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Lines of Credit - Related Party
12 Months Ended
Jan. 31, 2019
Debt Disclosure [Abstract]  
Lines of Credit - Related Party

12. LINES OF CREDIT – RELATED PARTY

 

On December 1, 2014, the Trust entered into a $1,000,000 net maximum Demand/Revolving Line of Credit/Promissory Note with Rare Earth Financial, LLC, an entity which is wholly owned by Mr. Wirth and his family members. The Demand/Revolving Line of Credit/Promissory Note, as amended on June 19, 2017, bears interest at 7.0% per annum for both a payable and receivable, is interest only quarterly and matures on June 30, 2019. No prepayment penalty exists on the Demand/Revolving Line of Credit/Promissory Note. The balance fluctuates significantly through the period. The Demand/Revolving Line of Credit/Promissory Note has a net maximum borrowing/lending capacity of $1,000,000. As of January 31, 2019 and January 31, 2018, the Trust had a an amount receivable of approximately $632,000, including accrued interest and $811,000, respectively. During the twelve months period ended January 31, 2019, the Trust advanced approximately $1,391,000, received approximately $1,569,000 in repayments and accrued approximately $102,000 of interest income.