Company: FMHS
Filing Date: 2025-04-25
Form Type: 10-Q
Source: 0001096906-25-000588
Chunk: 7

Company: FARMHOUSE, INC. /NV
Filing Date: 2025-04-25
Form: 10-Q
Item: Part I, Item 1
Chunk 7
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 payable in full on February 12, 2025. The note provides for acceleration of payment upon the occurrence of customary events of default, including the Company’s failure to pay amounts due, insolvency, bankruptcy, or a change of control, as defined in the note. Because the note was issued to the Company’s Chief Executive Officer, it is classified as a related party transaction under applicable accounting standards. See Note 12.

Interest expense related to this note was $121 for the three months ended September 30, 2024 and accrued interest was $121 as of September 30, 2024. As of April 25, 2025, the date of this report, the note matured on February 12, 2025, and remains unpaid. Accordingly, the note is in default.

NOTE 7 - DUE TO RELATED PARTIES

Due to related parties totaled $57,978and $28,958as of September 30, 2024 and December 31, 2023, respectively. These amounts are comprised of cash advances provided to the Company for operating expenses and direct payments of Company expenses by Company officers. The amounts due to related parties are non-interest bearing and unsecured. See Note 12.

For the nine months ended September 30, 2024, Company officers advanced $30,187to the Company and were repaid $1,167through the use of the Company’s credit card. For the comparable nine months ended September 30, 2023, Company officers advanced $2,751to the Company, were repaid $21,255in cash and $2,490 through the use of the Company’s credit card.

NOTE 8 - CONVERTIBLE NOTES PAYABLE - LONG-TERM

In May 2023, the Board of Directors authorized an offering of up to $1,000,000 of mandatorily convertible notes, designated as Series 2023 10% Mandatorily Convertible Notes (the “ Series 2023 Notes”), to fund Web3 product development activities as well as sales, marketing, and administrative expenses. During the year ended December 31, 2023, the Company raised $34,000through the issuance of Series 2023 Notes. The Series 2023 Notes mature 36 months from the issue date (which range between June 1, 2026 and October 2, 2026), and bear interest at 10% per annum.

The Series 2023 Notes are mandatorily convertible