Company: BSFC
Filing Date: 2025-06-23
Form Type: 10-K
Source: 0001641172-25-015976
Chunk: 802

Company: Blue Star Foods Corp.
Filing Date: 2025-06-23
Form: 10-K
Item: Item 1C
Chunk 802
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3 
  
    Computer equipment 
    $55,346  
    $47,908 
  
    RAS system 
     -  
     140,214 
  
    Automobiles 
     94,298  
     - 
  
    Leasehold improvements 
     17,904  
     17,904 
  
    Building improvements 
     -  
     136,653 
  
    Total 
     167,548  
     342,679 
  
    Fixed assets, gross 
     167,548  
     342,679 

    Less: Accumulated depreciation and impairment 
     (44,688) 
     (38,822)
  
    Fixed assets, net 
    $122,860  
    $303,857 

During the year ended December 31, 2024, the Company wrote off building
improvements and RAS system improvements with a total carrying amount of $276,867 as they were determined to be no longer useful.

For
the years ended December 31, 2024 and 2023, depreciation expense totaled approximately $5,900 and $4,500, respectively.

Note
7. Debt and Derivatives 

Working
Capital Line of Credit

On
March 31, 2021, Keeler & Co. and Coastal Pride entered into a loan and security agreement (“Loan Agreement”) with Lighthouse
Financial Corp., a North Carolina corporation (“Lighthouse”). Pursuant to the terms of the Loan Agreement, Lighthouse made
available to Keeler & Co. and Coastal Pride (together, the “Borrowers”) a $5,000,000 revolving line of credit for a term
of thirty-six months, renewable annually for one-year periods thereafter. Amounts due under the line of credit were evidenced by a revolving
credit note issued to Lighthouse by the Borrowers.

The
advance rate of the revolving line of credit was 85% with respect to eligible accounts receivable and the lower of 60% of the Borrowers’
eligible inventory, or 80% of the net orderly liquidation value, subject to an inventory sublimit of $2,500,000. The inventory portion
of the loan could never exceed 50% of the outstanding balance. Interest on the line of credit was the prime rate (with a floor of 3.25%),
plus 3.75% which increased to 4.