Company: BOF
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010566
Chunk: 79

Company: BranchOut Food Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 8
Chunk 79
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 the occurrence of a Qualified Subsequent Financing or Change of Control (as
such terms are defined in the Subscription Agreement) and bear interest at a rate of 15% per annum. In addition, the Senior Notes are
subject to covenants, events of defaults and other terms and conditions set forth in the Subscription Agreement. The Company’s
obligations under the Notes are secured by liens on substantially all of the Company’s assets pursuant to the terms of the Security
Agreement entered into by the Company on January 10, 2024 in favor of holders of the Senior Notes (the “Security Agreement”).
Each Warrant is exercisable for a 10-year period at an exercise price of $1.00 per share.

On
April 16, 2024, the Company completed the sale of $225,000 of Senior Notes, and Warrants to purchase an aggregate of 56,250 shares of
the Company’s common stock, to a group of seven Investors, pursuant to a First Amendment to the Subscription Agreement between
the Company and the Investors dated as of April 16, 2024. The First Amendment incorporates and amends certain provisions of the Subscription
Agreement, dated January 10, 2024, previously entered into by the Company and investors that purchased Notes and Warrants from the Company
on January 10, 2024 (the “January Investors”). On July 30, 2024, the Company repaid an aggregate total of $115,000 of principal
to three of the seven Investors in settlement of their promissory notes.

The
First Amendment also (i) increased the aggregate principal amount of the Senior Notes available to be sold from time to time under the
Subscription Agreement from $400,000 to $2,000,000, (ii) increased the number of shares of common stock of the Company available to be
issued under Warrants sold from time to time under the Subscription Agreement from 100,000 to 600,000, (iii) provides for an aggregate
one-time payment in the amount of $46,290 to the January Investors and the issuance to them of Warrants to purchase 100,000 shares of
common stock, in consideration of their agreement to enter into the First Amendment, and (iv) provided for the payment of up to $80,000
to Eagle Vision Fund with the proceeds of Notes to be issued by the Company at subsequent closings of sales of Senior Notes and Warrants,
in consideration