This is not a very good deal for the Company or its shareholders.

Let's see:

Amount of credit available is up to $7.5 million.

Cost for the same is: $50,000. up front

+ $750,000. worth of stock - over 3 million shares (nice dilution!)

+ 12% annual interest

Notwithstanding these poor terms, the BOD will no doubt be impressed anyway, and will vote to provide bonuses/more options to management.

We were led to believe this management team was a good one, but so far, am thoroughly unimpressed and very, very disappointed in this company.