XML 31 R12.htm IDEA: XBRL DOCUMENT v3.19.1
Note 6 - Borrowings From Officer
 12 Months Ended
Dec. 31, 2018
Notes to Financial Statements  
Related Party Transactions Disclosure [Text Block]
6
. Borrowings from Officer
 
On
February 9, 2017,
the Company entered into an unsecured revolving promissory note to borrow up to
$3,400,000
from G. Ward Paxton, the Company’s Chief Executive Officer (the “CEO Note”). Under the terms of the CEO Note, the Company
may
borrow, repay and reborrow on the loan as needed up to an outstanding principal balance due of
$3,400,000
at any given time through
March 2019.
 
On
March 2, 2017,
the Company amended the CEO Note described above on the same terms, with the Company being able to borrow, repay, and re-borrow on the note as needed up to an outstanding principal balance due of
$3,700,000
at any given time through
March 2019.
 
On
February 8, 2018,
the Company entered into an unsecured revolving promissory note to borrow up to
$3,700,000
from G. Ward Paxton, the Company’s Chief Executive Officer (the “CEO Note”). Under the terms of the CEO Note, the Company
may
borrow, repay and reborrow on the loan as needed up to an outstanding principal balance due of
$3,700,000
at any given time through
March 2020.
 
On
February 
7,
2019,
the Company amended the unsecured revolving promissory note to borrow up to
$2,700,000
from G. Ward Paxton, the Company’s Chief Executive Officer. Under the terms of the note, the Company
may
borrow, repay and reborrow on the loan as needed up to an outstanding principal balance due of
$2,700,000
at any given time through
March 
2021.
 
Amounts borrowed under the CEO Note officer accrue interest at a floating rate per annum equal to Silicon Valley Bank’s (“SVB”) prime rate plus
1%
(
6.5%
at
December 31, 2018).
All outstanding borrowings and accrued but unpaid interest is due on
March 31, 2021.
As of
December 31, 2018,
the borrowings outstanding totaled
$1,815,000
and accrued interest totaled
$479,000.