| Debt Disclosure [Text Block] |
Note 12 - Indebtedness
Long-term debt consists of:
| | June 30, | | | December 31, | |
| | 2026 | | | 2025 | |
Revolving Credit Facility (a) | | $ | 4,160,871 | | | $ | 1,441,665 | |
Other (b) | | | 1,115,494 | | | | 1,233,493 | |
| | | 5,276,365 | | | | 2,675,158 | |
Less deferred debt issuance cost | | | (19,114 | ) | | | (37,868 | ) |
Less current installments | | | (281,094 | ) | | | (1,686,809 | ) |
Long-term debt | | $ | 4,976,157 | | | $ | 950,481 | |
| a) | On July 19, 2024, the Company, as the guarantor, and Worksport New York Operations Corporation as well as Worksport USA Operations Corporation, entered into a $6,000,000 Revolving Financing and Assignment Agreement (the “Agreement”) with an external lending entity with a maturity date of July 18, 2026, or 24 months. The Agreement includes an autorenewal provision whereby the Agreement renews and extends for an additional 24 months at the time of original maturity, or until July 18, 2028. On July 18, 2026, the Agreement was renewed. Upon original transaction close, the Company drew down approximately $5.06 million of the Agreement, net of $790,000 of interest reserve required to be withheld to ensure interest payments by the Company. The Company used $4.73 million of the drawn down amount to refinance the Company’s mortgage on the Company’s real property located at 2500 North America Dr. in West Seneca, New York, and additionally drew approximately $330,000 to fund operations. At June 30, 2026, the outstanding balance of this loan was $4,160,871. |
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| | For collateral, the lender holds a first position on the Company’s major asset classes (accounts receivable, the factory in New York, and inventory) other than the Company’s equipment. A non-usage fee of 0.25% is assessed quarterly and applied to the difference between the quarter’s average daily outstanding loan balance and the total credit facility amount. As of June 30, 2026, the Company had an available balance of $818,339 to borrow under the Agreement. |
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| b) | On September 4, 2024, the Company, through its wholly owned subsidiary, Worksport USA Operations Corporation, entered into a $1,487,200 credit and security agreement with an external lending entity with a final maturity date of September 1, 2027, which is 36 months from initial funding. Upon transaction close, the Company received net proceeds of $1,412,750 (net of issuance costs of $43,735). The Company and its wholly owned subsidiary, Worksport New York Operations Corporation, serve as guarantors on the loan. For collateral, the lender holds a first position on the Company’s equipment, which is primarily manufacturing and warehousing equipment. Interest on the loan is based on the prime rate plus 700 basis points per annum. At June 30, 2026, the outstanding balance of this loan was $1,115,494 (net of issuance costs of $19,114). The Company is in compliance with all covenants. |
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