XML 26 R16.htm IDEA: XBRL DOCUMENT

LINES OF CREDIT

9 Months Ended

Sep. 30, 2023

NOTE 10 – LINES OF CREDIT

A summary of the Company’s lines of credit as of September 30, 2023 and December 31, 2022 is presented below:

	September 30, 2023		December 31, 2022
National	$	3,581,257	$	3,103,605
Alpha		1,080,454		991,492
Pancreta		273,382		1,232,128
EGF		419,659		431,512
Ending balance	$	5,354,752	$	5,758,737

The Company has three lines of credit with the National Bank of Greece, which are renewed annually. The three lines have interest rates of 6.00% (the "National Bank LOC"), 3.6% (the "COSME 2 Facility"), and 3.6% plus the six-month Euribor rate and any contributions currently in force by law on certain lines of credit (the "COSME 1 Facility").

The maximum borrowing allowed for the National Bank LOC was $3,148,740 and $3,182,655 as of September 30, 2023 and December 31, 2022, respectively. The outstanding balance of the facility was $2,631,645 and $2,118,952, as of September 30, 2023 and December 31, 2022, respectively.

The cumulative maximum borrowing allowed for the COSME 1 Facility and COSME 2 Facility (collectively, the "Facilities") was $1,058,400 and $1,069,800 as of September 30, 2023 and December 31, 2022, respectively. The outstanding balance of the Facilities was $957,335 and $984,653 as of September 30, 2023 and December 31, 2022, respectively.

The Company maintains a line of credit with Alpha Bank of Greece ("Alpha LOC"), which is renewed annually and has a current interest rate of 6.00%. The maximum borrowing allowed was $1,058,400 and $1,069,800 as of September 30, 2023 and December 31, 2022, respectively. The outstanding balance of the Alpha LOC was $1,080,454 and $991,429, as of September 30, 2023 and December 31, 2022, respectively.

The Company holds a line of credit with Pancreta Bank ("Pancreta LOC"), which is renewed annually and has a current interest rate of 4.10%. The maximum borrowing allowed as of September 30, 2023 and December 31, 2022 was $1,471,176 and $1,487,022, respectively. The outstanding balance of the Pancreta LOC as of September 30, 2023 and December 31, 2022 was $273,382 and $1,232,128, respectively.

The Company maintains a line of credit with EGF ("EGF LOC"), which is renewed annually and has a current interest rate of 4.49%. The maximum borrowing allowed as of September 30, 2023 and December 31, 2022 was $423,360 and $427,920, respectively. The outstanding balance of the EGF LOC as of September 30, 2023 and December 31, 2022 was $419,659 and $431,512, respectively.

Under the aforementioned line of credit agreements, the Company is required to maintain certain financial ratios and covenants. As of September 30, 2023 and December 31, 2022, the Company was in compliance with these ratios and covenants.

All lines of credit are guaranteed by customer receivable checks, which are a type of factoring in which postponed customer checks are assigned by the Company to the bank, in order to be financed at an agreed upon rate.

Interest expense on the Company's outstanding lines of credit balances was $204,654 and $136,222 for the nine month periods ended September 30, 2023 and 2022, respectively, and $37,536 and $2,436 for the three month periods ended September 30, 2023 and 2022, respectively.