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Related Party Transactions
9 Months Ended
Oct. 31, 2020
Related Party Transactions [Abstract]  
Related Party Transactions

Note 5 - Related Party Transactions

 

Meatball Obsession, LLC

 

A current director of the Company is the chairman of the board and shareholder of Meatball Obsession LLC (“MO”).

 

For the three months ended October 31, 2020 and 2019, the Company generated approximately $0 and $20,474 in revenues from MO, respectively. For the nine months ended October 31, 2020 and 2019, the Company generated approximately $0 and $53,723 in revenues from MO, respectively.

 

As of October 31, 2020 and January 31, 2020, the Company had a receivable of $0 and $1,604 due from MO, respectively.

 

WWS, Inc.

 

Alfred D’Agostino and Tom Toto, two directors of the Company, are affiliates of WWS, Inc.

 

For the three months ended October 31, 2020 and 2019, the Company recorded $6,000 and $12,000 in commission expense from WWS, Inc. generated sales, respectively. For the nine months ended October 31, 2020 and 2019, the Company recorded $30,000 and $36,000 in commission expense from WWS, Inc. generated sales, respectively.

 

Notes Payable – Related Party

 

During the year ended January 31, 2016, the Company received aggregate proceeds of $125,000 from notes payable with the CEO of the Company. The notes bear interest at a rate of 4% per annum and matured on December 31, 2016. The notes were subsequently extended until January 2024. As of October 31, 2020 and January 31, 2020, the outstanding principal balance of the notes was $0 and $109,844, respectively.

 

The Company received advances from the CEO of the Company which bear interest at 8%. The advances were due on January 2024. At October 31, 2020 and January 31, 2020, there was $0 and $400,000 of principal outstanding, respectively.

 

The Company received advances from an entity 100% owned by the CEO of the Company, which bear interest at 8%. The advances were due on January 2024. At October 31, 2020 and January 31, 2020, there was $0 and $132,000 of principal outstanding, respectively.

 

For the three months ended October 31, 2020 and 2019, the Company recorded interest expense of $0 and $11,775, respectively, related to the above related party notes payable. For the nine months ended October 31, 2020 and 2019, the Company recorded interest expense of $23,550 and $34,544, respectively, related to the above related party notes payable. At October 31, 2020 and January 31, 2020, there was $0 and $2,863, respectively, of accrued interest on the above related party notes.

 

Other Related Party Transactions

 

During the three months ended October 31, 2020 and 2019, the Company reimbursed an entity 100% owned by the CEO of the Company for certain investor relation conference expenses totaling $0 and $0, respectively. During the nine months ended October 31, 2020 and 2019, the Company reimbursed an entity 100% owned by the CEO of the Company for certain investor relation conference expenses totaling $14,570 and $15,722, respectively.

 

During the nine months ended October 31, 2020, members of the board of directors and the CEO exercised 940,807 warrants with exercise price of $1 in exchange for 940,807 shares of common stock.