independence requirements for service on the audit committee set forth in the rules of the SEC and the Nasdaq listing rules. Both our independent registered public accounting firm and management will periodically meet privately with our audit committee.

 

Both our independent registered public accounting firm and our internal financial personnel will regularly meet with, and have unrestricted access to, the audit committee.

 

Family Relationships

 

There are no family relationships among the Company’s directors, executive officers, or persons nominated or chosen by the Company to become directors or executive officers.

 

Director or Officer Involvement in Certain Legal Proceedings

 

Our current directors and executive officers have not been involved in any legal proceedings as described in Item 401(f) of Regulation S-K in the past ten years.

 

 

Code of Business Conduct and Ethics.

 

We have adopted a Code of Business Conduct and Ethics (the “Code”) that applies to our directors, officers and employees, including our principal executive officer and principal financial and accounting officer. A copy of our code of ethics will be furnished without charge to any person upon written request. Requests should be sent to: Secretary, GTX Corp, 117 W. 9th Street, #1214 Los Angeles, California 90015.

 

Compliance with Section 16(a) of the Exchange Act.

 

Section 16(a) of the Securities Exchange Act of 1934 requires our executive officers and directors, and persons who own more than 10% of a registered class of the company’s equity securities, to file reports of ownership and changes in ownership with the Securities and Exchange Commission (“SEC”). Executive officers, directors and greater than 10% stockholders are required by SEC regulations to furnish the Company with copies of all Section 16(a) forms they file.

 

Based solely on its review of the copies of reporting forms received by the Company, the Company believes that no Forms 4’s were required to be filed as required under Section 16(a) of the Securities Exchange Act of 1934.

 

ITEM 11.

EXECUTIVE COMPENSATION

 

Summary Compensation Table. The following table sets forth the compensation for the fiscal years ended December 31, 2023, and 2022 for services rendered to us by all persons who served as our Chief Executive Officer and our Chief Financial Officer and most highly compensated executive officers other than our Chief Executive Officer and Chief Financial Officer (collectively, the “Named Executive Officers”) who received compensation in excess of $100,000 in 2023.

 

Summary Compensation Table

 

Name and Principal Position		Fiscal Year Ended 12/31				Salary (including deferred) ($)				Bonus ($)				Stock Awards ($)				Option Awards ($)				All Other Compensation (deferred) ($)(3)				Total ($)
Patrick Bertagna(1)			2023				150,000				-				-				-				25,000				175,000
			2022				150,000				-				-				-				25,000				175,000
Alex McKean(2)			2023				96,000				-				-				-				-				96,000
			2022				96,000				-				-				-				-				96,000

 

(1)

Mr. Bertagna, our Chief Executive Officer has agreed to defer portions of his salary in an effort to preserve cash for other working capital needs of the Company. In 2022, Mr. Bertagna deferred $36,750 of his wages of $150,000, used $15,000 of his allowances and deferred $10,000 for Board of Director fees thru December 31, 2023. As of December 31, 2023, Mr. Bertagna has a deferred balance of $92,050 in accounts payable that has not been converted into Employee Notes.

 

(2)	Mr. McKean, our Chief Financial Officer has agreed to defer portions of his salary in an effort to preserve cash for other working capital needs of the Company. As of December 31, 20232, Mr. McKean has deferred $18,600 of his wages of $96,000 and has a deferred balance of $59,741 in accounts payable of his 2023 deferred salary compensation that has not been converted into Employee Notes.
(3)	The values shown in this column include Director fees, additional employee benefits paid including travel, health insurance, auto lease payments and cellular phone service. During 2023 these expenses, other than the Director fees, where applied against current and or previous year’s accruals.

 

Outstanding Equity Awards

 

None.

 

Severance and Change in Control Benefits

 

None.

 

Benefits upon Death or Disability

 

None.

 

 

Long-Term Incentive Plans

 

There are no arrangements or plans in which we provide pension, retirement or similar benefits for directors or executive officers.

 

Tax and Accounting Treatment of Compensation

 

Section 162(m) of the Internal Revenue Code places a limit of $1.0 million per person on the amount of compensation that we may deduct in any one year with respect to our Chief Executive Officer and certain of our other executive officers. While the Board of Directors considers deductibility factors when making compensation decisions, the board also looks at other considerations, such as providing our executive officers with competitive and adequate incentives to remain with us and increase our business operations, financial performance and prospects, as well as rewarding extraordinary contributions. No compensation to named executive officers exceeded this threshold in 2022.

 

We account for equity compensation paid to our employees under the rules of FASB ASC Topic 718, which requires us to estimate and record an expense for each award of equity compensation over the service period of the award. Accounting rules also require us to record cash compensation as an expense at the time the obligation is accrued. We have not tailored our executive compensation program to achieve particular accounting results.

 

Policies on Ownership, Insider Trading, Hedging And 10b5-1 Plans

 

We do not have formal stock ownership guidelines for our employees or directors, because the Board of Directors is satisfied that stock and option holdings among our employees or directors, are sufficient at this time to provide motivation and to align this group’s interests with those of our stockholders. In addition, we believe that stock ownership guidelines are rare in companies at our stage, which means that ownership requirements would put us at a competitive disadvantage when recruiting and retaining high-quality executives.

 

Our insider trading policy, which is incorporated into our Code of Business Conducts and Ethics prohibits certain actions by our Executive Officers relating to buying and selling our common stock. Our executive officers are authorized to enter into trading plans established according to Section 10b5-1 of the Exchange Act with an independent broker-dealer (“broker”) designated by us. These plans may include specific instructions for the broker to exercise vested options and sell Company stock on behalf of the executive officer at certain dates, if our stock price is above a specified level or both. Under these plans, the executive officer no longer has control over the decision to exercise and sell the securities in the plan, unless he or she amends or terminates the trading plan during a trading window. Plan modifications are not effective until the 31^st day after adoption. The purpose of these plans is to enable executive officers to recognize the value of their compensation and diversify their holdings of our stock during periods in which the executive officer would be unable to sell our common stock because material information about us had not been publicly released. As of the record date, no named executive officer had a trading plan in place.

 

Director Compensation

 

We have no formal plan for compensating our directors for their service in their capacity as directors although such directors are expected to receive shares of common stock and/or options in the future to purchase common shares as awarded by our Board of Directors or (as to future options) a Compensation Committee which may be established in the future. Directors are entitled to reimbursement for reasonable travel and other out-of-pocket expenses incurred in connection with attendance at meetings of our Board of Directors. Our Board of Directors may award special remuneration to any director undertaking any special services on behalf of our company other than services ordinarily required of a director.

 

The following table summarizes the compensation of each of our directors who is not also a named executive officer for their service as a director for the year ended December 31, 2023. The compensation of Mr. Bertagna, who serves as a director and as our Chief Executive Officer, is described above in the Summary Compensation Table.

 

 

DIRECTOR COMPENSATION

 

Name		Fees Earned or Paid in Cash ($)				Stock Awards ($)				Option Awards ($)				Non-Equity Incentive Plan Compensation ($)		Change in Pension Value and Nonqualified Deferred Compensation Earnings		All Other Compensation (deferred) ($)				Total ($)
Louis Rosenbaum(1)			-				-				-			N/A		N/A			10,000				10,000
Andrew Duncan(2)			-				-				-			N/A		N/A			10,000				10,000

 

(1)	Mr. Rosenbaum has provided executive management services to the Company in previous years. Mr. Rosenbaum earned $96,000 in 2023 relating to operations and finance services, and $10,000 for Board of Director fees. As of December 31, 2023, Mr. Rosenbaum has deferred $10,000 of his director’s compensation and deferred $18,600 of his $96,000 salary. As of December 31, 2023, Mr. Rosenbaum has a deferred balance of $44,000 in accounts payable that has not been converted into Employee Notes.
(2)	Mr. Duncan also provides executive management services to the Company. Mr. Duncan earned $16,125 in 2023 for business development and intellectual property licensing services, and $10,000 for Board of Director fees. As of December 31, 2023, Mr. Duncan has deferred $0 of his 2023 consulting compensation and $10,000 of his director’s compensation.

 

Employment Agreements

 

The following are summaries of the employment agreements with the Company’s executive officers:

 

Patrick E. Bertagna, our Chief Executive Officer and President, is employed pursuant to a written agreement dated as of March 14, 2008. The agreement was for a term of two years, but contained a provision under which the agreement is automatically extended for additional one-year periods unless either party provides written notice to the contrary at least 60 days prior to the end of the term then in effect. As such, Mr. Bertagna receives a base salary of $150,000 per year; however, in order to preserve cash for other working capital needs, Mr. Bertagna has agreed to accrue portions of his salary in the past and he is continuing to do so in 2023. He is entitled to adjustments to his base salary based on certain performance standards, at the Company’s discretion, as follows: (i) a bonus in an amount not less than fifteen percent (15%) of yearly salary, to be paid in cash or stock, if the Company has an increase in annual revenues and Mr. Bertagna performs his duties within the time frame budgeted for such duties at or below the cost budgeted for such duties and (ii) a bonus, to be paid in cash or stock at the Company’s sole discretion, equal to $12,500 for every one million of the Company’s outstanding common stock purchase warrants that are exercised.

 

Mr. Bertagna may also participate in any and all benefits and perquisites as are generally provided for the benefit of executive employees. The agreement terminates on his death, incapacity (after 180 days), resignation or cause as defined in the agreement. If he is terminated without cause, he is entitled to base salary, including back salary owed, all bonuses otherwise applicable, and medical benefits for twelve months.

 

Alex McKean, was appointed as the Company’s Interim Chief Financial Officer from October 3, 2011 and was appointed full-time in 2015. He is not employed pursuant to a written employment agreement.

 

2008 Equity Compensation Plan

 

We have adopted an equity incentive plan, the 2008 Equity Compensation Plan (the “2008 Plan”), pursuant to which we are authorized to grant options, restricted stock, unrestricted stock, and stock appreciation rights to purchase up to 7,000,000 shares of common stock to our employees (as such term is defined in the 2008 Plan), officers, directors and consultants. Awards under the 2008 Plan may consist of stock options (both non-qualified options and options intended to qualify as “Incentive Stock Options” under Section 422 of the Internal Revenue Code of 1986, as amended), restricted and unrestricted stock awards and stock appreciation rights.

 

 

The 2008 Plan is administered by our Board of Directors or a committee appointed by the Board (the “Committee”). If appointed by the Board, the committee would consist of at least two members of the Board whose members shall, from time to time, be appointed by the Board. The Committee has the authority to interpret the 2008 Plan, to prescribe, amend, and rescind rules and regulations relating to it, to determine the persons to whom awards will be granted, the type of award to be granted, the number of awards to be granted, and the terms and provisions of stock options granted pursuant to the 2008 Plan, including the vesting thereof, subject to the provisions of the 2008 Plan, and to make all other determinations necessary or advisable for the administration of the 2008 Plan.

 

The 2008 Plan provides that the purchase price of each share of common stock subject to an incentive stock option may not be less than 100% of the fair market value (as such term is defined in the 2008 Plan) of a share of our common stock on the date of grant (or not less than 110% of the fair market value in the case of a grantee holding more than 10% of our outstanding common stock). The aggregate fair market value (determined at the time the option is granted) of the common stock with respect to which incentive stock options are exercisable for the first time by the employee during any calendar year (under all such plans of the grantee’s employer corporation and its parent and subsidiary corporation) shall not exceed $100,000. No incentive stock option shall be exercisable later than the tenth anniversary of its grant; provided, however, that an incentive stock option granted to an employee holding more than 10% of our outstanding common stock shall not be exercisable later than the fifth anniversary of its grant.

 

The Committee shall determine the purchase price of each share of common stock subject to a non-qualified stock option. Such purchase price, however, shall not be less than 100% of the fair market value of the common stock on the date of grant. No non-qualified stock option shall be exercisable later than the tenth anniversary of its grant.

 

The plan also permits the grant of stock appreciation rights in connection with the grant of an incentive stock option or a non-qualified stock option, or unexercised portion thereof held by the grantee. The grant price of a stock appreciation right shall be at least at the fair market value of a share on the date of grant of the stock appreciation right, and be subject to such terms and conditions, not inconsistent with the provisions of the 2008 Plan, as shall be determined by the Committee. Each stock appreciation right may include limitations as to the time when such stock appreciation right becomes exercisable and when it ceases to be exercisable, which may be more restrictive than the limitations on the exercise of the stock option to which it relates. No stock appreciation right shall be exercisable with respect to such related stock option or portion thereof unless such stock option or portion shall itself be exercisable at that time. A stock appreciation right shall be exercised only upon surrender of the related stock option or portion thereof in respect of which the stock appreciation right is then being exercised. Upon the exercise of a stock appreciation right, a grantee shall be entitled to receive an amount equal to the product of (i) the amount by which the fair market value of a share of common stock on the date of exercise of the stock appreciation right exceeds the option price per share specified in the related incentive or non-qualified stock option and (ii) the number of shares of common stock in respect of which the stock appreciation right shall have been exercised. Further, a stock appreciation right shall be exercisable during the grantee’s lifetime only by the grantee.

 

The 2008 Plan also provides us with the ability to grant shares of common stock that are subject to certain transferability, forfeiture or other restrictions. The recipient of restricted stock grants, the type of restriction, the number of shares of restricted stock granted and other such provisions shall be determined by the Committee. The Board, in good faith and in its sole discretion, shall determine the fair market value with regards to awards of restricted stock.

 

The 2008 Plan also provides us with the ability to grant shares of unrestricted stock. The Committee shall determine and designate from time to time those persons who are to be granted unrestricted stock and number of shares of common stock subject to such grant. The Board, in good faith and in its sole discretion, shall determine the fair market value with regards to awards of unrestricted stock. The grantee shall hold common stock issued pursuant to an unrestricted stock award free and clear of all restrictions, except as otherwise provided in the 2008 Plan.

 

Unless otherwise determined by the Committee, awards granted under the 2008 Plan are not transferable other than by will or by the laws of descent and distribution.

 

 

The 2008 Plan provides that in the event of a merger or change of control, the Committee may substitute stock options, stock awards and stock appreciation rights of the acquired company. Alternatively, the Committee may provide that the stock options, stock awards and stock appreciation rights shall terminate following notice by the Committee.

 

The Board may, at any time, alter, amend, suspend, discontinue, or terminate the 2008 Plan; provided, however, that such action shall not adversely affect the right of grantees to stock awards or stock options previously granted and no amendment, without the approval of the stockholders of the Corporation, shall increase the maximum number of shares which may be awarded under the 2008 Plan in the aggregate, materially increase the benefits accruing to grantees under the 2008 Plan, change the class of employees eligible to receive options under the 2008 Plan, or materially modify the eligibility requirements for participation in the 2008 Plan.

 

ITEM 12.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

 

The following table sets forth certain information as of May 24, 2024, regarding the beneficial ownership of our common stock by (i) each stockholder known by us to be the beneficial owner of more than five percent of our common stock, (ii) by each of our executive officers named in the Summary Compensation Table and our directors and (iii) by all of our executive officers and directors as a group. Each of the persons named in the table has sole voting and investment power with respect to common stock beneficially owned. Unless otherwise noted in the table, the address for each of the persons identified is 117 W 9th Street, Suite 1214, Los Angeles, CA 90015. Beneficial ownership is calculated based upon 32,845,931 shares of common stock issued and outstanding as of May 24, 2024.

 

Name and Address of Beneficial Owner(2)		Amount and Nature of Beneficial Ownership(1)		Percent of Common Stock
Patrick E. Bertagna - CEO and Chairman of the Board		5,367,447 shares			15.86	%
Alex McKean - Chief Financial Officer		5,572,668 shares			16.46	%
Louis Rosenbaum - VP of Operations & Finance, Director		5,020,843 shares			14.83	%
Andrew Duncan - Director, Corporate Secretary and Treasurer		4,247,307 shares			12.55	%
All directors and named executive officers as a group (4 persons)		20,208,265 shares			59.71	%
Other greater than 5% ownership Shareholders Ryan Green(3)		2,414,000 shares			7.13	%
Tom Willingham(4)		2,343,000 shares			6.92	%
Digitalinc Holdings, LLC(5)		2,059,000 shares			6.08	%

 

(1)	Under Rule 13d-3, a beneficial owner of a security includes any person who, directly or indirectly, through any contract, arrangement, understanding, relationship, or otherwise has or shares: (i) voting power, which includes the power to vote, or to direct the voting of shares; and (ii) investment power, which includes the power to dispose or direct the disposition of shares. Certain shares may be deemed to be beneficially owned by more than one person (if, for example, persons share the power to vote or the power to dispose of the shares). In addition, shares are deemed to be beneficially owned by a person if the person has the right to acquire the shares (for example, upon exercise of an option) within 60 days of the date as of which the information is provided. In computing the percentage ownership of any person, the amount of shares outstanding is deemed to include the amount of shares beneficially owned by such person (and only such person) by reason of these acquisition rights. As a result, the percentage of outstanding shares of any person as shown in this table does not necessarily reflect the person’s actual ownership or voting power with respect to the number of shares of common stock actually outstanding.
(2)	Unless otherwise noted, the principal business address of each of the following entities or individuals is c/o MetAlert Inc., 117 West 9th Street, Suite 1214, Los Angeles, CA 90015.
(3)	Mr. Green acquired the shares through the Level 2 Securities Products, LLC acquisition. The principal address is 11129 Kenwood Road, Cincinnati, OH 45242.
(4)	Mr. Willingham acquired the shares through the Level 2 Securities Products, LLC acquisition. The principal address is 7725 Annesdale Drive, Cincinnati, OH 45243.
(5)	Digitalinc Holdings, LLC, shares were acquired through the Level 2 Securities Products, LLC acquisition. The number of Public Shares held by Digitalinc Holdings, LLC is reported as of December 31, 2023, does not reflect any redemption of shares or any other transactions after December 31, 2023. Accordingly, the number of Public Shares and the percentages set forth in the table may not reflect the Digitalinc Holdings, LLC’s current beneficial ownership. Rob Adams is the Managing Partner of the Company and the principal business address is 903 Miami Ave., Terrace Park, OH 45174.

 

Changes in Control. We are not aware of any arrangements which may result in “changes in control” as that term is defined by the provisions of Item 403 of Regulation S-K.

 

 

ITEM 13.

CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

 

Director Independence. None of our directors is independent within the definition of “independence” as defined in the Nasdaq rules governing members of boards of directors.

 

Related Party Transactions. During 2023, officers and directors accrued $77,050 of deferred back salary and $30,000 of director fees.

 

Except as described above, there have been no related party transactions, or any other transactions or relationships required to be disclosed pursuant to Item 404 of Securities and Exchange Commission Regulation S-K.

 

ITEM 14.

PRINCIPAL ACCOUNTING FEES AND SERVICES.

 

The Audit Committee has appointed M&K CPAS, PLLC as our independent registered public accounting firm on January 11, 2021. The following table shows the fees that were paid or accrued by us for audit and other services provided by our current auditor M&K CPAS, PLLC:

 

		2023				2022
Audit Fees (1)		$	97,200			$	46,200
Audit-Related Fees (2)			20,000				-
Tax Fees (3)			-				-
All Other Fees			2,250				-
Total		$	114,950			$	46,200

 

(1)

Audit fees represent fees for professional services provided in connection with the audit of our annual financial statements and the review of our quarterly financial statements and those services normally provided in connection with statutory or regulatory filings or engagements including comfort letters, consents and other services related to SEC matters. This information is presented as of the latest practicable date for this annual report.

 

(2)	Audit-related fees represent fees for assurance and related services that are reasonably related to the performance of the audit or review of our financial statements and not reported above under “Audit Fees.” This category primarily includes services relating to our Registration Statement filed with the Securities Exchange Commission during 2023.
(3)	M&K CPAS, PLLC does not provide us with tax compliance, tax advice or tax planning services. This is provided by Bessolo & Haworth, LLP.

 

All audit related services, tax services and other services rendered by M&K CPAS, PLLC were pre-approved by our Board of Directors or Audit Committee. The Audit Committee has adopted a pre-approval policy that provides for the pre-approval of all services performed for us by M&K CPAS, PLLC. The policy authorizes the Audit Committee to delegate to one or more of its members pre-approval authority with respect to permitted services. Pursuant to this policy, the Board delegated such authority to the Chairman of the Audit Committee.

 

 

PART IV

 

ITEM 15.

EXHIBITS AND FINANCIAL STATEMENT SCHEDULES

 

EXHIBIT INDEX

 

The Company’s financial statements and related notes thereto are listed and included in this Annual Report beginning on page F-1. The following exhibits are filed with, or are incorporated by reference into, this Annual Report.

 

Exhibit Number		Description
3.1		Articles of Incorporation of the Registrant filed with the State of Nevada on April 7, 2006(1)
3.2		Restated Certificate of Incorporation as filed on September 14, 2022 with the State of Nevada
3.3		Amended and Restated Bylaws of Metalert, Inc., as of September 20, 2022(1) (21)
3.4		Certificate of Change of Metalert, Inc., filed September 12, 2022(21)
4.1		Certificate of Amendment on Issuance of Preferred A shares(3)
4.2		Certificate of Designation on Issuance of Preferred B shares(4)
4.3		Certificate of Designation on Issuance of Preferred C shares(4)
4.4		Certificate of Designation on Issuance of Preferred D shares(22)
4.5		Certificate of Amendment of GTX Corp, filed September 12, 2022(21)
10.1		Form of a Securities Purchase Agreement and Warrant Agreement(5)
10.2		2008 Equity Compensation Plan(6)
10.3		Employment Agreement between the Registrant and Patrick E. Bertagna dated March 14, 2008(7)
10.4		Form of Securities Purchase Agreement (August 2011 Private Placement)(8)
10.5		Form of Warrant Agreement (August 2011 Private Placement)(8)
10.6		Form of Subscription Application (August 2011 Private Placement)(8)
10.7		Form of Note and Share Purchase Agreement (Q4 2014 and Q1 2015)(9)
10.8		Form of Convertible Promissory Note (Q4 2014 and Q1 2015)(9)
10.9		Form of Warrant Agreement (Q1 2015)(9)
10.10		Form of Note and Warrant Purchase Agreement (Q2 2016)(10)
10.11		Form of Promissory Note (Q2 2016)(10)
10.12		Definitive Agreement, dated June 16, 2016, between the Company and Inventergy Innovations, LLC*(11)
10.13		Form of Promissory Note Issued to Officers(12)
10.14		Form of Military Purchase Order with Edwards Airforce Base(13)
10.15		Form of Convertible Note (2018)(14)
10.16		Form of Promissory Note issued to RB Capital Partners, Inc.(15)
10.17		Asset Purchase Agreement, dated June 27, 2019, by and between Inpixon and GTX Corp(16)
10.18		Patent Assignment and License-Back Agreement by and between Inpixon and GTX Corp(16)
10.19		Patent License Agreement by and between Inpixon and GTX Corp(16)
10.20		General Conveyance, Bill of Sale and Assignment by and between Inpixon and GTX Corp(16)
10.21		Patent License Agreement, dated June 27, 2019, by and between Inpixon and Inventergy(16)
10.22		Consulting Agreement, dated June 27, 2019, by and between Inpixon and GTX Corp(16)
10.23		Form of Promissory Note to Inpixon(16)
10.24		Form of a Series B Securities Purchase Agreement and Warrant Agreement(17)
10.25		Form of Regulation A Subscription Agreement(18)
10.26		Offering Statement on Form 1-A, filed on October 15, 2021(18)
10.27		Offering Circular on Form 253(g)(2), filed on November 9, 2021(19)
10.28		Offering Statement on Form 1-A, filed on August 7, 2023(24)
10.29		Offering Circular on Form 253(g)(2), filed on August 16, 2023(25)
10.30		Entry into a Material Definitive Agreement - Plan and Agreement of Merger September 8, 2023 (23)
10.31		Form of a Material Definitive Agreement - A Securities Purchase Agreement (Q3 2023)(22)
14.1		Code of Business Conduct and Ethics(2)
16.1		Letter from Weinberg & Company P.A.(20)
21.1		List of Subsidiaries(9)
23.1		Report of Independent Registered Public Accounting Firm
31.1		Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act
31.2		Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act
32.1		Certification Pursuant To Section 906 of the Sarbanes-Oxley Act of 2002
101.INS		Inline XBRL Instance Document
101.SCH		Inline XBRL Taxonomy Extension Schema
101.CAL		Inline XBRL Taxonomy Extension Calculation
101.DEF		Inline XBRL Taxonomy Extension Definition
101.LAB		Inline XBRL Taxonomy Extension Labels
101.PRE		Inline XBRL Taxonomy Extension Presentation
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

 

	(1)	Previously filed on the Registrant’s Registration Statement on Form SB-2 as filed December 12, 2006 and incorporated herein by reference.
	(2)	Previously filed on the Registrant’s Current Report on Form 8-K filed with the SEC on March 20, 2008 and incorporated herein by reference.
	(3)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on November 19, 2018 and incorporated herein by reference.
	(4)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on August 14, 2020 and incorporated herein by reference.
	(5)	Previously filed on the Registrant’s Annual Report on Form 10-K filed with the SEC on March 30, 2020 and incorporated herein by reference.
	(6)	Previously filed on May 23, 2008 as an exhibit to our Registration Statement on Form S-8 (File No. 333-151114) and incorporated herein by reference.
	(7)	Previously filed on the Registrant’s Current Report on Form 8-K filed with the SEC on March 20, 2008 and incorporated herein by reference.
	(8)	Previously filed on October 3, 2011 as part of the Registrant’s Registration Statement on Form S-1 (File No. 333-177146) and incorporated herein by reference.
	(9)	Previously filed on the Registrant’s Annual Report on Form 10-K filed with the SEC on April 15, 2015 and incorporated herein by reference.
	(10)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on August 15, 2016 and incorporated herein by reference.
	(11)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on November 15, 2016 and incorporated herein by reference.
	(12)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on May 12, 2017 and incorporated herein by reference.
	(13)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on November 14, 2017 and incorporated herein by reference.
	(14)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on May 14, 2018 and incorporated herein by reference.
	(15)	Previously filed on the Registrant’s Quarterly Report on Form 10-Q filed with the SEC on August 20, 2018 and incorporated herein by reference.
	(16)	Previously filed on the Registrant’s Current Report on Form 8-K filed with the SEC on July 2, 2019 and incorporated herein by reference.
	(17)	Previously filed on the Registrant’s Annual Report on Form 10-K filed with the SEC on April 17, 2023 and incorporated herein by reference.
	(18)	Previously filed on October 15, 2021 as part of the Registrant’s Offering Statement on Form 1-A (File No. 024-116681) and incorporated herein by reference.
	(19)	Previously filed on November 9, 2021 as part of the Registrant’s Offering Circular on Form 253(g)(2) (File No. 024-116681) and incorporated herein by reference.
	(20)	Previously filed on the Registrant’s Current Report on Form 8-K filed with the SEC on January 19, 2021 and incorporated herein by reference.
	(21)	Previously filed on the Registrant’s Current Report on Form 8-K filed with the SEC on September 22, 2022 and incorporated herein by reference.
	(22)	Previously filed on the Registrant’s Current Report on Form 8-K filed with the SEC on October 10, 2023 and incorporated herein by reference.
	(23)	Previously filed on the Registrant’s Current Report on Form 8-K filed with the SEC on September 8, 2023 and incorporated herein by reference.
	(24)	Previously filed on August 7, 2023 as part of the Registrant’s Offering Statement on Form 1-A (File No. 024-12310) and incorporated herein by reference.
	(25)	Previously filed on August 16, 2023 as part of the Registrant’s Offering Circular on Form 253(g)(2) (File No. 024-12310) and incorporated herein by reference.
	*	Certain portions of the Exhibit have been omitted based upon a request for confidential treatment filed by us with the SEC. The omitted portions of the Exhibit have been separately filed by us with the SEC
	#	Certain confidential portions of this Exhibit were omitted by means of marking such portions with brackets (“[****]”) because the identified confidential portions (i) are not material and (ii) would be competitively harmful if publicly disclosed.
	^	Schedules and similar attachments have been omitted pursuant to Item 601(a)(5) of Regulation S-K. The registrant hereby undertakes to furnish copies of such omitted materials upon request by the SEC.

