Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2024 | Jul. 22, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2024 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2024 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 000-25991 | |
Entity Registrant Name | MANHATTAN BRIDGE CAPITAL, INC. | |
Entity Central Index Key | 0001080340 | |
Entity Tax Identification Number | 11-3474831 | |
Entity Incorporation, State or Country Code | NY | |
Entity Address, Address Line One | 60 Cutter Mill Road | |
Entity Address, City or Town | Great Neck | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 11021 | |
City Area Code | (516) | |
Local Phone Number | 444-3400 | |
Title of 12(b) Security | Common shares, par value $.001 | |
Trading Symbol | LOAN | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 11,438,651 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Assets | ||
Loans receivable | $ 66,859,733 | $ 73,048,403 |
Interest and other fees receivable on loans | 1,488,784 | 1,395,905 |
Cash | 105,929 | 104,222 |
Cash - restricted | 1,587,773 | |
Other assets | 134,321 | 63,636 |
Right-of-use asset - operating lease, net | 180,446 | 207,364 |
Deferred financing costs, net | 23,101 | 27,583 |
Total assets | 68,792,314 | 76,434,886 |
Liabilities: | ||
Line of credit | 17,345,510 | 25,152,338 |
Senior secured notes (net of deferred financing costs of $134,528 and $172,069, respectively) | 5,865,472 | 5,827,931 |
Deferred origination fees | 646,027 | 719,019 |
Accounts payable and accrued expenses | 242,248 | 295,292 |
Operating lease liability | 193,800 | 220,527 |
Dividends payable | 1,315,445 | 1,287,073 |
Total liabilities | 25,608,502 | 33,502,180 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred shares - $.01 par value; 5,000,000 shares authorized; none issued | ||
Common shares - $.001 par value; 25,000,000 shares authorized; 11,757,058 issued; 11,438,651 and 11,440,651 outstanding, respectively | 11,757 | 11,757 |
Additional paid-in capital | 45,555,408 | 45,548,876 |
Less: Treasury stock, at cost – 318,407 and 316,407 shares, respectively | (1,070,406) | (1,060,606) |
Accumulated deficit | (1,312,947) | (1,567,321) |
Total stockholders’ equity | 43,183,812 | 42,932,706 |
Total liabilities and stockholders’ equity | $ 68,792,314 | $ 76,434,886 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Senior secured notes, deferred financing costs | $ 134,528 | $ 172,069 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 25,000,000 | 25,000,000 |
Common stock, shares issued | 11,757,058 | 11,757,058 |
Common stock, shares outstanding | 11,438,651 | 11,440,651 |
Treasury stock, shares | 318,407 | 316,407 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Revenue: | ||||
Interest income from loans | $ 2,032,687 | $ 1,942,527 | $ 4,175,174 | $ 3,896,349 |
Origination fees | 410,528 | 456,835 | 841,119 | 900,806 |
Total revenue | 2,443,215 | 2,399,362 | 5,016,293 | 4,797,155 |
Operating costs and expenses: | ||||
Interest and amortization of deferred financing costs | 603,230 | 595,427 | 1,293,819 | 1,241,690 |
Referral fees | 500 | 1,000 | 1,000 | 1,292 |
General and administrative expenses | 434,282 | 400,979 | 844,560 | 897,075 |
Total operating costs and expenses | 1,038,012 | 997,406 | 2,139,379 | 2,140,057 |
Income from operations | 1,405,203 | 1,401,956 | 2,876,914 | 2,657,098 |
Other income | 4,500 | 20,380 | 9,000 | 24,880 |
Income before income tax expense | 1,409,703 | 1,422,336 | 2,885,914 | 2,681,978 |
Income tax expense | (650) | (650) | (650) | (650) |
Net income | $ 1,409,053 | $ 1,421,686 | $ 2,885,264 | $ 2,681,328 |
Basic and diluted net income per common share outstanding: | ||||
—Basic | $ 0.12 | $ 0.12 | $ 0.25 | $ 0.23 |
—Diluted | $ 0.12 | $ 0.12 | $ 0.25 | $ 0.23 |
Weighted average number of common shares outstanding: | ||||
—Basic | 11,438,651 | 11,475,406 | 11,438,662 | 11,485,116 |
—Diluted | 11,438,651 | 11,475,406 | 11,438,662 | 11,485,116 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock, Common [Member] | Retained Earnings [Member] | Total |
