Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2016 | Aug. 17, 2016 | |
Document And Entity Information | ||
Entity Registrant Name | Cosmos Holdings Inc. | |
Entity Central Index Key | 1,474,167 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
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 Common Stock, Shares Outstanding | 125,630,532 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,016 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and cash equivalents | $ 474,111 | $ 198,049 |
Accounts receivable | 126,246 | 96,544 |
Inventory | 163,127 | 191,874 |
Prepaid expenses and other current assets | 412 | 60,709 |
TOTAL CURRENT ASSETS | 763,896 | 547,176 |
Other assets | 70,464 | 59,916 |
Property and equipment, net | 55,735 | 50,529 |
TOTAL ASSETS | 890,095 | 657,621 |
CURRENT LIABILITIES | ||
Accounts payable and accrued expenses | 176,118 | 196,420 |
Accounts payable and accrued expenses - related party | 267,989 | 140,513 |
Deferred revenue | 62,210 | |
Notes payable | 486,725 | 109,060 |
Notes payable - related party | 277,712 | 283,831 |
Loans payable | 32,718 | |
Loans payable - related party | 37,753 | 48,532 |
Taxes payable | 1,096,196 | 1,032,128 |
TOTAL CURRENT LIABILITIES | 2,342,493 | 1,905,412 |
TOTAL LIABILITIES | 2,342,493 | 1,905,412 |
Commitments and Contingencies | ||
STOCKHOLDERS' DEFICIT: | ||
Preferred stock, $0.001 par value; 100,000,000 shares authorized; 0 shares issued and outstanding as of June 30, 2016 and December 31, 2015, respectively | ||
Common stock, $0.001 par value; 300,000,000 shares authorized; 125,630,532 and 125,630,532 shares issued and outstanding as of June 30, 2016 and December 31, 2015, respectively | 125,631 | 125,631 |
Additional paid-in capital | 133,613 | 133,473 |
Accumulated other comprehensive loss | (1,127,241) | (1,105,678) |
Accumulated deficit | (584,401) | (401,217) |
TOTAL STOCKHOLDERS' DEFICIT | (1,452,398) | (1,247,791) |
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT | $ 890,095 | $ 657,621 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2016 | Dec. 31, 2015 |
SHAREHOLDERS' EQUITY | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares, outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 125,630,532 | 125,630,532 |
Common stock, shares, outstanding | 125,630,532 | 125,630,532 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
REVENUE | ||||
Revenue | $ 955,895 | $ 2,092,301 | ||
COST OF REVENUE | 874,189 | 1,922,919 | ||
GROSS PROFIT | 81,706 | 169,382 | ||
OPERATING EXPENSES | ||||
General and administrative expenses | 167,733 | 109,802 | 292,795 | 193,907 |
Depreciation expense | 906 | 4,535 | 178 | |
TOTAL OPERATING EXPENSES | 168,639 | 109,802 | 297,330 | 194,085 |
LOSS FROM OPERATIONS | (86,933) | (109,802) | (127,948) | (194,085) |
OTHER INCOME (EXPENSE) | ||||
Interest income | 242 | 1,059 | ||
Other income | 19 | 19 | ||
Interest expense - related party | 1,079 | (1,474) | (1,822) | (4,636) |
Interest expense | (28,323) | (21,586) | (50,009) | (43,611) |
Other expense | (681) | (1,151) | ||
Foreign currency transaction gain (loss) | 1,546 | (1,488) | ||
TOTAL OTHER INCOME (EXPENSE) | (26,360) | (22,818) | (54,451) | (47,188) |
LOSS BEFORE INCOME TAXES | (113,293) | (132,620) | (182,399) | (241,273) |
INCOME TAX EXPENSE | (785) | (785) | ||
NET LOSS | (114,078) | (132,620) | (183,184) | (241,273) |
OTHER COMPREHENSIVE LOSS | ||||
Foreign currency translation loss | 191,290 | 111,536 | (21,563) | (449,912) |
TOTAL OTHER COMPREHENSIVE LOSS | $ 77,212 | $ (21,084) | $ (204,747) | $ (691,185) |
BASIC NET (LOSS) INCOME PER SHARE | $ 0 | $ 0 | $ 0 | $ 0 |
DILUTED NET (LOSS) INCOME PER SHARE | $ 0 | $ 0 | $ 0 | $ 0 |
BASIC WEIGHTED AVERAGE SHARES OUTSTANDING | 125,630,532 | 125,601,282 | 125,630,532 | 125,601,282 |
DILUTED WEIGHTED AVERAGE SHARES OUTSTANDING | 125,630,532 | 125,804,894 | 125,630,532 | 125,808,721 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (183,184) | $ (241,273) |
Adjustments to Reconcile Net Loss to Net Cash Provided by (Used in) Operating Activities: | ||
Depreciation expense | 4,535 | 178 |
Stock-based compensation | 28,350 | |
Changes in Assets and Liabilities: | ||
Accounts receivable | (29,702) | |
Inventory | 28,747 | |
Prepaid expenses | 60,297 | |
Other assets | (10,548) | (1,246) |
Accounts payable and accrued expenses | (20,302) | (59,884) |
Accounts payable and accrued expenses - related party | 127,476 | 18,298 |
Taxes payable | 21,529 | |
Deferred revenue | (62,210) | |
NET CASH (USED IN) OPERATING ACTIVITIES | (63,362) | (255,577) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of fixed assets | (8,801) | (33,820) |
NET CASH USED IN INVESTING ACTIVITIES | (8,801) | (33,820) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Payment of related party note payable | (11,104) | |
Payment of note payable | (133,248) | |
Proceeds from note payable | 508,563 | |
Payment of related party loans | (11,659) | (3,000) |
Proceeds from related party loans | 70,000 | |
Payment of loans payable | (33,312) | |
Capital contribution | 140 | |
NET CASH PROVIDED BY FINANCING ACTIVITIES | 319,380 | 67,000 |
Effect of exchange rate changes on cash | 28,845 | (36,152) |
NET INCREASE (DECREASE) IN CASH | 276,062 | (258,549) |
CASH AT BEGINNING OF PERIOD | 198,049 | 446,604 |
CASH AT END OF PERIOD | 474,111 | 188,055 |
Supplemental Disclosure of Cash Flow Information | ||
Cash paid during the period: Interest | ||
Cash paid during the period: Income Tax |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Note 1 - BASIS OF PRESENTATION | The terms "COSM," "we," "the Company," and "us" as used in this report refer to Cosmos Holdings Inc. The accompanying unaudited consolidated balance sheet as of June 30, 2016 and unaudited consolidated statements of operations for the three and six months ended June 30, 2016 have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. In the opinion of management of COSM, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and six month period ended June 30, 2016, are not necessarily indicative of the results that may be expected for the year ending December 31, 2016, or any other period. These unaudited consolidated financial statements and notes should be read in conjunction with the financial statements for each of the two years ended December 31, 2015 and 2014, included in the Company's Annual Report on Form 10-K. The accompanying consolidated balance sheet as of December 31, 2015 has been derived from the audited financial statements filed in our Form 10-K and is included for comparison purposes in the accompanying balance sheet. Certain prior year amounts have been reclassified to conform to current year presentation. |
