| RELATED PARTY TRANSACTIONS |
NOTE
15 – RELATED PARTY TRANSACTIONS
The
Company had the following related party transactions:
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Royalty
Payables – Limitless Performance Inc. (“LPI”), SMILZ INC. (“Smiles”), DIVATRIM INC. (“Divatrim”),
and AMAROSE INC. (“Amarose,” and collectively with LPI, Smiles, and Divatrim, the “Licensors”) are all companies
at least 50% owned by a shareholder of the Company. On December 1, 2021, the Company entered into manufacturing and distributorship
license agreements (each, a “License Agreement”) with each of the Licensors to distribute each of the Licensors’
respective products and for payments to such Licensor for its product designs and distribution rights. Pursuant to the License Agreements,
and each of them, the Company agreed to pay to such Licensors royalty payments equal to 4.00% of gross sales, excluding returns,
chargebacks, and other such allowances. As of December 31, 2024 and 2023, the royalty payable was $220,535 and $0, respectively. On October
1, 2023, the Company terminated each of the License Agreements; however, the Company maintained its license for NZT-48 with LPI. |
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Notes
Payable to Shareholder – The Company had various notes payable with its shareholder who is the Chief Executive Officer
of the Company. Refer to Note 9. |
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Notes
Payable to Related Parties – The Company entered into various notes payable with shareholders of the Company. As of December
31, 2024 and 2023, the Company had $80,000 outstanding. Refer to Note 10. |
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On
June 1, 2023, the Company entered into an Agreement for Purchase and Sale of Stock (the “Vybe Sale Agreement”) with Emblaze
One, Inc., a Nevada corporation, (“Emblaze”) wherein the Company sold all 5,000 of its shares of common stock of its
wholly owned subsidiary, Vybe Labs, Inc., a Delaware corporation (“Vybe”). Emblaze is a company 100% owned by the Company’s
Chief Executive Officer, Chairman of the Board of Directors, and majority shareholder, Jaspreet Mathur. |
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