Company: MGLD
Filing Date: 2025-09-19
Form Type: 10-K
Source: 0001493152-25-014286
Chunk: 87

Company: Marygold Companies, Inc.
Filing Date: 2025-09-19
Form: 10-K
Item: Item 1
Chunk 87
---
 of our Series B
Preferred Stock). Mr. Gerber’s Common Stock is held by the Nicholas and Melinda Gerber Living Trust (the “Gerber
Trust”), of which Nicholas Gerber and Melinda Gerber are the  trustees. As such, the Gerber Trust and
Mr. Gerber share power to vote or to direct the voting of the shares and share power to dispose or to direct the disposition of Common
Stock beneficially owned or controlled by Mr. Gerber.

Mr.
Scott Schoenberger is a member of the Board of Directors of the Company. Mr. Schoenberger’s shares of Common Stock are held by
the Schoenberger Family Trust (the “Schoenberger Trust”). Mr. Schoenberger serves as the sole trustee of the Schoenberger
Trust. As such, the Schoenberger Trust and Mr. Schoenberger share power to vote or to direct the vote of the shares and share power to
dispose or to direct the disposition of these shares. Shares of our Common Stock held by Schoenberger Trust total 4,697,993 shares, representing
10.9% of the outstanding shares of Common Stock (giving effect to the conversion of all Series B Preferred Stock).

Additionally,
pursuant to a voting agreement (“Voting Agreement”), the Gerber Trust and Schoenberger Trust will continue to vote all
shares of our voting stock owned by them to elect each of Messrs. Gerber and Schoenberger to the Board along with other designees
mutually agreed upon. By virtue of the Voting Agreement, Messrs. Gerber and Schoenberger are entitled to an aggregate of 23,388,766
votes  or 54.3% of all votes for the election of directors submitted to our stockholders for their
approval.

In
addition, pursuant to the Company’s Bylaws, Directors have voting power equivalent to their percentage of total share
ownership, multiplied by the number of directors then on the Board of Directors, rounded to the nearest whole number, with no
director holding less than one vote. As a result of Messrs. Gerber and Schoenberger’s ownership of Company shares, Messrs.
Gerber and Schoenberger have a relatively higher number of votes relative to other directors, in proportion to their
ownership interests in the Company.

General
Business Risks

Our
business and financial performance may be adversely affected by information systems interruptions, cybersecurity attacks or other disruptions
which could have a material