ORGANIZATION AND NATURE OF BUSI
ORGANIZATION AND NATURE OF BUSINESS | 6 Months Ended |
Jun. 30, 2016 | |
Organization And Nature Of Business | |
Note 2 - ORGANIZATION AND NATURE OF BUSINESS | Cosmos Holdings, Inc. ("Cosmos", "the Company", the "Registrant", "we", or "us") was incorporated in the State of Nevada under the name Prime Estates and Developments, Inc. on July 21, 2009 for the purpose of acquiring and operating commercial real estate and real estate related assets. On September 27, 2013 (the "Closing"), the Company closed a reverse take-over transaction by which it acquired a private company whose principal activities are the trading of products, providing representation, and provision of consulting services to various sectors. Pursuant to a Share Exchange Agreement (the "Exchange Agreement") between the Registrant and Amplerissimo Ltd, a company incorporated in Cyprus ("Amplerissimo"), the Registrant acquired 100% of Amplerissimo's issued and outstanding common stock. On August 1, 2014, we, through our Cypriot subsidiary Amplerissimo, formed SkyPharm S.A. a Greek corporation ("SkyPharm") whose principal activities and operations are the development, marketing and sales of pharmaceutical and cosmetic products. The Company conducts its business within the pharmaceutical industry and in order to compete successfully for business in the healthcare industry, must demonstrate that its products offer medical benefits as well as cost advantages. Currently, most of the products that the Company is trading, compete with other products already on the market in the same therapeutic categories, and are subject to potential competition from new products that competitors may introduce in the future. Going Concern The Company's consolidated financial statements are prepared using U.S. GAAP applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company incurred a net loss of $183,184 for the six months ended June 30, 2016, and has an accumulated deficit of $584,401 and a working capital deficit of $1,578,597 as of June 30, 2016, the Company has not yet established an adequate ongoing source of revenues sufficient to cover its operating costs and to allow it to continue as a going concern. These conditions raise substantial doubt regarding the Company's ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain adequate capital, it could be forced to cease development of operations. In order to continue as a going concern, develop a reliable source of revenues, and achieve a profitable level of operations the Company will need, among other things, additional capital resources. Management's plans to continue as a going concern include raising additional capital through increased sales of product and by sale of common shares. However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying consolidated financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. Summary of Significant Accounting Policies Basis of Financial Statement Presentation The accompanying consolidated financial statements have been prepared in accordance with principles generally accepted in the United States of America. Principles of Consolidation Our consolidated accounts include our accounts and the accounts of our wholly-owned subsidiaries, Amplerissimo Ltd and SkyPharm S.A. All significant intercompany balances and transactions have been eliminated. Use of Estimates The preparation of the consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Cash and Cash Equivalents For purposes of the statement of cash flows, the Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. As of June 30, 2016 and December 31, 2015, there were no cash equivalents. The Company maintains bank accounts in the United States denominated in U.S. Dollars and in the Republic of Cyprus, in Greece and in Bulgaria all of them denominated in Euros. For the six months ended June 30, 2016, the amounts in these accounts were $0 and $39,927 (the Euro equivalent of which was 35,958). At December 31, 2015, the amounts in these accounts were $(190) and $7,808 (the Euro equivalent of which was 7,159). Accounts Receivable Accounts receivable are stated at their net realizable value. The allowance for doubtful accounts against gross accounts receivable reflects the best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. Inventory Inventory is stated at the lower of cost or market value using the weighted average method. Inventory consists primarily of finished goods and packaging materials, i.e. packaged pharmaceutical products and the wrappers and containers they are sold in. A periodic inventory system is maintained by 100% count. Inventory is replaced periodically to maintain the optimum stock on hand available for immediate shipment. We write-down inventories to net realizable value based on forecasted demand and market conditions, which may differ from actual results. Fixed Assets Fixed assets are stated at cost, less accumulated depreciation. Depreciation is provided on a straight-line basis over the useful lives (except for leasehold improvements which are depreciated over the lesser of the lease term or the useful life) of the assets as follows: Estimated Useful Life Furniture and fixtures 5-7 years Office and computer equipment 3-5 years Depreciation expense was $4,535 and $178 for the six months ended June 30, 2016 and June 30, 2015, respectively. Fair Value Measurement The Company adopted FASB ASC 820-Fair Value Measurements and Disclosures, or ASC 820, for assets and liabilities measured at fair value on a recurring basis. ASC 820 establishes a common definition for fair value to be applied to existing generally accepted accounting principles that require the use of fair value measurements establishes a framework for measuring fair value and expands disclosure about such fair value measurements. The adoption of ASC 820 did not have an impact on the Company's financial position or operating results, but did expand certain disclosures. