# EDGAR Filing Document

**Accession Number:** 0001839249
**File Stem:** 0001670254-23-000261
**Filing Date:** 2023-3
**Character Count:** 176117
**Document Hash:** 1d10616f29d2796fdc2692f4da312502
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001670254-23-000261.hdr.sgml**: 20230329

**ACCESSION NUMBER**: 0001670254-23-000261

**CONFORMED SUBMISSION TYPE**: C

**PUBLIC DOCUMENT COUNT**: 16

**FILED AS OF DATE**: 20230329

**DATE AS OF CHANGE**: 20230328

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Eskala, Inc.
- **CENTRAL INDEX KEY:** 0001839249
- **IRS NUMBER:** 853641492
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** C
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 020-32066
- **FILM NUMBER:** 23771509

**BUSINESS ADDRESS:**
- **STREET 1:** 16192 COASTAL HIGHWAY
- **CITY:** LEWES
- **STATE:** DE
- **ZIP:** 19958
- **BUSINESS PHONE:** 7083038388

**MAIL ADDRESS:**
- **STREET 1:** 16192 COASTAL HIGHWAY
- **CITY:** LEWES
- **STATE:** DE
- **ZIP:** 19958

## Ex-99

### Attached PDF Documents

**Attachment 1:** `document_1.pdf`

# Form C

## Cover Page

Name of issuer:

Eskala, Inc.

Legal status of issuer:

Form: Other

Other (specify): Public Benefit Corporation

Jurisdiction of Incorporation/Organization: DE

Date of organization: 10/16/2020

Physical address of issuer:

7339 Madison Street

Forest Park IL 60130

Website of issuer:

http://www.eskala.org

Name of intermediary through which the offering will be conducted:

Wefunder Portal LLC

CIK number of intermediary:

0001670254

SEC file number of intermediary:

007-00033

CRD number, if applicable, of intermediary:

283503

Amount of compensation to be paid to the intermediary, whether as a dollar amount or a percentage of the offering amount, or a good faith estimate if the exact amount is not available at the time of the filing, for conducting the offering, including the amount of referral and any other fees associated with the offering:

6.5% of the offering amount upon a successful fundraise, and be entitled to reimbursement for out-of-pocket third party expenses it pays or incurs on behalf of the Issuer in connection with the offering.

Any other direct or indirect interest in the issuer held by the intermediary, or any arrangement for the intermediary to acquire such an interest:

No

Type of security offered:

☐ Common Stock

☐ Preferred Stock

☑ Debt

☐ Other

If Other, describe the security offered:

Target number of securities to be offered:

50,000

Price:

$1.00000

Method for determining price:

Pro-rated portion of the total principal value of $50,000; interests will be sold in increments of $1.

Target offering amount:

$50,000.00

Oversubscriptions accepted:

☑ Yes
☐ No

If yes, disclose how oversubscriptions will be allocated:

☐ Pro-rata basis
☐ First-come, first-served basis
☑ Other

If other, describe how oversubscriptions will be allocated:

As determined by the issuer

Maximum offering amount (if different from target offering amount):

$5,000,000.00

Deadline to reach the target offering amount:

4/30/2023

NOTE: If the sum of the investment commitments does not equal or exceed the target offering amount at the offering deadline, no securities will be sold in the offering, investment commitments will be cancelled and committed funds will be returned.

Current number of employees:

7

|  | Most recent fiscal year-end: | Prior fiscal year-end: |
| --- | --- | --- |
| Total Assets: | $1,910,632.00 | $613,460.00 |
| Cash & Cash Equivalents: | $361,148.00 | $613,460.00 |
| Accounts Receivable: | $1,170,082.00 | $0.00 |
| Short-term Debt: | $631,341.00 | $2,204.00 |
| Long-term Debt: | $250,300.00 | $0.00 |
| Revenues/Sales: | $76,965.00 | $0.00 |
| Cost of Goods Sold: | $0.00 | $0.00 |
| Taxes Paid: | $14,469.00 | $0.00 |
| Net Income: | ($898,229.00) | ($3,744.00) |

Select the jurisdictions in which the issuer intends to offer the securities:

AL, AK, AZ, AR, CA, CO, CT, DE, DC, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WA, WV, WI, WY, BS, GU, PR, VI, IV

## Offering Statement

Respond to each question in each paragraph of this part. Set forth each question and any notes, but not any instructions thereto, in their entirety. If disclosure in response to any question is responsive to one or more other questions, it is not necessary to repeat the disclosure. If a question or series of questions is inapplicable or the response is available elsewhere in the Form, either state that it is inapplicable, include a cross-reference to the responsive disclosure, or omit the question or series of questions.

