Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Jun. 29, 2014 | Aug. 01, 2014 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'PARKS AMERICA, INC | ' |
Document Type | '10-Q | ' |
Document Period End Date | 29-Jun-14 | ' |
Amendment Flag | 'false | ' |
Entity Central Index Key | '0001297937 | ' |
Current Fiscal Year End Date | '--09-28 | ' |
Entity Common Stock, Shares Outstanding | ' | 74,231,537 |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
CONSOLIDATED_BALANCE_SHEETS_UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (USD $) | Jun. 29, 2014 | Sep. 29, 2013 |
ASSETS: | ' | ' |
Cash - unrestricted | $305,190 | $313,529 |
Accounts receivable | 0 | 10,875 |
Inventory | 160,552 | 146,972 |
Prepaid expenses | 56,574 | 68,995 |
Total current assets | 522,316 | 540,371 |
Property and equipment, net | 6,175,286 | 6,246,672 |
Intangible assets, net | 171,748 | 179,553 |
Other assets | 8,500 | 8,500 |
Total assets | 6,877,850 | 6,975,096 |
Liabilities | ' | ' |
Accounts payable | 84,177 | 112,532 |
Accrued expenses | 252,949 | 171,551 |
Current maturities of long-term debt | 110,133 | 106,757 |
Total current liabilities | 447,259 | 390,840 |
Long-term debt | 3,522,138 | 3,608,901 |
Total liabilities | 3,969,397 | 3,999,741 |
Stockholders' equity | ' | ' |
Common stock; 300,000,000 shares authorized, at $.001 par value; 74,231,537 and 74,106,537 shares issued and outstanding, respectively | 74,231 | 74,106 |
Capital in excess of par | 4,797,006 | 4,794,006 |
Treasury stock | -3,250 | -3,250 |
Accumulated deficit | -1,959,534 | -1,889,507 |
Total stockholders' equity | 2,908,453 | 2,975,355 |
Total liabilities and stockholders' equity | $6,877,850 | $6,975,096 |
CONSOLIDATED_BALANCE_SHEETS_PA
CONSOLIDATED BALANCE SHEETS PARANTHETICALS (UNAUDITED) (USD $) | Jun. 29, 2014 | Sep. 29, 2013 |
Parentheticals | ' | ' |
Common Stock, par value | $0.00 | $0.00 |
Common Stock, shares authorized | 300,000,000 | 300,000,000 |
Common Stock, shares issued | 74,231,537 | 74,106,537 |
Common Stock, shares outstanding | 74,231,537 | 74,106,537 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (USD $) | 3 Months Ended | 9 Months Ended | ||
Jun. 29, 2014 | Jun. 30, 2013 | Jun. 29, 2014 | Jun. 30, 2013 | |
Revenues: | ' | ' | ' | ' |
Net sales | $1,465,518 | $1,317,362 | $2,518,495 | $2,437,480 |
Sale of animals | 108 | 10,845 | 64,921 | 15,235 |
Total net sales | 1,465,626 | 1,328,207 | 2,583,416 | 2,452,715 |
Cost of sales | 159,207 | 144,076 | 339,581 | 330,403 |
Selling, general and administrative | 758,237 | 703,734 | 1,917,054 | 1,851,808 |
Depreciation and amortization | 78,105 | 63,695 | 233,520 | 203,306 |
(Gain) loss on disposal of operating assets, net | 0 | 128 | -3,964 | -11,032 |
Income from operations | 470,077 | 416,574 | 97,225 | 78,230 |
Other income, net | 2,079 | 1,256 | 7,336 | 5,627 |
Gain on retirement of debt | 0 | 0 | 0 | 105,656 |
Interest expense | -47,802 | -67,407 | -159,327 | -192,990 |
Amortization of loan fees | -2,602 | -2,336 | -7,806 | -4,672 |
Income (loss) before income taxes | 421,752 | 348,087 | -62,572 | -8,149 |
Income tax provision | 7,455 | 46,348 | 7,455 | 46,348 |
Net income (loss) | $414,297 | $301,739 | ($70,027) | ($54,497) |
Income (loss) per share - basic and diluted | $0.01 | $0 | $0 | $0 |
Weighted average shares outstanding (in 000's) - basic and diluted | 74,232 | 74,107 | 74,195 | 74,107 |
CONSOLIDATED_STATEMENT_OF_CHAN
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) (USD $) | Common Stock Shares | Common Stock Amount | Additional Paid in Capital | Treasury Stock | Accumulated Deficit | Total |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||
Balance at Sep. 30, 2012 | 73,956,537 | 73,956 | 4,792,656 | -3,250 | -2,080,408 | 2,782,954 |
Issuance of common stock to directors and officers | 150,000 | 150 | 1,350 | 0 | 0 | 1,500 |
Net Income for the Year Ended September 29, 2013 | ' | $0 | $0 | $0 | $190,901 | $190,901 |
Balance at Sep. 29, 2013 | 74,106,537 | 74,106 | 4,794,006 | -3,250 | -1,889,507 | 2,975,355 |
Issuance of common stock to directors and officers | 125,000 | 125 | 3,000 | 0 | 0 | 3,125 |
Net loss for the nine months ended June 29, 2014 | ' | $0 | $0 | $0 | ($70,027) | ($70,027) |
Balance at Jun. 29, 2014 | 74,231,537 | 74,231 | 4,797,006 | -3,250 | -1,959,534 | 2,908,453 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $) | 9 Months Ended | |
Jun. 29, 2014 | Jun. 30, 2013 | |
OPERATING ACTIVITIES: | ' | ' |
Net loss | ($70,027) | ($54,497) |
Reconciliation of net loss to net cash provided by operating activities: | ' | ' |
Depreciation and amortization expense | 233,520 | 203,306 |
Amortization of loan fees | 7,806 | 4,672 |
(Gain) on disposal of assets | -3,964 | -11,032 |
Stock-based compensation | 3,125 | 1,500 |
(Gain) from retirement of debt | 0 | -105,656 |
Changes in assets and liabilities | ' | ' |
(Increase)decrease in accounts receivable | 10,875 | 0 |
(Increase) decrease in inventory | -13,580 | 2,092 |
(Increase) decrease in prepaid expenses | 12,421 | 23,236 |
Increase (decrease) in accounts payable | -28,355 | -47,281 |
Increase (decrease) in accrued expenses | 81,398 | 130,626 |
Net cash provided by operating activities | 233,219 | 146,966 |
INVESTING ACTIVITIES: | ' | ' |
Acquisition of property and equipment | -167,571 | -287,216 |
Proceeds from the disposition of property and equipment | 9,400 | 16,396 |
Net cash used in investing activities | -158,171 | -270,820 |
FINANCING ACTIVITIES: | ' | ' |
Payments on notes payable | -83,387 | -10,179 |
Proceeds from related party borrowings | 0 | 120,000 |
Pay-off all mortgages | 0 | -3,413,782 |
Proceeds from refinancing | 0 | 3,686,962 |
Capitalization of loan fees | 0 | -186,851 |
Net cash provided by (used in) financing activities | -83,387 | 196,150 |
Net increase (decrease) in cash | -8,339 | 72,296 |
Cash at beginning of period | 313,529 | 147,962 |
Cash at end of period | 305,190 | 220,258 |
Supplemental Cash Flow Information: | ' | ' |
Cash paid for interest | 159,370 | 199,502 |
Cash paid for income taxes | $21,610 | $0 |
ORGANIZATION
ORGANIZATION | 9 Months Ended |
Jun. 29, 2014 | |
ORGANIZATION | ' |
ORGANIZATION | ' |
NOTE 1. ORGANIZATION | |
Parks! America, Inc. (“Parks!” or the “Company”) was originally incorporated on July 30, 1954 as Painted Desert Uranium & Oil Co., Inc. in Washington State. On October 1, 2002, Painted Desert Uranium & Oil Co., Inc. changed its name to Royal Pacific Resources, Inc. and its corporate domicile to the State of Nevada. | |
