Note 2 - Note Receivable

12 Months Ended

Dec. 31, 2016

Notes to Financial Statements

Loans, Notes, Trade and Other Receivables Disclosure [Text Block]

Note

2.

Note Receivable

On

February

2,

2016,

the Company entered into a loan and security agreement with

C2Go,

Inc., a Nevada corporation, pursuant to which the Company agreed to loan a principal amount of

$200,000

to

C2Go

with an interest rate of

10%

per annum for a term of

18

months.

C2Go’s

obligations under the loan and security agreement are secured by a

first

lien on all assets of

C2Go.

The debt is senior, and any future debt incurred by

C2Go

must be subordinated to the debt of the loan and security agreement.

Upon maturity of the debt,

C2Go

is required to issue to the Company

5%

of the issued and outstanding shares of common stock of

C2Go

as of the date of issuance, on a fully diluted basis, giving effect to any convertible securities, warrants, etc., such shares being validly issued, fully-paid and non-assessable shares for no additional consideration.

Upon an event of default the interest rate under the loan and security agreement will rise to

18%

per annum. As of

December

31,

2016,

the Company has

not

recorded an allowance for credit losses on this note receivable.