 

ITEM 16.

FORM 10-K SUMMARY

 

Not applicable.

 

 

Signatures

 

In accordance with Section 13 or 15(d) of the Exchange Act, the company caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

	MetAlert Inc.
	(Registrant)
Date: May 24, 2024	By:	/s/ Patrick E. Bertagna
		Patrick E Bertagna
		Chief Executive Officer

 

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

Name		Title		Date
/s/ Patrick E. Bertagna		Chief Executive Officer and Director (Principal Executive Officer)		May 24, 2024
/s/ Alex McKean		Chief Financial Officer (Principal Financial Officer)		May 24, 2024
/s/ Louis Rosenbaum		Director, VP of Operations and Finance (Principal Accounting Officer)		May 24, 2024
/s/ Andrew Duncan		Director, Treasurer, Secretary		May 24, 2024

 

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

 

To the Board of Directors and

Stockholders of MetAlert Inc.

 

Opinion on the Financial Statements

 

We have audited the accompanying consolidated balance sheets of MetAlert Inc. (the Company) as of December 31, 2023 and 2022, and the related consolidated statements of operations, changes in stockholders’ deficit, and cash flows for each of the years in the two-year period ended December 31, 2023, and the related notes (collectively referred to as the financial statements). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023 and 2022, and the results of its operations and its cash flows for each of the years in the two-years period ended December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.

 

Going Concern

 

The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 1 to the consolidated financial statements, the Company has incurred continuing net losses from operations and has a significant accumulated deficient, which raises substantial doubt about its ability to continue as a going concern. Management’s plans regarding those matters are also described in Note 1. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

 

Basis for Opinion

 

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

 

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

 

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

 

Critical Audit Matters

 

The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of a critical audit matter does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing separate opinions on the critical audit matter or on the accounts or disclosures to which it relates.

 

Revenue Recognition

 

As discussed in the financial statement’s footnotes, the Company recognizes revenue upon transfer of control of promised services and goods to customers in an amount that reflects the consideration the Company expects to receive in exchange for those products or services. The Company offers customers the ability to acquire services with their goods. Significant judgement is exercised by the Company in determining revenue recognition for these customers. Given these factors and due to the volume of transactions, the related audit effort in evaluating management’s judgments in determining revenue recognition for these customer agreements was extensive and required a high degree of auditor judgement.

 

/s/ M&K CPAS, PLLC
We have served as the Company’s auditor since 2021.
Houston, Texas
May 24, 2024
PCAOB ID No. 2738

 

 

METALERT INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

 

		2023				2022
		December 31,
		2023				2022
ASSETS
Current assets:
Cash and cash equivalents		$	68,440			$	8,534
Accounts receivable, net			17,408				13,959
Inventory			231,818				70,112
Investment in marketable securities			649				683
Other current assets			4,339				8,045
Total current assets			322,654				101,333
Intangible assets, net			261,761				3,308
Property and equipment, net			25,780				59,121
Total assets		$	610,195			$	163,762
LIABILITIES AND STOCKHOLDERS’ DEFICIT
Current liabilities:
Accounts payable		$	264,671			$	137,315
Accrued expenses			327,338				388,414
Accrued expenses, related parties			762,365				497,551
Deferred revenues			6,505				12,850
Short-term debt – line of credit			102,040				81,651
Short-term debt – CARE loans			12,972				7,903
Convertible promissory notes, past due			1,484,142				843,000
Convertible notes, related parties, net of debt discount			1,219,313				1,206,738
Notes payable			146,195				149,120
Notes payable – related parties			46,500				10,000
Total current liabilities			4,372,041				3,334,542
Long-term debt - CARE loans			137,028				142,097
Total liabilities			4,509,069				3,476,639
Commitments and contingencies			-				-
Stockholders’ deficit:
Preferred stock series A, $0.001 par value; 1,000,000 shares authorized; 13,846 shares issued and outstanding at December 31, 2023 and 2022, respectively			14				14
Preferred stock series B, $0.001 par value; 3 and 3 shares issued and outstanding at December 31, 2023 and 2022, respectively			-				-
Preferred stock series C, $0.001 par value; 1,000 shares authorized, 6 and 6 issued and outstanding at December 31, 2023 and December 31, 2022, respectively			-				-
Preferred stock series D, $0.001 par value; 100,000 shares authorized, 15,000 and 0 issued and outstanding at December 31, 2023 and December 31, 2022, respectively			2				-
Preferred stock value			-				-
Common stock, $0.0001 par value; 2,071,000,000 shares authorized; 32,445,931 and 17,177,206 shares issued and outstanding at December 31, 2023 and 2022, respectively			3,245				1,718
Additional paid-in capital			24,844,494				24,241,862
Accumulated deficit			(28,746,629	)			(27,556,471	)
Total stockholders’ deficit			(3,898,874	)			(3,312,877	)
Total liabilities and stockholders’ deficit		$	610,195			$	163,762

 

See accompanying notes to consolidated financial statements.

 

 

METALERT INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

 

		2023				2022
		Years Ended December 31,
		2023				2022
Product sales		$	181,022			$	213,306
Subscriptions and other revenue			67,309				121,300
Licensing income			-				-
Total revenues			248,331				334,606
Cost of products sold			217,453				169,400
Cost of other revenue			9,439				20,358
Cost of licensing revenue			-				-
Total cost of goods sold			226,892				189,758
Gross margin			21,439				144,848
Operating expenses
Wages and benefits			426,758				509,064
Professional fees			218,180				757,371
Sales and marketing expenses			7,778				22,733
General and administrative			245,652				226,055
Total operating expenses			898,368				1,515,223
Income/(loss) from operations			(876,929	)			(1,370,375	)
Other income (expenses)
Loss on marketable securities			(34	)			(1,782	)
Amortization of debt discount			(102,938	)			(62,067	)
CARE / EDD forgiveness			-				102,061
Gain on settlement of debt			45,405				-
Interest expense and financing costs			(255,662	)			(170,924	)
Total other income (expenses)			(313,229	)			(132,712	)
Net loss			(1,190,158	)			(1,503,087	)
Deemed dividend to Series-B preferred stockholders			-				-
Deemed dividend to Series-C preferred stockholders			-				-
Net loss attributable to common stockholders		$	(1,190,158	)		$	(1,503,087	)
Weighted average number of common shares outstanding - basic and diluted			25,499,390				7,197,291
Net income/(loss) per common share - basic and diluted		$	(0.05	)		$	(0.21	)

 

See accompanying notes to consolidated financial statements.

 

 

METALERT INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ DEFICIT

 

		Shares				Amount				Shares				Amount				Shares				Amount			Shares					Amount				Shares				Amount				Capital				Deficit				Total
		Preferred Stock																																								Additional
		Series A								Series B								Series C							Series D									Common Stock								Paid-In				Accumulated
		Shares				Amount				Shares				Amount				Shares				Amount			Shares					Amount				Shares				Amount				Capital				Deficit				Total
Balance, December 31, 2021			15,385			$	15				3			$	-				6				-				-				-				2,123,577			$	212			$	21,100,504			$	(24,177,926	)		$	(3,077,195	)
Issuance of common stock for services			-				-				-				-				-				-				-				-				2,070,965				207				621,039				-				621,246
Issuance of common stock for conversion of debt			-				-				-				-				-				-				-				-				11,406,200				1,141				112,921				-				114,062
Issuance of common stock for financings			-				-				-				-				-				-				-				-				92,309				9				179,991				-				180,000
Issuance of common stock for the conversion of warrants			-				-				-				-				-				-				-				-				153,847				16				24,985				-				25,001
Debt discount			-				-				-				-				-				-				-				-				-				-				129,522				-				129,522
Returning of Preferred A to treasury			(1,539	)			(1	)			-				-				-				-				-				-				-				-				1				-				-
Net loss			-				-				-				-				-				-				-				-				-				-				-				(1,503,087	)			(1,503,087	)
Balance, December 31, 2022			13,846			$	14				2			$	-				6				-				-				-				17,177,206			$	1,718			$	24,241,862			$	(27,556,471	)		$	(3,312,877	)
Beginning balance			13,846			$	14				2			$	-				6				-				-				-				17,177,206			$	1,718			$	24,241,862			$	(27,556,471	)		$	(3,312,877	)
Issuance of common stock for services			-				-				-				-				-				-				-				-				745,000				75				56,423				-				56,498
Issuance of common stock for conversion of debt			-				-				-				-				-				-				-				-				7,421,137				742				73,469				-				74,211
Issuance of preferred stock for financings			-				-				-				-				-				-				15,000				2				-				-				99,998				-				100,000
Issuance of common stock for acquisitions			-				-				-				-				-				-				-				-				7,100,000				710				347,190				-				247,900
Fair value of warrants issues for debt			-				-				-				-				-				-				-				-				-				-				25,552				-				25,552
Net loss			-				-				-				-				-				-				-				-				-				-				-				(1,190,158	)			(1,190,158	)
Balance, December 31, 2023			13,846			$	14				3			$	-				6				-				15,000				2				32,445,931			$	3,245			$	24,844,494			$	(28,746,629	)		$	(3,898,874	)
Ending balance			13,846			$	14				3			$	-				6				-				15,000				2				32,445,931			$	3,245			$	24,844,494			$	(28,746,629	)		$	(3,898,874	)

 

See accompanying notes to consolidated financial statements.

 

 

METALERT INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

 

		2023				2022
		Years Ended December 31,
		2023				2022
Cash flows from operating activities
Net loss		$	(1,190,158	)		$	(1,503,087	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization			51,045				33,340
Bad debt expense			-				-
Loss / (gain) on marketable securities			34				1,782
Fair value of common stock issued for services			56,498				621,246
Gain on the extinguishment of debt			(16,680	)			-
Gain on settlement of debt and accrued interest			(28,725	)			-
Amortization of debt discount			102,938				62,067
Interest and financing costs on long-term convertible debt			-				116,641
Grant from CARE loans			-				(67,870	)
Fair value of warrants issued for debt			25,552				-
Changes in operating assets and liabilities:
Accounts receivable			(3,449	)			(224	)
Inventory			67,629				28,146
Prepaid expenses			4,549				47,241
Other current and non-current assets			(843	)			(270	)
Accounts payable and accrued expenses			253,200				29,086
Accrued expenses - related parties			267,510				139,352
Loans to/from officers			-				10,000
Deferred revenues			(6,345	)			(24,400	)
Net cash used in operating activities			(417,245	)			(506,950	)
Cash flows from investing activities
Proceeds from the sale of marketable securities			-				(3,308	)
PP&E purchase			42,408				-
Net cash used in investing activities			42,408				(3,308	)
Cash flows from financing activities
Proceeds from the conversion of warrants			-				25,000
Proceeds from Reg A			-				180,000
Proceeds from issuance of preferred stock			100,000				-
Proceeds from issuance of debt			345,500				145,000
Proceeds from line of credit			46,881				144,118
Proceeds from officer loans			38,500				-
Payments of debt			(62,646	)			(44,201	)
Payments of debt - related party			(5,000	)			-
Payments of officer loans - related party			(2,000	)			-
Payments on line of credit			(26,492	)			(69,467	)
Net cash provided by financing activities			434,743				380,450
Net change in cash and cash equivalents			59,906				(129,808	)
Cash and cash equivalents, beginning of period			8,534				138,342
Cash and cash equivalents, end of period		$	68,440			$	8,534
Supplemental disclosure of cash flow information:
Income taxes paid		$	-			$	-
Interest paid		$	-			$	-
Supplemental disclosure of noncash investing and financing activities:
Issuance of common stock for conversion of debt		$	74,211			$	238,124
Consolidation of debt			137,500				-
Transfer of convertible related party debt			35,000				100,000
Issuance of preferred stock for financings			100,000				-
Related party accrued expenses to convertible debt related party			-				706,248

 

See accompanying notes to consolidated financial statements.

 

 

METALERT INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEARS ENDED DECEMBER 31, 2023 AND 2022

 

1. ORGANIZATION AND BASIS OF PRESENTATION

 

During the periods covered by these financial statements, MetAlert, Inc. and its subsidiaries (the “Company”, “MetAlert”, “we”, “us”, and “our”) were engaged in business operations that design, manufacture and sell various interrelated and complementary products and services in the wearable technology and Personal Location Services marketplace. MetAlert owns 100% of the issued and outstanding capital stock of its two subsidiaries - Global Trek Xploration, Inc., Level 2 Security Products, Inc.

 

Global Trek Xploration, Inc. is a wearable technology company which designs, manufactures, sells, and distributes tracking and remote patient monitoring solutions for humans. Utilizing patent protected proprietary hardware, software, connectivity, Global Positioning System (“GPS”) and Bluetooth Low Energy (“BLE”) monitoring and tracking platform, which provides real-time tracking and monitoring of people. Utilizing a miniature quad-band GPRS transceiver, antenna, circuitry, battery and inductive charging pad our solutions can be customized and integrated into numerous products whose location and movement can be monitored in real time over the Internet through our 24x7 tracking portal or on a web enabled cellular telephone. Our core products and services are supported by an IP portfolio of patents, patents pending, registered trademarks, copyrights, URL’s and a library of software source code, all of which is managed by Global Trek.

 

Level 2 Security Products, Inc. is in the high value non-human asset monitoring and recovery business for items such as firearms, vehicles, bikes, boats, ATVs, and a host of other valuable mobile assets which require oversight monitoring and theft recovery.

 

LOCiMOBILE, Inc’s, digital assets are now under the management of the parent company MetAlert and remain there, post dissolution, of the corporate entity (LOCiMobile, Inc.). The Company’s digital platform which has been at the forefront of Smartphone application (“App”) development since 2008 designs mobile applications that turn the iPhone, iPad, Android and other GPS enabled handsets into a tracking device which can then be tracked from any mobile device or through our proprietary tracking portal or on any connected device with internet access.

 

Basis of Presentation

 

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States. The accompanying consolidated financial statements reflect the accounts of MetAlert, Inc. and its wholly owned subsidiaries. All significant inter-company balances and transactions have been eliminated.

 

On September 12, 2022, the Company effected a 1-for-65 reverse stock split of its common stock. All references to shares of common stock outstanding, average number of shares outstanding and per share amounts in these consolidated financial statements and notes to consolidated financial statements have been restated to reflect as if the reverse stock split occurred as of the earliest period presented.

 

Going Concern

 

The consolidated financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has incurred a net loss of $1,190,158 during the year ended December 31, 2023, has incurred losses since inception resulting in an accumulated deficit of $28,746,629 as of December 31, 2023, and has a stockholders’ deficit of $3,898,874 as of December 31, 2023. The Company anticipates further losses in the development of its business. These factors raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date of the financial statements being issued. The ability of the Company to continue as a going concern is dependent upon the Company’s ability to raise additional funds and implement its business plan. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

 

The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. The Company’s ability to raise additional capital through the future issuances of debt or equity is unknown. The ability to obtain additional financing, the successful development of the Company’s contemplated plan of operations, or its ability to achieve profitable operations are necessary for the Company to continue operations, and there is no assurance that these can be achieved. The ability to successfully resolve these factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements of the Company do not include any adjustments that may result from the outcome of these aforementioned uncertainties.

 

F-6

 

 

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Revenue Recognition

 

The Company recognizes revenue in accordance with ASU 2014-09, Revenue from Contracts with Customers (Topic 606), (“ASC 606”). The underlying principle of ASC 606 is to recognize revenue to depict the transfer of goods or services to customers at the amount expected to be collected. ASC 606 creates a five-step model that requires entities to exercise judgment when considering the terms of contract(s), which include (1) identifying the contract or agreement with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.

 

We derive our revenues primarily from hardware sales, subscription services fees, IP licensing and professional services fees. Hardware includes our SmartSole, GunTracker, Military and other Stand-Alone Devices. Subscription services revenues consist of fees from customers accessing our Geo-Location cloud-based platform through subscription or license fee, that are billed monthly, quarterly, semi-annual or annually. Predominately most of our subscriptions at this time are billed monthly and recognized at the time of billing. Professional services and other revenues consist primarily of fees from implementation services, configuration, data services, training and managed services related to our solutions, which are also recognized at the time of billing once the service has been performed/delivered IP licensing is related to any agreement with 3^rd parties to license our IP portfolio and that revenue is recognized as per the term of the specific licensing agreements.

 

The Company’s initial point of contact with its retail customers is thru its e-commerce site whereby any contract with the customer is entered into and dealt with thru the online ordering process and does not require performance beyond delivery. Shipping and handling activities are performed before the customer obtains control of the goods and therefore represent a fulfillment activity rather than a promised service to the customer. Revenue and costs of sales are recognized when control of the products transfers to our customer, which generally occurs upon shipment from our facilities. The Company’s performance obligations are satisfied at that time.

 

The Company’s recognizes revenues with its wholesale customers, as with retail, upon shipment, and recurring subscription revenue is recognized at the time of billing which is done 30 days in the arrears from delivery of service. Rendering the service obligation fulfilled

 

Product sales

 

At the inception of each customer sale, either online or through a purchase order, we assess the goods and services promised in our contracts and identify each distinct performance obligation. The Company recognizes revenue upon the transfer of control of promised products or services to the customer in an amount that depicts the consideration the Company expects to be entitled to for the related products or services. For the large majority of the Company’s sales, transfer of control occurs once the product has shipped and title and risk of loss have transferred to the customer.

 

Services Income

 

The Company’s software solutions are available for use as hosted application arrangements under subscription fee agreements without licensing perpetual rights to the software. Subscription fees from these applications are recognized over time on a ratable basis over the customer agreement term beginning on the date the Company’s solution is made available to the customer. Our subscription contracts are generally one to three months in length. Amounts that have been invoiced are recorded in accounts receivable and deferred revenues or revenues, depending on whether the revenue recognition criteria have been met.

 

Other revenue can include various items, such as our professional services arrangements that are recognized on a time and materials basis. Professional services revenues recognized on a time and materials basis are measured monthly based on time incurred and contractually agreed upon rates. Certain professional services revenues are based on fixed fee arrangements and revenues are recognized based on the proportional performance method. In some cases, the terms of our time and materials and fixed fee arrangements may require that we defer the recognition of revenue until contractual conditions are met. Data services and training revenues are generally recognized as the services are performed. Additionally, we have had non-compete revenue from the sale of assets, engineering, and design work, all of which are recognized over the term of the agreed contracts.

 

F-7

 

 

Royalty revenue from a non-compete agreement expired in June of 2023.

 

Licensing Revenue

 

Licensing revenue recorded by the Company relates exclusively to the Company’s monetization of IP licenses. The Company recognizes revenue for licensing under ASC 606, which provides revenue recognition constraints by requiring the recognition of revenue at the later of the following: 1) sale or usage of the products or 2) satisfaction of the performance obligations. The Company has satisfied its performance obligations and therefore recognizes licensing revenue when the sales to which the licensing relate are completed, under the terms of the specific licensing agreement.

 

During the year ended December 31, 2023, the Company did not recognize any revenue on settlements.

 

Disaggregation of Net Sales

 

The following table shows the Company’s disaggregated net sales by product type:

SCHEDULE OF DISAGGREGATION OF NET SALES

		December 31, 2023				December 31, 2022
Product sales		$	181,022			$	213,306
Service income			67,309				121,300
Total		$	248,331			$	334,606

 

The following table shows the Company’s disaggregated net sales by customer type:

 

		December 31, 2023				December 31, 2022
B2B		$	182,839			$	211,237
B2C			65,492				123,369
Military			-				-
IP			-				-
Total		$	248,331			$	334,606

 

Allowance for Doubtful Accounts

 

We extend credit based on our evaluation of the customer’s financial condition. We carry our accounts receivable at net realizable value. We monitor our exposure to losses on receivables and maintain allowances for potential losses or adjustments. We determine these allowances by (1) evaluating the aging of our receivables; and (2) reviewing high-risk customer’s financial condition. Past due receivable balances are written off when our internal collection efforts have been unsuccessful in collecting the amount due. Our allowance for doubtful accounts was $12,431 as of December 31, 2023, and as of December 31, 2022. The allowance fully reserves any questionable accounts receivable balances over 90 days.

 

Shipping and Handling Costs

 

Shipping and handling costs are included in cost of goods sold in the accompanying consolidated statements of operations.

 

F-8

 

 

Product Warranty

 

The Company’s warranty policy provides repair or replacement of products (excluding GPS Shoe devices) returned for defects within ninety days of purchase. The Company’s warranties are of an assurance-type and come standard with all Company products to cover repair or replacement should product not perform as expected. Provisions for estimated expenses related to product warranties are made at the time products are sold. These estimates are established using historical information about the nature, frequency and average cost of warranty claim settlements as well as product manufacturing and recovery from suppliers. Management actively studies trends of warranty claims and takes action to improve product quality and minimize warranty costs. The Company estimates the actual historical warranty claims coupled with an analysis of unfulfilled claims to record a liability for specific warranty purposes. As of December 31, 2023 and 2022, products returned for repair or replacement have been immaterial. Accordingly, a warranty liability has not been deemed necessary.

 

Use of Estimates

 

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Material estimates relate to the assumptions made in determining reserves for uncollectible receivables, inventory reserves and returns, impairment analysis of long-term assets and deferred tax assets, accruals for potential liabilities and assumptions made in valuing the fair market value of equity transactions. Estimates are updated on an ongoing basis and are evaluated based on historical experience and current circumstances. Changes in facts and circumstances in the future may give rise to changes in these estimates which may cause actual results to differ from current estimates.

 

Fair Value Estimates

 

Pursuant to the Accounting Standards Codification (“ASC”) No. 820, “Disclosures About Fair Value of Financial Instruments”, the Company records its financial assets and liabilities at fair value. ASC No. 820 provides a framework for measuring fair value, clarifies the definition of fair value and expands disclosures regarding fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. ASC No. 820 establishes a three-tier hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value:

 

	Level 1 -	Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.
	Level 2 -	Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the asset/liability’s anticipated life.
	Level 3 -	Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model.

 

The carrying values for cash and cash equivalents, accounts receivable, investment in marketable securities, other current assets, accounts payable and accrued liabilities approximate their fair value due to their short maturities. The carrying values of notes payable and other financing obligations approximate their fair values because interest rates on these obligations are based on prevailing market interest rates.

 

Principles of Consolidation

 

The accompanying condensed consolidated financial statements at December 31, 2023 and December 31, 2022 and for the years then ended include the accounts of MetAlert, Inc. and the following majority-owned subsidiaries.

 SCHEDULE OF MAJORITY- OWNED SUBSIDIARIES

Subsidiary:		Percentage Owned
		September 30, 2023				December 31, 2022
Global Trek Xploration			100.00	%			100.00	%
Level 2 Security Products, Inc. (see Footnote 5)			100.00	%			0	%

 

All Intercompany transactions have been eliminated upon consolidation.

 

Cash and Cash Equivalents

 

Cash equivalents consist of highly liquid investments with insignificant rate risk and with original maturities of three months or less at the date of purchase.

 

F-9

 

 

Inventory

 

Inventory generally consists of raw materials and finished goods and is valued at the lower of cost (first-in, first-out) or net realizable value. The Company evaluates its inventory for excess and obsolescence on a regular basis. In preparing the evaluation the Company looks at the expected demand for the product, as well as changes in technology, in order to determine whether or not a reserve is necessary to record the inventory at net realizable value. For the years ending December 31, 2023 and 2022 the Company did not recognize any charges to expense associated with excess and obsolete inventory cost adjustments.

 

Property and Equipment

 

Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated using the straight-line method over the estimated three-year useful lives of the assets. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Expenditures for maintenance and repairs are expensed as incurred.

 

Management assesses the carrying value of property and equipment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If there is indication of impairment, management prepares an estimate of future cash flows expected to result from the use of the asset and its eventual disposition. If these cash flows are less than the carrying amount of the asset, an impairment loss is recognized to write down the asset to its estimated fair value.

