Company: LIFD
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001096906-25-000346
Chunk: 93

Company: LFTD PARTNERS INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 93
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 mortgage interest rates corresponding to the life of each lease. The Company uses the higher end of the range due to the Company’s limited credit history. The Company’s weighted average discount rate for all its right-of-use liabilities as of the end of the reported period is 9.65%. Maturity Analysis The following table is the maturity analysis of the Company’s operating and finance leases as of the reported period end. Maturity Analysis as of December 31, 2024: Finance  Operating 2025 $-  $327,062 2026  -   337,567 2027  -   348,411 2028  -   294,626 2029  -   119,967 Thereafter  -   - Total  -   1,427,634 Less: Present value discount  -   (265,186)Lease liability $-  $1,162,449  Allocation of a Portion of Lease Expense to Finished Goods   As described in NOTE 2 – BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES, a portion of monthly overhead costs such as lease expense are allocated to finished goods. For example, monthly overhead costs such as payments for rent, utilities, insurance, and indirect labor are allocated to finished goods based on the estimated percentage cost toward the finished goods. Depreciation expense related to certain machinery and equipment is also allocated to finished goods.  Potential Issuance of Warrants to Purchase Shares of Common Stock of the Company  The Compensation Committee of the Company’s Board of Directors may, from time to time, recommend that certain warrants to purchase shares of common stock of the Company should be issued to new or current members of the Company’s Board of Directors, to officers and employees of the Company and its subsidiaries, or to members of any advisory board or consultants to the Company. 

F-32Table of Contents

 Bonus to Lifted’s Chief Strategy Officer Lifted’s former Chief Strategy Officer (the “CSO”), who worked for Lifted from July 1, 2021 through April 30, 2024, had been hired to develop and implement certain important strategies to assist Lifted’s efforts to increase its production, fulfillment and sales capabilities. The CSO’s two-year agreement with Lifted entitled the CSO to be paid an annual salary of $180,000 plus