Company: MNTR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001620
Chunk: 312

Company: Mentor Capital, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 312
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 of a to-be-created series of Preferred Stock and Common
Stock of NeuCourt (i) on the closing of a future financing round of at least $750,000, (ii) on the election of NeuCourt on the maturity
of the Note, or (iii) on the election of Mentor following NeuCourt’s election to prepay the Note.

On
July 15, 2022, the November 22, 2017 and October 31, 2018 convertible notes were exchanged for a Simple Agreement for Future Equity (“SAFE”).
Prior to the exchange, the Conversion Price for each Note was the lower of (i) 75% of the price paid in the Next Equity Financing, or
the price obtained by dividing a $3,000,000 valuation cap by the fully diluted number of shares. The number of Conversion Shares to be
issued on conversion was the quotient obtained by dividing the outstanding principal and unpaid accrued interest on a Note to be converted
on the date of conversion by the Conversion Price (the “Total Number of Shares”), The Total Number of Shares consisted of
Preferred Stock and Common Stock as follows: (i) That number of shares of Preferred Stock obtained by dividing (a) the principal amount
of each Note and all accrued and unpaid interest thereunder by (b) the price per share paid by other purchasers of Preferred Stock in
the Next Equity Financing (such number of shares, the “Number of Preferred Stock”) and (ii) that number of shares of Common
Stock equal to the Total Number of Shares minus the Number of Preferred Stock.

On
July 15, 2022, the Company and NeuCourt, Inc. entered into an Exchange Agreement by which the $25,000 and $47,839 principal amounts of
the NeuCourt November 22, 2017 and October 31, 2018 convertible notes and accrued unpaid interest in the amounts of $3,518 and $9,673,
respectively, were exchanged for a Simple Agreement for Future Equity (“SAFE”), a security providing for the conversion of
the SAFE into shares of NeuCourt common or preferred stock (“Capital Stock”) at some future date. As of July 15, 2022, the
Company received SAFEs in the aggregate face amount of $86,030 (the “Purchase Amount”).

    F-28

Mentor
Capital, Inc.

Notes
to Consolidated Financial Statements

December
31, 2024 and 2023

The
valuation