Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Apr. 23, 2015 | Jun. 30, 2014 | |
Document And Entity Information | |||
Entity Registrant Name | GREENKRAFT, INC. | ||
Entity Central Index Key | 1398529 | ||
Document Type | 10-K | ||
Document Period End Date | 31-Dec-14 | ||
Amendment Flag | FALSE | ||
Current Fiscal Year End Date | -19 | ||
Is Entity a Well-known Seasoned Issuer? | No | ||
Is Entity a Voluntary Filer? | No | ||
Is Entity's Reporting Status Current? | Yes | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Public Float | $9,573,436 | ||
Entity Common Stock, Shares Outstanding | 88,882,718 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2014 |
Balance_Sheets
Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Current assets: | ||
Cash and cash equivalents | $2,113,832 | $582,869 |
Cash restricted | 1,501,641 | |
Accounts receivable | 200,000 | |
Inventories | 2,625,803 | 2,216,136 |
Deferred financing cost | 19,233 | |
Deposits on inventory | 218,862 | |
Total current assets | 6,460,509 | 3,017,867 |
Property, plant and equipment, net | 92,761 | 87,516 |
Total assets | 6,553,270 | 3,105,383 |
Current liabilities: | ||
Accounts payable | 122,644 | 394,400 |
Accounts payable - related party | 428,834 | 302,889 |
Accrued liabilities | 84,500 | 59,108 |
Deferred income | 2,995,705 | 848,405 |
Other liabilities | 75,000 | |
Line of credit | 1,999,558 | 1,605,558 |
Related party debt | 1,901,916 | 1,916,916 |
Total current liabilities | 7,608,157 | 5,127,276 |
Stockholders' deficit: | ||
Common stock, 400,000,000 shares authorized, 88,882,718 and 85,115,660 shares issued and outstanding, respectively | 88,883 | 85,116 |
Additional paid-in capital | 3,122,197 | 1,049,667 |
Accumulated deficit | -4,265,967 | -3,156,676 |
Total stockholders' deficit | -1,054,887 | -2,021,893 |
Total liabilities and stockholders' deficit | $6,553,270 | $3,105,383 |
Balance_Sheets_Parenthetical
Balance Sheets (Parenthetical) | Dec. 31, 2014 | Dec. 31, 2013 |
Statement of Financial Position [Abstract] | ||
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 88,882,718 | 85,115,660 |
Common stock, shares outstanding | 88,882,718 | 85,115,660 |
Statements_Of_Operations
Statements Of Operations (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Income Statement [Abstract] | ||
Revenue | $2,496,474 | $2,072,752 |
Revenue - related party | 109,611 | |
Total Revenue | 2,496,474 | 2,182,363 |
Cost of revenue | 2,464,227 | 1,415,951 |
Gross Profit | 32,247 | 766,412 |
Costs and expenses: | ||
Research and development | 26,184 | 86,926 |
Selling, general and administrative | 1,016,982 | 1,846,298 |
Total costs and expenses | 1,043,166 | 1,933,224 |
Loss from operations | -1,010,919 | -1,166,812 |
Interest expense | 100,039 | 58,066 |
Interest income | 1,667 | 147 |
Net loss | ($1,109,291) | ($1,224,731) |
Basic and Diluted loss per share | ($0.01) | ($0.01) |
Basic and Diluted Weighted average number of common shares outstanding | 87,893,385 | 83,144,908 |
Statements_Of_Changes_In_Stock
Statements Of Changes In Stockholders’ Equity (Deficit) (USD $) | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Total |
Balance, amount at Dec. 31, 2012 | $83,000 | $657,972 | ($1,931,945) | ($1,190,973) |
Balance, shares at Dec. 31, 2012 | 83,000,000 | |||
Reserve merger adjustment, shares | 2,115,660 | |||
Reserve merger adjustment, value | 2,116 | -2,116 | ||
Contributed payroll | 280,238 | 280,238 | ||
Contributed officer salary | 72,000 | 72,000 | ||
Contributed testing expense | 225,000 | 225,000 | ||
Contributed rent | 1,200 | 1,200 | ||
Distributions to owner | -184,627 | -184,627 | ||
Net loss | -1,224,731 | -1,224,731 | ||
Balance, amount at Dec. 31, 2013 | 85,116 | 1,049,667 | -3,156,676 | -2,021,893 |
Balance, shares at Dec. 31, 2013 | 85,115,660 | 85,115,660 | ||
Contributed payroll | 120,768 | 120,768 | ||
Contributed officer salary | 72,000 | 72,000 | ||
Stock issued for cash, shares | 3,620,000 | |||
Stock issued for cash, value | 3,620 | 1,806,380 | 1,810,000 | |
Stock issued as fund raising expense, shares | 147,058 | |||
Stock issued as fund raising expense, value | 147 | 73,382 | 73,529 | |
Net loss | -1,109,291 | -1,109,291 | ||
Balance, amount at Dec. 31, 2014 | $88,883 | $3,122,197 | ($4,265,967) | ($1,054,887) |
Balance, shares at Dec. 31, 2014 | 88,882,718 | 88,882,718 |
Statements_Of_Cash_Flows
Statements Of Cash Flows (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities: | ||
Net loss | ($1,109,291) | ($1,224,731) |
Adjustments to net loss to reconcile net loss to net cash used in operating activities: | ||
Contributed payroll | 120,768 | 280,238 |
Contributed rent | 1,200 | |
Contributed testing expense | 225,000 | |
Contributed officer salary | 72,000 | 72,000 |
Stock issued as fund raising expense | 73,529 | |
Amortization of deferred financing cost | 10,767 | 7,150 |
Depreciation expense | 10,309 | 6,358 |
Impairment expense | 150,000 | |
Changes in operating assets and liabilities: | ||
Accounts receivable | 200,000 | |
Inventory | 409,667 | 1,842,596 |
Deposits on inventory | 218,862 | 786,817 |
Accounts payable | -271,756 | 256,557 |
Accounts payable - related party | 125,945 | 302,889 |
Accrued liabilities | 25,392 | -346,892 |
Deferred income | 2,147,300 | 263,450 |
Net cash provided by (used in) operating activities | 814,158 | -1,062,560 |
Cash flows from investing activities: | ||
Cash paid for acquisition of Sunrise Global, Inc. | 150,000 | |
Increase in restricted cash | 1,501,641 | |
Purchase of property, plant and equipment | 15,554 | 93,874 |
Net cash used in investing activities | -1,517,195 | -243,874 |
Cash flows from financing activities: | ||
Borrowings under lines of credit | 394,000 | 1,165,000 |
Cash paid for deferred financing cost | 30,000 | |
Capital distribution | 15,093 | |
Proceeds from sale of stock | 1,810,000 | |
Proceeds received for potential future stock issuance | 75,000 | |
Repayment of related party debt | 15,000 | 93,034 |
Net cash provided by financing activities | 2,234,000 | 1,056,873 |
Net change in cash | 1,530,963 | -249,561 |
Cash at beginning of period | 582,869 | 832,430 |
Cash at end of period | 2,113,832 | 582,869 |
Supplemental cash flow information: | ||
Cash paid for interest | 100,039 | 38,673 |
Cash paid for income taxes | ||
Non cash investing and financing activities: | ||
Reverse merger adjustment | 2,116 | |
Distribution of bank line of credit proceeds to owner | $169,534 |
Organization_And_Business_And_
Organization And Business And Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2014 | |
Organization And Business And Significant Accounting Policies | |
