The Company's notes payable obligations to unrelated parties are as follows as of December 31, 2016 and 2015:


		2016		2015
Note payable to an individual in which the note accrues interest on the original principal balance at a rate of 8% interest annually and is due on demand.	$	20,000	$	20,000

Note payable to an individual in which the note accrues interest on the original principal balance at a rate of 8% interest annually and is due on demand.		10,000		10,000

Note payable to an individual in which the note accrues interest on the original principal balance at a rate of 6.25% interest annually and is scheduled to mature in November 2017.		25,000		-

Note payable to an individual in which the note accrues interest on the original principal balance at a rate of 6.25% interest annually and is schedule to mature in December 2018.		25,000		-

Digital equipment note payable to a financial institution in which interest payable at 7% annually through December, 2016; secured by the digital equipment. The note payable was modified subsequent to December 31, 2016, see Mortgage and Digital Note Refinancing note below. The current maturities of the digital equipment note payable has been adjusted to reflect the loan modification.		242,450		361,295

Mortgage payable assumed in acquisition, less current portion; interest payable at 4.75% monthly payments of $34,435 through December 31, 2016. The mortgage payable is secured by the building and land as well as guarantees by related parties. The note payable was modified subsequent to December 31, 2016, see Mortgage and Digital Note Refinancing note below. The current maturities of the mortgage payable have been adjusted to reflect the loan modification.		4,373,001		4,373,000

Total Non-Related Party Notes Payable		4,695,451		4,764,295

Current Portion of Non-Related Party Notes Payable		110,688		4,507,921

Long-term Portion of Non-Related Party Notes Payable	$	4,584,763	$	256,374

Future minimum principal payments on the non-related party notes payable are as follows:

The Company's notes payable obligations to related parties are as follows as of December 31, 2016 and 2015:


		2016		2015
Note payable to a related party in which the note accrues interest on the original principal balance at a rate of 15% interest annually and is due on demand.	$	151,891	$	151,891

Notes payable to a related party in which the note accrues interest on the original principal balance at a rate of 12% interest annually and is due on demand. The note payable principal and interest at the election of the lender can be converted to restricted shares of common voting stock at $.04 per share.		50,000		50,000

Notes payable to a related party in which the note accrues interest on the original principal balance at a rate of 10% interest annually and is due on demand. The notes payable principal and interest at the election of the lenders can be converted to restricted shares of common voting stock at $.04 per share.		803,888		803,136

Notes payable to a related party in which the note accrues interest on the original principal balance at a rate of 8% interest annually and is due on demand.		76,626		76,626

Note payable to a related party in which the note accrues interest on the original principal balance at a rate of 6.25% interest annually and is scheduled to mature in October 2017.		25,000		-

Various notes payable to a related party in which the note accrues interest on the original principal balance at a rate of 10% interest annually through December 31, 2016 at which time the interest rate is reduced to 6.25% interest annually. The notes are scheduled to mature at various date from January 2017 through December 2018		118,927		-

Total Related Party Notes Payable		1,226,332		1,081,653

Current Portion of Related Party Notes Payable		1,159,390		1,081,653

Long-term Portion of Related Party Notes Payable	$	66,942	$	-

Future minimum principal payments on the related party notes payable are as follows:

On July 31, 2015, the Company entered into a change in terms agreement with the Company’s lender whereby the lender agreed to modify the payment schedule from a monthly fixed principal and interest payment in the amount of $34,435 to interest-only payments of $17,310 beginning with payment due date of June 15, 2015 thru November 15, 2015. The normal payment of principal and interest of $34,435 was to resume on December 15, 2015.

In late 2015, both the property mortgage loan and the equipment loan were transferred to another lender, Kirkland Financial. Due to the continued declined in net revenues, FullCircle Entertainment was unable to resume principle and interest payments as had been agreed with the previous lender. Interest-only payments were made in December, 2015 as well as January and February, 2016. Beginning in March, 2016, the Company was unable to make the interest-only payments on the property mortgage loan, but continued to pay the full principle and interest on the equipment loan.

Delinquent property mortgage loan payments continued to accrue until September, 2016. After Jon Findley was appointed as the Company’s CEO, filling the vacancy caused by the sudden passing of Norman Frohreich, Jon Findley and the Board of Directors made renegotiation of the Kirkland Financial property mortgage loan a high priority. To demonstrate good faith, interest-only payments were resumed in September, 2016 and Jon Findley began negotiations with Kirkland Financial in mid-October. Jon Findley requested that Kirkland Financial combine both the property mortgage loan and the equipment loan into a more affordable single monthly payment. Prior to the end of December, Kirkland Financial responded with a restructured loan agreement which reduced the combined property and equipment monthly payment from $46,094 to $15,223. The amended single loan obligation, which became effective subsequent to December 31, 2015 on January 15, 2017 currently calls for monthly payments of $15,223 at an interest rate of 2.5% with a final balloon payment due of $4,410,562 on July 15, 2020.