Due to the coronavirus uncertainty, and staffing and payroll cuts that were being considered in early 2020 due to liquidity constraints, the Company applied for a Paycheck Protection Program loan ("PPP Loan"), guaranteed by the SBA.  The Company was funded by its lender on April 20, 2020, in the amount of $450,000.  The loan accrues interest at a fixed rate of 1% and has a term of two years.  The first payment is deferred until the date the SBA remits the Company’s loan forgiveness amount to the lender, though interest accrues during the deferral period.  The loan has been used exclusively to support maintaining employee payroll and benefits.  The amount of forgiveness for which IAI may be approved is uncertain.  As of the date of this filing, the Company has filed its forgiveness application for the full amount of the loan.  

In conjunction with the Tellenger acquisition, on April 16, 2021, the Company and Tellenger jointly procured a $1 million term loan (“Term Loan”) with Summit to assist with post-acquisition cash flow and integration costs.  The loan is payable in monthly installments consisting of a fixed principal amount plus accrued interest over the course of two years at a fixed interest rate of 4.89%.  The loan is collateralized by a security interest in substantially all of the assets of both companies.

To assist with working capital considerations, the Company borrowed $150,000 from the sellers of Tellenger ("Tellenger Working Capital") for a period of 90 days from the closing date of April 7, 2021, without interest accumulation.  The sellers were repaid in July 2021.

The following table represents note payable balances at June 30, 2021 and December 31, 2020: