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10. Short term convertible note payable
6 Months Ended
Jun. 30, 2014
Debt Disclosure [Abstract]  
10. Short term convertible note payable

10. Short term convertible note payable

 

The company has one short term loan agreement during the period totalling $93,689. During the 6 months to June 30, 2014, an amount of $ 64,541 was converted into 1,045,099 common shares. And a further loan of $ 80,000 with interest accrued of $ 13,689 represents the current balance of $93,689.

 

Loan is with JMJ Financial in the amount of $93,689 with an interest rate of 12%. The lender has the right, at any time after 180 days from effective date to convert all or part of the outstanding and unpaid principal sum and accrued interest into shares of common stock, based on the average of the two lowest closing prices during the 22 days prior start of conversion period.