NOTES PAYABLE | 3. NOTES PAYABLE On September 14, 2015, the Company entered into a private placement subscription agreement and issued an unsecured convertible note (the “ First Note On December 31, 2016, the Company entered into a private placement subscription agreement and issued an unsecured convertible note (the “ Second Note ”) in the principal amount of $50,000 to one subscriber. The Second Note, and accrued interest, will mature five (5) years from the date of issuance and will bear interest at the rate of 18% interest per annum, compounded annually. The principal amount of the Second Note, plus any interest accrued thereon, may be converted into shares of common stock of the Company at a conversion price of $0.03 per share. As at June 30, 2017, the Second Note had a balance outstanding of $54,487, comprised of a principal amount of $50,000 and accrued interest of $4,487. On June 6, 2016, the Company issued an unsecured note (the “ Unsecured Note On December 31, 2016, the Company entered into a private placement subscription agreement and issued an unsecured convertible note (the “ Third Note ”) in the principal amount of $21,500 to one subscriber. The Third Note, and accrued interest, will mature five (5) years from the date of issuance and will bear interest at the rate of 18% interest per annum, compounded annually. The principal amount of the Third Note, plus any interest accrued thereon, may be converted into shares of common stock of the Company at a conversion price of $0.03 per share. As at June 30, 2017, the Third Note had a balance outstanding of $23,430, comprised of a principal amount of $21,500 and accrued interest of $1,930. The Third Note included repayment of the principal amount of $20,000 of the Unsecured Note plus a $1,500 restructuring fee. The restructuring fee was included in bank charges and interest expense. On March 2, 2017, the Company entered into a private placement subscription agreement and issued an unsecured convertible note (the “ Fourth Note ”) in the principal amount of $20,000 to one subscriber. The Fourth Note, and accrued interest, will mature five (5) years from the date of issuance and will bear interest at the rate of 18% interest per annum, compounded annually. The principal amount of the Fourth Note, plus any interest accrued thereon, may be converted into shares of common stock of the Company at a conversion price of $0.03 per share. As at June 30, 2017, the Fourth Note had a balance outstanding of $21,183, comprised of a principal amount of $20,000 and accrued interest of $1,183. On June 8, 2017, the Company entered into a private placement subscription agreement and issued an unsecured convertible note (the “ Fifth Note ”) in the principal amount of $20,000 to one subscriber. The Fifth Note, and accrued interest, will mature five (5) years from the date of issuance and will bear interest at the rate of 18% interest per annum, compounded annually. The principal amount of the Fifth Note, plus any interest accrued thereon, may be converted into shares of common stock of the Company at a conversion price of $0.03 per share. As at June 30, 2017, the Fifth Note had a balance outstanding of $10,109, comprised of a principal amount of $10,000 and accrued interest of $109. |