Form 10-Q - Quarterly report [Sections 13 or 15(d)]

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2024

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File No. 000-55825

CORRELATE ENERGY CORP.

(Exact name of registrant as specified in its charter)

Nevada		84-4250492
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

176 S. Capitol Blvd., 2nd Floor Boise, Idaho		83702
(Address of Principal Executive Offices)		(Zip Code)

(855) 264-4060

(Registrant’s telephone number, including area code)

_____________________________________________________________

(Former name, former address and former fiscal year, if changed since last report)

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 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 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	☐	Smaller reporting company	☒
Accelerated Filer	☐	Emerging growth company	☐
Non-accelerated Filer	☒

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 is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date. The number of shares of Common Stock, par value $0.0001 per share, outstanding as of November 14, 2024 was 78,280,884.

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
None	N/A	N/A

CORRELATE ENERGY CORP.

Index

		Pg. No.
PART I — Financial Information
Item 1.	Financial Statements	3
	Condensed Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023 (Unaudited)	3
	Condensed Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2024 and 2023 (Unaudited)	4
	Condensed Consolidated Statements of Changes in Stockholders’ Deficit for the Nine Months Ended September 30, 2024 and 2023 (Unaudited)	5
	Condensed Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2024 and 2023 (Unaudited)	6
	Notes to Condensed Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	19
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	21
Item 4.	Controls and Procedures	21
PART II — Other Information
Item 1.	Legal Proceedings	22
Item 1A.	Risk Factors	22
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	22
Item 3.	Defaults Upon Senior Securities	22
Item 4.	Mine Safety Disclosures	22
Item 5.	Other Information	22
Item 6.	Exhibits	23
SIGNATURES		24

Table of Contents

PART 1 — FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

CORRELATE ENERGY CORP.

CONDENSED CONSOLIDATED BALANCE SHEETS

SEPTEMBER 30, 2024 AND DECEMBER 31, 2023

(Unaudited)

	September 30,			December 31,
	2024			2023

Assets
Current assets
Cash	$	318,008		$	1,412,379
Accounts receivable		67,692			408,816
Contract assets		2,363,502			53,445
Prepaid expenses and other current assets		1,175,575			1,010,781
Total current assets		4,347,443			2,885,421

Property and equipment
Property and equipment, net		82,445			172,354
Total property and equipment		82,445			172,354

Other assets
Intangible assets - customer relationships, net		105,210			140,280
Intangible assets - development rights, net		394,941			599,784
Goodwill		762,851			762,851
Total other assets		1,263,002			1,502,915

Total assets	$	5,270,224		$	4,560,690

Liabilities and Stockholders' Deficit

Current liabilities
Accounts payable	$	5,391,848		$	304,400
Accounts payable, related party		471,000			800,346
Accrued expenses		836,395			1,136,099
Customer deposits		1,567,539			1,787,739
Shareholder advances		-			96,519
Line of credit		30,000			30,000
Notes payable, current portion, net of discount		1,397,216			1,229,773
Convertible notes payable, current portion, net of discount		213,031			1,420,160
Total current liabilities		9,907,029			6,805,036

Convertible notes payable, net of current portion and discount		-			935,307

Total liabilities		9,907,029			7,740,343

Stockholders' deficit
Preferred stock $0.0001 par value; authorized 50,000,000 shares with 5,154.32 and -0- issued and outstanding at September 30, 2024 and December 31, 2023, respectively		1			-
Common stock $0.0001 par value; authorized 400,000,000 shares with 78,280,884 and 36,270,674 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively		7,827			3,627
Additional paid-in capital		45,408,769			17,873,545
Accumulated deficit		(50,053,402	)		(21,056,825	)
Total stockholders' deficit		(4,636,805	)		(3,179,653	)

Total liabilities and stockholders' deficit	$	5,270,224		$	4,560,690

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

CORRELATE ENERGY CORP.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2024 AND 2023

(Unaudited)

	For the three months ended						For the nine months ended
	September 30,						September 30,
	2024			2023			2024			2023

Revenues	$	4,540,082		$	930,277		$	6,836,123		$	5,139,133
Cost of revenues		4,632,496			698,256			7,594,864			3,827,429
Gross (loss) profit		(92,414	)		232,021			(758,741	)		1,311,704

Operating expenses
General and administrative		730,764			805,756			2,857,624			2,195,003
Stock-based compensation		328,025			458,986			2,127,101			1,043,361
Legal and professional		426,814			465,977			1,104,568			1,098,221
Depreciation and amortization		92,170			89,841			276,521			152,485
Total operating expenses		1,577,773			1,820,560			6,365,814			4,489,070

Loss from operations		(1,670,187	)		(1,588,539	)		(7,124,555	)		(3,177,366	)

Other income (expense)
Interest expense		(20,319	)		(183,273	)		(431,289	)		(437,524	)
Amortization of debt discount		(242,675	)		(1,611,905	)		(4,181,295	)		(3,700,034	)
Financing costs		(230,000	)		-			(270,000	)		(4,156,291	)
Loss on settlement of liabilities		-			-			(16,861,344	)		-
Loss on disposition of assets		(132,497	)		-			(132,497	)		-
Other income		1,209			-			4,403			-
Change in fair value of derivative liability		-			-			-			3,107,808
Total other income (expense)		(624,282	)		(1,795,178	)		(21,872,022	)		(5,186,041	)

Net loss	$	(2,294,469	)	$	(3,383,717	)	$	(28,996,577	)	$	(8,363,407	)

Basic and diluted loss per share	$	(0.04	)	$	(0.09	)	$	(0.60	)	$	(0.23	)

Weighted average shares outstanding - basic and diluted		61,507,189			36,175,490			48,196,456			35,937,305

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

CORRELATE ENERGY CORP.

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ DEFICIT

FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2024 AND 2023

(Unaudited)

	Preferred Stock					Common Stock						Additional Paid in			Accumulated
	Shares			Amount		Shares			Amount			Capital			Deficit			Total

Balances, December 31, 2022		-		$	-		35,323,626		$	3,532		$	5,459,220		$	(8,268,426	)	$	(2,805,674	)

Issuance of shares for services		-			-		17,045			2			14,998			-			15,000

Issuance of shares for financing costs		-			-		4,245			-			4,500			-			4,500

Issuance of shares for the payment of accrued interest		-			-		5,655			1			7,587			-			7,588

Stock based compensation		-			-		-			-			253,851			-			253,851

Settlement of derivative liability		-			-		-			-			50,582			-			50,582

Net loss		-			-		-			-			-			(3,410,353	)		(3,410,353	)

Balances, March 31, 2023		-		$	-		35,350,571		$	3,535		$	5,790,738		$	(11,678,779	)	$	(5,884,506	)

Issuance of shares for services		-			-		500,000			50			132,762			-			132,812

Issuance of shares for the payment of accrued interest		-			-		7,661			1			6,512			-			6,513

Stock based compensation		-			-		-			-			330,524			-			330,524

Issuance of warrants in connection with debt		-			-		-			-			28,334			-			28,334

Issuance of shares for intangible assets		-			-		362,319			36			249,964			-			250,000

Issuance of shares for property and equipment		-			-		92,010			9			57,498			-			57,507

Issuance of returnable shares		-			-		1,200,000			120			(120	)		-			-

Return of returnable shares		-			-		(1,360,000	)		(136	)		136			-			-

Settlement of derivative liability		-			-		-			-			5,844,608			-			5,844,608

Net loss		-			-		-			-			-			(1,569,337	)		(1,569,337	)

Balances, June 30, 2023		-		$	-		36,152,561		$	3,615		$	12,440,956		$	(13,248,116	)	$	(803,545	)

Issuance of shares for services		-			-		-			-			39,843			-			39,843

Issuance of shares for the payment of accrued interest		-			-		28,896			3			18,553			-			18,556

Stock based compensation		-			-		-			-			458,986			-			458,986

Issuance of warrants in connection with debt		-			-		-			-			1,322,648			-			1,322,648

Net loss		-			-		-			-			-			(3,383,717	)		(3,383,717	)

Balances, September 30, 2023		-		$	-		36,181,457		$	3,618		$	14,280,986		$	(16,631,833	)	$	(2,347,229	)

Balances, December 31, 2023		-		$	-		36,270,674		$	3,627		$	17,873,545		$	(21,056,825	)	$	(3,179,653	)

Issuance of shares for the payment of accrued interest		-			-		28,829			3			38,379			-			38,382

Issuance of shares for the cashless exercise of warrants		-			-		3,839,559			384			(384	)		-			-

Issuance of warrants in connection with debt		-			-		-			-			353,272			-			353,272

Stock based compensation		-			-		-			-			1,446,056			-			1,446,056

Net loss		-			-		-			-			-			(4,476,442	)		(4,476,442	)

Balances, March 31, 2024		-		$	-		40,139,062		$	4,014		$	19,710,868		$	(25,533,267	)	$	(5,818,385	)

Issuance of warrants in connection with debt		-			-		-			-			118,356			-			118,356

Issuance of shares in connection with debt		-			-		300,000			30			232,175			-			232,205

Issuance of shares and warrants for the settlement of liabilities		7,809			1		17,423,557			1,742			24,668,366			-			24,670,109

Stock based compensation		-			-		-			-			353,020			-			353,020

Net loss		-			-		-			-			-			(22,225,666	)		(22,225,666	)

Balances, June 30, 2024		7,809		$	1		57,862,619		$	5,786		$	45,082,785		$	(47,758,933	)	$	(2,670,361	)

Issuance of in-kind dividends		234			-		-			-			-			-			-

Issuance of shares for the cashless exercise of warrants					-		113,266			11			(11	)		-			-

Conversion of preferred into common		(2,889	)		-		20,304,999			2,030			(2,030	)		-			-

Stock based compensation		-			-		-			-			328,025			-			328,025

Net loss		-			-		-			-			-			(2,294,469	)		(2,294,469	)

Balances, September 30, 2024		5,154		$	1		78,280,884		$	7,827		$	45,408,769		$	(50,053,402	)	$	(4,636,805	)

The accompanying notes are an integral part of these condensed consolidated financial statements.

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CORRELATE ENERGY CORP.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2024 AND 2023

(Unaudited)

	For the nine months ended
	September 30,
	2024			2023
Operating activities
Net loss	$	(28,996,577	)	$	(8,363,407	)
Adjustments to reconcile net loss to net cash used in
operating activities:
Depreciation and amortization		276,521			152,485
Amortization of debt discount		4,181,295			3,700,034
Stock issued for services		-			187,655
Stock-based compensation		2,127,101			1,043,361
Financing costs		270,000			4,156,291
Loss on settlement of liabilities		16,861,344			-
Loss on disposition of assets		132,497			-
Change in fair value of derivative liability		-			(3,107,808	)
Changes in operating assets and liabilities:
Accounts receivable		341,124			-
Contract assets		(2,310,057	)		556,082
Prepaid expenses and other current assets		(164,794	)		(301,589	)
Accounts payable		5,267,094			(114,656	)
Accrued expenses		128,069			(401,629	)
Customer deposits		(220,200	)		3,076,771
Net cash (used in) provided by operating activities		(2,106,583	)		583,590

Investing activities
Purchase of property and equipment		(79,196	)		(65,785	)
Purchase of intangible assets		-			(400,000	)
Net cash used in investing activities		(79,196	)		(465,785	)

Financing activities
Proceeds from issuance of notes payable		1,487,015			-
Proceeds from issuance of convertible notes payable		250,000			3,474,950
Repayment of notes payable		(645,607	)		(470,800	)
Net cash provided by financing activities		1,091,408			3,004,150

Net increase (decrease) in cash	$	(1,094,371	)	$	3,121,955
Cash - beginning of period		1,412,379			96,308
Cash - end of period	$	318,008		$	3,218,263

Cash paid for income taxes	$	-		$	-
Cash paid for interest	$	190,231		$	245,136

Supplemental schedule of non-cash investing and financing activities
Shares issued for settlement of accrued interest	$	38,382		$	32,657
Discount on notes payable from issuance of warrants	$	353,272		$	1,350,982
Discount on convertible notes payable from issuance of warrants	$	118,356		$	-
Discount on notes payable from issuance of common stock	$	232,205		$	-
Discount on notes payable	$	342,970		$	-
Discount on notes payable from derivative liability	$	-		$	1,563,929
Discount on convertible notes payable from derivative liability	$	-		$	2,564,950
Accrued interest settled through note payable	$	-		$	78,929
Settlement of derivative liability	$	-		$	5,895,190
Shares issued for intangible assets	$	-		$	250,000
Shares issued for property and equipment	$	-		$	57,507
Returnable shares issued in connection with notes payable	$	-		$	120
Return of returnable shares issued in connection with notes payable	$	-		$	136

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 – NATURE OF THE ORGANIZATION AND BUSINESS

Nature of the Business

On June 8, 2023, Correlate Energy Corp. (the “Company” or “CIPI”) filed a certificate of amendment to its articles of incorporation with the Secretary of State of the State of Nevada pursuant to which it changed its corporate name from Correlate Infrastructure Partners Inc. to Correlate Energy Corp.

The accompanying condensed consolidated financial statements include the accounts of the Company and its subsidiaries Correlate, Inc. (“Correlate”) and Distributed Energy Capital, LLC (“Distributed”).

Correlate Energy Corp., together with its subsidiaries, is a technology-enabled vertically integrated sales, development, and fulfillment platform focused on distributed clean and resilient energy solutions in North America.

Going Concern

The accompanying condensed consolidated financial statements have been prepared assuming the Company will continue as a going concern, which contemplates, among other things, the realization of assets and satisfaction of liabilities in the normal course of business. The Company has incurred losses since inception and has not generated positive cash flows from operations. These matters, among others, raise substantial doubt about the Company’s ability to continue as a going concern.

The Company’s ability to continue in existence is dependent on its ability to develop additional sources of capital, and/or achieve profitable operations and positive cash flows. Management’s plans with respect to operations include aggressive marketing, acquisitions, and raising additional capital through sales of equity or debt securities as may be necessary to pursue its business plans and sustain operations until such time as the Company can achieve profitability. Management believes that aggressive marketing combined with acquisitions and additional financing as necessary will result in improved operations and cash flow in 2024 and beyond. However, there can be no assurance that management will be successful in obtaining additional funding or in attaining profitable operations. The accompanying condensed consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accompanying condensed consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and the interim reporting rules of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s latest Annual Report filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments (unless otherwise indicated), necessary for a fair presentation of the financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year.