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Additionally, ASC 820 requires the use of valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. These inputs are prioritized below: Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs other than quoted prices that are observable, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Unobservable inputs in which little or no market data exists, therefore developed using estimates and assumptions developed by us, which reflect those that a market participant would use. The Company did not have any Level 2 or Level 3 assets or liabilities as of June 30, 2016. Cash is considered to be highly liquid and easily tradable as of June 30, 2016, and therefore classified as Level 1 within our fair value hierarchy. In addition, FASB ASC 825-10-25 Fair Value Option, or ASC 825-10-25, was effective for January 1, 2008. ASC 825-10-25 expands opportunities to use fair value measurements in financial reporting and permits entities to choose to measure many financial instruments and certain other items at fair value. The Company did not elect the fair value options for any of its qualifying financial instruments. Revenue Recognition We consider revenue recognizable when persuasive evidence of an arrangement exists, the price is fixed or determinable, goods or services have been delivered, and collectability is reasonably assured. These criteria are assumed to have been met if a customer orders an item, the goods or services have been shipped or delivered to the customer, and we have sufficient evidence of collectability, such a payment history with the customer. Revenue that is billed and received in advance such as recurring weekly or monthly services are initially deferred and recognized as revenue over the period the services are provided. Stock-based Compensation The Company records stock based compensation in accordance with ASC section 718, "Stock Compensation" and Staff Accounting Bulletin (SAB) No. 107 (SAB 107) issued by the SEC in March 2005 regarding its interpretation of ASC 718. ASC 718 requires the fair value of all stock-based employee compensation awarded to employees to be recorded as an expense over the related requisite service period. The Company values any employee or non-employee stock based compensation at fair value using the Black-Scholes Option Pricing Model. The Company accounts for non-employee share-based awards in accordance with the measurement and recognition criteria of ASC 505-50 "Equity-Based Payments to Non-Employees". Foreign Currency Translations and Transactions Assets and liabilities of all foreign operations are translated at year-end rates of exchange, and the statements of operations are translated at the average rates of exchange for the year. Gains or losses resulting from translating foreign currency financial statements are accumulated in a separate component of stockholders' equity until the entity is sold or substantially liquidated. Gains or losses from foreign currency transactions (transactions denominated in a currency other than the entity's local currency) are included in net earnings. Income Taxes The Company accounts for income taxes under the asset and liability method, as required by the accounting standard for income taxes ASC 740. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis, as well as net operating loss carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company is liable for income taxes in the Republic of Cyprus and Greece. The corporate income tax rate in Cyprus is 12.5% and 29% in Greece and tax losses are carried forward for five years effective January 1, 2013 (prior to 2013, losses were carried forward indefinitely). Losses may also be subject to limitation under certain rules regarding change of ownership. We regularly review deferred tax assets to assess their potential realization and establish a valuation allowance for portions of such assets to reduce the carrying value if we do not consider it to be more likely than not that the deferred tax assets will be realized. Our review includes evaluating both positive (e.g., sources of taxable income) and negative (e.g., recent historical losses) evidence that could impact the realizability of our deferred tax assets. At June 30, 2016 the Company has maintained a valuation allowance against all net deferred tax assets in each jurisdiction in which it is subject to income tax. We recognize the impact of an uncertain tax position in our financial statements if, in management's judgment, the position is not more-likely-then-not sustainable upon audit based on the position's technical merits. This involves the identification of potential uncertain tax positions, the evaluation of applicable tax laws and an assessment of whether a liability for an uncertain tax position is necessary. As of June 30, 2016 the Company has no uncertain tax positions recorded in any jurisdiction where it is subject to income tax. Basic and Diluted Net Income (Loss) per Common Share Basic and diluted net loss per share calculations are calculated on the basis of the weighted average number of common shares outstanding during the periods presented. The per share amounts include the dilutive effect of common stock equivalents in years with net income. Basic and diluted loss per share for the three and six months ended June 30, 2016 is the same due to the anti-dilutive nature of potential common stock equivalents. Recent Accounting Pronouncements In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which delays the effective date of the revenue standard issued in 2014, ASU 2014-09, Revenue from Contracts with Customers. In response to stakeholders' requests to defer the effective date of the guidance in ASU 2014-09 and in consideration of feedback received through extensive outreach with preparers, practitioners, and users of financial statements, the FASB proposed deferring the effective date of ASU 2014-09. Respondents to the proposal overwhelmingly supported a deferral. Respondents noted that providing sufficient time for implementation of the guidance in ASU 2014-09 is critical to its success. In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes, which requires that an entity classify deferred tax assets and liabilities as noncurrent on the balance sheet. Prior to the issuance of the standard, deferred tax assets and liabilities were required to be separated into current and noncurrent amounts on the basis of the classification of the related asset or liability. This ASU is effective for the Company on April 1, 2017, with early adoption permitted. The