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11. Related Party Balances and Transactions
 6 Months Ended
Jun. 30, 2020
Related Party Transactions [Abstract]  
Related Party Balances and Transactions

Note 11      RELATED PARTY BALANCES AND TRANSACTIONS

 

Due to related parties

 

The balance due to related parties was as following:

    June 30,
2020		     December 31,
2019		  
    $     $  
Mr. Zhang Bi (1)     373,326       399,091  
Mr. Yin-Chieh Cheng (2)     1,002       –  
Mountain Share Transfer, LLC (3)     7,681       6,681  
Total     382,009       405,772  

 

 Due from a related party

 

The balance due from a related party was as following:

    June 30,
2020		     December 31,
2019		  
    $     $  
Mr. Yin-Chieh Cheng (2)     –       683,521  
                 
Total     –       683,521  

 

Note:

 

(1) Mr. Zhang Bi is the chief executive officer of GZ WFH, and he holds 38.5% shares of the Company. The balance represented the amount paid by Mr. Zhang on behalf of the Company for purchase of the raw materials and for other daily operation.

 

(2) Mr. Yin-Chieh Cheng (“Mr. Cheng”) is the chairman the Company, and he holds 42.5% shares of the Company. The balance due to Mr. Cheng as of March 31, 2020 mainly represented the amount paid by Mr. Cheng on behalf of the Company. In September 2019, Mr. Cheng took over the receivable amount of the concert the Company invested in November 2018, and assumed the liability of $551,457 related to such receivable to the Company. In September 2019, Mr. Cheng collected the payment of $1,000,000 from JCD, our exclusive sales agent in Asia Pacific, on behalf of the Company. As agreed between Mr. Cheng and the Company, the due from balance was netted off by due to balances.

 

(3) Mountain Share Transfer, LLC is company 100% controlled by Erik S. Nelson, the corporate secretary and director of the Company. The balances represented the amount paid on behalf of the Company for its daily operation purpose.

 

Related party transactions

 

The details of the related party transactions were as follows:

 

   

For three months ended

June 30,

    

 

For six months ended

June 30,

  
    2020     2019     2020     2019  
    $     $     $     $  
Paid on behalf of the Company                                
Mr. Zhang Bi (1)     –       29,005       3,455       203,167  
Mr. Yin-Chieh Cheng (1)     53,237       81,699       86,320       220,299  
Mountain Share Transfer , LLC (1)     –       –       7,000       –  
                                 
Repayment to related party                                
Mr. Yin-Chieh Cheng     –       –       665,000       –  

 

 

Note:

 

(1) The transactions represent the amount paid by Mr. Zhang Bi, Mr. Yin-Chieh Cheng and Mountain Share Transfer, LLC on behalf of the Company for its daily operation.