Balance at Dec. 31, 2022 | $ 11,757 | $ 45,535,811 | $ (798,939) | $ (1,885,056) | $ 42,863,573 |
Balance, shares at Dec. 31, 2022 | 11,757,058 | 262,113 | |||
Non - cash compensation | 6,532 | 6,532 | |||
Dividends declared and payable | (1,289,428) | (1,289,428) | |||
Net income | 2,681,328 | 2,681,328 | |||
Purchase of treasury shares | $ (164,806) | (164,806) | |||
Purchase of treasury stock, shares | 33,360 | ||||
Dividends paid | (1,293,181) | (1,293,181) | |||
Balance at Jun. 30, 2023 | $ 11,757 | 45,542,343 | $ (963,745) | (1,786,337) | 42,804,018 |
Balance, shares at Jun. 30, 2023 | 11,757,058 | 295,473 | |||
Balance at Mar. 31, 2023 | $ 11,757 | 45,539,077 | $ (798,939) | (1,918,595) | 42,833,300 |
Balance, shares at Mar. 31, 2023 | 11,757,058 | 262,113 | |||
Non - cash compensation | 3,266 | 3,266 | |||
Dividends declared and payable | (1,289,428) | (1,289,428) | |||
Net income | 1,421,686 | 1,421,686 | |||
Purchase of treasury shares | $ (164,806) | (164,806) | |||
Purchase of treasury stock, shares | 33,360 | ||||
Balance at Jun. 30, 2023 | $ 11,757 | 45,542,343 | $ (963,745) | (1,786,337) | 42,804,018 |
Balance, shares at Jun. 30, 2023 | 11,757,058 | 295,473 | |||
Balance at Dec. 31, 2023 | $ 11,757 | 45,548,876 | $ (1,060,606) | (1,567,321) | 42,932,706 |
Balance, shares at Dec. 31, 2023 | 11,757,058 | 316,407 | |||
Non - cash compensation | 6,532 | 6,532 | |||
Dividends declared and payable | (1,315,445) | (1,315,445) | |||
Net income | 2,885,264 | 2,885,264 | |||
Purchase of treasury shares | $ (9,800) | (9,800) | |||
Purchase of treasury stock, shares | 2,000 | ||||
Dividends paid | (1,315,445) | (1,315,445) | |||
Balance at Jun. 30, 2024 | $ 11,757 | 45,555,408 | $ (1,070,406) | (1,312,947) | 43,183,812 |
Balance, shares at Jun. 30, 2024 | 11,757,058 | 318,407 | |||
Balance at Mar. 31, 2024 | $ 11,757 | 45,552,142 | $ (1,070,406) | (1,406,555) | 43,086,938 |
Balance, shares at Mar. 31, 2024 | 11,757,058 | 318,407 | |||
Non - cash compensation | 3,266 | 3,266 | |||
Dividends declared and payable | (1,315,445) | (1,315,445) | |||
Net income | 1,409,053 | 1,409,053 | |||
Balance at Jun. 30, 2024 | $ 11,757 | $ 45,555,408 | $ (1,070,406) | $ (1,312,947) | $ 43,183,812 |
Balance, shares at Jun. 30, 2024 | 11,757,058 | 318,407 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | ||
Cash flows from operating activities: | |||
Net income | $ 2,885,264 | $ 2,681,328 | |
Adjustments to reconcile net income to net cash provided by operating activities - | |||
Amortization of deferred financing costs | 44,191 | 49,494 | |
Adjustment to right-of-use asset - operating lease and liability | 190 | 1,230 | |
Depreciation | 2,209 | 1,946 | |
Non-cash compensation expense | 6,532 | 6,532 | |
Changes in operating assets and liabilities: | |||
Interest and other fees receivable on loans | (92,879) | 89,214 | |
Other assets | (71,703) | (72,115) | |
Accounts payable and accrued expenses | (53,044) | (58,132) | |
Deferred origination fees | (72,992) | 17,853 | |
Net cash provided by operating activities | 2,647,768 | 2,717,350 | |
Cash flows from investing activities: | |||
Issuance of short-term loans | (19,677,520) | (28,122,249) | |
Collections received from loans | 25,866,190 | 32,811,877 | |
Purchase of fixed assets | (1,191) | (5,085) | |
Net cash provided by investing activities | 6,187,479 | 4,684,543 | |
Cash flows from financing activities: | |||
Repayment of line of credit, net | (7,806,828) | (4,323,513) | |
Dividends paid | (2,602,518) | (2,730,049) | |
Purchase of treasury shares | (9,800) | (164,806) | |
Deferred financing costs incurred | (2,167) | (38,191) | |
Net cash used in financing activities | (10,421,313) | (7,256,559) | |
Net (decrease) increase in cash | (1,586,066) | 145,334 | |
Cash and cash - restricted, beginning of period | [1] | 1,691,995 | 103,540 |
Cash, end of period | 105,929 | 248,874 | |
Supplemental Disclosure of Cash Flow Information: | |||
Cash paid during the period for taxes | 650 | 650 | |
