Related Party Transactions | 6 Months Ended |
Jun. 30, 2014 |
Related Party Transactions [Abstract] | ' |
RELATED PARTY TRANSACTIONS | ' |
NOTE 11 | RELATED PARTY TRANSACTIONS |
|
|
|
Rental expenses paid to stockholders and a related company |
|
|
|
Guangdong Xingbang leases office premises from two stockholders (Mr. Yao and his spouse) under an operating lease at a monthly rental of $15,363 which was due to expire on December 31, 2013. Guangdong Xingbang renewed the lease with a three-year term and is obligated to pay monthly rent of approximately RMB96,000 (approximately $15,475) until December 31, 2016. For the three and six months ended June 30, 2014 and 2013, Guangdong Xingbang paid rent to these two stockholders of $46,187, $45,341, $93,381 and $90,176 respectively. |
|
|
|
In June 2012, Xinyu Xingbang entered into a lease agreement with Xinyu Industry for office premises whereby the monthly rental is $2,740. The lease started on July 1, 2012 and will expire on June 30, 2015. For the three and six months ended June 30, 2014 and 2013, Xinyu Xingbang paid the rent to Xinyu Industry of $8,179, $8,288, $16,536 and $16,484 respectively. |
|
|
|
In October 2012, Xinyu Xingbang entered into a lease agreement with Xinyu Industry for showrooms with a monthly rental of $45,351. The lease started on October 1, 2012 and shall expire on September 30, 2016. On December 31, 2013, Xinyu Xingbang and Xinyu Industry agreed upon the termination of the lease agreement. For the three and six months ended June 30, 2014 and 2013, Xinyu Xingbang paid a rent to Xinyu Industry of $0, $137,446, $0 and $273,360 respectively. |
|
|
|
Due to stockholders |
|
|
|
As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $46,424 and $184,350 respectively, to Mr. Yao and his spouse for lease of office premises used by Guangdong Xingbang. The amount due is unsecured, interest free and repayable on demand. |
|
|
|
As of June 30, 2014 and December 31, 2013, WFOE owed $805,984 and $825,941 respectively, to Mr. Yao. The loan is interest free and unsecured. The loan was entered into on May 31, 2012, and the loan period started on June 11, 2012 and was due on June 10, 2013. On May 31, 2013, the loan was renewed, and the loan period started on June 12, 2013 and is due on June 11, 2014. On August 7, 2014, the loan was renewed with the same terms and a renewed due date of June 11, 2015. The proceeds of the loan were used as the capital investment in Xinyu Xingbang, which is 50% owned by WFOE and 50% owned by Guangdong Xingbang. |
|
|
|
As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $805,984 and $825,941 respectively, to Mr. Yao. The loan is interest free and unsecured. The loan was entered into on May 31, 2012, and the loan period started on June 19, 2012 and was due on June 18, 2013. On June 10, 2013, the loan was renewed, with a renewed due date of June 18, 2014. On July 30, 2014, the loan was renewed with the same terms and a renewed due date of June 18, 2015. The proceeds of the loan were used as the capital investment in Xinyu Xingbang, which is 50% owned by WFOE and 50% owned by Guangdong Xingbang. |
|
|
|
Due to related companies |
|
|
|
As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $49,326 and $33,698 respectively to Xinyu Industry for rental expense of office used by Xinyu Xingbang. The amount due is unsecured, interest free and repayable on demand. |
|
|
|
As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $51,260 and $0 respectively to Xinyu Zhongxing Decoration Technicians Network Company Limited, (“Zhongxing Decoration”), for annual service charge received from technical service stations on behalf of Zhongxing Decoration. The amount due is unsecured, interest free and repayable on demand. Mr. Yao and his spouse own 80% and 20% respectively, of the registered capital of Zhongxing Decoration. |
|
|
|
On January 3, 2013, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB1,000,000. The loan is interest free and unsecured with a loan period started on January 5, 2013 and became due on January 4, 2014. The use of this loan is solely for the operations of Guangdong Xingbang. On January 3, 2014, the loan agreement with Xinyu Industry was renewed with the same terms and a renewed due date of January 4, 2015. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $161,197 and $165,189 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On January 10, 2013, Xinyu Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB5,000,000. The loan is interest free and unsecured with a loan period started on January 15, 2013 and became due on January 14, 2014. The use of this loan is only for the operation of Xinyu Xingbang. On January 10, 2014, the loan agreement with Xinyu Industry was renewed with the same terms and a renewed due date of January 14, 2015. As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $805,984 and $825,942 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On May 30, 2013, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a loan period started on June 6, 2013 and is due on June 5, 2014. The use of this loan is only for the operation of Guangdong Xingbang. On July 30, 2014, the loan was renewed with the same terms and a renewed due date of June 5, 2015. