Note 5 – Note Receivable

On January 29, 2021, Balance Labs Inc. made a loan to Four Acquisitions Ltd., an unrelated party in the principal amount of $119,000 which has an interest rate of 10% per annum and a maturity date of January 28, 2022. Additionally, in connection with the loan, the Company received a 20% ownership in the business and related assets (collectively referred to as “the Pharmacy”) were recently acquired by Pharmacy No, 27, Ltd, a company based in Israel. The business and related assets of Four Acquisitions Ltd. This investment has a fair value of $43,000, which was recorded as a discount from the note which will be amortized over the life of the note. For the three months ended March 31, 2021, the Company recorded $7,206 in accreted interest income. The remaining discount as of March 31, 2021 is $35,794. For the three months ended March 31, 2021, the Company recorded $1,989 of interest income in relation to this note.