adoption of ASU No. 2015-17 is not expected to have a material impact on the Company's condensed consolidated financial statements or related disclosures. Management does not believe that any recently issued, but not effective, accounting standards, if currently adopted, would have a material effect on the Company's financial statements. |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Note 3 - INCOME TAXES | At June 30, 2016, the Company's effective tax rate differs from the US federal statutory tax rate primarily due to a valuation allowance recorded against net deferred tax assets in all jurisdictions in which the Company operates. At December 31, 2015, the Company's effective tax rate differed from the US federal statutory tax rate primarily due to earnings taxed at the lower income tax rate in Cyprus. We regularly review deferred tax assets to assess their potential realization and establish a valuation allowance for portions of such assets to reduce the carrying value if we do not consider it to be more likely than not that the deferred tax assets will be realized. Our review includes evaluating both positive (e.g., sources of taxable income) and negative (e.g., recent historical losses) evidence that could impact the realizability of our deferred tax assets. At June 30, 2016 the Company has a maintained a valuation allowance against all net deferred tax assets in each jurisdiction in which it is subject to income tax. As of June 30, 2016 the Company has no uncertain tax positions recorded in any jurisdiction where it is subject to income tax. The Company has recorded $43,577 of interest and penalties as interest expense for the six months ended June 30, 2016 in accordance with this policy. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Note 4 - RELATED PARTY TRANSACTIONS | As of June 30, 2016, the Company has accounts payable of 232,798 ($258,494) to DOC Pharma S.A., this comprises over 10% of the Company's total payable balance. As of December 31, 2015, the Company owed 111,000 ($121,063) to DOC Pharms S.A. On November 1, 2015, the Company entered into a 12,000 ($13,325) Loan Agreement with DOC Pharma S.A, pursuant to which DOC Pharma S.A., paid existing bills of the Company in the amount of 12,000, excluding the Vendor Bills. The loan will bear an interest rate of 2% per annum and will be due and payable in full on October 31, 2016. As of June 30, 2016, the Company has an outstanding principal balance under this note of $13,325 and accrued interest expense of 159 ($176). On March 4, 2015, the Company entered into a $9,000 Loan Agreement with Mr. Angelos Drakopoulos, pursuant to which the Mr. Drakopoulos paid a $9,000 outstanding bill on behalf of the Company. The loan will bear an interest rate of 8% per annum and will be due and payable in full on May 5, 2016. As of June 30, 2016, the Company has an outstanding principal balance under this note of $9,000 and accrued interest expense of $460. During the year ended December 31, 2015, the Company borrowed 30,000 ($33,311) as a loan payable from Mr. Panagiotis Drakopoulos, former Director and former Chief Executive Officer. The loan has no formal agreement and bear no interest. As of June 30, 2016, the Company has an outstanding principal balance under this note of $33,311. In April 2015, the Company remitted $6,000 to Panagiotis Drakopoulos, a former officer of the Company, in connection with the repayment of accrued and unpaid salary and the prior forgiveness and cancellation by Drakopoulos of other amounts owed by the Company. On November 16, 2015, the Company entered into another Loan Agreement with Panagiotis Drakopoulos, pursuant to which the Company borrowed 40,000 ($44,415) as note payable from Mr. Drakopoulos. The note will bear an interest rate of 6% per annum and is due and payable in full on November 15, 2016. As of June 30, 2016, the Company has an outstanding principal balance under this note of $44,416 and accrued interest expense of 1,500 ($1,666). As of June 30, 2016 the Company has accrued 4,355 ($4,836) in board of directors' fees and related taxes for Grigorios Siokas, Chief Executive Officer. During the year ended December 31, 2015, the Company borrowed 10,000 ($11,104) as loan payable from Mr. Grigorios Siokas. The loan has no formal agreement and bears no interest. During the six months ended June 30, 2016, 6,000 ($6,662) of the loan from Mr. Siokas was repaid. During the year ended December 31, 2015, the Company borrowed 4,500 ($4,997) from Mrs. Ourania Matsouki, wife of Mr. Grigorios Siokas, Chief Executive Officer. This loan has no formal agreement and bears no interest. This loan was paid back in full during the six months ended June 30, 2016. Grigorios Siokas, the Chief Executive Officer and Director of the Company entered into the following transactions to purchase shares of Common Stock of the Company : Seller Date Amount of Shares Aggregate Purchase Price Vasileios Mavrogiannis January 8, 2016 2,650,000 $ 1.00 Vasileios Mavrogiannis January 8, 2016 1,666,666 $ 1.00 Panagiotis Drakopoulos January 8, 2016 2,400,000 $ 1.00 Panagiotis Drakopoulos January 11, 2016 2,000,000 $ 1.00 None of the proceeds of these sales were paid to the Company. On November 4, 2015, Mr. Dimitrios Goulielmos (the "Seller") and Mr. Grigorios Siokas (the "Buyer") entered into a stock purchase agreement, whereby Mr. Goulielmos sold 95,000,000 shares of common stock to Mr. Siokas for $1.00. As part of the agreement, the Seller forgave and released the Company and the Company's subsidiary from all claims except for the repayment of 200,000 that was loaned by the Seller to SkyPharm. In exchange, the Buyer pledged to pay various obligations of the Company as listed in the Annex of the agreement as follows: $16,357 to Malone Bailey, $3,000 in accounting fees, $2,400 to Terzis, the Amplerissimo tax liability of 817,811 and various other obligations estimated between $5,000 and $10,000 (collectively the "Vendor Bills"). The Company subsequently paid the Vendor Bills. Notwithstanding the non-payment of the Vendor Bills by the buyer at that time, in connection with the sale of common stock to Mr. Siokas, on February 26, 2016, Dimitrios Goulielmos resigned from his positions as Chief Executive Officer ("CEO") and Chief Financial Officer ("CFO") of Cosmos Holdings, Inc. (the "Company") but retained his position as a director on the Board of Directors. The Board of Directors appointed Grigorios Siokas to the offices of CEO and CFO and elected him to fill a vacancy and serve on the Board of Directors and as the Chairman of the Board. On November 21, 2014, SkyPharm entered into a Loan Agreement with Dimitrios Goulielmos, then the Chief Executive Officer and a director of the Company, pursuant to which the Borrower borrowed 330,000 ($366,432) from Mr. Goulielmos. The Loan will bear an interest rate of 2% per annum and will be due and payable in full on May 11, 2015. On November 4, 2015, 130,000 ($147,619) in principal and the related accrued interest of 733 ($806) was forgiven and the remaining balance of 200,000 will no longer accrue interest as part of the stock purchase agreement with Grigorios Siokas on November 4, 2015 referenced above. As of June 30, 2016, 10,000 ($11,104) of the loan was paid back, and a principal balance of 190,000 ($210,972) and 0.00 of accrued interest remains. On December 29, 2014, the Company borrowed $3,000 from Dimitrios Goulielmos, the former Chief Executive Officer and a director of the Company. The loan was non-interest bearing and was repaid in full in January 2015. |
DEBT
DEBT | 6 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Note 5 - DEBT | On November 5, 2015, the Company entered into a Loan Agreement pursuant to which the Company borrowed 20,000 ($22,208), of which proceeds of 10,000 ($11,104) have been received as of June 30 2016. The loan will bear an interest rate of 1% per annum and is due and payable in full on November 5, 2016. The Company has accrued interest expense of 220 ($244) as of June 30, 2016. The outstanding balance under this note was $22,208 as of June 30, 2016. On November 5, 2015, the Company entered into a Loan Agreement pursuant to which the Company borrowed 80,000 ($88,830) of which proceeds of 70,000 ($77,727) have been received as of June 30, 2016. The loan will bear an interest rate of 5% per annum and is due and payable in full on November 5, 2016. The Company has accrued interest expense of 4,566 ($5,070) as of June 30, 2016. The outstanding balance under this note was $88,832 as of June 30, 2016. On January 6, 2016, the Company entered into a Loan Agreement pursuant to which the Company borrowed 150,000 ($166,557). The loan will bear an interest rate of 1% per annum and is due and payable in full on February 6, 2016. As of June 30, 2016, 120,000 ($133,246) was paid back by the Company. There is accrued interest expense related to the note of 694 ($771). As of June 30, 2016, the outstanding balance under this note was $33,312. On February 5, 2016, the Company entered into a Loan Agreement pursuant to which the Company borrowed 20,000 ($22,208). The loan will bear an interest rate of 6% and has no maturity date. The Company has accrued interest expense of 484 ($537) as of June 30, 2016. The outstanding balance under this note was $22,208 as of June 30, 2016. On March 4, 2016, the Company entered into a Loan Agreement pursuant to which the Company borrowed 50,000 ($55,519). The loan will bear an interest rate of 6% and has no maturity date. The Company has accrued interest expense of 979 ($1,087) as of June 30, 2016. The outstanding balance under this note was $55,520 as of June 30, 2016. On April 19, 2016, the Company entered into a Loan Agreement pursuant to which the Company borrowed 100,000 ($111,038). The loan will bear an interest rate of 6% and will mature on April 19, 2017. The Company has accrued interest expense of 1,200 ($1,332) as of June 30, 2016. The outstanding balance under this note was $111,040 as of June 30, 2016. On April 22, 2016, the Company entered into a Loan Agreement pursuant to which the Company borrowed 38,000 ($42,194). The loan will bear an interest rate of 6% and will mature on April 22, 2017. The Company has accrued interest expense of 437 ($485) as of June 30, 2016. The outstanding balance under this note was $42,195 as of June 30, 2016. On May 04, 2016, the Company entered into a Loan Agreement pursuant to which the Company borrowed 50,000 ($55,519). The loan will bear an interest rate of 6% and will mature on May 4, 2017. The Company has accrued interest expense of 477 ($530) as of June 30, 2016. The outstanding balance under this note was $55,520 as of June 30, 2016. On May 24, 2016, the Company entered into a Loan Agreement pursuant to which the Company borrowed 50,000 ($55,519). The loan will bear an interest rate of 6% and will mature on May 24, 2017. The Company has accrued interest expense of 313 ($348) as of June 30, 2016. The outstanding balance under this note was $55,520 as of June 30, 2016. During the six months ended June 30, 2016, $379 of Company expenses were paid for by a third party. There was no formal agreement and the loan bears no interest. During the year ended December 31, 2015, the Company borrowed 30,000 ($34,066) from a third party. There was no formal agreement and the loan bears no interest. During the six months ended June 30, 2016 this loan was paid back in full. None of the above loans were made by any related parties. |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Note 6 - LEASES | The Company conducts its operations from an office located in Chicago, Illinois for which beginning in February 2014, we paid rent of approximately $710 per month for our office through December 31, 2014. Effective January 1, 2015, the monthly rent expense is $730, which has been paid through December 31, 2015. The lease expired as of November 30, 2015, however, the Company has negotiated and entered into a new lease that commenced as of June 1, 2016. Rent expense for the three and six months ended June 30, 2016, was $709 and $709, respectively. Rent expense for the three and six months ended June 30, 2015, was $2,244 and $5,801, respectively. The offices of Amplerissimo are located in Cyprus for which we paid approximately $110 per month under a one year lease which expired in July 2013 and was renewed through July 2015, whereupon rent continued to be paid by the Company on a month to month basis. Rent expense for the three and six months ended June 30, 2016 was $330 and $660, respectively. Rent expense for the three and six months ended June 30, 2015 was $330 and $660, respectively. The offices of SkyPharm are located in Greece, Thessaloniki, for which we paid approximately 4,480 ($4,975) per month under a six year lease that commenced September 2014. In December 2015, the lease was revised to include an additional rental of the first floor at a rate of 829 ($921) per month. The lease was further revised in March 2016 to include another additional rental of the first floor at a rate of 829 ($921) per month beginning in May 2016. Rent expense for the three and six months ended June 30, 2016 was 17,754 ($19,856) and 33,682 ($37,670) respectively. Rent expense for the three and six months ended June 30, 2015 was 12,975 ($14,640) and 25,950 ($28,696) respectively. |