Organization and Business and Significant Accounting Policies | NOTE 1 — ORGANIZATION AND BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES |
Nature of Business – Greenkraft, Inc. is a manufacturer and distributor of automotive products. We manufacture commercial forward cabin trucks for vehicles weighing from 10,001 lbs. to 33,000 lbs. in alternative fuels. We also manufacture and sell alternative fuel systems to convert petroleum-based fuels to natural gas and propane fuels. | |
Basis of Presentation – The accompanying financial statements of the Company were prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). | |
Reclassifications – Certain prior year amounts have been reclassified to conform with the current year presentation. | |
Use of estimates – The preparation of financial statements in conformity with accounting principles generally accepted in the United States necessarily requires management to make estimates and assumptions that affect the amounts reported in the financial statements. We regularly evaluate estimates and judgments based on historical experience and other relevant facts and circumstances. Actual results could differ from those estimates. | |
Concentration of credit risk – Financial instruments which potentially subject the Company to concentrations of credit risk consist of cash and trade receivables. The Company places its cash with high credit quality financial institutions. At times such cash may be in excess of the FDIC limit. With respect to trade receivables, the Company routinely assesses the financial strength of its customers and, as a consequence, believes that the receivable credit risk exposure is limited. | |
Cash and cash equivalents – Cash equivalents are highly liquid investments with an original maturity of three months or less. The Company has no cash equivalents as of December 31, 2014. We do have restricted cash in the amount of $1,501,641 which will be utilized for a stand by letter of credit requested by suppliers. | |
Accounts Receivable – Trade accounts receivable consist of amounts due from the sale of trucks. Accounts receivable are uncollateralized customer obligations due under normal trade terms requiring payment within 90 days of receipt of the invoice. The Company provides an allowance for doubtful accounts equal to the estimated uncollectible amounts based on historical collection experience and a review of the current status of trade accounts receivable. At December 31, 2014 and 2013, the Company characterized $0 and $0 as uncollectible, respectively. At December 31, 2014, the accounts receivable represent one customer from the sale of trucks. | |
Inventories – Inventories are primarily raw materials. Inventories are valued at the lower of, cost as determined on a first-in-first-out (FIFO) basis, or market. Market value is determined by reference to selling prices after the balance sheet date or to management’s estimates based on prevailing market conditions. Management writes down the inventories to market value if it is below cost. Management also regularly evaluates the composition of its inventories to identify slow-moving and obsolete inventories to determine if valuation allowance is required. Costs of raw material inventories include purchase and related costs incurred in bringing the products to their present location and condition. | |
Property and equipment – Property and equipment are carried at the cost of acquisition or construction and depreciated over the estimated useful lives of the assets. Costs associated with repair and maintenance are expensed as incurred. Costs associated with improvements which extend the life, increase the capacity or improve the efficiency of our property and equipment are capitalized and depreciated over the remaining life of the related asset. Gains and losses on dispositions of equipment are reflected in operations. Depreciation is provided using the straight-line method over the estimated useful lives of the assets, which are ten years for all the equipment’s held by the Company. Depreciation expense of $10,309 and $6,358 are recognized for the year ended December 31, 2014 and 2013. | |
Research and development – Costs incurred in connection with the development of new products and manufacturing methods are charged to selling, general and administrative expenses as incurred. During the years ended December 31, 2014 and 2013, $26,184 and $86,926, respectively, were expensed as research and development costs. | |
Long Lived Assets – In accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360, Property, Plant and Equipment, the Company tests long-lived assets or asset groups for recoverability when events or changes in circumstances indicated that their carrying amount may not be recoverable. Circumstances which could trigger a review include, but are not limited to: significant decreases in the market price of the asset; significant adverse changes in the business climate or legal factors; accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of the asset; current period cash flow or operating losses combined with a history of losses or a forecast of continuing losses associated with the use of the asset; and a current expectation that the asset will more likely than not be sold or disposed significantly before the end of its estimated useful life. | |
Recoverability is assessed based on the carrying amount of the asset and its fair value which is generally determined based on the sum of the undiscounted cash flows expected to result from the use and the eventual disposal of the asset, as well as specific appraisal in certain instances. An impairment loss is recognized when the carrying amount is not recoverable and exceeds fair value. $0 and $150,000 impairment losses were recognized for the years ended December 31, 2014 and 2013, respectively. | |
Revenue recognition – Greenkraft recognizes revenue when persuasive evidence of an arrangement exists, products and/or services have been delivered, the sales price is fixed or determinable, and collectability is reasonably assured. This typically occurs when the product is shipped or delivered to the customer. Cash payments received prior to delivery of products are deferred until the products are delivered. | |
Non-Employee Stock-Based Compensation – The Company accounts for stock-based compensation in accordance with the provision of ASC 505, “Equity Based Payments to Non-Employees” (“ASC 505”), which requires that such equity instruments are recorded at their fair value on the measurement date. The measurement of stock-based compensation is subject to periodic adjustment as the underlying equity instruments vest. | |
