Company: SIDU
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001742
Chunk: 880

Company: Sidus Space Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7
Chunk 880
---
885 
  
    Dividend payable 
     -  
     16,566 
  
    Payable for purchase of property and equipment 
     18,799  
     - 
  
    Insurance payable 
     266,357  
     462,991 
  
    Total accrued expenses
    and other liabilities 
    $3,481,167  
    $6,697,562 

As
of December 31, 2024 and 2023 accounts payable included $92,500 and $37,500 related to Q4 Board of Director compensation payments.

Note
9. Asset-based loan

The
Company is party to a recourse loan and security agreement with an unrelated lender dated November 30, 2022, whereby the lender will
provide loans secured by certain accounts receivable for up to 90%
of the face amount, which is paid to the Company in the form of a cash advance. The Company has a revolving line of credit for
$3
million with a collateralized loan interest rate of 16.2%
annum and uncollateralized loan interest rate of 19.5%
annum on outstanding balances. In 2024, the Company agreed to increase a revolving line of credit for $7
million. Additionally,
in the event of default the Lender at its option can increase the loan interest rate by 5% per annum for each month or partial month
default on outstanding balances. Under the loan and security agreement, the Company must pay back any invoices that become
uncollectable. As of December 31, 2024 and 2023, the company’s collateralized and uncollateralized asset-based loan balance
was $6,902,636
and $2,587,900,
respectively. For the years ended December 31, 2024 and 2023, the costs and interest incurred by the Company in connection with the
loan and security agreement activities were $542,501
and $155,716,
respectively. As of January 31, 2025 the Company’s revolving line of credit was increased from $7 million to $10.5 million
with same interest rates noted above for collateralized and uncollateralized loan interest rates. The Company used the increase in its
revolving line of credit to pay off the approximately $3.2 million note payable with Decathlon.

    F-16

Note
10. Contract assets and liabilities

At