# EDGAR Filing Document

**Accession Number:** 0001701756
**File Stem:** 0001493152-23-008385
**Filing Date:** 2023-3
**Character Count:** 21143
**Document Hash:** 4529a249ac1ff85d0008354a3fc0ef2e
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001493152-23-008385.hdr.sgml**: 20230321

**ACCESSION NUMBER**: 0001493152-23-008385

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20230321

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230321

**DATE AS OF CHANGE**: 20230321

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Muscle Maker, Inc.
- **CENTRAL INDEX KEY:** 0001701756
- **STANDARD INDUSTRIAL CLASSIFICATION:** RETAIL-EATING & DRINKING PLACES [5810]
- **IRS NUMBER:** 472555533
- **STATE OF INCORPORATION:** NV
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-39223
- **FILM NUMBER:** 23750200

**BUSINESS ADDRESS:**
- **STREET 1:** 1751 RIVER RUN WESTBEND
- **STREET 2:** SUITE 200
- **CITY:** FORT WORTH
- **STATE:** TX
- **ZIP:** 76107
- **BUSINESS PHONE:** 682-708-8250

**MAIL ADDRESS:**
- **STREET 1:** 1751 RIVER RUN WESTBEND
- **STREET 2:** SUITE 200
- **CITY:** FORT WORTH
- **STATE:** TX
- **ZIP:** 76107

?xml version="1.0" encoding="utf-8"?

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, DC 20549**

**FORM 8-K**

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of the Securities and Exchange Act of 1934

Date of Report (Date of earliest event reported): March 21, 2023

Commission File Number 001-39223

**MUSCLE MAKER, INC.**

(Exact name of small business issuer as specified in its charter)

---

| | |
|:---|:---|
| **Nevada** | **47-2555533** |
| (State or other jurisdiction of<br> incorporation or organization) | (I.R.S. Employer<br> Identification No.) |

---

**1751 River Run, Suite 200, Fort Worth, Texas 76107**

(Address of principal executive offices)

**(832) 604-9568**

(Issuer's telephone number)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of each class | Trading Symbol | Name of each exchange on which registered |
| Common Stock, $0.0001 par value | GRIL | The Nasdaq Stock Market |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

**Item 2.02 Results of Operations and Financial Condition.**

On March 21, 2023, Muscle Maker, Inc. (the "Company") issued a press release regarding its financial results for the year ended December 31, 2022. The full text of the press release issued in connection with the announcement is furnished as Exhibit 99.1 to this Current Report on Form 8-K.

The information contained in this Item 2.02 shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

**Item 9.01 Financial Statements and Exhibits**

(d) Index of Exhibits

---

| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| 99.1 | [Press Release dated March 21, 2023](ex99-1.htm) |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

---

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | |
|:---|:---|
| **MUSCLE MAKER, INC.** | **MUSCLE MAKER, INC.** |
| By: | */s/ Michael Roper* |
| Name: | Michael Roper |
| Title: | Chief Executive Officer |

---

Date: March 21, 2023

## Exhibit 99.1

**Exhibit 99.1**

![](ex99-1_001.jpg)

**Muscle Maker, Inc. Announces 2022 Full Year and Q4 Results**

**Revenues Surge $150 Million at Newly Formed Sadot Subsidiary**

**Fort Worth, Texas, March 21, 2023 (ACCESSWIRE)** — Muscle Maker, Inc. (Nasdaq: GRIL), (the "Company"), today reported its financial results for the full year and fourth quarter ended December 31, 2022, and will host a call to review the results tomorrow, Wednesday, March 22, 2023, at 10:00 AM EDT / 7:00 AM PDT.

**2022 Highlights**

● Muscle Maker, Inc. generated $161,698,417 in total revenue.

● October 2022 formed its new wholly owned subsidiary, Sadot LLC.

● November 2022 entered into a material agreement with AGGIA, an international agri-commodity shipping, sourcing and sustainable farming consulting firm to assist in the operations of Sadot LLC.