Be very careful and precise in answering all questions. Give full and complete answers so that

they are not misleading under the circumstances involved. Do not discuss any future performance or other anticipated event unless you have a reasonable basis to believe that it will actually occur within the foreseeable future. If any answer requiring significant information is materially inaccurate, incomplete or misleading, the Company, its management and principal shareholders may be liable to investors based on that information.

# THE COMPANY

1. Name of issuer:

Eskala, Inc.

# COMPANY ELIGIBILITY

2. ☑ Check this box to certify that all of the following statements are true for the issuer.

- Organized under, and subject to, the laws of a State or territory of the United States or the District of Columbia.
- Not subject to the requirement to file reports pursuant to Section 13 or Section 15(d) of the Securities Exchange Act of 1934.
- Not an investment company registered or required to be registered under the Investment Company Act of 1940.
- Not ineligible to rely on this exemption under Section 4(a)(6) of the Securities Act as a result of a disqualification specified in Rule 503(a) of Regulation Crowdfunding.
- Has filed with the Commission and provided to investors, to the extent required, the ongoing annual reports required by Regulation Crowdfunding during the two years immediately preceding the filing of this offering statement (or for such shorter period that the issuer was required to file such reports).
- Not a development stage company that (a) has no specific business plan or (b) has indicated that its business plan is to engage in a merger or acquisition with an unidentified company or companies.

INSTRUCTION TO QUESTION 2: If any of these statements are not true, then you are NOT eligible to rely on this exemption under Section 4(a)(6) of the Securities Act.

3. Has the issuer or any of its predecessors previously failed to comply with the ongoing reporting requirements of Rule 202 of Regulation Crowdfunding?

☐ Yes ☑ No

# DIRECTORS OF THE COMPANY

4. Provide the following information about each director (and any persons occupying a similar status or performing a similar function) of the issuer.

| Director | Principal Occupation | Main Employer | Year Joined as Director |
| --- | --- | --- | --- |
| Colleen O'Brien | Impact Investor & Volunteer | Eskala (volunteer) | 2021 |
| Steven Atamian | Chief Strategy Officer | Global Brigades | 2020 |
| Steve Nooyen | Chairman | Home Instead | 2021 |
| Carlos Garces | Retired | Retired | 2021 |
| Katherine Burgess | CEO/Founder | Elevate97 | 2021 |
| Charles Ries | Senior Director Development Design and Innovation | Marquette University | 2021 |
| James Stollberg | President | Gemini Global Advisors | 2021 |
| James Sartori | Chairman | Sartori Cheese | 2021 |

For three years of business experience, refer to Appendix D: Director & Officer Work History.

# OFFICERS OF THE COMPANY

5. Provide the following information about each officer (and any persons occupying a similar status or performing a similar function) of the issuer.

| Officer | Positions Held | Year Joined |
| --- | --- | --- |
| Colleen O'Brien | CEO | 2021 |

| Colleen O'Brien | CEO | 2021 |
| --- | --- | --- |
| Colleen O'Brien | Co-founder | 2021 |
| Steven Atamian | Co-founder | 2020 |
| Steven Atamian | Chief Strategy Officer | 2020 |
| Pallav Vora | Secretary | 2020 |
| Pallav Vora | VP, Legal Affairs | 2020 |

For three years of business experience, refer to Appendix D: Director & Officer Work History.

INSTRUCTION TO QUESTION 5: For purposes of this Question 5, the term officer means a president, vice president, secretary, treasurer or principal financial officer, comptroller or principal accounting officer, and any person that routinely performing similar functions.

## PRINCIPAL SECURITY HOLDERS

6. Provide the name and ownership level of each person, as of the most recent practicable date, who is the beneficial owner of 20 percent or more of the issuer's outstanding voting equity securities, calculated on the basis of voting power.

| Name of Holder | No. and Class of Securities Now Held | % of Voting Power Prior to Offering |
| --- | --- | --- |
| Global Brigades, Inc. (non-profit with no Owners) | 2647594.0 Common stock | 62.66 |

INSTRUCTION TO QUESTION 6: The above information must be provided as of a date that is no more than 120 days prior to the date of filing of this offering statement.

