Convertible Notes Payable

12 Months Ended

Dec. 31, 2015

Debt Disclosure [Abstract]

CONVERTIBLE NOTE PAYABLE

NOTE 3 – CONVERTIBLE NOTE PAYABLE

During the year ended December 31, 2015, the Company issued convertible notes payable to a related party in the aggregate principal amount of $51,212. The convertible notes (i) are unsecured, (ii) bear interest at the rate of 4% per annum, and (iii) are due 5 to 6 months from the date of issuance. The convertible notes are convertible at any time at the option of the note holder into shares of the Company’s common stock at a conversion rate equal to 90% (80% if the Company’s stock price is below $0.10 per share) of the Company’s stock price at the date of conversion.

Due to the variable conversion price associated with these convertible notes, the Company has determined that the conversion feature is considered derivative liabilities. The embedded conversion feature was initially calculated to be $56,547, which is recorded as a derivative liability as of the date of issuance. The derivative liability was first recorded as a debt discount up to the face amount of the convertible notes of $51,212, with the remaining $5,335 being charge as a financing cost during the year ended December 31, 2015. The debt discount is being amortized over the terms of the convertible notes. The Company recognized interest expense of $31,325 during the year ended December 31, 2015 related to the amortization of the debt discount.