● November/December revenue generated from Sadot subsidiary was $150,585,644.

● Net income generated from Sadot LLC was $4,548,440 or a 3% profit margin.

● The Company's restaurant division generated revenue, net of discounts, of $10,300,394.

● The Company's restaurant division consisting of Pokomoto, Muscle Maker Grill and Superfit Foods had an 11% year over year growth in sales.

● There are now 28 Pokemoto restaurants open and operating with an additional 50 new franchise agreements sold to still be opened.

● The Company's restaurant division labor, rent, other operating and SG&A key metrics all improved year over year.

● As of December 31, 2022, the Company had a:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Cash
 Balance of $9,898,420.

2. Working
 Capital surplus of $4,032,888.

"We are thrilled with the performance of our newly formed subsidiary Sadot," said Muscle Maker, Inc.'s CEO, Mr. Michael Roper. "It has proven to be a strategic addition to our Company with its material impact on our revenue and net income. As we look to the future, we remain committed to leveraging the strengths of Sadot along the with the expansion of our Pokemoto restaurant brand to continue driving growth and delivering value to our stakeholders."

**Webcast Details:**

Date: March 22, 2023

Time: 10:00 AM EDT / 7:00 AM PDT

To register, please use the link below to listen in live or click the link at a later time to view the replay: <u>https://audience.mysequire.com/webinar-view?webinar_id=3cceea3b-f722-47b7-8e81-ab0dab6809f9</u>

**About Muscle Maker, Inc.**

Muscle Maker, Inc. is the parent company of "healthier for you" brands delivering high-quality healthy food options to consumers through traditional and non-traditional locations such as military bases, universities, delivery and by direct-to-consumer ready-made meal prep options. Brands include Muscle Maker Grill Restaurants, Pokemoto Hawaiian Poke and SuperFit Foods meal prep. The menus highlight healthier versions of traditional and non-traditional dishes and feature grass fed steak, lean turkey, chicken breast, Ahi tuna, salmon, shrimp, tofu, and plant-based options. For more information on Muscle Maker, Inc., visit <u>www.musclemakergrill.com</u>, for more information on Pokemoto visit <u>www.pokemoto.com</u> or for more information on SuperFit Foods visit <u>www.superfitfoods.com</u>.

**About Sadot LLC**

Sadot is a wholly owned subsidiary of Muscle Maker, Inc. Sadot's goal is to create a comprehensive, global food company that stretches from sustainable farming, agricultural commodity shipping and trading, distribution, production and ultimately reaches consumers through our restaurant, franchise, and meal prep companies. Sadot currently focuses on international agricultural commodity shipping and trading for items such as soybean meal, wheat, and corn. Shipments are via commercial cargo ships that can range between 25,000 to 75,000 metric tons.

