Quarterly report pursuant to Section 13 or 15(d)

Convertible Debt and Other Debt (Tables)

v3.21.2
Convertible Debt and Other Debt (Tables)
 9 Months Ended
Sep. 30, 2021
Debt Disclosure [Abstract]  
Schedule of Convertible Debts and Outstanding Balances

The specific terms of the convertible notes and outstanding balances as of September 30, 2021 are listed in the tables below.

 

Schedule of Convertible Debts and Outstanding Balances 

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 (1)(2)       12 months   $ 380,000     $ 166,703     $ 15,200       8 %   $ 2.50     $ 15,200     $ 332,407  
January 3, 2019 (1) (4)       6 months   $ 50,000     $ 50,000     $ 2,500       24 %   $ 7.50     $ 2,500     $ -  
June 4, 2019 (1)(2)       9 months   $ 500,000     $ 302,484     $ -       8 %   $ 2.50     $ 40,500     $ 70,631  
July 19, 2019 (1)(2)       12 months   $ 115,000     $ 115,000     $ -       4 %   $ 2.50     $ 5,750     $ 15,460  
September 27, 2019 (1) (2)       12 months   $ 78,750     $ 78,750     $ -       4 %   $ 2.50     $ 3,750     $ 13,759  
October 24,2019 (1) (2)       12 months   $ 78,750     $ 78,750     $ -       4 %   $ 2.50     $ 3,750     $ -  
11/15/2019 (1)       12 months   $ 385,000     $ 320,000     $ 35,000       10 %   $ 2.50     $ 35,000     $ 90,917  
1/2/2020 (1)       12 months   $ 330,000     $ 330,000     $ 30,000       10 %   $ 2.50     $ 30,000     $ 91,606  
1/24/2020 (1)       12 months   $ 247,500     $ 247,500     $ 22,500       10 %   $ 2.50     $ 22,500     $ 89,707  

1/29/2020

(1)

      12 months   $ 363,000     $ 363,000     $ 33,000       10 %   $ 2.50     $ 33,000     $ 297,000  
2/12/2020 (1)       12 months   $ 275,000     $ 275,000     $ 25,000       10 %   $ 2.50     $ 25,000     $ 225,000  

2/19/2020

(1)

