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Related Party Short Term Notes Payable
 6 Months Ended
Jun. 30, 2016
Related Party Transactions [Abstract]  
Related Party Short Term Notes Payable

NOTE 5 — Related Party Short Term Notes Payable

 

On May 15, 2014, the Company’s Board of Directors approved the issue of subordinated notes totaling $650,000 to replace subordinated line of credit notes in the same amount maturing on June 1, 2014. The replacement subordinated notes are two-year notes maturing on June 1, 2016, are repayable by the Company at any time and have an interest rate of 18% per annum payable monthly in cash. Notes payable of $500,000 were outstanding at December 31, 2015. On January 29, 2016, the Company completed repayment of all outstanding credit line notes to the note holders. Interest expense for 2016 related to the line of credit was $7,645. Interest expense for the three and six month periods ended June 30, 2015 related to the line of credit were $26,926 and $53,556, respectively.