Company: LRHC
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112656
Chunk: 170

Company: La Rosa Holdings Corp.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 8
Chunk 170
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, the acceleration of any amounts and waiving the restriction for the Company to enter into a variable rate transaction,
of which the consummation could be considered an event of default, provided the proceeds from such financing are used to repay, in full,
the notes described above.

On
January 22, 2025, the Company and the Holder signed an amendment No. 1 to the Waiver. Pursuant to the Amendment, the Company shall pay
100% of any cash proceeds raised by the Company from the sale of securities pursuant to its Registration Statement on Form S-3 to the
Holder first towards the repayment of the Redemption Price until it is paid in full, and after that towards the repayment of the Notes.
The Amendment also provides that, if the Redemption Agreement becomes null and void pursuant to the terms of the Redemption Agreement,
then all Proceeds previously paid by the Company to the Holder pursuant to the Redemption Agreement shall instead be applied towards
the repayment of the Notes.

The interest expense incurred for these senior
secured promissory notes was $0 and $23,798 for the three months and nine months ended September 30, 2025, respectively. The interest
expense incurred for the senior secured promissory notes was $90,281 and $181,203 for the three months and nine months ended September
30, 2024, respectively.

Notes
Payable-Promissory Note

On
September 27, 2024, the Company entered into a promissory note payable whereby the Company borrowed $200,000 bearing interest at 12.5%
per annum. The note was payable in three-monthly installments of $75,000. The proceeds of the note were used to pay down the senior secured
promissory note entered into in February 2024. The remaining balance on the note as of December 31, 2024 was $148,725. This note was
fully repaid in February 2025. The interest expense incurred for the promissory note was $1,276 during the first quarter of 2025.

Acquisition
Settlement Agreement

In
October 2024, the Company entered into an acquisition settlement agreement with the former owner of an acquired business. Under the terms
of the agreement, the Company agreed to pay $1.0 million in equal installments of $11,905 per month over seven years, beginning November
1, 2024.

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La
Rosa Holdings Corp. and Sub