Company: BSFC
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021887
Chunk: 50

Company: Blue Star Foods Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 50
---
 Diagonal Note. For the nine months ended September 30, 2025, the Company made principal payments
on the loan totaling $81,329 and interest payments of $9,691. The outstanding balance on the loan was $9,521 as of September 30, 2025.

27

On
January 28, 2025, the Company issued to Diagonal a convertible promissory note in the principal amount of $149,650 with an original issue
discount of $19,650 (the “January Diagonal Note”). The January Diagonal Note has an interest rate of 13% with a one-time
interest payment of $19,454 paid upon issuance and a maturity date of October 30, 2025. The proceeds from the sale of the January Diagonal
Note are for general working capital. Upon the occurrence of an event of default as described in the January 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 January Diagonal Note into shares
of the Company’s common stock at a conversion price of 75% of the market price as described in the 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 January Diagonal Note. The Company is required to make monthly payments starting July 30, 2025, until the due date of October 30,
2025. The first payment due July 30, 2025, is $109,918. The monthly payment for August 30, 2025, September 30, 2025, and October 30,
2025, is $19,729. For the nine months ended September 30, 2025, the Company made no principal and interest payments. The outstanding
balance on the loan was $149,650, net of discount of $2,183, and totaling $147,467 as of September 30, 2025.

August
2024 Private Placement Offering

In
August, 2024, the Company entered into securities purchase agreements (each a “Securities Purchase Agreement”) with each
of Quick