Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 402

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 402
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 issuance costs that were
directly attributable to issuing the debt instruments in the amount of $346,248, which included placement fees of $202,518 paid to Alexander
Capital. Of the debt issuance costs, $326,879 was paid in cash and the remainder was the value of a warrant issued to Alexander Capital.
The Company determined that the warrant issued to Alexander Capital was classified as equity. The issuance costs were not specifically
related to any instrument within the transactions and, as such, were allocated in the same proportion as the proceeds were allocated to
each of the debt transactions, the committed shares, and the warrants.

On September 25, 2024, the Company entered into
an agreement to amend the three Senior Secured Promissory Notes entered into in February, April, and July of 2024. The amendment extended
the maturity date for all three notes to August 1, 2025, and delayed payments until February 1, 2025. In lieu of all payments required
under the original notes, $250,000 per month will be paid beginning February 1 and each month after, until all three notes were paid in
full. In addition, $200,000 was paid on September 30, 2024 and applied to the February note. This amendment was accounted for as an extinguishment
of debt, and the Company recorded a loss of $722,729. The Company had accrued interest on the notes totaling $264,490 as of December 31,
2024.

Notes Payable-Promissory Note

On September 27, 2024, the Company entered into a promissory note payable
whereby the Company borrowed $200,000 bearing interest at 12.5% per annum. The note was payable in three monthly installments of $75,000.
The proceeds of the note were used to pay down the convertible note entered into in February discussed above. The remaining balance on
the note as of December 31, 2024 was $148,725.

Notes Payable-Economic Injury Disaster Loans

On June 1, 2020, the Company received net proceeds
from Economic Injury Disaster Loans (the “EIDL Loans”) from the Small Business Administration (“SBA”) in the aggregate
amount of $365,300. After processing fees, the net proceeds were $365,100 under the terms. The EIDL Loans, which are in the form of promissory
notes, mature in May 2050 and