To calculate total voting power, include all securities for which the person directly or indirectly has or shares the voting power, which includes the power to vote or to direct the voting of such securities. If the person has the right to acquire voting power of such securities within 60 days, including through the exercise of any option, warrant or right, the conversion of a security, or other arrangement, or if securities are held by a member of the family, through corporations or partnerships, or otherwise in a manner that would allow a person to direct or control the voting of the securities (or share in such direction or control - as, for example, a co-irresist) they should be included as being "beneficially owned." You should include an explanation of these circumstances in a footnote to the "Number of and Class of Securities Now Held." To calculate outstanding voting equity securities, assume all outstanding options are exercised and all outstanding convertible securities converted.

## BUSINESS AND ANTICIPATED BUSINESS PLAN

7. Describe in detail the business of the issuer and the anticipated business plan of the issuer.

For a description of our business and our business plan, please refer to the attached Appendix A, Business Description & Plan

INSTRUCTION TO QUESTION 7: Wefunder will provide your company's Wefunder profile as an appendix (Appendix A) to the Form C to PDF format. The submission will include all Q&A items and "read more" links in an un-collapsed format. All videos will be transcribed.

This means that any information provided in your Wefunder profile will be provided to the SEC in response to this question. As a result, your company will be potentially liable for misstatements and omissions in your profile under the Securities Act of 1933, which requires you to provide material information related to your business and anticipated business plan. Please review your Wefunder profile carefully to ensure it provides all material information, is not false or misleading, and does not omit any information that would cause the information included to be false or misleading.

## RISK FACTORS

A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment.

In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document.

The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature.

These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.

determination that these securities are exempt from registration.

8. Discuss the material factors that make an investment in the issuer speculative or risky:

We are an early stage company. Accordingly, we have a limited operating history on which to base an evaluation of our business and prospects. Our business and prospects must be considered in light of the risks, expenses and difficulties frequently encountered by companies in their early stage of development, particularly companies in new and rapidly evolving markets. We cannot assure you that we will succeed in addressing these risks, and our failure to do so could have a material adverse effect on our business, prospects, financial condition and results of operations.

Changes in laws or regulations or the regulatory application or judicial interpretation of the laws and regulations applicable to us could adversely affect our ability to operate in the manner in which we currently conduct business or make it more difficult or costly for us to originate or otherwise make investments or loans or for us to collect dividends or payments on loans by subjecting us to additional licensing, registration or other regulatory requirements in the future or otherwise. A material failure to comply with any such laws or regulations could result in regulatory actions, lawsuits, and damages to our reputation, which could have a material adverse effect on our business and financial condition and our ability to originate or make investments or loans and perform our obligations to investors and other constituents.

The initiation of a proceeding relating to one or more allegations or findings of any violation of such laws could result in modifications in our methods of doing business that could impair our ability to collect loan payments or receive dividends or could result in the requirement that we pay damages and/or cancel the balance or other amount owing under loans associated with such violation. We cannot assure you that such claims will not be asserted against us in the future.

We operate our business globally and plan to continue to expand our international presence. Operating internationally exposes us to a number of risks, including unstable local economic conditions, volatile local political conditions, potential changes in duties and taxes, including changing interpretations of existing tax and banking laws and regulations, required compliance with additional laws and policies affecting banking, microfinance, or financial businesses or governing the operations of foreign-based companies, currency fluctuations, interest rate movements, difficulties in operating under local business environments, U.S. and global anti-bribery laws or regulations, and restrictions on repatriation of earnings. If we are unable to address these risks adequately, our financial position and results of operations could be adversely affected, including potentially impairing the value of our trademark, goodwill and other assets.

Operating globally also exposes us to numerous and sometimes conflicting legal and regulatory requirements. In many parts of the world, including countries in which we operate, practices in the local business communities might not conform to international business standards. We must adhere to policies designed to promote legal and regulatory compliance as well as applicable laws and regulations. However we might not be successful in ensuring that our employees, agents, representatives and other third parties with whom we associate throughout the world properly adhere to them.