On December 19, 2003, Royal Pacific Resources, Inc. acquired the assets of Great Western Parks LLC pursuant to a Share Exchange Agreement that resulted in the Company assuming control and changing the corporate name to Great American Family Parks, Inc. The acquisition was accounted for as a reverse acquisition in which Great Western Parks was considered to be the acquirer of Royal Pacific Resources for reporting purposes. The Company’s common stock outstanding increased from 2,533,000 to 29,600,000 as a result of the acquisition. On June 11, 2008, the Company changed its name from Great American Family Parks, Inc. to Parks! America, Inc. | |
The Company owns and operates through wholly-owned subsidiaries two regional theme parks and is in the business of acquiring, developing and operating local and regional theme parks and attractions in the United States. Our wholly-owned subsidiaries are Wild Animal Safari, Inc., a Georgia corporation (“Wild Animal – Georgia”), and Wild Animal, Inc., a Missouri corporation (“Wild Animal – Missouri”). Wild Animal – Georgia owns and operates the Wild Animal Safari theme park in Pine Mountain, Georgia (the “Georgia Park”). Wild Animal – Missouri owns and operates the Wild Animal Safari theme park located in Strafford, Missouri (the “Missouri Park”). On June 13, 2005, the Company acquired the Georgia Park and on March 5, 2008, the Company acquired the Missouri Park. | |
The Parks are open year round but experience increased seasonal attendance during the months of April through August. On a combined basis, net sales for the third and fourth quarters of the last two fiscal years represented approximately 70% of annual net sales. |
SIGNIFICANT_ACCOUNTING_POLICIE
SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended | ||||||||
Jun. 29, 2014 | |||||||||
SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||
SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES | |||||||||
Basis of Presentation: The Company’s unaudited consolidated financial statements for the three months and nine months ended June 29, 2014 and June 30, 2013 are presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Company believes that the disclosures made are adequate to make the information presented not misleading. The information reflects all adjustments that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods set forth herein. In the opinion of management interim results reflect all normal and recurring adjustments, and are not necessarily indicative of the results for a full fiscal year. | |||||||||
These unaudited consolidated financial statements should be read in conjunction with audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 29, 2013. | |||||||||
Principles of Consolidation: The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries (Wild Animal – Georgia and Wild Animal – Missouri). All material inter-company accounts and transactions have been eliminated in consolidation. | |||||||||
Accounting Method: The Company recognizes income and expenses based on the accrual method of accounting. | |||||||||
Estimates and Assumptions: Management uses estimates and assumptions in preparing financial statements in accordance with GAAP. Those estimates and assumptions affect the reported amounts of the assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could vary from the estimates that were assumed in preparing these financial statements. | |||||||||
Uncertainties: The accompanying financial statements have been prepared on a going concern basis. The January 9, 2013 refinancing of all the Company’s then outstanding debt lowered the Company’s required annual debt service payments by approximately $174,000, see “NOTE 3. LONG-TERM DEBT” for more information. Management believes this refinancing provides the Company additional margin to continue to fund its operations and meet its debt service obligations. However, the ability of the Company to continue as a going concern during the next twelve months continues to depend on the ability of the Company to generate revenues from operations, to maintain its existing sources of capital and to meet its existing debt service obligations or obtain additional sources of capital. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. | |||||||||
Fiscal Year End: The Company’s fiscal year-end is the Sunday closest to September 30, and its quarterly close dates are also determined by the Sunday closest to the end of each quarterly reporting period. For the 2014 fiscal year, September 28 will be the last Sunday, and for the 2013 fiscal year, September 29 was the last Sunday. This fiscal calendar aligns the Company’s fiscal periods more closely with the seasonality of its business. The high season typically ends after the Labor Day holiday weekend. The period from October through early March is geared towards maintenance and preparation for the next busy season, which typically begins at Spring Break and runs through Labor Day. | |||||||||
Reclassifications: Certain accounts and financial statement captions in the prior periods have been reclassified to conform to the current period financial statements. | |||||||||
Financial and Concentrations Risk: The Company does not have any concentration or related financial credit risks. The Company maintains its cash in bank deposit accounts, which at times may exceed federally insured limits. | |||||||||
Trade Accounts Receivable: The Parks are cash businesses; therefore, the Company typically carries little or no accounts receivable. As of June 29, 2014 and September 30, 2013, the Company had $0 and $10,875 in accounts receivable, respectively, primarily from animal sales. | |||||||||
Inventory: Inventory consists of park supplies, and is stated at the lower of cost or market. Cost is determined on the first-in, first-out method. Inventories are reviewed and reconciled annually, because inventory levels turn over rapidly. | |||||||||
Property and Equipment: Property and equipment is stated at cost. Depreciation is computed on the straight-line method over the estimated useful lives of the assets, which range from five to forty years. A summary is included below. | |||||||||
June 29, | September 29, | Depreciable Lives | |||||||
2014 | 2013 | ||||||||
Land | $ | 2,507,180 | $ | 2,507,180 | not applicable | ||||
Buildings and structures | 3,104,504 | 3,060,206 | 15 - 40 years | ||||||
Facilities and equipment | 944,599 | 880,913 | 5 - 15 years | ||||||
Furniture and fixtures | 75,189 | 75,189 | 7 years | ||||||
Ground improvements | 785,336 | 785,336 | 15 years | ||||||
Park animals | 609,328 | 604,640 | 5 - 10 years | ||||||
Rides and entertainment | 22,000 | 22,000 | 7 years | ||||||
Vehicles | 379,304 | 337,663 | 5 years | ||||||