Principles of Consolidation

The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiary. All significant inter-company transactions and balances have been eliminated in consolidation.

Use of Estimates

The preparation of financial statements in conformity with GAAP 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 condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Cash and Cash Equivalents

The Company considers all highly liquid debt instruments and other short-term investments with a maturity of three months or less, when purchased, to be cash equivalents. There were no cash equivalents as of September 30, 2024, and December 31, 2023.

The Company maintains its cash balances at financial institutions that are insured by the Federal Deposit Insurance Corporation (“FDIC”). The FDIC provides coverage of up to $250,000 per depositor, per financial institution, for the aggregate total of depositors’ interest and non-interest-bearing accounts. The Company’s cash balances may exceed FDIC limits. The Company has not experienced any losses on these accounts and management does not believe that the Company is exposed to any significant risks.

Accounts Receivable

Accounts receivable consist of invoiced and unpaid sales. The Company records an allowance for doubtful accounts to allow for any amounts that may not be recoverable, which is based on an analysis of the Company’s prior collection experience, customer creditworthiness, and current economic trends. Accounts are considered delinquent when payments have not been received within the agreed upon terms and are written off when management determines that collection is not probable. There were no doubtful accounts as of September 30, 2024, and December 31, 2023.

Contract Assets

The Company’s contracts with customers contain milestone payments which do not coincide with revenue recognition. Accordingly, contract assets consist of earned but unbilled revenues.

Property and Equipment

Property and equipment are stated at historical cost net of accumulated depreciation. Repairs and maintenance are expensed as incurred.

Goodwill

Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed in a business combination.

Intangible Assets

Intangible assets are amortized over their estimated useful lives. Each period, the Company evaluates the estimated remaining useful life of its intangible assets and whether events or changes in circumstances warrant a revision to the remaining period of amortization. Management tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets.

Impairment Assessment

The Company evaluates intangible assets and other long-lived assets for possible impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. This includes but is not limited to significant adverse changes in the business climate, market conditions or other events that indicate an asset’s carrying amount may not be recoverable. The recoverability of these assets is measured by comparing the carrying amount of each asset to the future cash flows the asset is expected to generate. If the cash flows used in the test for recoverability are less than the carrying amount of these assets, the carrying amount of such assets is reduced to fair value.

The Company evaluates and tests the recoverability of its goodwill for impairment at least annually during its fourth quarter of each fiscal year or more often if and when circumstances indicate that goodwill may not be recoverable. When assessing goodwill for impairment, the Company uses qualitative and, if necessary, quantitative methods in accordance with FASB ASC 350, “Goodwill.”

Customer Deposits

The Company’s contracts with customers contain milestone payments which do not coincide with revenue recognition. Accordingly, customer deposits consist of customer payments received prior to the performance of contractual obligations.

Revenue Recognition

The Company accounts for revenue in accordance with FASB ASC 606, “Revenue from Contracts with Customers.”

A performance obligation is a promise in a contract to transfer a distinct good or service to the client and is the unit of accounting in ASC 606. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. For contracts with multiple performance obligations, the Company allocates the contract’s transaction price to each performance obligation based on the relative standalone selling price. Determining relative standalone selling price and identifying separate performance obligations requires judgment. Contract modifications may occur in the performance of the Company’s contracts. Contracts may be modified to account for changes in the contract specifications, requirements or duration. If a contract modification results in the addition of performance obligations priced at a standalone selling price or if the post-modification services are distinct from the services provided prior to the modification, the modification is accounted for separately. If the modified services are not distinct, they are accounted for as part of the existing contract.

The Company operates in one business segment in the United States and its revenues are derived from contracts for engineering, procurement and construction services ("EPC") and consulting. These contracts may have different terms based on the scope, performance obligations and complexity of the engagement, which may require us to make judgments and estimates in recognizing revenues.

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The Company’s performance obligations are satisfied as work progresses or at a point in time (for defined milestones). The selection of the method to measure progress towards completion requires judgment and is based on the contract and the nature of the services to be provided.

The Company’s contracts for EPC services are typically less than one year in duration and require us to a) provide engineering services, b) purchase and obtain materials, and c) install equipment and materials to agreed-upon specifications. The EPC agreement typically may be terminated by either party in connection with a breach of the agreement that has not been timely cured, or at any time by either party provided all payments required to be made to the other party have been made, including expense reimbursement and other costs incurred by the non-terminating party in connection with preparing to provide services pursuant to the EPC agreement. The majority of our contracts provide an integrated service to the customer that includes multiple services: origination, design, analyzing, engineering, equipment procurement, construction, and testing services. For revenue recognition, we do not consider the integrated services to be distinct, combining separate scopes of work into a single commercial benefit for the customer. As a result, we typically identify a single performance obligation in our contracts. The Company recognizes revenue using the input method, by obtaining information from its subcontractors every reporting period on the progress of the project and multiplying the percentage completed (calculated based on costs incurred to date compared to total estimated costs) by the estimated total project revenue.

The Company’s contracts for consulting services require us to assist the client in achieving certain defined project milestones. The consulting agreements typically may be terminated by either party in connection with a breach of the agreement that has not been timely cured, or at any time by either party provided all payments required to be made to the other party have been made, including expense reimbursement and other costs incurred by the non-terminating party in connection with preparing to provide services pursuant to the agreement. Revenues are recognized over time as the Company performs the consulting services and value is provided to the client.

Financial Instruments

The Company’s financial instruments include cash and cash equivalents, receivables, payables, and debt and are accounted for under the provisions of ASC Topic 825, “Financial Instruments”. The carrying amount of these financial instruments, with the exception of discounted debt, as reflected in the accompanying condensed consolidated balance sheets approximates fair value.

Fair Value Measurement

ASC Topic 820, “Fair Value Measurement”, requires that certain financial instruments be recognized at their fair values at our condensed consolidated balance sheet dates. However, other financial instruments, such as debt obligations, are not required to be recognized at their fair value, but GAAP provides an option to elect fair value accounting for these instruments. GAAP requires the disclosure of the fair values of all financial instruments, regardless of whether they are recognized at their fair values or carrying amounts in our condensed consolidated balance sheets. For financial instruments recognized at fair value, GAAP requires the disclosure of their fair values by type of instrument, along with other information, including changes in the fair values of certain financial instruments recognized in income or other comprehensive income. For financial instruments not recognized at fair value, the disclosure of their fair values is provided below under “Financial Instruments.”

Nonfinancial assets, such as property, plant and equipment, and nonfinancial liabilities are recognized at their carrying amounts in the Company’s condensed consolidated balance sheets. GAAP does not permit nonfinancial assets and liabilities to be remeasured at their fair values. However, GAAP requires the remeasurement of such assets and liabilities to their fair values upon the occurrence of certain events, such as the impairment of property, plant and equipment. In addition, if such an event occurs, GAAP requires the disclosure of the fair value of the asset or liability along with other information, including the gain or loss recognized in income in the period the remeasurement occurred.

Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities;

Level 2 - Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; or

Level 3 - Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The Company did not have any Level 1, Level 2 or Level 3 assets and liabilities at September 30, 2024, or December 31, 2023.

The following is a summary of activity of Level 3 liabilities during the nine months ended September 30, 2023:

Balance - December 31, 2022	$	722,328
Additions		8,280,670
Settlement		(5,895,190	)
Change in fair value		(3,107,808	)
Balance – September 30, 2023	$	-

Under the Company’s contract ordering policy, the Company first considers common shares issued and outstanding as well as reserved but unissued equity awards, such as under an equity award program. All remaining equity linked instruments such as, but not limited to, options, warrants, and debt and equity with conversion features are evaluated based on the date of issuance. If the number of shares which may be issued under the Company’s agreements exceed the authorized number of shares or are unable to be determined, equity linked instruments from that date forward are considered to be derivative liabilities until such time as the number of shares which may be issued under the Company’s agreements no longer exceed the authorized number of shares and are able to be determined.

Commitments and Contingencies

Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties and other sources are recorded when management assesses that it is probable that a liability has been incurred and the amount can be reasonably estimated.

Income Taxes

In accordance with FASB ASC Topic 740, “Income Taxes,” the Company provides for the recognition of deferred tax assets if realization of such assets is more likely than not. Deferred income tax assets and liabilities are computed for differences between the financial statement and tax basis of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities.

In addition, the Company’s management performs an evaluation of all uncertain income tax positions taken or expected to be taken in the course of preparing the Company’s income tax returns to determine whether the income tax positions meet a “more likely than not” standard of being sustained under examination by the applicable taxing authorities. This evaluation is required to be performed for all open tax years, as defined by the various statutes of limitations, for federal and state purposes. If the Company has interest or penalties associated with insufficient taxes paid, such expenses are reported in income tax expense.

Basic and Diluted Loss Per Share

FASB ASC Topic 260, “Earnings Per Share”, requires a reconciliation of the numerator and denominator of the basic and diluted earnings (loss) per share (“EPS”) computations.

Basic earnings (loss) per share are computed by dividing income available to common shareholders by the weighted-average number of common shares outstanding during the period. Diluted earnings (loss) per share is computed similar to basic earnings per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive.

The Company had potential additional dilutive securities outstanding at September 30, 2024, and 2023, all of which were antidilutive, as follows:

	September 30,		September 30,
	2024		2023
Options		8,021,081		7,204,068
Warrants		11,639,323		14,474,494
Convertible notes payable		159,625		1,085,922
		19,820,029		22,764,484

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Recently Issued Accounting Standards

During the period ended September 30, 2024, there were several new accounting pronouncements issued by the FASB. Each of these pronouncements, as applicable, has been or will be adopted by the Company. Management does not believe the adoption of any of these accounting pronouncements has had or will have a material impact on the Company’s condensed consolidated financial statements.

NOTE 3 – COMMITMENTS AND CONTINGENCIES

From time to time, the Company may be involved in litigation in the ordinary course of business. The Company is not currently involved in any litigation that the Company believes could have a material adverse effect on its financial condition or results of operations.

NOTE 4 – DEBT

Conversion Agreements

Between June 6, 2024, and June 14, 2024, the Company entered into debt conversion agreements with noteholders for the conversion of an aggregate of $7,203,270 of outstanding notes payable and convertible notes payable (including principal and interest) and with other entities and persons owed money by the Company in the aggregate amount of $605,495 consisting of outstanding advances payable and accounts payable (the “Debt Conversion”). In connection with the Debt Conversion, the Company issued an aggregate of 7,808.767 shares of its Series A Preferred Stock and 17,423,557 shares of Common Stock to the former debtholders. Additionally, the Company agreed to extend the term of outstanding warrants held by the noteholders that converted their debt for a period of three (3) years from their current expiration dates. In connection with the issuance of the Series A Preferred Stock and the Common Stock, each holder entered into a Lockup/Leakout Agreement with the Company, pursuant to which none of the shares of Common Stock issuable upon conversion of the Preferred Stock may be sold for a period of six months from the date of issuance and seventy percent (70%) of the shares of Common Stock issued in connection with the debt conversion may be sold 1/7th per month during each thirty (30) day period commencing thirty (30) days after the date of the Lockup/Leakout Agreement. A summary of the settlement is as follows:

Liabilities settled:
Notes payable	$	2,068,929
Convertible notes payable		4,744,950
Accrued interest payable		389,391
Accounts payable		605,495
	$	7,808,765
Value of equity issued:
Series A Preferred Stock	$	11,358,499
Common Stock		11,121,637
Extension of Warrants		2,189,974
	$	24,670,110
Loss on settlement of liabilities	$	16,861,345

Convertible Notes Payable

On May 9, 2024, the Company entered into a convertible note agreement with Mr. Charles Markovic, CFO, totaling $100,000. The note, which bears interest at 2% per month, matured on July 5, 2024. In connection with the convertible note agreement, the Company issued 100,000 warrants exercisable at $0.85 per share. The warrants were fully vested at issuance and expire on May 6, 2027. The warrants, valued at approximately $119,000, represented approximately 54% of the total consideration received and resulted in an additional discount on the notes totaling $54,391 pursuant to ASC 470-20-30.

On May 17, 2024, the Company entered into a convertible note agreement with Mr. Todd Michaels, former CEO, totaling $80,000. The note, which bears interest at 2% per month, matured on July 17, 2024. In connection with the convertible note agreement, the Company issued 80,000 warrants exercisable at $0.85 per share. The warrants were fully vested at issuance and expire on May 17, 2027. The warrants, valued at approximately $71,000, represented approximately 47% of the total consideration received and resulted in an additional discount on the notes totaling $37,684 pursuant to ASC 470-20-30.

On May 20, 2024, the Company entered into a convertible note agreement totaling $70,000. The note, which bears interest at 2% per month, matures on May 20, 2025. In connection with the convertible note agreement, the Company issued 70,000 warrants exercisable at $0.85 per share. The warrants were fully vested at issuance and expire on May 20, 2027. The warrants, valued at approximately $42,000, represented approximately 38% of the total consideration received and resulted in an additional discount on the notes totaling $26,281 pursuant to ASC 470-20-30.

