Company: BSFC
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021887
Chunk: 29

Company: Blue Star Foods Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 29
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 reimburse the investor for administrative fees.

If
the Company delivers a prepayment notice and fails to pay the applicable prepayment amount, the Company shall forever forfeit its right
to prepay any part of the Private Placement Notes.

The
Private Placement Notes have mandatory monthly payments of $43,200. The initial payments are due on November 9, 2024 and November 12,
2024, respectively.

The
Company’s failure to comply with the material terms of the Private Placement Notes will be considered an event of default and the
principal sum of the Private Placement Notes will become immediately due and payable at an amount equal to the principal amount then
outstanding plus accrued interest (including any default interest) through the date of full repayment multiplied by 135%, as well as
all costs, all without demand, presentment or notice, unless expressly waived by the investor. 

The
investors may assign their rights to any “accredited investor” (as defined in Rule 501(a) of the 1933 Act) in a private transaction
or to any of its affiliates without the consent of the Company.

While
the Private Placement Notes remain outstanding, we shall not, without the investor’s written consent (i) (a) pay, declare or set
apart for such payment, any dividend or other distribution on shares of capital stock other than dividends on shares of Common Stock
solely in the form of additional shares of Common Stock or (b) directly or indirectly or through any subsidiary make any other payment
or distribution with respect to its capital stock except for distributions pursuant to any shareholders’ rights plan which is approved
by a majority of the Company’s disinterested directors, (ii) redeem, repurchase or otherwise acquire (whether for cash or in exchange
for property or other securities or otherwise) in any one transaction or series of related transactions any shares of capital stock of
the Company or any warrants, rights or options to purchase or acquire any such shares, or repay any indebtedness of the investor (iii)
advance any loans made in the ordinary course of business in excess of $100,000, (iv) sell, lease or otherwise dispose of any significant
portion of our assets outside the ordinary course of business, and (v) enter into any transaction or arrangement structured in accordance
with, based upon, or related or pursuant to, in whole or in part, either Section 3(a)(9) or Section 3(a)(10) of the Securities Act.

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