Note 10 - Related Party Transactions	9 Months Ended
Mar. 31, 2012
Notes
Note 10 - Related Party Transactions	NOTE 10 – RELATED PARTY TRANSACTIONS Notes payable – related parties On April 29, 2010, the Company received an advance on a non-interest bearing promissory note of $8,500 from a related entity. The note is due and payable on demand. On July 15, 2010, the Company repaid $4,000 of the balance of this note. The remaining balance of $4,500 is outstanding as of March 31, 2012 for which the Company has not yet received a demand. On May 2, 2011, the Company received an advance on an interest bearing promissory note of $7,100 from a related entity. The note is due and payable on June 2, 2012, and bears an interest rate of 8% per annum. Interest of $434 for the nine months ended March 31, 2012 has been accrued and is outstanding. Subsequent to March 31, 2012, this note was extended to January 3, 2015. Consulting Agreements On October 1, 2009, the Company entered into a consulting agreement with Prosper Financial, Inc., a company owned by the spouse of the Company’s President and Chief Executive Officer and 37% owner of the Company. The agreement calls for monthly payments of $2,500 for consulting services rendered and $1,200 per month in rental payments for the use of Prosper Financial, Inc.’s office space. The agreement extended through October 31, 2010, and was subsequently extended on a month to month basis for the consulting services. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $50,564 and $26,064, respectively, and is reflected in accounts payable – related parties. On August 1, 2009, the Company entered into a consulting agreement with a director and officer that calls for monthly compensation of $7,500 and extended through December 31, 2009, after which it was extended on a month to month basis. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $169,019 and $101,706, respectively, which is reflected in accounts payable – related parties. On July 1, 2009, the Company entered into a consulting agreement with a shareholder, director and officer of the Company that calls for an annual base fee of $96,000 through June 30, 2010, after which it was continued on a month to month basis. As of March 31, 2012, this related party had a total balance due of $182,969, comprised of $169,350 due for consulting fees, and $13,619 for business expenses, all of which is reflected in accounts payable – related parties. As of June 30, 2011, this related party had a total balance due of $150,969, comprised of $137,350 due for consulting fees, and $13,619 for business expenses, all of which is reflected in accounts payable – related parties. On October 1, 2009, the Company entered into a consulting agreement with the former Head of Research that calls for monthly compensation of $6,000 through December 31, 2009, this contract was not renewed or extended. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $1,840, which is reflected in accounts payable – related parties. On October 1, 2009, the Company entered into an agreement with a consultant to provide bookkeeping services, the monthly compensation is $5,000 through October 1, 2010 in addition the consultant was entitled to 100,000 incentive stock options upon signing through October 1, 2010. On April 1, 2010, we entered into a new agreement with the same consultant, the monthly compensation was amended to be $2,500 per month, all other terms remained the same through April 1, 2011 This contract was not renewed or extended. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $47,500 and $25,000, respectively, which is reflected in accounts payable – related parties. On December 1, 2009, the Company entered into a consulting agreement with the son of our President to provide business consulting services that called for monthly compensation of $2,000 through November 30, 2010. This contract was not renewed or extended. As of December 31, 2011 and June 30, 2011, this related party had a balance due of $9,000, which is reflected in accounts payable – related parties.

Note 10 - Related Party Transactions

9 Months Ended

Mar. 31, 2012

NOTE 10 – RELATED PARTY TRANSACTIONS

Notes payable – related parties

On April 29, 2010, the Company received an advance on a non-interest bearing promissory note of $8,500 from a related entity. The note is due and payable on demand. On July 15, 2010, the Company repaid $4,000 of the balance of this note. The remaining balance of $4,500 is outstanding as of March 31, 2012 for which the Company has not yet received a demand.

On May 2, 2011, the Company received an advance on an interest bearing promissory note of $7,100 from a related entity. The note is due and payable on June 2, 2012, and bears an interest rate of 8% per annum. Interest of $434 for the nine months ended March 31, 2012 has been accrued and is outstanding. Subsequent to March 31, 2012, this note was extended to January 3, 2015.

Consulting Agreements

On October 1, 2009, the Company entered into a consulting agreement with Prosper Financial, Inc., a company owned by the spouse of the Company’s President and Chief Executive Officer and 37% owner of the Company. The agreement calls for monthly payments of $2,500 for consulting services rendered and $1,200 per month in rental payments for the use of Prosper Financial, Inc.’s office space. The agreement extended through October 31, 2010, and was subsequently extended on a month to month basis for the consulting services. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $50,564 and $26,064, respectively, and is reflected in accounts payable – related parties.

On August 1, 2009, the Company entered into a consulting agreement with a director and officer that calls for monthly compensation of $7,500 and extended through December 31, 2009, after which it was extended on a month to month basis. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $169,019 and $101,706, respectively, which is reflected in accounts payable – related parties.

On July 1, 2009, the Company entered into a consulting agreement with a shareholder, director and officer of the Company that calls for an annual base fee of $96,000 through June 30, 2010, after which it was continued on a month to month basis. As of March 31, 2012, this related party had a total balance due of $182,969, comprised of $169,350 due for consulting fees, and $13,619 for business expenses, all of which is reflected in accounts payable – related parties. As of June 30, 2011, this related party had a total balance due of $150,969, comprised of $137,350 due for consulting fees, and $13,619 for business expenses, all of which is reflected in accounts payable – related parties.

On October 1, 2009, the Company entered into a consulting agreement with the former Head of Research that calls for monthly compensation of $6,000 through December 31, 2009, this contract was not renewed or extended. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $1,840, which is reflected in accounts payable – related parties.

On October 1, 2009, the Company entered into an agreement with a consultant to provide bookkeeping services, the monthly compensation is $5,000 through October 1, 2010 in addition the consultant was entitled to 100,000 incentive stock options upon signing through October 1, 2010. On April 1, 2010, we entered into a new agreement with the same consultant, the monthly compensation was amended to be $2,500 per month, all other terms remained the same through April 1, 2011 This contract was not renewed or extended. As of March 31, 2012 and June 30, 2011, this related party had a balance due of $47,500 and $25,000, respectively, which is reflected in accounts payable – related parties.

On December 1, 2009, the Company entered into a consulting agreement with the son of our President to provide business consulting services that called for monthly compensation of $2,000 through November 30, 2010. This contract was not renewed or extended. As of December 31, 2011 and June 30, 2011, this related party had a balance due of $9,000, which is reflected in accounts payable – related parties.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 850

-SubTopic 10

-Section 50

-Paragraph 6

-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39691-107864

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 850

-SubTopic 10

-Section 50

-Paragraph 4

-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39622-107864

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 850

-SubTopic 10

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39549-107864

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 57

-Paragraph 1-4

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 850

-SubTopic 10

-Section 50

-Paragraph 3

-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39603-107864

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 850

-SubTopic 10

-Section 50

-Paragraph 5

-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39678-107864

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 235

-SubTopic 10

-Section S99

-Paragraph 1

-Subparagraph (SX 210.4-08.(k))

-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 04

-Paragraph b

-Article 3A

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 08

-Paragraph k

-Article 4

+ Details

SONNEN Corp 10-Q