Failure by us, our employees or any of these third parties to adhere to our policies or applicable laws or regulations could result in penalties, sanctions, damage to our reputation and related costs which in turn could negatively affect our results of operations and cash flows.

We could incur substantial losses and our business operations could be disrupted if we are unable to effectively identify, manage, monitor, and mitigate financial risks such as credit risk, interest rate risk, liquidity risk and other market-related risks, as well as operational risks related to our business, assets, and liabilities. To the extent our models used to assess the fiscal performance and performance of our community-bank partners do not adequately identify potential risks, the risk profile of such partners could be higher than anticipated. Our risk management policies, procedures, and techniques may not be sufficient to identify all of the risks we are exposed to, mitigate the risks that we have identified, or identify concentrations of risk or additional risks to which we may become subject in the future.

Although we conduct due diligence on potential community-bank partners, and continue to monitor their operations once we make loans to these partners, we are nevertheless dependent on our community-bank partners' ability to identify, underwrite and service borrowers in their respective segments. We cannot control their operations once loans are made. While it has historically never happened, it is possible that community-bank partners could become insolvent, shut down or otherwise cease their operations. In these events, our ability to collect on these loans will be compromised.

Our success depends, to a significant extent, upon the efforts and abilities of our management team. The key officers of the Company have either other employment, other business or time restrictions placed on them and, accordingly, key officers of the Company will only be able to devote part of their time to the affairs of the Company. Further, there are potential conflicts of interest to which the key officers of the Company may be subject to in connection with their professional commitments outside of the Company. Key officers of the Company may be involved in managerial or director positions with other enterprises whose operations may, from time to time, be in direct conflict with those of the Company. For example, the majority of the interim managers of Eskala are simultaneously holding various officer and management positions at Global Brigades, Inc., the majority shareholder of Eskala.

Information provided concerning Eskala's offering, Eskala and its business, may contain forward-looking statements, which reflect management's current view with respect to future events and Eskala's performance. Such forward-looking statements include projections with respect to the development, market size and acceptance of Eskala's capital investments, services, and loan products, and Eskala's future revenues and earnings, marketing strategies and business operations. These forward-looking statements are subject to certain risks and uncertainties, including, but not limited to, acceptance of Eskala's capital investments, services, and loan products, ability to compete with existing and new products and services competitively, our ability to attract additional capital, and the other risks identified herein. Due to such uncertainties and the risk factors set forth herein, you are cautioned not to place undue reliance upon such forward-looking statements.

We anticipate that we may require additional financing in order to expand our business. We cannot assure you that we will be able to successfully negotiate or obtain additional financing, or that we will obtain financing on terms favorable or acceptable to us. We do not have any commitments for additional financing. Our ability to obtain additional capital depends on market conditions, the global economy and other factors outside our control. If we do not obtain adequate financing or such financing is not available on acceptable terms, our ability to finance our expansion, develop or enhance services or products or respond to competitive pressures would be significantly limited. Our failure to secure necessary financing could have a material adverse effect on our business, prospects, financial condition and results of operations.

Eskala is registered in the State of Delaware as a Public Benefit Corporation. Pursuant to Delaware law, Eskala's Directors must balance the goals of (i) providing a competitive return to stockholders, (ii) having a net positive impact on society and the environment, and (iii) creating a net positive impact with respect to the benefits specified in the corporate charter. Under Delaware law, directors are shielded from liability when they make informed and disinterested decisions that serve a rational purpose.

Our future success depends on the efforts of a small management team. The loss of services of the members of the management team may have an adverse effect on the company. There can be no assurance that we will be successful in attracting and retaining other personnel we require to successfully grow our business.

*INSTRUCTION TO QUESTION 8: Avoid generalized statements and include only those factors that are unique to the issuer. Discussion should be tailored to the issuer's business and the offering and should not repeat the factors addressed in the legends set forth above. No specific number of risk factors is required to be identified.*

## The Offering

# USE OF FUNDS

9. What is the purpose of this offering?

The Company intends to use the net proceeds of this offering for working capital and general corporate purposes, which includes the specific items listed in Item 10 below. While the Company expects to use the net proceeds from the Offering in the manner described above, it cannot specify with certainty the particular uses of the net proceeds that it will receive from this Offering. Accordingly, the Company will have broad discretion in using these proceeds.