The following table presents a summary of the Company’s convertible notes payable at September 30, 2024

						Balances - At Issuance				Balances – 9/30/2024
Origination	Maturity	Interest			Conversion Rate	Principal		Discount		Principal		Discount
12/18/2023	6/18/2025		14	%	$3.20Share		50,000		35,241		50,000		16,970
5/9/2024	7/5/2024		24	%	$1.25/Share		100,000		54,391		100,000		-
5/17/2024	7/17/2024		24	%	$1.25/Share		80,000		37,684		80,000		-
										$	230,000	$	16,970

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The following table presents a summary of the Company’s convertible notes payable at December 31, 2023:

						Balances - At Issuance				Balances - 12/31/2023
Origination	Maturity	Interest			Conversion Rate	Principal		Discount		Principal		Discount
1/24/2023	7/24/2024		14	%	$3.20/Share	$	100,000	$	100,000	$	100,000	$	37,884
1/25/2023	7/25/2024		14	%	$3.20/Share		74,975		74,975		74,975		28,660
1/30/2023	7/30/2024		14	%	$3.20/Share		100,000		100,000		100,000		38,884
2/17/2023	8/17/2024		14	%	$3.20/Share		1,000,000		1,000,000		1,000,000		416,663
3/7/2023	9/7/2024		14	%	$3.20/Share		100,000		100,000		100,000		45,996
3/14/2023	9/10/2024		14	%	$3.20/Share		250,000		250,000		250,000		117,999
3/27/2023	9/27/2024		14	%	$3.20/Share		100,000		100,000		100,000		49,496
3/30/2023	9/30/2024		14	%	$3.20/Share		79,975		79,975		79,975		39,987
4/6/2023	10/6/2024		14	%	$3.20/Share		50,000		50,000		50,000		24,998
4/7/2023	10/7/2024		14	%	$3.20/Share		400,000		400,000		400,000		200,002
5/5/2023	11/5/2024		14	%	$3.20/Share		200,000		200,000		200,000		111,112
5/9/2023	11/9/2024		14	%	$3.20/Share		50,000		50,000		50,000		29,054
5/12/2023	11/12/2024		14	%	$3.20/Share		50,000		50,000		50,000		29,054
6/6/2023	12/6/2024		14	%	$3.20/Share		10,000		10,000		10,000		6,108
6/30/2023	12/30/2024		14	%	$3.20/Share		50,000		28,334		50,000		18,893
7/7/2023	1/7/2025		14	%	$3.20/Share		25,000		14,775		25,000		9,853
7/21/2023	1/21/2025		14	%	$3.20/Share		35,000		20,103		35,000		13,969
7/26/2023	1/26/2025		14	%	$3.20/Share		100,000		56,527		100,000		40,326
8/10/2023	2/10/2025		14	%	$3.20/Share		500,000		268,545		500,000		198,867
8/24/2023	2/24/2023		14	%	$3.20/Share		100,000		60,313		100,000		46,360
8/31/2023	2/28/2025		14	%	$3.20/Share		100,000		60,010		100,000		46,674
10/10/2023	4/10/2025		14	%	$3.20/Share		375,000		246,871		375,000		214,871
11/3/2023	5/3/2025		14	%	$3.20/Share		150,000		115,950		150,000		103,808
11/7/2023	5/7/2025		14	%	$3.20/Share		50,000		38,237		50,000		35,613
11/7/2023	5/7/2025		14	%	$3.20/Share		50,000		38,237		50,000		35,613
11/28/2023	5/28/2025		14	%	$3.20/Share		50,000		36,925		50,000		34,674
12/4/2023	6/4/2025		14	%	$3.20/Share		25,000		18,295		25,000		17,407
12/6/2023	6/8/2025		14	%	$3.20/Share		500,000		358,064		500,000		342,064
12/18/2023	6/18/2025		14	%	$3.20/Share		50,000		35,241		50,000		34,594
										$	4,724,950	$	2,369,483

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Notes Payable

From January 29, 2024, to March 29, 2024, the Company and seven holders of notes payable which matured between January 29, 2024, and March 29, 2024, agreed to extend the maturity of the note payables, which had outstanding principal balances totaling $580,000, by six months. The Company accounted for each amendment as an extinguishment of existing debt and issuance of new debt pursuant to ASC 470-50-40. In connection with the amendments, the Company agreed to extend the exercise date of 580,000 warrants to purchase shares of common stock, originally issued with the notes payable and set to expire on the maturity date of the notes payable, exercisable at $1.00 per share by approximately three years. The extension of the warrants, which were valued at $906,669, resulted in a discount on the notes totaling $353,271 pursuant to ASC 470-20-30.

On April 10, 2024, the Company received funding from a Bridge Loan and Security Agreement (“Agreement”) entered into with Clearview Funding Group LLC (“Lender”) on March 26, 2024. Pursuant to the terms of the Agreement, the Company borrowed an aggregate of $800,000 from the Lender and is required to repay to Lender a total of $1,080,000 (“Repayment Amount”). The Repayment Amount will be made to Lender over a period of forty-eight (48) weeks on a weekly basis. The Company shall pay $7,375 per week during the first twelve weeks and $27,375 per week for the next thirty-six weeks. In connection with the Agreement, the Company has granted a security interest to Lender in certain of the Company’s assets, subject to prior security interests as more fully described in the Agreement, as collateral for the repayment of the Repayment Amount. The Company may prepay the then outstanding Repayment Amount at any time, however, if the Company seeks to repay the Repayment Amount within 120 days from April 10, 2024 the Lender has agreed to provide the Company an early prepayment discount. In connection with the Agreement, the Company agreed to issue 100,000 shares of its common stock to the Lender as a commitment fee. The common stock, valued at $144,000, resulted in a discount totaling $121,251 pursuant to ASC 470-20-30.

On June 11, 2024, the Company’s board of directors authorized the Company to enter into a Bridge Loan and Security Agreement (“Agreement”) with Clearview Funding Group LLC (“Lender”). Pursuant to the terms of the Agreement, the Company will borrow an aggregate of $600,000 from the Lender and is required to repay to Lender a total of $870,000 (“Repayment Amount”). On June 14, 2024, the Lender advanced $200,000 of the loan to the Company pursuant to the Agreement. The Repayment Amount will be paid to Lender over a period of twenty-eight (28) weeks on a weekly basis (“Term”). In connection with the Agreement, the Company granted a security interest to Lender in certain of the Company’s assets, subject to prior security interests as more fully described in the Agreement, as collateral for the repayment of the Repayment Amount. The Company may prepay the then outstanding Repayment Amount at any time, however, if the Company repays the Repayment Amount within sixty days from the date of the Agreement the Lender has agreed to provide the Company an early prepayment discount. In connection with the Agreement, the Company agreed to issue 200,000 shares of its common stock to the Lender as a commitment fee. The common stock, valued at $137,800, resulted in a discount totaling $110,954 pursuant to ASC 470-20-30.

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The following table presents a summary of the Company’s notes payable at September 30, 2024:

					Balances - At Issuance				Balances – 9/30/2024
Origination	Maturity	Interest			Principal		Discount		Principal		Discount
5/29/2020	3/31/2050		4	%	$	20,400	$	-	$	20,400	$	-
8/11/2022	8/11/2024		10	%		150,000		88,247		150,000		-
3/26/2024	3/15/2025		-	%		960,000		313,736		711,750		150,566
6/11/2024	1/11/2025		-	%		720,000		261,439		642,643		127,011
6/14/2024	6/30/2024		5	%		100,000		-		100,000		-
7/25/2024	7/31/2024		5	%		50,000		-		50,000		-
									$	1,674,793	$	277,577

The following table presents a summary of the Company’s notes payable at December 31, 2023:

					Balances - At Issuance				Balances - 12/31/2023
Origination	Maturity	Interest			Principal		Discount		Principal		Discount
5/29/2020	3/31/2050		4	%	$	20,400	$	-	$	20,400	$	-
7/29/2022	1/29/2024		10	%		50,000		29,664		50,000		1,648
8/11/2022	2/11/2024		10	%		150,000		88,247		150,000		7,876
8/15/2022	2/15/2024		10	%		50,000		29,513		50,000		2,630
8/31/2022	2/28/2024		10	%		80,000		45,827		80,000		5,091
9/1/2022	3/1/2024		10	%		50,000		29,922		50,000		3,661
9/7/2022	3/7/2024		10	%		50,000		29,922		50,000		3,658
9/12/2022	3/12/2024		10	%		50,000		30,316		50,000		4,382
9/29/2022	3/29/2024		10	%		100,000		59,839		100,000		9,974
11/9/2022	5/9/2024		10	%		25,000		25,000		25,000		6,372
11/15/2022	5/15/2024		10	%		100,000		100,000		100,000		25,486
12/8/2023	7/8/2024		14	%		1,563,929		1,563,929		1,563,929		988,778
									$	2,289,329	$	1,059,556

Line of Credit

On October 3, 2014, the Company entered into a $30,000 line of credit agreement with a former member of the Company. The line of credit has no maturity with interest at 8.00%. As of September 30, 2024, the outstanding principal and accrued interest totaled $33,815.

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Future Maturities

The table below summarizes current and future maturities of the Company’s debt as of September 30, 2024:

September 30,	Amount
2025 (current)	$	1,844,393
2026		-
2027		-
2028		-
2029		-
Thereafter		20,400
		1,864,793
Less - Discounts		(294,546	)
	$	1,570,247

NOTE 5 – EQUITY

Common Stock

During February 2024, the Company paid $38,382 in accrued interest due to noteholders by issuing 28,829 shares of common stock.

Preferred Stock

During June 2024, the Company designated 12,000 shares of Preferred Stock as Series A Preferred Stock. The Series A Preferred Stock has a stated value of $1,000 per share and shall accrue dividends on a quarterly basis at a rate of 12% per annum which shall be paid in kind. The Series A Preferred Stock is convertible, at any time after issuance, into shares of the Company’s common stock at $850 per share of Series A Preferred Stock, proportionately adjusted in the event of a stock split, stock combination or similar event. Thereafter, the conversion price shall be equal to the product of the: (i) VWAP on the conversion date and (ii) 0.75. In no event shall the conversion price ever be less than $100 per share, proportionately adjusted in the event of a stock split, stock combination or similar event up to a maximum adjustment of $500 per share. The Company may redeem all, or a portion, of the Series A Preferred Stock outstanding at any time, in cash at a price equal to the stated value plus accrued dividends. The Series A Preferred Stock will rank, with respect to rights to the distribution of assets in the event of any liquidation, dissolution or winding up of the Company: (i) senior to the Company’s Common Stock, par value $0.0001 per share (“Common Stock”); (ii) on parity with all Preferred Stock of the Company with terms specifically providing that such Preferred Stock rank on parity with the Series A Preferred Stock with respect to rights to the distribution of assets upon any liquidation, dissolution or winding up of the Company; (iii) senior to all Preferred Stock of the Company with terms specifically providing that such Preferred Stock rank junior to the Series A Preferred Stock with respect to rights to the distribution of assets upon any liquidation, dissolution or winding up of the Company, and (iv) junior to all Preferred Stock of the Company with terms specifically providing that such Preferred Stock rank senior to the Series A Preferred Stock with respect to rights to the distribution of assets upon any liquidation, dissolution or winding up of the Company.

During the period ended September 30, 2024, 2,888.71 shares of Series A Preferred Stock were converted into 20,304,999 shares of common stock.

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Warrants

During the period ended September 30, 2024, the Company calculated the fair value of the warrants granted based on assumptions used in the Cox-Ross-Rubinstein binomial pricing model using the following inputs: the price of the Company’s common stock on the date of issuance; risk-free interest rates ranging from 4.10% to 4.60%; volatility ranging from 209% to 302% based on the historical volatility of the Company’s common stock; exercise prices of $0.85 to $1.00; and terms of 36 to 43 months.

From January 10, 2024, to February 20, 2024, nine warrant holders cashless exercised a total of 5,657,500 warrants to purchase common stock, resulting in the issuance of 3,952,825 shares of common stock.

The table below summarizes the Company’s warrants for the period ended September 30, 2024:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)
Warrants as of December 31, 2023		17,046,823		$	0.76		1.73
Issued		250,000		$	0.85		3.00
Forfeited		-		$	-		-
Exercised		(5,657,500	)	$	0.55		2.30
Warrants as of September 30, 2024		11,639,323		$	0.86		4.43

At September 30, 2024, warrants to purchase 11,451,823 shares of common stock were vested and warrants to purchase 187,500 shares of common stock remained unvested. The Company expects to incur expenses for the unvested warrants totaling $124,000 as they vest.

Options

During the period ended September 30, 2024, the Company calculated the fair value of the options granted based on assumptions used in the Cox-Ross-Rubinstein binomial pricing model using the following inputs: the price of the Company’s common stock on the date of issuance; risk-free interest rates ranging from 3.97% to 4.23%; volatility ranging from 267% to 272% based on the historical volatility of the Company’s common stock; exercise prices ranging from $0.40 to $1.95; and terms of 5 years. The fair value of options granted is expensed as vesting occurs over the applicable service periods.

The following table summarizes the Company’s options for the period ended September 30, 2024:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)
Options as of December 31, 2023		9,024,068		$	0.83		3.77
Issued		600,000		$	1.69		5.00
Forfeited		(1,602,987	)	$	0.92		3.39
Exercised		-		$	-		-
Options as of September 30, 2024		8,021,081		$	0.88		3.13

At September 30, 2024, options to purchase 6,420,718 shares of common stock were vested and options to purchase 1,600,363 shares of common stock remained unvested. The Company expects to incur expenses for the unvested options totaling $1,047,000 as they vest.

NOTE 6 – REVENUE

During the nine months ended September 30, 2024, the Company recognized revenue of $1,609,043 that was included in the customer deposits balance at December 31, 2023.

During the nine months ended September 30, 2024, the Company did not recognize revenue related to performance obligations satisfied in prior periods.

The Company had $9,539,675 in remaining performance obligations at September 30, 2024.

Concentrations

For the nine months ended September 30, 2024 and 2023, the Company had the following revenue concentrations:

	Revenues
Customer	2024			2023
Customer A		51	%	88%
Customer B		34	%	*
Customer C		11	%	*
Customer D	*			*
Customer E	*			*

* = Less than 10%

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 7 – RELATED PARTY TRANSACTIONS

Shareholder Advances and Payables

At December 31, 2023, the Company had advances payable of $22,154 due to the Company’s former President and former CEO, Mr. Todd Michaels. Mr. Michaels was also a member of the Company’s Board of Directors. The advances payable balance was settled during June 2024, as detailed in Note 4.

At December 31, 2023, the Company had advances payable of $11,865 due to a significant shareholder. The advances payable balance was settled during June 2024, as detailed in Note 4.

At December 31, 2023, the Company had advances payable of $62,500 due to the Company’s largest shareholder. The advances payable balance was settled during June 2024, as detailed in Note 4.

At December 31, 2023, the Company had accounts payable of $258,000 due to Elysian Fields Disposal, LLC, an entity owned by the Company’s largest shareholder. The accounts payable balance was settled during June 2024, as detailed in Note 4.

At December 31, 2023, the Company had accounts payable of $78,346 due to Loutex Production Company, an entity owned by the Company’s largest shareholder. The accounts payable balance was settled during June 2024, as detailed in Note 4.

