NOTES PAYABLE

6 Months Ended

Jun. 30, 2022

Notes Payable

NOTES PAYABLE

NOTE 10: NOTES PAYABLE

Notes payable consists of the following:

	June 30,			December 31,				Interest
	2022			2021			Maturity	Rate
Economic Injury Disaster Loan - originated in May 2020 (1, 3)	$	500,000		$	500,000		30 years		3.75	%
Promissory note - originated in September 2020		35,319			50,456		$2,873.89 monthly payment for 36 months		14.0	%
Promissory note - originated in December 2020		24,543			33,039		$1,854.41 monthly payment for 36 months		8.0	%
Promissory note - originated in January 2021		35,413			48,583		$2,675.89 monthly payment for 36 months		18.0	%
Promissory note - originated in February 2021 (2)		1,305,374			1,328,848		5 years		4.0	%
Promissory note - originated in April 2021		693,333			832,000		1 year		12	%
Promissory note - originated in July 2021		282,000			282,000		1 year		12	%
Promissory note - originated in September 2021		49,621			55,576		$1,383.56 monthly payment for 60 months		28	%
Promissory note - originated in December 2021		-			406,300		$20,050 weekly payment		49	%
Promissory note - originated in December 2021		-			241,716		$10,071.45 weekly payment		4.94	%
Promissory note - originated in December 2021		-			189,975		$2,793.75 daily payment		7	%
Promissory note - originated in March 2022		233,980			-		$20,995 weekly payment		49	%
Promissory note - originated in March 2022		62,357			-		$642.86 daily payment		15	%
Promissory note - originated in April 2022		81,726			-		$1,695.41 monthly payment for 36 months		16.0	%
Promissory note - originated in April 2022		127,395			-		$2,235 daily payment		15	%
Promissory note - originated in April 2022		68,913			-		$1,862.50 daily payment		5	%
Promissory note - originated in April 2022		284,088			-		$7,250 daily payment		25	%
Promissory note - originated in June 2022		67,455			-		$1,873.75 daily payment		25	%
		3,851,517			3,968,491
Less debt discount and debt issuance cost		(317,931	)		(476,727	)
		3,533,586			3,491,766
Less current portion of promissory notes payable		1,799,147			1,720,777
Long-term promissory notes payable	$	1,734,439		$	1,770,989

(1)	We received an advance under the Economic Injury Disaster Loan (EIDL) program.
(2)	We received a second advance under the EIDL program in fiscal year 2021.
(3)	On February 12, 2021, we issued notes payable of $1,404,000 to settle license fee payable of $1,094,691. As a result, we recorded loss on settlement of debt of $309,309 in fiscal year 2021.

During the six months ended June 30, 2022 and 2021, we recognized interest expense of $113,693 and $57,209, and amortization of debt discount, included in interest expense of $625,621 and $995,066, respectively.

During the six months ended June 30, 2022 and 2021, we issued a total of $1,840,518 and $3,641,037, less discount of $654,065 and $1,066,393, and repaid $1,957,492 and $2,734,275, respectively.