10. How does the issuer intend to use the proceeds of this offering?

If we raise: $50,000

Use of 80% towards making microinvestments in rural banking and
Proceeds: agricultural cooperatives

13.5% towards general operating expenses

6.5% towards WeFunder fees

If we raise: $5,000,000

Use of 70% towards making microinvestments in rural banking and
Proceeds: agricultural cooperatives

12.5% towards general operating expenses

11% towards scaling model to other countries in Central America
and/or West Africa

6.5% towards WeFunder fees

INSTRUCTION TO QUESTION 10: An issuer must provide a reasonably detailed description of any intended use of proceeds, such that investors are provided with an adequate amount of information to understand how the offering proceeds will be used. If an issuer has identified a range of possible uses, the issuer should identify and describe each probable use and the factors the issuer may consider in allocating proceeds among the potential uses. If the issuer will accept proceeds in excess of the target offering amount, the issuer must describe the purpose, method for allocating oversubscriptions, and intended use of the excess proceeds with similar specificity. Please include all potential uses of the proceeds of the offering, including any that may apply only in the case of oversubscriptions. If you do not do so, you may later be required to amend your Form C. Wefunder is not responsible for any failure by you to describe a potential use of offering proceeds.

# DELIVERY & CANCELLATIONS

11. How will the issuer complete the transaction and deliver securities to the investors?

If we reach our target offering amount prior to the deadline, we may conduct an initial closing of the offering early if we provide notice about the new offering deadline at least five business days prior to the new offering deadline (absent a material change that would require an extension of the offering and reconfirmation of the investment commitment). Wefunder will notify investors if we conduct an initial closing. Thereafter, we may conduct additional closings from time to time at our and Wefunder's discretion until the deadline date.

The following describes the process to invest in the Company, including how the Company will complete an Investor's transaction and deliver securities to the investor.

1. Investor Commitment. The Investor will submit, through Wefunder Portal, a requested investment amount. When doing so, the Investor will also execute an investment contract with the Company ("Investment Agreement"), using the Investor's electronic signature.
2. Acceptance of the Investment. If the Investor Agreement is complete, the Investor's commitment will typically be recorded within a few minutes. The commitment will also be available on the Investor's "My Investments" screen on the wefunder.com website. After the offering closes, the contract will be counter-signed by the Company. The executed investment contract will then be sent to the investor via email, and is also available to download on the "My Investments" screen.
3. Investor Transfer of Funds. Upon receiving confirmation that an investment has been accepted, the Investor will be responsible for

transferring funds from a source that is accepted by Wefunder Portal into an escrow account held with a third party bank on behalf of issuers offering securities through Wefunder Portal.

4. Progress of the Offering. The Investor will receive periodic email updates on the progress of the offering, including total amounts raised at any given time, and will be notified by email and through the "My Investments" screen when the target offering amount is met.

5. Closing: Original Deadline. Unless we meet the target offering amount early, Investor funds will be transferred from the escrow account to the Company on the deadline date identified in the Cover Page to this Form C and the Company's Wefunder Portal Profile.

6. Early Closings. If the target offering amount is met prior to the original deadline date, we may close the offering earlier, but no less than 21 days after the date on which information about the Company, including this Form C, is posted on our Wefunder Portal Profile. We will reschedule the offering deadline, and at least five days prior to the new deadline, investors will receive notice of it by email and through the "My Investments" screen. At the time of the new deadline, your funds will be transferred to the Company from the escrow account, provided that the target offering amount is still met after any cancellations.

7. Book Entry. Investments may be in book entry form. This means that the Investor may not receive a certificate representing his or her investment. Each investment will be recorded in our books and records and will be recorded in each investors' "My Investments" screen. The Investor will also be emailed the Investment Agreement again. The Investment Agreement will also be available on the "My Investments" screen. At the option of the Company, you may receive an electronic certificate.

12. How can an investor cancel an investment commitment?

NOTE: Investors may cancel an investment commitment until 48 hours prior to the deadline identified in these offering materials.

The intermediary will notify investors when the target offering amount has been met. If the issuer reaches the target offering amount prior to the deadline identified in the offering materials, it may close the offering early if it provides notice about the new offering deadline at least five business days prior to such new offering deadline (absent a material change that would require an extension of the offering and reconfirmation of the investment commitment).