At September 30, 2024 and December 31, 2023, the Company had accounts payable of $290,000 and $120,000, respectively, due to P&C Ventures, Inc. The Company incurred $180,000 of operating expenses with P&C Ventures Inc. during the period ended September 30, 2024. Mr. Cory Hunt, who was formerly a director of the Company, is an officer of P&C Ventures, Inc.

Michaels Consulting

At September 30, 2024 and December 31, 2023, the Company had accounts payable of $172,000 and $344,000, respectively due to Michaels Consulting, an entity owned by the wife of Mr. Michaels. $172,000 of the accounts payable balance was settled during June 2024, as detailed in Note 4.

Notes Payable

During January 2022, the Company entered into a note agreement with P&C Ventures, Inc. totaling $1,485,000 and issued 2,700,000 warrants related to the note. During January 2023, the Company amended the January 2022 note agreement with P&C Ventures, Inc. and issued warrants related to the amendment. During July 2023, the Company amended the January 2023 agreement and modified warrants related to the original note. During December 2023, the Company amended the July 2023 agreement and modified warrants related to the original note. P&C Ventures, Inc. was the holder of the $1,563,929 note maturing on July 8, 2024. This note, along with accrued interest payable of $96,085, was one of the notes settled during June 2024, as detailed in Note 4.

The wife of Mr. Michaels was the holder of a $50,000 note maturing on September 7, 2024. This note was one of the notes extended during March 2024, as detailed in Note 4. The Company accounted for the amendment as an extinguishment of existing debt and issuance of new debt pursuant to ASC 470-50-40. In connection with the amendment, the Company agreed to extend the exercise date of 50,000 warrants to purchase shares of common stock, originally issued with the note payable and set to expire on the maturity date of the note payable, exercisable at $1.00 per share by approximately three years. The extension of the warrants, which were valued at $73,725, resulted in a discount on the notes totaling $29,794 pursuant to ASC 470-20-30. This note, along with accrued interest payable of $2,274, was one of the notes settled during June 2024, as detailed in Note 4.

Mr. Michaels is the holder of the $100,000 note which matured on June 30, 2024, and the $50,000 note which matured on July 31, 2024 (Note 4).

The Company’s largest shareholder was the holder of the $25,000 note maturing on May 9, 2024. This note, along with accrued interest payable of $1,137, was one of the notes settled during June 2024, as detailed in Note 4.

Convertible Notes Payable

Mr. Michaels was the holder of the $100,000 convertible note maturing on July 24, 2024. This note, along with accrued interest payable of $6,367, was one of the notes settled during June 2024, as detailed in Note 4.

Mr. Charles Markovic, CFO, is the holder of the $100,000 convertible note which matured on July 5, 2024 (Note 4).

Mr. Michaels is the holder of the $80,000 convertible note which matured on July 17, 2024 (Note 4).

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CORRELATE ENERGY CORP.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Director Options

During January 2024, two of the Company’s directors, Dr. Christine Gulbranson and Alina Zagaytova, each received 250,000 options (Note 5) valued at approximately $474,000. The options vested immediately upon issuance.

Accrued Bonus

At September 30, 2024, and December 31, 2023, the Company had accrued bonus compensation for Todd Michaels of approximately $150,000.

At September 30, 2024 and December 31, 2023, the Company had accrued bonus compensation for its former CFOs of approximately $115,000.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis of our results of operations and financial condition should be read in conjunction with our financial statements and related notes appearing elsewhere in this report. This discussion and analysis contain forward looking statements that involve risks, uncertainties and assumptions. The actual results may differ materially from those anticipated in these forwarding looking statements as a result of certain factors, including but not limited to, those which are not within our control.

Our discussion includes forward-looking statements based upon current expectations that involve risks and uncertainties, such as our plans, objectives, expectations and intentions. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of a number of factors. We use words such as “anticipate,” “believe,” “estimate,” “intend,” “could,” “should,” “would,” “may,” “seek,” “plan,” “might,” “will,” “expect,” “predict,” “project,” “forecast,” “potential,” “continue,” and the negatives thereof or similar expressions to identify forward-looking statements.

Overview

Correlate Energy Corp. (OTCQB: CIPI), through its main operating subsidiary, Correlate Inc., offers a complete suite of proprietary clean energy assessment and fulfilment solutions for the commercial real estate industry. The Company believes scaling distributed clean energy solutions is critical in mitigating the effects of climate change. We believe that we are at the forefront in creating an industry-leading energy solution and financing platform for the commercial and industrial sector. The Company sees tremendous market opportunity in reducing site-specific energy consumption and deploying clean energy generation and energy efficiency solutions at scale.

Recently Issued Accounting Pronouncements

During the nine months ended September 30, 2024, and through the issuance of this report, there were several new accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”). Each of these pronouncements, as applicable, has been or will be adopted by the Company. Management does not believe the adoption of any of these accounting pronouncements has had or will have a material impact on the Company’s condensed consolidated financial statements.

All other new accounting pronouncements issued but not yet effective or adopted have been deemed not to be relevant to us, hence are not expected to have any impact once adopted.

Summary of Significant Accounting Policies

There have been no changes from the Summary of Significant Accounting Policies described in our Annual Report on Form 10-K filed with the Securities and Exchange Commission on April 1, 2024.

Liquidity and Capital Resources

At September 30, 2024, the Company had a cash balance of $318,008, as compared to a cash balance of $1,412,379 at December 31, 2023. The Company reported net cash flows used in operating activities of $2,106,583 for the nine months ended September 30, 2024, compared to net cash provided by operating activities of $583,590 for the nine months ended September 30, 2023. The $2,690,173 increase in cash flows used in operating activities for the nine months ended September 30, 2024, was primarily driven by an increase in cash used for contract liabilities and contract assets of $3,296,971 and $2,866,139, respectively, partially offset by an increase in accounts payable of $5,381,750. The Company reported cash flows used in investing activities of $79,196 during the nine months ended September 30, 2024 compared to cash flows used in investing activities of $465,785 for the nine months ended September 30, 2023. Cash used for investing activities in 2024 was related to software implementation costs, which were written off and recorded as a loss on disposal during the third quarter of 2024. Cash flows used in investing activities in 2023 were all related to the purchase of intangible assets and property and equipment. The Company had net cash flows from financing activities of $1,091,408 during the nine months ended September 30, 2024, compared to $3,004,150 during the nine months ended September 30, 2023. Cash flows from financing activities during the nine months ended September 30, 2024, were the result of $1,487,015 in proceeds from loan agreements and $645,607 in repayments of loan agreements and $250,000 in proceeds from the issuance of convertible notes. Cash flows from financing activities during the nine months ended September 30, 2023, were the result of $3,474,950 in proceeds from the issuance of convertible notes and $470,800 in repayments of loan agreements.

Our ability to successfully execute our business plan is contingent upon us obtaining additional financing and/or upon realizing revenues sufficient to fund our ongoing expenses. Until we are able to sustain our ongoing operations through revenues, we intend to fund operations through debt and/or equity financing arrangements, which may be insufficient to fund our capital expenditures, working capital, or other cash requirements. There can be no assurance that such additional financing will be available to us on acceptable terms, or at all.

The Company expects to raise significant debt or equity capital in order to fund expanding operations in the near future.

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Results of Operations

Comparison of the Three Months Ended September 30, 2024 and 2023

For the three months ended September 30, 2024 and 2023, the Company’s revenues totaled $4,540,082 and $930,277, respectively. The source of our revenues comes from engineering, procurement and construction services (“EPC”) and consulting services performed for solar energy projects. Gross loss for the three months ended September 30, 2024, totaled $92,414 compared to gross profit of $232,021 in the comparable prior year period. The Company recognized revenues on three additional projects during the third quarter accounting for the increase in revenues. The pressure on gross margin continued in the third quarter due to unexpected cost overruns on one of our core projects which resulted in lower revenue recognition in the third quarter and a decrease in our profit margin on this project. We anticipate the Company’s revenues and gross margins in upcoming quarters to increase from the current level as revenues are recognized from projects in progress and in the pipeline and as we commercialize new project opportunities and cover more fixed costs within cost of sales expanding our margins.

For the three months ended September 30, 2024, our operating expenses were $1,577,773 compared to $1,820,560 for the comparable period in 2023. The decrease of $242,787, or 13%, was primarily driven by lower stock-based compensation of $130,961 and a net decrease in general and administrative expenses of $74,992 in the third quarter of 2024 driven by lower marketing and legal costs partially offset by an increase in payroll and related expenses associated with added strategic management. We anticipate future operating expenses to increase with the expansion of operations, resulting in increased expenses related to wages and compensation, advertising, and insurance partially offset by added contribution margins from anticipated revenue growth.

For the three months ended September 30, 2024, other expenses totaled $624,282 compared to $1,795,178 in the comparable prior year period. The $1,170,896 decrease in other expenses was primarily driven by the decrease in amortization of debt discount of $1,369,230 and lower interest expense of $162,954 related to 2023 note agreements with no similar activity in the comparable period of 2024, as the majority of these notes were converted during the second quarter of 2024. We anticipate other expenses to continue to be driven by these factors on a comparable basis throughout 2024. During the third quarter of 2024, we recognized a loss on disposal of assets of $132,497 due to the write-off of software implementation costs.

The activities above resulted in net losses of $2,294,469 and $3,383,717 for the three months ended September 30, 2024 and 2023, respectively.

Comparison of the Nine months ended September 30, 2024 and 2023

For the nine months ended September 30, 2024 and 2023, the Company’s revenues were $6,836,123 and $5,139,133, respectively. The source of our revenues comes from engineering, procurement and construction services (“EPC”) and consulting services performed for solar energy projects. Gross loss for the nine months ended September 30, 2024, totaled $758,741 compared to gross profit of $1,311,704 in the comparable prior year period. The Company experienced a slowdown in one of its core projects due to unexpected cost overruns which resulted in lower revenue recognition during the year and a decrease in our profit margin on this project. We anticipate the Company’s revenues and gross margins in upcoming quarters to continue to increase from the current level as revenues are recognized from projects in progress and in the pipeline and as we commercialize new project opportunities and cover more fixed costs within cost of sales expanding our margins.

For the nine months ended September 30, 2024, operating expenses were $6,365,814 compared to $4,489,070 in the comparable prior year period. The increase of $1,876,744, or 42%, was primarily driven by an increase in stock-based compensation expenses of $1,083,740 and payroll and related expenses of $829,434 (included in general and administrative expenses). These increases were the result of the addition of strategic management as well as both internal and outsourced staff to support our continued expansion efforts. We anticipate future operating expenses to increase with the expansion of operations, resulting in increased expenses related to wages and compensation, advertising, and insurance partially offset by added contribution margins from anticipated revenue growth.

For the nine months ended September 30, 2024, other expenses totaled $21,872,022, compared to $5,186,041 in the comparable prior year period. The $16,685,981 increase in other expenses was primarily driven by the $16,861,344 loss on conversion of debt. We expect other expenses to be driven by the loss on conversion on a comparable basis throughout the remainder of 2024.

The activities above resulted in net losses of $28,996,577 and $8,363,407 for the nine months ended September 30, 2024 and 2023, respectively.

Off Balance Sheet Arrangements

We do not have any off-balance sheet arrangements.

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Item 3. Qualitative and Quantitative Disclosures about Market Risk.

We are a smaller reporting company and, therefore, we are not required to provide information required by this item.

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

Our management conducted an evaluation of the effectiveness of the design and operation of the Company's disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) promulgated under the Exchange Act) as of September 30, 2024, pursuant to Exchange Act Rule 13a-15. Such disclosure controls and procedures are designed to ensure that information required to be disclosed by the Company is accumulated and communicated to the appropriate management on a basis that permits timely decisions regarding disclosure. Based upon that evaluation, our management concluded that the Company's disclosure controls and procedures as of September 30, 2024, were effective to provide reasonable assurance that information required to be disclosed in the Company’s periodic filings under the Exchange Act is accumulated and communicated to our management to allow timely decisions regarding required disclosure.

Changes in Internal Control Over Financial Reporting

There were no changes in our internal controls over financial reporting during the quarter ended September 30, 2024, that have materially affected or are reasonably likely to materially affect our internal controls over financial reporting.

Limitations on the Effectiveness of Controls

Our disclosure controls and procedures provide our management with reasonable assurances that our disclosure controls and procedures will achieve their objectives. However, our management does not expect that our disclosure controls and procedures or our internal control over financial reporting can or will prevent all human error. A control system, no matter how well designed and implemented, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Furthermore, the design of a control system must reflect the fact that there are internal resource constraints, and the benefit of controls must be weighed relative to their corresponding costs. Because of the limitations in all control systems, no evaluation of controls can provide complete assurance that all control issues and instances of error, if any, within our company are detected. These inherent limitations include the realities that judgments in decision-making can be faulty, and that breakdowns can occur due to human error or mistake. Additionally, controls, no matter how well designed, could be circumvented by the individual acts of specific persons within the organization. The design of any system of controls is also based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated objectives under all potential future conditions.

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PART II – OTHER INFORMATION

Item 1. Legal Proceedings.

None.

Item 1A. Risk Factors.

We are a smaller reporting company and, therefore, we are not required to provide information required by this item.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

None.

Item 3. Defaults upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

Not applicable.

Item 5. Other Information.

On November 15, 2024, we received notices from Messer’s Bill Powers, Flaviu Forgaciu and Kerry Lutz of their resignation from the Board of Directors which stated no disagreements with our policies or accounting procedures. On November 18, 2024, we received notices from Ms. Alina Zagaytova and Ms. Christine Gulbranson of their resignation from the Board of Directors which stated no disagreements with our policies or accounting procedures. On November 18, 2024, we extended the role of Chuck Markovic as Interim CFO and appointed Roger Baum as Interim CEO.

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Item 6. Exhibits.

Exhibit No.		Description of Document

31.1 *		Certification of Chief Executive Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934.
31.2 *		Certification of Chief Financial Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934.
32.1 *		Certification pursuant to Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. §1350).
32.2 *		Certification pursuant to Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. §1350).
101.INS		Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document).
101.SCH		Inline XBRL Taxonomy Extension Schema Document
101.CAL		Inline XBRL Taxonomy Calculation Linkbase Document
101.DEF		Inline XBRL Taxonomy Definition Linkbase Document
101.LAB		Inline XBRL Taxonomy Label Linkbase Document
101.PRE		Inline XBRL Taxonomy Presentation Linkbase Document
104		Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101).