 

Research and Development Costs

 

Research and development costs consist primarily of fees paid to consultants and outside service providers, patent fees and costs, and other expenses relating to the acquisition, design, development and testing of the Company’s products. Research and development expenditures are expensed as incurred and totaled $18,859 and $18,961 for the years ended December 31, 2023 and 2022, respectively.

 

Concentrations

 

We can rely on one or two manufacturers to supply us with our GPS SmartSole, in Germany and the U.S. Currently, for the Gun Tracker we have one supplier in China, but in order to have redundances we are looking for sources in the US and Mexico for manufacturing. However, the loss of any of these manufacturers could severely impede our ability to manufacture the GPS SmartSole and Gun Tracker, and thus as we increase production we are looking to augment and grow our vendors and supply chains accordingly.

 

As of December 31, 2023, the Company had four customers representing approximately 29%, 16%, 16% and 15% of sales and four customers representing approximately 45%, 14%, 11% and 7% of total accounts receivable, respectively. The Company had four customers representing approximately 28%, 21%, 15% and 95% of sales and three customers representing approximately 50%, 22%, and 15% of total accounts receivable, respectively, for the year ended December 31, 2022.

 

Intangible Assets

 

The Company records identifiable intangible assets acquired from other enterprises or individuals at cost. Intangible assets consist of a licensing agreement enabling the Company to sell its GPS-related vehicle tracking software and services which is being amortized over the life of the licensing agreement.

 

Marketable Securities

 

The Company’s securities investments that are acquired and held principally for the purpose of selling them in the near term are classified as trading securities. Trading securities are recorded at fair value based on quoted market price (level 1) on the balance sheet in current assets, with the change in fair value during the period included in earnings.

 

F-10

 

 

Net Loss Per Common Share

 

Basic loss per share is computed by dividing the net loss applicable to common stockholders by the weighted average number of outstanding common shares during the period. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest. Diluted loss per share is computed by dividing net loss applicable to common stockholders by the weighted average number of common shares outstanding plus the number of additional common shares that would have been outstanding if all dilutive potential common shares had been issued. Shares of restricted stock are included in the diluted weighted average number of common shares outstanding from the date they are granted unless they are antidilutive. Diluted loss per share excludes all potential common shares if their effect is anti-dilutive. The following potentially dilutive shares were excluded from the shares used to calculate diluted earnings per share as their inclusion would be anti-dilutive:

SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM CALCULATION OF DILUTED EARNINGS PER SHARE

		2023				2022
		December 31,
		2023				2022
Warrants			846,152				603,846
Preferred B shares			1,600,000				24,616
Preferred C shares			1,000,000				10,264
Preferred D shares			2,600,000				-
Conversion shares upon conversion of notes			111,624,469				110,976,351
Total			117,670,623				111,615,077

 

Income Taxes

 

The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized by applying the statutory tax rates in effect in the years in which the differences between the financial reporting and tax filing bases of existing assets and liabilities are expected to reverse. Valuation allowances are established when necessary to reduce deferred tax assets to the amounts expected to be realized.

 

Stock-based Compensation

 

The Company periodically issues common stock and stock options to officers, directors, and consultants for services rendered. Options vest and expire according to terms established at the issuance date of each grant. Stock grants, which are generally time vested, are measured at the grant date fair value and charged to operations ratably over the vesting period. Through December 31, 2018, the Company accounted for stock-based payments to officers and directors by measuring the cost of services received in exchange for equity awards utilizing the grant date fair value of the awards, with the cost recognized as compensation expense on the straight-line basis in the Company’s financial statements over the vesting period of the awards. The Company accounted for stock-based payments to Scientific Advisory Committee members and consultants by determining the value of the stock compensation based upon the measurement date at either (a) the date at which a performance commitment was reached or (b) at the date at which the necessary performance to earn the equity instruments was complete.

 

In accordance with the Company’s adoption of Accounting Standards Update 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, effective January 1, 2019, stock options granted to outside consultants are now accounted for consistent with the accounting for stock-based payments to officers and directors, as described above, by measuring the cost of services received in exchange for equity awards utilizing the grant date fair value of the awards, with the cost recognized as compensation expense on the straight-line basis in the Company’s financial statements over the vesting period of the awards.

 

Segments

 

The Company operates in one segment for the manufacture and distribution of its products. In accordance with the “Segment Reporting” Topic of the ASC, the Company’s chief operating decision maker has been identified as the Chief Executive Officer and President, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. Existing guidance, which is based on a management approach to segment reporting, establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products and services, major customers, and the countries in which the entity holds material assets and reports revenue. All material operating units qualify for aggregation under “Segment Reporting” due to their similar customer base and similarities in: economic characteristics; nature of products and services; and procurement, manufacturing and distribution processes. Since the Company operates in one segment, all financial information required by “Segment Reporting” can be found in the accompanying financial statements.

 

Recently Issued Accounting Pronouncements

 

In June 2016, the FASB issued ASU No. 2016-13, Credit Losses - Measurement of Credit Losses on Financial Instruments (“ASC 326”). The standard significantly changes how entities will measure credit losses for most financial assets, including accounts and notes receivables. The standard will replace today’s “incurred loss” approach with an “expected loss” model, under which companies will recognize allowances based on expected rather than incurred losses. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. As small business filer, the standard will be effective for us for interim and annual reporting periods beginning after December 15, 2022. The Company is currently assessing the impact of adopting this standard on the Company’s financial statements and related disclosures.

 

Other recent accounting pronouncements issued by the FASB, its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company’s present or future consolidated financial statements.

 

F-11

 

 

3. INVESTMENTS IN MARKETABLE SECURITIES

 

The Company’s investments in marketable securities is comprised of shares of stock of two (2) entities with ownership percentages of less than 5%. The Company accounted for these investments pursuant to ASU 320, Investments – Debt and Equity Securities. As such, these investments were recorded at their market value as of December 31, 2019, with the change in fair value being reflected in the statement of operations. These investments consisted of the following:

 

As of December 31, 2022, the Company owned 42,500 shares of Inventergy Global, Inc. common stock with a fair value of $638. The Company was able to obtain observable evidence that the investment had a market value of $0.015 per share, or an aggregate value of $638 as of the period ended December 31, 2023. As such, the Company recorded no change in market value during the period ended December 31, 2023, in its statement of operations.

 

In June 2019, the Company acquired 22,222 shares of Inpixon’s restricted common stock (after giving effect to a 1:45 stock split) valued at $634,000. As of December 31, 2019, after the sale of 10,889 Inpixon shares, the Company owned 11,333 Inpixon shares with a fair value of $58,374. During the period ended March 31, 2020, the Company sold 8,500 of its Inpixon shares for total proceeds of $146,201 and recognized a gain from the sale of these shares of $102,420.

 

During the period ended December 31, 2021, the Company sold 834 of its Inpixon shares for total net proceeds of $1,258. The Company was able to obtain observable evidence that the remaining 2,000 shares had a market value of $2,040 as of December 31, 2021, as such, the Company recorded a loss from the decrease in the fair value of the shares of $851, resulting in a net loss from their investment in Inpixon shares during the current period ended December 31, 2021.

 

During the period ended December 31, 2022, the Company shares were reverse down to 27 shares. The Company was able to obtain observable evidence that these 27 shares had a market value of $45 as of December 31, 2021, as such, the Company recorded a loss from the decrease in the fair value of the shares of $1,995, resulting in a net loss from their investment in Inpixon shares during the period ended December 31, 2022.

 

The Company was able to obtain observable evidence that the remaining 2,000 shares had a market value of $11 as of December 31, 2023, as such, the Company recorded a change in the fair value of the shares, resulting in a net loss from the investment in Inpixon shares of $34 during the current period ended December 31, 2023.

 

4. INVENTORY

 

Inventories consist of the following:

 SCHEDULE OF INVENTORY

		2023				2022
		December 31,
		2023				2022
Raw materials		$	24,936			$	51,531
Finished goods			206,882				18,581
Total Inventories		$	231,818			$	70,112

 

5. ASSET ACQUISITION

 

On September 5, 2023, the Company finalized the acquisition of Level 2 Security, LLC, a Delaware corporation (“Level 2”), pursuant to which Level 2 will merge with and into Level 2 Security Products, Inc. a Nevada corporation wholly-owned by MetAlert, Inc.

 

The Company completed the merger of Level 2, in accordance with the terms of the Merger Agreement. Under the terms of the Merger Agreement, the Company issued an aggregate of 7,100,000 shares of Company common stock (the “Merger Shares”) to the owners of Level 2 and an aggregate of $200,000 in principal amount for convertible promissory notes (the “Merger Notes”), which were delivered to the owners of Level 2.

 

At the merger date, the Company received 2 commercial ready locate and recovery devices (GUNALERT and IF IT MOVES), approximately $40,000 in cash and 3,700 units of ready to ship product inventory of GUNALERT and IF IT MOVES, Intellectual Property of $276,157 (inclusive of trademarks, tooling, molds, and development costs), digital collateral, an online Shopify store, an Amazon account, smartphone apps, and an ongoing research and development roadmap for possible future product releases.

 

The Company concluded that the arrangement meets the definition of an asset acquisition rather than a business combination, as substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset, Level 2’s design and production of the recovery devices. In addition, the Company did not obtain any substantive processes, assembled workforce, or employees capable of producing outputs in connection with the Asset Acquisition.

 

The Company determined that the cost to acquire the asset was $547,900 which was recorded as acquired IPR&D. The fair value of the consideration issued consisted of the 7,100,000 shares of Common Stock valued at $347,900 and $200,000 in convertible notes. The identifiable finite-lived assets are being amortized over their useful life, which was determined to be 5 years as of the closing date.

 

The strategic synergy from the merger enables us to expand our target market beyond those of humans with cognitive disorders and opens the doors to entire new and much larger markets.

 

This technology is designed to immediately let you know through an app notification, if your asset has been touched, moved, or stolen. With none of the data ever being stored on a server, allowing for maximum privacy.

 

On September 30, 2023, we received and delivered to Range USA which has 40+ locations across 10 states, our first commercial order for the GUNALERT® firearm recovery device.

 

F-12

 

 

The following allocation of the purchase price is as follows:

 SCHEDULE OF PURCHASE PRICE ALLOCATION

Assets and liabilities acquired:
Consideration given:
Convertible notes			200,000
Common stock			347,900
			547,900
Assets and liabilities acquired:
Cash			42,408
Inventory			229,335
Intangible assets:
Patents and trademarks			50,000
Tooling & molds			25,300
Website development			9,400
Software development			191,457
Intangible assets			191,457
Assets and Liabilities acquired			547,900

 

6. PROPERTY AND EQUIPMENT

 

Property and equipment, net, consists of the following:

SCHEDULE OF PROPERTY AND EQUIPMENT 

		2022				2021
		December 31,
		2022				2021
Software		$	25,890			$	25,890
Website development			91,622				91,622
Software development			394,772				394,772
Equipment			1,750				1,750
Less: accumulated depreciation			(488,254	)			(454,913	)
Total property and equipment, net		$	25,780			$	59,121

 

Depreciation expense for the years ended December 31, 2023 and 2022 was $33,341 and $33,340, respectively, and is included in general and administrative expenses.

 

F-13

 

 

7. INTANGIBLE ASSETS

 

Intangible assets, net, consists of the following:

 SCHEDULE OF INTANGIBLE ASSETS

		December 31, 2023				December 31, 2022
Trademarks		$	3,308			$	3,308
Tooling and molds			25,300				-
Website development			9,400				-
Software development			191,457				-
Acquired patents and trademarks			50,000				-
Less: accumulated amortization			(17,704	)			-
Total intangible assets, net		$	261,761			$	3,308

 

Amortization expense for the period ended December 31, 2023, and 2022 was $17,704 and $0, respectively, and is included in general and administrative expenses.

 

As part of the Level 2 Securities LLC acquisition, the Company determined the value of the IP (various tooling, product and software development, trademarks, and patents costs) at this early stage, pre-revenue, by taking the accumulated selected costs, summing them by category, and calculating each categories percent of the total, to come up with a list of capitalizable assets that had value as part of the merger. These accumulated capitalized costs were then applied an obsolescence factor to discount those values, allowing for an arm’s length, non-bargain purchase price. This allocation of the IP was done using the cost approach as the economic benefit to MetAlert are the avoided costs spent to date, and thus would not have to spend those development costs going forward ourselves.

 

This method is especially relevant when there are no reliable forecasts for the business at date of acquisition or said forecasts would involve a lot of speculation. We then determined that a 5-year amortization period for these assets would be considered reasonable.

 

8. NOTES & LOANS PAYABLE

 

The following table summarizes the components of our short-term borrowings:

 SUMMARY OF COMPONENTS OF OUR SHORT-TERM BORROWINGS

		December 31, 2023				December 31, 2022
(a) Term loan		$	146,195			$	149,120
(b) Revolving line of credit			7,000				7,000
(b) Revolving line of credit			95,040				74,651
Total		$	248,235			$	230,771

 

(a) Term loan(s)

 

In 2022, the Company entered into an unsecured short-term loan agreements with various third parties for an aggregate principal balance of $145,000 at an interest rate of 5% per annum, with the interest adjusted to 10% in the case of a default. One loan for $25,000 was paid in full on April 14, 2022, leaving $120,000 outstanding as of December 31, 2023.

 

In September of 2019, the Company entered into an unsecured term loan agreement with a third party for an aggregate principal balance of $50,000 at an interest rate of 5% per annum in relation to an Asset Purchase Agreement. The term loan became due on December 31, 2020, and is currently past due. The principal balance outstanding on the note as of December 31, 2023, was $34,176, which included $7,981 in interest, $4,500 in cash payments to principal and reductions of $19,305 due to sublet fees for office space and principal payments.

 

(b) Lines of Credit

 

The Company obtained a revolving line of credit agreement with an accredited investor of $500,000 during 2018. There were three borrowings against the line as of December 31, 2018 for aggregate borrowings of $65,000 and two borrowing in 2019 for $65,000 for a total of $130,000. During the period ended December 31, 2020, the Company repaid $76,000 in principal and all of its accrued interest of $4,204, resulting in a balance due of $22,000 as of December 31, 2020. During the period ended December 31, 2021, the Company repaid $10,000 in principal and all of its interest of $560, as incurred, resulting in a balance due of $7,000 as of December 31, 2021. There were no changes to the line of credit for the period ending December 31, 2023.

 

The line bears interest of 8.5%. The line is based upon MetAlert providing the investor with purchase orders and use of proceeds, including production of goods schedules and loan repayment timelines. These loans/drawdowns are specifically for product, inventory and/or purchase order financing. Upon completion of the terms of the Line of Credit, MetAlert, Inc. will issue to the investor 7,500,000 shares of MetAlert common stock or $75,000 of MetAlert common stock, whichever is greater.

 

The Company also has an unsecured line of credit, guaranteed by its CEO, with its business bank, Union Bank, whereby funds can be borrowed at a revolving adjustable rate of 2 points over prime, currently 8.25%, with a max borrowing amount of $100,000. The balance at December 31, 2023 and December 31, 2022 was $95,040 and $81,651, respectively, with $46,881 having been borrowed and $26,492 paid back in the December 31, 2023 period.

 

F-14

 

 

9. CONVERTIBLE PROMISSORY NOTES – PAST DUE

 

As of December 31, 2023 and December 31, 2022, the Company had a total of $1,483,764 and $843,000, respectively, of convertible notes payable, which consisted of the following:

SCHEDULE OF CONVERTIBLE NOTES PAYABLE 

		December 31, 2023				December 31, 2022
Convertible Notes – with fixed conversion, past due		$	415,500			$	843,000
Convertible Notes – with fixed conversion			732,500				-
Convertible Notes – with fixed conversion and OID			74,930				-
Convertible Note – with variable conversion			68,000				-
Notes issued in relation to acquisition – with fixed conversion			200,000				-
Less: Debt discount			(6,788	)			-
Total convertible notes, net of debt discount		$	1,484,142			$	843,000

 

a)

Included in Convertible Notes - with fixed conversion terms, are loans provided to the Company from various investors These notes carry simple interest rates ranging from 0% to 12% per annum and with terms ranging from 1 to 2 years. In lieu of the repayment of the principal and accrued interest, the outstanding amounts are convertible, at the option of the note holder, generally at any time on or prior to maturity and automatically under certain conditions, into the Company’s common shares at $0.015 to $0.30 per share. These notes became due in 2017 and prior, and are currently past due.

 

During the twelve months ended December 31, 2022, $100,000 of the Company’s executive notes were transferred to third parties for cash. The transferred notes had no change in terms thus no resulting gain or loss on the extinguishment and transfer. As per the original terms the notes bear a 10% annual interest rate, gives the holder the right, but not the obligation to convert up to 50% of the amount advanced and accrued interest into shares, warrants or options of common or preferred stock of the Company at fixed rate of $0.01 per share. As of December 31, 2022, the Company had paid off a $10,000 note with $4,639 of accrued interest for cash, and converted $5,000 of a note with $460 in accrued interest into 546,000 shares of common stock.

 

During the twelve months ending December 31, 2023, noteholders converted $31,515 of notes with accrued interest of $4,015 into 31,151,537 shares of common stock. On March 14, 2023, the Company entered into an unsecured short-term loan agreement with a third party for an aggregate of $74,650 with an interest rate of 12%, an original issue discount of $7,150, financing costs of $2,500, with installment payments of $8,361 paid back monthly starting 45 days from the issuance date, with $66,886 of payments having paid as of September 30, 2023. This same lender entered into another unsecured note for $68,000 with a 35% discount to market rate, if the note was note paid back by September 30, 2024.

 

		During the twelve months ended December 31, 2023, an additional $35,000 of the Company’s executive notes were transferred to third parties for cash. The transferred notes had no change in terms thus no resulting gain or loss on the extinguishment and transfer. As per the original terms the notes bear a 10% annual interest rate, gives the holder the right, but not the obligation to convert up to 50% of the amount advanced and accrued interest into shares, warrants or options of common or preferred stock of the Company at fixed rate of $0.01 per share.
		A noteholder invested $125,000 on June 9, 2023, and an additional $35,000 on September 20, 2023, in the Company with convertible notes at a 10% interest rate and a fixed conversion price of $0.04 and $0.05, respectively.
		On July 25, 2023, and August 30, 2023, a noteholder invested $30,000 each in the Company with convertible notes that have a 17% OID and a fixed conversion price of $0.11.
		During the twelve months ended December 31, 2023, the Company consolidated various past-due convertible promissory notes in an aggregate amount of $400,000 inclusive of interest at a 12% interest rate and with conversion rates ranging from .30 to $9.75 with an investor into a new single note. The convertible promissory note agreement bears interest at seven (6%) percent, has a one (1) year maturity date. The note may be repaid in whole or in part any time prior to maturity. The promissory note is convertible at the investor’s sole discretion, into common shares at a conversion price of $4.00. The resulting modification of the notes resulted in a forgiveness of accrued interest of $27,537.
		During the twelve months ended December 31, 2023, the Company issued $200,000 in convertible notes in conjunction with the purchase of Level 2 Securities, LLC. These notes agreements bear an interest rate of 10% and are convertible at the investor’s sole discretion, into common shares at a conversion price of $0.01.
		As of December 31, 2023, and December 31, 2022, $415,500 and $678,000 of these convertible notes are currently past due, with no associated penalties.

 

10. CARE Loans

SCHEDULE OF LOANS PAYABLE 

		December 31, 2023				December 31, 2022
a) PPP loan – short term		$	-			$	-
b) EIDL loan – short term			12,972				7,903
b) EIDL loan – long term			137,028				142,097
Total CARE loans		$	150,000			$	150,000

 

F-15

 

 

(a) Paycheck Protection Program Loan

 

On April 30, 2020, the Company executed a note (the “PPP Note”) for the benefit of MUFG Union Bank, NA (the “Lender”) in the aggregate amount of $67,870 under the Paycheck Protection Program (“PPP”) of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”). The PPP is administered by the U.S. Small Business Administration (the “SBA”). The interest rate of the loan is 1.00% per annum and accrues on the unpaid principal balance computed on the basis of the actual number of days elapsed in a year of 360 days. Commencing seven months after the effective date of the PPP Note, MetAlert is required to pay the Lender equal monthly payments of principal and interest as required to fully amortize any unforgiven principal balance of the loan by the two-year anniversary of the effective date of the PPP Note (the “Maturity Date”). The Maturity Date can be extended to five years if mutually agreed upon by both the Lender and MetAlert. The PPP Note contains customary events of default relating to, among other things, payment defaults, making materially false or misleading representations to the SBA or the Lender, or breaching the terms of the PPP Note. The occurrence of an event of default may result in the repayment of all amounts outstanding under the PPP Note, collection of all amounts owing from MetAlert, or filing suit and obtaining judgment against MetAlert. Under the terms of the CARES Act, PPP loan recipients can apply for and be granted forgiveness for all or a portion of the loan granted under the PPP. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds for payment of payroll costs and any payments of mortgage interest, rent, and utilities. Recent modifications to the PPP by the U.S. Treasury and Congress have extended the time period for loan forgiveness beyond the original eight-week period, making it possible for MetAlert to apply for forgiveness of its PPP loan. No assurance can be given that MetAlert will be successful in obtaining forgiveness of the loan in whole or in part, as such the Company has moved the PPP Loan into short-term liabilities, until further instructions are received. The Company was in compliance with the terms of the PPP loan as of December 31, 2021, and has accrued interest on the loan of $1,160 as of December 31, 2021.

 

During the period ended December 31, 2022, the Company received notification that the loan was forgiven, and as such, $68,870 of principal has been recognized on the income statement under other income, as of December 31, 2022.

 

(b) Economic Injury Disaster Loan

 

On June 10, 2020, the Company executed a secured loan with the U.S. Small Business Administration (SBA) under the Economic Injury Disaster Loan program in the amount of $150,000. The loan is secured by all tangible and intangible assets of the Company and payable over 30 years at an interest rate of 3.75% per annum. Installment payments, including principal and interest, started in December 2022. As part of the loan, the Company also received an advance of $10,000 from the SBA. While the SBA refers to this program as an advance, it was written into law as a grant. This means that the amount given through this program does not need to be repaid and has been recognized as Other Income.

 

As of December 31, 2023, the Company calculated that 31 months of the 360 periods on the 30-year loans should be considered short-term (months since installment plan was supposed to begin), and as such $12,972 is considered short-term liabilities, has accrued interest on the loan of $21,733 as of December 31, 2023, or until the Company has received more definitive correspondence related to any potential forgiveness.

 

11. RELATED PARTY TRANSACTIONS

 

Convertible Notes Due to Related Parties

 

During the period ended December 31, 2023, the related parties converted $40,000 of debt, plus interest, for 4,269,600 shares of common stock. Additionally, the Company’s executives transferred $35,000 of their outstanding employee notes for cash to a third party. Lastly, one executive applied various payments to a note The transferred notes had no change in terms, thus resulting in no gain or loss on the extinguishment related to the transfer of debt, making the outstanding balance on the related party notes on December 31, 2023, as $1,219,313, net of debt discounts.

 

During the period ended December 31, 2022, the Company relieved the outstanding payables due to related parties by $706,248 and converted those amounts into additional notes with an aggregate amount of $706,248. As the conversion price embedded in the note agreements was below the trading price of the common stock on the dates of issuance, a beneficial conversion feature (BCF) was recognized at the date of issuance. The Company recognized a debt discount at the date of issuance in the aggregate amount of $167,339 related to the intrinsic value of beneficial conversion feature. The related parties converted $108,602 of debt for 4,269,600 shares of common stock. Additionally, the Company’s executives transferred $100,000 of their outstanding employee notes for cash to a third party, which lowered the related party notes and increased the convertible note balance by $100,000. The transferred notes had no change in terms, thus resulting in no gain or loss on the extinguishment related to the transfer of debt, making the outstanding balance on the related party notes on December 31, 2022, as $1,206,738, net of debt discounts.

 

F-16

 

 

Accrued wages and costs - In order to preserve cash for other working capital needs, various officers, members of management, employees and directors agreed to defer portions of their wages and sometimes various out-of pocket expenses since 2011. As of December 31, 2023, and 2022, the Company owed $195,791 and $26,948, respectively, for such deferred wages and other expenses owed for other services which are included in the accrued expenses – related parties on the accompanying balance sheet.

 

Officer Loans

 

On November 18, 2022, an officer loaned the Company $10,000 at a 10% interest rate on a short-term basis.

 

During the period ended December 31, 2023, the same office loaned another $3,500, was paid $2,000 in principal and $850 in interest, leaving a balance of $11,500 in principal on December 31, 2023.

 

A second officer loaned the Company $35,000, both at the 10% interest rate, with a total of $2,000 in principal and $850 in interest being paid back during this period.

 

For the period ending December 31, 2023, the outstanding balance on officer loans was $46,500.

 

12. DERIVATIVE LIABILITIES

 

Under authoritative guidance used by the FASB on determining whether an instrument (or embedded feature) is indexed to an entity’s own stock, instruments which do not have fixed settlement provisions are deemed to be derivative instruments. The Company has issued certain convertible notes which conversion prices are based on a future market price. However, since the number of shares to be issued is not explicitly limited, the Company is unable to conclude that enough authorized and unissued shares are available to share settle the conversion option. As a result, the conversion option is classified as a liability and bifurcated from the debt host and accounted for as a derivative liability in accordance with ASC 815 and will be re-measured at the end of every reporting period with the change in value reported in the statement of operations.

 

At December 31, 2020 it was determined that the Preferred A shareholders having the majority vote agreed to increase the number of authorized shares, if needed, to settle any convertible debt, and thus the liability was determined to be $0.

