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Notes Receivable
12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Notes Receivable

Note 10. Notes Receivable

 

Notes receivable are carried at the receivable amount less an estimated reserve for troubled accounts. Management determines the reserve for troubled accounts by analyzing notes receivable for non-performance, including the payment history of the notes receivable.

 

In December 2021 we sold such 3,309,578 shares of marketable securities in a private transaction for a purchase price of $860,491, reflecting the market price as of such time. Such purchase price was paid in the form of $10,000 cash delivered at signing and a note issued in favor of Vivakor in the amount of $850,491 accruing interest at 3% per annum, with payments due quarterly over a five year term. As of December 31, 2023 and 2022 we have reserved against the full balance of the note in the amount of $828,263.

 

In April 2022 and October 2021, we entered into two two-year master revolving notes with VWF. The notes have interest rates of 5% and 3% per annum, with payment in full due at maturity. As of the date of this report, the October 2021 note with principal and accrued interest of $31,128 has matured, but has not yet been paid. On October 1, 2023, we deconsolidated Viva Wealth Fund I, LLC (VWFI). The assets, liabilities, and equity related to VWFI were removed from our financial statements (Note 3 Principles of Consolidation), resulting in the gain on deconsolidation. These notes with VWFI were previously eliminated upon consolidation.