Company: MGLD
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001641172-25-009260
Chunk: 43

Company: Marygold Companies, Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 43
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5,000,000 each).

The
Company engaged Maxim Group LLC to serve as placement agent for the transaction between the Company and Holder in exchange for an aggregate
commission equal to 7% of the gross cash proceeds received from the sale of the Notes.

As
of March 31, 2025, the note payable balance outstanding, net of the original issue discount and fees paid, was $3.7 million, all of which
is due within 12 months from March 31, 2025 assuming no deferral rights are exercised. The effective interest rate for this note is 41.3%.

In
July 2024, Brigadier repaid its mortgage loan of $0.3 million in full that was secured with the land and building in Canada.

Investments

USCF
Investments, from time to time, provides initial investments in the creation of ETP funds that USCF Investments manages. USCF
Investments classifies these investments as current assets as these investments are generally sold within one year from the balance
sheet date. As of March 31, 2025, USCF Investments held investment positions in four of its exchange traded funds registered under the Investment Company Act of 1940,
as amended, USG (ticker changed from
GLDX in March 2024), ZSB, USE and ZSC of $1.7 million, $0.2 million, $2.5 million, and $2.1 million, respectively. These investment
positions along with other investments, as applicable, are described further in Note 5 to our Financial Statements.

Dividends

We
have never declared or paid any cash dividends on our capital stock. We intend to retain future earnings, if any, to finance the operation
and expansion of our businesses and do not anticipate paying any cash dividends in the foreseeable future. Any future determination related
to our dividend policy will be made at the discretion of our board of directors after considering our financial condition, results of
operations, capital requirements, business prospects and other factors our board of directors deems relevant, and subject to the restrictions
contained in any future financing instruments or under Nevada corporations’ law.

Item
3. Quantitative and Qualitative Disclosures about Market Risk.

As
a “smaller reporting company”, we are not required to provide the information required by this Item.

Item
4. Controls and Procedures

(a)
Evaluation of Disclosure Controls and Procedures

As
of the end of the period covered by this Report,