* 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.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		Correlate Energy Corp. (Registrant)

Dated: November 19, 2024		/s/ Roger Baum
		Roger Baum Chief Executive Officer (Principal Executive Officer)

		Correlate Energy Corp. (Registrant)

Dated: November 19, 2024		/s/ Charles Markovic
		Charles Markovic Chief Financial Officer (Principal Financial and Accounting Officer)

nullnullnullnull

Cover - shares	9 Months Ended
Cover - shares	Sep. 30, 2024	Nov. 14, 2024
Cover [Abstract]
Entity Registrant Name	CORRELATE ENERGY CORP.
Entity Central Index Key	0001108645
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Sep. 30, 2024
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Entity Common Stock Shares Outstanding		78,280,884
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	000-55825
Entity Incorporation State Country Code	NV
Entity Tax Identification Number	84-4250492
Entity Address Address Line 1	176 S. Capitol Blvd.
Entity Address Address Line 2	2nd Floor
Entity Address City Or Town	Boise
Entity Address State Or Province	ID
Entity Address Postal Zip Code	83702
City Area Code	855
Local Phone Number	264-4060
Entity Interactive Data Current	Yes

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Current assets
Cash	$ 318,008	$ 1,412,379
Accounts receivable	67,692	408,816
Contract assets	2,363,502	53,445
Prepaid expenses and other current assets	1,175,575	1,010,781
Total current assets	4,347,443	2,885,421
Property and equipment
Property and equipment, net	82,445	172,354
Total property and equipment	82,445	172,354
Other assets
Intangible assets - customer relationships, net	105,210	140,280
Intangible assets - development rights, net	394,941	599,784
Goodwill	762,851	762,851
Total other assets	1,263,002	1,502,915
Total assets	5,270,224	4,560,690
Current liabilities
Accounts payable	5,391,848	304,400
Accounts payable, related party	471,000	800,346
Accrued expenses	836,395	1,136,099
Customer deposits	1,567,539	1,787,739
Shareholder advances	0	96,519
Line of credit	30,000	30,000
Notes payable, current portion, net of discount	1,397,216	1,229,773
Convertible notes payable, current portion, net of discount	213,031	1,420,160
Total current liabilities	9,907,029	6,805,036
Convertible notes payable, net of current portion and discount	0	935,307
Total liabilities	9,907,029	7,740,343
Stockholders' deficit
Preferred stock $.0001 par value; authorized 50,000,000 shares with 5,154.32 and -0- issued and outstanding at September 30, 2024 and December 31, 2023, respectively	1	0
Common stock $0.0001 par value; authorized 400,000,000 shares with 78,280,884 and 36,270,674 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively	7,827	3,627
Additional paid-in capital	45,408,769	17,873,545
Accumulated deficit	(50,053,402)	(21,056,825)
Total stockholders' deficit	(4,636,805)	(3,179,653)
Total liabilities and stockholders' deficit	$ 5,270,224	$ 4,560,690

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
CONDENSED CONSOLIDATED BALANCE SHEETS
Preferred Stock, Par or Stated Value Per Share	$ 0.0001	$ 0.0001
Preferred Stock, Shares Authorized	50,000,000	50,000,000
Preferred Stock, Shares Issued	5,154	0
Preferred Stock, Shares Outstanding	5,154	0
Common Stock, Par or Stated Value Per Share	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	400,000,000	400,000,000
Common Stock, Shares, Issued	78,280,884	36,270,674
Common Stock, Shares, Outstanding	78,280,884	36,270,674

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Revenues	$ 4,540,082	$ 930,277	$ 6,836,123	$ 5,139,133
Cost of revenues	4,632,496	698,256	7,594,864	3,827,429
Gross (loss) profit	(92,414)	232,021	(758,741)	1,311,704
Operating expenses
General and administrative	730,764	805,756	2,857,624	2,195,003
Stock-based compensation	328,025	458,986	2,127,101	1,043,361
Legal and professional	426,814	465,977	1,104,568	1,098,221
Depreciation and amortization	92,170	89,841	276,521	152,485
Total operating expenses	1,577,773	1,820,560	6,365,814	4,489,070
Loss from operations	(1,670,187)	(1,588,539)	(7,124,555)	(3,177,366)
Other income (expense)
Interest expense	(20,319)	(183,273)	(431,289)	(437,524)
Amortization of debt discount	(242,675)	(1,611,905)	(4,181,295)	(3,700,034)
Financing costs	(230,000)	0	(270,000)	(4,156,291)
Loss on settlement of liabilities	0	0	(16,861,344)	0
Loss on disposition of assets	(132,497)	0	(132,497)	0
Other income	1,209	0	4,403	0
Change in fair value of derivative liability	0	0	0	3,107,808
Total other income (expense)	(624,282)	(1,795,178)	(21,872,022)	(5,186,041)
Net loss	$ (2,294,469)	$ (3,383,717)	$ (28,996,577)	$ (8,363,407)
Basic and diluted loss per share	$ (0.04)	$ (0.09)	$ (0.60)	$ (0.23)
Weighted average shares outstanding - basic and diluted	61,507,189	36,175,490	48,196,456	35,937,305

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS DEFICIT (Unaudited) - USD ($)	Total	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Preferred Stock
Balance, shares at Dec. 31, 2022		35,323,626
Balance, amount at Dec. 31, 2022	$ (2,805,674)	$ 3,532	$ 5,459,220	$ 8,268,426	$ 0
Issuance of shares for services, shares		17,045
Issuance of shares for services, amount	15,000	$ 2	14,998	0	0
Issuance of shares for financing costs, shares		4,245
Issuance of shares for financing costs, amount	4,500	$ 0	4,500	0	0
Issuance of shares for the payment of accrued interest, shares		5,655
Issuance of shares for the payment of accrued interest, amount	7,588	$ 1	7,587	0	0
Stock based compensation	253,851	0	253,851	0	0
Settlement of derivative liability	50,582	0	50,582	0	0
Net loss	(3,410,353)	$ 0	0	(3,410,353)	0
Balance, shares at Mar. 31, 2023		35,350,571
Balance, amount at Mar. 31, 2023	(5,884,506)	$ 3,535	5,790,738	11,678,779	0
Balance, shares at Dec. 31, 2022		35,323,626
Balance, amount at Dec. 31, 2022	(2,805,674)	$ 3,532	5,459,220	8,268,426	0
Stock based compensation	1,043,361
Net loss	(8,363,407)
Balance, shares at Sep. 30, 2023		36,181,457
Balance, amount at Sep. 30, 2023	(2,347,229)	$ 3,618	14,280,986	(16,631,833)	0
Balance, shares at Mar. 31, 2023		35,350,571
Balance, amount at Mar. 31, 2023	(5,884,506)	$ 3,535	5,790,738	11,678,779	0
Issuance of shares for services, shares		500,000
Issuance of shares for services, amount	132,812	$ 50	132,762	0	0
Issuance of shares for the payment of accrued interest, shares		7,661
Issuance of shares for the payment of accrued interest, amount	6,513	$ 1	6,512	0	0
Stock based compensation	330,524	0	330,524	0	0
Settlement of derivative liability	5,844,608	0	5,844,608	0	0
Net loss	(1,569,337)	0	0	(1,569,337)	0
Issuance of warrants in connection with debt	28,334	$ 0	28,334	0	0
Issuance of shares for intangible assets, shares		362,319
Issuance of shares for intangible assets, amount	250,000	$ 36	249,964	0	0
Issuance of shares for property and equipment, shares		92,010
Issuance of shares for property and equipment, amount	57,507	$ 9	57,498	0	0
Issuance of returnable shares, shares		1,200,000
Issuance of returnable shares, amount	0	$ 120	(120)	0	0
Return of returnable shares, shares		1,360,000
Return of returnable shares, amount	0	$ 136	136	0	0
Balance, shares at Jun. 30, 2023		36,152,561
Balance, amount at Jun. 30, 2023	(803,545)	$ 3,615	12,440,956	(13,248,116)	0
Issuance of shares for the payment of accrued interest, shares		28,896
Issuance of shares for the payment of accrued interest, amount	18,556	$ 3	18,553	0	0
Stock based compensation	458,986	0	458,986	0	0
Net loss	(3,383,717)	0	0	(3,383,717)	0
Issuance of warrants in connection with debt	1,322,648	0	1,322,648	0	0
Issuance of shares for services	39,843	$ 0	39,843	0	0
Balance, shares at Sep. 30, 2023		36,181,457
Balance, amount at Sep. 30, 2023	(2,347,229)	$ 3,618	14,280,986	(16,631,833)	0
Balance, shares at Dec. 31, 2023		36,270,674
Balance, amount at Dec. 31, 2023	(3,179,653)	$ 3,627	17,873,545	(21,056,825)	0
Issuance of shares for the payment of accrued interest, shares		28,829
Issuance of shares for the payment of accrued interest, amount	38,382	$ 3	38,379	0	0
Stock based compensation	1,446,056	0	1,446,056	0	0
Net loss	(4,476,442)	0	0	(4,476,442)	0
Issuance of warrants in connection with debt	353,272	$ 0	353,272	0	0
Issuance of shares for the cashless exercise of warrants, shares		3,839,559
Issuance of shares for the cashless exercise of warrants, amount	0	$ 384	(384)	0	0
Balance, shares at Mar. 31, 2024		40,139,062
Balance, amount at Mar. 31, 2024	(5,818,385)	$ 4,014	19,710,868	(25,533,267)	0
Balance, shares at Dec. 31, 2023		36,270,674
Balance, amount at Dec. 31, 2023	(3,179,653)	$ 3,627	17,873,545	(21,056,825)	$ 0
Stock based compensation	2,127,101
Net loss	(28,996,577)
Balance, shares at Sep. 30, 2024		78,280,884			5,154
Balance, amount at Sep. 30, 2024	(4,636,805)	$ 7,827	45,408,769	(50,053,402)	$ 1
Balance, shares at Mar. 31, 2024		40,139,062
Balance, amount at Mar. 31, 2024	(5,818,385)	$ 4,014	19,710,868	(25,533,267)	0
Stock based compensation	353,020	0	353,020	0	0
Net loss	(22,225,666)	0	0	(22,225,666)	0
Issuance of warrants in connection with debt	118,356	$ 0	118,356	0	0
Issuance of shares in connection with debt, shares		300,000
Issuance of shares in connection with debt, amount	232,205	$ 30	232,175	0	$ 0
Issuance of shares and warrants for the settlement of liabilities, shares		17,423,557			7,809
Issuance of shares and warrants for the settlement of liabilities, amount	24,670,109	$ 1,742	24,668,366	0	$ 1
Balance, shares at Jun. 30, 2024		57,862,619			7,809
Balance, amount at Jun. 30, 2024	(2,670,361)	$ 5,786	45,082,785	(47,758,933)	$ 1
Stock based compensation	328,025	0	328,025	0	0
Net loss	(2,294,469)	$ 0	0	(2,294,469)	0
Issuance of shares for the cashless exercise of warrants, shares		113,266
Issuance of shares for the cashless exercise of warrants, amount	0	$ 11	(11)	0	$ 0
Issuance of in-kind dividends, shares					234
Issuance of in-kind dividends, amount	0	$ 0	0	0	$ 0
Conversion of preferred into common, shares		20,304,999			(2,889)
Conversion of preferred into common, amount	0	$ 2,030	(2,030)	0	$ 0
Balance, shares at Sep. 30, 2024		78,280,884			5,154
Balance, amount at Sep. 30, 2024	$ (4,636,805)	$ 7,827	$ 45,408,769	$ (50,053,402)	$ 1

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Operating activities
Net loss	$ (28,996,577)	$ (8,363,407)
Adjustments to reconcile net loss to net cash used in
Depreciation and amortization	276,521	152,485
Amortization of debt discount	4,181,295	3,700,034
Stock issued for services	0	187,655
Stock-based compensation	2,127,101	1,043,361
Financing costs	270,000	4,156,291
Loss on settlement of liabilities	16,861,344	0
Loss on disposition of assets	132,497	0
Change in fair value of derivative liability	0	(3,107,808)
Changes in operating assets and liabilities:
Accounts receivable	341,124	0
Contract assets	(2,310,057)	556,082
Prepaid expenses and other current assets	(164,794)	(301,589)
Accounts payable	5,267,094	(114,656)
Accrued expenses	128,069	(401,629)
Customer deposits	(220,200)	3,076,771
Net cash (used in) provided by operating activities	(2,106,583)	583,590
Investing activities
Purchase of property and equipment	(79,196)	(65,785)
Purchase of intangible assets	0	(400,000)
Net cash used in investing activities	(79,196)	(465,785)
Financing activities
Proceeds from issuance of notes payable	1,487,015	0
Proceeds from issuance of convertible notes payable	250,000	3,474,950
Repayment of notes payable	(645,607)	(470,800)
Net cash provided by financing activities	1,091,408	3,004,150
Net increase (decrease) in cash	(1,094,371)	3,121,955
Cash - beginning of period	1,412,379	96,308
Cash - end of period	318,008	3,218,263
Cash paid for income taxes	0	0
Cash paid for interest	190,231	245,136
Supplemental schedule of non-cash investing and financing activities
Shares issued for settlement of accrued interest	38,382	32,657
Discount on notes payable from issuance of warrants	353,272	1,350,982
Discount on convertible notes payable from issuance of warrants	118,356	0
Discount on notes payable from issuance of common stock	232,205	0
Discount on notes payable	342,970	0
Discount on notes payable from derivative liability	0	1,563,929
Discount on convertible notes payable from derivative liability	0	2,564,950
Accrued interest settled through note payable	0	78,929
Settlement of derivative liability	0	5,895,190
Shares issued for intangible assets	0	250,000
Shares issued for property and equipment	0	57,507
Returnable shares issued in connection with notes payable	0	120
Return of returnable shares issued in connection with notes payable	$ 0	$ 136

NATURE OF THE ORGANIZATION AND BUSINESS

9 Months Ended

Sep. 30, 2024

NATURE OF THE ORGANIZATION AND BUSINESS

NATURE OF THE ORGANIZATION AND BUSINESS

NOTE 1 – NATURE OF THE ORGANIZATION AND BUSINESS

Nature of the Business

Going Concern

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2024

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation

Use of Estimates

Cash and Cash Equivalents

Accounts Receivable

Contract Assets

The Company’s contracts with customers contain milestone payments which do not coincide with revenue recognition. Accordingly, contract assets consist of earned but unbilled revenues.

