Note 5 - Debt

9 Months Ended

Sep. 30, 2022

Notes to Financial Statements

Debt Disclosure [Text Block]

5. Debt

On June 15, 2021, the Company entered into an equipment financing agreement with Navitas Credit Corp. in connection with the purchase of certain inventory management software. The $63,576 loan is payable over twenty-four months, beginning in July 2021, with monthly payments of $2,649.

On July 15, 2022, the Company entered into an equipment financing agreement with Wells Fargo in connection with the purchase of facility grounds equipment. The $18,755 loan is payable over 36 months, beginning in August 2022, with monthly payments of $521.

On June 15, 2022, the Company entered into an insurance premium financing agreement with First Funding in connection with the purchase of liability insurance policy. The $214,087 loan is payable over 9 months, beginning in September 2022, with monthly payments of $24,416.

On August 20, 2022, the Company entered into an insurance premium financing agreement with First Funding in connection with the purchase of directors' and officers' insurance policy. The $225,000 loan is payable over 9 months, beginning in July 2022, with monthly payments of $25,608.

As of September 30, 2022, $414,444 is reflected on the consolidated balance sheet as current notes payable and $18,234 is reflected on the consolidated balance sheet as long-term notes payable.

Effective August 4, 2022, EVT secured a line of credit from Centennial Bank. Borrowings under the line of credit bear interest at 2.75% annually. There is no maturity date for the line, but Centennial Bank may at any time, in its sole discretion and without cause, demand the Company immediately repay any and all outstanding obligations under the line of credit in whole or in part. The line is secured by the cash and cash equivalents maintained by the Company in its Centennial Bank accounts. Borrowings under the line may not exceed cash, cash equivalents, and marketable securities balances up to $1,000,000. There was no principal amount outstanding on September 30, 2022 and there is no current plan to borrow from it.