DEPOSIT ON PENDING ACQUISITION
DEPOSIT ON PENDING ACQUISITION | 6 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Note 7 - DEPOSIT ON PENDING ACQUISITION | On August 19, 2014, Amplerissimo Ltd., a company incorporated in Cyprus and a subsidiary of the Company ("Amplerissimo") entered into a Share Purchase Agreement (the "Purchase Agreement") with B2IN S.A., a corporation organized under the laws of Greece ("B2IN"), Unilog Logistics S.A., a corporation organized under the laws of Greece and a wholly owned subsidiary of B2IN ("Unilog"), and Wilot Limited, a corporation organized under the laws of Cyprus ("Seller"). Unilog operates a pharmaceutical logistics business in Greece. Subject to the terms, conditions, and provisions of the Purchase Agreement, at the closing (the "Closing") of the transactions contemplated by the Purchase Agreement, Amplerissimo will acquire from Seller all of the outstanding capital stock of B2IN for a purchase price of seven million euros ( 7,000,000) or approximately $7,634,000. As of December 31, 2015, 5,540,000 ($6,041,924) of this purchase price was paid to the Seller by Amplerissimo. Subject to the terms, conditions, and provisions of the Share Purchase Agreement signed on August 19, 2014, between Amplerissimo Ltd & B2IN S.A (the "Seller") to acquire all of the outstanding capital of Seller and under the agreement for extension entered into force at 18th day of August 2015, if the Closing does not occur by March 30, 2016 for any reason, Amplerissimo is entitled to have the deposit returned to it by Seller. As of June 30, 2016 the Closing did not occur and thus under the terms of the related Share Purchase Agreement, the Company has the right to terminate the agreement and will request the Seller to return the deposit in total. However the Company has determined that it will not receive any of the investment back from B2IN. Accordingly, as of December 31, 2015, 5,540,000 ($6,041,924) was written off and the balance of the deposit account is 0.00. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Note 8 - SUBSEQUENT EVENTS | On August 4, 2016, the Company's wholly owned subsidiary Sky Pharm S.A. ("Sky Pharm") entered into a Loan Facility Agreement, guaranteed by Grigorios Siokas, with Synthesis Peer-To Peer-Income Fund (the "Loan Facility"). The Loan Facility provides Sky Pharm with a credit facility of up to $1,292,769. Any advance under the Loan Facility accrues interest at a rate of 10% per annum and requires quarterly interest payments commencing on September 30, 2016. The amounts owed under the Loan Facility shall be repayable upon the earlier of (i) three months following the demand of the lender; or (ii) August 31, 2018. No prepayment is permitted pursuant to the terms of the Loan Facility. The Synthesis Facility Agreement is secured by a personal guaranty of Grigorios Siokas, which is secured by a pledge of 10,000,000 shares of common stock of the Company owned by Mr. Siokas. As of the date hereof the Company has taken an advance of $1,292,769. |
ORGANIZATION AND NATURE OF BU14
ORGANIZATION AND NATURE OF BUSINESS (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
Organization And Nature Of Business Policies | |
Basis of Financial Statement Presentation | The accompanying consolidated financial statements have been prepared in accordance with principles generally accepted in the United States of America. |
Principles of Consolidation | Our consolidated accounts include our accounts and the accounts of our wholly-owned subsidiaries, Amplerissimo Ltd and SkyPharm S.A. All significant intercompany balances and transactions have been eliminated. |
Use of Estimates | The preparation of the consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Cash and Cash Equivalents | For purposes of the statement of cash flows, the Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. As of June 30, 2016 and December 31, 2015, there were no cash equivalents. The Company maintains bank accounts in the United States denominated in U.S. Dollars and in the Republic of Cyprus, in Greece and in Bulgaria all of them denominated in Euros. For the six months ended June 30, 2016, the amounts in these accounts were $0 and $39,927 (the Euro equivalent of which was 35,958). At December 31, 2015, the amounts in these accounts were $(190) and $7,808 (the Euro equivalent of which was 7,159). |
Account Receivable | Accounts receivable are stated at their net realizable value. The allowance for doubtful accounts against gross accounts receivable reflects the best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. |
Inventory | Inventory is stated at the lower of cost or market value using the weighted average method. Inventory consists primarily of finished goods and packaging materials, i.e. packaged pharmaceutical products and the wrappers and containers they are sold in. A periodic inventory system is maintained by 100% count. Inventory is replaced periodically to maintain the optimum stock on hand available for immediate shipment. We write-down inventories to net realizable value based on forecasted demand and market conditions, which may differ from actual results. |
Fixed Assets | Fixed assets are stated at cost, less accumulated depreciation. Depreciation is provided on a straight-line basis over the useful lives (except for leasehold improvements which are depreciated over the lesser of the lease term or the useful life) of the assets as follows: Estimated Useful Life Furniture and fixtures 5-7 years Office and computer equipment 3-5 years Depreciation expense was $4,535 and $178 for the six months ended June 30, 2016 and June 30, 2015, respectively. |
