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RELATED PARTIES
12 Months Ended
Dec. 31, 2014
Related Party Transactions [Abstract]  
RELATED PARTIES

 

NOTE 10: RELATED PARTIES

 

Short-term loans were received from directors of the Company or corporations owned by directors of the Company totaling $160,000 during the year ended December 31, 2013. Short-term loans made to the Company by directors of the Company or corporations owned by them totaled $162,915 and $246,108 was repaid during the year ended December 31, 2014. (See Note 5). At December 31, 2014 and 2013, short-term loans related parties amounted to $76,807 and $160,000, respectively.

 

At December 31, 2014 and 2013, the line of credit payable to related party who is a substantial shareholder of the Company was $250,000 and $250,000, and accrued interest was $126,852 and $81,851, respectively (See Note 7).

 

During the year ended December 31, 2014, two officers of the Company contributed their time valued at $60,000 each and another officer contributed time and services valued at $18,506, totaling $138,506 in contributed service expense for the year ended December 31, 2014. Two officers contributed their time valued at $120,000 each and another officer contributed time and consulting services valued at $49,962, totaling $289,962 in contributed service expense for the year ended December 31, 2013. Rent expense of $3,000 and $6,000 was recognized for the years ended December 31, 2014 and 2013 for contribution of office space by an officer of the Company. The Board of Directors valued the contribution of rent and services based on the prevailing rates for similar rent and services in the local area and believes the estimates are reasonable.