Short-term Loan

12 Months Ended

Dec. 31, 2019

Short-term Debt [Abstract]

Short-term Loan

11. Short-term Loan

On October 24, 2019 we entered into a Business Loan Agreement with Kabbage® pursuant to which we borrowed $43,100 under the terms of a one year secured loan.  The terms of the loan provided for a loan fee of $7,111.50 which results in an effective annual interest rate of 26.56%.  We utilized these proceeds for working capital. We granted Kabbage® a security interest in our assets as collateral for this loan. The loan, which provides for monthly payments, may be prepaid by us at any time without penalty. The loan agreement includes customary events of default, as well as a cross default against any other loan and/or security agreement to which we are a party or if a judgment is entered against us in excess of $250, subject to a 30 day cure period. This loan has been personally guaranteed by Mr. Edward S. Vittoria, our Chief Executive Officer. As of December 31, 2019 the Company had a balance owed of $39,508. Interest expense for the year ended December 31, 2019 amounted to $1,291. On March 12, 2020 the loan was repaid in full. (Refer to Note 19)