 

13. INCOME TAXES

 

Reconciliations of the total income tax provision tax rate to the statutory federal income tax rate of 21% for the years ended December 31, 2023 and 2022, are as follows:

SCHEDULE OF RECONCILIATIONS OF INCOME TAX PROVISION TAX RATE  

		2023				2022
Federal income tax benefit calculated at statutory rate		$	288,764			$	423,743
State income tax benefit, net of federal benefit			116,236				87,257
Less: Stock based compensation expense			(21,000	)			(226,000	)
Effect of rate change from 34% to 21%			(2,664,000	)			(2,517,000	)
Change in valuation allowance			2,280,000				2,232,000
Net tax provision		$	-			$	-

 

The cumulative tax effect at the expected rate of 21% of significant items comprising our net deferred tax amount is as follows at December 31:

SCHEDULE OF DEFERRED TAX ASSETS  

		2023				2022
Deferred tax asset attributable to:
Net operating losses carried forward		$	4,303,602			$	4,066,525
Less: Valuation allowance			(4,303,602	)			(4,066,525	)
Net deferred tax asset		$	-			$	-

 

At December 31, 2023, the Company had an unused net operating loss carryover approximating $20,490,931, subject to section 382 limitations, that is available to offset future taxable income, which expires beginning in 2028.

 

The Company established a full valuation allowance. The Company continually reviews the adequacy of the valuation allowance and recognizes a benefit from income taxes only when reassessment indicates that it is more likely than not that the benefits will be realized.

 

F-17

 

 

14. EQUITY

 

The Company has 10,000,000 shares of preferred stock authorized. From this pool the following preferred shares have been classified as:

 

Preferred Stock – Series A

 

During the year ended December 31, 2018, the Company authorized 1,000,000 of preferred Series A preferred shares, which shares to have voting rights equal to two-thirds of all the issued and outstanding shares of common stock, shall be entitled to vote on all matters of the corporation, and shall have the majority vote of the board of directors. The subject preferred stock lacks any dividend rights, does not have liquidation preference, and is not convertible into common stock. During the year ended December 31, 2018, the Company issued one million shares to certain officers and board members. The Company retained a third-party valuation firm whose input was utilized in determining the related per share valuation of the preferred shares. Based on Management’s assessment and the valuation report, the fair value of the preferred shares was determined to be $0.0463 per share or an aggregate of $46,363. During the fiscal year ended December 31, 2022, 100,000 shares (1,539 with the reverse), were returned to treasury and of the 900,000 shares (13,846 after the reverse) all remain outstanding as of December 31, 2023.

 

As of December 31, 2020, it was determined that the Preferred A shareholders having the majority vote. Can agree to increase the number of authorized shares, if needed, to settle any convertible debt, and thus any derivative liabilities are not necessary to reserve for this.

 

Preferred Stock – Series B

 

During the year ended December 31, 2019, the Company authorized 10,000 shares of preferred stock to be designated available for Series B preferred shares that have a stated value of $1,000 each and are convertible into common shares at fixed price of $0.0025. Holders shall be entitled to receive, and the Company shall pay, dividends on shares of Series B Preferred Stock equal (on an as-if-converted-to-Common-Stock basis) to and in the same form as dividends actually paid on shares of the Common Stock when, as and if such dividends are paid on shares of the Company’s Common Stock. No other dividends shall be paid on shares of Series B Preferred Stock, and they shall have no voting rights and have liquidation preference. During the year ended December 31, 2019, the Company issued 150 Series B preferred shares.

 

During the period ended December 31, 2020, the Company issued 100 Series B preferred shares and 10,000,000 warrants to an accredited investor for their financings for an aggregate value of $100,000. The Series B preferred shares and warrants shall have a fixed conversion price per share equal to $0.0025 per share of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The warrants are exercisable through March 2025. The Company considered the accounting effects of the existence of the conversion feature of the Series B Preferred Stock, and the issuance of warrants at the date of issuance. In accordance with the current accounting standards, the Company determined that it should account for the fair value of the conversion feature and relative fair value of the issued warrants (up to the face amount of the Series B Preferred Stock) as a deemed dividend of $100,000 and a charge to paid in capital.

 

During the period ended December 31, 2021, the two accredited investors converted 70 Series B preferred shares into 28,000,000 common shares at the conversion price of $0.0025, leaving a balance of 180 Series B as of December 31, 2022, which with the reverse leaves a balance of 3 as of December 31, 2023.

 

Preferred Stock – Series C

 

During the period ended December 31, 2020, the Company authorized 1,000 shares of preferred stock to be designated available for Series C preferred shares that have a stated value of $1,000 each and are convertible into common shares at fixed price of $0.015. Holders shall be entitled to receive, and the Company shall pay, dividends on shares of Series C Preferred Stock equal (on an as-if-converted-to-Common-Stock basis) to and in the same form as dividends actually paid on shares of the Common Stock when, as and if such dividends are paid on shares of the Company’s Common Stock. No other dividends shall be paid on shares of Series C Preferred Stock, and they shall have no voting rights and have liquidation preference.

 

F-18

 

 

During the period ended December 31, 2021, the Company issued 675 Series C preferred shares and 22,500,000 warrants to an accredited investor for their financings for an aggregate value of $675,000. The Series C preferred shares and warrants shall have a fixed conversion price equal to $0.004 per share of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The warrants are exercisable through May 2024. The Company considered the accounting effects of the existence of the conversion feature of the Series C Preferred Stock, and the issuance of warrants at the date of issuance. In accordance with the current accounting standards, the Company determined that it should account for the fair value of the conversion feature and relative fair value of the issued warrants (up to the face amount of the Series C Preferred Stock) as a deemed dividend of $675,000 and a charge to paid in capital.

 

During the period ended December 31, 2021, the two accredited investors converted 150 Series C preferred shares into 10,000,000 common shares at the conversion price of $0.01, leaving a balance of 675 Series C as of December 31, 2022, which with the reverse leaves a balance of 6 as of December 31, 2023.

 

Preferred Stock – Series D

 

During the period ended December 31, 2023, the Company authorized 100,000 shares of preferred stock to be designated available for Series D preferred shares that have a convertible value into 100 shares of the Company’s common stock. The holder(s) of the shares of Series D Preferred Stock shall have no other rights, privileges or preferences with respect to the Series D Preferred Stock.

 

During the period ended December 31, 2023, the Company issued 15,000 Series D preferred shares and to an accredited investor for their $100,000 investment in the financing. The Series D preferred shares shall have a fixed conversion price equal to 100 share’s of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The Company considered the accounting effects of the existence of the conversion feature of the Series D Preferred Stock at the date of issuance. As of the period ended December 31, 2023, there is a 15, balance in the preferred D.

 

Common Stock

 

The Company issued the following shares of common stock for the years ended December 31:

SCHEDULE OF COMPANY ISSUED SHARES OF COMMON STOCK  

		2023								2022
		Value of Shares				# of shares				Value of Shares				# of shares
Shares issued for services rendered		$	56,498				745,000			$	621,246				2,070,965
Shares issued for conversion of warrants			-				-				25,001				153,847
Shares issued for conversion of debt			74,211				7,421,137				114,062				11,406,200
Shares issued for services rendered			347,900				7,100,000				-				-
Shares issued for financing			-				-				180,000				92,309
Total shares issued		$	478,609				15,266,137			$	940,349				13,723,321

 

Shares issued for services rendered were to various members of management, employees and consultants and are generally expensed as Stock-Based Compensation in the accompanying consolidated statement of operations. Shares issued for conversion of debt relate to conversions of both short and long term debt as discussed in Note 8.

 

During the year ended December 31, 2023 the Company issued 745,000 shares of common stock with a fair value of $56,498 at the date of grant for services, shares issued for the conversion of debt were 7,421,137 shares of common stock with a fair value of $74,211 at the grant date and 7,100,000 of shares of common stock with a fair value of $347,900 at the grant date for shares issued related to an acquisition.

 

F-19

 

 

During the year ended December 31, 2022 the Company issued 2,070,965 shares of common stock with a fair value of $621,246 at the date of grant for services, shares issued for the conversion of debt were 11,406,200 shares of common stock with a fair value of $114,062 at the grant date and 92,309 of shares of common stock with a fair value of $180,000 at the grant date for shares issued related to financings.

 

On October 16, 2018, the Company created a long-term employment retention bonus plan and issued 39,500,000 of restricted common shares to the plan. The shares have a 3-year vesting period and those eligible, employees, directors and advisors must have been with the Company for at least 7 years with an additional 2 years necessary in order to participate in the plan and 3 to become fully vested. The shares will vest with a mandatory 2-year minimum requirement for such vesting to become valid with 33.4% in year two and 66.66% at the end of year three. If the individual leaves the Company prior to vesting the Company or its assignee retains the option to repurchase the unvested shares at par. The shares had a fair value of $1,086,250 at the date of grant, which cost will be amortized over the three-year vesting period.

 

The board is evaluating a new employee stock option plan (ESOP) and intends to select a new plan by the end of the 2023.

 

During the years ended December 31, 2023, and 2022, the Company did not issue any shares of common stock for financing costs.

 

Common Stock Warrants

 

Since inception, the Company has issued numerous warrants to purchase shares of the Company’s common stock to shareholders, consultants and employees as compensation for services rendered.

 

A summary of the Company’s warrant activity and related information is provided below (the exercise price and the number of shares of common stock issuable upon the exercise of outstanding warrants have been adjusted to reflect a 1-for-75 reverse stock split.):

SCHEDULE OF WARRANT ACTIVITY 

		Exercise Price $				Number of Warrants
Outstanding and exercisable at December 31, 2021			0.16 – 2.60				757,693
Warrants exercised			0.16				(153,847	)
Warrants granted			-				-
Warrants expired			-				-	)
Outstanding and exercisable at December 31, 2022			0.16 – 2.60				603,846
Warrants exercised			-				-
Warrants granted			0.05-0.15				400,000
Warrants expired			0.015				(157,692	)
Outstanding and exercisable at December 31, 2023			0.16 – 2.60				846,154

 

SCHEDULE OF STOCK WARRANT EXERCISE PRICE RANGE 

Stock Warrants as of December 31, 2023
Exercise Price				Warrants Outstanding				Remaining Life (Years)				Warrants Exercisable
$	0.05				300,000				.40				300,000
$	0.15				100,000				2.11				100,000
$	0.1625				100,000				2.11				100,000
$	2.60				346,154				0.26				346,154

 

During the period ended December 31, 2022, no new warrants were issued and 153,847 warrants were exercised. The 603,846 outstanding and exercisable warrants at December 31, 2022 had an intrinsic value of $96,615.

 

During the period ended December 31, 2023, 400,000 new warrants were issued and 157,692 warrants expired. The 846,154 outstanding and exercisable warrants at December 31, 2023 had an intrinsic value of $39,008.

 

Common Stock Options

 

Under the Company’s 2008 Plan, we are authorized to grant stock options intended to qualify as Incentive Stock Options, “ISO”, under Section 422 of the Internal Revenue Code of 1986, as amended, non-qualified options, restricted and unrestricted stock awards and stock appreciation rights to purchase up to 7,000,000 shares of common stock to our employees, officers, directors and consultants, with the exception that ISOs may only be granted to employees of the Company and its subsidiaries, as defined in the 2008 Plan.

 

The Plan provides for the issuance of a maximum of 7,000,000 shares of which, after adjusting for estimated pre-vesting forfeitures and expired options, approximately 2,235,000 were available for issuance as of December 31, 2023.

 

No options were granted during 2023 and 2022.

 

F-20

 

 

15. COMMITMENTS & CONTINGENCIES

 

Bonuses

 

The Company has an employment agreement with its CEO which, among other provisions, provide for the payment of a bonus, as determined by the Board of Directors, in amounts ranging from 15% to 50% of the executive’s yearly compensation, to be paid in cash or stock at the Company’s sole discretion, if the Company has an increase in year over year revenues and the Executive performs his duties (i) within the time frame budgeted for such duties and (ii) at or below the cost budgeted for such duties. No such bonuses were declared or accrued during the years ending December 31, 2023, or 2022.

 

Contingencies

 

From time to time, we may be involved in routine legal proceedings, as well as demands, claims and threatened litigation that arise in the normal course of our business. The ultimate amount of liability, if any, for any claims of any type (either alone or in the aggregate) may materially and adversely affect our financial condition, results of operations and liquidity. In addition, the ultimate outcome of any litigation is uncertain. Any outcome, whether favorable or unfavorable, may materially and adversely affect us due to legal costs and expenses, diversion of management attention and other factors. We expense legal costs in the period incurred. We cannot assure you that additional contingencies of a legal nature or contingencies having legal aspects will not be asserted against us in the future, and these matters could relate to prior, current or future transactions or events. No such contingencies were declared or accrued during the years ending December 31, 2023, or 2022.

 

16. SUBSEQUENT EVENTS

 

On January 10, 2024, the Company issued 600,000 shares of Common Stock to an advisor at a fixed price of $0.03.

 

On January 16, 2024, an investor as part of his Securities Purchase Agreement, received Preferred Series D shares for an investment of $100,000.

 

On February 1, 2024, the Company issued 800,000 shares of Common Stock to an advisor at a fixed price of $0.34.

 

On March 12, 2024, an investor as part of his Securities Purchase Agreement, received Preferred Series D shares for an investment of $100,000.

 

 

Exhibit 3.2

 

 

 

 

 

 

 

 

 

 

 

 

Exhibit 23.1

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

 

To the Board of Directors and

Stockholders of MetAlert Inc.

 

Opinion on the Financial Statements

 

We have audited the accompanying consolidated balance sheets of MetAlert Inc. (the Company) as of December 31, 2023 and 2022, and the related consolidated statements of operations, changes in stockholders’ deficit, and cash flows for each of the years in the two-year period ended December 31, 2023, and the related notes (collectively referred to as the financial statements). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023 and 2022, and the results of its operations and its cash flows for each of the years in the two-years period ended December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.

 

Going Concern

 

The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 1 to the consolidated financial statements, the Company has incurred continuing net losses from operations and has a significant accumulated deficient, which raises substantial doubt about its ability to continue as a going concern. Management’s plans regarding those matters are also described in Note 1. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

 

Basis for Opinion

 

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

 

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

 

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

 

Critical Audit Matters

 

The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of a critical audit matter does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing separate opinions on the critical audit matter or on the accounts or disclosures to which it relates.

 

Revenue Recognition

 

As discussed in the financial statement’s footnotes, the Company recognizes revenue upon transfer of control of promised services and goods to customers in an amount that reflects the consideration the Company expects to receive in exchange for those products or services. The Company offers customers the ability to acquire services with their goods. Significant judgement is exercised by the Company in determining revenue recognition for these customers. Given these factors and due to the volume of transactions, the related audit effort in evaluating management’s judgments in determining revenue recognition for these customer agreements was extensive and required a high degree of auditor judgement.

 

/s/ M&K CPAS, PLLC
We have served as the Company’s auditor since 2021.
Houston, Texas
May 24, 2024
PCAOB ID No. 2738

 

 

 

EXHIBIT 31.1

 

CERTIFICATIONS PURSUANT TO SECTION 302 OF

THE SARBANES-OXLEY ACT OF 2002 CERTIFICATION

 

I, Patrick E. Bertagna, certify that:

 

1. I have reviewed this Annual Report on Form 10-K of MetAlert, Inc. for the year ended December 31, 2023;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation;

 

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Date: May 24, 2024
By:	/s/ PATRICK E. BERTAGNA
Name:	Patrick E. Bertagna
Its:	Chief Executive Officer (Principal Executive Officer)

 

 

 

 

EXHIBIT 31.2

 

CERTIFICATIONS PURSUANT TO SECTION 302 OF

THE SARBANES-OXLEY ACT OF 2002 CERTIFICATION

 

I, Alex McKean, certify that:

 

1. I have reviewed this Annual Report on Form 10-K of MetAlert, Inc. for the year ended December 31, 2023;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Date: May 24, 2024
By:	/s/ ALEX MCKEAN
Name:	Alex McKean
Its:	Chief Financial Officer (Principal Financial Officer)

 

 

 

 

EXHIBIT 32.1

 

Certification

Pursuant to Section 906 of the Sarbanes-Oxley Act Of 2002

 

Pursuant to section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of title 18, United States Code), each of the undersigned officers of MetAlert, Inc. (the “Company”), does hereby certify, to such officer’s knowledge, that:

 

The Annual Report on Form 10-K for the year ended December 31, 2023 (the “Form 10-K”) of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, and the information contained in the Form 10-K fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

Dated: May 24, 2024	/s/ Patrick E. Bertagna
	Chief Executive Officer
Dated: May 24, 2024	/s/ Alex McKean
	Chief Financial Officer

 

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

 

 

v3.24.1.1.u2

Cover - USD ($)	12 Months Ended
	Dec. 31, 2023	May 24, 2024	Jun. 30, 2023
Cover [Abstract]
Document Type	10-K
Amendment Flag	false
Document Annual Report	true
Document Transition Report	false
Document Period End Date	Dec. 31, 2023
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--12-31
Entity File Number	000-53046
Entity Registrant Name	MetAlert Inc.
Entity Central Index Key	0001375793
Entity Tax Identification Number	98-0493446
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	117 W 9th Street
Entity Address, Address Line Two	Suite 1214
Entity Address, City or Town	Los Angeles
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	90015
City Area Code	213
Local Phone Number	489-3019
Trading Symbol	MLRT
Title of 12(g) Security	Common Stock, Par Value $0.0001
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Public Float			$ 1,407,332
Entity Common Stock, Shares Outstanding		33,845,931
Documents incorporated by reference	No
ICFR Auditor Attestation Flag	false
Document Financial Statement Error Correction [Flag]	false
Auditor Name	M&K CPAS, PLLC
Auditor Location	Houston, Texas
Auditor Firm ID	2738

v3.24.1.1.u2

Consolidated Balance Sheets - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 68,440	$ 8,534
Accounts receivable, net	17,408	13,959
Inventory	231,818	70,112
Investment in marketable securities	649	683
Other current assets	4,339	8,045
Total current assets	322,654	101,333
Intangible assets, net	261,761	3,308
Property and equipment, net	25,780	59,121
Total assets	610,195	163,762
Current liabilities:
Accounts payable	264,671	137,315
Accrued expenses	327,338	388,414
Accrued expenses, related parties	762,365	497,551
Deferred revenues	6,505	12,850
Short-term debt – line of credit	102,040	81,651
Short-term debt – CARE loans	12,972	7,903
Convertible promissory notes, past due	1,484,142	843,000
Notes payable	146,195	149,120
Notes payable – related parties	46,500	10,000
Total current liabilities	4,372,041	3,334,542
Long-term debt - CARE loans	137,028	142,097
Total liabilities	4,509,069	3,476,639
Commitments and contingencies
Stockholders’ deficit:
Preferred stock value
Common stock, $0.0001 par value; 2,071,000,000 shares authorized; 32,445,931 and 17,177,206 shares issued and outstanding at December 31, 2023 and 2022, respectively	3,245	1,718
Additional paid-in capital	24,844,494	24,241,862
Accumulated deficit	(28,746,629)	(27,556,471)
Total stockholders’ deficit	(3,898,874)	(3,312,877)
Total liabilities and stockholders’ deficit	610,195	163,762
Series A Preferred Stock [Member]
Stockholders’ deficit:
Preferred stock value	14	14
Series B Preferred Stock [Member]
Stockholders’ deficit:
Preferred stock value
Series C Preferred Stock [Member]
Stockholders’ deficit:
Preferred stock value
Series D Preferred Stock [Member]
Stockholders’ deficit:
Preferred stock value	2
Related Party [Member]
Current liabilities:
Convertible notes, related parties, net of debt discount	$ 1,219,313	$ 1,206,738

v3.24.1.1.u2

Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2023	Dec. 31, 2022
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	2,071,000,000	2,071,000,000
Common stock, shares issued	32,445,931	17,177,206
Common stock, shares outstanding	32,445,931	17,177,206
Series A Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	13,846	13,846
Preferred stock, shares outstanding	13,846	13,846
Series B Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	3	3
Preferred stock, shares issued	3	3
Preferred stock, shares outstanding	3	3
Series C Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	1,000	1,000
Preferred stock, shares issued	6	6
Preferred stock, shares outstanding	6	6
Series D Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	100,000	100,000
Preferred stock, shares issued	15,000	0
Preferred stock, shares outstanding	15,000	0

v3.24.1.1.u2

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Total revenues	$ 248,331	$ 334,606
Total cost of goods sold	226,892	189,758
Gross margin	21,439	144,848
Operating expenses
Wages and benefits	426,758	509,064
Professional fees	218,180	757,371
Sales and marketing expenses	7,778	22,733
General and administrative	245,652	226,055
Total operating expenses	898,368	1,515,223
Income/(loss) from operations	(876,929)	(1,370,375)
Other income (expenses)
Loss on marketable securities	(34)	(1,782)
Amortization of debt discount	(102,938)	(62,067)
CARE / EDD forgiveness		102,061
Gain on settlement of debt	45,405
Interest expense and financing costs	(255,662)	(170,924)
Total other income (expenses)	(313,229)	(132,712)
Net loss	(1,190,158)	(1,503,087)
Deemed dividend to Series-B preferred stockholders
Deemed dividend to Series-C preferred stockholders
Net loss attributable to common stockholders	$ (1,190,158)	$ (1,503,087)
Weighted average number of common shares outstanding - basic	25,499,390	7,197,291
Weighted average number of common shares outstanding - diluted	25,499,390	7,197,291
Net income/(loss) per common share - basic	$ (0.05)	$ (0.21)
Net income/(loss) per common share - diluted	$ (0.05)	$ (0.21)
Product [Member]
Total revenues	$ 181,022	$ 213,306
Total cost of goods sold	217,453	169,400
Subscriptions and Other Revenue [Member]
Total revenues	67,309	121,300
Licensing Income [Member]
Total revenues
Total cost of goods sold
Service [Member]
Total revenues	67,309	121,300
Total cost of goods sold	$ 9,439	$ 20,358

v3.24.1.1.u2

Consolidated Statements of Changes in Stockholders' Deficit - USD ($)	Preferred Stock [Member] Series A Preferred Stock [Member]	Preferred Stock [Member] Series B Preferred Stock [Member]	Preferred Stock [Member] Series C Preferred Stock [Member]	Preferred Stock [Member] Series D Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Series B Preferred Stock [Member]	Series C Preferred Stock [Member]	Total
Beginning balance at Dec. 31, 2021	$ 15				$ 212	$ 21,100,504	$ (24,177,926)			$ (3,077,195)
Beginning balance, shares at Dec. 31, 2021	15,385	3	6		2,123,577
Issuance of common stock for services					$ 207	621,039				621,246
Issuance of common stock for services, shares					2,070,965
Issuance of common stock for conversion of debt					$ 1,141	112,921				114,062
Issuance of common stock for conversion of debt, shares					11,406,200
Issuance of common stock for financings					$ 9	179,991				180,000
Issuance of common stock for financings, shares					92,309			180	675
Issuance of common stock for the conversion of warrants					$ 16	24,985				25,001
Issuance of common stock for the conversion of warrants, shares					153,847
Debt discount						129,522				129,522
Returning of Preferred A to treasury	$ (1)					1
Returning of Preferred A to treasury, shares	(1,539)
Net loss							(1,503,087)			(1,503,087)
Ending balance at Dec. 31, 2022	$ 14				$ 1,718	24,241,862	(27,556,471)			(3,312,877)
Ending balance, shares at Dec. 31, 2022	13,846	2	6		17,177,206
Issuance of common stock for services					$ 75	56,423				56,498
Issuance of common stock for services, shares					745,000
Issuance of common stock for conversion of debt					$ 742	73,469				74,211
Issuance of common stock for conversion of debt, shares					7,421,137
Net loss							(1,190,158)			(1,190,158)
Issuance of preferred stock for financings				$ 2		99,998				100,000
Issuance of preferred stock for financings, shares				15,000
Issuance of common stock for acquisitions					$ 710	347,190				247,900
Issuance of common stock for acquisition, shares					7,100,000
Fair value of warrants issues for debt						25,552				25,552
Ending balance at Dec. 31, 2023	$ 14			$ 2	$ 3,245	$ 24,844,494	$ (28,746,629)			$ (3,898,874)
Ending balance, shares at Dec. 31, 2023	13,846	3	6	15,000	32,445,931

v3.24.1.1.u2

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Cash flows from operating activities
Net loss	$ (1,190,158)	$ (1,503,087)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	51,045	33,340
Bad debt expense
Loss / (gain) on marketable securities	34	1,782
Fair value of common stock issued for services	56,498	621,246
Gain on the extinguishment of debt	(16,680)
Gain on settlement of debt and accrued interest	(28,725)
Amortization of debt discount	102,938	62,067
Interest and financing costs on long-term convertible debt		116,641
Grant from CARE loans		(67,870)
Fair value of warrants issued for debt	25,552
Changes in operating assets and liabilities:
Accounts receivable	(3,449)	(224)
Inventory	67,629	28,146
Prepaid expenses	4,549	47,241
Other current and non-current assets	(843)	(270)
Accounts payable and accrued expenses	253,200	29,086
Accrued expenses - related parties	267,510	139,352
Loans to/from officers		10,000
Deferred revenues	(6,345)	(24,400)
Net cash used in operating activities	(417,245)	(506,950)
Cash flows from investing activities
Proceeds from the sale of marketable securities		(3,308)
PP&E purchase	42,408
Net cash used in investing activities	42,408	(3,308)
Cash flows from financing activities
Proceeds from the conversion of warrants		25,000
Proceeds from Reg A		180,000
Proceeds from issuance of preferred stock	100,000
Proceeds from issuance of debt	345,500	145,000
Proceeds from line of credit	46,881	144,118
Proceeds from officer loans	38,500
Payments of debt	(62,646)	(44,201)
Payments of debt - related party	(5,000)
Payments of officer loans - related party	(2,000)
Payments on line of credit	(26,492)	(69,467)
Net cash provided by financing activities	434,743	380,450
Net change in cash and cash equivalents	59,906	(129,808)
Cash and cash equivalents, beginning of period	8,534	138,342
Cash and cash equivalents, end of period	68,440	8,534
Supplemental disclosure of cash flow information:
Income taxes paid
Interest paid
Supplemental disclosure of noncash investing and financing activities:
Issuance of common stock for conversion of debt	74,211	238,124
Consolidation of debt	137,500
Transfer of convertible related party debt	35,000	100,000
Issuance of preferred stock for financings	100,000
Related party accrued expenses to convertible debt related party		$ 706,248

v3.24.1.1.u2

ORGANIZATION AND BASIS OF PRESENTATION	12 Months Ended
	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION AND BASIS OF PRESENTATION	1. ORGANIZATION AND BASIS OF PRESENTATION   During the periods covered by these financial statements, MetAlert, Inc. and its subsidiaries (the “Company”, “MetAlert”, “we”, “us”, and “our”) were engaged in business operations that design, manufacture and sell various interrelated and complementary products and services in the wearable technology and Personal Location Services marketplace. MetAlert owns 100% of the issued and outstanding capital stock of its two subsidiaries - Global Trek Xploration, Inc., Level 2 Security Products, Inc.   Global Trek Xploration, Inc. is a wearable technology company which designs, manufactures, sells, and distributes tracking and remote patient monitoring solutions for humans. Utilizing patent protected proprietary hardware, software, connectivity, Global Positioning System (“GPS”) and Bluetooth Low Energy (“BLE”) monitoring and tracking platform, which provides real-time tracking and monitoring of people. Utilizing a miniature quad-band GPRS transceiver, antenna, circuitry, battery and inductive charging pad our solutions can be customized and integrated into numerous products whose location and movement can be monitored in real time over the Internet through our 24x7 tracking portal or on a web enabled cellular telephone. Our core products and services are supported by an IP portfolio of patents, patents pending, registered trademarks, copyrights, URL’s and a library of software source code, all of which is managed by Global Trek.   Level 2 Security Products, Inc. is in the high value non-human asset monitoring and recovery business for items such as firearms, vehicles, bikes, boats, ATVs, and a host of other valuable mobile assets which require oversight monitoring and theft recovery.   LOCiMOBILE, Inc’s, digital assets are now under the management of the parent company MetAlert and remain there, post dissolution, of the corporate entity (LOCiMobile, Inc.). The Company’s digital platform which has been at the forefront of Smartphone application (“App”) development since 2008 designs mobile applications that turn the iPhone, iPad, Android and other GPS enabled handsets into a tracking device which can then be tracked from any mobile device or through our proprietary tracking portal or on any connected device with internet access.   Basis of Presentation   The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States. The accompanying consolidated financial statements reflect the accounts of MetAlert, Inc. and its wholly owned subsidiaries. All significant inter-company balances and transactions have been eliminated.   On September 12, 2022, the Company effected a 1-for-65 reverse stock split of its common stock. All references to shares of common stock outstanding, average number of shares outstanding and per share amounts in these consolidated financial statements and notes to consolidated financial statements have been restated to reflect as if the reverse stock split occurred as of the earliest period presented.   Going Concern   The consolidated financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has incurred a net loss of $1,190,158 during the year ended December 31, 2023, has incurred losses since inception resulting in an accumulated deficit of $28,746,629 as of December 31, 2023, and has a stockholders’ deficit of $3,898,874 as of December 31, 2023. The Company anticipates further losses in the development of its business. These factors raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date of the financial statements being issued. The ability of the Company to continue as a going concern is dependent upon the Company’s ability to raise additional funds and implement its business plan. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.   The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. The Company’s ability to raise additional capital through the future issuances of debt or equity is unknown. The ability to obtain additional financing, the successful development of the Company’s contemplated plan of operations, or its ability to achieve profitable operations are necessary for the Company to continue operations, and there is no assurance that these can be achieved. The ability to successfully resolve these factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements of the Company do not include any adjustments that may result from the outcome of these aforementioned uncertainties.

