Company: BSFC
Filing Date: 2025-06-23
Form Type: 10-K
Source: 0001641172-25-015976
Chunk: 556

Company: Blue Star Foods Corp.
Filing Date: 2025-06-23
Form: 10-K
Item: Item 1A
Chunk 556
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 Revenue-Based Factoring MCA Plus Agreement with ClearThink Capital LLC (“ClearThink”)
which provides, among other things, for a 33-week term loan in the principal amount of $200,000 (with an additional one-time commitment
fee of $50,000). Interest accrues at the rate of 25% per annum with an additional 5% default interest rate or $50,000 will be added to
the principal amount and accrue after principal is paid. The Company is required to make biweekly payments of $14,706, commencing February
1, 2024 for the term of the agreement. On January 25, 2024, the Company issued 7,092 shares of common stock to ClearThink as a commitment
fee, with a fair value of $50,000. For the year ended December 31, 2024, the Company made principal payments on the loan totaling $200,000
and interest payments of $50,000. The outstanding balance on the loan was $0 as of December 31, 2024.

    F-24

1800
Diagonal Notes

On
April 16, 2024, the Company issued to 1800 Diagonal Lending LLC, a Virginia limited liability company (“Diagonal”), a convertible
promissory note in the principal amount of $138,000 with an original issue discount of $23,000 (the “April Diagonal Note”).
The April Diagonal Note has a one-time interest payment of $26,220 paid upon issuance and a maturity date of January 15, 2025. The proceeds
from the sale of the April Diagonal Note are for general working capital. Upon the occurrence of an event of default as described in
the April Diagonal Note, the note will become immediately due and payable at a default interest rate of 22% of the then outstanding principal
amount of the note. Additionally, Diagonal will have the right to convert all or any part of the outstanding and unpaid amount of the
note into shares of the Company’s common stock at a conversion price of 61% of the market price as described in the First Diagonal
Note. The Company may not, without Diagonal’s written consent, sell, lease, or otherwise dispose of any significant portion of
its assets except in the ordinary course of business. The Company will reserve a sufficient number of shares to provide for the issuance
of shares upon the full conversion of the April Diagonal