Cash paid during the period for interest | 1,297,587 | 1,215,297 | |
Cash paid during the period for operating leases | 32,208 | 31,863 | |
Supplemental Schedule of Noncash Financing Activities: | |||
Dividend declared and payable | 1,315,445 | 1,289,428 | |
Loan holdback relating to mortgage receivable | $ 17,500 | ||
[1]At December 31, 2023, cash and restricted cash consisted of $ 1,587,773 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) | Dec. 31, 2023 USD ($) |
Statement of Cash Flows [Abstract] | |
Cash and restricted cash | $ 1,587,773 |
THE DESCRIPTION OF COMPANY
THE DESCRIPTION OF COMPANY | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
THE DESCRIPTION OF COMPANY | 1. THE DESCRIPTION OF COMPANY The accompanying unaudited condensed consolidated financial statements of Manhattan Bridge Capital, Inc. (“MBC”), a New York corporation founded in 1989, and its consolidated subsidiary, MBC Funding II Corp. (“MBC Funding II”), a New York corporation formed in December 2015 (collectively referred to herein as the “Company”) have been prepared by the Company in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete annual financial statements. However, in the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the Company’s annual audited consolidated financial statements for the year ended December 31, 2023 and the notes thereto included in the Company’s Annual Report on Form 10-K. Results of consolidated operations for the interim period are not necessarily indicative of the operating results to be attained in the entire fiscal year. The Company offers short-term, secured, non–banking loans to real estate investors (also known as hard money loans) to fund their acquisition, renovation, rehabilitation or development of residential or commercial properties located in the New York metropolitan area, including New Jersey and Connecticut, and in Florida. Summary of Significant Accounting Policies The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amount of revenues and expenses during the reporting period. Actual amounts could differ from those estimates. The condensed consolidated financial statements include the accounts of MBC and MBC Funding II. All significant intercompany balances and transactions have been eliminated in consolidation. Interest income from commercial loans is recognized, as earned, over the loan period. Origination fee revenue on commercial loans is amortized over the term of the respective note. |
RECENTLY ISSUED ACCOUNTING PRON
RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Changes and Error Corrections [Abstract] | |
RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS | 2. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS Management does not believe that any recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on the Company’s condensed consolidated financial statements. |
CASH _ RESTRICTED
CASH – RESTRICTED | 6 Months Ended |
Jun. 30, 2024 | |
Receivables [Abstract] | |
CASH – RESTRICTED | 3. CASH – RESTRICTED Restricted cash mainly represents collections received, pending clearance, from the Company’s commercial loans and is primarily dedicated to the reduction of the Webster Credit Line (as defined below), established pursuant to the Amended and Restated Credit Agreement (as defined below, see Note 5). |
COMMERCIAL LOANS
COMMERCIAL LOANS | 6 Months Ended |
Jun. 30, 2024 | |
Receivables [Abstract] | |
COMMERCIAL LOANS | 4. COMMERCIAL LOANS Loans Receivable The Company offers short-term secured non–banking loans to real estate investors (also known as hard money loans) to fund their acquisition and construction of properties located in the New York metropolitan area, including New Jersey and Connecticut, and in Florida. The loans are principally secured by collateral consisting of real estate and accompanied by personal guarantees from the principals of the borrowers. The loans are generally for a term of one year At June 30, 2024, the Company was committed to $ 9,057,307 At June 30, 2024, no entity had