v3.24.1.1.u2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2023
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES   Revenue Recognition   The Company recognizes revenue in accordance with ASU 2014-09, Revenue from Contracts with Customers (Topic 606), (“ASC 606”). The underlying principle of ASC 606 is to recognize revenue to depict the transfer of goods or services to customers at the amount expected to be collected. ASC 606 creates a five-step model that requires entities to exercise judgment when considering the terms of contract(s), which include (1) identifying the contract or agreement with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.   We derive our revenues primarily from hardware sales, subscription services fees, IP licensing and professional services fees. Hardware includes our SmartSole, GunTracker, Military and other Stand-Alone Devices. Subscription services revenues consist of fees from customers accessing our Geo-Location cloud-based platform through subscription or license fee, that are billed monthly, quarterly, semi-annual or annually. Predominately most of our subscriptions at this time are billed monthly and recognized at the time of billing. Professional services and other revenues consist primarily of fees from implementation services, configuration, data services, training and managed services related to our solutions, which are also recognized at the time of billing once the service has been performed/delivered IP licensing is related to any agreement with 3rd parties to license our IP portfolio and that revenue is recognized as per the term of the specific licensing agreements.   The Company’s initial point of contact with its retail customers is thru its e-commerce site whereby any contract with the customer is entered into and dealt with thru the online ordering process and does not require performance beyond delivery. Shipping and handling activities are performed before the customer obtains control of the goods and therefore represent a fulfillment activity rather than a promised service to the customer. Revenue and costs of sales are recognized when control of the products transfers to our customer, which generally occurs upon shipment from our facilities. The Company’s performance obligations are satisfied at that time.   The Company’s recognizes revenues with its wholesale customers, as with retail, upon shipment, and recurring subscription revenue is recognized at the time of billing which is done 30 days in the arrears from delivery of service. Rendering the service obligation fulfilled   Product sales   At the inception of each customer sale, either online or through a purchase order, we assess the goods and services promised in our contracts and identify each distinct performance obligation. The Company recognizes revenue upon the transfer of control of promised products or services to the customer in an amount that depicts the consideration the Company expects to be entitled to for the related products or services. For the large majority of the Company’s sales, transfer of control occurs once the product has shipped and title and risk of loss have transferred to the customer.   Services Income   The Company’s software solutions are available for use as hosted application arrangements under subscription fee agreements without licensing perpetual rights to the software. Subscription fees from these applications are recognized over time on a ratable basis over the customer agreement term beginning on the date the Company’s solution is made available to the customer. Our subscription contracts are generally one to three months in length. Amounts that have been invoiced are recorded in accounts receivable and deferred revenues or revenues, depending on whether the revenue recognition criteria have been met.   Other revenue can include various items, such as our professional services arrangements that are recognized on a time and materials basis. Professional services revenues recognized on a time and materials basis are measured monthly based on time incurred and contractually agreed upon rates. Certain professional services revenues are based on fixed fee arrangements and revenues are recognized based on the proportional performance method. In some cases, the terms of our time and materials and fixed fee arrangements may require that we defer the recognition of revenue until contractual conditions are met. Data services and training revenues are generally recognized as the services are performed. Additionally, we have had non-compete revenue from the sale of assets, engineering, and design work, all of which are recognized over the term of the agreed contracts.     Royalty revenue from a non-compete agreement expired in June of 2023.   Licensing Revenue   Licensing revenue recorded by the Company relates exclusively to the Company’s monetization of IP licenses. The Company recognizes revenue for licensing under ASC 606, which provides revenue recognition constraints by requiring the recognition of revenue at the later of the following: 1) sale or usage of the products or 2) satisfaction of the performance obligations. The Company has satisfied its performance obligations and therefore recognizes licensing revenue when the sales to which the licensing relate are completed, under the terms of the specific licensing agreement.   During the year ended December 31, 2023, the Company did not recognize any revenue on settlements.   Disaggregation of Net Sales   The following table shows the Company’s disaggregated net sales by product type: SCHEDULE OF DISAGGREGATION OF NET SALES     December 31, 2023     December 31, 2022   Product sales   $ 181,022     $ 213,306   Service income     67,309       121,300   Total   $ 248,331     $ 334,606     The following table shows the Company’s disaggregated net sales by customer type:       December 31, 2023     December 31, 2022   B2B   $ 182,839     $ 211,237   B2C     65,492       123,369   Military     -       -   IP     -       -   Total   $ 248,331     $ 334,606     Allowance for Doubtful Accounts   We extend credit based on our evaluation of the customer’s financial condition. We carry our accounts receivable at net realizable value. We monitor our exposure to losses on receivables and maintain allowances for potential losses or adjustments. We determine these allowances by (1) evaluating the aging of our receivables; and (2) reviewing high-risk customer’s financial condition. Past due receivable balances are written off when our internal collection efforts have been unsuccessful in collecting the amount due. Our allowance for doubtful accounts was $12,431 as of December 31, 2023, and as of December 31, 2022. The allowance fully reserves any questionable accounts receivable balances over 90 days.   Shipping and Handling Costs   Shipping and handling costs are included in cost of goods sold in the accompanying consolidated statements of operations.     Product Warranty   The Company’s warranty policy provides repair or replacement of products (excluding GPS Shoe devices) returned for defects within ninety days of purchase. The Company’s warranties are of an assurance-type and come standard with all Company products to cover repair or replacement should product not perform as expected. Provisions for estimated expenses related to product warranties are made at the time products are sold. These estimates are established using historical information about the nature, frequency and average cost of warranty claim settlements as well as product manufacturing and recovery from suppliers. Management actively studies trends of warranty claims and takes action to improve product quality and minimize warranty costs. The Company estimates the actual historical warranty claims coupled with an analysis of unfulfilled claims to record a liability for specific warranty purposes. As of December 31, 2023 and 2022, products returned for repair or replacement have been immaterial. Accordingly, a warranty liability has not been deemed necessary.   Use of Estimates   The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Material estimates relate to the assumptions made in determining reserves for uncollectible receivables, inventory reserves and returns, impairment analysis of long-term assets and deferred tax assets, accruals for potential liabilities and assumptions made in valuing the fair market value of equity transactions. Estimates are updated on an ongoing basis and are evaluated based on historical experience and current circumstances. Changes in facts and circumstances in the future may give rise to changes in these estimates which may cause actual results to differ from current estimates.   Fair Value Estimates   Pursuant to the Accounting Standards Codification (“ASC”) No. 820, “Disclosures About Fair Value of Financial Instruments”, the Company records its financial assets and liabilities at fair value. ASC No. 820 provides a framework for measuring fair value, clarifies the definition of fair value and expands disclosures regarding fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. ASC No. 820 establishes a three-tier hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value:     Level 1 - Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.         Level 2 - Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the asset/liability’s anticipated life.         Level 3 - Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model.   The carrying values for cash and cash equivalents, accounts receivable, investment in marketable securities, other current assets, accounts payable and accrued liabilities approximate their fair value due to their short maturities. The carrying values of notes payable and other financing obligations approximate their fair values because interest rates on these obligations are based on prevailing market interest rates.   Principles of Consolidation   The accompanying condensed consolidated financial statements at December 31, 2023 and December 31, 2022 and for the years then ended include the accounts of MetAlert, Inc. and the following majority-owned subsidiaries.  SCHEDULE OF MAJORITY- OWNED SUBSIDIARIES Subsidiary:   Percentage Owned       September 30, 2023     December 31, 2022   Global Trek Xploration     100.00 %     100.00 % Level 2 Security Products, Inc. (see Footnote 5)     100.00 %     0 %   All Intercompany transactions have been eliminated upon consolidation.   Cash and Cash Equivalents   Cash equivalents consist of highly liquid investments with insignificant rate risk and with original maturities of three months or less at the date of purchase.     Inventory   Inventory generally consists of raw materials and finished goods and is valued at the lower of cost (first-in, first-out) or net realizable value. The Company evaluates its inventory for excess and obsolescence on a regular basis. In preparing the evaluation the Company looks at the expected demand for the product, as well as changes in technology, in order to determine whether or not a reserve is necessary to record the inventory at net realizable value. For the years ending December 31, 2023 and 2022 the Company did not recognize any charges to expense associated with excess and obsolete inventory cost adjustments.   Property and Equipment   Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated using the straight-line method over the estimated three-year useful lives of the assets. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Expenditures for maintenance and repairs are expensed as incurred.   Management assesses the carrying value of property and equipment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If there is indication of impairment, management prepares an estimate of future cash flows expected to result from the use of the asset and its eventual disposition. If these cash flows are less than the carrying amount of the asset, an impairment loss is recognized to write down the asset to its estimated fair value.   Research and Development Costs   Research and development costs consist primarily of fees paid to consultants and outside service providers, patent fees and costs, and other expenses relating to the acquisition, design, development and testing of the Company’s products. Research and development expenditures are expensed as incurred and totaled $18,859 and $18,961 for the years ended December 31, 2023 and 2022, respectively.   Concentrations   We can rely on one or two manufacturers to supply us with our GPS SmartSole, in Germany and the U.S. Currently, for the Gun Tracker we have one supplier in China, but in order to have redundances we are looking for sources in the US and Mexico for manufacturing. However, the loss of any of these manufacturers could severely impede our ability to manufacture the GPS SmartSole and Gun Tracker, and thus as we increase production we are looking to augment and grow our vendors and supply chains accordingly.   As of December 31, 2023, the Company had four customers representing approximately 29%, 16%, 16% and 15% of sales and four customers representing approximately 45%, 14%, 11% and 7% of total accounts receivable, respectively. The Company had four customers representing approximately 28%, 21%, 15% and 95% of sales and three customers representing approximately 50%, 22%, and 15% of total accounts receivable, respectively, for the year ended December 31, 2022.   Intangible Assets   The Company records identifiable intangible assets acquired from other enterprises or individuals at cost. Intangible assets consist of a licensing agreement enabling the Company to sell its GPS-related vehicle tracking software and services which is being amortized over the life of the licensing agreement.   Marketable Securities   The Company’s securities investments that are acquired and held principally for the purpose of selling them in the near term are classified as trading securities. Trading securities are recorded at fair value based on quoted market price (level 1) on the balance sheet in current assets, with the change in fair value during the period included in earnings.     Net Loss Per Common Share   Basic loss per share is computed by dividing the net loss applicable to common stockholders by the weighted average number of outstanding common shares during the period. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest. Diluted loss per share is computed by dividing net loss applicable to common stockholders by the weighted average number of common shares outstanding plus the number of additional common shares that would have been outstanding if all dilutive potential common shares had been issued. Shares of restricted stock are included in the diluted weighted average number of common shares outstanding from the date they are granted unless they are antidilutive. Diluted loss per share excludes all potential common shares if their effect is anti-dilutive. The following potentially dilutive shares were excluded from the shares used to calculate diluted earnings per share as their inclusion would be anti-dilutive: SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM CALCULATION OF DILUTED EARNINGS PER SHARE     2023     2022       December 31,       2023     2022   Warrants     846,152       603,846   Preferred B shares     1,600,000       24,616   Preferred C shares     1,000,000       10,264   Preferred D shares     2,600,000       -   Conversion shares upon conversion of notes     111,624,469       110,976,351   Total     117,670,623       111,615,077     Income Taxes   The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized by applying the statutory tax rates in effect in the years in which the differences between the financial reporting and tax filing bases of existing assets and liabilities are expected to reverse. Valuation allowances are established when necessary to reduce deferred tax assets to the amounts expected to be realized.   Stock-based Compensation   The Company periodically issues common stock and stock options to officers, directors, and consultants for services rendered. Options vest and expire according to terms established at the issuance date of each grant. Stock grants, which are generally time vested, are measured at the grant date fair value and charged to operations ratably over the vesting period. Through December 31, 2018, the Company accounted for stock-based payments to officers and directors by measuring the cost of services received in exchange for equity awards utilizing the grant date fair value of the awards, with the cost recognized as compensation expense on the straight-line basis in the Company’s financial statements over the vesting period of the awards. The Company accounted for stock-based payments to Scientific Advisory Committee members and consultants by determining the value of the stock compensation based upon the measurement date at either (a) the date at which a performance commitment was reached or (b) at the date at which the necessary performance to earn the equity instruments was complete.   In accordance with the Company’s adoption of Accounting Standards Update 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, effective January 1, 2019, stock options granted to outside consultants are now accounted for consistent with the accounting for stock-based payments to officers and directors, as described above, by measuring the cost of services received in exchange for equity awards utilizing the grant date fair value of the awards, with the cost recognized as compensation expense on the straight-line basis in the Company’s financial statements over the vesting period of the awards.   Segments   The Company operates in one segment for the manufacture and distribution of its products. In accordance with the “Segment Reporting” Topic of the ASC, the Company’s chief operating decision maker has been identified as the Chief Executive Officer and President, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. Existing guidance, which is based on a management approach to segment reporting, establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products and services, major customers, and the countries in which the entity holds material assets and reports revenue. All material operating units qualify for aggregation under “Segment Reporting” due to their similar customer base and similarities in: economic characteristics; nature of products and services; and procurement, manufacturing and distribution processes. Since the Company operates in one segment, all financial information required by “Segment Reporting” can be found in the accompanying financial statements.   Recently Issued Accounting Pronouncements   In June 2016, the FASB issued ASU No. 2016-13, Credit Losses - Measurement of Credit Losses on Financial Instruments (“ASC 326”). The standard significantly changes how entities will measure credit losses for most financial assets, including accounts and notes receivables. The standard will replace today’s “incurred loss” approach with an “expected loss” model, under which companies will recognize allowances based on expected rather than incurred losses. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. As small business filer, the standard will be effective for us for interim and annual reporting periods beginning after December 15, 2022. The Company is currently assessing the impact of adopting this standard on the Company’s financial statements and related disclosures.   Other recent accounting pronouncements issued by the FASB, its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company’s present or future consolidated financial statements.

v3.24.1.1.u2

INVESTMENTS IN MARKETABLE SECURITIES	12 Months Ended
	Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]
INVESTMENTS IN MARKETABLE SECURITIES	3. INVESTMENTS IN MARKETABLE SECURITIES   The Company’s investments in marketable securities is comprised of shares of stock of two (2) entities with ownership percentages of less than 5%. The Company accounted for these investments pursuant to ASU 320, Investments – Debt and Equity Securities. As such, these investments were recorded at their market value as of December 31, 2019, with the change in fair value being reflected in the statement of operations. These investments consisted of the following:   As of December 31, 2022, the Company owned 42,500 shares of Inventergy Global, Inc. common stock with a fair value of $638. The Company was able to obtain observable evidence that the investment had a market value of $0.015 per share, or an aggregate value of $638 as of the period ended December 31, 2023. As such, the Company recorded no change in market value during the period ended December 31, 2023, in its statement of operations.   In June 2019, the Company acquired 22,222 shares of Inpixon’s restricted common stock (after giving effect to a 1:45 stock split) valued at $634,000. As of December 31, 2019, after the sale of 10,889 Inpixon shares, the Company owned 11,333 Inpixon shares with a fair value of $58,374. During the period ended March 31, 2020, the Company sold 8,500 of its Inpixon shares for total proceeds of $146,201 and recognized a gain from the sale of these shares of $102,420.   During the period ended December 31, 2021, the Company sold 834 of its Inpixon shares for total net proceeds of $1,258. The Company was able to obtain observable evidence that the remaining 2,000 shares had a market value of $2,040 as of December 31, 2021, as such, the Company recorded a loss from the decrease in the fair value of the shares of $851, resulting in a net loss from their investment in Inpixon shares during the current period ended December 31, 2021.   During the period ended December 31, 2022, the Company shares were reverse down to 27 shares. The Company was able to obtain observable evidence that these 27 shares had a market value of $45 as of December 31, 2021, as such, the Company recorded a loss from the decrease in the fair value of the shares of $1,995, resulting in a net loss from their investment in Inpixon shares during the period ended December 31, 2022.   The Company was able to obtain observable evidence that the remaining 2,000 shares had a market value of $11 as of December 31, 2023, as such, the Company recorded a change in the fair value of the shares, resulting in a net loss from the investment in Inpixon shares of $34 during the current period ended December 31, 2023.

v3.24.1.1.u2

INVENTORY	12 Months Ended
	Dec. 31, 2023
Inventory Disclosure [Abstract]
INVENTORY	4. INVENTORY   Inventories consist of the following:  SCHEDULE OF INVENTORY     2023     2022       December 31,       2023     2022   Raw materials   $ 24,936     $ 51,531   Finished goods     206,882       18,581   Total Inventories   $ 231,818     $ 70,112

v3.24.1.1.u2

ASSET ACQUISITION	12 Months Ended
	Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]
ASSET ACQUISITION	5. ASSET ACQUISITION   On September 5, 2023, the Company finalized the acquisition of Level 2 Security, LLC, a Delaware corporation (“Level 2”), pursuant to which Level 2 will merge with and into Level 2 Security Products, Inc. a Nevada corporation wholly-owned by MetAlert, Inc.   The Company completed the merger of Level 2, in accordance with the terms of the Merger Agreement. Under the terms of the Merger Agreement, the Company issued an aggregate of 7,100,000 shares of Company common stock (the “Merger Shares”) to the owners of Level 2 and an aggregate of $200,000 in principal amount for convertible promissory notes (the “Merger Notes”), which were delivered to the owners of Level 2.   At the merger date, the Company received 2 commercial ready locate and recovery devices (GUNALERT and IF IT MOVES), approximately $40,000 in cash and 3,700 units of ready to ship product inventory of GUNALERT and IF IT MOVES, Intellectual Property of $276,157 (inclusive of trademarks, tooling, molds, and development costs), digital collateral, an online Shopify store, an Amazon account, smartphone apps, and an ongoing research and development roadmap for possible future product releases.   The Company concluded that the arrangement meets the definition of an asset acquisition rather than a business combination, as substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset, Level 2’s design and production of the recovery devices. In addition, the Company did not obtain any substantive processes, assembled workforce, or employees capable of producing outputs in connection with the Asset Acquisition.   The Company determined that the cost to acquire the asset was $547,900 which was recorded as acquired IPR&D. The fair value of the consideration issued consisted of the 7,100,000 shares of Common Stock valued at $347,900 and $200,000 in convertible notes. The identifiable finite-lived assets are being amortized over their useful life, which was determined to be 5 years as of the closing date.   The strategic synergy from the merger enables us to expand our target market beyond those of humans with cognitive disorders and opens the doors to entire new and much larger markets.   This technology is designed to immediately let you know through an app notification, if your asset has been touched, moved, or stolen. With none of the data ever being stored on a server, allowing for maximum privacy.   On September 30, 2023, we received and delivered to Range USA which has 40+ locations across 10 states, our first commercial order for the GUNALERT® firearm recovery device.     The following allocation of the purchase price is as follows:  SCHEDULE OF PURCHASE PRICE ALLOCATION Assets and liabilities acquired:         Consideration given:       Convertible notes     200,000   Common stock     347,900         547,900             Assets and liabilities acquired:         Cash     42,408   Inventory     229,335   Intangible assets:         Patents and trademarks     50,000   Tooling & molds     25,300   Website development     9,400   Software development     191,457   Intangible assets     191,457             Assets and Liabilities acquired     547,900

v3.24.1.1.u2

PROPERTY AND EQUIPMENT	12 Months Ended
	Dec. 31, 2023
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	6. PROPERTY AND EQUIPMENT   Property and equipment, net, consists of the following: SCHEDULE OF PROPERTY AND EQUIPMENT      2022     2021       December 31,       2022     2021   Software   $ 25,890     $ 25,890   Website development     91,622       91,622   Software development     394,772       394,772   Equipment     1,750       1,750   Less: accumulated depreciation     (488,254 )     (454,913 )                   Total property and equipment, net   $ 25,780     $ 59,121     Depreciation expense for the years ended December 31, 2023 and 2022 was $33,341 and $33,340, respectively, and is included in general and administrative expenses.

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INTANGIBLE ASSETS	12 Months Ended
	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS	7. INTANGIBLE ASSETS   Intangible assets, net, consists of the following:  SCHEDULE OF INTANGIBLE ASSETS     December 31, 2023     December 31, 2022   Trademarks   $ 3,308     $ 3,308   Tooling and molds     25,300       -   Website development     9,400       -   Software development     191,457       -   Acquired patents and trademarks     50,000       -   Less: accumulated amortization     (17,704 )     -   Total intangible assets, net   $ 261,761     $ 3,308     Amortization expense for the period ended December 31, 2023, and 2022 was $17,704 and $0, respectively, and is included in general and administrative expenses.   As part of the Level 2 Securities LLC acquisition, the Company determined the value of the IP (various tooling, product and software development, trademarks, and patents costs) at this early stage, pre-revenue, by taking the accumulated selected costs, summing them by category, and calculating each categories percent of the total, to come up with a list of capitalizable assets that had value as part of the merger. These accumulated capitalized costs were then applied an obsolescence factor to discount those values, allowing for an arm’s length, non-bargain purchase price. This allocation of the IP was done using the cost approach as the economic benefit to MetAlert are the avoided costs spent to date, and thus would not have to spend those development costs going forward ourselves.   This method is especially relevant when there are no reliable forecasts for the business at date of acquisition or said forecasts would involve a lot of speculation. We then determined that a 5-year amortization period for these assets would be considered reasonable.

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NOTES & LOANS PAYABLE	12 Months Ended
	Dec. 31, 2023
Debt Disclosure [Abstract]
NOTES & LOANS PAYABLE	8. NOTES & LOANS PAYABLE   The following table summarizes the components of our short-term borrowings:  SUMMARY OF COMPONENTS OF OUR SHORT-TERM BORROWINGS     December 31, 2023     December 31, 2022   (a) Term loan   $ 146,195     $ 149,120   (b) Revolving line of credit     7,000       7,000   (b) Revolving line of credit     95,040       74,651   Total   $ 248,235     $ 230,771     (a) Term loan(s)   In 2022, the Company entered into an unsecured short-term loan agreements with various third parties for an aggregate principal balance of $145,000 at an interest rate of 5% per annum, with the interest adjusted to 10% in the case of a default. One loan for $25,000 was paid in full on April 14, 2022, leaving $120,000 outstanding as of December 31, 2023.   In September of 2019, the Company entered into an unsecured term loan agreement with a third party for an aggregate principal balance of $50,000 at an interest rate of 5% per annum in relation to an Asset Purchase Agreement. The term loan became due on December 31, 2020, and is currently past due. The principal balance outstanding on the note as of December 31, 2023, was $34,176, which included $7,981 in interest, $4,500 in cash payments to principal and reductions of $19,305 due to sublet fees for office space and principal payments.   (b) Lines of Credit   The Company obtained a revolving line of credit agreement with an accredited investor of $500,000 during 2018. There were three borrowings against the line as of December 31, 2018 for aggregate borrowings of $65,000 and two borrowing in 2019 for $65,000 for a total of $130,000. During the period ended December 31, 2020, the Company repaid $76,000 in principal and all of its accrued interest of $4,204, resulting in a balance due of $22,000 as of December 31, 2020. During the period ended December 31, 2021, the Company repaid $10,000 in principal and all of its interest of $560, as incurred, resulting in a balance due of $7,000 as of December 31, 2021. There were no changes to the line of credit for the period ending December 31, 2023.   The line bears interest of 8.5%. The line is based upon MetAlert providing the investor with purchase orders and use of proceeds, including production of goods schedules and loan repayment timelines. These loans/drawdowns are specifically for product, inventory and/or purchase order financing. Upon completion of the terms of the Line of Credit, MetAlert, Inc. will issue to the investor 7,500,000 shares of MetAlert common stock or $75,000 of MetAlert common stock, whichever is greater.   The Company also has an unsecured line of credit, guaranteed by its CEO, with its business bank, Union Bank, whereby funds can be borrowed at a revolving adjustable rate of 2 points over prime, currently 8.25%, with a max borrowing amount of $100,000. The balance at December 31, 2023 and December 31, 2022 was $95,040 and $81,651, respectively, with $46,881 having been borrowed and $26,492 paid back in the December 31, 2023 period.

