Company: BOF
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004712
Chunk: 184

Company: BranchOut Food Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 9
Chunk 184
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 share of common stock, a (ii) a warrant to purchase 1,000,000 shares of common stock at an exercise
price of $1.00 per share (the “$1.00 Warrant”), and (iii) a warrant to purchase 500,000 shares of common stock at an exercise
price of $1.50 per share (the “$1.50 Warrant” and, together with the $1.00 Warrant, the “Warrants” and together
with the Convertible Note, the “Purchased Securities”), in consideration of an initial loan in the principal amount of $2,000,000
(the “Initial Loan”) made to the Company under the Convertible Note, subject to the terms and conditions thereof. On July
19, 2024, the Company, Mr. Kaufman and Kaufman Kapital LLC (“Kaufman Kapital”) entered into an amendment to the SPA, which
among other things, replaced Mr. Kaufman with Kaufman Kapital as the “Investor” under the SPA. The $1,400,000 balance on
the promissory note was received on December 9, 2024.

On
July 24, 2024, the Company issued the Purchased Securities to Kaufman Kapital in consideration of Kaufman Kapital making the Initial
Loan to the Company.

The
Convertible Note matures on the earlier of (i) December 31, 2025, (ii) the sale by the Company of $5,000,000 of equity or debt securities
in a single transaction or series of related transactions (excluding certain specified transactions), or (iii) the closing of a change
of control transaction as provided in the Convertible Note. Loans outstanding under the Convertible Note bear interest at an initial
rate of 12% per annum, and together with accrued principal are convertible into common stock.

The
Company’s obligations under the Convertible Note are secured by a lien granted to Kaufman Kapital on substantially all of the Company’s
assets pursuant to a Security Agreement entered between the Company and Kaufman Kapital (the “Security Agreement”). In addition,
the Convertible Note includes affirmative and negative covenants, events of defaults and other terms and conditions, customary in transactions
of this nature.

Notes
Payable

On
August 30, 2024, the Company borrowed $1,200,000 from Kaufman Kapital pursuant to a Senior Secured Promissory