XML 43 R16.htm IDEA: XBRL DOCUMENT

RELATED PARTIES	12 Months Ended
Dec. 31, 2013
Related Party Transactions [Abstract]
RELATED PARTIES	NOTE 10: RELATED PARTIES Two consultants affiliated with each other through an LLC performed services for the Company. One of those consultants is a director of the Company. The LLC in which they are members received an equity interest in the Company in exchange for their services valued at $90,291. (See Note 8) Short-term loans were received from directors of the Company or corporations owned by directors of the Company totaling $160,000 as of December 31, 2013. (See Note 5) At December 31, 2013 and 2012 the line of credit payable to related party member was $250,000 and $220,029, respectively, and accrued interest was $81,851 and $30,314, respectively. (See Note 7) Rent expense of $6,000 was recognized at December 31, 2013 for contribution of office space by an officer of the Company. The Board of Directors valued the contribution based on rent for similar space in the local area. Two officers contributed their time valued at $120,000 each and another officer contributed time and consulting services valued at $49,962 for the year ended December 31, 2013. The Company recognized a total of $289,962 in contributed service expense, and $6,000 in contributed office space for the year ended December 31, 2013. The Board of Directors valued the contributions based on prevailing rates for similar services in the local area and believes the estimate is reasonable.

RELATED PARTIES

12 Months Ended

Dec. 31, 2013

NOTE 10: RELATED PARTIES

Two consultants affiliated with each other through an LLC performed services for the Company. One of those consultants is a director of the Company. The LLC in which they are members received an equity interest in the Company in exchange for their services valued at $90,291. (See Note 8)

Short-term loans were received from directors of the Company or corporations owned by directors of the Company totaling $160,000 as of December 31, 2013. (See Note 5)

At December 31, 2013 and 2012 the line of credit payable to related party member was $250,000 and $220,029, respectively, and accrued interest was $81,851 and $30,314, respectively. (See Note 7)

Rent expense of $6,000 was recognized at December 31, 2013 for contribution of office space by an officer of the Company. The Board of Directors valued the contribution based on rent for similar space in the local area. Two officers contributed their time valued at $120,000 each and another officer contributed time and consulting services valued at $49,962 for the year ended December 31, 2013. The Company recognized a total of $289,962 in contributed service expense, and $6,000 in contributed office space for the year ended December 31, 2013. The Board of Directors valued the contributions based on prevailing rates for similar services in the local area and believes the estimate is reasonable.

- 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.

+ References+ Details