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CONVERTIBLE PROMISSORY NOTES – PAST DUE	12 Months Ended
	Dec. 31, 2023
Convertible Promissory Notes Past Due
CONVERTIBLE PROMISSORY NOTES – PAST DUE	9. CONVERTIBLE PROMISSORY NOTES – PAST DUE   As of December 31, 2023 and December 31, 2022, the Company had a total of $1,483,764 and $843,000, respectively, of convertible notes payable, which consisted of the following: SCHEDULE OF CONVERTIBLE NOTES PAYABLE      December 31, 2023     December 31, 2022   Convertible Notes – with fixed conversion, past due   $ 415,500     $ 843,000   Convertible Notes – with fixed conversion     732,500       -   Convertible Notes – with fixed conversion and OID     74,930       -   Convertible Note – with variable conversion     68,000       -   Notes issued in relation to acquisition – with fixed conversion     200,000       -   Less: Debt discount     (6,788 )     -   Total convertible notes, net of debt discount   $ 1,484,142     $ 843,000       a) Included in Convertible Notes - with fixed conversion terms, are loans provided to the Company from various investors These notes carry simple interest rates ranging from 0% to 12% per annum and with terms ranging from 1 to 2 years. In lieu of the repayment of the principal and accrued interest, the outstanding amounts are convertible, at the option of the note holder, generally at any time on or prior to maturity and automatically under certain conditions, into the Company’s common shares at $0.015 to $0.30 per share. These notes became due in 2017 and prior, and are currently past due.       During the twelve months ended December 31, 2022, $100,000 of the Company’s executive notes were transferred to third parties for cash. The transferred notes had no change in terms thus no resulting gain or loss on the extinguishment and transfer. As per the original terms the notes bear a 10% annual interest rate, gives the holder the right, but not the obligation to convert up to 50% of the amount advanced and accrued interest into shares, warrants or options of common or preferred stock of the Company at fixed rate of $0.01 per share. As of December 31, 2022, the Company had paid off a $10,000 note with $4,639 of accrued interest for cash, and converted $5,000 of a note with $460 in accrued interest into 546,000 shares of common stock.       During the twelve months ending December 31, 2023, noteholders converted $31,515 of notes with accrued interest of $4,015 into 31,151,537 shares of common stock. On March 14, 2023, the Company entered into an unsecured short-term loan agreement with a third party for an aggregate of $74,650 with an interest rate of 12%, an original issue discount of $7,150, financing costs of $2,500, with installment payments of $8,361 paid back monthly starting 45 days from the issuance date, with $66,886 of payments having paid as of September 30, 2023. This same lender entered into another unsecured note for $68,000 with a 35% discount to market rate, if the note was note paid back by September 30, 2024.       During the twelve months ended December 31, 2023, an additional $35,000 of the Company’s executive notes were transferred to third parties for cash. The transferred notes had no change in terms thus no resulting gain or loss on the extinguishment and transfer. As per the original terms the notes bear a 10% annual interest rate, gives the holder the right, but not the obligation to convert up to 50% of the amount advanced and accrued interest into shares, warrants or options of common or preferred stock of the Company at fixed rate of $0.01 per share.           A noteholder invested $125,000 on June 9, 2023, and an additional $35,000 on September 20, 2023, in the Company with convertible notes at a 10% interest rate and a fixed conversion price of $0.04 and $0.05, respectively.           On July 25, 2023, and August 30, 2023, a noteholder invested $30,000 each in the Company with convertible notes that have a 17% OID and a fixed conversion price of $0.11.           During the twelve months ended December 31, 2023, the Company consolidated various past-due convertible promissory notes in an aggregate amount of $400,000 inclusive of interest at a 12% interest rate and with conversion rates ranging from .30 to $9.75 with an investor into a new single note. The convertible promissory note agreement bears interest at seven (6%) percent, has a one (1) year maturity date. The note may be repaid in whole or in part any time prior to maturity. The promissory note is convertible at the investor’s sole discretion, into common shares at a conversion price of $4.00. The resulting modification of the notes resulted in a forgiveness of accrued interest of $27,537.           During the twelve months ended December 31, 2023, the Company issued $200,000 in convertible notes in conjunction with the purchase of Level 2 Securities, LLC. These notes agreements bear an interest rate of 10% and are convertible at the investor’s sole discretion, into common shares at a conversion price of $0.01.           As of December 31, 2023, and December 31, 2022, $415,500 and $678,000 of these convertible notes are currently past due, with no associated penalties.

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CARE Loans	12 Months Ended
	Dec. 31, 2023
Debt Disclosure [Abstract]
CARE Loans	10. CARE Loans SCHEDULE OF LOANS PAYABLE      December 31, 2023     December 31, 2022   a) PPP loan – short term   $ -     $ -   b) EIDL loan – short term     12,972       7,903   b) EIDL loan – long term     137,028       142,097   Total CARE loans   $ 150,000     $ 150,000       (a) Paycheck Protection Program Loan   On April 30, 2020, the Company executed a note (the “PPP Note”) for the benefit of MUFG Union Bank, NA (the “Lender”) in the aggregate amount of $67,870 under the Paycheck Protection Program (“PPP”) of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”). The PPP is administered by the U.S. Small Business Administration (the “SBA”). The interest rate of the loan is 1.00% per annum and accrues on the unpaid principal balance computed on the basis of the actual number of days elapsed in a year of 360 days. Commencing seven months after the effective date of the PPP Note, MetAlert is required to pay the Lender equal monthly payments of principal and interest as required to fully amortize any unforgiven principal balance of the loan by the two-year anniversary of the effective date of the PPP Note (the “Maturity Date”). The Maturity Date can be extended to five years if mutually agreed upon by both the Lender and MetAlert. The PPP Note contains customary events of default relating to, among other things, payment defaults, making materially false or misleading representations to the SBA or the Lender, or breaching the terms of the PPP Note. The occurrence of an event of default may result in the repayment of all amounts outstanding under the PPP Note, collection of all amounts owing from MetAlert, or filing suit and obtaining judgment against MetAlert. Under the terms of the CARES Act, PPP loan recipients can apply for and be granted forgiveness for all or a portion of the loan granted under the PPP. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds for payment of payroll costs and any payments of mortgage interest, rent, and utilities. Recent modifications to the PPP by the U.S. Treasury and Congress have extended the time period for loan forgiveness beyond the original eight-week period, making it possible for MetAlert to apply for forgiveness of its PPP loan. No assurance can be given that MetAlert will be successful in obtaining forgiveness of the loan in whole or in part, as such the Company has moved the PPP Loan into short-term liabilities, until further instructions are received. The Company was in compliance with the terms of the PPP loan as of December 31, 2021, and has accrued interest on the loan of $1,160 as of December 31, 2021.   During the period ended December 31, 2022, the Company received notification that the loan was forgiven, and as such, $68,870 of principal has been recognized on the income statement under other income, as of December 31, 2022.   (b) Economic Injury Disaster Loan   On June 10, 2020, the Company executed a secured loan with the U.S. Small Business Administration (SBA) under the Economic Injury Disaster Loan program in the amount of $150,000. The loan is secured by all tangible and intangible assets of the Company and payable over 30 years at an interest rate of 3.75% per annum. Installment payments, including principal and interest, started in December 2022. As part of the loan, the Company also received an advance of $10,000 from the SBA. While the SBA refers to this program as an advance, it was written into law as a grant. This means that the amount given through this program does not need to be repaid and has been recognized as Other Income.   As of December 31, 2023, the Company calculated that 31 months of the 360 periods on the 30-year loans should be considered short-term (months since installment plan was supposed to begin), and as such $12,972 is considered short-term liabilities, has accrued interest on the loan of $21,733 as of December 31, 2023, or until the Company has received more definitive correspondence related to any potential forgiveness.

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RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2023
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	11. RELATED PARTY TRANSACTIONS   Convertible Notes Due to Related Parties   During the period ended December 31, 2023, the related parties converted $40,000 of debt, plus interest, for 4,269,600 shares of common stock. Additionally, the Company’s executives transferred $35,000 of their outstanding employee notes for cash to a third party. Lastly, one executive applied various payments to a note The transferred notes had no change in terms, thus resulting in no gain or loss on the extinguishment related to the transfer of debt, making the outstanding balance on the related party notes on December 31, 2023, as $1,219,313, net of debt discounts.   During the period ended December 31, 2022, the Company relieved the outstanding payables due to related parties by $706,248 and converted those amounts into additional notes with an aggregate amount of $706,248. As the conversion price embedded in the note agreements was below the trading price of the common stock on the dates of issuance, a beneficial conversion feature (BCF) was recognized at the date of issuance. The Company recognized a debt discount at the date of issuance in the aggregate amount of $167,339 related to the intrinsic value of beneficial conversion feature. The related parties converted $108,602 of debt for 4,269,600 shares of common stock. Additionally, the Company’s executives transferred $100,000 of their outstanding employee notes for cash to a third party, which lowered the related party notes and increased the convertible note balance by $100,000. The transferred notes had no change in terms, thus resulting in no gain or loss on the extinguishment related to the transfer of debt, making the outstanding balance on the related party notes on December 31, 2022, as $1,206,738, net of debt discounts.     Accrued wages and costs - In order to preserve cash for other working capital needs, various officers, members of management, employees and directors agreed to defer portions of their wages and sometimes various out-of pocket expenses since 2011. As of December 31, 2023, and 2022, the Company owed $195,791 and $26,948, respectively, for such deferred wages and other expenses owed for other services which are included in the accrued expenses – related parties on the accompanying balance sheet.   Officer Loans   On November 18, 2022, an officer loaned the Company $10,000 at a 10% interest rate on a short-term basis.   During the period ended December 31, 2023, the same office loaned another $3,500, was paid $2,000 in principal and $850 in interest, leaving a balance of $11,500 in principal on December 31, 2023.   A second officer loaned the Company $35,000, both at the 10% interest rate, with a total of $2,000 in principal and $850 in interest being paid back during this period.   For the period ending December 31, 2023, the outstanding balance on officer loans was $46,500.

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DERIVATIVE LIABILITIES	12 Months Ended
	Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE LIABILITIES	12. DERIVATIVE LIABILITIES   Under authoritative guidance used by the FASB on determining whether an instrument (or embedded feature) is indexed to an entity’s own stock, instruments which do not have fixed settlement provisions are deemed to be derivative instruments. The Company has issued certain convertible notes which conversion prices are based on a future market price. However, since the number of shares to be issued is not explicitly limited, the Company is unable to conclude that enough authorized and unissued shares are available to share settle the conversion option. As a result, the conversion option is classified as a liability and bifurcated from the debt host and accounted for as a derivative liability in accordance with ASC 815 and will be re-measured at the end of every reporting period with the change in value reported in the statement of operations.   At December 31, 2020 it was determined that the Preferred A shareholders having the majority vote agreed to increase the number of authorized shares, if needed, to settle any convertible debt, and thus the liability was determined to be $0.

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INCOME TAXES	12 Months Ended
	Dec. 31, 2023
Income Tax Disclosure [Abstract]
INCOME TAXES	13. INCOME TAXES   Reconciliations of the total income tax provision tax rate to the statutory federal income tax rate of 21% for the years ended December 31, 2023 and 2022, are as follows: SCHEDULE OF RECONCILIATIONS OF INCOME TAX PROVISION TAX RATE       2023     2022                 Federal income tax benefit calculated at statutory rate   $ 288,764     $ 423,743   State income tax benefit, net of federal benefit     116,236       87,257   Less: Stock based compensation expense     (21,000 )     (226,000 ) Effect of rate change from 34% to 21%     (2,664,000 )     (2,517,000 ) Change in valuation allowance     2,280,000       2,232,000   Net tax provision   $ -     $ -     The cumulative tax effect at the expected rate of 21% of significant items comprising our net deferred tax amount is as follows at December 31: SCHEDULE OF DEFERRED TAX ASSETS       2023     2022   Deferred tax asset attributable to:                 Net operating losses carried forward   $ 4,303,602     $ 4,066,525   Less: Valuation allowance     (4,303,602 )     (4,066,525 ) Net deferred tax asset   $ -     $ -     At December 31, 2023, the Company had an unused net operating loss carryover approximating $20,490,931, subject to section 382 limitations, that is available to offset future taxable income, which expires beginning in 2028.   The Company established a full valuation allowance. The Company continually reviews the adequacy of the valuation allowance and recognizes a benefit from income taxes only when reassessment indicates that it is more likely than not that the benefits will be realized.

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EQUITY	12 Months Ended
	Dec. 31, 2023
Equity [Abstract]
EQUITY	14. EQUITY   The Company has 10,000,000 shares of preferred stock authorized. From this pool the following preferred shares have been classified as:   Preferred Stock – Series A   During the year ended December 31, 2018, the Company authorized 1,000,000 of preferred Series A preferred shares, which shares to have voting rights equal to two-thirds of all the issued and outstanding shares of common stock, shall be entitled to vote on all matters of the corporation, and shall have the majority vote of the board of directors. The subject preferred stock lacks any dividend rights, does not have liquidation preference, and is not convertible into common stock. During the year ended December 31, 2018, the Company issued one million shares to certain officers and board members. The Company retained a third-party valuation firm whose input was utilized in determining the related per share valuation of the preferred shares. Based on Management’s assessment and the valuation report, the fair value of the preferred shares was determined to be $0.0463 per share or an aggregate of $46,363. During the fiscal year ended December 31, 2022, 100,000 shares (1,539 with the reverse), were returned to treasury and of the 900,000 shares (13,846 after the reverse) all remain outstanding as of December 31, 2023.   As of December 31, 2020, it was determined that the Preferred A shareholders having the majority vote. Can agree to increase the number of authorized shares, if needed, to settle any convertible debt, and thus any derivative liabilities are not necessary to reserve for this.   Preferred Stock – Series B   During the year ended December 31, 2019, the Company authorized 10,000 shares of preferred stock to be designated available for Series B preferred shares that have a stated value of $1,000 each and are convertible into common shares at fixed price of $0.0025. Holders shall be entitled to receive, and the Company shall pay, dividends on shares of Series B Preferred Stock equal (on an as-if-converted-to-Common-Stock basis) to and in the same form as dividends actually paid on shares of the Common Stock when, as and if such dividends are paid on shares of the Company’s Common Stock. No other dividends shall be paid on shares of Series B Preferred Stock, and they shall have no voting rights and have liquidation preference. During the year ended December 31, 2019, the Company issued 150 Series B preferred shares.   During the period ended December 31, 2020, the Company issued 100 Series B preferred shares and 10,000,000 warrants to an accredited investor for their financings for an aggregate value of $100,000. The Series B preferred shares and warrants shall have a fixed conversion price per share equal to $0.0025 per share of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The warrants are exercisable through March 2025. The Company considered the accounting effects of the existence of the conversion feature of the Series B Preferred Stock, and the issuance of warrants at the date of issuance. In accordance with the current accounting standards, the Company determined that it should account for the fair value of the conversion feature and relative fair value of the issued warrants (up to the face amount of the Series B Preferred Stock) as a deemed dividend of $100,000 and a charge to paid in capital.   During the period ended December 31, 2021, the two accredited investors converted 70 Series B preferred shares into 28,000,000 common shares at the conversion price of $0.0025, leaving a balance of 180 Series B as of December 31, 2022, which with the reverse leaves a balance of 3 as of December 31, 2023.   Preferred Stock – Series C   During the period ended December 31, 2020, the Company authorized 1,000 shares of preferred stock to be designated available for Series C preferred shares that have a stated value of $1,000 each and are convertible into common shares at fixed price of $0.015. Holders shall be entitled to receive, and the Company shall pay, dividends on shares of Series C Preferred Stock equal (on an as-if-converted-to-Common-Stock basis) to and in the same form as dividends actually paid on shares of the Common Stock when, as and if such dividends are paid on shares of the Company’s Common Stock. No other dividends shall be paid on shares of Series C Preferred Stock, and they shall have no voting rights and have liquidation preference.     During the period ended December 31, 2021, the Company issued 675 Series C preferred shares and 22,500,000 warrants to an accredited investor for their financings for an aggregate value of $675,000. The Series C preferred shares and warrants shall have a fixed conversion price equal to $0.004 per share of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The warrants are exercisable through May 2024. The Company considered the accounting effects of the existence of the conversion feature of the Series C Preferred Stock, and the issuance of warrants at the date of issuance. In accordance with the current accounting standards, the Company determined that it should account for the fair value of the conversion feature and relative fair value of the issued warrants (up to the face amount of the Series C Preferred Stock) as a deemed dividend of $675,000 and a charge to paid in capital.   During the period ended December 31, 2021, the two accredited investors converted 150 Series C preferred shares into 10,000,000 common shares at the conversion price of $0.01, leaving a balance of 675 Series C as of December 31, 2022, which with the reverse leaves a balance of 6 as of December 31, 2023.   Preferred Stock – Series D   During the period ended December 31, 2023, the Company authorized 100,000 shares of preferred stock to be designated available for Series D preferred shares that have a convertible value into 100 shares of the Company’s common stock. The holder(s) of the shares of Series D Preferred Stock shall have no other rights, privileges or preferences with respect to the Series D Preferred Stock.   During the period ended December 31, 2023, the Company issued 15,000 Series D preferred shares and to an accredited investor for their $100,000 investment in the financing. The Series D preferred shares shall have a fixed conversion price equal to 100 share’s of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The Company considered the accounting effects of the existence of the conversion feature of the Series D Preferred Stock at the date of issuance. As of the period ended December 31, 2023, there is a 15, balance in the preferred D.   Common Stock   The Company issued the following shares of common stock for the years ended December 31: SCHEDULE OF COMPANY ISSUED SHARES OF COMMON STOCK       2023     2022       Value of Shares     # of shares     Value of Shares     # of shares   Shares issued for services rendered   $ 56,498       745,000     $ 621,246       2,070,965   Shares issued for conversion of warrants     -       -       25,001       153,847   Shares issued for conversion of debt     74,211       7,421,137       114,062       11,406,200   Shares issued for services rendered     347,900       7,100,000       -       -   Shares issued for financing     -       -       180,000       92,309                                     Total shares issued   $ 478,609       15,266,137     $ 940,349       13,723,321     Shares issued for services rendered were to various members of management, employees and consultants and are generally expensed as Stock-Based Compensation in the accompanying consolidated statement of operations. Shares issued for conversion of debt relate to conversions of both short and long term debt as discussed in Note 8.   During the year ended December 31, 2023 the Company issued 745,000 shares of common stock with a fair value of $56,498 at the date of grant for services, shares issued for the conversion of debt were 7,421,137 shares of common stock with a fair value of $74,211 at the grant date and 7,100,000 of shares of common stock with a fair value of $347,900 at the grant date for shares issued related to an acquisition.     During the year ended December 31, 2022 the Company issued 2,070,965 shares of common stock with a fair value of $621,246 at the date of grant for services, shares issued for the conversion of debt were 11,406,200 shares of common stock with a fair value of $114,062 at the grant date and 92,309 of shares of common stock with a fair value of $180,000 at the grant date for shares issued related to financings.   On October 16, 2018, the Company created a long-term employment retention bonus plan and issued 39,500,000 of restricted common shares to the plan. The shares have a 3-year vesting period and those eligible, employees, directors and advisors must have been with the Company for at least 7 years with an additional 2 years necessary in order to participate in the plan and 3 to become fully vested. The shares will vest with a mandatory 2-year minimum requirement for such vesting to become valid with 33.4% in year two and 66.66% at the end of year three. If the individual leaves the Company prior to vesting the Company or its assignee retains the option to repurchase the unvested shares at par. The shares had a fair value of $1,086,250 at the date of grant, which cost will be amortized over the three-year vesting period.   The board is evaluating a new employee stock option plan (ESOP) and intends to select a new plan by the end of the 2023.   During the years ended December 31, 2023, and 2022, the Company did not issue any shares of common stock for financing costs.   Common Stock Warrants   Since inception, the Company has issued numerous warrants to purchase shares of the Company’s common stock to shareholders, consultants and employees as compensation for services rendered.   A summary of the Company’s warrant activity and related information is provided below (the exercise price and the number of shares of common stock issuable upon the exercise of outstanding warrants have been adjusted to reflect a 1-for-75 reverse stock split.): SCHEDULE OF WARRANT ACTIVITY      Exercise Price $     Number of Warrants   Outstanding and exercisable at December 31, 2021     0.16 – 2.60       757,693   Warrants exercised     0.16       (153,847 ) Warrants granted     -       -   Warrants expired     -       - ) Outstanding and exercisable at December 31, 2022     0.16 – 2.60       603,846   Warrants exercised     -       -   Warrants granted     0.05-0.15       400,000   Warrants expired     0.015       (157,692 ) Outstanding and exercisable at December 31, 2023     0.16 – 2.60       846,154     SCHEDULE OF STOCK WARRANT EXERCISE PRICE RANGE  Stock Warrants as of December 31, 2023   Exercise Price     Warrants Outstanding     Remaining Life (Years)     Warrants Exercisable   $ 0.05       300,000       .40       300,000   $ 0.15       100,000       2.11       100,000   $ 0.1625       100,000       2.11       100,000   $ 2.60       346,154       0.26       346,154     During the period ended December 31, 2022, no new warrants were issued and 153,847 warrants were exercised. The 603,846 outstanding and exercisable warrants at December 31, 2022 had an intrinsic value of $96,615.   During the period ended December 31, 2023, 400,000 new warrants were issued and 157,692 warrants expired. The 846,154 outstanding and exercisable warrants at December 31, 2023 had an intrinsic value of $39,008.   Common Stock Options   Under the Company’s 2008 Plan, we are authorized to grant stock options intended to qualify as Incentive Stock Options, “ISO”, under Section 422 of the Internal Revenue Code of 1986, as amended, non-qualified options, restricted and unrestricted stock awards and stock appreciation rights to purchase up to 7,000,000 shares of common stock to our employees, officers, directors and consultants, with the exception that ISOs may only be granted to employees of the Company and its subsidiaries, as defined in the 2008 Plan.   The Plan provides for the issuance of a maximum of 7,000,000 shares of which, after adjusting for estimated pre-vesting forfeitures and expired options, approximately 2,235,000 were available for issuance as of December 31, 2023.   No options were granted during 2023 and 2022.

v3.24.1.1.u2

COMMITMENTS & CONTINGENCIES	12 Months Ended
	Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS & CONTINGENCIES	15. COMMITMENTS & CONTINGENCIES   Bonuses   The Company has an employment agreement with its CEO which, among other provisions, provide for the payment of a bonus, as determined by the Board of Directors, in amounts ranging from 15% to 50% of the executive’s yearly compensation, to be paid in cash or stock at the Company’s sole discretion, if the Company has an increase in year over year revenues and the Executive performs his duties (i) within the time frame budgeted for such duties and (ii) at or below the cost budgeted for such duties. No such bonuses were declared or accrued during the years ending December 31, 2023, or 2022.   Contingencies   From time to time, we may be involved in routine legal proceedings, as well as demands, claims and threatened litigation that arise in the normal course of our business. The ultimate amount of liability, if any, for any claims of any type (either alone or in the aggregate) may materially and adversely affect our financial condition, results of operations and liquidity. In addition, the ultimate outcome of any litigation is uncertain. Any outcome, whether favorable or unfavorable, may materially and adversely affect us due to legal costs and expenses, diversion of management attention and other factors. We expense legal costs in the period incurred. We cannot assure you that additional contingencies of a legal nature or contingencies having legal aspects will not be asserted against us in the future, and these matters could relate to prior, current or future transactions or events. No such contingencies were declared or accrued during the years ending December 31, 2023, or 2022.

