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Note 6 - Line of Credit Arrangement
9 Months Ended
Sep. 30, 2021
Notes to Financial Statements  
Line of Credit Facility [Text Block]

6. LINE OF CREDIT ARRANGEMENT

 

The Company has a line of credit arrangement with First Republic Bank (the “lender”) with a borrowing limit of $350,000 with interest based upon the lender’s prime rate plus 4.5% and is payable monthly. At September 30, 2020 and December 31, 2020, interest was being paid at a rate of 7.75%. The line is guaranteed by both William R. Hambrecht, Director and Chief Executive Officer, and Robert H. Hambrecht, Director. The line of credit is due on demand and is secured by all of the Company’s business assets. As of September 30, 2021 and December 31, 2020, the outstanding balance under the line was $350,000. The total recorded interest expense on this note for the quarter ended September 30, 2021 and quarter ended December 31, 2020 was $6,814 and $6,837 respectively. Interest from January 2016 through March 2021 was paid by William R. Hambrecht. The line of credit is pending renewal.