| PREPAID EXPENSES AND OTHER CURRENT ASSETS |
7. PREPAID EXPENSES AND OTHER CURRENT ASSETS
As of December 31, 2024 and 2023, prepaid expenses and other current assets
consisted of the following:
SCHEDULE
OF PREPAID EXPENSES AND OTHER CURRENT ASSETS
| | |
December 31, 2024 | | |
December 31, 2023 | |
| | |
As of | |
| | |
December 31, 2024 | | |
December 31, 2023 | |
| Prepayment to vendors | |
$ | 7,079,049 | | |
$ | 5,784,530 | |
| Deferred IPO Costs(1) | |
| - | | |
| 1,282,570 | |
| Advances to employees(2) | |
| 26,903 | | |
| 29,380 | |
| Others(3) | |
| 583,471 | | |
| 210,998 | |
| Prepaid expenses and other current assets | |
$ | 7,689,423 | | |
$ | 7,307,478 | |
| (1) |
The balance represented the incremental costs incurred
for the Company’s initial public offering (“IPO”), which was deducted from the proceeds of the IPO at the completion
of the IPO.
|
| (2) |
The balance represented advances that the Company’s
subsidiaries have advanced to non-director/officer employees. The advance is interest-free.
|
| (3) |
The balance primarily represented a development service fee of $237,465 and $ 3,727, and a deposit of $101,317 and $35,568, as of December 31, 2024 and 2023, respectively. |
|