v3.24.1.1.u2

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2023
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	16. SUBSEQUENT EVENTS   On January 10, 2024, the Company issued 600,000 shares of Common Stock to an advisor at a fixed price of $0.03.   On January 16, 2024, an investor as part of his Securities Purchase Agreement, received Preferred Series D shares for an investment of $100,000.   On February 1, 2024, the Company issued 800,000 shares of Common Stock to an advisor at a fixed price of $0.34.   On March 12, 2024, an investor as part of his Securities Purchase Agreement, received Preferred Series D shares for an investment of $100,000.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2023
Accounting Policies [Abstract]
Revenue Recognition	Revenue Recognition   The Company recognizes revenue in accordance with ASU 2014-09, Revenue from Contracts with Customers (Topic 606), (“ASC 606”). The underlying principle of ASC 606 is to recognize revenue to depict the transfer of goods or services to customers at the amount expected to be collected. ASC 606 creates a five-step model that requires entities to exercise judgment when considering the terms of contract(s), which include (1) identifying the contract or agreement with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.   We derive our revenues primarily from hardware sales, subscription services fees, IP licensing and professional services fees. Hardware includes our SmartSole, GunTracker, Military and other Stand-Alone Devices. Subscription services revenues consist of fees from customers accessing our Geo-Location cloud-based platform through subscription or license fee, that are billed monthly, quarterly, semi-annual or annually. Predominately most of our subscriptions at this time are billed monthly and recognized at the time of billing. Professional services and other revenues consist primarily of fees from implementation services, configuration, data services, training and managed services related to our solutions, which are also recognized at the time of billing once the service has been performed/delivered IP licensing is related to any agreement with 3rd parties to license our IP portfolio and that revenue is recognized as per the term of the specific licensing agreements.   The Company’s initial point of contact with its retail customers is thru its e-commerce site whereby any contract with the customer is entered into and dealt with thru the online ordering process and does not require performance beyond delivery. Shipping and handling activities are performed before the customer obtains control of the goods and therefore represent a fulfillment activity rather than a promised service to the customer. Revenue and costs of sales are recognized when control of the products transfers to our customer, which generally occurs upon shipment from our facilities. The Company’s performance obligations are satisfied at that time.   The Company’s recognizes revenues with its wholesale customers, as with retail, upon shipment, and recurring subscription revenue is recognized at the time of billing which is done 30 days in the arrears from delivery of service. Rendering the service obligation fulfilled   Product sales   At the inception of each customer sale, either online or through a purchase order, we assess the goods and services promised in our contracts and identify each distinct performance obligation. The Company recognizes revenue upon the transfer of control of promised products or services to the customer in an amount that depicts the consideration the Company expects to be entitled to for the related products or services. For the large majority of the Company’s sales, transfer of control occurs once the product has shipped and title and risk of loss have transferred to the customer.   Services Income   The Company’s software solutions are available for use as hosted application arrangements under subscription fee agreements without licensing perpetual rights to the software. Subscription fees from these applications are recognized over time on a ratable basis over the customer agreement term beginning on the date the Company’s solution is made available to the customer. Our subscription contracts are generally one to three months in length. Amounts that have been invoiced are recorded in accounts receivable and deferred revenues or revenues, depending on whether the revenue recognition criteria have been met.   Other revenue can include various items, such as our professional services arrangements that are recognized on a time and materials basis. Professional services revenues recognized on a time and materials basis are measured monthly based on time incurred and contractually agreed upon rates. Certain professional services revenues are based on fixed fee arrangements and revenues are recognized based on the proportional performance method. In some cases, the terms of our time and materials and fixed fee arrangements may require that we defer the recognition of revenue until contractual conditions are met. Data services and training revenues are generally recognized as the services are performed. Additionally, we have had non-compete revenue from the sale of assets, engineering, and design work, all of which are recognized over the term of the agreed contracts.     Royalty revenue from a non-compete agreement expired in June of 2023.   Licensing Revenue   Licensing revenue recorded by the Company relates exclusively to the Company’s monetization of IP licenses. The Company recognizes revenue for licensing under ASC 606, which provides revenue recognition constraints by requiring the recognition of revenue at the later of the following: 1) sale or usage of the products or 2) satisfaction of the performance obligations. The Company has satisfied its performance obligations and therefore recognizes licensing revenue when the sales to which the licensing relate are completed, under the terms of the specific licensing agreement.   During the year ended December 31, 2023, the Company did not recognize any revenue on settlements.   Disaggregation of Net Sales   The following table shows the Company’s disaggregated net sales by product type: SCHEDULE OF DISAGGREGATION OF NET SALES     December 31, 2023     December 31, 2022   Product sales   $ 181,022     $ 213,306   Service income     67,309       121,300   Total   $ 248,331     $ 334,606     The following table shows the Company’s disaggregated net sales by customer type:       December 31, 2023     December 31, 2022   B2B   $ 182,839     $ 211,237   B2C     65,492       123,369   Military     -       -   IP     -       -   Total   $ 248,331     $ 334,606
Allowance for Doubtful Accounts	Allowance for Doubtful Accounts   We extend credit based on our evaluation of the customer’s financial condition. We carry our accounts receivable at net realizable value. We monitor our exposure to losses on receivables and maintain allowances for potential losses or adjustments. We determine these allowances by (1) evaluating the aging of our receivables; and (2) reviewing high-risk customer’s financial condition. Past due receivable balances are written off when our internal collection efforts have been unsuccessful in collecting the amount due. Our allowance for doubtful accounts was $12,431 as of December 31, 2023, and as of December 31, 2022. The allowance fully reserves any questionable accounts receivable balances over 90 days.
Shipping and Handling Costs	Shipping and Handling Costs   Shipping and handling costs are included in cost of goods sold in the accompanying consolidated statements of operations.
Product Warranty	Product Warranty   The Company’s warranty policy provides repair or replacement of products (excluding GPS Shoe devices) returned for defects within ninety days of purchase. The Company’s warranties are of an assurance-type and come standard with all Company products to cover repair or replacement should product not perform as expected. Provisions for estimated expenses related to product warranties are made at the time products are sold. These estimates are established using historical information about the nature, frequency and average cost of warranty claim settlements as well as product manufacturing and recovery from suppliers. Management actively studies trends of warranty claims and takes action to improve product quality and minimize warranty costs. The Company estimates the actual historical warranty claims coupled with an analysis of unfulfilled claims to record a liability for specific warranty purposes. As of December 31, 2023 and 2022, products returned for repair or replacement have been immaterial. Accordingly, a warranty liability has not been deemed necessary.
Use of Estimates	Use of Estimates   The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Material estimates relate to the assumptions made in determining reserves for uncollectible receivables, inventory reserves and returns, impairment analysis of long-term assets and deferred tax assets, accruals for potential liabilities and assumptions made in valuing the fair market value of equity transactions. Estimates are updated on an ongoing basis and are evaluated based on historical experience and current circumstances. Changes in facts and circumstances in the future may give rise to changes in these estimates which may cause actual results to differ from current estimates.
Fair Value Estimates	Fair Value Estimates   Pursuant to the Accounting Standards Codification (“ASC”) No. 820, “Disclosures About Fair Value of Financial Instruments”, the Company records its financial assets and liabilities at fair value. ASC No. 820 provides a framework for measuring fair value, clarifies the definition of fair value and expands disclosures regarding fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. ASC No. 820 establishes a three-tier hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value:     Level 1 - Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.         Level 2 - Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the asset/liability’s anticipated life.         Level 3 - Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model.   The carrying values for cash and cash equivalents, accounts receivable, investment in marketable securities, other current assets, accounts payable and accrued liabilities approximate their fair value due to their short maturities. The carrying values of notes payable and other financing obligations approximate their fair values because interest rates on these obligations are based on prevailing market interest rates.
Principles of Consolidation	Principles of Consolidation   The accompanying condensed consolidated financial statements at December 31, 2023 and December 31, 2022 and for the years then ended include the accounts of MetAlert, Inc. and the following majority-owned subsidiaries.  SCHEDULE OF MAJORITY- OWNED SUBSIDIARIES Subsidiary:   Percentage Owned       September 30, 2023     December 31, 2022   Global Trek Xploration     100.00 %     100.00 % Level 2 Security Products, Inc. (see Footnote 5)     100.00 %     0 %   All Intercompany transactions have been eliminated upon consolidation.
Cash and Cash Equivalents	Cash and Cash Equivalents   Cash equivalents consist of highly liquid investments with insignificant rate risk and with original maturities of three months or less at the date of purchase.
Inventory	Inventory   Inventory generally consists of raw materials and finished goods and is valued at the lower of cost (first-in, first-out) or net realizable value. The Company evaluates its inventory for excess and obsolescence on a regular basis. In preparing the evaluation the Company looks at the expected demand for the product, as well as changes in technology, in order to determine whether or not a reserve is necessary to record the inventory at net realizable value. For the years ending December 31, 2023 and 2022 the Company did not recognize any charges to expense associated with excess and obsolete inventory cost adjustments.
Property and Equipment	Property and Equipment   Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated using the straight-line method over the estimated three-year useful lives of the assets. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Expenditures for maintenance and repairs are expensed as incurred.   Management assesses the carrying value of property and equipment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If there is indication of impairment, management prepares an estimate of future cash flows expected to result from the use of the asset and its eventual disposition. If these cash flows are less than the carrying amount of the asset, an impairment loss is recognized to write down the asset to its estimated fair value.
Research and Development Costs	Research and Development Costs   Research and development costs consist primarily of fees paid to consultants and outside service providers, patent fees and costs, and other expenses relating to the acquisition, design, development and testing of the Company’s products. Research and development expenditures are expensed as incurred and totaled $18,859 and $18,961 for the years ended December 31, 2023 and 2022, respectively.
Concentrations	Concentrations   We can rely on one or two manufacturers to supply us with our GPS SmartSole, in Germany and the U.S. Currently, for the Gun Tracker we have one supplier in China, but in order to have redundances we are looking for sources in the US and Mexico for manufacturing. However, the loss of any of these manufacturers could severely impede our ability to manufacture the GPS SmartSole and Gun Tracker, and thus as we increase production we are looking to augment and grow our vendors and supply chains accordingly.   As of December 31, 2023, the Company had four customers representing approximately 29%, 16%, 16% and 15% of sales and four customers representing approximately 45%, 14%, 11% and 7% of total accounts receivable, respectively. The Company had four customers representing approximately 28%, 21%, 15% and 95% of sales and three customers representing approximately 50%, 22%, and 15% of total accounts receivable, respectively, for the year ended December 31, 2022.
Intangible Assets	Intangible Assets   The Company records identifiable intangible assets acquired from other enterprises or individuals at cost. Intangible assets consist of a licensing agreement enabling the Company to sell its GPS-related vehicle tracking software and services which is being amortized over the life of the licensing agreement.
Marketable Securities	Marketable Securities   The Company’s securities investments that are acquired and held principally for the purpose of selling them in the near term are classified as trading securities. Trading securities are recorded at fair value based on quoted market price (level 1) on the balance sheet in current assets, with the change in fair value during the period included in earnings.
Net Loss Per Common Share	Net Loss Per Common Share   Basic loss per share is computed by dividing the net loss applicable to common stockholders by the weighted average number of outstanding common shares during the period. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest. Diluted loss per share is computed by dividing net loss applicable to common stockholders by the weighted average number of common shares outstanding plus the number of additional common shares that would have been outstanding if all dilutive potential common shares had been issued. Shares of restricted stock are included in the diluted weighted average number of common shares outstanding from the date they are granted unless they are antidilutive. Diluted loss per share excludes all potential common shares if their effect is anti-dilutive. The following potentially dilutive shares were excluded from the shares used to calculate diluted earnings per share as their inclusion would be anti-dilutive: SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM CALCULATION OF DILUTED EARNINGS PER SHARE     2023     2022       December 31,       2023     2022   Warrants     846,152       603,846   Preferred B shares     1,600,000       24,616   Preferred C shares     1,000,000       10,264   Preferred D shares     2,600,000       -   Conversion shares upon conversion of notes     111,624,469       110,976,351   Total     117,670,623       111,615,077
Income Taxes	Income Taxes   The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized by applying the statutory tax rates in effect in the years in which the differences between the financial reporting and tax filing bases of existing assets and liabilities are expected to reverse. Valuation allowances are established when necessary to reduce deferred tax assets to the amounts expected to be realized.
Stock-based Compensation	Stock-based Compensation   The Company periodically issues common stock and stock options to officers, directors, and consultants for services rendered. Options vest and expire according to terms established at the issuance date of each grant. Stock grants, which are generally time vested, are measured at the grant date fair value and charged to operations ratably over the vesting period. Through December 31, 2018, the Company accounted for stock-based payments to officers and directors by measuring the cost of services received in exchange for equity awards utilizing the grant date fair value of the awards, with the cost recognized as compensation expense on the straight-line basis in the Company’s financial statements over the vesting period of the awards. The Company accounted for stock-based payments to Scientific Advisory Committee members and consultants by determining the value of the stock compensation based upon the measurement date at either (a) the date at which a performance commitment was reached or (b) at the date at which the necessary performance to earn the equity instruments was complete.   In accordance with the Company’s adoption of Accounting Standards Update 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, effective January 1, 2019, stock options granted to outside consultants are now accounted for consistent with the accounting for stock-based payments to officers and directors, as described above, by measuring the cost of services received in exchange for equity awards utilizing the grant date fair value of the awards, with the cost recognized as compensation expense on the straight-line basis in the Company’s financial statements over the vesting period of the awards.
Segments	Segments   The Company operates in one segment for the manufacture and distribution of its products. In accordance with the “Segment Reporting” Topic of the ASC, the Company’s chief operating decision maker has been identified as the Chief Executive Officer and President, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. Existing guidance, which is based on a management approach to segment reporting, establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products and services, major customers, and the countries in which the entity holds material assets and reports revenue. All material operating units qualify for aggregation under “Segment Reporting” due to their similar customer base and similarities in: economic characteristics; nature of products and services; and procurement, manufacturing and distribution processes. Since the Company operates in one segment, all financial information required by “Segment Reporting” can be found in the accompanying financial statements.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements   In June 2016, the FASB issued ASU No. 2016-13, Credit Losses - Measurement of Credit Losses on Financial Instruments (“ASC 326”). The standard significantly changes how entities will measure credit losses for most financial assets, including accounts and notes receivables. The standard will replace today’s “incurred loss” approach with an “expected loss” model, under which companies will recognize allowances based on expected rather than incurred losses. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. As small business filer, the standard will be effective for us for interim and annual reporting periods beginning after December 15, 2022. The Company is currently assessing the impact of adopting this standard on the Company’s financial statements and related disclosures.   Other recent accounting pronouncements issued by the FASB, its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company’s present or future consolidated financial statements.

v3.24.1.1.u2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2023
Accounting Policies [Abstract]
SCHEDULE OF DISAGGREGATION OF NET SALES	The following table shows the Company’s disaggregated net sales by product type: SCHEDULE OF DISAGGREGATION OF NET SALES     December 31, 2023     December 31, 2022   Product sales   $ 181,022     $ 213,306   Service income     67,309       121,300   Total   $ 248,331     $ 334,606     The following table shows the Company’s disaggregated net sales by customer type:       December 31, 2023     December 31, 2022   B2B   $ 182,839     $ 211,237   B2C     65,492       123,369   Military     -       -   IP     -       -   Total   $ 248,331     $ 334,606
SCHEDULE OF MAJORITY- OWNED SUBSIDIARIES	SCHEDULE OF MAJORITY- OWNED SUBSIDIARIES Subsidiary:   Percentage Owned       September 30, 2023     December 31, 2022   Global Trek Xploration     100.00 %     100.00 % Level 2 Security Products, Inc. (see Footnote 5)     100.00 %     0 %
SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM CALCULATION OF DILUTED EARNINGS PER SHARE	SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM CALCULATION OF DILUTED EARNINGS PER SHARE     2023     2022       December 31,       2023     2022   Warrants     846,152       603,846   Preferred B shares     1,600,000       24,616   Preferred C shares     1,000,000       10,264   Preferred D shares     2,600,000       -   Conversion shares upon conversion of notes     111,624,469       110,976,351   Total     117,670,623       111,615,077

v3.24.1.1.u2

INVENTORY (Tables)	12 Months Ended
	Dec. 31, 2023
Inventory Disclosure [Abstract]
SCHEDULE OF INVENTORY	Inventories consist of the following:  SCHEDULE OF INVENTORY     2023     2022       December 31,       2023     2022   Raw materials   $ 24,936     $ 51,531   Finished goods     206,882       18,581   Total Inventories   $ 231,818     $ 70,112

v3.24.1.1.u2

ASSET ACQUISITION (Tables)	12 Months Ended
	Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]
SCHEDULE OF PURCHASE PRICE ALLOCATION	The following allocation of the purchase price is as follows:  SCHEDULE OF PURCHASE PRICE ALLOCATION Assets and liabilities acquired:         Consideration given:       Convertible notes     200,000   Common stock     347,900         547,900             Assets and liabilities acquired:         Cash     42,408   Inventory     229,335   Intangible assets:         Patents and trademarks     50,000   Tooling & molds     25,300   Website development     9,400   Software development     191,457   Intangible assets     191,457             Assets and Liabilities acquired     547,900

v3.24.1.1.u2

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2023
Property, Plant and Equipment [Abstract]
SCHEDULE OF PROPERTY AND EQUIPMENT	Property and equipment, net, consists of the following: SCHEDULE OF PROPERTY AND EQUIPMENT      2022     2021       December 31,       2022     2021   Software   $ 25,890     $ 25,890   Website development     91,622       91,622   Software development     394,772       394,772   Equipment     1,750       1,750   Less: accumulated depreciation     (488,254 )     (454,913 )                   Total property and equipment, net   $ 25,780     $ 59,121

v3.24.1.1.u2

INTANGIBLE ASSETS (Tables)	12 Months Ended
	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
SCHEDULE OF INTANGIBLE ASSETS	Intangible assets, net, consists of the following:  SCHEDULE OF INTANGIBLE ASSETS     December 31, 2023     December 31, 2022   Trademarks   $ 3,308     $ 3,308   Tooling and molds     25,300       -   Website development     9,400       -   Software development     191,457       -   Acquired patents and trademarks     50,000       -   Less: accumulated amortization     (17,704 )     -   Total intangible assets, net   $ 261,761     $ 3,308

v3.24.1.1.u2

NOTES & LOANS PAYABLE (Tables)	12 Months Ended
	Dec. 31, 2023
Debt Disclosure [Abstract]
SUMMARY OF COMPONENTS OF OUR SHORT-TERM BORROWINGS	The following table summarizes the components of our short-term borrowings:  SUMMARY OF COMPONENTS OF OUR SHORT-TERM BORROWINGS     December 31, 2023     December 31, 2022   (a) Term loan   $ 146,195     $ 149,120   (b) Revolving line of credit     7,000       7,000   (b) Revolving line of credit     95,040       74,651   Total   $ 248,235     $ 230,771

v3.24.1.1.u2

CONVERTIBLE PROMISSORY NOTES – PAST DUE (Tables)	12 Months Ended
	Dec. 31, 2023
Convertible Promissory Notes Past Due
SCHEDULE OF CONVERTIBLE NOTES PAYABLE	SCHEDULE OF CONVERTIBLE NOTES PAYABLE      December 31, 2023     December 31, 2022   Convertible Notes – with fixed conversion, past due   $ 415,500     $ 843,000   Convertible Notes – with fixed conversion     732,500       -   Convertible Notes – with fixed conversion and OID     74,930       -   Convertible Note – with variable conversion     68,000       -   Notes issued in relation to acquisition – with fixed conversion     200,000       -   Less: Debt discount     (6,788 )     -   Total convertible notes, net of debt discount   $ 1,484,142     $ 843,000

v3.24.1.1.u2

CARE Loans (Tables)	12 Months Ended
	Dec. 31, 2023
Debt Disclosure [Abstract]
SCHEDULE OF LOANS PAYABLE	SCHEDULE OF LOANS PAYABLE      December 31, 2023     December 31, 2022   a) PPP loan – short term   $ -     $ -   b) EIDL loan – short term     12,972       7,903   b) EIDL loan – long term     137,028       142,097   Total CARE loans   $ 150,000     $ 150,000

v3.24.1.1.u2

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2023
Income Tax Disclosure [Abstract]
SCHEDULE OF RECONCILIATIONS OF INCOME TAX PROVISION TAX RATE	Reconciliations of the total income tax provision tax rate to the statutory federal income tax rate of 21% for the years ended December 31, 2023 and 2022, are as follows: SCHEDULE OF RECONCILIATIONS OF INCOME TAX PROVISION TAX RATE       2023     2022                 Federal income tax benefit calculated at statutory rate   $ 288,764     $ 423,743   State income tax benefit, net of federal benefit     116,236       87,257   Less: Stock based compensation expense     (21,000 )     (226,000 ) Effect of rate change from 34% to 21%     (2,664,000 )     (2,517,000 ) Change in valuation allowance     2,280,000       2,232,000   Net tax provision   $ -     $ -
SCHEDULE OF DEFERRED TAX ASSETS	The cumulative tax effect at the expected rate of 21% of significant items comprising our net deferred tax amount is as follows at December 31: SCHEDULE OF DEFERRED TAX ASSETS       2023     2022   Deferred tax asset attributable to:                 Net operating losses carried forward   $ 4,303,602     $ 4,066,525   Less: Valuation allowance     (4,303,602 )     (4,066,525 ) Net deferred tax asset   $ -     $ -

v3.24.1.1.u2

EQUITY (Tables)	12 Months Ended
	Dec. 31, 2023
Equity [Abstract]
SCHEDULE OF COMPANY ISSUED SHARES OF COMMON STOCK	The Company issued the following shares of common stock for the years ended December 31: SCHEDULE OF COMPANY ISSUED SHARES OF COMMON STOCK       2023     2022       Value of Shares     # of shares     Value of Shares     # of shares   Shares issued for services rendered   $ 56,498       745,000     $ 621,246       2,070,965   Shares issued for conversion of warrants     -       -       25,001       153,847   Shares issued for conversion of debt     74,211       7,421,137       114,062       11,406,200   Shares issued for services rendered     347,900       7,100,000       -       -   Shares issued for financing     -       -       180,000       92,309                                     Total shares issued   $ 478,609       15,266,137     $ 940,349       13,723,321
SCHEDULE OF WARRANT ACTIVITY	A summary of the Company’s warrant activity and related information is provided below (the exercise price and the number of shares of common stock issuable upon the exercise of outstanding warrants have been adjusted to reflect a 1-for-75 reverse stock split.): SCHEDULE OF WARRANT ACTIVITY      Exercise Price $     Number of Warrants   Outstanding and exercisable at December 31, 2021     0.16 – 2.60       757,693   Warrants exercised     0.16       (153,847 ) Warrants granted     -       -   Warrants expired     -       - ) Outstanding and exercisable at December 31, 2022     0.16 – 2.60       603,846   Warrants exercised     -       -   Warrants granted     0.05-0.15       400,000   Warrants expired     0.015       (157,692 ) Outstanding and exercisable at December 31, 2023     0.16 – 2.60       846,154
SCHEDULE OF STOCK WARRANT EXERCISE PRICE RANGE	SCHEDULE OF STOCK WARRANT EXERCISE PRICE RANGE  Stock Warrants as of December 31, 2023   Exercise Price     Warrants Outstanding     Remaining Life (Years)     Warrants Exercisable   $ 0.05       300,000       .40       300,000   $ 0.15       100,000       2.11       100,000   $ 0.1625       100,000       2.11       100,000   $ 2.60       346,154       0.26       346,154

v3.24.1.1.u2

ORGANIZATION AND BASIS OF PRESENTATION (Details Narrative) - USD ($)		12 Months Ended
	Sep. 12, 2023	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Reverse stock split	1-for-65 reverse stock split
Net Income (Loss) Attributable to Parent		$ 1,190,158	$ 1,503,087
Retained Earnings (Accumulated Deficit)		28,746,629	27,556,471
Equity, Attributable to Parent		$ 3,898,874	$ 3,312,877	$ 3,077,195
Global Trek Xploration Inc and LOCiMOBILE, Inc [Member]
Capital stock ownership, percent		100.00%

v3.24.1.1.u2

SCHEDULE OF DISAGGREGATION OF NET SALES (Details) - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Product Information [Line Items]
Total	$ 248,331	$ 334,606
B2B [Member]
Product Information [Line Items]
Total	182,839	211,237
B2C [Member]
Product Information [Line Items]
Total	65,492	123,369
Military [Member]
Product Information [Line Items]
Total
IP [Member]
Product Information [Line Items]
Total
Product [Member]
Product Information [Line Items]
Total	181,022	213,306
Service [Member]
Product Information [Line Items]
Total	$ 67,309	$ 121,300

v3.24.1.1.u2

SCHEDULE OF MAJORITY- OWNED SUBSIDIARIES (Details)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Global Trek Xploration [Member]
Name of subsidiary	Global Trek Xploration
Ownership percentage	100.00%	100.00%
Level Two Security Products Inc [Member]
Name of subsidiary	Level 2 Security Products, Inc. (see Footnote 5)
Ownership percentage	100.00%	0.00%

v3.24.1.1.u2

SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM CALCULATION OF DILUTED EARNINGS PER SHARE (Details) - shares	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	117,670,623	111,615,077
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	846,152	603,846
Preferred B Shares [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	1,600,000	24,616
Preferred C Shares [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	1,000,000	10,264
Preferred D Shares [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	2,600,000
Conversion Shares Upon Conversion Of Notes [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	111,624,469	110,976,351

v3.24.1.1.u2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	12 Months Ended
	Dec. 31, 2023 USD ($) Integer	Dec. 31, 2022 USD ($)
Product Information [Line Items]
Allowance for doubtful accounts	$ 12,431	$ 12,431
Product warrants description	The Company’s warranty policy provides repair or replacement of products (excluding GPS Shoe devices) returned for defects within ninety days of purchase.
Research and development expenditures	$ 18,859	$ 18,961
Number of segment | Integer	1
Customer One [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	29.00%	28.00%
Customer One [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	45.00%	50.00%
Customer Two [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	16.00%	21.00%
Customer Two [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	14.00%	22.00%
Customer Three [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	16.00%	15.00%
Customer Three [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	11.00%	15.00%
Customer Four [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	15.00%	95.00%
Customer Four [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	7.00%

v3.24.1.1.u2

INVESTMENTS IN MARKETABLE SECURITIES (Details Narrative) - USD ($)	1 Months Ended	3 Months Ended	12 Months Ended
	Jun. 30, 2019	Mar. 31, 2020	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2019
Investment owned, description			The Company’s investments in marketable securities is comprised of shares of stock of two (2) entities with ownership percentages of less than 5%. The Company accounted for these investments pursuant to ASU 320, Investments – Debt and Equity Securities. As such, these investments were recorded at their market value as of December 31, 2019, with the change in fair value being reflected in the statement of operations.
Shares issued during acquisition			$ 247,900
Inventergy Global, Inc [Member]
Investment owned				42,500
Shares owned, fair value			$ 638	$ 638
Investment per share			$ 0.015
Fair value of common stock on marketable securities			$ 0
Inpixon [Member]
Investment owned			2,000	27	2,000	11,333
Shares owned, fair value			$ 11	$ 45	$ 2,040	$ 58,374
Shares issued during acquisition, shares	22,222
Stock split ratio	1:45
Shares issued during acquisition	$ 634,000
Sale of stock number of shares issued in transaction		8,500			834	10,889
Proceeds from sale of stock		$ 146,201			$ 1,258
Gain on sale of shares		$ 102,420
Decrease in fair value of shares				$ 1,995	$ 851
Loss from investment			$ 34