Income taxes – Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. These assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which the temporary differences are expected to reverse. | |
We have net operating loss carryforwards available to reduce future taxable income. Future tax benefits for these net operating loss carryforwards are recognized to the extent that realization of these benefits is considered more likely than not. To the extent that we will not realize a future tax benefit, a valuation allowance is established. | |
Earning or Loss per Share – The Company accounts for earnings per share pursuant to ASC 260, Earnings per Share, which requires disclosure on the financial statements of "basic" and "diluted" earnings (loss) per share. Basic earnings (loss) per share are computed by dividing net income (loss) by the weighted average number of common shares outstanding for the year. Diluted earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding plus common stock equivalents (if dilutive) related to stock options and warrants for each year. As there was a net loss for the year ended December 31, 2014 and 2013, basic and diluted losses per share are the same for the year ended December 31, 2014 and 2013. | |
Related Parties – A party is considered to be related to the Company if the party directly or indirectly or through one or more intermediaries, controls, is controlled by, or is under common control with the Company. Related parties also include principal owners of the Company, its management, members of the immediate families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. A party which can significantly influence the management or operating policies of the transacting parties or if it has an ownership interest in one of the transacting parties and can significantly influence the other to an extent that one or more of the transacting parties might be prevented from fully pursuing its own separate interests is also a related party. | |
Recently issued accounting pronouncements – We do not expect the adoption of recently issued accounting pronouncements to have a significant impact on our results of operations, financial position or cash flow | |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2014 | |
Related Party Transactions | |
Related Party Transactions | NOTE 2 — RELATED PARTY TRANSACTIONS |
First Standard Real Estate LLC is the owner of 2530 S. Birch Street, Santa Ana, California 92707 where Greenkraft uses office space. Our CEO is an owner of First Standard Real Estate. During 2013, Greenkraft recognized $1,200 of contributed rent expense related to this space. From January 2013 to March 2013, Greenkraft paid $15,000 for warehouse space to store parts before it moved into the leased space. As of December 31, 2013, no amount is owed to First Standard Real Estate LLC. There is no space rented from First Standard Real Estate in 2014. | |
The Defiance Company, LLC is owned by our CEO. As of December 31, 2014 and December 31, 2013, accounts payable to Defiance is $285,389 and $285,389, respectively, for amounts paid by Defiance Company, LLC on behalf of Greenkraft. | |
As of December 31, 2014 and December 31, 2013 Greenkraft owed a total of $1,901,916 and $1,916,916, respectively, to our owner and his related entities. All amounts are due on demand, unsecured and do not bear interest. During 2014 and 2013, the Company repaid $15,000 and $93,034 under these related party notes. | |
G&K Automotive Conversion Inc. is an automotive safety compliance company that can provide services to Greenkraft as necessary. Our President is also the president and controlling shareholder of G&K. No Services were provided by G&K for Greenkraft during the years ended December 31, 2014, or 2013. | |
CEE, LLC performed testing for Greenkraft for engine certifications and also shared employees with Greenkraft. Our President is an owner of CEE, LLC. During 2014, and 2013, Greenkraft recognized $0 and $225,000, respectively, of contributed research and development expenses, and $120,768 and $280,238, respectively, of contributed payroll expense related to the shared employees. In 2013 CEE borrowed $169,534 under Greenkraft LOC and for 2014 it was $0. In 2013 Greenkraft paid $15,093 on CEE’s behalf. Also for 2014 Greenkraft owes CEE for insurance that CEE paid for employees of Greenkraft in the amount of $5,945 as of December 31, 2014. | |
First Warner Properties LLC is the owner of 2215 S Standard Ave Santa Ana CA 92707. Our president is a member of First Warner. Greenkraft leased the property as assembly plant from First Warner. The term of the lease agreement is from April 1, 2013 to April 1, 2018, with a monthly rent of $17,500. A new lease agreement was signed. The term of the new lease agreement is from July 1, 2014 to June 30, 2019, with a monthly rent of $27,500. The total rent expense for December 31, 2014 and 2013 was $270,000, and $157,500, respectively. As of December 31, 2014 First Warner Properties LLC was owed $137,500 and for 2013 the amount owed was $17,500. | |
Our CEO does not charge us a salary and therefore we have recognized $72,000 and $72,000 for 2014 and 2013, respectively of contributed salary expense. | |
Fixed_Assets
Fixed Assets | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Fixed Assets | |||||||||
Fixed Assets | NOTE 3 — FIXED ASSETS | ||||||||
For the years ended December 31, 2014 and 2013, depreciation expense of fixed assets totaled approximately $10,309 and $6,358, respectively. For the year 2014 we purchased fixed assets of $15,554. The amount purchased in 2013 was $93,874. Fixed assets comprised the following as of December 31, 2014 and 2013. | |||||||||
2014 | 2013 | ||||||||
Equipment | $ | 109,428 | $ | 93,874 | |||||
Less Accumulated Depreciation | $ | (16,667 | ) | $ | (6,358 | ) | |||
Total | $ | 92,761 | $ | 87,516 | |||||
Line_Of_Credit
Line Of Credit | 12 Months Ended |
Dec. 31, 2014 | |
DisclosureLineOfCreditAbstract | |
Line of Credit | NOTE 4 — LINE OF CREDIT |
In March 2012, Greenkraft entered into an agreement with Pacific Premier Bank for a $3,500,000 line of credit. The line of credit was due on April 10, 2013 and bears interest at the prime rate plus 1%. The line of credit is secured by certain real property owned by the majority shareholder and inventory. | |
A condition to the line of credit is a full banking relationship. If the conditions are not met or should cease to be met, then interest rate and interest ceiling provided under the note shall immediately increase by 5.000 percentage points. As of December 31, 2014 Greenkraft is deemed to have a full banking relationship with Pacific Premier Bank. | |