loans outstanding representing more than 10 The Company generally grants loans for a term of one year. When a performing loan reaches its maturity and the borrower requests an extension, the Company may extend the term of the loan beyond one year. Prior to granting an extension of any loan, the Company reevaluates the underlying collateral. Credit Risk Credit risk profile based on loan activity as of June 30, 2024 and December 31, 2023: SCHEDULE OF CREDIT RISK Performing loans Developers- Residential Developers- Commercial Developers- Mixed Use Total outstanding loans June 30, 2024 $ 57,210,156 $ 8,204,577 $ 1,445,000 $ 66,859,733 December 31, 2023 (audited) $ 64,729,403 $ 7,300,000 $ 1,019,000 $ 73,048,403 At June 30, 2024, the Company’s loans receivable consisted of loans in the amount of $ 26,213 760,433 1,760,250 120,000 5,265,000 16,615,666 11,446,000 Generally, borrowers are paying their interest, and the Company receives a fee in connection with the extension of the loans. In all instances, the borrower has either signed an extension agreement or is in the process of signing the extension. Accordingly, at June 30, 2024, no loan impairments exist and there are no provisions for impairments of loans or recoveries thereof. During February 2023, the Company sold one of its loans receivable at its face value of $ 485,000 152,000 Subsequent to the balance sheet date, $ 600,000 |
LINE OF CREDIT
LINE OF CREDIT | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
LINE OF CREDIT | 5. LINE OF CREDIT The Company executed an Amended and Restated Credit and Security Agreement (as amended, the “Amended and Restated Credit Agreement”), with Webster Business Credit Corporation (“Webster”), Flushing Bank (“Flushing”) and Mizrahi Tefahot Bank Ltd (“Mizrahi” and together with Webster and Flushing, the “Lenders”), which established the Company’s credit line (the “Webster Credit Line”). Currently, the Webster Credit Line provides the Company with a credit line of $ 32.5 The interest rates relating to the Webster Credit Line equal (i) the Secured Overnight Financing Rate (“SOFR”) plus a premium, which rate aggregated approximately 8.9 0.5 2.00 0.5 The Webster Credit Line contains various covenants and restrictions including, among other covenants and restrictions, limiting the amount that the Company can borrow relative to the value of the underlying collateral, maintaining various financial ratios and limitations on the terms of loans the Company makes to its customers, limiting the Company’s ability to pay dividends under certain circumstances, and limiting the Company’s ability to repurchase its common shares, sell assets, engage in mergers or consolidations, grant liens, and enter into transactions with affiliates. In addition, the Webster Credit Line contains a cross default provision which will deem any default under any indebtedness owed by us or our subsidiary, MBC Funding II, as a default under the credit line. Under the Amended and Restated Credit Agreement, the Company may repurchase, redeem or otherwise retire its equity securities in an amount not to exceed ten percent of our annual net income from the prior fiscal year. Further, the Company may issue up to $20 million in bonds through its subsidiary, of which not more than $10 million of such bonds may be secured by mortgage notes receivable, and provided that the terms and conditions of such bonds are approved by Webster, subject to its reasonable discretion. On January 31, 2023, the Company entered into an amendment, effective as of January 2, 2023, with respect to the Amended and Restated Credit Agreement with the Lenders and Mr. Ran, as guarantor, to (i) extend the maturity date of the credit line by three years to February 28, 2026; (ii) transition the applicable benchmark from LIBOR to SOFR and adjust the applicable margin with respect to Base Rate Loans and SOFR Loans; (iii) update the required calculation with respect to the fixed charge coverage ratio covenant; (iv) further increase the limit on individual