HOW ECO SURVIVES...see how Conman prints common certificates to survive. If this was a private company would have been bankrupt years ago. Steve should get an Oscar for pretending to be a businessman lol
11. Subsequent Events
From July 2, 2014 to October 13, 2014, the Company issued to investors a total of 18,021 preferred C shares for total cash of $1,802,100, of this total cash amount $410,000 was applied towards exchange for the $440,000 settlement note and an exchange/extinguishment of accounts payable debt in the amount of $667,213.
From July 1, 2014 to September 26, 2014, the Company issued to investors a total of 834,180,277 common shares converted from 6,086.46 preferred C shares.
On July 18, 2014, the Company signed a Secured Revolving Promissory Note for up to One Million Two Hundred Thousand Dollars ($1,200,000) with an investor to facilitate purchase of inventory to service in store stocking and special order sales from The Home Depot. The note is secured by the inventory. Repayment of the note is facilitated by the assignment of the accounts receivable directly from The Home Depot to the investor. The initial term of the note is for six months with an option to extend for an additional six month period. The note will bear an 18% interest rate per annum with a maximum default interest of 24% per annum. Within three (3) Business Days after the date of this Note, the Company shall deliver to Payee a Warrant, in a form acceptable to Payee, exercisable for 18,000,000 shares of the Company’s Common Stock at a price per share equal to the closing price of the Common Stock on the trading day prior to the date of such Warrant. Upon receipt of such Warrant, Payee shall execute a 12-month lock-up agreement in customary form and reasonably acceptable to Payee. The balance of the note as of October 6, 2014 is $203,516.
On July 31, 2014, the Company issued a total of 47,000,000 common shares to settle the balance in full of two convertible notes issued on July 22, 2013 with a total face value of $30,000.
On August 5, 2014, the Company issued to Arthur Douglas & Associates 15,000,000 common shares to settle investor relations contract in full.
From August 12, 2014 to October 2, 2014, the Company issued a total of 39,000,000 common shares plus a total cash payment in the amount of $45,855 to JMJ Financial to settle in full a convertible promissory note dated September 4, 2013.
On September 16, 2014, the Company entered into a Securities Purchase Agreement with Dominion Capital, LLC, whereby Dominion agreed to fund the Company with an aggregate of up to $750,000 in Subscription Amount corresponding to an aggregate of up to $833,333.34 in the form of a 10% Original Issue Discount Senior Secured Convertible Promissory Note due September 16, 2015 and a Common Stock Purchase Warrant for up to 400,000,000 shares. This funding will be used exclusively to purchase lumber and chemicals and is to be dispersed from an escrow account. On September 29, 2014, Dominion transferred and assigned the Note and the Warrant to M2B Funding Corporation. The Note has a fixed conversion price of $0.01. The Company will repay the Note in monthly installments, with the final payment due on October 16, 2015. The Company plans on using the receivables from the sale of lumber and chemicals to comply with the terms of the repayment schedule. In the event of default, the Note is subject to an increase in the interest rate to eighteen percent (18%) per annum. In accordance with the Agreement, the Company issued a Common stock Purchase Warrant, allowing M2B Funding Corporation the right to purchase up to 400,000,000 shares of Common Stock on September 16, 2014 and expiring on September 16, 2019. The exercise price per share of the Common Stock under this Warrant shall be $0.001. The Warrant may be exercised in whole or in part, at such time by means of a cashless exercise. The Common Shares cannot be sold and or assigned for a period of one year from the original Warrant issue date. As of October 6, 2014 the company has drawn down $406,588.
