Concentrations and Credit Risk

12 Months Ended

Dec. 31, 2014

Concentrations and Credit Risk [Text Block]

Note 10 –Concentrations and Credit Risk

Credit Risk Arising from Financial Instruments

Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash and cash equivalents.

As of December 31, 2014, substantially all of the Company’s cash and cash equivalents were held in major financial institutions located in the PRC, none of which are insured. However, the Company has not experienced any losses on these accounts and management believes that the Company is not exposed to significant risks on such accounts.

Customers and Credit Concentrations

Customer concentrations and credit concentrations are as follows:

	Net Sales
	for the reporting period ended
	December 31,	December 31,
	2014	2013
Customer A	12.7%	48.4%
Customer B	14.2%	-%
Customer C	14.6%	-%
Customer D	-%	12.2%
Customer E	1.4%	-%
	42.9%	40.6%

	Accounts Receivable at
	December 31,	December 31,
	2014	2013
Customer A	79.5%	-%
Customer E	20.5%	-%
	100.0%	-%

A reduction in sales from or loss of such customers would have a material adverse effect on the Company’s results of operations and financial condition.