Convertible Notes	9 Months Ended
Sep. 30, 2020
Convertible Notes
Convertible Notes	NOTE 10. CONVERTIBLE NOTES: On November 25, 2019, the Company entered into a securities purchase agreement with an institutional investor for the sale of a $1,000,000 convertible debenture (the “First Debenture”). The First Debenture accrued interest at rate of 5% and was due six (6) months from the issue date. The First Debenture was convertible at any time after the issue date into shares of Company’s Common Stock at a price equal to $2.725. On January 14, 2020, the Company entered into a securities purchase agreement (with the same institutional investor for the sale of a $500,000 convertible debenture (the “Second Debenture” and collectively with the First Debenture, the “Debentures”). The Second Debenture accrued interest at rate of 5% and was due on the same date as the First Debenture. The Second Debenture was convertible at any time after the issue date into shares of Company’s Common Stock at a price equal to $2.725. During the nine months ended September 30, 2020 the holders of First Debenture and Second Debenture exercised their rights for conversion into common shares for which the company issued 550,458 common shares. After the conversion, there are no First Debentures or Second Debentures outstanding. On June 3, 2020 Ameri entered into an Exchange Agreement with Alpha, the holder of certain 8% unsecured convertible notes, which notes were originally issued on or about March 7, 2017 (the “2017 Prior Notes”). Pursuant to such Exchange Agreement, Alpha agreed to exchange the 2017 Prior Notes for a new convertible 1% debenture (the “June Debenture”) in the aggregate principal amount of $2,265,342.46, which June Debenture is convertible into shares of common stock of Ameri at a conversion price of $1.75 per share. The June Debenture is due on December 31, 2020. As of September 30, 2020, 828,572 shares of common stock have been issued upon conversions of the June Debenture. On September 15, 2020, Ameri entered into separate Exchange Agreements with the holders of certain 7.25% secured convertible notes, including Alpha, which notes were originally issued on or about February 24, 2020 (the “2020 Prior Notes”, and collectively with the 2017 Prior Notes, the “Prior Notes”). Pursuant to such Exchange Agreements, the holders agreed to exchange the 2020 Prior Notes for new convertible 7.25% debentures (the “September Debentures” and collectively with the June Debenture, the “Convertible Debentures”) in the aggregate principal amount of $1,002,979 which September Debentures are convertible into shares of Ameri common stock at a conversion price of $1.11 per share. The principal amount of the September Debentures is equal to the principal amount of the 2020 Prior Notes and the accrued interest thereon. The September Debentures are due on the earlier of (i) the effective date of the Offer or (ii) October 31, 2020. As of September 30, 2020, No shares of common stock have been issued upon conversions of the September Debentures.

Convertible Notes

9 Months Ended

Sep. 30, 2020

NOTE 10. CONVERTIBLE NOTES:

On November 25, 2019, the Company entered into a securities purchase agreement with an institutional investor for the sale of a $1,000,000 convertible debenture (the “First Debenture”).

The First Debenture accrued interest at rate of 5% and was due six (6) months from the issue date. The First Debenture was convertible at any time after the issue date into shares of Company’s Common Stock at a price equal to $2.725.

On January 14, 2020, the Company entered into a securities purchase agreement (with the same institutional investor for the sale of a $500,000 convertible debenture (the “Second Debenture” and collectively with the First Debenture, the “Debentures”).

The Second Debenture accrued interest at rate of 5% and was due on the same date as the First Debenture. The Second Debenture was convertible at any time after the issue date into shares of Company’s Common Stock at a price equal to $2.725.

During the nine months ended September 30, 2020 the holders of First Debenture and Second Debenture exercised their rights for conversion into common shares for which the company issued 550,458 common shares. After the conversion, there are no First Debentures or Second Debentures outstanding.

On June 3, 2020 Ameri entered into an Exchange Agreement with Alpha, the holder of certain 8% unsecured convertible notes, which notes were originally issued on or about March 7, 2017 (the “2017 Prior Notes”). Pursuant to such Exchange Agreement, Alpha agreed to exchange the 2017 Prior Notes for a new convertible 1% debenture (the “June Debenture”) in the aggregate principal amount of $2,265,342.46, which June Debenture is convertible into shares of common stock of Ameri at a conversion price of $1.75 per share. The June Debenture is due on December 31, 2020. As of September 30, 2020, 828,572 shares of common stock have been issued upon conversions of the June Debenture.

On September 15, 2020, Ameri entered into separate Exchange Agreements with the holders of certain 7.25% secured convertible notes, including Alpha, which notes were originally issued on or about February 24, 2020 (the “2020 Prior Notes”, and collectively with the 2017 Prior Notes, the “Prior Notes”). Pursuant to such Exchange Agreements, the holders agreed to exchange the 2020 Prior Notes for new convertible 7.25% debentures (the “September Debentures” and collectively with the June Debenture, the “Convertible Debentures”) in the aggregate principal amount of $1,002,979 which September Debentures are convertible into shares of Ameri common stock at a conversion price of $1.11 per share. The principal amount of the September Debentures is equal to the principal amount of the 2020 Prior Notes and the accrued interest thereon. The September Debentures are due on the earlier of (i) the effective date of the Offer or (ii) October 31, 2020. As of September 30, 2020, No shares of common stock have been issued upon conversions of the September Debentures.