Notes Payable and Long Term Loan
|6 Months Ended|
Jun. 30, 2018
|Debt Disclosure [Abstract]|
|Notes Payable and Long Term Loan||
Note 5 - Notes Payable and Long Term Loan
During the six months ended June 30, 2018, the Company issued two Convertible Notes (“Variable Notes”) totaling $367,370 for funding of $325,000 with an original terms of one year with interest rates of 10%, and a variable conversion rates with discounts of 35% of the Company’s common stock based on the terms included in the Variable Note. The Variable Notes contains a prepayment option, which enables the Company to prepay the note subsequent to issuance at a premiums of 135%. The Company also issued two Fixed Rate Notes (“Fixed Rate Notes”) totaling $583,000 for funding of $500,000 with an original term of six months and an interest rate of 12%.
The gross amount of all convertible notes with variable conversion rates outstanding at June 30, 2018 is $4,116,120, of which $1,528,750 are past maturity.
Notes payable to a related party in the aggregate amount of $270,000 were outstanding at June 30, 2018.
As of June 30, 2018, other notes payable outstanding totaled $3,102,903, of which $919,903 are past maturity.
The maturity dates on the notes payable are as follows:
The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef