8. Notes Payable - Related Parties

9 Months Ended

Sep. 30, 2015

Debt Disclosure [Abstract]

Notes Payable - Related Parties

Note payable, line of credit, 6.1%, unsecured – During 2015, the Company borrowed an additional $160,000 under the terms of its line of credit (LOC) Agreement with a member of its board of directors.  The LOC Agreement provides for working capital of up to $400,000 through December 31, 2017.  The balance of the note, after monthly principal payments, was $355,303 at September 30, 2015 ($200,000 at December 31, 2014) with $44,697 available under the line.  Principal and interest are paid monthly using an amortization schedule for a fifteen year fully amortizing loan with all outstanding amounts due on December 31, 2017.

Term Note Payable, 7% - On February 12, 2015, the Company received a loan of $25,000 with interest at 7% from its senior vice-president, chief administrative officer.  The note is unsecured and matures on March 31, 2018.  The principal is convertible at the option of the holder into shares of common stock at $.10 per share.