Convertible Note Payable

12 Months Ended

Dec. 31, 2017

Short-Term Bank Loans / Convertible Note Payable

CONVERTIBLE NOTE PAYABLE

NOTE 11 – CONVERTIBLE NOTE PAYABLE

On October 9, 2017, the Company entered into a Note Purchase Agreement (the “NPA”) with Chong Ou Holdings Group Company Limited, a BVI company (the “Investor”) pursuant to which the Investor purchased a note for $670,000, bearing two percent (2%) interest per annum (the “Note”). The Note automatically converts into shares of common stock of the Company at a conversion price equal to $3.35 per share on January 8, 2018. The Company shall have the option, in its sole and absolute discretion, to repay the Outstanding Amount in full on or before the Conversion Date. On January 8, 2018, the Note was converted into 200,100 shares of common stock.

Interest related to this note payable, which was $3,350 and $0 for the years ended December 31, 2017 and 2016, respectively, is included in interest expense on the accompanying consolidated statements of operations and comprehensive loss.