Quarterly report pursuant to Section 13 or 15(d)

Schedule of Other Debt (Details)

v3.23.3
Schedule of Other Debt (Details) - USD ($)
Sep. 30, 2023
Dec. 31, 2022
Short-Term Debt [Line Items]    
Totals, Principal $ 2,193,032 $ 1,788,969
Long Term, discount
Long Term, Principal 162,522 150,000
Short Term, Principal $ 2,030,510 $ 1,638,969
Non Convertible [Member]    
Short-Term Debt [Line Items]    
Interest Rate [1]
Totals, Principal $ 1,016,500 $ 878,809
Merchant Debt [Member]    
Short-Term Debt [Line Items]    
Totals, Principal [2] $ 1,014,010 $ 760,160
SBA [Member]    
Short-Term Debt [Line Items]    
Interest Rate [3] 3.75% 3.75%
Totals, Principal [3] $ 162,522 $ 150,000
[1] Interest varies from 1% to 10%. The maturity is between being past due and May 2, 2023. As of September 30, 2023, $861,500 of the non-convertible debt is past due.
[2] During the nine months ended September 30, 2023 and the year ended December 31, 2022 we signed various Merchant Agreements which are secured by second position rights to all customer receipts until the loan has been repaid in full and subject to interest rates of 4.1% - 100.9% per month. Under the terms of these agreements, we received the disclosed Purchase Price and agreed to repay the disclosed Purchase Amount, which is collected by the Merchant lenders at the Daily Payment Rate. We accounted for the Merchant Agreements as loans under ASC 860 because while we provided rights to current and future receipts, we still had control over the receipts. The difference between the Purchase Amount and the Purchase Price is imputed interest that is recorded as interest expense when paid each day. The Company’s Chief Executive Officer guarantees the Company’s performance of all representations, warranties, and covenants made by the Company in the Agreement. For loans outstanding on September 30, 2023, the maturity dates ranged from June 26, 2023 to October 15, 2023. For loan outstanding on December 31, 2022, the maturity dates ranged from April 4 to June 6, 2023.
[3] The Company entered a COVID-19 government loan in 2020, the Economic Injury Disaster Loan (or “EIDL”). The Company’s EIDL loan, $150,000, accrues interest at 3.75% and requires monthly payments of $731 for principal and interest beginning in December 2022. The balance of the principal will be due in 30 years. In connection with the EIDL loan the Company entered into a security agreement with the SBA, whereby the Company granted the SBA a security interest in all of the Company’s right, title and interest in all of the Company’s assets. During the nine months ended September 30, 2023, $14,719 interest was deferred and added to principal on EIDL loan and the Company repaid $2,197 principal on this loan. During the year ended December 31, 2020, the Company borrowed $367,039 (two-year term and 1% interest rate per annum) under the Payroll Protection program (or “2020 PPP”). During the year ended December 31, 2021, the Company borrowed $367,039 through a second Payroll Protection program (or “2021 PPP”) and extended the monthly payment date on the EIDL to December 2022. In year 2021, both 2020 PPP and 2021 PPP was forgiven by the United States and SBA.