| RELATED PARTY TRANSACTIONS |
NOTE
10 – RELATED PARTY TRANSACTIONS
The
Company had the following related party transactions:
| |
● |
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. On October 1, 2023, the Company terminated each of the License Agreements; however, the Company
maintained its license for NZT-48 with LPI. As of March 31, 2025 and December 31, 2024, the royalty payable was $229,714 and $220,535,
respectively. |
| |
● |
Notes
Payable to Shareholder – The Company had various notes payable with its shareholder who is the Chief Executive Officer of
the Company. As of March 31, 2025 and December 31, 2024, the Company had $0
and $5,144,460
outstanding. The amount outstanding at December 31, 2024 was converted to preferred C and D shares during the three months ended
March 31, 2025. Refer to Note 8. |
| |
|
|
| |
● |
Notes
Payable to Related Parties – The Company entered into various notes payable with shareholders of the Company. As of March
31, 2025 and December 31, 2024, the Company had $0 and $436,747 outstanding, respectively. The amount outstanding at December 31, 2024 was converted to preferred C shares during the three months ended March
31, 2025. Refer to Note 8. |
| |
|
|
|