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $80,598 and $82,594 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On July 25, 2013, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a loan period started on July 31, 2013 and is due on July 30, 2014. On July 30, 2014, the loan was renewed with the same terms and a renewed due date of July 30, 2015. The use of this loan is only for the operation of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $80,598 and $82,594 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On September 5, 2013, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a loan period started on September 10, 2013 and is due on September 10, 2014. The use of this loan is only for the operation of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $80,598 and $82,594 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On September 5, 2013, Xinyu Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a loan period started on September 12, 2013 and is due on September 11, 2014. The use of this loan is only for the operation of Xinyu Xingbang. As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $80,598 and $82,594 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On December 8, 2013, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a loan period started on December 12, 2013 and is due on December 11, 2014. The use of this loan is only for the operation of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $80,598 and $82,594 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On December 8, 2013, Xinyu Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB4,000,000. The loan is interest free and unsecured with a loan period started on December 12, 2013 and is due on December 11, 2014. The use of this loan is only for the operation of Xinyu Xingbang. As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $644,787 and $660,753 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On January 14, 2014, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a loan period started on January 14, 2014 and is due on January 13, 2015. The use of this loan is solely for the operations of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $80,598 and $0 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On February 11, 2014, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a term from February 13, 2014 and is due on February 12, 2015. The use of this loan is solely for the operations of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $80,598 and $0 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On February 11, 2014, Xinyu Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB1,000,000. The loan is interest free and unsecured with a term from February 12, 2014 and is due on February 11, 2015. The use of this loan is only for the operation of Xinyu Xingbang. As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $161,197 and $0 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On March 8, 2014, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB300,000. The loan is interest free and unsecured with a term from March 12, 2014 and is due on March 11, 2015. The use of this loan is solely for the operations of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $48,360 and $0 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On March 8, 2014, Xinyu Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB500,000. The loan is interest free and unsecured with a term from March 12, 2014 and is due on March 11, 2015. The use of this loan is only for the operation of Xinyu Xingbang. As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $80,598 and $0 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On April 10, 2014, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB1,500,000. The loan is interest free and unsecured with a term from April 14, 2014 and is due on April 13, 2015. The use of this loan is solely for the operations of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $241,796 and $0 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On April 10, 2014, Xinyu Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB2,000,000. The loan is interest free and unsecured with a term from April 14, 2014 and is due on April 13, 2015. The use of this loan is only for the operation of Xinyu Xingbang. As of June 30, 2014 and December 31, 2013, Xinyu Xingbang owed $322,393 and $0 respectively to Xinyu Industry for the relevant loan. |
|
|
|
On April 20, 2014, Guangdong Xingbang entered into a loan agreement with Xinyu Industry, with an amount of RMB5,000,000. The loan is interest free and unsecured with a term from April 23, 2014 and is due on April 22, 2015. The use of this loan is solely for the operations of Guangdong Xingbang. As of June 30, 2014 and December 31, 2013, Guangdong Xingbang owed $805,985 and $0 respectively to Xinyu Industry for the relevant loan. |