Subsequent Events

12 Months Ended

Dec. 31, 2017

NOTE 18 – SUBSEQUENT EVENTS

In the first quarter of 2018, the Company engaged in the following transactions:

	a-	The issuance of approximately 571 million shares of common stock in settlement of an accrued liability for services in the amount of approximately $135,000.

	b-	The issuance of approximately 1,862 million shares of common stock pursuant of conversion of approximately $208,000 of notes payable and related interest.

As of May 24, 2018, an investor provided $199,500 for additional development of the Cyclone Engines as part of a binding letter of intent for $5 million. The consideration is to be the issuance of Preferred A shares, which represents 20% ownership of the Company at the completion of funding. The funds are to be paid over a 2-year period upon reaching various milestones.

On February 1, 2018 the Company executed a consulting agreement known as “Bornstein Consulting Agreement dated February 1, 2018” to render such advice, consultation, information, and services to the Directors and/or Officers of the Company regarding public company financials and audit for the Company. Specifically, the Consultant shall be the lead for the company in dealing with the auditors and the company to completely manage the audit process, manage its timing, conference calls, all document flow and any other items required to complete the audit and public reporting. Additionally, Consultant will be able to work with Company and other Consultants to complete budgets, forecasting and going forward projections for the company, as well as assisting in documents used to help with acquisitions and mergers and capital raising.

In the May 2018, the Company established a wholly owned subsidiary, Emerging Power Solutions Inc., whose purpose is to provide alternative power solutions for various industries based on the application of the Cyclone Engine.

CYCLONE POWER TECHNOLOGIES INC 10-K