Total cost | 8,427,440 | 8,273,127 | |||||||
Less accumulated depreciation | -2,252,154 | -2,026,455 | |||||||
Propert and equipment, net | $ | 6,175,286 | $ | 6,246,672 | |||||
Other Intangible Assets: Other intangible assets include loan fees, franchising fees, and payroll software, which are reported at cost. Loan fees are amortized over the life of the respective loan, currently 20 years for the term loan and seven years for the line-of-credit. See “NOTE 3. LONG-TERM DEBT” for more information. Franchising fees are amortized over a period of 60 months and payroll software over a period of 36 months. | |||||||||
Impairment of Long-Lived Assets: The Company reviews its major assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If an asset is considered impaired, then impairment will be recognized in an amount determined by the excess of the carrying amount of the asset over its fair value. | |||||||||
Financial Instruments: The carrying amounts of financial instruments are considered by management to be their estimated fair values due to their short-term maturities. Securities that are publicly traded are valued at their fair market value based as of the balance sheet date presented. | |||||||||
Revenue Recognition: The major source of income is received from Park admissions. Park revenues from admission fees are recognized upon receipt of the cash at the time of our customers’ visit to the Parks. Park ticket sales are typically not made in advance. Short-term seasonal passes are sold primarily during the summer season and are negligible to our results of operations and are not material. The Company has developed a business of selling surplus animals created from the natural breeding process that occurs within the parks. All animal sales are reported as a separate line item. | |||||||||
Advertising and Market Development: The Company expenses advertising and marketing costs as incurred. | |||||||||
Share-Based Compensation: Prior to January 1, 2006, the Company accounted for share-based compensation under recognition and measurement principles of ASC 718 and as permitted under APB Opinion No. 25, and related interpretations. Effective January 1, 2006, the Company adopted ASC 718 using the modified prospective method, which recognizes share-based compensation costs on a straight-line basis over the requisite service period associated with the grant. ASC 718 requires that cash flows resulting from tax deductions in excess of the cumulative compensation cost recognized for options exercised be classified as cash inflows from financing activities and cash outflows from operating activities. The company also applies ASC 718 and EITF No. 96-18 share-based compensation to non-employees. No activity has occurred in relation to stock options during any period presented. The Company awards shares to its Board of Directors for service on the Board. The shares issued to the Board are “restricted” and are not to be re-sold unless an exemption is available, such as the exemption afforded by Rule 144 promulgated under the Securities Act of 1933, as amended (the “Securities Act”). The Company recognizes share-based compensation expense based on the fair market value at time of the grant. Each director is typically granted 25,000 restricted shares annually, usually toward the end of the calendar year. | |||||||||
Income Taxes: The Company utilizes the liability method of accounting for income taxes. Under the liability method deferred tax assets and liabilities are determined based on the differences between the financial reporting basis and the tax basis of the assets and liabilities, and are measured using the enacted tax rates and laws. Management periodically reviews the Company’s deferred tax assets to determine whether their value can be realized based on available evidence. A valuation allowance is established when management believes it is more likely than not, that such tax benefits will not be realized. Changes in valuation allowances from period to period are included in the Company’s income tax provision in the period of change. | |||||||||
Basic and Diluted Net Income (Loss) Per Share: Basic net income (loss) per share amounts are computed based on the weighted average number of shares actually outstanding. Diluted net income (loss) per share amounts are computed using the weighted average number of common shares and common equivalent shares outstanding as if shares had been issued on the exercise any common share rights unless the exercise becomes anti-dilutive and then only the basic per share amounts are shown in the report. | |||||||||
Basic and diluted net income (loss) per share is computed by dividing net income (loss) available to common stockholders by the weighted average number of common shares outstanding in each period. | |||||||||
Dividend Policy: The Company has not yet adopted a policy regarding payment of dividends. | |||||||||
Recent Accounting Pronouncements: The Company does not expect recently issued accounting standards or interpretations to have a material impact on the Company’s financial position, results of operations, cash flows or financial statement disclosures. |
LONGTERM_DEBT
LONG-TERM DEBT. | 9 Months Ended | ||||||
Jun. 29, 2014 | |||||||
LONG TERM DEBT. | ' | ||||||
LONG-TERM DEBT. | ' | ||||||
NOTE 3. LONG-TERM DEBT | |||||||
On January 9, 2013, the Company completed a refinancing transaction (the “Refinancing Loan”) with Commercial Bank & Trust Company of Troup County (“CB&T”) as lender. The Refinancing Loan was for a principal amount of $3,752,000 and has a 20-year term. The Refinancing Loan bears interest at the rate of Prime Rate plus 2.50% or 5.75% during the first five years of the loan term. Thereafter, the interest rate will be re-priced every five years based on the then-Prime Rate plus 2.50%. During the first four months following the closing of the Refinancing Loan the Company was required to make interest-only payments. The minimum required monthly payment is approximately $26,343 during the first five years of the Refinancing Loan term. | |||||||
The closing costs for the Refinancing Loan totaled $175,369 and are being amortized over the term of the loan. The Company used the proceeds from the Refinancing Loan to pay off all of its then-outstanding debt, with an additional $230,000 available for new construction and renovations at the Parks, which was fully utilized as of September 29, 2013. | |||||||
June 29, | September 29, | ||||||
2014 | 2013 | ||||||
On January 9, 2013, the Company completed a refinancing transaction with CB&T as lender. The Refinancing Loan was for a principal amount of $3,752,000 and has a 20-year term. | $ | 3,632,271 | $ | 3,715,658 | |||
