Company: LIFD
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001096906-25-000346
Chunk: 1399

Company: LFTD PARTNERS INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 2
Chunk 1399
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ed $2,750,000 to LIFD and Lifted at the rate of 2.5% (the “$2.75M Note”). The $2.75M Note payable jointly by the Company and Lifted to NWarrender was secured by a perfected first lien security interest that encumbers all of the assets of the Company and Lifted. The Company was obligated to pay off the principal of the $2.75M Note in five semi-annual payments to NWarrender of $458,333 and a sixth and final semi-annual payment to NWarrender of $458,335, in each case plus accrued interest, starting on June 30, 2022. 

On June 7, 2022, LFTD Partners prepaid $916,666 of the principal of the $2.75M Note, and $29,384 of related accrued interest through that date, which left $1,833,334 remaining principal on the $2.75M Note. On July 5, 2022, we entered into an agreement (“Acceleration Agreement”) with NWarrender. Under the terms of the Acceleration Agreement, we were obligated to repay the remaining principal balance as follows: $1,374,999 on or before December 31, 2022, and $458,335 on or before December 31, 2024. Then, on July 8, 2022, we prepaid $916,666, along with accrued interest, and then, on July 25, 2022, we prepaid the remaining principal balance of $916,668 and accrued interest in full, and all collateral securing the $2.75M Note was released. 

Also impacting the net cash used in financing activities during the year ended December 31, 2022 was the repurchase of $150,000 of Company common stock, repayment of the finance lease liability of $70,267, and payments of dividends to the Company’s Series A and Series B Convertible Preferred stockholders totaling $23,149, offset by proceeds of $50,000 from the exercise of warrants and options. During the year ended December 31, 2022, net cash increased by $1,927,892, and we had $3,530,623 of unrestricted cash and no restricted cash at December 31, 2022.

 98Table of Contents

Comparison of the Consolidated Balance Sheets as of December 31, 2024 and December 31,