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NOTE RECEIVABLE - RELATED PARTY
3 Months Ended
Mar. 31, 2017
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure [Text Block]

NOTE 2.   NOTE RECEIVABLE – RELATED PARTY


Our note receivable – related party consists of principal of $101,500 and $75,000, respectively, and accrued interest of $6,375 and $2,202, respectively, as of March 31, 2017, and December 31, 2016, due from DB Arizona.  The loan bears interest at 14%, with principal and interest due on May 30, 2017.


DB Arizona is financed with significant debt and has yet to generate positive cash flows from operations.  We have classified the note as long-term, because they do not currently have sufficient resources to satisfy their obligation to us. These conditions do not meet the level of probable loss required to reduce the carrying value. In the future, however, they may be unable to generate sufficient cash flows from operations or to restructure their capital.  Accordingly, there is a reasonable possibility that we may be unable to recover all or a portion of our note receivable from DB Arizona.