If an investor does not cancel an investment commitment before the 48-hour period prior to the offering deadline, the funds will be released to the issuer upon closing of the offering and the investor will receive securities in exchange for his or her investment.

If an investor does not reconfirm his or her investment commitment after a material change is made to the offering, the investor's investment commitment will be cancelled and the committed funds will be returned.

An Investor's right to cancel. An Investor may cancel his or her investment commitment at any time until 48 hours prior to the offering deadline.

If there is a material change to the terms of the offering or the information provided to the Investor about the offering and/or the Company, the Investor will be provided notice of the change and must re-confirm his or her investment commitment within five business days of receipt of the notice. If the Investor does not reconfirm, he or she will receive notifications disclosing that the commitment was cancelled, the reason for the cancellation, and the refund amount that the Investor is required to receive. If a material change occurs within five business days of the maximum number of days the offering is to remain open, the offering will be extended to allow for a period of five business days for the Investor to reconfirm.

If the Investor cancels his or her investment commitment during the period when cancellation is permissible, or does not reconfirm a commitment in the case of a material change to the investment, or the offering does not close, all of the Investor's funds will be returned within five business days.

Within five business days of cancellation of an offering by the Company, the Company will give each investor notification of the cancellation, disclose the reason for the cancellation, identify the refund amount the investor will receive, and refund the Investor's funds.

The Company's right to cancel. The Investment Agreement you will execute with us provides the Company the right to cancel for any reason before the offering deadline.

If the sum of the investment commitments from all investors does not equal or exceed the target offering amount at the time of the offering deadline, no securities will be sold in the offering, investment commitments will be cancelled and committed funds will be returned.

# Ownership and Capital Structure

## THE OFFERING

13. Describe the terms of the securities being offered.

The company is issuing promissory notes to investors. The principal amount of each note is . Each note will accrue interest at a rate of 5% (non-compounding, calculated on the basis of a 365-day year and the actual number of days elapsed) and the company will make interest payments to the investor annually, starting one year after [the closing date of the offering]. Each note will have the maturity date [specified in the note]. The company will pay the outstanding principal amount of each note and all unpaid accrued interest on the maturity date. The company may prepay principal and interest at any time.

The notes are secured by the company's personal property, including all accounts, inventory, equipment, general intangibles, financial assets, investment property, securities, deposit accounts, and the proceeds thereof. The notes are not guaranteed.

The Company may defer up to one (1) repayment to investors.

Upon the occurrence of an event of default (as defined in each note), all unpaid principal, accrued interest and other amounts owing will automatically be immediately due, payable and collectible by the company pursuant to applicable law.

The notes are subordinated with respect to payment to the rights of senior indebtedness holders (as defined in each note). This means that the notes will not be repaid by the company unless and until all senior indebtedness holders have been repaid in full.

The notes do not provide investors with any voting rights in the company.

The form of the notes is provided in Appendix B, Investor Contracts. The form of the notes is Appendix B, Investor Contracts.

14. Do the securities offered have voting rights?

☐ Yes
☑ No

15. Are there any limitations on any voting or other rights identified above?

☑ Yes: No Voting Rights
☐ No:

16. How may the terms of the securities being offered be modified?

The terms of the notes cannot be amended.

## RESTRICTIONS ON TRANSFER OF THE SECURITIES BEING OFFERED:

The securities being offered may not be transferred by any purchaser of such securities during the one year period beginning when the securities were issued, unless such securities are transferred:

1. to the issuer;
2. to an accredited investor;
3. as part of an offering registered with the U.S. Securities and Exchange Commission; or
4. to a member of the family of the purchaser or the equivalent, to a trust controlled by the purchaser, to a trust created for the benefit of a member of the family of the purchaser or the equivalent, or in connection with the death or divorce of the purchaser or other similar circumstance.

NOTE: The term "accredited investor" means any person who comes within any of the categories set forth in Rule 501(a) of Regulation D, or who the seller reasonably

believes comes within any of such categories, at the time of the sale of the securities to that person.

The term 'member of the family of the purchaser or the equivalent' includes a child, stepchild, grandchild, parent, stepparent, grandparent, spouse or spousal equivalent, sibling, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, or sister-in-law of the purchaser, and includes adoptive relationships. The term 'spousal equivalent' means a cohabitant occupying a relationship generally equivalent to that of a spouse.