On July 15, 2013, the maturity date of the facility was extended to December 10, 2013 and the maximum amount available under such facility was reduced to $2 million. | |
On August 22, 2014, Greenkraft entered into a Loan Modification Agreement with Pacific Premier Bank under which it extended the Maturity Date until August 22, 2015. The cost to modify the loan for 2014 was $4,052.50. In addition, under the Modification Agreement, Pacific Premier agreed to issue a $3,000,000 standby letter of credit in favor a supplier from whom Greenkraft purchases products in connection with its production of alternative fuel trucks. In connection with this letter of credit, Greenkraft authorized Pacific Premier to draw an additional $1,500,000 under its note for any funds paid or required to be paid by Pacific Premier under the letter of credit. Thus the current maximum amount available under the line of credit is $3,500,000. There was a fee of $30,000 in connection with the letter of credit. In addition Greenkraft has a restricted deposit of $1,500,000 with pacific premier that is being used as collateral for letter of credit. The letter of credit will expire in August 2015. The $30,000 fee is classified as deferred financing cost on balance sheet, and it is amortized over the term of the letter of credit. | |
The Company analyzed the modification of the term under ASC 470-60 “Trouble Debt Restructurings” and ASC 470-50 “Extinguishment of Debt”. The Company determined the modification is not substantial and did not result in an extinguishment. | |
Along with the August 22, 2014 Loan Modification, the Company acknowledged that it was in breach of (a) its covenant to maintain a ratio of Global Debt Coverage in excess of 1.250 to 1.0, (b) its covenant to maintain a ratio of Business Debt Coverage Ratio in excess of 1.25 to 1; (c) its covenant to maintain a ratio of Debt/Worth not in excess of 3.0 to 1.0 and (d) its covenant to maintain a Tangible Net Worth of not less than $350,000 (collectively the “Covenant Violations”). Pacific Premier agreed to forbear enforcement of its rights arising out of these Covenant Violations until receipt of the Company’s financial statements for the year ended December 31, 2014. Pacific Premier reserved its rights to strictly enforce these covenants on us after their receipt of the Company’s December 31, 2014 financial statements. The Company is not in compliance with the debt covenants as of December 31, 2014. The Company is in the process of obtaining a waiver from the bank, but it is not guaranteed that a waiver will be issued. | |
During 2014, the Company made draws of $394,000 and amortized $10,767 of deferred financing cost. During 2013, the Company borrowed $1,165,000 under the line of credit. Additionally, $169,534 was borrowed under the line of credit by CEE, LLC, a related party. See Note 2. The total amount borrowed under the line of credit was $1,999,558 as of December 31, 2014 and $1,605,558 as of December 31, 2013. As of December 31, 2014, the available amount under the letter of credit had not been used. However the total unused available amount under the line of credit is about $400 as of December 31, 2014. |
Contingent_Equity_Line_Of_Cred
Contingent Equity Line Of Credit | 12 Months Ended |
Dec. 31, 2014 | |
Contingent Equity Line Of Credit | |
Contingent Equity Line of Credit | NOTE 5 — CONTINGENT EQUITY LINE OF CREDIT |
On February 11, 2014, the Company entered into an Investment Agreement with Kodiak Capital LLC. The agreement provides the Company with financing whereby the Company can issue and sell to Kodiak, from time to time, shares of the Company’s common stock up to an aggregate purchase price of $5.0 million (put shares) during a defined period of time. The Company has the right to deliver from time to time a put notice to Kodiak stating the dollar amount of put shares the Company intends to sell to Kodiak with the price per share based on the following formula: eighty three percent (83%) of the lowest volume weighted average price of the Company’s common stock during the period beginning on the date of the put notice and ending five (5) days thereafter. | |
Under the Investment Agreement, the Company may not deliver the put notice until after the resale of the put shares has been registered pursuant to a registration statement filed with the Securities and Exchange Commission. Additionally, provided that the Investment Agreement does not terminate earlier, during the period beginning on the trading day immediately following the effectiveness of the registration statement and ending eighteen months after effectiveness of the registration statement covering the securities registered the resale of the put shares, the Company may deliver the put notice or Notices to Kodiak. On each put notice submitted to the Investor by the Company, the Company shall have the option to specify a suspension price for that Put. In the event the common stock price falls below the suspension price, the Put shall be temporarily suspended. The Put shall resume at such time as the common stock trading price is above the suspension price, provided the dates for the pricing period for that particular Put are still valid. In the event the pricing period has been completed, any shares above the suspension price due to Kodiak shall be sold to Kodiak by the Company at the suspension price. The suspension price for a Put may not be changed by the Company once submitted to Kodiak. In addition, the Company cannot submit a new put notice until the closing of the previous put notice, and in no event shall Kodiak be entitled to purchase that number of put shares which when added to the sum of the number already beneficially owned by Kodiak would exceed 4.99% of the number of shares outstanding on the applicable closing date. | |
The Investment Agreement also provides that the Company shall not be entitled to deliver a put notice and Kodiak shall not be obligated to purchase any put shares unless each of the following conditions are satisfied: (i) a registration statement has been declared effective and remains effective for the resale of the put shares until the closing with respect to the subject put notice; (ii) at all times during the period beginning on the date of the put notice and ending on the date of the related closing, the Company’s common stock has been listed on the Principal Market as defined in the Investment Agreement (which includes, among others, the Over-the-Counter Bulletin Board and the OTC Market Group’s OTC Link quotation system) and shall not have been suspended from trading thereon for a period of two (2) consecutive trading days during the Open Period; (iii) the Company has complied with its obligations and is otherwise not in breach of or in default under the Investment Agreement, the Registration Rights Agreement or any other agreement executed in connection therewith; (iv) no injunction has been issued and remains in force, and no action has been commenced by a governmental authority which has not been stayed or abandoned, prohibiting the purchase or the issuance of the put shares; and (v) the issuance of the put shares will not violate any shareholder approval requirements of the market or exchange on which the Company’s common stock are principally listed. | |
