Debt Disclosure |
9 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Notes | |
| Debt Disclosure | NOTE 4 - LONG TERM NOTES RECEIVABLE - SECURED
On May 1, 2026, the Company entered into an Assignment and Contribution Agreement with 8UK6 Inc., pursuant to which 8UK6 Inc. assigned, transferred and contributed to the Company all of its rights, title and interest in a promissory note and the related deed of trust securing such note as a capital contribution. Under the agreement, the loan was assigned a value of $155,000, and the Company recognized a corresponding increase in additional paid-in capital.
The contributed loan consists of a promissory note dated April 13, 2026, executed by Nanjie Huang and Le Kuai in the original principal amount of $155,000. The note is secured by a first deed of trust on residential real property located at 5827 Killarney Circle, San Jose, California, together with the related deed of trust and all rights thereunder assigned to the Company on May 1, 2026.
The promissory note bears interest at an introductory annual rate of 11.99% through April 30, 2027, after which the contractual interest rate increases to 12.75% through the maturity date of April 13, 2028. The borrower is required to make monthly interest-only payments, with the outstanding principal balance due upon maturity date of April 13, 2028.
For the three months ended June 30, 2026, the Company recognized interest income of $3,097 related to the loan receivable, representing contractual interest earned during May and June 2026. Such interest income is included in Interest Income in the accompanying condensed statements of operations.
As of June 30, 2026, the outstanding principal balance of the loan receivable was $155,000, excluding accrued interest receivable. Management evaluated the loan receivable for expected credit losses in accordance with ASC 326, Financial Instruments, Credit Losses, and concluded that no material allowance for credit losses was required as of June 30, 2026. |