Notes Payable - Related Party

6 Months Ended

Jun. 30, 2021

Notes Payable [Abstract]

Notes Payable - Related Party

11. Notes Payable - Related Party

As of June 30, 2021, the Company had various notes payable to Gloria E. Gebbia, the Company’s principal stockholder, the details of which are presented below:

Description	Issuance Date	Face Amount		Unpaid Principal Amount
4.00% due September 30, 2021	May 31, 2021	$	2,200,000	$	2,200,000
4.00% due November 30, 2021**	November 30, 2020		3,000,000		3,000,000
Total Notes payable – related party		$	5,200,000	$	5,200,000

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As of December 31, 2020, the Company had various notes payable to Gloria E. Gebbia, the Company’s principal stockholder, the details of which are presented below:

Description	Issuance Date	Face Amount		Unpaid Principal Amount
4.00% due May 31, 2021*	December 1, 2020	$	2,200,000	$	2,200,000
4.00% due November 30, 2021**	November 30, 2020		3,000,000		3,000,000
Total Notes payable – related party		$	5,200,000	$	5,200,000

*On May 31, 2021, this note payable was renewed with a maturity of September 30, 2021.

**This note payable is subordinated to MSCO and is subordinated to the claims of general creditors, approved by FINRA, and is included in MSCO’s calculation of net capital and the capital requirements under FINRA and SEC regulations.

The Company’s interest expense for these notes for the three months ended June 30, 2021 and 2020 was $52,000 and $86,000, respectively. The Company’s interest expense for these notes for the six months ended June 30, 2021 and 2020 was $104,000 and $146,000, respectively. The Company’s interest payable related to these notes was $0 as of June 30, 2021 and December 31, 2020.