Company: BOF
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004712
Chunk: 115

Company: BranchOut Food Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 8
Chunk 115
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 3% per annum. The Advance Payment is to be repaid pursuant to a two-dollar ($2/kg) deduction
in the price of any product exported by Nanuva to the Company with certain mandatory minimum annual payments. Repayments commence on
the earlier of a) the first invoice issued by Nanuva after installation of the drying equipment, or b) June 30, 2021. The MDA expires
on May 31, 2027, with automatic annual renewals thereafter, unless it is terminated in accordance with the terms of the MDA. The Company
deferred collection of the minimum annual payment requirement for 2023 until 2024 when several large orders were placed. As of December
31, 2024, a total of $140,018 of the Advance Payment had been repaid as a reduction of inventory costs, consisting of $140,018 of principal
and $16,223 of interest. All payments consisted of reductions in inventory costs, other than a payment of $15,000 in cash on March 24,
2021. As of December 31, 2024, a total of $390,722 was outstanding from Nanuva, consisting of $359,982 of principal and $30,740 of unpaid
interest. As of December 31, 2023, a total of $404,163 was outstanding from Nanuva, consisting of $384,628 of principal and $19,535 of
unpaid interest. The Advance Payment is collateralized by a second lien in the equipment. Pursuant to the MDA, the Company has been appointed
as Nanuva’s exclusive distributor in the following territories:

 Summary of Nanuva’s Exclusive Distributor in Territories

    Product 
    Exclusivity
     Territories 
    Minimum
    Volume  (Kg/month)(“MOQ”) 
  
    Avocado Powder 
    Worldwide (except Chile) 
     1,000 
  
    Banana Chips 
    Worldwide (except Chile) 
     1,000 
  
    Avocado Snacks 
    North America (Canada and USA) 
     1,000 
  
    Avocado Chips 
    Worldwide 
     1,000 
  
    Other Powders 
    No Exclusivity 
     -0- 

Note
12 – Accrued Expenses

Accrued
expenses consist of the following:

 Schedule of Accrued Expenses

    2024