Company: GAME
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023589
Chunk: 131

Company: GameSquare Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 131
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 Variable lease expense 
     60,120  
     105,513  
     210,069  
     230,023 
  
    Total operating lease costs 
     195,892  
     335,022  
     711,121  
     731,075 

As
of September 30, 2025, the remaining lease-term and discount rate on the Frisco, TX lease was 3.6 years and 8.3%, respectively.

Maturities
of the lease liability are as follows:

Schedule of maturities of lease liability 

    2025 
     136,452 
  
    2026 
     545,808 
  
    2027 
     545,808 
  
    2028 
     545,808 
  
    2029 
     181,936 
  
    Thereafter 
     - 
  
    Total lease payments 
     1,955,812 
  
    Less: Interest 
     (257,090)
  
    Total lease liability 
    $1,698,722 

9.
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.

During
the third quarter of 2025, in connection with the discontinued operations of Frankly, which was the primary borrower under the line of
credit, the Company paid down the balance under the LOC. As of September 30, 2025, the outstanding principal, and unpaid accrued interest,
on the LOC was $(119) thousand, as the lender had continued to collect certain receivables on behalf of the Company subsequent to the
balance being paid. During the nine months ended September 30, 2025 and 2024, the Company recognized interest expense of $0.3 million
and $0.7 million on the LOC.

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10.
Convertible debt