**MUSCLE MAKER, INC.**

**CONDENSED CONSOLIDATED BALANCE SHEETS**

---

| | | |
|:---|:---|:---|
|  | **December 31,**<br>**2022** | **December 31,**<br>**2021** |
| **Assets** |  |  |
| &nbsp;&nbsp;&nbsp;Current Assets: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash | $9898420 | $15766703 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net of allowance for doubtful accounts of $23,400 and $23,693 as of December 31, 2022 and December 31, 2021, respectively | 134914 | 155167 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventory | 297178 | 258785 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Current portion of loans receivable, net of allowance of $— and $71,184 at December 31, 2022 and 2021, respectively |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 317439 | 1789328 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Current Assets | 10647951 | 17969983 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Right to use assets | 2432894 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net | 1894962 | 2280267 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Goodwill | 2626399 | 2626399 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Intangible assets, net | 4610856 | 6387464 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deposit on farmland | 4914191 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Security deposits and other assets | 102273 | 167770 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Assets | $27229526 | $29431883 |
| **Liabilities and Stockholders' Equity** |  |  |
| &nbsp;&nbsp;&nbsp;Current Liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued expenses | $1953269 | $2208523 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued stock-based consulting expenses | 3601987 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notes payable, current | 222356 | 347510 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating lease liability, current | 560444 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue, current | 95392 | 49728 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred rent, current |  | 36800 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other current liabilities | 181615 | 286088 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Current Liabilities | 6615063 | 2928649 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notes payable, non-current | 758822 | 1005027 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating lease liability, non-current | 2018851 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue, non-current | 1275778 | 1013645 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred rent, non-current |  | 91295 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Liabilities | 10668514 | 5038616 |
| Commitments and Contingencies |  |  |
| Stockholders' Equity: |  |  |
| &nbsp;&nbsp;&nbsp;Common stock, $0.0001 par value, 50,000,000 shares authorized, 29,287,212 and 26,110,268 shares issued and outstanding as of December 31, 2022, and December 31, 2021, respectively | 2929 | 2611 |
| &nbsp;&nbsp;&nbsp;Additional paid-in capital | 95913147 | 95760493 |
| &nbsp;&nbsp;&nbsp;Accumulated deficit | (79355064) | (71369837) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Stockholders' Equity | 16561012 | 24393267 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total Liabilities and Stockholders' Equity | $27229526 | $29431883 |

---

**MUSCLE MAKER, INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS**

---

| | | |
|:---|:---|:---|
|  | **For the Years Ended** | **For the Years Ended** |
|  | **December 31,** | **December 31,** |
|  | **2022** | **2021** |
| **Revenues:** |  |  |
| &nbsp;&nbsp;&nbsp;Commodity sales | $150585644 | $— |
| &nbsp;&nbsp;&nbsp;Company restaurant sales, net of discounts | 10300394 | 9320920 |
| &nbsp;&nbsp;&nbsp;Franchise royalties and fees | 726854 | 778181 |
| &nbsp;&nbsp;&nbsp;Franchise advertising fund contributions | 80536 | 188539 |
| &nbsp;&nbsp;&nbsp;Other revenues | 4989 | 61996 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total revenues** | **161698417** | **10349636** |
| **Operating Costs and Expenses:** |  |  |
| &nbsp;&nbsp;&nbsp;Commodity operating expenses: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Commodity cost | 145671454 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Labor | 346750 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other commodity operating expenses | 19000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total commodity operating expenses | 146037204 |  |
| &nbsp;&nbsp;&nbsp;Restaurant operating expenses: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Food and beverage costs | 3940321 | 3532907 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Labor | 3844140 | 1917979 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Rent | 1190903 | 1261096 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other restaurant operating expenses | 2294688 | 2343137 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total restaurant operating expenses | 11270052 | 9055119 |
| &nbsp;&nbsp;&nbsp;Impairment of intangible asset | 347110 | 1139908 |
| &nbsp;&nbsp;&nbsp;Impairment of goodwill |  | 86348 |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization expenses | 2015048 | 1206505 |
| &nbsp;&nbsp;&nbsp;Franchise advertising fund expenses | 80536 | 188539 |
| &nbsp;&nbsp;&nbsp;Preopening expenses | 116728 | 31829 |
| &nbsp;&nbsp;&nbsp;Post-closing expenses | 197101 |  |
| &nbsp;&nbsp;&nbsp;Stock-based consulting expenses | 3601987 |  |
| &nbsp;&nbsp;&nbsp;Sales, general and administrative expenses | 6149801 | 8088682 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total costs and expenses** | **169815567** | **19796930** |
| **Loss from operations** | **(8117150)** | **(9447294)** |
| **Other Income:** |  |  |
| &nbsp;&nbsp;&nbsp;Other income / (expense) | 44944 | (9097) |
| &nbsp;&nbsp;&nbsp;Interest expense, net | (6730) | (69514) |
| &nbsp;&nbsp;&nbsp;Change in fair value of accrued compensation |  | 127500 |
| &nbsp;&nbsp;&nbsp;Gain on debt extinguishment | 141279 | 1228308 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total other income, net** | **179493** | **1277197** |
| **Loss Before Income Tax** | (7937657) | (8170097) |
| &nbsp;&nbsp;&nbsp;Income tax | 24771 | 6033 |
| **Net loss** | $**(7962428)** | $**(8176130)** |
| **Net Loss Per Share:** |  |  |
| &nbsp;&nbsp;&nbsp;Basic and Diluted | $(0.28) | $(0.50) |
| **Weighted average Number of Common Shares Outstanding:** |  |  |
| &nbsp;&nbsp;&nbsp;Basic and Diluted | $28558586 | $16467393 |

