(11) Subsequent Events

From December 31, 2019 through April 9, 2020 the Company issued fourteen loans for a total of $3.1 million. The Company issued 1,108,830 warrants with a five-year and a $3.50 strike price life with these loans, which carry 10% interest rates and terms of 14 days to twelve months. The Company also repaid convertible loans issued May 15, 2019, July 10, 2019, August 27, 2019, September 13, 2019 and October 24, 2019 for $815,379, partially repaid a non-convertible loan from a private investor for $275,000, extended a $50,000 convertible loan issued January 3, 2019 from January 3, 2020 to July 3, 2020 and issued 10,000 shares of common stock as partial settlement of a loan issued October 24, 2019.

On April 6, 2020 the Company entered into Standstill and Forbearance Agreements with lenders who hold convertible promissory notes with a total principal of $2,928,816. This agreement extended prior lender Forbearance Agreements, originally on December 13, 2019 and then subsequently on January 30, 2020 and March 2, 2020. Pursuant to these agreements, lenders agreed to not convert any portion of their notes into shares of Common Stock at a variable price until April 30, 2020. The Company incurred fees of approximately $844,000 as compensation for these agreements.

On January 31, 2020 and then subsequently on March 2, 2020 and April 6, 2020, the Company and its Merchant lenders agreed to extend the term of the reduction to $2,500 of its Daily Payment Rate to its Merchant lenders to March 2, 2020, April 6, 2020 and April 30, 2020, respectively. The Company issued 495,000 warrants to the Merchant lenders as Compensation for these agreements. The warrants have a three year life and a $3.50 strike price.