Less current portion of long-term debt | -110,133 | -106,757 | |||||
Long-term debt | $ | 3,522,138 | $ | 3,608,901 | |||
At June 29, 2014, the scheduled future principal maturities by fiscal year are as follows: | |||||||
2014 | $ | 26,944 | |||||
2015 | 111,724 | ||||||
2016 | 118,320 | ||||||
2017 | 125,305 | ||||||
2018 | 132,703 | ||||||
thereafter | 3,117,275 | ||||||
Total | $ | 3,632,271 | |||||
LINES_OF_CREDIT
LINES OF CREDIT | 9 Months Ended |
Jun. 29, 2014 | |
LINES OF CREDIT | ' |
LINES OF CREDIT | ' |
NOTE 4. LINES OF CREDIT | |
The Company maintains a $350,000 line of credit (the “LOC”) loan from CB&T for working capital purposes. This LOC has an initial term of seven years, subject to the satisfactory performance by the Company. The LOC interest rate is tied to prime but has a minimum rate of 5.25%. The closing costs for LOC totaled $11,482 and are being amortized over the initial seven-year term of the loan. The LOC was not utilized as of June 29, 2014 and September 29, 2013, respectively. When applicable, all advances are recorded as current liabilities. | |
During the Company’s 2014 and 2013 fiscal years, the Company’s Board of Directors approved the offer of two of the Company’s Directors to loan the Company additional funds to support its seasonal working capital requirements. These loans have been made on the same terms and conditions as the LOC with CB&T. As of June 29, 2014 and September 29, 2013, respectively, there were no outstanding balances against these loans. When applicable, all advances on director loans are recorded as current liabilities. |
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 9 Months Ended |
Jun. 29, 2014 | |
STOCKHOLDERS' EQUITY | ' |
STOCKHOLDERS' EQUITY | ' |
NOTE 5. STOCKHOLDERS’ EQUITY | |
Common stock shares issued for service to the Company are valued based on market price on the date of issuance. On December 19, 2013, the Company awarded 125,000 shares to five directors for their service on the Board of Directors at a fair market value of $0.025 per share or $3,125, which was reported as an expense in the first quarter of the 2014 fiscal year. During October 2012, the Company awarded 150,000 shares to six directors for their service on the Board of Directors at a fair market value of $0.01 per share or $1,500, which was reported as an expense in the 2013 fiscal year. | |
Officer, directors and their controlled entities own approximately 43% of the outstanding common stock of the Company as of June 29, 2014. |
SIGNIFICANT_TRANSACTIONS_WITH_
SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES | 9 Months Ended |
Jun. 29, 2014 | |
SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES | ' |
SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES | ' |
NOTE 6. SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES | |
Employment Agreements: | |
Effective June 1, 2009, the Company entered into an employment agreement with Dale Van Voorhis (the “2009 Van Voorhis Employment Agreement”) to serve as the Company’s Chief Operating Officer. The 2009 Van Voorhis Employment Agreement expired on May 31, 2014 and was replaced by an employment agreement between the Company and Mr. Van Voorhis dated as of June 1, 2014 (the “2014 Van Voorhis Employment Agreement”). Pursuant to the 2014 Van Voorhis Employment Agreement, Mr. Van Voorhis receives an initial base compensation in the amount of $90,000 per year, which is reviewed annually by the Board of Directors. The 2014 Van Voorhis Employment Agreement has a term of two years and entitles Mr. Van Voorhis to participate in any deferred compensation plan the Company may adopt during the term of his employment with the Company. | |
On April 1, 2008, the Company entered into an employment agreement with Jim Meikle (the “2008 Meikle Employment Agreement”) pursuant to which Mr. Meikle was hired to serve as the President and Chief Executive Officer of each of the Company’s wholly-owned subsidiaries. The 2008 Meikle Employment Agreement expired on March 31, 2013 and was replaced by an employment agreement between the Company and Mr. Meikle dated as of April 1, 2013 (the “2013 Meikle Employment Agreement”). Pursuant to the 2013 Meikle Employment Agreement, Mr. Meikle receives an initial base compensation in the amount of $135,000 per year, which is reviewed annually by the Board of Directors. The 2013 Meikle Employment Agreement has a term of two years and entitles Mr. Meikle to participate in any deferred compensation plan the Company may adopt during the term of his employment with the Company. | |
Effective January 1, 2014, the Company entered into an employment agreement with Todd R. White (the “White Employment Agreement”) to serve as the Company’s Chief Financial Officer. As consideration for his services, Mr. White will receive an initial base compensation of $50,000 per year, which is to be reviewed annually by the Board of Directors. The White Employment Agreement has a term of five years and entitles Mr. White to participate in any deferred compensation plan the Company may adopt during the term of his employment with the Company. | |
Each of the foregoing employment agreements contains provisions for severance compensation in the event an agreement is (i) terminated early by the Company without cause or (ii) in the event of a change in control of the Company. This additional severance compensation payable totals $455,000. | |
Lines of Credit: | |
During the Company’s 2014 and 2013 fiscal years, the Company’s Board of Directors approved the offer of two of the Company’s Directors to loan the Company additional funds to support its seasonal working capital requirements. These loans have been made on the same terms and conditions as the LOC with CB&T. As of June 29, 2014 and September 29, 2013, respectively, there were no outstanding balances against these loans. |
INCOME_TAXES
INCOME TAXES | 9 Months Ended |
Jun. 29, 2014 | |
INCOME TAXES | ' |
INCOME TAXES | ' |
NOTE 7. INCOME TAXES | |
For the nine month period ended June 29, 2014, the Company reported a pre-tax loss of $62,572. For the year ending September 28, 2014, the Company expects to generate pre-tax income and expects to utilize a portion of its Federal net tax operating loss carry-forwards to offset any Federal taxable income in its 2014 fiscal year. | |
