Long-Term Capital Lease

3 Months Ended

Jun. 30, 2018

Capital Lease Obligations [Abstract]

Long-Term Capital Lease

NOTE 7 – LONG-TERM CAPITAL LEASE

On May 25, 2018 and June 4, 2018, the company entered into two long-term capital leasing arrangements with Wells Fargo Equipment Finance (“Wells Fargo”) to finance the leasing of two used forklift vehicles in the amount of approximately $44,000. The leases require monthly payments in the amount of $1,279 per month over a total lease term of 36 months which commenced on June 1, 2018. The agreement has an effective interest rate of 4.5% and the company has the option to purchase the equipment at the end of the lease term for one dollar. As of June 30, 2018 and March 31, 2018, the outstanding amount due to Wells Fargo on the capital leases was approximately $41,000 and $0 respectively.

As of June 30, 2018, the Company had obligations under the capital leases repayable as follows:

	Capital Leases
For period ending June 30,
2019	$	15,346
2020		15,346
2021		12,790
		43,482
Interest portion of above payments		(2,250	)
Present value of minimum lease payments	$	41,232

For the three month periods ended June 30, 2018 and June 30, 2017 the amount of interest related to the capital lease was $263 and $0, respectively.