Company: TOMZ
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001654954-25-005288
Chunk: 22

Company: TOMI Environmental Solutions, Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 22
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 twenty (20) days within a thirty (30) day period of consecutive trading days, or if a “fundamental change” occurs (as defined in the Securities Purchase Agreement). The Notes are unsecured and senior to other indebtedness subject to certain exceptions. Interest expense related to these Notes for the three months ended March 31, 2025 was $2,850. Amortization of deferred financing costs were $16,271 and $15,620 for the three months ended March 31, 2025 and 2024, respectively which has been included with interest expense on the statement of operations. Additions to deferred financing costs totaled $39,058 during the quarter ended March 31, 2025 and are being amortized on a straight-line basis over the life of the notes. Convertible notes consist of the following at:   March 31, 2025  December 31, 2024   (Unaudited)           Convertible notes $2,885,000  $2,600,000 Less: Debt issuance costs   (351,456)  (312,398)Accumulated amortization  89,163   72,892 Convertible notes, net $2,622,707  $2,360,494 

NOTE 10. SHAREHOLDERS’ EQUITY Our Board of Directors (the “Board”) may, without further action by our shareholders, from time to time, direct the issuance of any authorized but unissued or unreserved shares of preferred stock in series and at the time of issuance, determine the rights, preferences and limitations of each series. The holders of such preferred stock may be entitled to receive a preference payment in the event of any liquidation, dissolution or winding-up by us before any payment is made to the holders of our Common Stock. Furthermore, the Board could issue preferred stock with voting and other rights that could adversely affect the voting power of the holders of our Common Stock.

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Convertible Series A Preferred Stock Our authorized Convertible Series A Preferred Stock, $0.01 par value, consists of 1,000,000 shares. At March 31, 2025 and December 31, 2024, there were 63,750 shares issued and outstanding. The Convertible Series A Preferred Stock is convertible at the rate of one share of common stock for one share of Convertible Series A Preferred Stock. Convertible