Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 478

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 2
Chunk 478
---
315,011  
     265,070 
  
    Total operating lease costs 
     1,045,572  
     808,156 

As
of December 31, 2024, the remaining lease-term and discount rate on the Frisco, TX lease was 4.3 years and 8.3%, respectively. As of
December 31, 2024, the remaining lease-term and discount rate on the Culver City, CA lease was 2.2 years and 7.0%, respectively.

Maturities
of the lease liability are as follows:

 Schedule of Maturities of Lease Liability

    2025 
     932,475 
  
    2026 
     937,632 
  
    2027 
     643,765 
  
    2028 
     545,808 
  
    2029 
     181,936 
  
    Thereafter 
     - 
  
    Total lease payments 
     3,241,616 
  
    Less: Interest 
     (438,257)
  
    Total lease liability 
    $2,803,359 

    F-32

10.
Line of credit

On
September 14, 2023, the Company entered into an accounts receivable financing and security agreement with a maximum availability of $10.0
million for a three-year term with SLR Digital Finance, LLC (the “LOC”). The LOC matures on September 14, 2026. Interest
accrues on the outstanding principal amount of the LOC at a rate equal to the greater of Prime plus 4.00% or 9.50%, per annum. The terms
of the LOC provide for the lender to fund 85% of the purchased accounts receivable and it includes various service fees.

As
of December 31, 2024, the outstanding principal, and unpaid accrued interest, on the LOC was $3.5 million. During the year ended December
31, 2024 and 2023, the Company recognized interest expense of $0.9 million and $0.2 million on the LOC.

11.
Convertible debt

In
conjunction with completion of the Arrangement (see Note 4), the Company assumed two convertible debt instruments: a $1.3 million convertible
debenture issued to Three Curve Capital LP (“Three Curve CD”) and a $5.0 million convertible debenture