The cumulative Federal net operating loss carry-forward is approximately $3,956,000 at September 29, 2013 and will expire beginning in the year 2026. The net deferred tax asset generated by the Federal net operating loss carry-forward has been fully reserved. Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards of approximately $3,956,000 for Federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur, Federal net operating loss carry forwards may be limited as to use in future years. | |
The Company expects to generate 2014 fiscal year income that will be subject to State of Georgia income taxes at a rate of approximately 6%. Accordingly, the Company has recorded a tax provision of $7,455 for estimated State of Georgia income taxes for the nine months ended June 29, 2014. | |
On July 16, 2013, the State of Georgia Department of Revenue notified the Company that it had not made the proper elections with respect to Wild Animal – Georgia to allow for the filing of consolidated State of Georgia tax returns for the fiscal years 2009, 2010 and 2011. During the third quarter of the 2013 fiscal year, the Company recorded an income tax provision of $46,348 for the State of Georgia for these periods. | |
The proper elections have been made to allow Parks! America and Wild Animal – Georgia to file consolidated State of Georgia income tax returns in the 2012 fiscal year and thereafter. |
BUSINESS_SEGMENTS
BUSINESS SEGMENTS | 9 Months Ended | |||||||||||||
Jun. 29, 2014 | ||||||||||||||
BUSINESS SEGMENTS: | ' | |||||||||||||
BUSINESS SEGMENTS | ' | |||||||||||||
NOTE 8. BUSINESS SEGMENTS | ||||||||||||||
The Company manages its operations on an individual location basis. Discrete financial information is maintained for each Park and provided to management for review and as a basis for decision-making. The primary performance measures used to allocate resources are Park earnings before interest and tax expense, and free cash flow. Management believes earnings before interest and tax expense is the best measure of segment performance because it is indicative of performance trends and the overall earnings potential of each reportable segment. The following tables present financial information regarding each of the Company’s reportable segments: | ||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||
June 29, | June 30, | June 29, | June 30, | |||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Total net sales: | ||||||||||||||
Georgia | $ | 1,175,737 | $ | 1,026,946 | $ | 2,113,701 | $ | 1,972,414 | ||||||
Missouri | 289,889 | 301,261 | 469,715 | 480,301 | ||||||||||
Consolidated | $ | 1,465,626 | $ | 1,328,207 | $ | 2,583,416 | $ | 2,452,715 | ||||||
Income (loss) before income taxes: | ||||||||||||||
Georgia | $ | 676,958 | $ | 496,118 | $ | 811,805 | $ | 621,289 | ||||||
Missouri | 25,227 | 94,190 | -188,400 | -126,710 | ||||||||||
Segment total | 702,185 | 590,308 | 623,405 | 494,579 | ||||||||||
Corporate | -232,108 | -173,734 | -526,180 | -416,349 | ||||||||||
Other income, net | 2,079 | 1,256 | 7,336 | 5,627 | ||||||||||
Gain on retirement of debt | - | - | - | 105,656 | ||||||||||
Interest expense | -47,802 | -67,407 | -159,327 | -192,990 | ||||||||||
Amortization of loan fees | -2,602 | -2,336 | -7,806 | -4,672 | ||||||||||
Consolidated | $ | 421,752 | $ | 348,087 | $ | -62,572 | $ | -8,149 | ||||||
As of | ||||||||||||||
Total assets: | June 29, | 29-Sep-13 | ||||||||||||
2014 | ||||||||||||||
Georgia | $ | 4,424,965 | $ | 4,356,024 | ||||||||||
Missouri | 2,262,086 | 2,378,934 | ||||||||||||
Corporate | 190,799 | 240,138 | ||||||||||||
Consolidated | $ | 6,877,850 | $ | 6,975,096 | ||||||||||
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Jun. 29, 2014 | |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | ' |
NOTE 9. SUBSEQUENT EVENTS | |
In accordance with ASC 855-10, the Company has analyzed its operations subsequent to June 29, 2014 to the date these financial statements were issued and has determined that it does not have any material subsequent events to disclose in these unaudited consolidated financial statements except as follows: | |
On July 28, 2014, the Company was notified by Silberstein Ungar, PLLC (“Silbersten Ungar”), the Company’s independent registered accounting firm, that its principals joined the accounting firm of KLJ & Associates, LLP (“KLJ & Associates”). As a result, on July 28, 2014, Silberstein Ungar resigned as the Company’s independent registered public accounting firm. On July 31, 2014 the Company’s Board of Directors, acting upon the recommendation of the Company’s audit committee, approved the engagement of KLJ & Associates, as the Company’s independent registered public accounting firm. |
SIGNIFICANT_ACCOUNTING_POLICIE1
SIGNIFICANT ACCOUNTING POLICIES (POLICIES) | 9 Months Ended | ||||||||
Jun. 29, 2014 | |||||||||
SIGNIFICANT ACCOUNTING POLICIES {2} | ' | ||||||||
Basis of Presentation | ' | ||||||||
Basis of Presentation: The Company’s unaudited consolidated financial statements for the three months and nine months ended June 29, 2014 and June 30, 2013 are presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Company believes that the disclosures made are adequate to make the information presented not misleading. The information reflects all adjustments that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods set forth herein. In the opinion of management interim results reflect all normal and recurring adjustments, and are not necessarily indicative of the results for a full fiscal year. | |||||||||
These unaudited consolidated financial statements should be read in conjunction with audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 29, 2013. | |||||||||
Principles of Consolidation | 'Principles of Consolidation: The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries (Wild Animal – Georgia and Wild Animal – Missouri). All material inter-company accounts and transactions have been eliminated in consolidation | ||||||||
Accounting Method | 'Accounting Method: The Company recognizes income and expenses based on the accrual method of accounting. | ||||||||
Estimates and Assumptions | ' | ||||||||
Estimates and Assumptions: Management uses estimates and assumptions in preparing financial statements in accordance with GAAP. Those estimates and assumptions affect the reported amounts of the assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could vary from the estimates that were assumed in preparing these financial statements. | |||||||||
