1. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Loans (Tables)

3 Months Ended

Dec. 31, 2019

Tables/Schedules

Loans

Loans

On June 30, 2016, NuZee JP entered into a loan agreement with Tono Shinyo Kinko Bank. The Company borrowed the sum of approximately $145,758 to be repaid on or before June 5, 2021 at an annual interest rate of 1.2%. The loan is unsecured and guaranteed by a director. The outstanding balance on the loan at December 31, 2019 amounted to $41,425. On January 27, 2017, NuZee JP entered into a loan agreement with Nihon Seiaku Kouko. The Company borrowed of approximately $87,268 to be repaid on or before January 20, 2022 at an interest rate of 0.16%. The loan is unsecured and not guaranteed by a director. The outstanding balance on the loan at December 31, 2019 amounted to $39,159.

On April 1, 2019, NuZee purchased a delivery van from Ford Motor Credit for $41,627. The Company paid $3,500 as a down payment and financed $38,127 for 60 months at a rate of 2.9%. The loan is secured by the van. The outstanding balance on the loan at December 31, 2019 amounted to $33,339.

On February 15, 2019 NuZee KR entered into equipment financing for production equipment with ShinHan Bank for $60,563. In June 28, 2019 NuZee KR purchased additional equipment and increased the loan with ShinHan Bank by $86,518. The loan is secured by our production equipment at NuZee KR. The financing bears a terms of 36 months at a rate of 4.33%. Principal payments began in July of 2019. The outstanding balance on this loan at December 31, 2019 amounts to $122,703.

On October 9, 2019, NuZee entered into a lease agreement with Alliance Funding Group which provided for a sale lease back on certain packing equipment. The terms of this agreement require us to pay $2,987 per month for the next 60 months. As part of this agreement, Alliance Funding Group provided our equipment supplier with $124,540 for the purchase of this equipment. The outstanding balance on this loan at December 31, 2019 amounts to $114,490.

The loan payments required for the next five years are as follows:

		Nihon	Ford		Alliance
	Tono Shinyo	Seisaku	Motor	ShinHan	Funding
	Kinko Bank	Kouko	Credit	Bank	Group	Total
2020	$   20,712	$   14,002	$     5,484	$   36,811	$   14,493
2021	5,178	4,667	1,875	12,270	5,400
Total Current Portion	$   25,890	$   18,669	$     7,359	$   49,081	$   19,893	$ 120,892
2021	$   15,534	$   14,002	$     5,625	$   36,811	$   16,198
2022		6,488	7,720	36,811	24,518
2023			7,947		27,833
2024			4,748		26,049
Total Long Term Portion	$   15,534	$   20,490	$   26,040	$   73,622	$   94,598	$ 230,284
Grand Total	$   41,424	$   39,159	$   33,399	$ 122,703	$ 114,491	$ 351,176