11. LEASE LIABILITY/RIGHT OF USE ASSET

The Company entered into an operating lease for its office premises beginning July 15, 2025, and expiring July 31, 2028. Monthly rent payments range from $7,500 to $12,000 over the lease term, totaling $404,500. At commencement, the Company recognized a right-of-use asset and lease liability of approximately $326,462, based on the present value of future lease payments using an incremental borrowing rate of 13%.

Lease expense is recognized on a straight-line basis over the lease term. For the year ended March 31, 2026, total lease expense was approximately $82,723. The lease agreement also provides the Company with an option to purchase the leased property for $1,500,000 at any time within 18 months from the effective date of the lease, subject to providing 90 days’ notice and maintaining timely rent payments as defined in the lease.

The future minimum operating lease payments as of March 31, 2026, are as follows:

SCHEDULE OF FUTURE MINIMUM OPERATING LEASE PAYMENTS