Uncertainties | 'Uncertainties: The accompanying financial statements have been prepared on a going concern basis. The January 9, 2013 refinancing of all the Company’s then outstanding debt lowered the Company’s required annual debt service payments by approximately $174,000, see “NOTE 3. LONG-TERM DEBT” for more information. Management believes this refinancing provides the Company additional margin to continue to fund its operations and meet its debt service obligations. However, the ability of the Company to continue as a going concern during the next twelve months continues to depend on the ability of the Company to generate revenues from operations, to maintain its existing sources of capital and to meet its existing debt service obligations or obtain additional sources of capital. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. | ||||||||
Fiscal Year End | ' | ||||||||
Fiscal Year End: The Company’s fiscal year-end is the Sunday closest to September 30, and its quarterly close dates are also determined by the Sunday closest to the end of each quarterly reporting period. For the 2014 fiscal year, September 28 will be the last Sunday, and for the 2013 fiscal year, September 29 was the last Sunday. This fiscal calendar aligns the Company’s fiscal periods more closely with the seasonality of its business. The high season typically ends after the Labor Day holiday weekend. The period from October through early March is geared towards maintenance and preparation for the next busy season, which typically begins at Spring Break and runs through Labor Day. | |||||||||
Reclassification | 'Reclassifications: Certain accounts and financial statement captions in the prior periods have been reclassified to conform to the current period financial statements | ||||||||
Financial and Concentrations Risk | 'Financial and Concentrations Risk: The Company does not have any concentration or related financial credit risks. The Company maintains its cash in bank deposit accounts, which at times may exceed federally insured limits. | ||||||||
Trade Accounts Receivable | 'Inventory: Inventory consists of park supplies, and is stated at the lower of cost or market. Cost is determined on the first-in, first-out method. Inventories are reviewed and reconciled annually, because inventory levels turn over rapidly. | ||||||||
Property and Equipment | ' | ||||||||
Property and Equipment: Property and equipment is stated at cost. Depreciation is computed on the straight-line method over the estimated useful lives of the assets, which range from five to forty years. A summary is included below. | |||||||||
June 29, | September 29, | Depreciable Lives | |||||||
2014 | 2013 | ||||||||
Land | $ | 2,507,180 | $ | 2,507,180 | not applicable | ||||
Buildings and structures | 3,104,504 | 3,060,206 | 15 - 40 years | ||||||
Facilities and equipment | 944,599 | 880,913 | 5 - 15 years | ||||||
Furniture and fixtures | 75,189 | 75,189 | 7 years | ||||||
Ground improvements | 785,336 | 785,336 | 15 years | ||||||
Park animals | 609,328 | 604,640 | 5 - 10 years | ||||||
Rides and entertainment | 22,000 | 22,000 | 7 years | ||||||
Vehicles | 379,304 | 337,663 | 5 years | ||||||
Total cost | 8,427,440 | 8,273,127 | |||||||
Less accumulated depreciation | -2,252,154 | -2,026,455 | |||||||
Propert and equipment, net | $ | 6,175,286 | $ | 6,246,672 | |||||
Other Intangible assets | 'Other Intangible Assets: Other intangible assets include franchising fees, and payroll software, which are reported at cost. Loan fees are amortized over the life of the respective loan, currently 20 years for the term loan and seven years for the line-of-credit. See “NOTE 3. LONG-TERM DEBT” for more information. Franchising fees are amortized over a period of 60 months and payroll software over a period of 36 months. | ||||||||
Impairment of Long-Lived Assets | ' | ||||||||
Impairment of Long-Lived Assets: The Company reviews its major assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If an asset is considered impaired, then impairment will be recognized in an amount determined by the excess of the carrying amount of the asset over its fair value. | |||||||||
Financial Instruments | 'Financial Instruments: The carrying amounts of financial instruments are considered by management to be their estimated fair values due to their short-term maturities. Securities that are publicly traded are valued at their fair market value based as of the balance sheet date presented. | ||||||||
Revenue Recognition | ' | ||||||||
Revenue Recognition: The major source of income is received from Park admissions. Park revenues from admission fees are recognized upon receipt of the cash at the time of our customers’ visit to the Parks. Park ticket sales are typically not made in advance. Short-term seasonal passes are sold primarily during the summer season and are negligible to our results of operations and are not material. The Company has developed a business of selling surplus animals created from the natural breeding process that occurs within the parks. All animal sales are reported as a separate line item. | |||||||||
Advertising and Market Development | 'Advertising and Market Development: The Company expenses advertising and marketing costs as incurred. | ||||||||
Share Based Compensation | ' | ||||||||
Share-Based Compensation: Prior to January 1, 2006, the Company accounted for share-based compensation under recognition and measurement principles of ASC 718 and as permitted under APB Opinion No. 25, and related interpretations. Effective January 1, 2006, the Company adopted ASC 718 using the modified prospective method, which recognizes share-based compensation costs on a straight-line basis over the requisite service period associated with the grant. ASC 718 requires that cash flows resulting from tax deductions in excess of the cumulative compensation cost recognized for options exercised be classified as cash inflows from financing activities and cash outflows from operating activities. The company also applies ASC 718 and EITF No. 96-18 share-based compensation to non-employees. No activity has occurred in relation to stock options during any period presented. The Company awards shares to its Board of Directors for service on the Board. The shares issued to the Board are “restricted” and are not to be re-sold unless an exemption is available, such as the exemption afforded by Rule 144 promulgated under the Securities Act of 1933, as amended (the “Securities Act”). The Company recognizes share-based compensation expense based on the fair market value at time of the grant. Each director is typically granted 25,000 restricted shares annually, usually toward the end of the calendar year. | |||||||||
Income Taxes | ' | ||||||||
