EQUITY TRANSACTIONS |
3 Months Ended |
|---|---|
Dec. 31, 2016 | |
| Stockholders' Equity Note [Abstract] | |
| EQUITY TRANSACTIONS |
NOTE 5 - EQUITY TRANSACTIONS Common stock issued for conversion of preferred stock
In December 2015, two shareholders converted 7,280 shares of Series C Convertible Preferred stock into 36,400 shares of common stock.
Common stock issued for cash
In December 2015, a shareholder purchased 250,000 shares of common stock for $5,000 in cash.
Preferred stock issued for cash
In November 2016, the Company sold 525,746 shares of Series A Convertible Preferred stock to a private investor and director for $262,873 in cash.
Preferred stock dividends
The Company recorded arrearages of $4,394 in its 8% Series A Convertible Preferred Stock dividends for the three month period ended December 31, 2016.
Preferred stock issued for acquisition of assets
In November, 2016, the Board of Directors approved the Asset Purchase Agreement between the Company and Collabria LLC (“Collabria”). Under the terms of the Agreement, the Company acquired all of the intellectual property of Collabria, including its ReadyOp command, control and communication platform trade named ReadyOp (the “ReadyOp Platform”). In addition, the Company acquired Collabria’s customer base (“Collabria Client List”). The Company assumed no liabilities of Collabria under this Agreement. The terms of the Agreement called for the Company to issue 3,000,000 (Three million) shares of restricted Series E Convertible Preferred stock to Collabria with a fair value of $292,240.
Amendment to the Articles of Incorporation
In November 2016, the Board of Directors voted to amend the Company’s Articles of Incorporation to designate the Series A and Series E Convertible Preferred Stock setting forth the rights and preferences of the Series A and E Convertible Preferred Stock, par value $.00001 per share. Among other things, the Certificate of Designation for the Series A Preferred (i) provides for liquidation rights. Among other things, the Certificate of Designation of the Series E Preferred Stock; (i) provides that each share of Series E Preferred Stock shall be one hundred votes for any election or other vote placed before the shareholders of the Corporation; (ii) after a period of two (2) years following the date of issuance, each of (1) shares of the Series E shall be convertible into one hundred (100) shares of fully paid and non-assessable Common Stock at the sole option of the holder of Series E Preferred. |