Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 146

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 146
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 the earlier of (i)
six months from the date of issue or (ii) upon the completion of the Company’s IPO. The Company and Emmis Capital agreed to extend
the maturity date of the loan to the earlier of the date when the Common Stock is listed on Nasdaq, or July 31, 2023. The parties agreed
that in the event of listing of the Common Stock on Nasdaq prior to July 31, 2023, on the effective date of the registration statement,
the Company would issue to Emmis Capital shares of Common Stock valued at the IPO price, in lieu of a cash, of the $5,000 delinquency
penalty payable from May 14, 2023 to July 31, 2023. In the event the listing was not completed by July 31, 2023, then the delinquency
fee would be paid in cash. In addition, Emmis Capital agreed to waive any and all events of default existing under the securities purchase
agreement and the OID Note as of June 21, 2023, including but not limited to its right to receive default interest and to receive any
additional fees, penalties and charges. On August 28, 2023, the Company repaid the OID Note with a principal balance of $277,778, accrued
interest of $21,842, and a delinquency penalty of $17,258. In addition, in accordance with the terms of the OID Note, the Company issued
30,000 shares of Common Stock to Emmis Capital.

Convertible Notes 

In two private placements conducted from July
2021 through October 2022, the Company entered into convertible note purchase agreements pursuant to which the Company issued unsecured
convertible promissory notes (“Convertible Notes”). The Company issued convertible notes in the aggregate principal amount
of $616,000 that was used for general corporate purposes. Interest accrued on the principal amount of 16 of the convertible notes at 2.5%
per annum with a default rate of 3% per annum. Interest accrued on the principal amount of seven of the Convertible Notes at 18% per annum,
with a default interest rate of 20% per annum. The convertible notes had a maturity date of the earlier of the date that the Company’s
Common Stock became listed for trading on a national securities exchange or one year from the date of issue of each such note. Prior to
the maturity date, the convertible notes would convert the