of investment in 
    warrants                         (1,631,700)                  294,565 
   Loss on sale of 
    warrants                          3,970,628                         - 
Changes in assets and 
liabilities: 
   Accounts receivable                 (685,531)                 (322,583) 
   Prepaid expenses                     (72,315)                  187,269 
   Other assets                          40,761                   (23,982) 
   Accounts payable and 
    accrued expenses                     34,752                   597,247 
   Accounts payable and 
    accrued expenses - 
    related party                        28,315                         - 
   Accrued payroll and 
    other employee costs                (68,323)                    7,471 
   Due to related party                      (7)                    7,562 
   Operating lease 
    liabilities                        (275,850)                 (231,499) 
   Income tax payables                   17,971                   101,058 
   Deferred revenue                    (205,109)                  200,256 
   Other liabilities                    540,008                    83,809 
Net cash flows used in 
 operating activities                (3,499,514)               (2,457,661) 
 
Cash flows from investing 
activities 
Purchases of property and 
 equipment                               (4,134)                 (516,658) 
Proceeds from disposal of 
 property and equipment                       -                    24,935 
Advance on note receivable                    -                  (600,000) 
Purchase of long-term 
 investment in SAFE                    (350,000)                        - 
Net proceeds from sale of 
 warrants                             5,640,000                         - 
Repayment of loan provided 
 to related party                        31,457                    34,823 
Payment for acquisition of 
 subsidiary, net of cash 
 acquired                                     -                  (724,910) 
Net cash flows provided by 
 (used in) investing 
 activities                           5,317,323                (1,781,810) 
 
Cash flows from financing 
activities 
Payments for finance 
 leases                                 (12,568)                  (16,537) 
Proceeds from short-term 
 and long-term debts                     68,138                   219,427 
Repayment of short-term 
 and long-term debts                   (453,048)                 (584,779) 
Repayment of insurance 
 premium financing                     (107,297)                 (266,756) 
Net proceeds from 
 factoring arrangement                        -                   217,250 
Net repayment of factoring 
 arrangement                           (257,295)                        - 
Payments for debt issuance 
 costs                                        -                      (656) 
Distribution of dividends              (834,566)                        - 
Capital contribution from 
 non-controlling 
 shareholder                             67,195                         - 
Net cash flows used in 
 financing activities                (1,529,441)                 (432,051) 
 
Effect of exchange rate 
 changes                                (68,730)                 (306,239) 
 
Net change in cash and 
 cash equivalents                       219,638                (4,977,761) 
 
Cash and cash equivalents 
 - beginning of the 
 period                               1,012,479                 7,177,326 
 
Cash and cash equivalents 
 - end of the period        $         1,232,117       $         2,199,565 
                             ==================          ================ 
 
Supplemental cash flow 
disclosures: 
Interest paid               $           104,880       $            59,290 
                             ==================          ================ 
Income taxes paid           $           201,035       $            91,657 
                             ==================          ================ 
 
Non-cash investing and 
financing transactions 
Operating lease 
 right-of-use assets 
 obtained in exchange for 
 operating lease 
 liabilities                $           125,735       $           317,040 
                             ==================          ================ 
Finance lease right-of-use 
 assets obtained in 
 exchange for finance 
 lease liabilities          $                 -       $            93,117 
                             ==================          ================ 
Remeasurement of operating 
 lease liabilities and 
 right-of-use assets due 
 to lease modification      $                 -       $            12,579 
                             ==================          ================ 
Insurance premium 
 financing                  $           172,689       $           389,035 
                             ==================          ================ 
Liabilities assumed in 
 connection with purchase 
 of property and 
 equipment                  $                 -       $             9,602 
                             ==================          ================ 
Common shares issued for 
 acquisition of 
 subsidiary                 $                 -       $         3,150,000 
                             ==================          ================ 
Warrants converted to 
 marketable securities      $         6,443,276       $         1,257,868 
                             ==================          ================ 
 
 

(END) Dow Jones Newswires

November 14, 2024 08:30 ET (13:30 GMT)