The Investment Agreement will terminate when any of the following events occur: (i) Kodiak has purchased an aggregate of $5.0 million of the Company’s common stock, (ii) on the date which is eighteen months following the Effective Date, or (iii) upon written notice from the Company to Kodiak. Similarly, the Investment Agreement, may, at the option of the non-breaching party, terminate if Kodiak or the Company commits a material breach, or becomes insolvent or enters bankruptcy proceedings. | |
In connection with the Investment Agreement, on February 12, 2014, we issued Kodiak 147,058 shares as a commitment fee. The Company estimated the fair value of the common stock issued to be $73,529. This value is decided based on market trading price of the Company’s common stock on stock grant date. The shares are accounted for as a fund raising expense which is included in statement of operations. | |
Common_Stock
Common Stock | 12 Months Ended |
Dec. 31, 2014 | |
DisclosureCommonStockAbstract | |
Common Stock | NOTE 6 — COMMON STOCK |
During 2014 the company sold 3,620,000 shares at $0.50 per share for gross proceeds of $1,810,000. | |
As of December 31, 2014, the Company received $75,000 in deposits to be applied to the purchase of 150,000 shares pending successful completion of the subscription process. | |
On February 11, 2014, the Company entered into an investment with the Kodiak Capital Group, LLC to provide up to $5 million of additional equity capital. 147,058 shares were issued to the investor as a commitment fee. See note 5. |
Major_Customers
Major Customers | 12 Months Ended |
Dec. 31, 2014 | |
Major Customers | |
Major Customers | NOTE 7 — MAJOR CUSTOMERS |
In 2014, revenues were from a few different customers for Greenkraft trucks who accounted for 83% of the revenues. We had three customers each making up 10% or more of total truck sales revenue. The customers individually made up 31%, 27%, and 10%. The remaining revenues were from several vehicle dealers for conversions of Isuzu and Ford trucks at a percentage of 17%. | |
In 2013, the main revenues were from truck sales. In 2013, revenues were from two different customers for Greenkraft trucks who accounted for 67% of the revenues, one at 40% and one at 26%. The remaining revenues were from several vehicle dealers for conversions of Isuzu and Ford trucks at a percentage of 33%. |
Acquisition_Of_Sunrise_Global_
Acquisition Of Sunrise Global, Inc | 12 Months Ended |
Dec. 31, 2014 | |
Acquisition Of Sunrise Global Inc | |
Acquisition of Sunrise Global, Inc | NOTE 8 — ACQUISITION OF SUNRISE GLOBAL, INC. |
In May 2013, Greenkraft, Inc. purchased a majority share of Sunrise Global, Inc. for $150,000 in a private transaction. Sunrise Global, Inc. was a publicly traded company with nominal assets, liabilities and operations. As a result, the entire purchase price was allocated to goodwill and immediately impaired due to Sunrise Global, Inc. having no operations or expected future cash flows. | |
On December 6, 2013, Sunrise Global Inc. (“Parent”) entered into a Share Exchange Agreement with the sole stockholder of Greenkraft, Inc., a California corporation, pursuant to which Parent issued 83,000,000 common shares to the Stockholder in consideration of the Stockholder’s transfer of all of his Greenkraft shares to the Company’s wholly-owned acquisition subsidiary, Greenkraft, Inc, a Nevada corporation. As a condition to the closing of the Acquisition, on the Closing Date, 4,600,000 shares of Parent’s issued and outstanding common stock previously held by Greenkraft were cancelled. As a result of the Acquisition, Parent experienced a change in control, with the Stockholder acquiring control of Parent. Additionally, Sunrise Global ceased being a shell company. | |
On December 12, 2013, the Acquisition Subsidiary merged with and into Parent and in connection therewith, the surviving entity changed its name to Greenkraft, Inc. effective December 27, 2013. | |
For accounting purposes, this transaction is being accounted for as a reverse merger and has been treated as a recapitalization of Sunrise Global Inc., with Greenkraft Inc. as the accounting acquirer. The historical financial statements of the accounting acquirer became the financial statements of the registrant. The Company did not recognize goodwill or any intangible assets in connection with the transaction. The 83,000,000 shares issued to the shareholder of Greenkraft Inc. sole stockholder in conjunction with the share exchange transaction have been presented as outstanding for all periods. The historical financial statements include the operations of the accounting acquirer for all periods presented. | |
Commitment_And_Contingencies
Commitment And Contingencies | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Commitment And Contingencies | ||||||
Commitment and Contingencies | NOTE 9 — COMMITMENT AND CONTINGENCIES | |||||
Greenkraft has a lease agreement with First Warner for rent. See Note 2. Future rental payments payable to the landlord under the lease as of December 31, 2014 were as follows: | ||||||
2015 | $ | 330,000 | ||||
2016 | $ | 330,000 | ||||
2017 | $ | 330,000 | ||||
2018 | $ | 330,000 | ||||
2019 | $ | 165,000 | ||||
Total | $ | 1,485,000 | ||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Income Taxes | |||||||||
Income Taxes | NOTE 10 — INCOME TAXES | ||||||||
Greenkraft uses the liability method, where deferred tax assets and liabilities are determined based on the expected future tax consequences of temporary differences between the carrying amounts of assets and liabilities for financial and income tax reporting purposes. During fiscal 2014, we incurred net losses and, therefore, had no tax liability. The net deferred tax asset generated by the loss carry-forward has been fully reserved. The cumulative net operating loss carry-forward is approximately $2,585,432 at December 31, 2014, and will expire beginning in the years 2031. At December 31, 2014 and 2013, deferred tax assets consisted of the following: | |||||||||
2014 | 2013 | ||||||||
Deferred tax assets | 879,047 | 592,429 | |||||||
Less: Valuation allowance | (879,047 | ) | (592,429 | ) | |||||
