Related Party Balances and Transactions

12 Months Ended

Dec. 31, 2024

Related Party Transactions [Abstract]

Related Party Balances and Transactions

NOTE 10 - Related Party Balances and Transactions

From time to time, the Company receives loans and advances from its stockholders to fund its operations. Stockholder loans and advances are payable on demand. As of December 31, 2024 and 2023, the Company had $4,192,995 and $4,170,418, respectively, due to related parties (Sam Lai, the Company’s Chairman of the Board, Chief Executive Officer and Interim Chief Financial Officer and a significant stockholder of the Company; and Maggie Yu, the Company’s Senior Vice President, a member of the Company’s Board of Directors and a significant stockholder of the Company). As of December 31, 2024, this amount included $3,499,418 in stockholder payables and $693,577 accrued for bonuses. The loan is memorialized in a Loan Agreement dated October 15, 2021. The annual interest rate was 2% and the initial repayment date was December 31, 2022.

On December 28, 2022, the Company, Mr. Lai and Ms. Yu agreed to extend the term of the loan for another two years, with a revised maturity date of December 31, 2024. On December 31, 2024, the Company, Mr. Lai and Ms. Yu agreed to extend the term of the loan for another one year, with a revised maturity date of December 31, 2025. The annual interest rate is 5.5%.

For the years ended December 31, 2024 and 2023, the Company made repayments to related parties of $671,000 and $-0-, respectively.