RELATED PARTIES

12 Months Ended

Dec. 31, 2015

Related Parties

Note 5. RELATED PARTIES

The following table summarizes amounts due to related parties at December 31, 2015 and 2014:

	December 31, 2015		December 31, 2014
Purchase of business unit	$	159,790	$	171,576
Computer hosting services		60,122		43,579
Office rent		967,839		1,005,367
Other		17,276		17,276
Loan		894,952		850,112
Lead generation services		1,282,300		1,160,754
Due to Management		6,054,644		5,149,496
	$	9,436,923	$	8,398,160

The Company has a loan agreement with Bravenet Web Services, Inc. ("Bravenet"). The President and Chief Executive Officer of QuoteMedia, Ltd., a wholly owned subsidiary, is a control person of Bravenet. At December 31, 2015, the loan balance due to Bravenet including accrued interest at 10% is $894,952.

On September 29, 2006, QuoteMedia, Ltd. purchased the Bravenet business unit that was responsible for providing the Company customer promotion and lead generation services. The $110,000 purchase price due to Bravenet has been accrued in amounts due to related parties and remains unpaid as of December 31, 2015. At December 31, 2015, the balance due to Bravenet for the unpaid purchase price is $159,790 which includes interest accrued at 10%.

Bravenet provides computer hosting and maintenance services to the Company for approximately $6,250 per month. At December 31, 2015, the balance due to Bravenet for unpaid computer hosting and maintenance services is $60,122. This amount includes interest accrued at 10%.

The Company leases office space from Harrison Avenue Holdings Ltd. ("Harrison") for approximately $6,500 per month. The President and Chief Executive Officer of QuoteMedia, Ltd., a wholly owned subsidiary, is a control person of Harrison. At December 31, 2015, all amounts due to Harrison related to the leased office space have been accrued in amounts due to related parties. As of December 31, 2015, the balance due to Harrison for unpaid office rent is $967,839. This amount includes interest accrued at 10%.

From January 1, 2005 to November 30, 2006, Bravenet provided the Company customer promotion and lead generation services. At December 31, 2015, all amounts due to Bravenet for customer promotion and lead generation services have been accrued in amounts due to related parties and total $1,282,300 including accrued interest at 10% per annum.

At December 31, 2015, the Company owed $6,054,644 to officers of the Company for accrued salary and other amounts advanced to the Company.

As a matter of policy all related party transactions are subject to review and approval by the Company's Board of Directors. All amounts due to related parties have been classified as non-current liabilities as we do not expect to repay amounts due to related parties within a year of the December 31, 2015 balance sheet date. All repayments of amounts due to related parties must be approved by our Board of Directors. Repayments are subject to our company having sufficient cash on hand and are intended not to impair continuing business operations. Our related party creditors have agreed to these repayment terms.