Notes Payable |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Notes Payable | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Notes Payable | Note 8 - Notes Payable
The Company had the following outstanding notes payable as of June 30, 2025, and December 31, 2024:
a. Summary of Notes payable:
As of June 30, 2025, accrued interest under that certain outstanding secured promissory note (the “Note”) issued to Streeterville Capital, LLC (“Streeterville”) on August 14, 2024, was $ 376,422, compared to $166,111 as of December 31, 2024. As of June 30, 2025 and December 31, 2024, unamortized debt issuance and original issue discount were reflected within long-term liabilities on the condensed consolidated balance sheets, netted with the notes payable. On June 9, 2025, the Company received a redemption notice from Streeterville for a redemption amount of $300,000. According to an exchange agreement entered into on the same date, the Company and Streeterville agreed to satisfy the redemption amount entirely through the issuance of 747,607 shares of common stock at an effective price of $0.4013 per share. In connection with this exchange, the Company and Streeterville partitioned a new secured promissory note in the original principal amount of $300,000 and immediately exchanged the note for the shares of common stock. Total repayments of $1,410,000 (including the $300,000 partitioned note) were made during the period from April 1, 2025 to June 30, 2025. The outstanding balance remains classified as current and, net of unamortized debt issuance costs and original issue discount, totals $3,741,878 as of June 30, 2025.
On July 23, 2025, the Company repaid the outstanding balance under the Note in full using cash on hand, including proceeds from the Company’s recent equity offerings (see “Note 19 - Subsequent Events” for more information). Such repayment was in the amount of approximately $4,466,202 (inclusive of a 9% prepayment penalty) and fully satisfied all amounts due under the Note. As a result of this repayment in full, the Company has extinguished the financial obligation associated with the Note and the Note has been cancelled. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||