Note 5 - Notes Receivable

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Financing Receivables [Text Block]

5. NOTES RECEIVABLE

During the quarter ended

September 30, 2017,

we entered into a Loan Agreement with a privately-held identity and professional services company with ties to the FinTech industry. We committed to lend up to

$1,500,000

all of which has been advanced as of

December 31, 2019.

During

2018,

we advanced

$550,000

on

three

separate simple Promissory Note(s). As discussed in Note

3,

we converted the Loan Agreement and all outstanding Promissory Notes to an equity ownership of

40

percent of the company. At the same time, we entered into and advanced a

$1,000,000

Loan Agreement that bears interest at the rate of

6.0

percent annually with a maturity date of

June 2021

and in

October 2019,

we entered into and advanced a

$500,000

Loan Agreement that bears interest at the rate of

6.0

percent annually with a maturity date of

October 2021.

In the quarter ended

March 31, 2018,

we entered into a Convertible Loan Agreement with a private limited India based company in the FinTech industry. We committed to lend up to

$435,000

with an initial advance of

$235,000.

The loan bears interest at the rate of

5.0

percent annually with the maturity date on the

third

anniversary of funding of such Promissory Note. We are entitled to convert the principal on the initial note for up to

ten

percent ownership of shares of the company.