Note 9 - Subordinated Debt - Related Parties

12 Months Ended

Dec. 31, 2017

Subordinated Borrowings Disclosure [Text Block]

9 .	Subordinated Debt – Related Parties

September 30, 2016,

John H. Schwan advanced to the Company the sum of

$530,000

and Mr. Stephen M. Merrick advanced the Company the sum of

$370,000

to provide short-term working capital to the Company to fund the Company

’s obligation to purchase and produce inventory for a substantial order for vacuum sealing systems to be delivered in

November 2016.

In consideration of such advances, the Company issued Promissory Notes to Mr. Schwan and Mr. Merrick. The principal balance of these note were paid in

December 2016

and

January 2017.

As of

December 2017,

Mr. Schwan was owed a total of

$1,099,091,

with additional accrued interest of

$399,731,

by the Company. As part of the

December 2017

financing with PNC, Mr. Schwan executed a subordination agreement related to these amounts due him, as evidenced by a related note

representing the amount owed to Mr. Schwan.