Investment in LLC

6 Months Ended

Jun. 30, 2013

Investments in and Advances to Affiliates, Schedule of Investments [Abstract]

Investment in LLC

Note 6 Investment in LLC

During 2010, the Company advanced $20,090 to an individual. There was an implied agreement that the advance would convert into an equity interest in a new entity.

During 2011 the Company acquired a 34.62% interest in Meatball Obsession, LLC (“MO”) for a total investment of $27,032, which includes the conversion of the $20,090 advance above. This investment is accounted for using the equity method of accounting. Accordingly, investments are recorded at acquisition cost plus the Company’s equity in the undistributed earnings or losses of the entity. At December 31, 2011 the investment was brought down to $0 due to losses incurred by MO.

During 2012 the Company’s ownership interest in MO fell to 28% due to dilution.

During 2013 the Company’s ownership interest in MO fell to 24% due to dilution.

During the six months ending June 30, 2013 and 2012, sales to MO were $60,208 and $32,509, respectively. At June 30, 2013 and December 31, 2012 the accounts receivable balance from MO was $36,243 and $13,893.

During the six months ended June 30, 2013, the Company loaned MO $30,000 for working capital purposes. The loan is non-interest bearing, unsecured and was due on June 19, 2013. The balance on the loan at June 30, 2013 was $30,000. The loan was paid in full on July 8, 2013.

MamaMancini’s Holdings, Inc.

Notes to Condensed Consolidated Financial Statements

June 30, 2013

Summarized financial information for Meatball Obsession, LLC is as follows:

Balance Sheet Data
	June 30, 2013		December 31, 2012
Assets
Cash	$	32,314	$	117,777
Accounts receivable		5,649		5,234
Inventory		13,259		14,935
Property & equipment, net		155,922		75,861
Other assets		55,111		60,370
Total Assets	$	262,256	$	274,177
Liabilities and Members’ Equity
Accounts payable	$	44,356	$	25,731
Other current liabilities		75,394		8,354
Total Current Liabilities		119,750		34,085
Members’ Equity		142,507		240,092
Total Liabilities and Members’ Equity	$	262,256	$	274,177

Statement of Operations Data
		June 30, 2013			June 30, 2012
Revenues	$	261,360		$	129,095
Cost of goods sold		99,334			59,227
Expenses		355,853			365,890
Net operating loss		(193,827	)		(296,022	)
Other income (expenses)		(3,758	)		(819	)
Net loss	$	(197,585	)	$	(296,841	)