Note 5 – Related Party Loans Payable

Due from Related Party

The Company previously paid legal fees on behalf of HCWG LLC, which resulted in a receivable due from HCWG LLC totaling $138,247 as of June 30, 2026 and December 31, 2025, which is recorded within prepaid expenses – related parties on the condensed consolidated balance sheets.

Advances from Executive Chairman

In February 2025, the Executive Chairman and CEO advanced the Company approximately $300,000. The advances carried a 50% (or 1 times amounts borrowed) original issue discount (“OID”) on the principal. On March 10, 2025, the outstanding balance of $600,000 was repaid. Interest expense of $300,000 was recognized in the condensed consolidated statements of operations for the six months ended June 30, 2025. There was no comparable activity during the three and six months ended June 30, 2026.