v3.19.1
NOTE 6 -NOTES PAYABLE
12 Months Ended
Dec. 31, 2018
Debt Disclosure [Abstract]  
Debt Disclosure [Text Block]

NOTE 6 –NOTES PAYABLE


On September 27, 2018, the Company issued a promissory note convertible into equity, with gross proceeds of $53,000 (the “September 27 Note”). The September 27 Note shall bear interest at a rate of 10% per annum until the same becomes due and payable, whether pursuant to the one-year term or upon acceleration or prepayment. The note holder may elect to convert the September 27th Note at any time from 180 days from the date of issuance at a variable price of per share equal to 65% of the average of the 3 lowest trading prices in the 10 days prior to such conversion.


As of December 31, 2018, the principal balance of the September 27 Note was $53,000, and accrued interest on the Convertible Note was $1,394. During the period ended December 31, 2018, the Company recognized $1,394 in interest expense related to the September 27 Note.


On November 26, 2018, the Company issued a promissory note convertible into equity, with gross proceeds of $200,000 (the “November 26 Note”). The November 26 Note shall bear interest at a rate of 12% per annum until the same becomes due and payable, whether pursuant to the one-year term or upon acceleration or prepayment. The note holder may elect to convert the November 26th Note at any time from 180 days from the date of issuance at a fixed price of per share equal to $4.50.


As of December 31, 2018, the principal balance of the November 26 Note was $200,000, and accrued interest on the Convertible Note was $2,367. During the period ended December 31, 2018, the Company recognized $2,367 in interest expense related to the Convertible Note.


On December 13, 2018, the Company issued a promissory note convertible into equity, with gross proceeds of $83,000 (the “December 13 Note”). The December 13 Note shall bear interest at a rate of 10% per annum until the same becomes due and payable, whether pursuant to the one-year term or upon acceleration or prepayment. The note holder may elect to convert the December 13th Note at any time from 180 days from the date of issuance at a variable price of per share equal to 65% of the average of the 3 lowest trading prices in the 10 days prior to such conversion.


As of December 31, 2018, the principal balance of the December 13 Note was $83,000, and accrued interest on the Convertible Note was $432. During the period ended December 31, 2018, the Company recognized $432 in interest expense related to the Convertible Note.


On December 17, 2018, the Company issued a promissory note convertible into equity, with gross proceeds of $150,000 (the “December 17 Note”). The December 17 Note shall bear interest at a rate of 12% per annum until the same becomes due and payable, whether pursuant to the one-year term or upon acceleration or prepayment. The note holder may elect to convert the December 17th Note at any time from 180 days from the date of issuance at a variable price of per share equal to 50% of the closing price of the stock on the day of such conversion.


As of December 31, 2018, the principal balance of the December 17 Note was $150,000, and accrued interest on the Convertible Note was $740. During the period ended December 31, 2018, the Company recognized $740 in interest expense related to the Convertible Notes.