June 30, 2018

December 31, 2017

Notes payable bearing interest at 8%. The notes have a 2-year maturity, are due on September 19, 2018 or June 30, 2019 and pay interest-only on a monthly basis.

$

407,500

$

407,500

Note payable bearing interest at 2.74%. The note is payable in monthly principal plus interest payments of $100 through December 2019

1,705

2,306

Note payable bearing interest at 4.00%. The note is payable in quarterly principal plus interest payments of $9,614 through March 2019.

28,344

56,341

Convertible notes payable bearing interest at 4.00%. The notes principal plus accrued interest is due in full at various dates between April 3, 2020 – September 30, 2020. The notes have an automatic conversion feature upon the closing (or first in a series of closings) of the next equity financing in which the Company sells shares of its equity securities for an aggregate consideration of at least $4,000,000 at a purchase price of at least $7.50. The outstanding principal and unpaid accrued interest on the notes will be automatically converted into equity securities at a price equal to 80% of the price paid per share by the investors in the next equity financing or $6.00, whichever is lower, provided, however, that in no event will the conversion price be less than $6.00. The note has a voluntary conversion feature where the investor may convert, in whole or in part, at any time at the conversion price of $6.00.

949,507

927,192

Promissory notes payable bearing interest at 8.00%. The notes’ principal is due on June 30, 2019. Interest is paid monthly.

489,996

1,101,840

Notes payable bearing interest at 5.00%. The notes’ principal, plus any accrued and unpaid interest is due May 1, 2021. Interest is paid monthly.

4,552,980

-

Total notes payable

5,989,032

2,495,179

Less current portion

(437,539

)

(293,726

)

Less debt discount for detachable warrant

(345,800

)

(39,693

)

Long-term portion of notes payable

$

5,205,693

$

2,161,760