Company: GRPS
Filing Date: 2025-07-17
Form Type: 10-K
Source: 0001683168-25-005173
Chunk: 229

Company: Trans American Aquaculture, Inc
Filing Date: 2025-07-17
Form: 10-K
Item: Item 2
Chunk 229
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 was conveyed back to Kings
Aqua Farm because of the DIL filing. Over the next two weeks, various threats were made by Kings Aqua Farm on the assets of TAA, which
are paramount to the survival and future of the company. To protect those key assets and any future business, TAA elected to file a voluntary
Chapter 11 Bankruptcy.

The Company is also a party to an SBA Loan through
a bank in the original amount of $150,000 bearing interest at 3.75% per annum, due in 2050, yielding a monthly payment amount of $719.

Liquidity is also affected by notes to our shareholders.
At December 31, 2024, shareholders have loaned the Company approximately $1,646,636 which notes accrue interest at ranging from 12.0%
to 18% per annum and were due July 1, 2024. No additional extensions have been completed as of yet, and the note are in default, however,
to date, no one has called them due.

 16 

Cash Flows from Operating Activities

During the year ended December 31, 2024, net cash
used in operating activities was $2,996,776, an increase usage of $1,888,864 resulting largely from $2,808,894 in net operating loss and
a decrease in accrued interest expense of 379,956 in connection with the Deed in Lieu of Foreclosure and resulting settlement of the debt
and recognition of the expense.

By comparison, during the year ended December 31,
2023, net cash used in operating activities was $1,107,912, an increase usage of $602,009 resulting largely from $1,894,993 in net operating
loss and an increase of $85,833 in inventory due to a build in preparation for our annual harvest, offset by an increases in accounts
payable and accrued expenses of $387,549 in connection with our harvest preparation and accrued interest expense of $342,395 due mainly
to falling into arrears on the note payable covering our farm property and increased interest expense on notes payable to shareholders,
and an increase of $100,000 in common stock issued for consulting services.

Cash Flows from Investing Activities

During the year ended December 31, 2024, we had $6,717,292
net cash used in investing activities. During the year ended December 31, 2023, we had