v3.26.3
Prepaid Expenses and Other Assets
 6 Months Ended
Jun. 30, 2026
Prepaid Expenses and Other Assets [Abstract]  
Prepaid expenses and other assets

Note 4. Prepaid expenses and other assets

 

At June 30, 2026 and December 31, 2025, prepayment and other current assets consisted of the following:

 

    June 30,     December 31,  
    2026     2025  
Prepayment   $ 3,881,430     $ 1,628,234  
Advance to suppliers     3,520,367       3,356,379  
Deposits     1,081,695       1,265,338  
Other receivables     1,497,193       770,348  
Provision for expected credit loss     (1,513,013 )     (1,619,003 )
Exchange rate difference     -       -  
    $ 8,467,672     $ 5,401,296  

 

    June 30,     December 31,  
    2026     2025  
Allowance for expected credit losses            
Beginning     1,619,003       150,000  
Provision for expected credit losses     -       1,542,600  
Reversal of expected credit losses     -       (55,515 )
Exchange rate difference     (105,990 )     (18,082 )
Ending   $ 1,513,013     $ 1,619,003  

 

The prepayment includes payments of IT services, advertisement expenses, insurance premiums, rental expenses, travel package costs, consultancy fees and professional fees. The deposits are mainly related to refundable deposits paid for business acquisitions, equipment, office and warehouse security deposit.