Income Taxes: The Company utilizes the liability method of accounting for income taxes. Under the liability method deferred tax assets and liabilities are determined based on the differences between the financial reporting basis and the tax basis of the assets and liabilities, and are measured using the enacted tax rates and laws. Management periodically reviews the Company’s deferred tax assets to determine whether their value can be realized based on available evidence. A valuation allowance is established when management believes it is more likely than not, that such tax benefits will not be realized. Changes in valuation allowances from period to period are included in the Company’s income tax provision in the period of change. | |||||||||
Basic and Diluted Net Income (loss) Per Share | ' | ||||||||
Basic and Diluted Net Income (Loss) Per Share: Basic net income (loss) per share amounts are computed based on the weighted average number of shares actually outstanding. Diluted net income (loss) per share amounts are computed using the weighted average number of common shares and common equivalent shares outstanding as if shares had been issued on the exercise any common share rights unless the exercise becomes anti-dilutive and then only the basic per share amounts are shown in the report. | |||||||||
Basic and diluted net income (loss) per share is computed by dividing net income (loss) available to common stockholders by the weighted average number of common shares outstanding in each period. | |||||||||
Dividend Policy | 'Dividend Policy: The Company has not yet adopted a policy regarding payment of dividends | ||||||||
Recent Accounting Pronouncements | ' | ||||||||
Recent Accounting Pronouncements: The Company does not expect recently issued accounting standards or interpretations to have a material impact on the Company’s financial position, results of operations, cash flows or financial statement disclosures. |
PROPERTY_AND_EQUIPMENT_TABLES
PROPERTY AND EQUIPMENT (TABLES) | 9 Months Ended | ||||||||
Jun. 29, 2014 | |||||||||
Property and Equipment (TABLES) | ' | ||||||||
Property and Equipment (TABLES) | ' | ||||||||
Property and equipment is stated at cost. Depreciation is computed on the straight-line method over the estimated useful lives of the assets, which range from five to forty years. A summary is included below. | |||||||||
June 29, | September 29, | Depreciable Lives | |||||||
2014 | 2013 | ||||||||
Land | $ | 2,507,180 | $ | 2,507,180 | not applicable | ||||
Buildings and structures | 3,104,504 | 3,060,206 | 15 - 40 years | ||||||
Facilities and equipment | 944,599 | 880,913 | 5 - 15 years | ||||||
Furniture and fixtures | 75,189 | 75,189 | 7 years | ||||||
Ground improvements | 785,336 | 785,336 | 15 years | ||||||
Park animals | 609,328 | 604,640 | 5 - 10 years | ||||||
Rides and entertainment | 22,000 | 22,000 | 7 years | ||||||
Vehicles | 379,304 | 337,663 | 5 years | ||||||
Total cost | 8,427,440 | 8,273,127 | |||||||
Less accumulated depreciation | -2,252,154 | -2,026,455 | |||||||
Propert and equipment, net | $ | 6,175,286 | $ | 6,246,672 |
LONG_TERM_DEBTS_TABLES
LONG TERM DEBTS (TABLES) | 9 Months Ended | ||||||
Jun. 29, 2014 | |||||||
LONG TERM DEBTS (TABLES) | ' | ||||||
LONG TERM DEBTS | ' | ||||||
June 29, | September 29, | ||||||
2014 | 2013 | ||||||
On January 9, 2013, the Company completed a refinancing transaction with CB&T as lender. The Refinancing Loan was for a principal amount of $3,752,000 and has a 20-year term. | $ | 3,632,271 | $ | 3,715,658 | |||
Less current portion of long-term debt | -110,133 | -106,757 | |||||
Long-term debt | $ | 3,522,138 | $ | 3,608,901 |
FUTURE_PRINCIPAL_MATURITIES_TA
FUTURE PRINCIPAL MATURITIES (TABLES) | 9 Months Ended | |||
Jun. 29, 2014 | ||||
FUTURE PRINCIPAL MATURITIES (TABLES) | ' | |||
FUTURE PRINCIPAL MATURITIES (TABLES) | ' | |||
At June 29, 2014, the scheduled future principal maturities by fiscal year are as follows: | ||||
2014 | $ | 26,944 | ||
2015 | 111,724 | |||
2016 | 118,320 | |||
2017 | 125,305 | |||
2018 | 132,703 | |||
thereafter | 3,117,275 | |||
Total | $ | 3,632,271 |
BUSINESS_SEGMENTS_SUBSIDIARY_T
BUSINESS SEGMENTS SUBSIDIARY (TABLES) | 9 Months Ended | |||||||||||||
Jun. 29, 2014 | ||||||||||||||
BUSINESS SEGMENTS SUBSIDIARY (TABLE): | ' | |||||||||||||
Schedule of Segment Reporting Information, by Segment | ' | |||||||||||||
The following tables present financial information regarding each of the Company’s reportable segments: | ||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||
June 29, | June 30, | June 29, | June 30, | |||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Total net sales: | ||||||||||||||
Georgia | $ | 1,175,737 | $ | 1,026,946 | $ | 2,113,701 | $ | 1,972,414 | ||||||
Missouri | 289,889 | 301,261 | 469,715 | 480,301 | ||||||||||
Consolidated | $ | 1,465,626 | $ | 1,328,207 | $ | 2,583,416 | $ | 2,452,715 | ||||||
Income (loss) before income taxes: | ||||||||||||||
Georgia | $ | 676,958 | $ | 496,118 | $ | 811,805 | $ | 621,289 | ||||||
Missouri | 25,227 | 94,190 | -188,400 | -126,710 | ||||||||||
Segment total | 702,185 | 590,308 | 623,405 | 494,579 | ||||||||||
Corporate | -232,108 | -173,734 | -526,180 | -416,349 | ||||||||||
Other income, net | 2,079 | 1,256 | 7,336 | 5,627 | ||||||||||
Gain on retirement of debt | - | - | - | 105,656 | ||||||||||
Interest expense | -47,802 | -67,407 | -159,327 | -192,990 | ||||||||||
Amortization of loan fees | -2,602 | -2,336 | -7,806 | -4,672 | ||||||||||
Consolidated | $ | 421,752 | $ | 348,087 | $ | -62,572 | $ | -8,149 | ||||||
As of | ||||||||||||||
Total assets: | June 29, | 29-Sep-13 | ||||||||||||
2014 | ||||||||||||||
Georgia | $ | 4,424,965 | $ | 4,356,024 | ||||||||||
Missouri | 2,262,086 | 2,378,934 | ||||||||||||
Corporate | 190,799 | 240,138 | ||||||||||||
Consolidated | $ | 6,877,850 | $ | 6,975,096 |
ORGANIZATION_DETAILS_Details
ORGANIZATION DETAILS (Details) | Dec. 19, 2003 |
ORGANIZATION DETAILS ABSTRACT | ' |
Common stock outstanding | 2,533,000 |
Common stock outstanding increase | 29,600,000 |
UncertaintiesGoing_Concern_Det
Uncertainties-Going Concern (Details) (USD $) | Jan. 09, 2013 |
Uncertain details | ' |
Outstanding debt lowered the Company's required annual debt service payments | $174,000 |
TRADE_ACCOUNTS_RECEIVABLES_DET
TRADE ACCOUNTS RECEIVABLES (DETAILS) (USD $) | Jun. 29, 2014 | Sep. 29, 2013 |
TRADE ACCOUNTS RECEIVABLES | ' | ' |
Receivables from sale of animals | $0 | $10,875 |
Summary_of_Property_and_Equipm
Summary of Property and Equipment (Details) (USD $) | Jun. 29, 2014 | Sep. 29, 2013 |
SUMMARY OF PROPERTY AND EQUIPMENT DETAILS | ' | ' |
Land | $2,507,180 | $2,507,180 |
Buildings and structures | 3,104,504 | 3,060,206 |
Facilities and equipment | 944,599 | 880,913 |
Furniture and Fixtures. | 75,189 | 75,189 |