#### DESCRIPTION OF ISSUER'S SECURITIES

17. What other securities or classes of securities of the issuer are outstanding? Describe the material terms of any other outstanding securities or classes of securities of the issuer.

| Class of Security | Securities (or Amount) Authorized | Securities (or Amount) Outstanding | Voting Rights |
| --- | --- | --- | --- |
| Common | 10,000,000 | 4,225,463 | Yes |

#### Securities Reserved for Issuance upon Exercise or Conversion

Warrants: 13,369

Options: 120,500

Describe any other rights:

N/A

18. How may the rights of the securities being offered be materially limited, diluted or qualified by the rights of any other class of security identified above?

Because the Investor holds no voting rights in the company, the holders of a majority-in-interest of voting rights in the Company could limit the Investor's rights in a material way. For example, those interest holders could vote to change the terms of the agreements governing the Company's operations or cause the Company to engage in additional offerings (including potentially a public offering). These types of changes could limit the Investor's economic rights by causing the Company to pay off the notes the Investor has purchased before their maturity, thereby reducing the aggregate interest paid on the notes to the Investor.

Based on the risk that an Investor's rights could be limited, diluted or otherwise qualified, the Investor could lose all or part of his or her investment in the securities in this offering, and may never see positive returns.

Additional risks related to the rights of other security holders are discussed below, in Question 20.

19. Are there any differences not reflected above between the securities being offered and each other class of security of the issuer?

No.

20. How could the exercise of rights held by the principal shareholders identified in Question 6 above affect the purchasers of the securities being offered?

As holders of a majority-in-interest of voting rights in the Company, the principal shareholder(s) may make decisions with which the Investor disagrees, or that negatively affect the value of the Investor's securities in the Company, and the Investor will have no recourse to change these decisions. The Investor's interests may conflict with those of the principal shareholder(s), and there is no guarantee that the Company will develop in a way that is optimal for or advantageous to the Investor.

For example, the principal shareholder(s) may change the terms of the operating agreement for the Company, change the terms of securities issued by the Company, change the management of the Company, and even force out minority holders of securities. The principal shareholder(s) also may force the Company to prepay the promissory notes before their maturity date. The principal shareholder(s) may make changes that affect

the tax treatment of the Company in ways that are unfavorable to the Investor but favorable to them. The principal shareholder(s) may also vote to engage in new offerings and/or to register certain of the Company's securities in a way that negatively affects the value of the securities the Investor owns. The principal shareholder(s) may also have access to more information than the Investor, leaving the Investor at a disadvantage with respect to any decisions regarding the securities he or she owns.

The principal shareholder(s) have the right to redeem their securities at any time. The principal shareholder(s) could decide to force the Company to redeem their securities at a time that is not favorable to the Investor and is damaging to the Company. The exit of the principal shareholder(s) may affect the value of the Company and/or its viability.

Based on the factors described above, the Investor could lose all or part of his or her investment in the securities in this offering, and may never see positive returns.

21. How are the securities being offered being valued? Include examples of methods for how such securities may be valued by the issuer in the future, including during subsequent corporate actions.

The value of the promissory notes will be determined by the Company's senior management in accordance with U.S. generally accepted accounting principles. For example, the notes may be valued based on principal plus anticipated interest payments over the course of the term of the note.

22. What are the risks to purchasers of the securities relating to minority ownership in the issuer?

An Investor in the promissory notes will likely hold a minority position in the Company and will have no voting rights in the Company, and thus will be limited as to its ability to control or influence the governance and operations of the Company.

The marketability and value of the Investor's interest in the Company will depend upon many factors outside the control of the Investor. The Company will be managed by its officers and be governed in accordance with the strategic direction and decision-making of its board of directors, and the Investor will have no independent right to name or remove an officer or member of the board of directors of the Company.

23. What are the risks to purchasers associated with corporate actions, including additional issuances of securities, issuer repurchases of securities, a sale of the issuer or of assets of the issuer or transactions with related parties?

Additional issuances of securities. Following the Investor's investment in the Company, the Company may sell interests to additional investors. The Investor may have the opportunity to increase its investment in the Company in such a transaction, but such opportunity cannot be assured. The amount of additional financing needed by the Company, if any, will depend upon the maturity and objectives of the Company.

