Company: ZRCN
Filing Date: 2025-09-10
Form Type: 10-K
Source: 0001641172-25-027037
Chunk: 800

Company: ZRCN Inc.
Filing Date: 2025-09-10
Form: 10-K
Item: Item 7
Chunk 800
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.7 million is due and payable in December 2025. Interest accrues at 5.5% per annum, is paid quarterly and
included in accrued expenses. The note is subordinated to the Credit Agreement and no payment is to be made on the note without prior
approval from the lender.  On March 27, 2025, the Stauss Family Administrative Trust and the Company agreed to extend the maturity
date of the Notes Payable to the trust to December 31, 2027. There was no change to the principal amount or the annual interest rate.
For the years ended March 31, 2025 and 2024 the interest expense on the notes payable to the Stauss Family Administrative Trust was $37,000
and $30,000, respectively.

Director
Independence

Our
board of directors undertook a review of the independence of our directors and considered whether any director has a relationship with
us that could compromise that director’s ability to exercise independent judgment in carrying out that director’s responsibilities.
Our board of directors has determined that Mr. Stauss and Mr. Wyler are not independent directors Our non-employee directors, Mr. Bronson,
Ms. Graebner, and Mr. Wong, are all independent directors as that term is defined under the Nasdaq rules.

ITEM
14. PRINCIPAL ACCOUNTING FEES AND SERVICES

Audit
Fees

Assurance
Dimensions LP resigned as the Company’s independent registered public accounting firm on May 3, 2025. The Company engaged Kreston
GTA LP as its new accounting firm on May 13, 2025.

The
aggregate fees billed to us by Kreston GTA LP and Assurance Dimensions LP, our independent registered public accounting firms, for the
indicated services for each of the last two fiscal years were as follows:

    2025  
    2024 
  
    Audit fees (1) 
    $217,600  
    $119,400 
  
    Audit-related fees 
     —  
     — 
  
    Tax fees 
     —  
     — 
  
    All other fees 
     —  
     — 

    (1)
    Audit
    fees consist of fees for professional services performed by Kreston GTA LP for fiscal 2025 and Assurance Dimensions LP for fiscal
    2024 for the audit and review of our financial statements, preparation and filing of our registration statements