Fair Value Measurement | The Company adopted FASB ASC 820-Fair Value Measurements and Disclosures, or ASC 820, for assets and liabilities measured at fair value on a recurring basis. ASC 820 establishes a common definition for fair value to be applied to existing generally accepted accounting principles that require the use of fair value measurements establishes a framework for measuring fair value and expands disclosure about such fair value measurements. The adoption of ASC 820 did not have an impact on the Company's financial position or operating results, but did expand certain disclosures. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Additionally, ASC 820 requires the use of valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. These inputs are prioritized below: Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs other than quoted prices that are observable, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Unobservable inputs in which little or no market data exists, therefore developed using estimates and assumptions developed by us, which reflect those that a market participant would use. The Company did not have any Level 2 or Level 3 assets or liabilities as of June 30, 2016. Cash is considered to be highly liquid and easily tradable as of June 30, 2016, and therefore classified as Level 1 within our fair value hierarchy. In addition, FASB ASC 825-10-25 Fair Value Option, or ASC 825-10-25, was effective for January 1, 2008. ASC 825-10-25 expands opportunities to use fair value measurements in financial reporting and permits entities to choose to measure many financial instruments and certain other items at fair value. The Company did not elect the fair value options for any of its qualifying financial instruments. |
Revenue Recognition | We consider revenue recognizable when persuasive evidence of an arrangement exists, the price is fixed or determinable, goods or services have been delivered, and collectability is reasonably assured. These criteria are assumed to have been met if a customer orders an item, the goods or services have been shipped or delivered to the customer, and we have sufficient evidence of collectability, such a payment history with the customer. Revenue that is billed and received in advance such as recurring weekly or monthly services are initially deferred and recognized as revenue over the period the services are provided. |
Stock-based Compensation | The Company records stock based compensation in accordance with ASC section 718, "Stock Compensation" and Staff Accounting Bulletin (SAB) No. 107 (SAB 107) issued by the SEC in March 2005 regarding its interpretation of ASC 718. ASC 718 requires the fair value of all stock-based employee compensation awarded to employees to be recorded as an expense over the related requisite service period. The Company values any employee or non-employee stock based compensation at fair value using the Black-Scholes Option Pricing Model. The Company accounts for non-employee share-based awards in accordance with the measurement and recognition criteria of ASC 505-50 "Equity-Based Payments to Non-Employees". |
Foreign Currency Translations and Transactions | Assets and liabilities of all foreign operations are translated at year-end rates of exchange, and the statements of operations are translated at the average rates of exchange for the year. Gains or losses resulting from translating foreign currency financial statements are accumulated in a separate component of stockholders' equity until the entity is sold or substantially liquidated. Gains or losses from foreign currency transactions (transactions denominated in a currency other than the entity's local currency) are included in net earnings. |
Income Taxes | The Company accounts for income taxes under the asset and liability method, as required by the accounting standard for income taxes ASC 740. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis, as well as net operating loss carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company is liable for income taxes in the Republic of Cyprus and Greece. The corporate income tax rate in Cyprus is 12.5% and 29% in Greece and tax losses are carried forward for five years effective January 1, 2013 (prior to 2013, losses were carried forward indefinitely). Losses may also be subject to limitation under certain rules regarding change of ownership. We regularly review deferred tax assets to assess their potential realization and establish a valuation allowance for portions of such assets to reduce the carrying value if we do not consider it to be more likely than not that the deferred tax assets will be realized. Our review includes evaluating both positive (e.g., sources of taxable income) and negative (e.g., recent historical losses) evidence that could impact the realizability of our deferred tax assets. At June 30, 2016 the Company has maintained a valuation allowance against all net deferred tax assets in each jurisdiction in which it is subject to income tax. We recognize the impact of an uncertain tax position in our financial statements if, in management's judgment, the position is not more-likely-then-not sustainable upon audit based on the position's technical merits. This involves the identification of potential uncertain tax positions, the evaluation of applicable tax laws and an assessment of whether a liability for an uncertain tax position is necessary. As of June 30, 2016 the Company has no uncertain tax positions recorded in any jurisdiction where it is subject to income tax. |
Basic and Diluted Net Income (Loss) per Common Share | Basic and diluted net loss per share calculations are calculated on the basis of the weighted average number of common shares outstanding during the periods presented. The per share amounts include the dilutive effect of common stock equivalents in years with net income. Basic and diluted loss per share for the three and six months ended June 30, 2016 is the same due to the anti-dilutive nature of potential common stock equivalents. |
