NOTE 20 – LINES OF CREDIT AND LONG-TERM LIABILITIES

Revolving line of credit

On October 5, 2023, the Company obtained a revolving line of credit in the amount of $5,000,000 from Pathward, N.A.. The interest rate will be a rate which is equal to three percentage points (3%) in excess of that rate shown in the Wall Street Journal as the prime rate (the “Effective Rate”) matures twenty-four months24 from the closing date, and if not specifically terminated, renews for one-year periods.  This loan is secured by the Company’s eligible accounts receivable and eligible finished goods inventory. The Company’s ability to borrow against the line of credit is limited by the value of the eligible assets. As of March 31, 2026, the Company had enough eligible assets to access approximately $3,100,000 of the credit line. The Company was in compliance with all loan covenants as of March 31, 2026. As of March 31, 2026, and September 30, 2025, this loan had a balance of $2,035,697, and $3,176,096, respectively.

Notes payable

On November 7, 2025, the Company issued a note payable to Streeterville Capital, LLC in the amount of $7,025,000. This note carries interest between November 7, 2025, and December 31, 2025, of SOFR (3.87% as of December 31, 2025), after December 31, 2025, 8%, This Note matures eighteen (18) months from the issuance date with redemptions of up to $700,000 a month beginning at six (6) months from the issuance date. After deduction of legal fees of $25,000, the Company received $7,000,000 in cash. Additionally, this note contains an additional interest provision that if this note is outstanding on January 1, 2026, a one-time additional interest fee of $1,050,00 which is being amortized over the remaining life of the loan, as of March 31, 2026, there is $853,125 of unamortized interest. As of March 31, 2026, this note had a balance of $8,281,006.

On February 5, 2026, the company issued a promissory note to Fulton Bank in the amount of $600,000 for the purchase of Richland Industries, LLC. This note carries interest of 6.09% requires 60 monthly payments of interest and principal and matures on February 1, 2031. As of March 31, 2026, the note had a balance of $590,787.

On February 5, 2026, the Company acquired a mortgage in the amount of $3,920,000 from Fulton Bank to finance the purchase of the property formerly owned by Richland Industries, LLC. The mortgage carries interest at the Secured Overnight Financing Rate (SOFR) plus 2.75% and matures on February 1, 2046. As of March 31, 2026, this loan had a balance of $3,912,200.

The following table outlines the Company’s secured liabilities:

 SCHEDULE OF LINES OF CREDIT AND AND LONG TERM LIABILITIES