XML 38 R14.htm IDEA: XBRL DOCUMENT v2.4.0.8
9. SUBSEQUENT EVENTS
3 Months Ended
Sep. 30, 2014
Subsequent Events [Abstract]  
9. SUBSEQUENT EVENTS

In accordance with ASC 855, Company management reviewed all material events through the date of this filing and determined that there were the following material subsequent events to report.

 

On November 6, 2014, the Company issued 16,133 warrants in conjunction default clause on convertible. The warrants are have a term of five years, which vest immediately, exercisable at a price of $0.50 valued at $10,850. The warrants were valued using the Black-Scholes pricing model under the assumptions noted below. The Company apportioned value to the warrants based on the relative fair market value of the Common Stock and warrants.

 

On October 3, 2014, the Company issued a convertible note to an unrelated individual for $40,000 that matures on December 29, 2014. The note bears an interest rate of 6% per annum and is convertible into shares of the Company’s Common Stock at $0.20 per share. The company valued a BCF related to the note valued at $40,000.

 

On October 6, 2014, the Company issued a convertible note to an unrelated individual for $40,000 that matures on January 6, 2015. The note bears an interest rate of 6% per annum and is convertible into shares of the Company’s Common Stock at $0.20 per share. The company valued a BCF related to the note valued at $40,000.

 

On October 17, 2014, the Company issued a convertible note to an unrelated individual for $25,000 that matures on January 16, 2015. The note bears an interest rate of 6% per annum and is convertible into shares of the Company’s Common Stock at $0.20 per share. The company valued a BCF related to the note valued at $25,000.

 

On October 20, 2014, the Company issued a convertible note to an unrelated individual for $25,000 that matures on April 20, 2015. The note bears an interest rate of 6% per annum and is convertible into shares of the Company’s Common Stock at $0.20 per share. The company valued a BCF related to the note valued at $25,000. On October 24, 2014, the note holder elected to convert the entire note of $25,000.

 

During the subsequent period, the Company issued 388,000 common shares for net cash proceeds of 97,000.  The Company also issued 125,000 shares of Common Stock for the conversion of $25,000 principal of the October 20, 2014 note.

 

The Company issued 81,730 shares of Common Stock as payment for services and rent valued at $48,455.