Recent Accounting Pronouncements | In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which delays the effective date of the revenue standard issued in 2014, ASU 2014-09, Revenue from Contracts with Customers. In response to stakeholders' requests to defer the effective date of the guidance in ASU 2014-09 and in consideration of feedback received through extensive outreach with preparers, practitioners, and users of financial statements, the FASB proposed deferring the effective date of ASU 2014-09. Respondents to the proposal overwhelmingly supported a deferral. Respondents noted that providing sufficient time for implementation of the guidance in ASU 2014-09 is critical to its success. In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes, which requires that an entity classify deferred tax assets and liabilities as noncurrent on the balance sheet. Prior to the issuance of the standard, deferred tax assets and liabilities were required to be separated into current and noncurrent amounts on the basis of the classification of the related asset or liability. This ASU is effective for the Company on April 1, 2017, with early adoption permitted. The adoption of ASU No. 2015-17 is not expected to have a material impact on the Company's condensed consolidated financial statements or related disclosures. Management does not believe that any recently issued, but not effective, accounting standards, if currently adopted, would have a material effect on the Company's financial statements. |
ORGANIZATION AND NATURE OF BU15
ORGANIZATION AND NATURE OF BUSINESS (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Organization And Nature Of Business Tables | |
Schedule of Calculation of Fixed Assets | Estimated Useful Life Furniture and fixtures 5-7 years Office and computer equipment 3-5 years |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Related Party Transactions Tables | |
Schedule of purchase shares of common stock | Seller Date Amount of Shares Aggregate Purchase Price Vasileios Mavrogiannis January 8, 2016 2,650,000 $ 1.00 Vasileios Mavrogiannis January 8, 2016 1,666,666 $ 1.00 Panagiotis Drakopoulos January 8, 2016 2,400,000 $ 1.00 Panagiotis Drakopoulos January 11, 2016 2,000,000 $ 1.00 |
ORGANIZATION AND NATURE OF BU17
ORGANIZATION AND NATURE OF BUSINESS (Details) | 6 Months Ended |
Jun. 30, 2016 | |
Furniture and Fixtures [Member] | Minimum [Member] | |
Estimated Useful Life | 5 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Estimated Useful Life | 7 years |
Office and Computer Equipment [Member] | Minimum [Member] | |
Estimated Useful Life | 3 years |
Office and Computer Equipment [Member] | Maximum [Member] | |
Estimated Useful Life | 5 years |
ORGANIZATION AND NATURE OF BU18
ORGANIZATION AND NATURE OF BUSINESS (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Net loss | $ (114,078) | $ (132,620) | $ (183,184) | $ (241,273) | |
Accumulated deficit | (584,401) | (584,401) | $ (401,217) | ||
Working Capital Deficit | 1,578,597 | 1,578,597 | |||
Depreciation expense | 906 | 4,535 | $ 178 | ||
United States [Member] | |||||
Cash Equivalents | 0 | 0 | (190) | ||
Cyprus [Member] | |||||
Cash Equivalents | $ 39,927 | $ 39,927 | $ 7,808 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) | 6 Months Ended |
Jun. 30, 2016USD ($) | |
Income Taxes Details Narrative | |
Interest and penalties | $ 43,577 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) | 6 Months Ended |
Jun. 30, 2016USD ($)$ / shares | |
Vasileios Mavrogiannis [Member] | |
Date | Jan. 8, 2016 |
Amount of Shares | $ | $ 2,650,000 |
Aggregate Purchase Price | $ / shares | $ 1 |
Vasileios Mavrogiannis One [Member] | |
Date | Jan. 8, 2016 |
Amount of Shares | $ | $ 1,666,666 |
Aggregate Purchase Price | $ / shares | $ 1 |
Panagiotis Drakopoulos [Member] | |
Date | Jan. 8, 2016 |
Amount of Shares | $ | $ 2,400,000 |
Aggregate Purchase Price | $ / shares | $ 1 |
Panagiotis Drakopoulos One [Member] | |
Date | Jan. 11, 2016 |
Amount of Shares | $ | $ 2,000,000 |
Aggregate Purchase Price | $ / shares | $ 1 |
RELATED PARTY TRANSACTIONS (D21
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Accounts payable | $ 258,494 | ||
Accounts payable and accrued expenses - related party | 267,989 | $ 140,513 | |
Company Borrowing | 121,063 | ||
Loans payable - related party outstanding balance | 37,753 | 48,532 | |
Payment of related party note payable | (11,104) | ||
Loan Agreement [Member] | |||
Loans payable - related party outstanding balance | 13,325 | ||
Accrued interest expense | 176 | ||
Loan Agreement One [Member] | |||
Loans payable - related party outstanding balance | 9,000 | ||
Accrued interest expense | 460 | ||
Loan Agreement Two [Member] | |||
Loans payable - related party outstanding balance | 33,311 | ||
Loan Agreement Three [Member] | |||
Loans payable - related party outstanding balance | 210,972 | ||
Chief Executive Officer [Member] | |||
Accounts payable and accrued expenses - related party | 4,836 | ||
Company Borrowing | 11,104 | ||
Payment of related party note payable | $ 6,662 | ||
Director and Former Chief Executive Officer [Member] | |||
Company Borrowing | 33,311 | ||
Chief Executive Officer One [Member] | |||
Company Borrowing | $ 4,997 |
DEBT (Details Narrative)
DEBT (Details Narrative) - USD ($) | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Company Borrowing | $ 121,063 | |
Payment of note payable | $ (133,248) | |
Repayment of expenses related party | 379 | |
Loans Agreement [Member] | ||
Company Borrowing | 22,208 | |
Loan received | 11,104 | |
Accrued interest expense | 244 | |
Principal Outstanding balance | 22,208 | |
Loans Agreement One [Member] | ||
Company Borrowing | 88,830 | |
Loan received | 77,727 | |
Accrued interest expense | 5,070 | |
Principal Outstanding balance | 88,832 | |
Loans Agreement Two [Member] | ||
Accrued interest expense | 771 | |
Principal Outstanding balance | 33,312 | |
Payment of note payable | (133,246) | |
Loans Agreement Three [Member] | ||
Accrued interest expense | 537 | |
Principal Outstanding balance | 22,208 | |
Loans Agreement Four [Member] | ||
Accrued interest expense | 1,087 | |
Principal Outstanding balance | 55,520 | |
Loans Agreement Five [Member] | ||
Accrued interest expense | 1,332 | |
Principal Outstanding balance | 111,040 | |
Loans Agreement Six [Member] | ||
Accrued interest expense | 485 | |
Principal Outstanding balance | 42,195 | |
Loans Agreement Seven [Member] | ||
Accrued interest expense | 530 | |
Principal Outstanding balance | 55,520 | |
Loans Agreement Eight [Member] | ||
Accrued interest expense | 348 | |
Principal Outstanding balance | $ 55,520 | |
Debt [Member] | ||
Company Borrowing | $ 34,066 |
LEASES (Details Narrative)
LEASES (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Chicago [Member] | ||||
Operating Leases, Rent Expense | $ 709 | $ 2,244 | $ 709 | $ 5,801 |
Cyprus [Member] | ||||
Operating Leases, Rent Expense | 330 | 330 | 660 | 660 |
Greece [Member] | ||||
Operating Leases, Rent Expense | $ 19,856 | $ 14,640 | $ 37,670 | $ 28,696 |