| Notes Payable |
Note
7 – Notes Payable
The
carrying amount of notes payable as of September 30, 2023 and December 31, 2022 was as follows:
Schedule
of Notes Payable
| |
|
September 30,
|
|
|
December 31, |
|
| |
|
2023 |
|
|
2022 |
|
| |
|
|
|
|
|
|
| Note payable with the Department of Economic and Community Development in the original amount of $147,372 due in monthly payments of principal and interest totaling $2,132 beginning January 1, 2017 with a final payment due on October 1, 2022. Non-interest bearing. Payments were not made in 2023 or 2022. |
|
$ |
134,153 |
|
|
$ |
134,153 |
|
| |
|
|
|
|
|
|
|
|
| Loans from Related Parties and Companies due December 31, 2023, Original issue discount of $132,498 which is fully amortized at September 30, 2023, 5% interest due from August 9, 2023 (date of extension) to December 31, 2023 |
|
|
1,457,253 |
|
|
|
1,438,269 |
|
| |
|
|
|
|
|
|
|
|
| Loan from Third Party, Issued August 9, 2023, Due May 15, 2024, Original issue discount of $13,250
which is amortized by $2,461
at September 30, 2023. Default interest at 22%,
Convertible into common stock at a conversion price of $0.005
per share on event of default. Payable monthly at the rate of $8,012
per month |
|
|
52,461 |
|
|
|
— |
|
| |
|
|
|
|
|
|
|
|
| Paycheck Protection Program Loans (PPP Loans). The PPP Loans and accrued interest are forgivable as long as the Company uses the loan proceeds for eligible purposes, including payroll, benefits, rent and utilities, and maintains its payroll levels. The amount of loan forgiveness will be reduced if the Company terminates employees or reduces salaries. No collateral or guarantees were provided in connection with the PPP Loans. The unforgiven portion of the PPP Loans are payable over two years at an interest rate of 1.0% per annum, with a deferral of payments for the first sixteen months. Beginning sixteen months from the dates of issuance, the Company is required (if not forgiven) to make monthly payments of principal and interest to the lenders. The Company used all of the proceeds for purposes consistent with the PPP. While the Company currently believes that its use of the loan proceeds will meet the conditions for forgiveness of the loans, it cannot assure you that it will not take actions that could cause the Company to be ineligible for forgiveness of the loans, in whole or in part. |
|
|
60,401 |
|
|
|
60,401 |
|
| Notes payable |
|
|
1,704,268 |
|
|
|
1,632,823 |
|
| Less current portion |
|
|
1,643,867 |
|
|
|
1,572,422 |
|
| Notes payable, long term, net of current portion |
|
$ |
60,401 |
|
|
$ |
60,401 |
|
|