Ground Improvements | 785,336 | 785,336 |
Park animals | 609,328 | 604,640 |
Rides and entertainment | 22,000 | 22,000 |
Vehicles. | 379,304 | 337,663 |
Total cost | 8,427,440 | 8,273,127 |
Less Accumulated Depreciation of tangible assets | -2,252,154 | -2,026,455 |
Propert and equipment, net | $6,175,286 | $6,246,672 |
Property_and_Equipment_Depreci
Property and Equipment Depreciable Lives (Details) | Jun. 29, 2014 |
property and equipment lives | ' |
Buildings and structures, lives in the range of minimum | 15 |
Buildings and structures, lives in the range of maximum | 40 |
Facilities and equipment lives in the range of minimum | 5 |
Facilities and equipment lives in the range of maximum | 15 |
Furniture and Fixtures. Lives In the range of maximum | 7 |
Ground Improvements lives in the range of maximum | 15 |
Park animals lives in the range of minimum | 5 |
Park animals lives in the range of maximum | 10 |
Rides and entertainment lives in the range of maximum | 7 |
Vehicles. Lives in the range of maximum | 5 |
Share_based_compensation_Detai
Share based compensation (Details) | Jun. 29, 2014 |
Granted Restricted share details | ' |
The Company recognizes share-based compensation expense based on the fair market value at time of the grant. Each director is typically granted restricted shares annually | 25,000 |
REFINANCING_LOAN_DETAILS
REFINANCING LOAN (DETAILS) (USD $) | Jan. 09, 2013 |
Refinancing loan details | ' |
The Refinancing Loan was for a principal amount | $3,752,000 |
Term period of Refiancing loan in years | 20 |
The Refinancing Loan bears interest at the rate of Prime Rate plus minimum | 2.50% |
The Refinancing Loan bears interest at the rate of Prime Rate plus maximum | 5.75% |
Interest rate will re-priced after years of loan term | 5 |
Interest rate will repriced after 5 years at the rate of Prime Rate plus | 2.50% |
Minimum required monthly payment | 26,343 |
The closing costs for the Refinancing Loan totaled | 175,369 |
Additional advance for construction and renovation at Parks | $230,000 |
Loan_refinancing_Details
Loan refinancing (Details) (USD $) | Jun. 29, 2014 | Sep. 29, 2013 |
LOAN REFINANCING Details | ' | ' |
On January 9, 2013, the Company completed a refinancing transaction with CB&T as lender. The Refinancing Loan was for a principal amount of $3,752,000 and has a 20-year term. | $3,632,271 | $3,715,658 |
Less current portion of long-term debt | -110,113 | -106,757 |
Long-term debt | $3,522,138 | $3,608,901 |
Scheduled_future_principal_mat
Scheduled future principal maturities(Details) (USD $) | Jun. 29, 2014 |
Future principlal maturities by fiscal year | ' |
Scheduled future principal maturities by fiscal year 2014 | $26,944 |
Scheduled future principal maturities by fiscal year 2015 | 111,724 |
Scheduled future principal maturities by fiscal year 2016 | 118,320 |
Scheduled future principal maturities by fiscal year 2017 | 125,305 |
Scheduled future principal maturities by fiscal year 2018 | 132,703 |
Scheduled future principal maturities by fiscal year there after | 3,117,275 |
Total maturities | $3,632,271 |
Line_of_Credit_Details
Line of Credit (Details) (USD $) | Jun. 29, 2014 |
WORKING CAPITAL CREDIT DETAILS | ' |
Company maintains a line of credit (the "LOC") loan from CB&T for working capital | $350,000 |
Loc Initial term was | 7 |
The LOC interest rate is tied to prime but has a minimum rate | 5.25% |
The closing costs for LOC totaled and are being amortized over the initial seven-year term of the loan. | $11,482 |
COMMON_STOCK_TRANSACTIONS_DETA
COMMON STOCK TRANSACTIONS (DETAILS) (USD $) | Jun. 29, 2014 | Dec. 19, 2013 | Oct. 31, 2012 |
Common stock shares issued for service | ' | ' | ' |
Company awarded shares to five directors for their service | ' | 125,000 | 150,000 |
Awarded share price at fair market value per share | ' | $0.03 | $0.01 |
Awarded share price at fair market value reported as expenses of Dorectors | ' | $3,125 | $1,500 |
Officer, directors and their controlled entities own approximately the outstanding common stock of the Company | 43.00% | ' | ' |
RELATED_PARTY_TRANSACTIONS_DET
RELATED PARTY TRANSACTIONS (DETAILS) (USD $) | Jun. 29, 2014 | Jun. 01, 2014 | Jan. 01, 2014 | Jun. 30, 2013 |
Employment Agreements: | ' | ' | ' | ' |
As per Van Voorhis Employment Agreement Mr.Van Voorhis receives initial base compensation in the amount | ' | $90,000 | ' | ' |
As per Meikle Employment Agreement Meikle receives an initial base compensation in the amount receives initial base compensation in the amount | ' | ' | ' | 135,000 |
As per White Employment Agreement Mr. White will receive an initial base compensation in the amount | ' | ' | 50,000 | ' |
In the event of a change in control of the Company. This additional severance compensation payable totals | $455,000 | ' | ' | ' |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 9 Months Ended | |
Jun. 29, 2014 | Jun. 30, 2013 | |
Pre tax Loss | ' | ' |
Company reported a pre-tax loss | $62,572 | ' |
Company has recorded a tax provision estimated State of Georgia income taxes | 7,455 | ' |
Georgia income taxes at a rate | 6.00% | ' |
Company recorded an income tax provision for the State of Georgia for the fiscal years 2009, 2010 and 2011 | ' | $46,348 |
Income_Taxes_net_operating_los
Income Taxes net operating loss (Details) (USD $) | Sep. 29, 2013 |
Federal net operating loss carry-forward | ' |
The cumulative Federal net operating loss carry-forward is approximately | $3,956,000 |
BUSINESS_SEGMENTS_Details
BUSINESS SEGMENTS (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Jun. 29, 2014 | Jun. 30, 2013 | Jun. 29, 2014 | Jun. 30, 2013 | |
Total net sales: | ' | ' | ' | ' |
Georgia | $1,175,737 | $1,026,946 | $2,113,701 | $1,972,414 |
Missouri | 289,889 | 301,261 | 469,715 | 480,301 |
Consolidated | 1,465,626 | 1,328,207 | 2,583,416 | 2,452,715 |
Georgia | 676,958 | 496,118 | 811,805 | 621,289 |
Missouri | 25,227 | 94,190 | -188,400 | -126,710 |
Segment total | 702,185 | 590,308 | 623,405 | 494,579 |
Corporate | -232,108 | -173,734 | -526,180 | -416,349 |
Other income, net | 2,079 | 1,256 | 7,336 | 5,627 |
Gain on retirement of debt | ' | ' | ' | 105,656 |
Interest expense | -47,802 | -67,407 | -159,327 | -192,990 |
Amortization of loan fees | -2,602 | -2,336 | -7,806 | -4,672 |
Consolidated | $421,752 | $348,087 | ($62,572) | ($8,149) |
Business_Segments_Assets_Detai
Business Segments Assets (Details) (USD $) | Jun. 29, 2014 | Sep. 29, 2013 |
Business Segments Asset details | ' | ' |
Georgia | $4,424,965 | $4,356,024 |
Missouri | 2,262,086 | 2,378,934 |
Corporate | 190,799 | 240,138 |
Consolidated | $6,877,850 | $6,975,096 |