Line of Credit

12 Months Ended

Mar. 31, 2021

Debt Disclosure [Abstract]

Debt Disclosure [Text Block]

10.                 Line of Credit

During June 2019, Bank of America agreed to extend the Company’s line of credit until March 31, 2020. The new Loan Modification Agreement (the “Amended Loan Modification Agreement”) with the bank contains the following provisions:

1)	The Company to make an additional principal payment of $10,000 at closing.
2)	Borrowing base calculation tied to accounts receivable.
3)	The Amended Loan Modification Agreement expires March 31, 2020.
4)	Interest on any outstanding balances is payable monthly at an annual interest rate equal to the LIBOR (London Interbank Offered Rates) Daily Floating plus 3.75 percentage points.
5)	The line is collateralized by substantially all of the assets of the Company.
6)	The Company will make principal payments of $10,000 per month until March 31, 2020.
7)	The covenant for the debt service ratio is deleted.

In March 2020, Bank of America extended the line of credit from March 31, 2020, to January 31, 2021. The new agreement includes open availability up to $690,000. Monthly payments are interest only.

During the year ended March 31, 2021, the Company repaid $680,000 against this line of credit. As of March 31, 2021, and March 31, 2020, the outstanding balances were $0 and $690,000, respectively. The interest rate on March 31, 2021, was 3.86%.

On March 31, 2021, Bank of America further extended the maturity date of our line of credit from March 31, 2021, to June 30, 2021, to allow time for a full underwriting for the annual renewal period.