       12 months   $ 165,000     $ 165,000     $ 15,000       10 %   $ 2.50     $ 15,000     $ 135,000  
3/11/2020 (1)       12 months   $ 330,000     $ 330,000     $ 30,000       10 %   $ 2.50     $ 30,000     $ 232,810  
3/13/2020 (1)       12 months   $ 165,000     $ 165,000     $ 15,000       10 %   $ 2.50     $ 15,000     $ 60,705  
3/26/2020 (1)       12 months   $ 111,100     $ 111,100     $ 10,100       10 %   $ 2.50     $ 10,100     $ 90,900  
4/8/2020 (1)       12 months   $ 276,100     $ 276,100     $ 25,100       10 %   $ 2.50     $ 25,000     $ 221,654  
4/17/2020 (1)       12 months   $ 143,750     $ 143,750     $ 18,750       10 %   $ 2.50     $ -     $ 96,208  
4/30/2020 (1)       12 months   $ 546,250     $ 546,250     $ 71,250       10 %   $ 2.50     $ 47,500     $ 427,500  
5/6/2020 (1)       12 months   $ 460,000     $ 460,000     $ 60,000       10 %   $ 2.50     $ 40,000     $ 360,000  
5/18/2020 (1)       12 months   $ 546,250     $ 221,250     $ 46,250       10 %   $ 2.50     $ 35,500     $ 439,500  
6/2/2020 (1)       12 months   $ 902,750     $ 652,750     $ 92,750       10 %   $ 2.50     $ 58,900     $ 708,500  
6/12/2020 (1)       12 months   $ 57,500     $ 57,500     $ 7,500       10 %   $ 2.50     $ 5,000     $ 45,000  
6/22/2020 (1)       12 months   $ 138,000     $ 138,000     $ 18,000       10 %   $ 2.50     $ 12,000     $ 108,000  
July 7, 2020 (1)       12 months   $ 586,500     $ 586,500     $ 76,500       10 %   $ 2.50     $ 51,000     $ 400,234  
July 17, 2020 (1)       12 months   $ 362,250     $ 362,250     $ 47,250       10 %   $ 2.50     $ 31,500     $ 185,698  
July 29, 2020 (1)       12 months   $ 345,000     $ 345,000     $ 45,000       10 %   $ 2.50     $ 30,000     $ 241,245  
July 21, 2020 (1) (5)       12 months   $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ 10,000     $ 24,875  
August 14, 2020 (1)       12 months   $ 762,450     $ 462,450     $ 69,450       10 %   $ 2.50     $ 66,300     $ 580,124  
September 10, 2020 (1)       12 months   $ 391,000     $ 391,000     $ 51,000       10 %   $ 2.50     $ 34,000     $ 231,043  
September 21, 2020 (1) (5)       12 months   $ 345,000     $ 345,000     $ 45,000       10 %   $ 2.50     $ 30,000     $ 66,375  
September 23, 2020 (1) (5)       12 months   $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ 10,000     $ 20,500  
September 25, 2020 (1) (5)       12 months   $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ -     $ 19,125  
December 3, 2020 (1)       12 months   $ 299,000     $ 299,000     $ 39,000       10 %   $ 2.50     $ 26,000     $ 197,882  
October 22, 2020 (1) (5)       12 months   $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ 10,000     $ 18,875  
January 5, 2021 (1)       6 months   $ 575,000     $ 475,000     $ 75,000       18 %   $ 2.50     $ -     $ -  
February 17, 2021       12 months   $ 230,000     $ 230,000     $ 30,000       10 %   $ 2.50     $ 20,000     $ 180,000  
March 23, 2021       12 months   $ 55,000     $ 55,000     $ 5,000       10 %   $ 2.50     $ -     $ 36,431  
May 24, 2021       6 months   $ 54,625     $ 54,625     $ 7,125       12 %   $ 2.50     $ -     $ -  
May 6, 2021       12 months   $ 402,500     $ 402,500     $ 52,500       10 %   $ 2.50     $ 35,000     $ 312,551  
June 17, 2021       12 months   $ 230,000     $ 230,000     $ 30,000       10 %   $ 2.50     $ 20,000     $ 144,760  
June 25, 2021       12 months   $ 977,500     $ 977,500     $ 127,500       10 %   $ 2.50     $ -     $ 773,802  
May 20, 2021       12 months   $ 180,000     $ 30,000     $ 30,000       10 %   $ 2.50     $ 15,000     $ 25,824  
June 3, 2021       12 months   $ 50,000     $ 50,000     $ 1,500       12 %   $ 2.50     $ -     $ 7,948  
June 28, 2021       12 months   $ 350,000     $ 350,000     $ 35,000       12 %     (6 )   $ 22,750     $ 267,250  
July 3, 2021       12 months   $ 115,000     $ 115,000     $ 15,000       10 %   $ 2.50     $ 10,000     $ 90,000  
July 1, 2021       6 months   $ 260,000     $ 260,000     $ 10,000       12 %   $ 2.50     $ -     $ 89,640  
July 6, 2021       6 months   $ 125,000     $ 125,000     $ -       12 %   $ 2.50     $ -     $ 42,031  
July 6, 2021       6 months   $ 125,000     $ 125,000     $ -       12 %   $ 2.50     $ -     $ 42,031  
July 15, 2021       6 months   $ 100,000     $ 100,000     $ 5,000       12 %   (7 )    $ -     $ 57,716  
July 16, 2021       6 months   $ 50,000     $ 50,000     $ 2,000       12 %   $ 3.00     $ -     $ 40,806  
July 16, 2021 (3)       6 months   $ 306,250     $ 306,250     $ 56,250       (3 )   (8 )   $ 22,500     $ 227,500  
July 16, 2021 (3)       6 months   $ 306,250     $ 306,250     $ 56,250       (3 )   (8 )   $ 12,500     $ 237,500  
July 16, 2021 (3)       6 months   $ 122,500     $ 122,500     $ 22,500       (3 )   (8 )   $ 5,000     $ 95,000  
August 31, 2021       6 months   $ 189,750     $ 189,750     $ 24,750       10 %   (9 )   $ 16,500     $ 148,500  
Sept. 8, 2021       8 months   $ 78,000     $ 78,000     $ 3,000       12 %   (7 )   $ -     $ 40,449  
Sept. 10, 2021       8 months   $ 100,000     $ 100,000     $ 4,000       12 %   (7 )   $ -     $ 43,520  
Sept. 15, 2021       8 months   $ 250,000     $ 250,000     $ 12,500       12 %   (7 )   $ -     $ 108,801  
Sept. 16, 2021       8 months   $ 250,000     $ 250,000     $ 12,500       12 %   (7 )   $ -     $ 112,337  
Sept. 24, 2021       8 months   $ 125,000     $ 125,000     $ 6,250       12 %   $ (7 )   $ -     $ 61,876  
Sept. 15, 2021       6 months   $ 250,000     $ 250,000     $ 37,500       12 %   $ (7 )   $ 30,000     $ -  
                                                                 