v3.24.1.1.u2

SCHEDULE OF INVENTORY (Details) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Raw materials	$ 24,936	$ 51,531
Finished goods	206,882	18,581
Total Inventories	$ 231,818	$ 70,112

v3.24.1.1.u2

SCHEDULE OF PURCHASE PRICE ALLOCATION (Details)	12 Months Ended
	Dec. 31, 2023 USD ($)
Acquired Indefinite-Lived Intangible Assets [Line Items]
Convertible notes	$ 200,000
Common stock	347,900
Total Consideration	547,900
Cash	42,408
Inventory	229,335
Assets and Liabilities acquired	547,900
Patents And Trademarks [Member]
Acquired Indefinite-Lived Intangible Assets [Line Items]
Intangible assets	50,000
Tools, Dies and Molds [Member]
Acquired Indefinite-Lived Intangible Assets [Line Items]
Intangible assets	25,300
Website Development [Member]
Acquired Indefinite-Lived Intangible Assets [Line Items]
Intangible assets	9,400
Software Development [Member]
Acquired Indefinite-Lived Intangible Assets [Line Items]
Intangible assets	$ 191,457

v3.24.1.1.u2

ASSET ACQUISITION (Details Narrative) - USD ($)		12 Months Ended
	Sep. 05, 2023	Dec. 31, 2023
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents		$ 42,408
Common stock issued for acquisitions, value		$ 247,900
Level 2 Securities, LLC [Member] | Merger Agreement [Member]
Business Acquisition [Line Items]
Common stock issued for acquisitions	7,100,000
Aggregate principal amount convertible promissory notes	$ 200,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents	$ 40,000
Business Acquisition, Description of Acquired Entity	3,700
Business Acquisition, Transaction Costs	$ 276,157
Cost to acquire the asset	547,900
Common stock issued for acquisitions, value	$ 347,900
Useful life	5 years

v3.24.1.1.u2

SCHEDULE OF PROPERTY AND EQUIPMENT (Details) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Less: accumulated depreciation	$ (488,254)	$ (454,913)
Total property and equipment, net	25,780	59,121
Software [Member]
Property, Plant and Equipment [Line Items]
Equipment	25,890	25,890
Website Development [Member]
Property, Plant and Equipment [Line Items]
Equipment	91,622	91,622
Software Development [Member]
Property, Plant and Equipment [Line Items]
Equipment	394,772	394,772
Equipment [Member]
Property, Plant and Equipment [Line Items]
Equipment	$ 1,750	$ 1,750

v3.24.1.1.u2

PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Property, Plant and Equipment [Abstract]
Depreciation	$ 33,341	$ 33,340

v3.24.1.1.u2

SCHEDULE OF INTANGIBLE ASSETS (Details) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Less: accumulated amortization	$ (17,704)
Total intangible assets, net	261,761	3,308
Trademarks [Member]
Property, Plant and Equipment [Line Items]
Acquired patents and trademarks	3,308	3,308
Tooling And Molds [Member]
Property, Plant and Equipment [Line Items]
Acquired patents and trademarks	25,300
Website Development [Member]
Property, Plant and Equipment [Line Items]
Acquired patents and trademarks	9,400
Software Development [Member]
Property, Plant and Equipment [Line Items]
Acquired patents and trademarks	191,457
Patents And Trademarks [Member]
Property, Plant and Equipment [Line Items]
Acquired patents and trademarks	$ 50,000

v3.24.1.1.u2

INTANGIBLE ASSETS (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
General and Administrative Expense [Member]
Goodwill [Line Items]
Amortization expense	$ 17,704	$ 0

v3.24.1.1.u2

SUMMARY OF COMPONENTS OF OUR SHORT-TERM BORROWINGS (Details) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Debt Disclosure [Abstract]
(a) Term loan	$ 146,195	$ 149,120
(b) Revolving line of credit	7,000	7,000
(b) Revolving line of credit	95,040	74,651
Total	$ 248,235	$ 230,771

v3.24.1.1.u2

SUMMARY OF COMPONENTS OF OUR SHORT-TERM BORROWINGS (Details) (Parenthetical) - USD ($)		12 Months Ended
	Sep. 30, 2019	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Mar. 14, 2023	Apr. 14, 2022	Dec. 31, 2019	Dec. 31, 2018
Short-Term Debt [Line Items]
Current borrowings							$ 25,000
Remaining borrowings		$ 120,000
Line of credit		7,000	$ 7,000
Repayment of line of credit		26,492	69,467
Number of common stock value issued			180,000
Proceeds from line of credit		46,881	$ 144,118
Common Stock [Member]
Short-Term Debt [Line Items]
Number of common stock shares issued			92,309
Number of common stock value issued			$ 9
Union Bank [Member]
Short-Term Debt [Line Items]
Line of credit		95,040	81,651
Repayment of line of credit		$ 26,492
Line of credit interest rate		8.25%
Line of credit, description		The Company also has an unsecured line of credit, guaranteed by its CEO, with its business bank, Union Bank, whereby funds can be borrowed at a revolving adjustable rate of 2 points over prime, currently 8.25%
Line of credit max borrowing amount		$ 100,000
Proceeds from line of credit		46,881
Accredited Investor [Member]
Short-Term Debt [Line Items]
Number of common stock value issued		$ 100,000		$ 675,000	$ 100,000
Investor [Member] | Common Stock [Member]
Short-Term Debt [Line Items]
Number of common stock shares issued		7,500,000
Number of common stock value issued		$ 75,000
Investor [Member] | Line of Credit [Member]
Short-Term Debt [Line Items]
Line of credit interest rate		8.50%
Line of credit, description		Upon completion of the terms of the Line of Credit, MetAlert, Inc. will issue to the investor 7,500,000 shares of MetAlert common stock or $75,000 of MetAlert common stock, whichever is greater.
Unsecured Term Loan Agreement [Member] | Third Party [Member]
Short-Term Debt [Line Items]
Loan outstanding			$ 145,000			$ 74,650
Interest rate			5.00%			12.00%
Debt Instrument, Interest Rate, Increase (Decrease)			10.00%
Asset Purchase Agreement [Member] | Third Party [Member]
Short-Term Debt [Line Items]
Loan outstanding		$ 34,176
Interest rate	5.00%
Current borrowings		4,500
Debt principal amount	$ 50,000
Debt Instrument, Maturity Date	Dec. 31, 2020
Interest		7,981
Sublet fees		$ 19,305
Line of Credit Agreement [Member]
Short-Term Debt [Line Items]
Line of credit				7,000
Line of Credit Agreement [Member] | Accredited Investor [Member]
Short-Term Debt [Line Items]
Loan outstanding								$ 130,000
Line of credit					22,000				$ 500,000
Repayment of line of credit				10,000	76,000
Debt instrument periodic payment interest				$ 560	$ 4,204
Line of Credit Agreement [Member] | Accredited Investor [Member] | Three Borrowing [Member]
Short-Term Debt [Line Items]
Loan outstanding									$ 65,000
Line of Credit Agreement [Member] | Accredited Investor [Member] | Two Borrowing [Member]
Short-Term Debt [Line Items]
Loan outstanding								$ 65,000

v3.24.1.1.u2

SCHEDULE OF CONVERTIBLE NOTES PAYABLE (Details) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Short-Term Debt [Line Items]
Total convertible notes, net of debt discount	$ 1,484,142	$ 843,000
Less: Debt discount	(6,788)
Convertible Notes With Fixed Conversion Past Due [Member]
Short-Term Debt [Line Items]
Total convertible notes, net of debt discount	415,500	843,000
Convertible Notes With Fixed Conversion [Member]
Short-Term Debt [Line Items]
Total convertible notes, net of debt discount	732,500
Convertible Notes With Fixed Conversion And O L D [Member]
Short-Term Debt [Line Items]
Total convertible notes, net of debt discount	74,930
Convertible Notes With Variable Conversion [Member]
Short-Term Debt [Line Items]
Total convertible notes, net of debt discount	68,000
Notes Issued In Relation To Acquisition With Fixed Conversion [Member]
Short-Term Debt [Line Items]
Total convertible notes, net of debt discount	$ 200,000

v3.24.1.1.u2

SCHEDULE OF CONVERTIBLE NOTES PAYABLE (Details) (Parenthetical) - USD ($)			12 Months Ended
	Sep. 30, 2023	Mar. 14, 2023	Dec. 31, 2023	Dec. 31, 2022	Sep. 30, 2024	Aug. 30, 2023	Jun. 09, 2023
Convertible debt			$ 1,484,142	$ 843,000
Debt instrument discount			6,788
Gain/(loss) on settlement of debt			16,680
Forgiveness				68,870
Convertible debt			$ 1,484,142	843,000
Unsecured Term Loan Agreement [Member] | Third Party [Member]
Short-Term Debt		$ 74,650		$ 145,000
Interest rate		12.00%		5.00%
Unsecured Term Loan Agreement [Member] | Third Party [Member] | Forecast [Member]
Short-Term Debt					$ 68,000
Interest rate					35.00%
Convertible Notes Payable [Member]
Interest rate			10.00%	10.00%
Convertible notes				$ 167,339
Convertible debt			$ 415,500	678,000
Convertible Notes Payable [Member] | Minimum [Member]
Interest rate			0.00%
Conversion price			$ 0.015
Debt maturity term			1 year
Convertible Notes Payable [Member] | Maximum [Member]
Interest rate			12.00%
Conversion price			$ 0.30
Debt maturity term			2 years
Convertible Notes Payable [Member] | Note Holder [Member]
Periodic payment	$ 66,886
Convertible Notes Payable [Member] | Third Party [Member]
Convertible debt			$ 31,515	5,000
Interest expense debt			$ 4,015	460
Debt conversion converted instrument shares issued			31,151,537
Debt instrument discount		$ 7,150
Finacing costs		2,500
Periodic payment		$ 8,361		10,000
Amount of executive notes transferred to third parties for cash			$ 35,000	100,000
Gain/(loss) on settlement of debt			$ 0	$ 0
Percentage of debt converted into shares			50.00%	50.00%
Share price			$ 0.01	$ 0.01
Convertible Notes Payable [Member] | NoteHolder One [Member]
Debt instrument	$ 35,000						$ 125,000
Convertible Notes Payable [Member] | Note Holder Two [Member]
Debt instrument						$ 30,000
Convertible Promissory Notes [Member]
Convertible debt			$ 400,000
Interest rate			12.00%
Conversion price			$ 4.00
Convertible promissory note bearing interest			6.00%
Debt maturity term			1 year
Forgiveness			$ 27,537
Convertible Promissory Notes [Member] | Level Two Security Products Inc [Member]
Interest rate			10.00%
Conversion price			$ 0.01
Convertible notes			$ 2,000
Convertible Promissory Notes [Member] | Minimum [Member]
Conversion price			$ 0.30
Convertible Promissory Notes [Member] | Maximum [Member]
Conversion price			$ 9.75
Convertible Promissory Notes [Member] | NoteHolder One [Member]
Interest rate	10.00%
Convertible Promissory Notes [Member] | NoteHolder One [Member] | Minimum [Member]
Conversion price							$ 0.04
Convertible Promissory Notes [Member] | NoteHolder One [Member] | Maximum [Member]
Conversion price	$ 0.05
Convertible Promissory Notes [Member] | Note Holder Two [Member]
Interest rate						17.00%
Conversion price						$ 0.11

v3.24.1.1.u2

CONVERTIBLE PROMISSORY NOTES – PAST DUE (Details Narrative) - USD ($)		12 Months Ended
	Mar. 14, 2023	Dec. 31, 2023	Dec. 31, 2022
Convertible notes payable		$ 1,483,764	$ 843,000
Gain/(loss) on settlement of debt		16,680
Convertible debt		$ 1,484,142	$ 843,000
Convertible Notes Payable [Member]
Debt interest rate		10.00%	10.00%
Convertible Notes Payable [Member] | Third Party [Member]
Amount of executive notes transferred to third parties for cash		$ 35,000	$ 100,000
Gain/(loss) on settlement of debt		$ 0	$ 0
Percentage of debt converted into shares		50.00%	50.00%
Share price		$ 0.01	$ 0.01
Notes paid	$ 8,361		$ 10,000
Accrued interest			4,639
Convertible debt		$ 31,515	5,000
Interest expense debt		$ 4,015	$ 460
Debt conversion converted instrument shares issued		31,151,537
Convertible Notes Payable [Member] | Third Party [Member] | Common Stock [Member]
Debt conversion converted instrument shares issued			546,000
Convertible Notes Payable [Member] | Minimum [Member]
Debt interest rate		0.00%
Debt instrument term		1 year
Debt instrument convertible conversion price		$ 0.015
Convertible Notes Payable [Member] | Maximum [Member]
Debt interest rate		12.00%
Debt instrument term		2 years
Debt instrument convertible conversion price		$ 0.30

v3.24.1.1.u2

SCHEDULE OF LOANS PAYABLE (Details) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Debt Disclosure [Abstract]
a) PPP loan – short term
b) EIDL loan – short term	12,972	7,903
b) EIDL loan – long term	137,028	142,097
Total CARE loans	$ 150,000	$ 150,000

v3.24.1.1.u2

SCHEDULE OF LOANS PAYABLE (Details) (Parenthetical) - USD ($)		12 Months Ended
	Jun. 10, 2020	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Apr. 30, 2020
Short-Term Debt [Line Items]
Loan forgiven			$ 68,870
Loans payable current		$ 12,972	$ 7,903
Paycheck Protection Program [Member]
Short-Term Debt [Line Items]
Aggregate principal amount convertible promissory notes					$ 67,870
Interest rate					1.00%
Accrued interest				$ 1,160
EIDL Loan [Member]
Short-Term Debt [Line Items]
Accrued interest		$ 21,733
Debt instrument term		30 years
Loans payable current		$ 12,972
EIDL Loan [Member] | SBA Loan Agreement [Member]
Short-Term Debt [Line Items]
Aggregate principal amount convertible promissory notes	$ 150,000
Interest rate	3.75%
Proceeds from loans	$ 10,000

v3.24.1.1.u2

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)		12 Months Ended
	Nov. 18, 2022	Dec. 31, 2023	Dec. 31, 2022
Related Party Transaction [Line Items]
Debt instrument converted amount		$ 74,211	$ 114,062
Due to related parties		248,235	230,771
Due to related parties amount converted into notes			706,248
Periodic payment		62,646	44,201
Repayment of debt		5,000
Convertible Promissory Notes [Member]
Related Party Transaction [Line Items]
Unamortized discount		1,219,313	1,206,738
Deferred wages		195,791	26,948
Convertible Notes Payable [Member]
Related Party Transaction [Line Items]
Convertible beneficial conversion			167,339
Convertible note			100,000
Third Party [Member]
Related Party Transaction [Line Items]
Due from related parties		35,000
Third Party [Member] | Employee Notes [Member]
Related Party Transaction [Line Items]
Periodic payment			100,000
Officer loaned [Member]
Related Party Transaction [Line Items]
Short term borrowings	$ 10,000	3,500
Interest rate	10.00%
Repayment of debt		2,000
Interest paid		850
Interest expenses		11,500
Outstanding balance		46,500
Second Officer Loaned [Member]
Related Party Transaction [Line Items]
Short term borrowings		$ 35,000
Interest rate		10.00%
Interest paid		$ 850
Aggregate principal amount convertible promissory notes		2,000
Related Parties [Member]
Related Party Transaction [Line Items]
Debt instrument converted amount		$ 40,000	$ 108,602
Debt instrument converted shares		4,269,600	4,269,600
Due to related parties			$ 706,248
Due to related parties amount converted into notes			$ 706,248

v3.24.1.1.u2

DERIVATIVE LIABILITIES (Details Narrative)	Dec. 31, 2020 USD ($)
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative liability	$ 0

v3.24.1.1.u2

SCHEDULE OF RECONCILIATIONS OF INCOME TAX PROVISION TAX RATE (Details) - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Federal income tax benefit calculated at statutory rate	$ 288,764	$ 423,743
State income tax benefit, net of federal benefit	116,236	87,257
Less: Stock based compensation expense	(21,000)	(226,000)
Effect of rate change from 34% to 21%	(2,664,000)	(2,517,000)
Change in valuation allowance	2,280,000	2,232,000
Net tax provision

v3.24.1.1.u2

SCHEDULE OF RECONCILIATIONS OF INCOME TAX PROVISION TAX RATE (Details) (Parenthetical)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Statutory income tax rate	21.00%	34.00%

v3.24.1.1.u2

SCHEDULE OF DEFERRED TAX ASSETS (Details) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Net operating losses carried forward	$ 4,303,602	$ 4,066,525
Less: Valuation allowance	(4,303,602)	(4,066,525)
Net deferred tax asset

v3.24.1.1.u2

INCOME TAXES (Details Narrative)	12 Months Ended
	Dec. 31, 2023 USD ($)
Income Tax Disclosure [Abstract]
Net operating loss carryforwards	$ 20,490,931
Income tax expires	2028

v3.24.1.1.u2

SCHEDULE OF COMPANY ISSUED SHARES OF COMMON STOCK (Details) - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Accumulated Other Comprehensive Income (Loss) [Line Items]
Value of Shares	$ 478,609	$ 940,349
Number of Shares	15,266,137	13,723,321
Shares Issued for Services Rendered [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Value of Shares	$ 56,498	$ 621,246
Number of Shares	745,000	2,070,965
Shares Issued for Conversion Of Warrants [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Value of Shares		$ 25,001
Number of Shares		153,847
Shares Issued for Conversion of Debt [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Value of Shares	$ 74,211	$ 114,062
Number of Shares	7,421,137	11,406,200
Shares Issued for Services Rendered One [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Value of Shares	$ 347,900
Number of Shares	7,100,000
Shares Issued for Financing [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Value of Shares		$ 180,000
Number of Shares		92,309

v3.24.1.1.u2

SCHEDULE OF WARRANT ACTIVITY (Details) - $ / shares	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Number of warrant outstanding and exercisable, beginning balance	603,846	757,693
Warrant exercise price, exercised		$ 0.16
Number of warrants, exercised		(153,847)
Warrant exercise Price, granted
Number of warrants, granted	400,000
Warrant exercise price, expired	$ 0.015
Number of warrants, expired	(157,692)
Number of warrant outstanding and exercisable, ending balance	846,154	603,846
Minimum [Member]
Warrant exercise price, outstanding and exercisable, beginning balance	$ 0.16	$ 0.16
Warrant exercise Price, granted	0.05
Warrant exercise price, outstanding and exercisable, ending balance	0.16	0.16
Maximum [Member]
Warrant exercise price, outstanding and exercisable, beginning balance	2.60	2.60
Warrant exercise Price, granted	0.15
Warrant exercise price, outstanding and exercisable, ending balance	$ 2.60	$ 2.60

v3.24.1.1.u2

SCHEDULE OF STOCK WARRANT EXERCISE PRICE RANGE (Details) - Warrant [Member]	12 Months Ended
	Dec. 31, 2023 $ / shares shares
Exercise Price Range One [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock warrants exercise price | $ / shares	$ 0.05
Stock warrants outstanding	300,000
Stock warrants remaining life (Years)	4 months 24 days
Stock warrants exercisable	300,000
Exercise Price Range Two [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock warrants exercise price | $ / shares	$ 0.15
Stock warrants outstanding	100,000
Stock warrants remaining life (Years)	2 years 1 month 9 days
Stock warrants exercisable	100,000
Exercise Price Range Three [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock warrants exercise price | $ / shares	$ 0.1625
Stock warrants outstanding	100,000
Stock warrants remaining life (Years)	2 years 1 month 9 days
Stock warrants exercisable	100,000
Exercise Price Range Four [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock warrants exercise price | $ / shares	$ 2.60
Stock warrants outstanding	346,154
Stock warrants remaining life (Years)	3 months 3 days
Stock warrants exercisable	346,154

v3.24.1.1.u2

EQUITY (Details Narrative) - USD ($)		12 Months Ended
	Oct. 16, 2018	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of shares issued, value			$ 180,000
Preferred shares stated value
Issuance of common stock for services		56,498	621,246
Issuance of common stock for conversion of debt		$ 74,211	$ 114,062
Warrants issued		846,154	603,846	757,693
Warrants exercised			153,847
Share-based compensation arrangement by share-based payment award, options, grants in period		0	0
2008 Equity Compensation Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Issuance of maximum shares		7,000,000
Share-based compensation arrangement by share-based payment award, number of shares available for grant		2,235,000
Restricted Stock [Member] | Long Term Employment Retention Bonus Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Issuance of restricted shares	39,500,000
Shares vesting description	The shares have a 3-year vesting period and those eligible, employees, directors and advisors must have been with the Company for at least 7 years with an additional 2 years necessary in order to participate in the plan and 3 to become fully vested. The shares will vest with a mandatory 2-year minimum requirement for such vesting to become valid with 33.4% in year two and 66.66% at the end of year three. If the individual leaves the Company prior to vesting the Company or its assignee retains the option to repurchase the unvested shares at par.
Vesting period	3 years
Issuance of restricted shares, value	$ 1,086,250
Accredited Investor [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of shares issued, value		$ 100,000		$ 675,000	$ 100,000
Preferred stock conversion price description				The Series C preferred shares and warrants shall have a fixed conversion price equal to $0.004 per share of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The warrants are exercisable through May 2024.
Convertible conversion price				$ 0.004
Series A Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		1,000,000	1,000,000				1,000,000
Preferred stock price per share							$ 0.0463
Number of shares issued, value							$ 46,363
Preferred stock outstanding		13,846	13,846
Preferred shares stated value		$ 14	$ 14
Series A Preferred Stock [Member] | Officers and Board Members [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Converted of common stock, shares							1,000,000
Series B Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		3	3			10,000
Converted of common stock, shares			180			150
Preferred stock price per share					$ 0.0025	$ 0.0025
Preferred stock outstanding		3	3
Share price						$ 1,000
Common stock conversion, shares				28,000,000
Convertible conversion price				$ 0.0025
Reverse leaves balance shares		3
Preferred shares stated value
Series B Preferred Stock [Member] | Accredited Investor [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Converted of common stock, shares					100
Preferred stock conversion price description					The Series B preferred shares and warrants shall have a fixed conversion price per share equal to $0.0025 per share of common stock, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock. The warrants are exercisable through March 2025.
Deemed dividend					$ 100,000
Series B Preferred Stock [Member] | Two Accredited Investors [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Converted of common stock, shares				70
Series C Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		1,000	1,000		1,000
Converted of common stock, shares			675
Preferred stock outstanding		6	6
Convertible conversion price					$ 0.015
Reverse leaves balance shares		6
Preferred shares stated value					$ 1,000
Deemed dividend				$ 675,000
Series C Preferred Stock [Member] | Accredited Investor [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Converted of common stock, shares				675
Series C Preferred Stock [Member] | Two Accredited Investors [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Converted of common stock, shares				150
Common stock conversion, shares				10,000,000
Convertible conversion price				$ 0.01
Series D Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		100,000	100,000
Preferred stock outstanding		15,000	0
Reverse leaves balance shares		15
Preferred shares stated value		$ 2
Conversion of common stock, shares		100
Series D Preferred Stock [Member] | Two Accredited Investors [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Converted of common stock, shares		15,000
Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		10,000,000
Preferred Stock [Member] | Series A Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of shares issued, value
Return to treasury stock			100,000
Return of preferred stock to treasury			1,539
Preferred stock outstanding		900,000
Preferred stock after reserve		13,846	13,846	15,385
Issuance of common stock for services
Issuance of common stock for conversion of debt
Preferred Stock [Member] | Series B Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of shares issued, value
Preferred stock after reserve		3	2	3
Issuance of common stock for services
Issuance of common stock for conversion of debt
Preferred Stock [Member] | Series C Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of shares issued, value
Preferred stock after reserve		6	6	6
Issuance of common stock for services
Issuance of common stock for conversion of debt
Preferred Stock [Member] | Series D Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of shares issued, value
Preferred stock after reserve		15,000
Issuance of common stock for services
Issuance of common stock for conversion of debt
Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Warrants issued		400,000	0
Warrants exercised		157,692	153,847
Outstanding and exercisable warrants		846,154	603,846
Intrinsic value		$ 39,008	$ 96,615
Warrant [Member] | Accredited Investor [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Converted of common stock, shares				22,500,000	10,000,000
Common Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Issuance of common stock for services, shares		745,000	2,070,965
Issuance of common stock for services		$ 56,498	$ 621,246
Issuance of common stock for conversion of debt, shares		7,421,137	11,406,200
Issuance of common stock for conversion of debt		$ 74,211	$ 114,062
Issuance of common stock for financing, shares		7,100,000	92,309
Issuance of common stock for financing		$ 347,900	$ 180,000

v3.24.1.1.u2

COMMITMENTS & CONTINGENCIES (Details Narrative) - USD ($)	Dec. 31, 2023	Dec. 31, 2022
Loss Contingencies [Line Items]
Bonuses declared or accrued	$ 0	$ 0
Board of Directors [Member] | Minimum [Member]
Loss Contingencies [Line Items]
Bonus payment range	15.00%
Board of Directors [Member] | Maximum [Member]
Loss Contingencies [Line Items]
Bonus payment range	50.00%

v3.24.1.1.u2

SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member] - USD ($)	Feb. 01, 2024	Jan. 10, 2024	Mar. 12, 2024	Jan. 16, 2024
Subsequent Event [Line Items]
Issuance of common stock for financings, shares	800,000	600,000
Share price	$ 0.34	$ 0.03
Securities Purchase Agreement [Member] | Series D Preferred Stock [Member]
Subsequent Event [Line Items]
Investments			$ 100,000	$ 100,000

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