Company: BOF
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010566
Chunk: 41

Company: BranchOut Food Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 41
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000 shares issued to the Company’s CEO and CFO in consideration of their services as directors.
The options vest monthly over 6 months following the issuance date. The aggregate estimated value using the plain vanilla Black-Scholes
Pricing Model, based on a volatility rate of 46% and a call option value of $0.8796, and an expected term of 5 years, was $791,170.

On
April 11, 2025, the Company granted options to purchase 30,000 shares of the Company’s common stock, having an exercise price of
$1.93 per share, exercisable over a 10-year term, to one of the Company’s directors. The options vested immediately. The estimated
value using the plain vanilla Black-Scholes Pricing Model, based on a volatility rate of 46% and a call option value of $0.8765, and
an expected term of 5 years, was $26,294.

23

ITEM
2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

You
should read the following discussion of our financial condition and results of operations in conjunction with the condensed financial
statements and the notes thereto included elsewhere in this Quarterly Report on Form 10-Q and with our audited financial statements included
in our Annual Report on Form 10-K for the year ended December 31, 2024. In addition to historical condensed financial information, the
following discussion contains forward-looking statements that reflect our plans, estimates, and beliefs. Our actual results could differ
materially from those discussed in the forward-looking statements.

Overview

We
were incorporated as AvoChips Inc., an Oregon corporation, on February 21, 2017, and on November 2, 2017, we converted into Avochips,
LLC, an Oregon limited liability company. On November 19, 2021, we converted from an Oregon limited liability company into BranchOut
Food Inc., a Nevada corporation.

We
are engaged in the development, marketing, sale, and distribution of plant-based, dehydrated fruit and vegetable snacks and powders.
Our products have historically been manufactured for us by two contract manufacturers, one based in the Republic of Chile, and the other
in the Republic of Peru, which housed our large-scale continuous through-put dehydration machine that completed its first production
run in the first quarter of 2023. Our dehydrated fruit and vegetable products