XML 26 R15.htm IDEA: XBRL DOCUMENT v3.5.0.2
9. RELATED PARTY TRANSACTIONS
6 Months Ended
Jun. 30, 2016
Related Party Transactions [Abstract]  
NOTE 9. RELATED PARTY TRANSACTIONS

As of June 30, 2016 and December 31, 2015, the Company had accounts receivable balances from three entities under common control and owned by an employee of $123,786 and $210,686, respectively. For the periods ended June 30, 2016 and 2015, there were sales made to these three entities in the amounts of $3,386 and $249,676, respectively. The individual was a consultant for TOMI in 2015 and became an employee in 2016.

 

In January, 2016, the Company entered into a distributor agreement with TOMI Asia to facilitate growth in the Asian region, specifically including China and Indochina, and excluding South Korea, Australia and New Zealand. Wee Ah Kee, a principal stockholder of TOMI, is the Chief Executive Officer of TOMI Asia. The agreement was amended in June of 2016. The new agreement is for an initial two-year term and sets revenue targets of $5.5 million and $8.5 million of TOMI's products during 2016 and 2017, respectively. No sales were made under the agreement for the six months ended June 30, 2016.