Company: WKSP
Filing Date: 2025-03-28
Form Type: S-1
Source: 0001641172-25-001309
Chunk: 10

Company: Worksport Ltd
Filing Date: 2025-03-28
Form: S-1
Chunk 10
---
 lien on other Collateral, in accordance with an intercreditor agreement between the Lender
and Amerisource Funding, Inc. (“Amerisource”). In connection with the Agreement, on September 4, 2024, the Borrower issued
the Lender a term promissory note (the “Note”) for a principal amount of up to $1,487,200. The Note bears interest at the
lesser of (i) the prime rate plus 7.00% per annum and (ii) the maximum rate allowed by law. The Note shall be repayable in 155 weekly
installments of principal and interest on each Wednesday commencing on the first Wednesday after the date of the Note, and then the 156th
and final installment due on the 156th Wednesday after the date of the Note (the “Maturity Date”) of all outstanding principal,
accrued interest, fees and all other amounts due hereunder. The weekly payments will first be applied to payment of interest, second to
late charges and other fees, and the balance, if any, will be applied to the payment of principal.

July 2024 Consulting Agreement with Steven Rossi

On July 23, 2024, the Company entered into a consulting agreement (the “Consulting Agreement”) with Steven Rossi and 2230164 Ontario Inc., an Ontario corporation owned by Mr. Rossi (the “Consultant”). The terms of the Consulting Agreement are substantially the same as the terms set forth in the employment agreement, dated May 10, 2021, with the Company. The Consulting Agreement replaces such employment agreement it is entirety; provided however that all equity awards previously issued to the Consultant pursuant to the employment agreement or otherwise, remain in full force and effect in accordance with their respective terms. Pursuant to the Consulting Agreement, Steven Rossi, acting through 2230164 Ontario Inc., agreed to serve as the Company’s Chief Executive Officer (CEO) and President. The term of the Consulting Agreement commenced on July 23, 2024 and continues unless terminated pursuant to the terms of the Consulting Agreement. The Consultant shall receive an annual base payment of $300,000 (“Base Fees”) for services provided pursuant to the Consulting Agreement and shall be afforded the opportunity to earn an annual incentive bonus (“Bonus”) equal to 50% of the Base Fees, provided that certain performance goals are met. The performance goals will be established on an annual basis by the Compensation Committee of the Board of Directors of the Company