v3.26.1
Notes Payable
6 Months Ended
Jun. 30, 2026
Notes Payable [Abstract]  
NOTES PAYABLE

NOTE 8 – NOTES PAYABLE

 

Premium Financing

 

On June 9, 2026, the company entered into an agreement with a lender to provide financing in the amount of $224,000 for the insurance premiums associated with two D&O policies. Both policies commenced June 12, 2026, and provide coverage for the next 12 months, expiring June 11, 2027. The loan bears interest at a fixed rate of 11.56% per annum. The company was required to prepay $62,000 and it is included on the balance sheet as other asset. On July 12, 2026, the company commenced monthly principal and interest payments of $23,604. The term of the loan is 10 months. Total payments will be $236,040 and the last payment is scheduled to be made on or before April 12, 2027. As of June 30, 2026, the outstanding balance on the note was $202,554.

 

On June 12, 2025, the company entered into an agreement with Oakwood D&O Insurance to provide financing in the amount of $160,000 for the insurance premiums associated with two D&O policies. Both policies commenced June 12, 2025, and provide coverage for the next 12 months, expiring June 11, 2026. The loan bears interest at a fixed rate of 9.250% per annum. The company was required to prepay $45,000, and it is included on the balance sheet as other asset. On July 12, 2025, the company commenced monthly principal and interest payments of $16,686 which was the first of ten installments aggregating $166,860, the last payment is scheduled to be made on or before April 12, 2026. At December 31, 2025 the outstanding balance on the note was $48,000 and at June 30, 2026, the outstanding balance on the note was $0.

 

Notes Payable Reconciliation

 

The following reconciles notes payable as of June 30, 2026, and December 31, 2025:

 

    June 30,
2026
    December 31,
2025
 
Beginning balance   $ 48,000     $ 47,325  
Notes payable     224,000       160,000  
Payments on notes payable     (69,446 )     (159,325 )
Total     202,554       48,000  
Less-Notes payable – current     202,554       48,000  
Notes payable – non-current   $ -     $ -