Quarterly report pursuant to Section 13 or 15(d)

Notes Payable (Tables)

v3.21.1
Notes Payable (Tables)
3 Months Ended
Mar. 31, 2021
Debt Disclosure [Abstract]  
Schedule of Notes Payable

The Company and its subsidiaries are party to a number of loans with affiliates and unrelated parties. At March 31, 2021 (unaudited) and December 31, 2020, notes payable consisted of the following:

 

Notes Payable – Third Parties

 

    March 31, 2021     December 31, 2020  
             
Loan payable to TCA Global Master Fund, L.P. (“TCA”) in the original principal amount of $3 million at 16% interest (the “TCA Debenture”). Principal and interest payments due in various installments through December 31, 2017   $ 1,741,893     $ 1,741,893  
                 
Notes payable to CommerceNet and Jay Tenenbaum in the original principal amount of $500,000, bearing interest at 6% per annum (the “Tegal Notes”). Principal and interest payments due annually from July 12, 2015 through July 12, 2017     292,792       297,068  
                 
Note payable to Anthony O’Killough dated September 27, 2019 in the original principal amount of $1.9 million. Interest is due only upon event of default. Issued net of $0.3 million of debt discount and $0.1 million of financing fees.  Payment due in installments through November 2020.     1,450,000       1,450,000  
                 
Notes payable under the Paycheck Protection Program (“PPP) issued on April 20, 2020 through May 1, 2020 bearing interest at a rate of 1% per annum. To the extent not forgiven, principal and interest payments are due monthly beginning sixteen months from the date of issuance and the notes mature 40 months from the date of issuance.     2,385,921       2,385,921  
                 
Installment Note payable to Ponte Investments, LLC dated January 29, 2020, less original issue discount of $0.1 million, non-interest bearing, payable in weekly installment payments ranging from $22,500 to $34,000 due on or before February 5, 2020 through on or before October 21, 2020, the maturity date.     88,350       108,350  
                 
Note payable dated January 31, 2021 due six months from the date of issuance bearing interest at 10% for the period outstanding.     185,000       -  
                 
Note payable dated February 16, 2021 due six months from the date of issuance bearing interest at 10% for the period outstanding.     60,000       -  
                 
Warrant pre-payment promissory notes dated February 25, 2021, non-interest bearing, $550,000 principal amount, issued with $50,000 of original issue discounts and payable 12 months from the date of issuance     504,795       -  
                 
      6,708,751       5,983,232  
Less current portion     (5,993,895 )     (4,786,976 )
Notes payable - third parties, net of current portion   $ 714,856     $ 1,196,256  
Schedule of Notes Payable - Related Parties

Note Payable – With Former Member of our Board of Directors

 

    March 31, 2021     December 31, 2020  
    (unaudited)        
             
Loan payable to Christopher Diamantis   $ 2,627,000     $ 2,097,000  
                 
Total note payable, related party     2,627,000       2,097,000  
                 
Less current portion of notes payable, related party     (2,627,000 )     (2,097,000 )
Total note payable, related party, net of current portion   $ -     $ -