Net deferred tax assets | — | — |
Organization_And_Business_And_1
Organization And Business And Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Organization And Business And Significant Accounting Policies Policies | |
Nature of Business | Nature of Business – Greenkraft, Inc. is a manufacturer and distributor of automotive products. We manufacture commercial forward cabin trucks for vehicles weighing from 10,001 lbs. to 33,000 lbs. in alternative fuels. We also manufacture and sell alternative fuel systems to convert petroleum-based fuels to natural gas and propane fuels. |
Basis of Presentation | Basis of Presentation – The accompanying financial statements of the Company were prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). |
Reclassifications | Reclassifications – Certain prior year amounts have been reclassified to conform with the current year presentation. |
Use of Estimates | Use of estimates – The preparation of financial statements in conformity with accounting principles generally accepted in the United States necessarily requires management to make estimates and assumptions that affect the amounts reported in the financial statements. We regularly evaluate estimates and judgments based on historical experience and other relevant facts and circumstances. Actual results could differ from those estimates. |
Concentration of Credit Risk | Concentration of credit risk – Financial instruments which potentially subject the Company to concentrations of credit risk consist of cash and trade receivables. The Company places its cash with high credit quality financial institutions. At times such cash may be in excess of the FDIC limit. With respect to trade receivables, the Company routinely assesses the financial strength of its customers and, as a consequence, believes that the receivable credit risk exposure is limited. |
Cash and Cash Equivalents | Cash and cash equivalents – Cash equivalents are highly liquid investments with an original maturity of three months or less. The Company has no cash equivalents as of December 31, 2014. We do have restricted cash in the amount of $1,501,641 which will be utilized for a stand by letter of credit requested by suppliers. |
Accounts Receivable | Accounts Receivable – Trade accounts receivable consist of amounts due from the sale of trucks. Accounts receivable are uncollateralized customer obligations due under normal trade terms requiring payment within 90 days of receipt of the invoice. The Company provides an allowance for doubtful accounts equal to the estimated uncollectible amounts based on historical collection experience and a review of the current status of trade accounts receivable. At December 31, 2014 and 2013, the Company characterized $0 and $0 as uncollectible, respectively. At December 31, 2014, the accounts receivable represent one customer from the sale of trucks. |
Inventories | Inventories – Inventories are primarily raw materials. Inventories are valued at the lower of, cost as determined on a first-in-first-out (FIFO) basis, or market. Market value is determined by reference to selling prices after the balance sheet date or to management’s estimates based on prevailing market conditions. Management writes down the inventories to market value if it is below cost. Management also regularly evaluates the composition of its inventories to identify slow-moving and obsolete inventories to determine if valuation allowance is required. Costs of raw material inventories include purchase and related costs incurred in bringing the products to their present location and condition. |
Property and Equipment | Property and equipment – Property and equipment are carried at the cost of acquisition or construction and depreciated over the estimated useful lives of the assets. Costs associated with repair and maintenance are expensed as incurred. Costs associated with improvements which extend the life, increase the capacity or improve the efficiency of our property and equipment are capitalized and depreciated over the remaining life of the related asset. Gains and losses on dispositions of equipment are reflected in operations. Depreciation is provided using the straight-line method over the estimated useful lives of the assets, which are ten years for all the equipment’s held by the Company. Depreciation expense of $10,309 and $6,358 are recognized for the year ended December 31, 2014 and 2013. |
Research and Development | Research and development – Costs incurred in connection with the development of new products and manufacturing methods are charged to selling, general and administrative expenses as incurred. During the years ended December 31, 2014 and 2013, $26,184 and $86,926, respectively, were expensed as research and development costs. |
Long Lived Assets | Long Lived Assets – In accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360, Property, Plant and Equipment, the Company tests long-lived assets or asset groups for recoverability when events or changes in circumstances indicated that their carrying amount may not be recoverable. Circumstances which could trigger a review include, but are not limited to: significant decreases in the market price of the asset; significant adverse changes in the business climate or legal factors; accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of the asset; current period cash flow or operating losses combined with a history of losses or a forecast of continuing losses associated with the use of the asset; and a current expectation that the asset will more likely than not be sold or disposed significantly before the end of its estimated useful life. |
Recoverability is assessed based on the carrying amount of the asset and its fair value which is generally determined based on the sum of the undiscounted cash flows expected to result from the use and the eventual disposal of the asset, as well as specific appraisal in certain instances. An impairment loss is recognized when the carrying amount is not recoverable and exceeds fair value. $0 and $150,000 impairment losses were recognized for the years ended December 31, 2014 and 2013, respectively. | |
Revenue Recognition | Revenue recognition – Greenkraft recognizes revenue when persuasive evidence of an arrangement exists, products and/or services have been delivered, the sales price is fixed or determinable, and collectability is reasonably assured. This typically occurs when the product is shipped or delivered to the customer. Cash payments received prior to delivery of products are deferred until the products are delivered. |
