NOTE J – BUSINESS CONCENTRATION

For the three months ended March 31, 2021, two customers represented approximately 25% of total net revenues. For the three months ended March 31, 2020, two customers represented approximately 23% of total net revenues.

As of March 31, 2021, three customers accounted for approximately 52% of the Company’s net accounts receivable. As of December 31, 2020, one customer represented 21% of the Company’s net accounts receivable.

Purchases from one supplier approximated $62,000, or 63%, of total purchases for the three months ended March 31, 2021 and approximately $385,000, or 84%, of total purchases for the three months ended March 31, 2020. The amount due to this supplier, net of deposits paid, was approximately $164,000 and $470,000 as of March 31, 2021 and December 31, 2020, respectively.