v3.26.1
RELATED PARTY TRANSACTIONS
3 Months Ended
Mar. 31, 2026
Related Party Transactions [Abstract]  
RELATED PARTY TRANSACTIONS

NOTE 12 — RELATED PARTY TRANSACTIONS

 

The relationship of related parties is summarized as follows:

 

 

Name of Related Party   Relationship to the Company
David Shan   Controlling shareholder of the Company
Miller Creek Holdings LLC   Controlled by David Shan
Vessel Technology Inc.   Controlled by David Shan

 

(a) Loan from a related party

 

Loan from a related party consists of the following:

 

 

  

March 31, 2026

(unaudited)

   December 31, 2025 
         
Loan from David Shan, opening balance  $2,000,089   $5,546,548 
Repayment   -    (3,546,459)
Loan from David Shan, ending balance   2,000,089    2,000,089 
Non-current   -    - 
Current  $2,000,089   $2,000,089 

 

On January 3, 2024, the Company entered into an unsecured loan agreement with Mr. David Shan, the executive chairman of the Board and then CEO, in order to change the payment term from due on demand to due on January 3, 2029. This unsecured loan was required by MidFirst Bank when the Company renewed the line of credit on January 3, 2024. On May 13, 2024, the line of credit with MidFirst Bank was closed and the Company obtained a new line of credit with Cathay Bank, which did not include such a requirement. Consequently, the outstanding balance has been reclassified from non-current liabilities to current liabilities as of December 31, 2025. The Company made repayments totaling $nil and $3,546,459 towards this loan during the three months ended March 31, 2026 and the year ended December 31, 2025. The Company intends to continue the repayments of the loan due to Mr. Shan over the next twelve months.

 

 

MASSIMO GROUP AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)