                    $ 14,452,462     $ 1,667,225                     $ 1,019,000     $ 9,324,513  

 

  (1) The Note is past due. The Company and the lender are negotiating in good faith to extend the loan.
  (2)

In recent quarters the Company and lenders have entered into Standstill and Forbearance Agreements (as described below).
  (3) Note is secured by the assets of the Company’s subsidiary, PBI Agrochem, Inc. and interest rate is 18.4% OID.
  (4) During the year ended December 31, 2020 the Company entered into a Rate Modification Agreement with this lender. In this agreement the lender agreed to reduce their interest rate and were granted the right to convert loans using a variable conversion price if more than one other variable rate lender converted at a variable rate.
  (5) The Company has agreed to issue shares of its common stock to lenders if their notes are not repaid by a defined date.
  (6) Loan is not convertible until 180 days from the date of issuance of the Note and following an Event of Default will be convertible at the lesser of $2.50 per share or 90% of the lowest trading price over the previous 20 days. The loan is guaranteed by the Company’s Chief Executive Officer, but the lender may only enforce this guarantee after certain conditions have been met, specifically after (i) the occurrence of an Event of Default (as defined in the Note), (ii) the failure of the Company to cure the Default in 10 business days, and (iii) a failure by the Company to issue, or cause to be issued, shares of its common stock upon submission by the lender of a notice of conversion.
  (7) Notes are convertible before maturity at $2.50 per share or mandatorily convertible when the Company up-lists to the NASDAQ at the lower of $2.50 or the up-list price.
  (8) Notes can be converted at the lesser of $2.50 per share or 25% discount to the opening price of the Company’s first day of trading on either Nasdaq or NYSE. In addition, if the Company fails to pay the Note in cash on maturity date, the conversion price will be adjusted to the lesser of original conversion price or the product of the VWAP of the common stock for the 5 trading dates immediately prior to the maturity date multiplied by 0.75.
  (9) Conversion price of this note is $2.50 and will be adjusted to, upon an Event of Default, the lower of (i) the conversion price or (ii) a 25% discount to the 5-day average VWAP of the stock prior to default. Additionally, if an up-list to a national exchange occurs while this note is outstanding, the conversion price shall be changed to the lower of (i) the conversion price or (ii) a 25% discount to the up-list price.
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, net of unamortized discounts, during 2021:

 Summary of Changes in Convertible Debt and Revolving Note Payable, Net of Unamortized Discounts

    2021  
Balance at January 1,   $ 7,545,670  
Issuance of convertible debt, face value     5,857,375  
Deferred financing cost     (802,875 )
Beneficial conversion feature on convertible note     (1,231,528 )
Debt discount from shares and warrants issued with debt     (1,954,744 )
Payments     (1,608,295 )
Conversion of debt into equity     (1,305,455 )
Accretion of interest and amortization of debt discount to interest expense     5,260,151  
Balance at September 30,     11,760,299  
Less: current portion     11,760,299  
Convertible debt, long-term portion   $ –  
Schedule of Merchant Agreements

The following table shows our Merchant Agreements as of September 30, 2021:

 Schedule of Merchant Agreements

Inception Date  

Purchase

Price

    

Purchased

Amount

    

Outstanding

Balance

    

Daily

Payment

Rate

    

Deferred

Finance

Fees

  
March 26, 2021     240,000       330,960       20,775       2,364       -  
May 3, 2021     200,000       275,800       51,470       1,970       5,000  
June 2, 2021     135,000       186,165       61,657       1,400       1,350  
July 6, 2021     125,000       166,250       76,416       1,279       2,500  
    $ 700,000     $ 959,175     $ 210,318     $ 7,013     $ 8,850  

 

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     $            -  
November 19, 2020     100,000       137,900       85,013       985       -  
    $ 300,000     $ 413,700     $ 248,968     $ 2,709     $ -