NOTE 5 – NOTE RECEIVABLE
On December 17, 2013, the Company signed a receivable note with a KMBT, a manufacturer of machinery, in the aggregate amount of $285,000, at an interest rate of eight percent (8%) per annum. The drawdown notes can be prepaid upon five days notice and is payable nine months following its issuance. On October 31, 2014, the Company signed an agreement which postponed the loan payment until January 31, 2015. The amount receivable from KMBT at September 30, 2014, includes accrued interest resulting in a balance of $290,827.
KMBT is Korea Microbubble Technologies which ECOS owns 50% of. So effectively their note receivable is from an entity they own 50% of or stated a bit differently their biggest financial statement asset is a loan to themselves.
