Related Parties |
3 Months Ended |
|---|---|
Mar. 29, 2025 | |
| Related Party Transactions [Abstract] | |
| Related Parties | Related Parties Shared Services Tony Isaac, the Company’s Chief Executive Officer, is the father of Jon Isaac, President and Chief Executive Officer of Live Ventures and managing member of Isaac Capital Group LLC (“ICG”). Tony Isaac, Chief Executive Officer, and Richard Butler, Board of Directors member of the Company, are members of the Board of Directors of Live Ventures. The Company also shares certain executive, accounting and legal services with Live Ventures. The total services shared were approximately $30,000 and $338,000 for the 13 weeks ended March 29, 2025 and March 30, 2024, respectively. Customer Connexx rents approximately 9,900 square feet of office space from Live Ventures in Las Vegas, Nevada. Notes with Live Ventures and ICG On February 7, 2024, the Company entered into a promissory notes with each of Live Ventures and ICG. The initial principal amount of each note is $300,000, with an interest rate of 10% per annum. At the Company’s option, the obligation under each note is convertible after the six-month anniversary thereof at a per-share conversion price of $0.61, subject to standard adjustments for (i) stock dividends and splits, (ii) subsequent rights offerings, and (iii) pro rata distributions. The Company’s board of directors approved the issuance of the two notes on February 7, 2024. As of March 29, 2025 and December 28, 2024, the balances outstanding on each of the promissory notes was approximately $0.3 million, consisting of principal and accrued interest (see Note 12). Short-Term Advances On April 18, 2024, ICG made a short-term demand advance to the Company in the amount of $0.1 million. The advance bears interest at a rate of 10% per annum until repaid. As of March 29, 2025 and December 28, 2024, the principal amount outstanding was $49,000 and $48,000, respectively (see Note 12). On May 28, 2024 and June 3, 2024, Novalk made short-term demand advances in the amount of $120,000 and $100,000, respectively, to the Company. Juan Yunis, an employee of Live Ventures, is the managing member of Novalk. The advances bears interest at a rate of 10% per annum until repaid. As of March 29, 2025 and December 28, 2024, the principal amount outstanding was $0.1 million (see Note 12).
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