Company: LIFD
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001096906-25-000346
Chunk: 2212

Company: LFTD PARTNERS INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7A
Chunk 2212
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 estate assets, potentially at a loss. Failure to Maintain Social Equity Status Could Trigger a $625,000 Loan Repayment Obligation Sustainable Innovations Inc. received a $625,000 social equity forgivable loan from the Illinois Department of Commerce and Economic Opportunity relating to an Illinois cannabis infuser license. Under the loan’s terms, if SI or that infuser license is transferred before the end of the required “Standstill Period,” the loan must be repaid in full. If LIFD proceeds with the acquisition and is required to repay the loan, it could result in an unexpected financial obligation or liability. The Company May Be Required to Commit to Selling Certain Acquired Assets To obtain lender approval for the acquisition of Sustainable Properties, LLC, LIFD may be required to commit to selling the 1221 Property or other assets if financing terms are not favorable. This could impact LIFD’s ability to execute its long-term real estate strategy.

F-46Table of Contents

 Macroeconomic and Industry-Specific Risks Could Impact Business Operations The success of the acquired companies depends on broader economic conditions, industry competition, and consumer trends. Risks include:  ·Volatility in cannabis and hemp markets; ·Potential oversupply in cannabis cultivation; ·Fluctuations in commercial real estate values; ·Changes in consumer preferences in the retail and food & beverage sectors.  If market conditions deteriorate, LIFD’s growth strategy and financial performance could be adversely affected. Durango Lease Lifted’s lease of the space located at 789 Tech Center Drive, Unit C Durango, Colorado (the “Durango Space”) ended on February 28, 2025. On February 28, 2025, Lifted signed an agreement to lease the Durango Space on a month-to-month basis from March 1, 2025 until May 31, 2025. Lifted is uncertain whether or not an extension beyond May 31, 2025 will be entered into.

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