Annual report pursuant to Section 13 and 15(d)

Convertible Debt and Other Debt (Tables)

v3.21.1
Convertible Debt and Other Debt (Tables)
 12 Months Ended
Dec. 31, 2020
Debt Disclosure [Abstract]  
Schedule of Convertible Debts and Outstanding Balances

The specific terms of the convertible notes and outstanding balances as of December 31, 2020 are listed in the tables below.

 

Inception Date   Term     Loan Amount     Outstanding balance with OID     Original Issue Discount (OID)     Interest Rate     Conversion Price     Deferred Finance Fees     Discount for conversion feature and warrants/shares  
                                                 
May 17, 2018 (2)     12 months     $ 380,000     $ 166,703     $ 15,200       8 %   $ 2.50     $ 15,200     $ 332,407  
June 8, 2018 (1) (4)     6 months     $ 50,000     $ 50,000     $ 2,500       2 %   $ 7.50     $ 2,500     $ 3,271  
October 19, 2018 (1)     6 months     $ 100,000     $ 100,000     $ -       5 %   $ 7.50     $ -     $ -  
November 13, 2018 (1 (3) (4)     6 months     $ 200,000     $ 220,000     $ -       5 %   $ 2.50     $ -     $ 168,634  
January 3, 2019 (1) (4)     6 months     $ 50,000     $ 50,000     $ 2,500       24 %   $ 7.50     $ 2,500     $ -  
February 21, 2019 (2)     12 months     $ 215,000     $ 215,000     $ -       4 %   $ 2.50     $ 15,000     $ 107,709  
March 18, 2019 (1)     6 months     $ 100,000     $ 100,000     $ -       4 %   $ 7.50     $ -     $ 10,762  
June 4, 2019 (2)     9 months     $ 500,000     $ 302,484     $ -       8 %   $ 2.50     $ 40,500     $ 70,631  
June 19, 2019 (2)     12 months     $ 105,000     $ 105,000     $ -       4 %   $ 2.50     $ 5,000     $ 2,646  
May 20, 2019 (1) (4)     3 months     $ 100,000     $ 91,250     $ -       5 %   $ 2.50     $ -     $ 13,439  
June 7, 2019 (1) (4)     6 months     $ 125,000     $ 110,000     $ -       5 %   $ 7.50     $ -     $ 18,254  
July 1, 2019 (2)     12 months     $ 107,500     $ 107,500     $ -       4 %   $ 2.50     $ 7,500     $ 85,791  
July 19, 2019 (2)     12 months     $ 115,000     $ 115,000     $ -       4 %   $ 2.50     $ 5,750     $ 15,460  
July 19, 2019 (2)     12 months     $ 130,000     $ 130,000     $ -       6 %   $ 2.50     $ 6,500     $ -  
August 14, 2019 (1) (4)     6 months     $ 50,000     $ 50,000     $ -       2 %   $ 7.50     $ -     $ -  
September 27,2019 (2)     12 months     $ 78,750     $ 78,750     $ -       4 %   $ 2.50     $ 3,750     $ 13,759  
October 24, 2019 (2)     12 months     $ 78,750     $ 78,750     $ -       4 %   $ 2.50     $ 3,750     $ -  
November 1, 2019 (2)     12 months     $ 270,000     $ 270,000     $ -       6 %   $ 2.50     $ 13,500     $ -  
November 15, 2019 (1)     12 months     $ 385,000     $ 320,000     $ 35,000       10 %   $ 2.50     $ 35,000     $ 90,917  
January 2, 2020 (1)     12 months     $ 330,000     $ 330,000     $ 30,000       10 %   $ 2.50     $ 30,000     $ 91,606  
January 24, 2020 (1)     12 months     $ 247,500     $ 247,500     $ 22,500       10 %   $ 2.50     $ 22,500     $ 89,707  
January 29, 2020 (1)     12 months     $ 363,000     $ 363,000     $ 33,000       10 %   $ 2.50     $ 33,000     $ 297,000  
February 12, 2020 (1)     12 months     $ 275,000     $ 275,000     $ 25,000       10 %   $ 2.50     $ 25,000     $ 225,000  
February 19, 2020 (1)     12 months     $ 165,000     $ 165,000     $ 15,000       10 %   $ 2.50     $ 15,000     $ 135,000  
March 11, 2020 (1)     12 months     $ 330,000     $ 330,000     $ 30,000       10 %   $ 2.50     $ 30,000     $ 232,810  
March 13, 2020 (1)     12 months     $ 165,000     $ 165,000     $ 15,000       10 %   $ 2.50     $ 15,000     $ 60,705  
March 26, 2020 (1)     12 months     $ 111,100     $ 111,100     $ 10,100       10 %   $ 2.50     $ 10,100     $ 90,900  
April 8, 2020     12 months     $ 276,100     $ 276,100     $ 25,100       10 %   $ 2.50     $ 25,000     $ 221,654  
April 17, 2020     12 months     $ 143,750     $ 143,750     $ 18,750       10 %   $ 2.50     $ -     $ 96,208  
April 30, 2020     12 months     $ 546,250     $ 546,250     $ 71,250       10 %   $ 2.50     $ 47,500     $ 427,500  
May 6, 2020     12 months     $ 460,000     $ 460,000     $ 60,000       10 %   $ 2.50     $ 40,000     $ 360,000  
May 18, 2020     12 months     $ 546,250     $ 221,250     $ 46,250       10 %   $ 2.50     $ 35,500     $ 439,500  
June 2, 2020     12 months     $ 902,750     $ 652,750     $ 92,750       10 %   $ 2.50     $ 58,900     $ 708,500  
June 12, 2020     12 months     $ 57,500     $ 57,500     $ 7,500       10 %   $ 2.50     $ 5,000     $ 45,000  
June 22, 2020     12 months     $ 138,000     $ 138,000     $ 18,000       10 %   $ 2.50     $ 12,000     $ 108,000  
July 7, 2020     12 months     $ 586,500     $ 586,500     $ 76,500       10 %   $ 2.50     $ 51,000     $ 400,234  
July 17, 2020     12 months     $ 362,250     $ 362,250     $ 47,250       10 %   $ 2.50     $ 31,500     $ 185,698  
July 29, 2020     12 months     $ 345,000     $ 345,000     $ 45,000       10 %   $ 2.50     $ 30,000     $ 241,245  
July 21, 2020 (5)     12 months     $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ 10,000     $ 24,875  
August 14, 2020     12 months     $ 762,450     $ 462,450     $ 69,450       10 %   $ 2.50     $ 66,300     $ 580,124  
September 10, 2020     12 months     $ 391,000     $ 391,000     $ 51,000       10 %   $ 2.50     $ 34,000     $ 231,043  
September 21, 2020 (5)     12 months     $ 345,000     $ 345,000     $ 45,000       10 %   $ 2.50     $ 30,000     $ 66,375  
September 23, 2020 (5)     12 months     $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ 10,000     $ 20,500  
September 25, 2020 (5)     12 months     $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ -     $ 19,125  
December 3, 2020     12 months     $ 299,000     $ 299,000     $ 39,000       10 %   $ 2.50     $ 26,000     $ 197,882  
December 21, 2020     6 months     $ 100,000     $ 100,000     $ 5,000       12 %   $ 2.50     $ 29,964     $ 24,400  
October 22, 2020 (5)     12 months     $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ 10,000     $ 18,875  
December 23, 2020 (5)     6 months     $ 1,000,000     $ 1,000,000     $ 100,000       10 %   $ 2.50     $ -     $ 833,536  
                                                                 
