Company: MFON
Filing Date: 2025-04-07
Form Type: 10-K
Source: 0001641172-25-002942
Chunk: 465

Company: MOBIVITY HOLDINGS CORP.
Filing Date: 2025-04-07
Form: 10-K
Item: Item 1C
Chunk 465
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ender”). The Credit Agreement was amended on November 11, 2022. The Company can borrow up to $6,000,000
under the Credit Agreement (“the “Credit Facility”). As of December 31, 2021, the Company had drawn a total of $3,478,125
including cash drawn in the amount of $3,206,250 and $271,875 of principal and accrued interest under the 2020 UP Note that was rolled
into the Credit Facility and had paid a total of $200,000 toward the principal balance of the loan,

The
Credit Facility is secured by all of our tangible and intangible assets including intellectual property. This loan bears interest on
the unpaid balance at the rate of fifteen percent (15%) per annum. The Company may prepay this loan without notice, penalty, or charge.
In consideration of the Lender’s agreement to provide the Credit Facility, the Company issued warrants to purchase shares of its
common stock at an exercise price of $1.67 per share in connection with the issuance of funds under the Credit Agreement. The warrants
are exercisable for a period commencing upon issuance of the corresponding notes and ending 36 months after issuance of the financing.
In addition, the Company has agreed to issue to the Lender additional warrants entitling the Lender to purchase a number of shares of
the Company’s common stock equal to twenty percent (20%) of the amount of the advances made divided by the volume-weighted average
price over the 30 trading days preceding the advance (the “VWAP”). Each warrant will be exercisable over a three-year period
at an exercise price equal to the VWAP.

Under
the original terms of the Credit Agreement, the Company was to begin repaying the principal amount, plus accrued interest, in 24 equal monthly installments commencing on June 30, 2022, and ending on June 30, 2024. On November 11, 2022, an amendment to the Credit Agreement
was signed. The amendment updated the payment terms to the following: “Without limiting the foregoing Section 2.3(a), Borrower
shall repay the principal amount of all Advances, plus accrued interest thereon, in 24 equal monthly installments commencing on January
31, 2023 and continuing thereafter on the last day of each month (or, if such last day is not a Business Day, on the Business Day immediately
preceding such last day. Interest