loans and the concentration of any mortgagor (together with guarantors and other related entities and affiliates); and (v) eliminate the requirement to pledge additional mortgage loans as collateral for the credit line. In addition, the terms of the personal guaranty provided by Mr. Ran were amended such that the potential sums owed under such guaranty will not exceed the sum of $ 1,000,000 The Company was in compliance with all covenants of the Webster Credit Line, as amended, as of June 30, 2024. At June 30, 2024, the outstanding amount under the Amended Credit Agreement was $ 17,345,510 0.5 8.9 |
SENIOR SECURED NOTES
SENIOR SECURED NOTES | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
SENIOR SECURED NOTES | 6. SENIOR SECURED NOTES On April 25, 2016, in an initial public offering, MBC Funding II issued 6 April 22, 2026 6,000,000 1,000 Under the terms of the Indenture, the aggregate outstanding principal balance of the mortgage loans held by MBC Funding II, together with MBC Funding II’s cash on hand, must always equal at least 120 MBC Funding II may redeem the Notes, in whole or in part, at any time after April 22, 2019, upon at least 30 days prior written notice to the Noteholders. The redemption price will be equal to the outstanding principal amount of the Notes redeemed plus the accrued but unpaid interest thereon up to, but not including, the date of redemption, without penalty or premium. No Notes were redeemed by MBC Funding II as of June 30, 2024. MBC Funding II is obligated to offer to redeem the Notes if there occurs a “change of control” with respect to MBC Funding II or the Company or if MBC Funding II or the Company sell any assets unless, in the case of an asset sale, the proceeds are reinvested in the business of the seller. The redemption price in connection with a “change of control” will be 101 The Company guaranteed MBC Funding II’s obligations under the Notes, which are secured by its pledge of 100 The Company’s principal executive officers consist of Assaf Ran, who serves as its Chief Executive Officer and President, and Vanessa Kao, who serves as its Chief Financial Officer. As of June 30, 2024, each of Mr. Ran and Ms. Kao own an aggregate of $ 704,000 288,000 |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 6 Months Ended |
Jun. 30, 2024 | |
Basic and diluted net income per common share outstanding: | |
EARNINGS PER COMMON SHARE | 7. EARNINGS PER COMMON SHARE Basic and diluted earnings per share are calculated in accordance with Accounting Standards Codification (“ASC”) Topic 260, “Earnings Per Share” (“ASC Topic 260”). Under ASC Topic 260, basic earnings per share is computed by dividing income available to common shareholders by the weighted-average number of common shares outstanding for the period. The computation of diluted earnings per share is similar to basic earnings per share, except that the denominator is increased to include the potential dilution from the exercise of stock options and warrants for common shares using the treasury stock method. The numerator in calculating both basic and diluted earnings per common share for each period is the reported net income. |
STOCK_BASED COMPENSATION
STOCK–BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK–BASED COMPENSATION | 8. STOCK–BASED COMPENSATION Stock-based compensation expense recognized under ASC Topic 718, “Compensation-Stock Compensation,” for each of the three-month periods ended June 30, 2024 and 2023 of $ 3,266 6,532 1,000,000 195,968 15 1,000,000 28,307 One third of such restricted shares shall vest on each of September 9, 2026, September 9, 2027, and September 9, 2028, respectively. |
STOCKHOLDERS_ EQUITY
STOCKHOLDERS’ EQUITY | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
STOCKHOLDERS’ EQUITY | 9. STOCKHOLDERS’ EQUITY The Company adopted a share buyback program on April 11, 2023, for the repurchase of up to 100,000 56,294 271,468 2,000 9,800 |
COMMITMENT
COMMITMENT | 6 Months Ended |
