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Notes Payable
6 Months Ended
Jun. 30, 2020
Debt Disclosure [Abstract]  
Notes Payable

Note 5. Notes payable

 

a) Promissory notes, related parties

 

The promissory notes due to Zhanming Wu ($500,000) and the Company's CEO, Mark White ($500,000), both considered related parties, including accrued interest of 7% per annum from issuance, were due for repayment on August 31, 2019. Such payments were not made and the parties are in negotiations to extend the maturity dates of the promissory notes. There can be no guarantee that commercially reasonable terms will agreed upon. As of June 30, 2020, the counterparties had not demanded repayment of the promissory notes.

 

b) Century River Limited

 

The remaining principal balance of $10,000 of the $500,000 loan received from Century River Limited, a company controlled by the Company's CEO, Mark White was repaid on June 10, 2020.

 

c) Bespoke Growth Partners Convertible Note #1

 

In July 2019, the Company issued a convertible promissory note in the original principal amount of $100,000 to Bespoke Growth Partners. The loan was due on January 26, 2020 and bore interest of 20% per annum. During the six months ended June 30, 2020 the Company repaid $84,210 of principal and $16,061 of interest on the note by issuing an aggregate of 12,813,123 shares of Company common stock to Bespoke Growth Partners. The balance owing as at June 30, 2020 was $15,790.

 

d) Bespoke Growth Partners Convertible Note #2

 

In November 2019, the Company issued a convertible promissory note in the original principal amount of $300,000 to Bespoke Growth Partners. The note was due on May 21, 2020 with an interest rate of 20% per annum. The net loan proceeds will be $200,000, after the loan discount of $100,000. During the six months ended June 30, 2020 the Company received proceeds under the note of $175,000. The balance outstanding as at June 30, 2020, including pro-rata loan discount, was

$262,500.

 

e) Labrys Fund

 

The loan payable to Labrys Fund LP ("Labrys") in the amount of $180,000 was repaid in full on January 24, 2020.

 

f) Geneva Roth Remark Holdings, Inc.

 

In May 2020, the Company issued a convertible promissory note in the principal amount of $133,000 to Geneva Roth Remark Holdings, Inc. The note is due May 19, 2021 and has an interest rate of 10% per annum. The promissory note is convertible, at the option of the holder, after 180 days into common shares of the Company at a discount of 35%. The balance owing as a June 30, 2020 is $133,000.

 

g) Firstfire Global Opportunities Fund, LLC.

 

In June 2020, the Company issued a convertible promissory note in the principal amount of $145,000 to Firstfire Global Opportunities Fund, LLC. The note is due June 15, 2021 and has an interest rate of 10% per annum. The promissory note is convertible, at the option of the holder, after 180 days into common shares of the Company at a discount of 35%. The balance owing as a June 30, 2020 is $145,000.