Three Day Notice
Unfortunately it seems fact and is confirmed by the latest 10-Q from 2019-08-19
Fact1:
"On August 6, 2019, subsequent to the date covered by this report the Company was served with a Three-Day Notice of Pay Rent or Quit, for failure to pay rent for the months of May, June, July and August, 2019, in the aggregate unpaid amount of $87,477.09, for the premises leased by the Company located at 1333 Keystone Way, Suite 101, Vista, California."
Fact 2:
"The Company’s current lease expired on March 1, 2019 and the Company is currently occupying the leased premises on a month to month basis. The Company is actively engaged in negotiations for the renewal of the lease and a mutually acceptable resolution with the landlord."
Fact 3:
"On January 19, 2019 the Company and Werner Funk, President and CEO, agreed to a one-year extension of the $15,000 related party note payable due to Mr. Funk. The extended due date is January 19, 2020."
Fact 4:
"On June 15, 2018 the Company entered into a Securities Purchase Agreement with an accredited investor, under which the investor purchased a Secured Convertible Promissory Note from the Company in the principal amount of $100,000. Under the terms of the Note simple interest will accrue at a rate of 10% per annum. The note will automatically mature and be due and payable on the eighteen (18) month anniversary. The Company shall make principal payments under the Note in the amount of $5,000 per month, beginning on the seventh month anniversary and continuing each month thereafter through the maturity date. Also commencing on the seventh month anniversary of the Note, the Company shall make interest payments under this Note based on the unpaid principal balance. The Note is secured by the inventory of the Company in accordance with a Security Agreement executed concurrently with the Note and UCC-1 Financing Statement perfecting said security interest."
Fact 5:
$ 8,000 cash at hand
Fact 6:
$ 400,000 accounts payable
And who knows what the "real" value of inventory really is.
All very sad, to say the least
Ed
