Company: LIFD
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001096906-25-001862
Chunk: 23

Company: LFTD PARTNERS INC.
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 8
Chunk 23
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 $83,424    For the Nine Months Ended September 30, Lease Cost: 2025  2024 Finance lease expense:      Amortization of Right-of-Use Assets $-  $- Interest on lease liabilities  -   - Operating lease expense  250,273   222,163 Total $250,273  $222,163  Balance Sheet Classification of Operating Lease Assets and Liabilities Asset Balance Sheet Line September 30, 2025 Operating Lease Right-of-Use Asset, net of Right-of-Use Asset Amortization of $397,951 Non-Current Assets $948,129  Liability Balance Sheet Line September 30, 2025 Operating Lease Liabilities Current Liabilities $249,081   Non-Current Liabilities  747,539  Allocation of a Portion of Lease Expense to Finished Goods   A portion of monthly overhead expenses, such as those related to leases, utilities, insurance, and indirect labor, are allocated to finished goods based on the estimated percentage cost toward the finished goods. Depreciation expense related to certain machinery and equipment is also allocated to finished goods. Other Deposits and Bonds  The majority of the Company’s security deposit for the lease of 789 Tech Center Drive, Unit C, Durango, Colorado 81301 was returned to the Company in the second quarter of 2025 after the termination of the lease. The Company’s security deposit for its former sublease of the space located at 2701-09 West Fulton PH, Chicago, Illinois 60612 was written off in the second quarter of 2025. As part of Lifted’s acquisition of the assets of Oculus, Lifted had assumed the Aztec Lease, and the security deposit that had been previously paid by Oculus to the landlord of the Aztec Lease. The Aztec Lease was terminated on May 7, 2024, and the security deposit was not returned to Lifted. 

 F-17Table of Contents

The Company is required to, and has, paid bonds and deposits to various state departments and vendors for licenses and utilities, respectively. 

NOTE 11 - CONTINGENT CONTRACTUAL OBLIGATIONS AND COMMERCIAL COMMITMENTS Potential Issuance of Warrants to Purchase Shares of Common Stock of the Company  The Compensation Committee of the Company’s