Company: KCRD
Filing Date: 2025-06-16
Form Type: 10-Q
Source: 0001477932-25-004628
Chunk: 56

Company: Kindcard, Inc.
Filing Date: 2025-06-16
Form: 10-Q
Item: Part II, Item 8
Chunk 56
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 period ended April 30, 2024 are primarily a result of a decrease in Operating Expense for the three month period ended April 30, 2025.

Liquidity and Capital Resources

Although we have raised limited funds in the form of debt financing, we anticipate that until we generate more revenue, we will require additional financings in order to fully implement our plan of operations.

As of April 30, 2025 we had $10,012 in cash, $20,646 in Accounts Receivable, $29,750 in Unbilled revenue, net, and Other Assets of $23,747. Total liabilities as of April 30, 2025, were $1,027,197 compared to $973,174 in total liabilities at January 31, 2025. The funds available to the Company will not be sufficient to fund the planned operations of the Company and maintain a reporting status.

The total amount owed to the Company’s CEO as of April 30, 2025 was $365,343. The amounts due to related party consist of a 1% Convertible Promissory Note in the amount of $296,498 (the “Note”) to RMR Management Group LLC (“RMR”) and The Note is convertible at RMR’s option into shares of common stock of the Company at a per share conversion price of $0.01 with the remaining $68,845 unsecured with an interest rate of 10% and a maturity date of December 31, 2025. RMR is a company owned and controlled by the Company’s CEO.

The remaining balance consists of Accounts Payable of $320,754, Accrued Interest of $50,814, Accrued Payroll Expenses of $6,042, Accrued Tax Expense of $4,180, Notes Payable of $272,754, the Small Business Administration Economic Disaster Injury Loan assumed in the acquisition of Kindcard on June 7, 2021 current portion of $7,310, Accrued Interest long term portion of $8,515 and a principal balance of $150,000.

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Off-balance sheet arrangements

Other than the situation described in the section titled Capital Recourses and Liquidity, the company has no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect or change on the company’s financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to