Non-Employee Stock-Based Compensation | Non-Employee Stock-Based Compensation – The Company accounts for stock-based compensation in accordance with the provision of ASC 505, “Equity Based Payments to Non-Employees” (“ASC 505”), which requires that such equity instruments are recorded at their fair value on the measurement date. The measurement of stock-based compensation is subject to periodic adjustment as the underlying equity instruments vest. |
Income Taxes | Income taxes – Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. These assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which the temporary differences are expected to reverse. |
We have net operating loss carryforwards available to reduce future taxable income. Future tax benefits for these net operating loss carryforwards are recognized to the extent that realization of these benefits is considered more likely than not. To the extent that we will not realize a future tax benefit, a valuation allowance is established. | |
Earning or Loss Per Share | Earning or Loss per Share – The Company accounts for earnings per share pursuant to ASC 260, Earnings per Share, which requires disclosure on the financial statements of "basic" and "diluted" earnings (loss) per share. Basic earnings (loss) per share are computed by dividing net income (loss) by the weighted average number of common shares outstanding for the year. Diluted earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding plus common stock equivalents (if dilutive) related to stock options and warrants for each year. As there was a net loss for the year ended December 31, 2014 and 2013, basic and diluted losses per share are the same for the year ended December 31, 2014 and 2013. |
Related Parties | Related Parties – A party is considered to be related to the Company if the party directly or indirectly or through one or more intermediaries, controls, is controlled by, or is under common control with the Company. Related parties also include principal owners of the Company, its management, members of the immediate families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. A party which can significantly influence the management or operating policies of the transacting parties or if it has an ownership interest in one of the transacting parties and can significantly influence the other to an extent that one or more of the transacting parties might be prevented from fully pursuing its own separate interests is also a related party. |
Recently Issued Accounting Pronouncements | Recently issued accounting pronouncements – We do not expect the adoption of recently issued accounting pronouncements to have a significant impact on our results of operations, financial position or cash flow |
Fixed_Assets_Tables
Fixed Assets (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Fixed Assets Tables | |||||||||
Schedule of Property Plant and Equipment | Fixed assets comprised the following as of December 31, 2014 and 2013. | ||||||||
2014 | 2013 | ||||||||
Equipment | $ | 109,428 | $ | 93,874 | |||||
Less Accumulated Depreciation | $ | (16,667 | ) | $ | (6,358 | ) | |||
Total | $ | 92,761 | $ | 87,516 |
Commitment_And_Contingencies_T
Commitment And Contingencies (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Commitment And Contingencies Tables | ||||||
Schedule of Minimum Future Lease Payments | Future rental payments payable to the landlord under the lease as of December 31, 2014 were as follows: | |||||
2015 | $ | 330,000 | ||||
2016 | $ | 330,000 | ||||
2017 | $ | 330,000 | ||||
2018 | $ | 330,000 | ||||
2019 | $ | 165,000 | ||||
Total | $ | 1,485,000 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Income Taxes Tables | |||||||||
Schedule of Deferred Tax Assets | At December 31, 2014 and 2013, deferred tax assets consisted of the following: | ||||||||
2014 | 2013 | ||||||||
Deferred tax assets | 879,047 | 592,429 | |||||||
Less: Valuation allowance | (879,047 | ) | (592,429 | ) | |||||
Net deferred tax assets | — | — |
Fixed_Assets_Details
Fixed Assets (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Fixed Assets Details | ||
Equipment | $109,428 | $93,874 |
Less Accumulated Depreciation | 16,667 | 6,358 |
Total | $92,761 | $87,516 |
Commitment_And_Contingencies_D
Commitment And Contingencies (Details) (USD $) | Dec. 31, 2014 |
Future rental payments | |
2015 | $330,000 |
2016 | 330,000 |
2017 | 330,000 |
2018 | 330,000 |
2019 | 165,000 |
Total | $1,485,000 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Income Taxes Details | ||
Deferred tax assets | $879,047 | $592,429 |
Less: Valuation allowance | 879,047 | 592,429 |
Net deferred tax assets |
Organization_And_Business_And_2
Organization And Business And Significant Accounting Policies (Narrative) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Organization And Business And Significant Accounting Policies Narrative Details | ||
Allowance for doubtful accounts receivables | $0 | $0 |
Related_Party_Transactions_Nar
Related Party Transactions (Narrative) (Details) (USD $) | 12 Months Ended | 3 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | |
Related Party Transaction [Line Items] | |||
Contributed rent | $1,200 | ||
Accounts payable | 428,834 | 302,889 | |
Due on related party notes | 1,901,916 | 1,916,916 | |
Repayment of related party notes | 15,000 | 93,034 | |
Contributed testing expense | 225,000 | ||
Contributed payroll expenses | 120,768 | 280,238 | |
Proceeds from line of credit | 394,000 | 1,165,000 | |
Repayment of line of credit | 15,093 | ||
Contributed officer salary | 72,000 | 72,000 | |
First Standard Real Estate LLC - Owned By CEO | |||
Related Party Transaction [Line Items] | |||
Contributed rent | 1,200 | ||
Amount Paid for warehouse space | 15,000 | ||
Defiance Company LLC - Owned By CEO | |||
Related Party Transaction [Line Items] | |||
Accounts payable | 285,389 | 285,389 | |
Owner And His Related Entities | Related Party Notes | |||
Related Party Transaction [Line Items] | |||
Due on related party notes | 1,901,916 | 1,916,916 | |
Related party notes description | All amounts are due on demand, unsecured and do not bear interest. | All amounts are due on demand, unsecured and do not bear interest. | |
Repayment of related party notes | 15,000 | 93,034 | |
CEE, LLC - Owned By President | |||
Related Party Transaction [Line Items] | |||
Accounts payable | 5,945 | ||
Contributed testing expense | 0 | 225,000 | |
Contributed payroll expenses | 120,768 | 280,238 | |
CEE, LLC - Owned By President | Line Of Credit | |||
Related Party Transaction [Line Items] | |||
Proceeds from line of credit | 169,534 | 0 | |
Repayment of line of credit | 15,093 | ||
First Warner Properties LLC - President Is The Member | |||
Related Party Transaction [Line Items] | |||
