Vinco Ventures, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Variable Interest Entities (Tables)

Variable Interest Entities (Tables)

9 Months Ended

Sep. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Assets and Liabilities of Variable Interest Entities

The following table presents the carrying values of the assets and liabilities of entities that are VIEs and consolidated by the Company as of September 30, 2022 and December 31, 2021:

	September 30, 2022		December 31, 2021

Assets
Current assets:
Cash and cash equivalents	$	1,799,152	$	1,856,017
Accounts receivable, net		-		-
Prepaid expenses and other current assets		1,860,867		2,388,893
Due from related party, current		-		15,997,803
Loan held-for-investment, related parties, current, net of allowance for loan losses of $7,701,250 and $0, respectively		-		-
Total current assets		3,660,019		20,242,713
Due from related party, non-current, net of allowance for losses of $15,100,584 and $0, respectively		25,001		-
Loan interest receivable, non-current, net of allowance for loan losses of $335,673 and $0, respectively		38,260		-
Loan held-for-investment		750,000		3,100,000
Loan held-for-investment, related parties		-		11,500,000
Investment in subsidiary		110,509,500		-
Total other assets		111,322,761		14,600,000
Property and equipment, net		399,798		147,519
Intangible assets, net		2,970,427		28,150,048
Goodwill		40,124,491		116,188,021
Cost method Investments		1,000,000		1,000,000
Right of use assets, net		45,000		-
Total assets	$	159,522,496	$	180,328,301

Liabilities and stockholders’ equity
Current liabilities:
Accounts payable	$	1,910,250	$	686,674
Accrued expenses and other current liabilities		2,523,283		1,672,492
Operating lease liabilities		44,131		-
Total current liabilities		4,477,663		2,359,166
Intercompany		65,966,770		-
Notes payable		6,000,000		2,650,000
Due to related party		-		315,666
Total liabilities	$	76,444,433	$	5,324,832

Schedule of Operations of Variable Interest Entities

The following table presents the operations of entities that are VIEs and consolidated by the Company as of September 30, 2022 and 2021:

	2022			2021			2022			2021
	For the Three Months						For the Nine Months
	Ended September 30,						Ended September 30,
	2022			2021			2022			2021
Revenues, net	$	-		$	-		$	-		$	307,339
Cost of revenues		-			-			-			93,685
Gross Profit		-			-			-			213,654

Operating expenses:
Selling, general and administrative		105,639,946			11,761,747			138,747,755			11,866,488
Operating (Loss) income		(105,639,946	)		(11,761,747	)		(138,747,755	)		(11,652,834	)

Other (Expense) Income
Interest expense		(29,669	)		(155,476	)		(42,784	)		(163,236	)
Other income		175,529			98,333			527,493			98,353
Loan loss expense		(8,036,923	)		-			(8,036,923	)		-
Total Other Expense		7,891,063			57,123			7,552,214			64,883
Loss Before Income Taxes		(113,531,009	)		(11,818,870	)		(146,299,968	)		(11,717,717	)
Income tax expense		-			-			-			-
Net (Loss) Income	$	(113,531,009	)	$	(11,818,870	)	$	(146,299,968	)	$	(11,717,717	)

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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