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RELATED PARTY TRANSACTIONS
12 Months Ended
Dec. 31, 2011
Notes to Financial Statements  
NOTE 7 - RELATED PARTY TRANSACTIONS

Related party receivables

 

The Company owned no outstanding related party receivables at December 31, 2010.  During the fiscal year ended December 31, 2011 the Company loaned $228,980 to related parties in the form of amounts due from related parties but not collected during the period.

 

Related party payables

 

The Company owed $392 in related party payables at December 31, 2010.  During the fiscal year ended December 31, 2011 the Company borrowed an additional $27,000 in cash from related parties, and $5,000 in operating expenses were paid on behalf of the Company by a related party.  The Company also executed $500,000 in additional notes payable to finance the acquisitions of businesses.  The Company repaid $105,380 of notes payable and transferred $142 to accrued liabilities leaving $426,870 in related party payables and accrued interest of $3,740 at December 31, 2011.  The components of related party payables are summarized in the table below:

 

    December 31,  
    2011     2010  
Note payable to a related party, bearing interest at 8%, unsecured, due on demand   $ -     $ 392  
Note payable to related parties, bearing interest at 5.25%, secured by the common stock of the Company, due on October 31, 2012     426,870       -  
                 
Total   $ 426,870     $ 392