NOTE 3. RELATED PARTY TRANSACTIONS
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6 Months Ended |
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Jun. 30, 2012
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Related Party Transactions Disclosure [Text Block] |
NOTE
3. RELATED PARTY TRANSACTIONS
During
the year ended December 31, 2011, the Company had a
note payable to a Company officer. The note is
unsecured and payable upon demand. The note bears
interest at 8% per annum if not paid promptly upon
demand. The outstanding principal balance on the note
was $34,201 at March 31, 2012 and December 31, 2011,
respectively. The balance was paid in full
during the three months ended June 30, 2012.
During
the year ended December 31, 2011, the Company had a
note payable to a Company officer. The note is
unsecured and payable upon demand. The note bears
interest at 8% per annum. The outstanding principal
balance on the note was $18,657 and $8,100 at March 31,
2012 and December 31, 2011,
respectively. The balance was paid in full
during the three months ended June 30, 2012.
On
March 14, 2012 the Company entered into a promissory
note with a related party in the amount of
$100,000. The note amount bears a 0%
interest rate, and was unsecured. The note
was paid in full during the three months ended June 30,
2012.
In
addition, through June 30, 2012, related parties
contributed another $5,044 to the Company for
operations. On March 31, 2012 the outstanding related
party payable was $7,394. The payable was
paid in full during the three months ended June 30,
2012.
During
the year ended December 31, 2011, the Company loaned
$9,800 to a Company affiliated through common control.
The receivable balance was $24,800 at December 31,
2011. The receivable balance was forgiven in
connection with the Company’s change in control
on May 4, 2012. The Company recorded a bad
debt expense of $24,800 for the three months ended June
30, 2012. |