Jun. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENT | 10. COMMITMENT In accordance with the dividend declared by the Company’s Board of Directors on March 12, 2024 0.115 1,315,445 July 15, 2024 July 10, 2024 |
COMMERCIAL LOANS (Tables)
COMMERCIAL LOANS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Receivables [Abstract] | |
SCHEDULE OF CREDIT RISK | Credit risk profile based on loan activity as of June 30, 2024 and December 31, 2023: SCHEDULE OF CREDIT RISK Performing loans Developers- Residential Developers- Commercial Developers- Mixed Use Total outstanding loans June 30, 2024 $ 57,210,156 $ 8,204,577 $ 1,445,000 $ 66,859,733 December 31, 2023 (audited) $ 64,729,403 $ 7,300,000 $ 1,019,000 $ 73,048,403 |
SCHEDULE OF CREDIT RISK (Detail
SCHEDULE OF CREDIT RISK (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total outstanding loans | $ 66,859,733 | $ 73,048,403 |
Developers-Residential [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total outstanding loans | 57,210,156 | 64,729,403 |
Developers-Commercial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total outstanding loans | 8,204,577 | 7,300,000 |
Developers-Mixed Used [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total outstanding loans | $ 1,445,000 | $ 1,019,000 |
COMMERCIAL LOANS (Details Narra
COMMERCIAL LOANS (Details Narrative) - USD ($) | 1 Months Ended | 6 Months Ended | |
Jul. 01, 2024 | Feb. 28, 2023 | Jun. 30, 2024 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loan term | 1 year | ||
Proceeds from sale of notes receivable | $ 485,000 | ||
Subsequent Event [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Payment for loans receivable | $ 600,000 | ||
Assaf Ran [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Related-party transactions | $ 152,000 | ||
Originally Due in 2016 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable | $ 26,213 | ||
Originally Due in 2019 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable | 760,433 | ||
Originally Due in 2020 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable | 1,760,250 | ||
Originally Due in 2021 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable | 120,000 | ||
Originally Due in 2022 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable | 5,265,000 | ||
Originally Due in 2023 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable | 16,615,666 | ||
Originally due in First Six Months of 2024 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable | 11,446,000 | ||
Construction Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Principal amount committed in construction loans | $ 9,057,307 | ||
Loan outstanding percentage | 10% |
LINE OF CREDIT (Details Narrati
LINE OF CREDIT (Details Narrative) - USD ($) | 6 Months Ended | |
Jun. 30, 2024 | Jan. 31, 2023 | |
Line of Credit Facility [Line Items] | ||
Debt agency fee rate | 0.50% | |
Line of credit outstanding amount | $ 17,345,510 | |
Interest rate percentage | 8.90% | |
Webster Credit Line [Member] | ||
Line of Credit Facility [Line Items] | ||
Maximum borrowing capacity | $ 32,500,000 | |
Line of credit facility, interest rate description | The interest rates relating to the Webster Credit Line equal (i) the Secured Overnight Financing Rate (“SOFR”) plus a premium, which rate aggregated approximately 8.9%, including a 0.5% agency fee, as of June 30, 2024, or (ii) a Base Rate (as defined in the Amended and Restated Credit Agreement) plus 2.00% and a 0.5% agency fee, as chosen by the Company for each drawdown. | |
Line of credit facility, interest rate at period end | 2% | |
Debt agency fee rate | 0.50% | |
Mortgage notes receivable, description | Further, the Company may issue up to $20 million in bonds through its subsidiary, of which not more than $10 million of such bonds may be secured by mortgage notes receivable, and provided that the terms and conditions of such bonds are approved by Webster, subject to its reasonable discretion. | |
Webster Credit Line [Member] | Mr. Ran [Member] | Amended and Restated Credit Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
