Company: JUNS
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001261
Chunk: 1518

Company: JUPITER NEUROSCIENCES, INC.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 6
Chunk 1518
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174,053 
  
    License fee 
     75,000  
     150,000 
  
    Credit cards 
     2,536  
     32,466 
  
    Total accounts payable and accrued expenses 
    $396,483  
    $546,014 

As
of December 31, 2024 and 2023, $64,105 and $67,750, respectively, was due to a Company wholly owned by the Company’s
Chief Financial Officer, who also is an option holder. The amount is included in accrued compensation on the Company’s balance
sheets.

Accrued
compensation of $1,415,093 and
$1,562,041 as
of December 31, 2024 and 2023, respectively, includes accrued salaries and health benefits to executives since
inception and board fees. Since inception, executive salaries have been paid in cash when the Company’s cash flow has
permitted such payment. By November 2022 the Company stopped paying salaries, although they continued to accrue, in
an effort to conserve cash and starting in the fourth quarter of 2023, the Company’s executives agreed to reduce their
salaries by 80% until an initial public offering to limit the Company’s compensation expenses. During December 2024, the
Company returned to paying salaries due to the completion of the initial public offering. See Note 3 – Related Party
Transactions for details related to forgiveness of accrued compensation.

Note
5 – Convertible Debt and Derivative Liability

Convertible
Debt I

Between
August and December 2021, the Company executed twelve convertible promissory notes (“Notes I”) for $527,650 in proceeds with
a maturity date of July 31, 2022, and interest rate of 1%. The Notes I will automatically convert into equity securities on the first
business day following effectiveness of an initial public offering of common stock with the Securities and Exchange Commission (“IPO”).
Upon IPO, the outstanding principle of the Notes I and all unpaid accrued interest will automatically convert into a number of restricted
fully paid and non-assessable shares of common stock, or units of common stock and warrants to purchase common stock if units are offered
to the public in the IPO, equal to the indebtedness divided by 70% of the offering price paid per share at which the IPO is made. For
the avoidance of doubt, in the event the IPO is not declared