Related Party Transactions

6 Months Ended

Apr. 30, 2021

Related Party Transactions [Abstract]

Related Party Transactions

NOTE 10 - RELATED PARTY TRANSACTIONS:

The Company has engaged its 40% partner in GCC as an outside contractor (the “Partner”). Included in contract labor expense are expenses incurred from the Partner during the three and six months ended April 30, 2021 of $88,032 and $162,725, respectively and $94,429 and $197,200, respectively for the three and six months ended April 30, 2020, for the processing of finished goods. These amounts are reflected in cost of sales in the statement of operations.

An employee of one of the top five vendors is a director of the Company. Purchases from that vendor totaled approximately $0 and $734,000 for the three and six months ended April 30, 2021 and 2020, respectively and $1,672,000 and $3,005,000 for the three and six months ended April 30, 2020, respectively. These amounts are reflected in cost of sales in the statement of operations. The corresponding accounts payable balance to this vendor was $0 at April 30, 2021 and October 31, 2020.

In January 2005, the Company established the “Coffee Holding Co., Inc. Non-Qualified Deferred Compensation Plan.” Currently, there is only one participant in the plan: the Company’s Chief Executive Officer. Within the plan guidelines, this employee is deferring a portion of his current salary and bonus. The assets are held in a separate trust. The deferred compensation payable represents the liability due to an officer of the Company. The assets are included in the Deposits and other assets in the accompanying balance sheets. The deferred compensation asset and liability at April 30, 2021 and October 31, 2020 were $307,476 and $276,548, respectively.