---

**MUSCLE MAKER, INC.**

**CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS**

---

| | | |
|:---|:---|:---|
|  | **For the Years Ended** | **For the Years Ended** |
|  | **December 31,** | **December 31,** |
|  | **2022** | **2021** |
| **Cash Flows from Operating Activities** |  |  |
| &nbsp;&nbsp;&nbsp;Net loss | $(7962428) | $(8176130) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Adjustments to reconcile net loss to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 2015048 | 1206505 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 152928 | 2207046 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on extinguishments of debt | (141279) | (1228308) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of intangible asset | 347110 | 1139908 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of goodwill |  | 86348 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based consulting expenses | 3601987 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in fair value of compensation |  | (127500) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of assets | 274097 | 193405 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bad debt expense | (47555) | 6663 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net | (3376) | (21525) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventory | (38393) | (125461) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 1471889 | (1748425) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Security deposits and other assets | 65497 | (274) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued expenses | (132985) | 622828 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred rent | (128095) | (3081) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating right of use asset and liability, net | 123602 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 307797 | (69380) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other current liabilities | (104473) | (355330) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total adjustments | 7763799 | 1783419 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash used in operating activities** | **(198629)** | **(6392711)** |
| **Cash Flows from Investing Activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deposit on farmland | (4914191) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Purchases of property and equipment | (596611) | (262019) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash paid-in connection with the acquisition of SuperFit Foods |  | (500000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash paid-in connection with the acquisition of Pokemoto, net of cash acquired |  | (2815390) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Collections from loans receivable | 71184 | 1600 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash used in investing activities** | **(5439618)** | **(3575809)** |
| **Cash Flows from Financing Activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from Private Placement Offering, net of underwriter's discount and offering costs of $2,079,965 |  | 22890950 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from exercise of pre-funded warrants | 44 | 28773 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash paid-in connection with cancellation of shares |  | (100000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Repayments of notes payables | (230080) | (1280432) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash (used in) / provided by financing activities** | **(230036)** | **21539291** |
| **Net (Decrease) / Increase in Cash** | (5868283) | 11570771 |
| Cash – beginning of period | 15766703 | 4195932 |
| Cash – end of period | $**9898420** | $**15766703** |

---

**Forward-Looking Statements**

This press release may include "forward-looking statements" pursuant to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. To the extent that the information presented in this press release discusses financial projections, information, or expectations about our business plans, results of operations, products, or markets, or otherwise makes statements about future events, such statements are forward-looking. Such forward-looking statements can be identified by the use of words such as "should", "may," "intends," "anticipates," "believes," "estimates," "projects," "forecasts," "expects," "plans," and "proposes." Although we believe that the expectations reflected in these forward-looking statements are based on reasonable assumptions, there are a number of risks and uncertainties that could cause actual results to differ materially from such forward-looking statements. You are urged to carefully review and consider any cautionary statements and other disclosures, including the statements made under the heading "Risk Factors" and elsewhere in documents that we file from time to time with the SEC. Forward-looking statements speak only as of the date of the document in which they are contained, and Muscle Maker, Inc., does not undertake any duty to update any forward-looking statements except as may be required by law.

**Investor Relations:**

Frank Pogubila

SVP

Integrous Communications

W - 951.946.5288

E - <u>IR@musclemakergrill.com</u>