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RELATED PARTY TRANSACTIONS	3 Months Ended
Sep. 30, 2013
Notes
RELATED PARTY TRANSACTIONS	NOTE 8 - RELATED PARTY TRANSACTIONS *Sales to Related Party Distributor* The Company is engaged with a distributor that is wholly-owned by the Company’s CEO (the “Distributor”). The Distributor is responsible for shipping out product samples, transferring small quantities of product to local distributors at the request of the Company, sales of product to local retailers or small wholesalers and for the fulfillment of online sales orders. The Company may withdraw cases of product from the Distributor at the Company’s will for Company use, for which the Company will provide the Distributor with a credit memo based on a per-case price equal to the price paid by the Distributor to the Company. The Distributor pays the Company on a per case basis which is consistent with terms between the Company and third party distributors. Since the Company uses a substantial amount of the Distributor’s inventory as samples and promotions, the Company offers the Distributor credit terms of “on consignment.” During the nine months ended September 30, 2013 and 2012 the Company recognized revenue from product sales to the Distributor of $9,054 and $8,500 respectively, which represented 3% and 2%, respectively, of total product revenue recognized by the Company. At September 30, 2013 and December 31, 2012, accounts receivable from the Distributor was $10,853 and $6,329, respectively. *Shipping Reimbursements from Related Party* At September 30, 2013 and December 31, 2012, the Company had outstanding accounts receivable of $0 and $2,603, respectively, from a company owned by the CEO’s wife. These receivables represent shipping reimbursements erroneously billed by logistics and shipping companies. The Company paid these invoices and then in turn generated invoices to the company owned by the CEO’s wife for reimbursement. *Advances to Related Party* During, 2011, the Company advanced $49,484 to a company owned by the CEO’s wife. As of September 30, 2013 and December 31, 2012, that Company had repaid $40,152 of these advances resulting in outstanding advances due of $9,332 as of these dates.

RELATED PARTY TRANSACTIONS

3 Months Ended

Sep. 30, 2013

NOTE 8 - RELATED PARTY TRANSACTIONS

Sales to Related Party Distributor

The Company is engaged with a distributor that is wholly-owned by the Company’s CEO (the “Distributor”). The Distributor is responsible for shipping out product samples, transferring small quantities of product to local distributors at the request of the Company, sales of product to local retailers or small wholesalers and for the fulfillment of online sales orders. The Company may withdraw cases of product from the Distributor at the Company’s will for Company use, for which the Company will provide the Distributor with a credit memo based on a per-case price equal to the price paid by the Distributor to the Company.

The Distributor pays the Company on a per case basis which is consistent with terms between the Company and third party distributors. Since the Company uses a substantial amount of the Distributor’s inventory as samples and promotions, the Company offers the Distributor credit terms of “on consignment.” During the nine months ended September 30, 2013 and 2012 the Company recognized revenue from product sales to the Distributor of $9,054 and $8,500 respectively, which represented 3% and 2%, respectively, of total product revenue recognized by the Company. At September 30, 2013 and December 31, 2012, accounts receivable from the Distributor was $10,853 and $6,329, respectively.

Shipping Reimbursements from Related Party

At September 30, 2013 and December 31, 2012, the Company had outstanding accounts receivable of $0 and $2,603, respectively, from a company owned by the CEO’s wife. These receivables represent shipping reimbursements erroneously billed by logistics and shipping companies. The Company paid these invoices and then in turn generated invoices to the company owned by the CEO’s wife for reimbursement.

Advances to Related Party

During, 2011, the Company advanced $49,484 to a company owned by the CEO’s wife. As of September 30, 2013 and December 31, 2012, that Company had repaid $40,152 of these advances resulting in outstanding advances due of $9,332 as of these dates.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

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