|
7. Convertible Note Payable
|
3 Months Ended |
|---|---|
|
Mar. 31, 2014
|
|
| Notes to Financial Statements | |
| Note 7. Convertible Note Payable |
On March 30, 2011, the Company entered into an agreement with an unrelated third party pursuant to which such party agreed to assist the Company to effect a reverse merger or similar transaction with an operating business to be identified as the parties shall mutually agree. Such party agreed to immediately loan the Company the principal amount of $50,000 which shall be due and payable in one year, bear interest at the rate of 8.0% per annum, and be convertible into shares of common stock of the Company at the rate of $0.44 per share at the option of such party at any time following an exclusivity period granted to such party and until the maturity date of the loan. On February 5, 2014, the Company issued 139,319 shares of common stock pursuant to an executed Conversion and Settlement Agreement in satisfaction of the outstanding principal balance of $50,000 and accrued interest totaling $11,300. Interest expense for the quarters ended March 31, 2014 and 2013 was $ 264 and $1,000, respectively.
|