                    $ 11,493,837     $ 1,113,600                     $ 889,714     $ 7,406,682  

 

  (1) The Note is past due. The Company and the lender are negotiating in good faith to extend the loan.
  (2) As of December 31, 2020 lender entered into a Standstill and Forbearance agreement (as described below). Loan is convertible at $2.50 until the expiration of the agreement.
  (3) Interest was capitalized and added to outstanding principal.
  (4) During the year ended December 31, 2020 the Company entered into Rate Modification Agreements with these lenders.
  (5) The Company has agreed to issue shares of common stock or warrants to lenders if their notes are not repaid by a defined date.
Summary of Changes in Convertible Debt and Revolving Note Payable, Net of Unamortized Discounts

The following table provides a summary of the changes in convertible debt and revolving note payable, net of unamortized discounts, during 2020:

 

    2020  
Balance at January 1,   $ 6,121,338  
Issuance of convertible debt, face value     10,202,150  
Deferred financing cost     (1,905,350 )
Beneficial conversion feature on convertible note     (1,756,311 )
Debt discount from shares and warrants issued with debt     (4,874,250 )
Conversion of debt into equity     (1,701,872 )
Payments     (2,857,007 )
Accretion of interest and amortization of debt discount to interest expense through December 31     5,118,222  
Note receivable netted against loan     (801,250 )
Balance at December 31     7,545,670  
Less: current portion     7,545,670  
Convertible debt, long-term portion   $ -  
Schedule of Merchant Agreements

The following table shows our Merchant Agreements as of December 31, 2020:

 

Inception Date  

Purchase

Price

     Purchased Amount     Outstanding Balance    

Daily Payment

Rate

    

Deferred Finance

Fees

  
November 5, 2020   $ 200,000     $ 275,800     $ 163,955       1,724.00     $ -  
November 19, 2020     100,000       137,900       85,013       985.00       -  
    $ 300,000     $ 413,700     $ 248,968     $ 2,709.00     $             -  

 

The following table shows our Merchant Agreements as of December 31, 2019:

 

Inception Date  

Purchase

Price

     Purchased Amount     Outstanding Balance    

Daily Payment

Rate

    

Deferred Finance

Fees

  
August 5, 2019   $ 600,000     $ 816,000     $ 421,024       4,533.33     $ 6,000  
August 19, 2019     350,000       479,500       272,315       2,664.00       3,000  
August 23, 2019     175,000       239,750       132,284       1,410.00       1,750  
September 19, 2019     275,000       384,275       256,812       2,137.36       5,000  
    $ 1,400,000     $ 1,919,525     $ 1,082,435     $ 10,744.69     $ 15,750