Quarterly report pursuant to Section 13 or 15(d)

NOTES PAYABLE - RELATED PARTIES

v3.19.1
NOTES PAYABLE - RELATED PARTIES
3 Months Ended
Mar. 31, 2019
Debt Disclosure [Abstract]  
NOTES PAYABLE - RELATED PARTIES

On June 28, 2017, the Company issued to two of the Company’s executive officers a promissory note in the principal amount up to $100,000, which amount may be drawn upon by the Company as bridge financing for general working capital purposes. The promissory note accrues interest at a rate of 8.0% per annum and matures on the earlier of (i) one (1) year from the date of the promissory note, and (ii) the closing the sale of the Company’s securities in a single transaction or a series of related transactions from which at least $500,000 of gross proceeds are raised. During the three months ended March 31, 2019, the Company borrowed $14,229 on the promissory notes. Between February 2019 and March 2019, the Company paid off the principal notes of $11,129. Additionally, in March 2019, the Company issued 153,080 shares of common stock to a noteholder upon the conversion of $27,000 of principal amount and accrued interest of $3,267. During the three months ended March 31, 2019 and 2018, the Company recognized $524 and $151, respectively, of interest expense. As of March 31, 2019 and December 31, 2018, the notes had accrued interest balances of $3,185 and $5,928, respectively. As of March 31, 2019 and December 31, 2018, the principal balance of this note was $27,500 and $51,400, respectively.