Notes Payable - Convertible

9 Months Ended

Sep. 30, 2015

Notes Payable - Convertible

Notes Payable - Convertible

NOTE 6 – NOTES PAYABLE - CONVERTIBLE

On January 29, 2015, the Company entered into a  Promissory Note in the amount of $150,000  with an unrelated third party whereby the Company will pay interest in the amount of 10% annually and the note is due June 29, 2015. The proceeds were paid directly to the third party. The lender has the option to convert any remaining outstanding balance after the due date to preferred shares of the registrant at the price of $1.00 per share. As the conversion price is fixed the Company has determined there is no embedded financial derivative.  The Company recorded beneficial conversion feature debt discount of $150,000 related to the conversion option. This debt discount has been fully amortized during the nine months ended September 30, 2015 to interest expense. The Note is currently in default.