RELATED PARTY TRANSACTIONS

12 Months Ended

Dec. 31, 2016

(15) RELATED PARTY TRANSACTIONS

The Company employs Mr. Martin Sandgaard and Mr. Joachim Sandgaard, both sons of Thomas Sandgaard. Compensation for 2016 and 2015 totaled $154 and $75, respectively. To meet Mr. Sandgaard’s obligation to his former wife under a settlement agreement, the Company, during the fourth quarter of 2015, entered into 3 year employment arrangement totaling $100,000 per year with Mr. Joachim Sandgaard.

The related party payable primarily consisted of advances made to the Company and inventory purchases made on behalf of the Company. During the year ended December 31, 2016, Thomas Sandgaard and an employee advanced the Company and purchased inventory totaling $192 and $148, respectively. During the year ended December 31, 2016, the Company reimbursed Thomas Sandgaard and an employee on advances and purchases totaling $171 and $59, respectively

Accrued liabilities as of December 31, 2016 and 2015 include a net payable to Thomas Sandgaard of $75 and $23 respectively, and $112 payable to an employee as of December 31, 2016.