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5. LINE OF CREDIT
12 Months Ended
Dec. 31, 2015
Debt Disclosure [Abstract]  
NOTE 5 - LINE OF CREDIT

On August 9, 2013, the Company signed loan documents for a line of credit with a local bank, American Bank Center, in the amount of $300,000 in order to help fund the cash redemption of less than whole shares which resulted from the 1:10,000 reverse stock split, which occurred on August 14, 2013.  The line of credit had a variable interest rate of 1.509 percent above Wall Street Journal U.S. Prime Rate.  The Company made monthly interest payments.  The loan matured August 8, 2014.  The Company set up monthly payments with an automatic payment of $25,000.  There are no financial covenants associated with the line of credit.  On July 9, 2014, the Company made a monthly payment of $25,000 to the line of credit.  On July 17, 2014, the Company made a final payment to the line of credit in the amount of $29,422 closing this line of credit.  As of December 31, 2015, there is no longer an outstanding balance on this line of credit.

 

On July 14, 2014, the Company signed new loan documents for a line of credit with American Bank Center in the amount of $300,000.  The line of credit had a variable interest rate of 1.509 percent above Wall Street Journal U.S. Prime Rate.  The loan matured July 14, 2015.  The Company set up monthly payments with an automatic payment of $25,000.  There are no financial covenants associated with the line of credit.  The Company made a payment of $25,000 on July 6, 2015, and a final payment of $28,578 on July 14, 2015, bringing the balance to zero.  The total interest expense on this line of credit was $8,061.

 

On July 14, 2015, the Company signed renewal loan documents for the line of credit with American Bank Center in the amount of $500,000.  The line of credit has a variable interest rate of 1.509 percent above Wall Street Journal U.S. Prime Rate.  The loan matures with principal due on July 14, 2016.  For the period ended December 31, 2015, the Company had no outstanding balance against this line of credit before renewal.  As of December 31, 2015, the Company had zero outstanding and zero interest expense against its current line of credit.  There are no financial covenants associated with the line of credit.