Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 827

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 5
Chunk 827
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, $33,750, and $28,000, respectively, were paid to 3 individual directors in the year ended June 30, 2025. During the year ended June
30, 2024, one director received $18,000 and two directors each received $4,500.

In
December 2019, the Company received $50,000
of proceeds from a promissory note, entered into with an executive of the Company, which bears interest at the rate of 12%
per annum and matures on the earlier of the nine-month anniversary of the loan or the completion of an initial public offering. The
Company completed an initial public offering in September 2024, and the parties agreed to carry the note as due on demand.
The balance of this note was $50,000
and $50,000 as of June 30, 2025 and June 30, 2024, respectively.

Note
12 – Lease Commitments

Finance
Leases

In
July 2023, the Company entered into an equipment lease for $340,048. The related finance liability has an implied interest rate of 11.16%
per annum and requires 5 equal annual payments due on September 1 of each year. As of June 30, 2025 and June 30, 2024, the balance of
the finance liability was $215,409 and $272,669, respectively.

The
present value of future minimum lease payments due at June 30, 2025, was as follows:

Schedule
of Future Minimum Capital Lease Payments

    2026 
    $81,459 
  
    2027 
     81,459 
  
    2028 
     81,458 
  
    Total minimum payments 
     244,376 
  
    Less: amount representing interest 
     (28,967)
  
    Present value of minimum payments 
    $215,409 
  
    Less: current portion 
     (63,989)
  
    Long term portion 
    $151,420 

The
Company has determined to amortize the lease over the useful life of the equipment or ten years and put the equipment into service in
September 2024. The Company recorded amortization of $28,337 and $0 in the years ended June 30, 2025 and 2024, respectively.

Operating
Leases

The
Company leases its instructional facilities under non-cancelable operating