Property and Equipment

Property and equipment are stated at historical cost net of accumulated depreciation. Repairs and maintenance are expensed as incurred.

Goodwill

Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed in a business combination.

Intangible Assets

Impairment Assessment

Customer Deposits

Revenue Recognition

The Company accounts for revenue in accordance with FASB ASC 606, “Revenue from Contracts with Customers.”

Financial Instruments

Fair Value Measurement

Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities;

Level 2 - Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; or

Level 3 - Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).

The Company did not have any Level 1, Level 2 or Level 3 assets and liabilities at September 30, 2024, or December 31, 2023.

The following is a summary of activity of Level 3 liabilities during the nine months ended September 30, 2023:

Balance - December 31, 2022	$	722,328
Additions		8,280,670
Settlement		(5,895,190	)
Change in fair value		(3,107,808	)
Balance – September 30, 2023	$	-

Commitments and Contingencies

Income Taxes

Basic and Diluted Loss Per Share

FASB ASC Topic 260, “Earnings Per Share”, requires a reconciliation of the numerator and denominator of the basic and diluted earnings (loss) per share (“EPS”) computations.

The Company had potential additional dilutive securities outstanding at September 30, 2024, and 2023, all of which were antidilutive, as follows:

	September 30,		September 30,
	2024		2023
Options		8,021,081		7,204,068
Warrants		11,639,323		14,474,494
Convertible notes payable		159,625		1,085,922
		19,820,029		22,764,484

Recently Issued Accounting Standards

COMMITMENTS AND CONTINGENCIES

9 Months Ended

Sep. 30, 2024

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

NOTE 3 – COMMITMENTS AND CONTINGENCIES

DEBT

9 Months Ended

Sep. 30, 2024

DEBT

DEBT

NOTE 4 – DEBT

Conversion Agreements

Liabilities settled:
Notes payable	$	2,068,929
Convertible notes payable		4,744,950
Accrued interest payable		389,391
Accounts payable		605,495
	$	7,808,765
Value of equity issued:
Series A Preferred Stock	$	11,358,499
Common Stock		11,121,637
Extension of Warrants		2,189,974
	$	24,670,110
Loss on settlement of liabilities	$	16,861,345

Convertible Notes Payable

The following table presents a summary of the Company’s convertible notes payable at September 30, 2024

						Balances - At Issuance				Balances – 9/30/2024
Origination	Maturity	Interest			Conversion Rate	Principal		Discount		Principal		Discount
12/18/2023	6/18/2025		14	%	$3.20Share		50,000		35,241		50,000		16,970
5/9/2024	7/5/2024		24	%	$1.25/Share		100,000		54,391		100,000		-
5/17/2024	7/17/2024		24	%	$1.25/Share		80,000		37,684		80,000		-
										$	230,000	$	16,970

The following table presents a summary of the Company’s convertible notes payable at December 31, 2023:

						Balances - At Issuance				Balances - 12/31/2023
Origination	Maturity	Interest			Conversion Rate	Principal		Discount		Principal		Discount
1/24/2023	7/24/2024		14	%	$3.20/Share	$	100,000	$	100,000	$	100,000	$	37,884
1/25/2023	7/25/2024		14	%	$3.20/Share		74,975		74,975		74,975		28,660
1/30/2023	7/30/2024		14	%	$3.20/Share		100,000		100,000		100,000		38,884
2/17/2023	8/17/2024		14	%	$3.20/Share		1,000,000		1,000,000		1,000,000		416,663
3/7/2023	9/7/2024		14	%	$3.20/Share		100,000		100,000		100,000		45,996
3/14/2023	9/10/2024		14	%	$3.20/Share		250,000		250,000		250,000		117,999
3/27/2023	9/27/2024		14	%	$3.20/Share		100,000		100,000		100,000		49,496
3/30/2023	9/30/2024		14	%	$3.20/Share		79,975		79,975		79,975		39,987
4/6/2023	10/6/2024		14	%	$3.20/Share		50,000		50,000		50,000		24,998
4/7/2023	10/7/2024		14	%	$3.20/Share		400,000		400,000		400,000		200,002
5/5/2023	11/5/2024		14	%	$3.20/Share		200,000		200,000		200,000		111,112
5/9/2023	11/9/2024		14	%	$3.20/Share		50,000		50,000		50,000		29,054
5/12/2023	11/12/2024		14	%	$3.20/Share		50,000		50,000		50,000		29,054
6/6/2023	12/6/2024		14	%	$3.20/Share		10,000		10,000		10,000		6,108
6/30/2023	12/30/2024		14	%	$3.20/Share		50,000		28,334		50,000		18,893
7/7/2023	1/7/2025		14	%	$3.20/Share		25,000		14,775		25,000		9,853
7/21/2023	1/21/2025		14	%	$3.20/Share		35,000		20,103		35,000		13,969
7/26/2023	1/26/2025		14	%	$3.20/Share		100,000		56,527		100,000		40,326
8/10/2023	2/10/2025		14	%	$3.20/Share		500,000		268,545		500,000		198,867
8/24/2023	2/24/2023		14	%	$3.20/Share		100,000		60,313		100,000		46,360
8/31/2023	2/28/2025		14	%	$3.20/Share		100,000		60,010		100,000		46,674
10/10/2023	4/10/2025		14	%	$3.20/Share		375,000		246,871		375,000		214,871
11/3/2023	5/3/2025		14	%	$3.20/Share		150,000		115,950		150,000		103,808
11/7/2023	5/7/2025		14	%	$3.20/Share		50,000		38,237		50,000		35,613
11/7/2023	5/7/2025		14	%	$3.20/Share		50,000		38,237		50,000		35,613
11/28/2023	5/28/2025		14	%	$3.20/Share		50,000		36,925		50,000		34,674
12/4/2023	6/4/2025		14	%	$3.20/Share		25,000		18,295		25,000		17,407
12/6/2023	6/8/2025		14	%	$3.20/Share		500,000		358,064		500,000		342,064
12/18/2023	6/18/2025		14	%	$3.20/Share		50,000		35,241		50,000		34,594
										$	4,724,950	$	2,369,483

Notes Payable

The following table presents a summary of the Company’s notes payable at September 30, 2024:

					Balances - At Issuance				Balances – 9/30/2024
Origination	Maturity	Interest			Principal		Discount		Principal		Discount
5/29/2020	3/31/2050		4	%	$	20,400	$	-	$	20,400	$	-
8/11/2022	8/11/2024		10	%		150,000		88,247		150,000		-
3/26/2024	3/15/2025		-	%		960,000		313,736		711,750		150,566
6/11/2024	1/11/2025		-	%		720,000		261,439		642,643		127,011
6/14/2024	6/30/2024		5	%		100,000		-		100,000		-
7/25/2024	7/31/2024		5	%		50,000		-		50,000		-
									$	1,674,793	$	277,577

The following table presents a summary of the Company’s notes payable at December 31, 2023:

					Balances - At Issuance				Balances - 12/31/2023
Origination	Maturity	Interest			Principal		Discount		Principal		Discount
5/29/2020	3/31/2050		4	%	$	20,400	$	-	$	20,400	$	-
7/29/2022	1/29/2024		10	%		50,000		29,664		50,000		1,648
8/11/2022	2/11/2024		10	%		150,000		88,247		150,000		7,876
8/15/2022	2/15/2024		10	%		50,000		29,513		50,000		2,630
8/31/2022	2/28/2024		10	%		80,000		45,827		80,000		5,091
9/1/2022	3/1/2024		10	%		50,000		29,922		50,000		3,661
9/7/2022	3/7/2024		10	%		50,000		29,922		50,000		3,658
9/12/2022	3/12/2024		10	%		50,000		30,316		50,000		4,382
9/29/2022	3/29/2024		10	%		100,000		59,839		100,000		9,974
11/9/2022	5/9/2024		10	%		25,000		25,000		25,000		6,372
11/15/2022	5/15/2024		10	%		100,000		100,000		100,000		25,486
12/8/2023	7/8/2024		14	%		1,563,929		1,563,929		1,563,929		988,778
									$	2,289,329	$	1,059,556

Line of Credit

Future Maturities

The table below summarizes current and future maturities of the Company’s debt as of September 30, 2024:

September 30,	Amount
2025 (current)	$	1,844,393
2026		-
2027		-
2028		-
2029		-
Thereafter		20,400
		1,864,793
Less - Discounts		(294,546	)
	$	1,570,247

EQUITY

9 Months Ended

Sep. 30, 2024

EQUITY

EQUITY

NOTE 5 – EQUITY

Common Stock

During February 2024, the Company paid $38,382 in accrued interest due to noteholders by issuing 28,829 shares of common stock.

Preferred Stock

During the period ended September 30, 2024, 2,888.71 shares of Series A Preferred Stock were converted into 20,304,999 shares of common stock.

Warrants

The table below summarizes the Company’s warrants for the period ended September 30, 2024:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)
Warrants as of December 31, 2023		17,046,823		$	0.76		1.73
Issued		250,000		$	0.85		3.00
Forfeited		-		$	-		-
Exercised		(5,657,500	)	$	0.55		2.30
Warrants as of September 30, 2024		11,639,323		$	0.86		4.43

Options

The following table summarizes the Company’s options for the period ended September 30, 2024:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)
Options as of December 31, 2023		9,024,068		$	0.83		3.77
Issued		600,000		$	1.69		5.00
Forfeited		(1,602,987	)	$	0.92		3.39
Exercised		-		$	-		-
Options as of September 30, 2024		8,021,081		$	0.88		3.13

REVENUE

9 Months Ended

Sep. 30, 2024

REVENUE

REVENUE

NOTE 6 – REVENUE

During the nine months ended September 30, 2024, the Company recognized revenue of $1,609,043 that was included in the customer deposits balance at December 31, 2023.

During the nine months ended September 30, 2024, the Company did not recognize revenue related to performance obligations satisfied in prior periods.

The Company had $9,539,675 in remaining performance obligations at September 30, 2024.

Concentrations

For the nine months ended September 30, 2024 and 2023, the Company had the following revenue concentrations:

	Revenues
Customer	2024			2023
Customer A		51	%	88%
Customer B		34	%	*
Customer C		11	%	*
Customer D	*			*
Customer E	*			*

* = Less than 10%

RELATED PARTY TRANSACTIONS

9 Months Ended

Sep. 30, 2024

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS

NOTE 7 – RELATED PARTY TRANSACTIONS

Shareholder Advances and Payables

At December 31, 2023, the Company had advances payable of $11,865 due to a significant shareholder. The advances payable balance was settled during June 2024, as detailed in Note 4.

At December 31, 2023, the Company had advances payable of $62,500 due to the Company’s largest shareholder. The advances payable balance was settled during June 2024, as detailed in Note 4.

Michaels Consulting

Notes Payable

Mr. Michaels is the holder of the $100,000 note which matured on June 30, 2024, and the $50,000 note which matured on July 31, 2024 (Note 4).

Convertible Notes Payable

Mr. Charles Markovic, CFO, is the holder of the $100,000 convertible note which matured on July 5, 2024 (Note 4).

Mr. Michaels is the holder of the $80,000 convertible note which matured on July 17, 2024 (Note 4).

Director Options

Accrued Bonus

At September 30, 2024, and December 31, 2023, the Company had accrued bonus compensation for Todd Michaels of approximately $150,000.

At September 30, 2024 and December 31, 2023, the Company had accrued bonus compensation for its former CFOs of approximately $115,000.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

9 Months Ended

Sep. 30, 2024

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation

Use of Estimates

Cash and Cash Equivalents

Accounts Receivable

Contract Assets

The Company’s contracts with customers contain milestone payments which do not coincide with revenue recognition. Accordingly, contract assets consist of earned but unbilled revenues.

Property and Equipment

Property and equipment are stated at historical cost net of accumulated depreciation. Repairs and maintenance are expensed as incurred.

Goodwill

Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed in a business combination.

Intangible Assets

Impairment Assessment

Customer Deposits

Revenue Recognition

The Company accounts for revenue in accordance with FASB ASC 606, “Revenue from Contracts with Customers.”

Financial Instruments

Fair Value Measurement

Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities;

Level 2 - Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; or

Level 3 - Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).

The Company did not have any Level 1, Level 2 or Level 3 assets and liabilities at September 30, 2024, or December 31, 2023.

The following is a summary of activity of Level 3 liabilities during the nine months ended September 30, 2023:

Balance - December 31, 2022	$	722,328
Additions		8,280,670
Settlement		(5,895,190	)
Change in fair value		(3,107,808	)
Balance – September 30, 2023	$	-

Commitments and Contingencies

Income Taxes

Recently Issued Accounting Standards

Basic and Diluted Loss Per Share

FASB ASC Topic 260, “Earnings Per Share”, requires a reconciliation of the numerator and denominator of the basic and diluted earnings (loss) per share (“EPS”) computations.