Accounts payable | 137,500 | 17,500 | |
First Warner Properties LLC - President Is The Member | Lease Agreements | |||
Related Party Transaction [Line Items] | |||
Lease agreement term description | The term of the lease agreement is from April 1, 2013 to April 1, 2018, with a monthly rent of $17,500. A new lease agreement was signed. The term of the new lease agreement is from July 1, 2014 to June 30, 2019, with a monthly rent of $27,500. | ||
Rent expenses | 270,000 | 157,500 | |
Chief Executive Officer | |||
Related Party Transaction [Line Items] | |||
Contributed officer salary | $72,000 | $72,000 |
Line_Of_Credit_Narrative_Detai
Line Of Credit (Narrative) (Details) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | ||
Aug. 22, 2014 | Jul. 15, 2013 | Mar. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | |
Line of Credit Facility [Line Items] | |||||
Deferred financing cost | $19,233 | ||||
Restricted cash as collateral for letter of credit | 1,501,641 | ||||
Borrowings under lines of credit | 394,000 | 1,165,000 | |||
Amortization of deferred financing cost | 10,767 | 7,150 | |||
Line of credit | 1,999,558 | 1,605,558 | |||
Pacific Premier Bank | Line Of Credit | |||||
Line of Credit Facility [Line Items] | |||||
Line of credit borrowing capacity | 3,500,000 | 2,000,000 | 3,500,000 | ||
Interest rate on line of credit | It bears interest at the prime rate plus 1%. | ||||
Line of credit description | A condition to the line of credit is a full banking relationship. If the conditions are not met or should cease to be met, then interest rate and interest ceiling provided under the note shall immediately increase by 5.000 percentage points. | ||||
Line of credit maturity date | 22-Aug-15 | 10-Dec-13 | 10-Apr-13 | ||
Line of credit modification cost description | The cost to modify the loan for 2014 was $4,052.50. | ||||
Letter of credit issued in favor of supplier | 3,000,000 | ||||
Additional line of credit borrowed | 1,500,000 | ||||
Deferred financing cost | 30,000 | ||||
Restricted cash as collateral for letter of credit | 1,500,000 | ||||
Line of credit covenant description | The Company acknowledged that it was in breach of (a) its covenant to maintain a ratio of Global Debt Coverage in excess of 1.250 to 1.0, (b) its covenant to maintain a ratio of Business Debt Coverage Ratio in excess of 1.25 to 1; (c) its covenant to maintain a ratio of Debt/Worth not in excess of 3.0 to 1.0 and (d) its covenant to maintain a Tangible Net Worth of not less than $350,000 (collectively the “Covenant Violations”). Pacific Premier agreed to forbear enforcement of its rights arising out of these Covenant Violations until receipt of the Company’s financial statements for the year ended December 31, 2014. | ||||
Borrowings under lines of credit | 394,000 | 1,165,000 | |||
Amortization of deferred financing cost | 10,767 | ||||
Line of credit | 1,999,558 | 1,605,558 | |||
Unused available amount under line of credit | $400 |
Contingent_Equity_Line_Of_Cred1
Contingent Equity Line Of Credit (Narrative) (Details) (USD $) | 12 Months Ended | 0 Months Ended | |
Dec. 31, 2014 | Feb. 11, 2014 | Feb. 12, 2014 | |
Stock issued for investment agreement, value | $73,529 | ||
Investment Agreement With Kodiak Capital LLC | |||
Investment agreement terms | The agreement provides the Company with financing whereby the Company can issue and sell to Kodiak, from time to time, shares of the Company’s common stock up to an aggregate purchase price of $5.0 million (put shares) during a defined period of time. The Company has the right to deliver from time to time a put notice to Kodiak stating the dollar amount of put shares the Company intends to sell to Kodiak with the price per share based on the following formula: eighty three percent (83%) of the lowest volume weighted average price of the Company’s common stock during the period beginning on the date of the put notice and ending five (5) days thereafter. | ||
Investment agreement termination terms | The Investment Agreement will terminate when any of the following events occur: (i) Kodiak has purchased an aggregate of $5.0 million of the Company’s common stock, (ii) on the date which is eighteen months following the Effective Date, or (iii) upon written notice from the Company to Kodiak. Similarly, the Investment Agreement, may, at the option of the non-breaching party, terminate if Kodiak or the Company commits a material breach, or becomes insolvent or enters bankruptcy proceedings. | ||
Stock issued for investment agreement, shares | 147,058 | ||
Stock issued for investment agreement, value | $73,529 |
Common_Stock_Narrative_Details
Common Stock (Narrative) (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Proceeds from issuance of stock | $1,810,000 | |
Proceeds received for potential future stock issuance | 75,000 | |
Common Stock | ||
Stock issued for cash, shares | 3,620,000 | |
Proceeds from issuance of stock | 1,810,000 | |
Sale of stock price, per share | $0.50 | |
Proceeds received for potential future stock issuance | $75,000 | |
Common stock subscribed but unissued, shares | 150,000 |
Major_Customers_Narrative_Deta
Major Customers (Narrative) (Details) (Revenue) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Three Customers | ||
Concentration Risk [Line Items] | ||
Revenue concentration risk percentage | 83.00% | |
Revenue concentration risk description | We had three customers each making up 10% or more of total truck sales revenue. | |
Customer One | ||
Concentration Risk [Line Items] | ||
Revenue concentration risk percentage | 31.00% | 40.00% |
Customer Two | ||
Concentration Risk [Line Items] | ||
Revenue concentration risk percentage | 27.00% | 26.00% |
Customer Three | ||
Concentration Risk [Line Items] | ||
Revenue concentration risk percentage | 10.00% | |
Several Vehicle Dealers | ||
Concentration Risk [Line Items] | ||
Revenue concentration risk percentage | 17.00% | 33.00% |
Two Customers | ||
Concentration Risk [Line Items] | ||
Revenue concentration risk percentage | 67.00% |
Acquisition_Of_Sunrise_Global_1
Acquisition Of Sunrise Global, Inc (Narrative) (Details) (Share Exchange Agreement With Sunrise Global, Inc, USD $) | 0 Months Ended | 1 Months Ended |
Dec. 06, 2013 | 31-May-13 | |
Share Exchange Agreement With Sunrise Global, Inc | ||
Business Acquisition [Line Items] | ||
Business acquisition transaction price | $150,000 | |
Business acquisition number of shares issued | 83,000,000 | |
Business acquisition number of shares cancelled | 4,600,000 |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |
Operating loss carryforwards | $2,585,432 |
Operating loss carryforwards limitations on use | Expire beginning in the years 2031. |