Debt guaranteed amount | $ 1,000,000 | |
Webster Credit Line [Member] | Secured Overnight Financing Rate [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility, interest rate at period end | 8.90% | |
Debt agency fee rate | 0.50% |
SENIOR SECURED NOTES (Details N
SENIOR SECURED NOTES (Details Narrative) - USD ($) | Apr. 25, 2016 | Jun. 30, 2024 | Dec. 31, 2023 |
Short-Term Debt [Line Items] | |||
Secured notes | $ 5,865,472 | $ 5,827,931 | |
Mr. Ran [Member] | |||
Short-Term Debt [Line Items] | |||
Secured notes | 704,000 | ||
Mr. Kao [Member] | |||
Short-Term Debt [Line Items] | |||
Secured notes | $ 288,000 | ||
MBC Funding II Corp [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument description | Under the terms of the Indenture, the aggregate outstanding principal balance of the mortgage loans held by MBC Funding II, together with MBC Funding II’s cash on hand, must always equal at least 120% of the aggregate outstanding principal amount of the Notes at all times. To the extent the aggregate principal amount of the mortgage loans owned by MBC Funding II plus MBC Funding II’s cash on hand is less than 120% of the aggregate outstanding principal balance of the Notes, MBC Funding II is required to repay, on a monthly basis, the principal amount of the Notes equal to the amount necessary such that, after giving effect to such repayment, the aggregate principal amount of all mortgage loans owned by MBC Funding II plus, MBC Funding II’s cash on hand at such time is equal to or greater than 120% of the outstanding principal amount of the Notes. For this purpose, each mortgage loan is deemed to have a value equal to its outstanding principal balance, unless the borrower is in default of its obligations. | ||
Debt instrument collateral, percentage | 120% | ||
Common stock outstanding percentage | 100% | ||
MBC Funding II Corp [Member] | Change of Control [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument, redemption price, percentage | 101% | ||
Senior Secured Notes [Member] | |||
Short-Term Debt [Line Items] | |||
Principal amount of each note | $ 1,000 | ||
Senior Secured Notes [Member] | Indenture [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument interest rate | 6% | ||
Debt instrument maturity date | Apr. 22, 2026 | ||
Debt instrument principal amount | $ 6,000,000 |
STOCK_BASED COMPENSATION (Detai
STOCK–BASED COMPENSATION (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Sep. 09, 2011 | Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Share based compensation | $ 3,266 | $ 3,266 | $ 6,532 | $ 6,532 | |
Remaining shares of restricted stock, shares | 1,000,000 | ||||
Unrecognized stock-based compensation | $ 28,307 | $ 28,307 | |||
Vesting term | One third of such restricted shares shall vest on each of September 9, 2026, September 9, 2027, and September 9, 2028, respectively. | ||||
Chief Executive Officer [Member] | |||||
Fair value of restricted shares granted, shares | 1,000,000 | ||||
Fair value of restricted shares granted | $ 195,968 | ||||
Fair value of restricted shares amortization period | 15 years |
STOCKHOLDERS_ EQUITY (Details N
STOCKHOLDERS’ EQUITY (Details Narrative) - Common Stock [Member] - USD ($) | 3 Months Ended | 12 Months Ended | |
Apr. 11, 2023 | Mar. 31, 2024 | Apr. 10, 2024 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Number of shares purchased | 2,000 | 56,294 | |
Number of shares purchased, value | $ 9,800 | $ 271,468 | |
Maximum [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Number of shares repurchased | 100,000 |
COMMITMENT (Details Narrative)
COMMITMENT (Details Narrative) - USD ($) | Mar. 12, 2024 | Jun. 30, 2024 | Dec. 31, 2023 |
Dividends Payable [Line Items] | |||
Cash dividend, per share | $ 0.115 | ||
Dividend payable value | $ 1,315,445 | $ 1,315,445 | $ 1,287,073 |
Dividend Paid [Member] | |||
Dividends Payable [Line Items] | |||
Dividends payable, declared date | Mar. 12, 2024 | ||
Dividends payable, date to be paid | Jul. 15, 2024 | ||
Dividend payable record date | Jul. 10, 2024 |