The Company had potential additional dilutive securities outstanding at September 30, 2024, and 2023, all of which were antidilutive, as follows:

	September 30,		September 30,
	2024		2023
Options		8,021,081		7,204,068
Warrants		11,639,323		14,474,494
Convertible notes payable		159,625		1,085,922
		19,820,029		22,764,484

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2024

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of Fair Value Measurement

Balance - December 31, 2022	$	722,328
Additions		8,280,670
Settlement		(5,895,190	)
Change in fair value		(3,107,808	)
Balance – September 30, 2023	$	-

Schedule of potential additional dilutive securities outstanding

	September 30,		September 30,
	2024		2023
Options		8,021,081		7,204,068
Warrants		11,639,323		14,474,494
Convertible notes payable		159,625		1,085,922
		19,820,029		22,764,484

DEBT (Tables)

9 Months Ended

Sep. 30, 2024

DEBT

Schedule of settlement of liabilities

Liabilities settled:
Notes payable	$	2,068,929
Convertible notes payable		4,744,950
Accrued interest payable		389,391
Accounts payable		605,495
	$	7,808,765
Value of equity issued:
Series A Preferred Stock	$	11,358,499
Common Stock		11,121,637
Extension of Warrants		2,189,974
	$	24,670,110
Loss on settlement of liabilities	$	16,861,345

Summary of the Company's convertible notes payable

						Balances - At Issuance				Balances – 9/30/2024
Origination	Maturity	Interest			Conversion Rate	Principal		Discount		Principal		Discount
12/18/2023	6/18/2025		14	%	$3.20Share		50,000		35,241		50,000		16,970
5/9/2024	7/5/2024		24	%	$1.25/Share		100,000		54,391		100,000		-
5/17/2024	7/17/2024		24	%	$1.25/Share		80,000		37,684		80,000		-
										$	230,000	$	16,970

						Balances - At Issuance				Balances - 12/31/2023
Origination	Maturity	Interest			Conversion Rate	Principal		Discount		Principal		Discount
1/24/2023	7/24/2024		14	%	$3.20/Share	$	100,000	$	100,000	$	100,000	$	37,884
1/25/2023	7/25/2024		14	%	$3.20/Share		74,975		74,975		74,975		28,660
1/30/2023	7/30/2024		14	%	$3.20/Share		100,000		100,000		100,000		38,884
2/17/2023	8/17/2024		14	%	$3.20/Share		1,000,000		1,000,000		1,000,000		416,663
3/7/2023	9/7/2024		14	%	$3.20/Share		100,000		100,000		100,000		45,996
3/14/2023	9/10/2024		14	%	$3.20/Share		250,000		250,000		250,000		117,999
3/27/2023	9/27/2024		14	%	$3.20/Share		100,000		100,000		100,000		49,496
3/30/2023	9/30/2024		14	%	$3.20/Share		79,975		79,975		79,975		39,987
4/6/2023	10/6/2024		14	%	$3.20/Share		50,000		50,000		50,000		24,998
4/7/2023	10/7/2024		14	%	$3.20/Share		400,000		400,000		400,000		200,002
5/5/2023	11/5/2024		14	%	$3.20/Share		200,000		200,000		200,000		111,112
5/9/2023	11/9/2024		14	%	$3.20/Share		50,000		50,000		50,000		29,054
5/12/2023	11/12/2024		14	%	$3.20/Share		50,000		50,000		50,000		29,054
6/6/2023	12/6/2024		14	%	$3.20/Share		10,000		10,000		10,000		6,108
6/30/2023	12/30/2024		14	%	$3.20/Share		50,000		28,334		50,000		18,893
7/7/2023	1/7/2025		14	%	$3.20/Share		25,000		14,775		25,000		9,853
7/21/2023	1/21/2025		14	%	$3.20/Share		35,000		20,103		35,000		13,969
7/26/2023	1/26/2025		14	%	$3.20/Share		100,000		56,527		100,000		40,326
8/10/2023	2/10/2025		14	%	$3.20/Share		500,000		268,545		500,000		198,867
8/24/2023	2/24/2023		14	%	$3.20/Share		100,000		60,313		100,000		46,360
8/31/2023	2/28/2025		14	%	$3.20/Share		100,000		60,010		100,000		46,674
10/10/2023	4/10/2025		14	%	$3.20/Share		375,000		246,871		375,000		214,871
11/3/2023	5/3/2025		14	%	$3.20/Share		150,000		115,950		150,000		103,808
11/7/2023	5/7/2025		14	%	$3.20/Share		50,000		38,237		50,000		35,613
11/7/2023	5/7/2025		14	%	$3.20/Share		50,000		38,237		50,000		35,613
11/28/2023	5/28/2025		14	%	$3.20/Share		50,000		36,925		50,000		34,674
12/4/2023	6/4/2025		14	%	$3.20/Share		25,000		18,295		25,000		17,407
12/6/2023	6/8/2025		14	%	$3.20/Share		500,000		358,064		500,000		342,064
12/18/2023	6/18/2025		14	%	$3.20/Share		50,000		35,241		50,000		34,594
										$	4,724,950	$	2,369,483

Summary of the Company's notes payable

					Balances - At Issuance				Balances – 9/30/2024
Origination	Maturity	Interest			Principal		Discount		Principal		Discount
5/29/2020	3/31/2050		4	%	$	20,400	$	-	$	20,400	$	-
8/11/2022	8/11/2024		10	%		150,000		88,247		150,000		-
3/26/2024	3/15/2025		-	%		960,000		313,736		711,750		150,566
6/11/2024	1/11/2025		-	%		720,000		261,439		642,643		127,011
6/14/2024	6/30/2024		5	%		100,000		-		100,000		-
7/25/2024	7/31/2024		5	%		50,000		-		50,000		-
									$	1,674,793	$	277,577

					Balances - At Issuance				Balances - 12/31/2023
Origination	Maturity	Interest			Principal		Discount		Principal		Discount
5/29/2020	3/31/2050		4	%	$	20,400	$	-	$	20,400	$	-
7/29/2022	1/29/2024		10	%		50,000		29,664		50,000		1,648
8/11/2022	2/11/2024		10	%		150,000		88,247		150,000		7,876
8/15/2022	2/15/2024		10	%		50,000		29,513		50,000		2,630
8/31/2022	2/28/2024		10	%		80,000		45,827		80,000		5,091
9/1/2022	3/1/2024		10	%		50,000		29,922		50,000		3,661
9/7/2022	3/7/2024		10	%		50,000		29,922		50,000		3,658
9/12/2022	3/12/2024		10	%		50,000		30,316		50,000		4,382
9/29/2022	3/29/2024		10	%		100,000		59,839		100,000		9,974
11/9/2022	5/9/2024		10	%		25,000		25,000		25,000		6,372
11/15/2022	5/15/2024		10	%		100,000		100,000		100,000		25,486
12/8/2023	7/8/2024		14	%		1,563,929		1,563,929		1,563,929		988,778
									$	2,289,329	$	1,059,556

Summary of future maturities of company debt

September 30,	Amount
2025 (current)	$	1,844,393
2026		-
2027		-
2028		-
2029		-
Thereafter		20,400
		1,864,793
Less - Discounts		(294,546	)
	$	1,570,247

EQUITY (Tables)

9 Months Ended

Sep. 30, 2024

EQUITY

Schedule of company's warrants

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)
Warrants as of December 31, 2023		17,046,823		$	0.76		1.73
Issued		250,000		$	0.85		3.00
Forfeited		-		$	-		-
Exercised		(5,657,500	)	$	0.55		2.30
Warrants as of September 30, 2024		11,639,323		$	0.86		4.43

Schedule of company's options

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)
Options as of December 31, 2023		9,024,068		$	0.83		3.77
Issued		600,000		$	1.69		5.00
Forfeited		(1,602,987	)	$	0.92		3.39
Exercised		-		$	-		-
Options as of September 30, 2024		8,021,081		$	0.88		3.13

REVENUE (Tables)

9 Months Ended

Sep. 30, 2024

REVENUE

Schedule of revenue concentrations

	Revenues
Customer	2024			2023
Customer A		51	%	88%
Customer B		34	%	*
Customer C		11	%	*
Customer D	*			*
Customer E	*			*

* = Less than 10%

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	Sep. 30, 2023 USD ($)
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Balance at beginning	$ 722,328
Additions	8,280,670
Settlement	(5,895,190)
Change in fair value	(3,107,808)
Balance at end	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1) - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Options	8,021,081	7,204,068
Warrants	11,639,323	14,474,494
Convertible notes payable	$ 159,625	$ 1,085,922
Dilutive Securities	19,820,029	22,764,484

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Allowance for doubtful accounts	$ 0	$ 0
Federal Deposit Insurance Corporation ("FDIC")	$ 250,000

DEBT (Details) - USD ($)	Jun. 14, 2024	Sep. 30, 2024	Dec. 31, 2023
Accounts payable		$ 5,391,848	$ 304,400
Series A Preferred Stock		1	0
Common Stock		$ 7,827	$ 3,627
Loss on settlement of liabilities	$ 16,861,345
Notesholders [Member]
Notes Payable	2,068,929
Convertible notes payable	4,744,950
Accrued interest payable	389,391
Accounts payable	605,495
Total Liabilities settled	7,808,765
Series A Preferred Stock	11,358,499
Common Stock	11,121,637
Extension of Warrants	2,189,974
Total value of equity Issued	$ 24,670,110

DEBT (Details 1) - USD ($)	9 Months Ended	12 Months Ended
DEBT (Details 1) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Principal	$ 230,000	$ 4,724,950
Discount	16,970	2,369,483
Convertible Notes Payable [Member]
Principal amount	50,000	100,000
Debt Discount	35,241	100,000
Principal	50,000	100,000
Discount	$ 16,970	$ 37,884
Origination date	Dec. 18, 2023	Jan. 24, 2023
Maturity date	Jun. 18, 2025	Jul. 24, 2024
Interest Rate	14.00%	14.00%
Conversion Rate	$ 3.20	$ 3.20
Convertible Notes Payable One [Member]
Principal amount	$ 100,000	$ 74,975
Debt Discount	54,391	74,975
Principal	100,000	74,975
Discount	$ 0	$ 28,660
Origination date	May 09, 2024	Jan. 25, 2023
Maturity date	Jul. 05, 2024	Jul. 25, 2024
Interest Rate	24.00%	14.00%
Conversion Rate	$ 1.25	$ 3.20
Convertible Notes Payable Two [Member]
Principal amount	$ 80,000	$ 100,000
Debt Discount	37,684	100,000
Principal	80,000	100,000
Discount	$ 0	$ 38,884
Origination date	May 17, 2024	Jan. 30, 2023
Maturity date	Jul. 17, 2024	Jul. 30, 2024
Interest Rate	24.00%	14.00%
Conversion Rate	$ 1.25	$ 3.20
Convertible Notes Payable Three [Member]
Principal amount		$ 1,000,000
Debt Discount		1,000,000
Principal		1,000,000
Discount		$ 416,663
Origination date		Feb. 17, 2023
Maturity date		Aug. 17, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Four [Member]
Principal amount		$ 100,000
Debt Discount		100,000
Principal		100,000
Discount		$ 45,996
Origination date		Mar. 07, 2023
Maturity date		Sep. 07, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Five [Member]
Principal amount		$ 250,000
Debt Discount		250,000
Principal		250,000
Discount		$ 117,999
Origination date		Mar. 14, 2023
Maturity date		Sep. 10, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Six [Member]
Principal amount		$ 100,000
Debt Discount		100,000
Principal		100,000
Discount		$ 49,496
Origination date		Mar. 27, 2023
Maturity date		Sep. 27, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Seven [Member]
Principal amount		$ 79,975
Debt Discount		79,975
Principal		79,975
Discount		$ 39,987
Origination date		Mar. 30, 2023
Maturity date		Sep. 30, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Eight [Member]
Principal amount		$ 50,000
Debt Discount		50,000
Principal		50,000
Discount		$ 24,998
Origination date		Apr. 06, 2023
Maturity date		Oct. 06, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Nine [Member]
Principal amount		$ 400,000
Debt Discount		400,000
Principal		400,000
Discount		$ 200,002
Origination date		Apr. 07, 2023
Maturity date		Oct. 07, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Ten [Member]
Principal amount		$ 200,000
Debt Discount		200,000
Principal		200,000
Discount		$ 111,112
Origination date		May 05, 2023
Maturity date		Nov. 05, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Eleven [Member]
Principal amount		$ 50,000
Debt Discount		50,000
Principal		50,000
Discount		$ 29,054
Origination date		May 09, 2023
Maturity date		Nov. 09, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twelve [Member]
Principal amount		$ 50,000
Debt Discount		50,000
Principal		50,000
Discount		$ 29,054
Origination date		May 12, 2023
Maturity date		Nov. 12, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Thirteen [Member]
Principal amount		$ 10,000
Debt Discount		10,000
Principal		10,000
Discount		$ 6,108
Origination date		Jun. 06, 2023
Maturity date		Dec. 06, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Fourteen [Member]
Principal amount		$ 50,000
Debt Discount		28,334
Principal		50,000
Discount		$ 18,893
Origination date		Jun. 30, 2023
Maturity date		Dec. 30, 2024
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Fifteen [Member]
Principal amount		$ 25,000
Debt Discount		14,775
Principal		25,000
Discount		$ 9,853
Origination date		Jul. 07, 2023
Maturity date		Jan. 07, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Sixteen [Member]
Principal amount		$ 35,000
Debt Discount		20,103
Principal		35,000
Discount		$ 13,969
Origination date		Jul. 21, 2023
Maturity date		Jan. 21, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Seventeen [Member]
Principal amount		$ 100,000
Debt Discount		56,527
Principal		100,000
Discount		$ 40,326
Origination date		Jul. 26, 2023
Maturity date		Jan. 26, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Eighteen [Member]
Principal amount		$ 500,000
Debt Discount		268,545
Principal		500,000
Discount		$ 198,867
Origination date		Aug. 10, 2023
Maturity date		Feb. 10, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Ninteen [Member]
Principal amount		$ 100,000
Debt Discount		60,313
Principal		100,000
Discount		$ 46,360
Origination date		Aug. 24, 2023
Maturity date		Feb. 24, 2023
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty [Member]
Principal amount		$ 100,000
Debt Discount		60,010
Principal		100,000
Discount		$ 46,674
Origination date		Aug. 31, 2023
Maturity date		Feb. 28, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty One [Member]
Principal amount		$ 375,000
Debt Discount		246,871
Principal		375,000
Discount		$ 214,871
Origination date		Oct. 10, 2023
Maturity date		Apr. 10, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty Two [Member]
Principal amount		$ 150,000
Debt Discount		115,950
Principal		150,000
Discount		$ 103,808
Origination date		Nov. 03, 2023
Maturity date		May 03, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty Three [Member]
Principal amount		$ 50,000
Debt Discount		38,237
Principal		50,000
Discount		$ 35,613
Origination date		Nov. 07, 2023
Maturity date		May 07, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty Four [Member]
Principal amount		$ 50,000
Debt Discount		38,237
Principal		50,000
Discount		$ 35,613
Origination date		Nov. 07, 2023
Maturity date		May 07, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty Five [Member]
Principal amount		$ 50,000
Debt Discount		36,925
Principal		50,000
Discount		$ 34,674
Origination date		Nov. 28, 2023
Maturity date		May 28, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty Six [Member]
Principal amount		$ 25,000
Debt Discount		18,295
Principal		25,000
Discount		$ 17,407
Origination date		Dec. 04, 2023
Maturity date		Jun. 04, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty Seven [Member]
Principal amount		$ 500,000
Debt Discount		358,064
Principal		500,000
Discount		$ 342,064
Origination date		Dec. 06, 2023
Maturity date		Jun. 08, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20
Convertible Notes Payable Twenty Eight [Member]
Principal amount		$ 50,000
Debt Discount		35,241
Principal		50,000
Discount		$ 34,594
Origination date		Dec. 18, 2023
Maturity date		Jun. 18, 2025
Interest Rate		14.00%
Conversion Rate		$ 3.20

DEBT (Details 2) - USD ($)	9 Months Ended	12 Months Ended
DEBT (Details 2) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Principal At Issuance	$ 1,674,793	$ 2,289,329
Discount At Issuance	277,577	1,059,556
Principal	230,000	4,724,950
Discount	$ 16,970	$ 2,369,483
Notes Payable [Member]
Origination date	May 29, 2020	May 29, 2020
Maturity date	Mar. 31, 2050	Mar. 31, 2050
Interest Rate	4.00%	4.00%
Principal	$ 20,400	$ 20,400
Principal amount	20,400	20,400
Debt Discount	0	0
Discount	$ 0	$ 0
Notes Payable One [Member]
Origination date	Jul. 25, 2024	Jul. 29, 2022
Maturity date	Jul. 31, 2024	Jan. 29, 2024
Interest Rate	5.00%	10.00%
Principal	$ 50,000	$ 50,000
Principal amount	50,000	50,000
Debt Discount	0	29,664
Discount	$ 0	$ 1,648
Notes Payable Two [Member]
Origination date	Aug. 11, 2022	Aug. 11, 2022
Maturity date	Aug. 11, 2024	Feb. 11, 2024
Interest Rate	10.00%	10.00%
Principal	$ 150,000	$ 150,000
Principal amount	150,000	150,000
Debt Discount	88,247	88,247
Discount	$ 0	$ 7,876
Notes Payable Three [Member]
Origination date	Mar. 26, 2024	Aug. 15, 2022
Maturity date	Mar. 15, 2025	Feb. 15, 2024
Interest Rate	0.00%	10.00%
Principal	$ 960,000	$ 50,000
Principal amount	711,750	50,000
Debt Discount	313,736	29,513
Discount	$ 150,566	$ 2,630
Notes Payable Four [Member]
Origination date	Jun. 11, 2024	Aug. 31, 2022
Maturity date	Jan. 11, 2025	Feb. 28, 2024
Interest Rate	0.00%	10.00%
Principal	$ 720,000	$ 80,000
Principal amount	642,643	80,000
Debt Discount	261,439	45,827
Discount	$ 127,011	$ 5,091
Notes Payable Five [Member]
Origination date	Jun. 14, 2024	Sep. 01, 2022
Maturity date	Jun. 30, 2024	Mar. 01, 2024
Interest Rate	5.00%	10.00%
Principal	$ 100,000	$ 50,000
Principal amount	100,000	50,000
Debt Discount	0	29,922
Discount	$ 0	$ 3,661
Notes Payable Six [Member]
Origination date		Sep. 07, 2022
Maturity date		Mar. 07, 2024
Interest Rate		10.00%
Principal		$ 50,000
Principal amount		50,000
Debt Discount		29,922
Discount		$ 3,658
Notes Payable Seven [Member]
Origination date		Sep. 12, 2022
Maturity date		Mar. 12, 2024
Interest Rate		10.00%
Principal		$ 50,000
Principal amount		50,000
Debt Discount		30,316
Discount		$ 4,382
Notes Payable Eight [Member]
Origination date		Sep. 29, 2022
Maturity date		Mar. 29, 2024
Interest Rate		10.00%
Principal		$ 100,000
Principal amount		100,000
Debt Discount		59,839
Discount		$ 9,974
Notes Payable Nine [Member]
Origination date		Nov. 09, 2022
Maturity date		May 09, 2024
Interest Rate		10.00%
Principal		$ 25,000
Principal amount		25,000
Debt Discount		25,000
Discount		$ 6,372
Notes Payable Ten [Member]
Origination date		Nov. 15, 2022
Maturity date		May 15, 2024
Interest Rate		10.00%
Principal		$ 100,000
Principal amount		100,000
Debt Discount		100,000
Discount		$ 25,486
Notes Payable Eleven [Member]
Origination date		Dec. 08, 2023
Maturity date		Jul. 08, 2024
Interest Rate		14.00%
Principal		$ 1,563,929
Principal amount		1,563,929
Debt Discount		1,563,929
Discount		$ 988,778

DEBT (Details 3)	Sep. 30, 2024 USD ($)
DEBT
2025	$ 1,844,393
2026	0
2027	0
2028	0
2029	0
Thereafter	20,400
Future maturity	1,864,793
Less - Discounts	(294,546)
Net future maturity	$ 1,570,247

DEBT (Details Narrative) - USD ($)					1 Months Ended			9 Months Ended	12 Months Ended
DEBT (Details Narrative) - USD ($)	Jun. 14, 2024	Jun. 11, 2024	May 09, 2024	Apr. 10, 2024	May 20, 2024	May 17, 2024	Jan. 29, 2024	Sep. 30, 2024	Dec. 31, 2023	Oct. 03, 2014
Note Interest Rate										8.00%
Line of credit								$ 30,000	$ 30,000	$ 30,000
Outstanding principal and accrued interest, total								33,815
Principal amount of loan								$ 230,000	$ 4,724,950
Common stock, Issued shares								78,280,884	36,270,674
Common stock value								$ 7,827	$ 3,627
Convertible notes Payable								$ 0	$ 935,307
Issue series A Preferred stock								5,154	0
From January 29, 2024 to March 12, 2024 [Member]
Warrants to purchase shares							580,000
Outstanding principal balance							$ 580,000
Share price							$ 1.00
Waarant exercisable period							three years
Ourtstanding warrant							$ 906,669
Discount on notes							$ 353,271
Debt Conversion Agreement [Member]
Outstanding principal balance	$ 7,203,270
Common stock, Issued shares	17,423,557
Outstanding advances payable and accounts payable	$ 605,495
Issue series A Preferred stock	7,808
Convertible Notes Agreement [Member]
Convertible notes Payable					$ 70,000	$ 80,000
Interest Rate			2.00%		2.00%	2.00%
Maturity date			July 5, 2024		May 20, 2025	July 17, 2024
Warrant exercisable			100,000		70,000	80,000
Warrant exercisable price per share			$ 0.85		$ 0.85	$ 0.85
Warrant expiry date			May 6, 2027		May 20, 2027	May 17, 2027
Vested warrants, value			$ 119,000		$ 42,000	$ 71,000
Additional discount on debt			$ 54,391		$ 26,281	$ 37,684
Bridge Loan And Security Agreement [Member]
Principal amount of loan		$ 600,000		$ 800,000
Repayment of loan		$ 870,000		$ 1,080,000
Description of repayment		paid to Lender over a period of twenty-eight (28) weeks on a weekly basis		made to Lender over a period of forty-eight (48) weeks on a weekly basis. The Company shall pay $7,375 per week during the first twelve weeks and $27,375 per week for the next thirty-six weeks
Common stock, Issued shares		200,000		100,000
Common stock value		$ 137,800		$ 144,000
Discount on common stock value		$ 110,954		$ 121,251
Advanced loan to company	$ 200,000

EQUITY (Details) - Warrants [Member]	9 Months Ended
EQUITY (Details) - Warrants [Member]	Sep. 30, 2024 $ / shares shares
Warrants, Number of Shares beginning	17,046,823
Issued	250,000
Exercised	(5,657,500)
Forfeited	0
Warrants, Number of Shares ending	11,639,323
Weighted Average Exercise Price, beginning \| $ / shares	$ 0.76
Weighted Average Exercise Issued \| $ / shares	0.85
Weighted Average Exercise Price \| $ / shares	0.55
Weighted Average Exercise Price, ending \| $ / shares	$ 0.86
Warrants,Weighted Average Remaining Life beginning	1 year 8 months 23 days
Issued Weighted average remaining life	3 years
Exercised, Weighted average remaining life	2 years 3 months 18 days
Warrants,Weighted Average Remaining Life ending	4 years 5 months 4 days

EQUITY (Details 1) - Option [Member]	9 Months Ended
EQUITY (Details 1) - Option [Member]	Sep. 30, 2024 $ / shares shares
Warrants, Number of Shares begnning \| shares	9,024,068
Issued \| shares	600,000
Forfeited \| shares	(1,602,987)
Exercised \| shares	0
Warrants, Number of Shares ending \| shares	8,021,081
Weighted Average Exercise Price, beginning \| $ / shares	$ 0.83
Issued in Period, Weighted Average Exercise Price \| $ / shares	1.69
Exercise in Period, Weighted Average Forfeited \| $ / shares	0.92
Exercised in Period, Weighted Average Exercise Price \| $ / shares	0.00
Weighted Average Exercise Price, ending \| $ / shares	$ 0.88
Options, Weighted Average Remaining Life beginning	3 years 9 months 7 days
Issued, Weighted average remaining life	5 years
Forfeited, Weighted average remaining life	3 years 4 months 20 days
Options, Weighted Average Remaining Life ending	3 years 1 month 17 days

EQUITY (Details Narrative) - USD ($)	1 Months Ended	9 Months Ended
EQUITY (Details Narrative) - USD ($)	Feb. 20, 2024	Sep. 30, 2024	Dec. 31, 2023
Common Stock, Par or Stated Value Per Share		$ 0.0001	$ 0.0001
Vested, number of shares		6,420,718
Unvested warrants		$ 1,047,000
Issuance of common stock		78,280,884	36,270,674
Options to purchase shares		1,600,363
Preferred Stock, Convertible, Shares		2,888
Preferred Stock converted in to common stock		20,304,999
Option [Member]
Fair value assumptions, expected term		5 years
Warrants [Member]
Unvested warrants		$ 124,000
Class or Warrants purchase shares		187,500
Warrants issued		11,451,823
Risk free interest rate, maximum		4.60%
Risk free interest rate, minimum		4.10%
Expected volatility rate, minimum		209.00%
Expected volatility rate, maximum		302.00%
Fair value assumptions, expected term minimum		36 months
Fair value assumptions, expected term maximum		43 months
Exercise price, minimum		$ 0.85
Exercise Price, maximum		1.00
Note Agreement [Member]
Warrants exercised	5,657,500
Issuance of common stock	3,952,825
Common Share [Member]
Common Stock, Par or Stated Value Per Share		$ 0.0001	$ 0.0001
Common stock, shares issued in exchange for debt		28,829
Accrued interest		$ 38,382
Exercise price, minimum		$ 850
Maximum [Member]
Risk free interest rate		4.23%
Expected volatility rate		272.00%
Exercise price, minimum		$ 1.95
Minimum [Member]
Risk free interest rate		3.97%
Expected volatility rate		267.00%
Exercise price, minimum		$ 0.40
Preferred Stock
Preferred Stock shares		12,000
Risk free interest rate, maximum		12.00%
Exercise price, minimum		$ 1,000

REVENUE (Details) - Revenue [Member]	9 Months Ended
REVENUE (Details) - Revenue [Member]	Sep. 30, 2024	Sep. 30, 2023
Customer E [Member]
Concentration Risk, Percentage	0.00%	0.00%
Customer C [Member]
Concentration Risk, Percentage	11.00%	0.00%
Customer A [Member]
Concentration Risk, Percentage	51.00%	88.00%
Customer B [Member]
Concentration Risk, Percentage	34.00%	0.00%
Customer D [Member]
Concentration Risk, Percentage	0.00%	0.00%

REVENUE (Details Narrative)	9 Months Ended
REVENUE (Details Narrative)	Sep. 30, 2024 USD ($)
REVENUE
Revenue recognized from customer deposit balance	$ 1,609,043
Revenue Performance Obligation	$ 9,539,675

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	May 09, 2024	Dec. 31, 2023
Convertible note value	$ 0		$ 0			$ 935,307
Accounts payable	5,391,848		5,391,848			304,400
Operating expenses	1,577,773	$ 1,820,560	$ 6,365,814	$ 4,489,070
Charles Markovic [Member]
Note maturity period			July 5, 2024
Convertible note value	100,000		$ 100,000
CEO [Member]
Accrued bonus compensation	150,000		150,000			150,000
Former CFO [Member]
Accrued bonus compensation	115,000		115,000			115,000
Dr. Christine Gulbranson [Member]
Accrued interest payable	1,137		$ 1,137
Director compensation, value					$ 474,000
Director compensation, options					250,000
Mrs. Michaels Three [Member]
Note maturity period			July 31, 2024
Convertible note value	50,000		$ 50,000
Mrs. Michaels Two [Member]
Note maturity period			July 17, 2024
Convertible note value	80,000		$ 80,000
Todd Michaels [Member]
Note maturity period			July 24, 2024
Convertible note value	100,000		$ 100,000
Advances payable	22,154		22,154			22,154
Accrued interest payable	6,367		6,367
Largest Shareholder [Member]
Note related value	25,000		$ 25,000
Note maturity period			May 9, 2024
Advances payable	62,500		$ 62,500			62,500
Three Percent Holder [Member]
Advances payable	11,865		11,865			11,865
Michaels Consulting [Member]
Accounts payable	172,000		172,000			344,000
Elysian Fields Disposal [Member]
Accounts payable	258,000		258,000			258,000
P&C Ventures, Inc [Member]
Warrant issued, value			1,485,000
Note related value	1,563,929		$ 1,563,929
Note maturity period			July 8, 2024
Accrued interest payable	96,085		$ 96,085
Accounts payable	290,000		$ 290,000			120,000
Warrant issued			2,700,000
Operating expenses			$ 180,000
Loutex Production Company [Member]
Accounts payable	$ 78,346		78,346			$ 78,346
Mrs. Michaels [Member]
Warrant issued, value			$ 73,725
Exercisable Price	$ 1.00		$ 1.00
Note related value	$ 50,000		$ 50,000
Note maturity period			September 7, 2024
Convertible note value	100,000		$ 100,000
Accrued bonus compensation	50,000		50,000
Advances payable	172,000		172,000
Discount on the note			29,794
Accrued interest payable	$ 2,274		$ 2,274

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