Issuer Repurchase of Securities/Prepayment of Notes. The Company has the right to repay principal and interest on the promissory notes at any time prior to the maturity date. If the Company repays principal and interest on the notes early, Investor will receive fewer interest payments than expected at purchase.

A sale of the issuer or of assets of the issuer. As a noteholder with no voting rights, the Investor will have no ability to influence a potential sale of the Company or a substantial portion of its assets. Thus, the Investor will rely upon the executive management of the Company and the board of directors of the Company to manage the Company so as to maximize value for shareholders and ensure full payment of noteholders. Accordingly, the success of the Investor's investment in the Company will depend in large part upon the skill and expertise of the executive management of the Company and the board of directors of the Company. If the board of directors of the Company authorizes a sale of all or a part of the Company, or a disposition of a substantial portion of the Company's assets, there can be no guarantee that the amount received will be sufficient to repay Investor and other noteholders.

Transactions with related parties. The Investor should be aware that there will be occasions when the Company may encounter potential conflicts of interest in its operations. On any issue involving conflicts of interest, the executive management and board of directors of the Company will be guided by their good faith judgment as to the Company's best interests. The Company may engage in transactions with affiliates, subsidiaries or other related parties, which may be on terms which are not arm's-length, but will be in all cases consistent with the duties of the management of the Company to its shareholders. By acquiring an interest in the Company, the Investor will be deemed to have acknowledged the existence of any such actual or potential conflicts of interest and to have waived any claim with respect to any liability arising from the existence of any such conflict of

interest.

24. Describe the material terms of any indebtedness of the issuer:

Loan

Lender Beneficial State Bank

Issue date 12/12/21

Amount $250,300.00

Outstanding principal plus interest $201,000.00 as of 02/28/23

Interest rate 3.25% per annum

Current with payments Yes

Cash secured line of credit with Beneficial State Bank

Loan

Lender Global Brigades, Inc.

Issue date 12/30/21

Amount $80,702.00

Outstanding principal plus interest $25,768.47 as of 02/28/23

Interest rate 0.0% per annum

Current with payments Yes

Accounts payable to Global Brigades, Inc. for the use of Global Brigades kiva line of credit to issue loans in Honduras

Loan

Lender Silicon Valley Community Foundation

Issue date 08/10/22

Amount $100,000.00

Outstanding principal plus interest $101,663.76 as of 02/28/23

Interest rate 3.0% per annum

Maturity date 08/10/24

Current with payments Yes

Secured Promissory Note

Loan

Lender Kiva Microfunds

Issue date 09/20/22

Amount $200,000.00

Outstanding principal plus interest $70,326.74 as of 02/28/23

Interest rate 0.0% per annum

Maturity date 09/21/25

Current with payments Yes

Zero interest revolving line of credit with Kiva Microfunds for loan capital to be issued in Honduras.

Loan

Lender Atamian Family Trust

Issue date 12/22/22

Amount $40,000.00

Outstanding principal plus interest $40,569.59 as of 02/28/23

Interest rate 7.5% per annum

Maturity date 06/22/24

Current with payments Yes

Secured Promissory Note

Loan

Lender Tom Voell Living Trust

Issue date 12/22/22

Amount $30,000.00

Outstanding principal plus interest $30,427.19 as of 02/28/23

Interest rate 7.5% per annum

Maturity date 06/22/24

Current with payments Yes

Secured Promissory Note

Loan

Lender MFI, LLC

Issue date 12/26/22

Amount $100,000.00

Outstanding principal plus interest $101,423.98 as of 02/28/23

Interest rate 7.5% per annum

Maturity date 06/27/24

Current with payments Yes

Secured Promissory Note

Loan

Lender JCRS, LLC

Issue date 12/28/22

Amount $100,000.00

Outstanding principal plus interest $101,423.98 as of 02/28/23

Interest rate 7.5% per annum

Maturity date 06/29/24

Current with payments Yes

Secured Promissory Note

INSTRUCTION TO QUESTION 24: name the creditor, amount owed, interest rate, maturity date, and any other material terms.

25. What other exempt offerings has the issuer conducted within the past three years?

| Offering Date | Exemption | Security Type | Amount Sold | Use of Proceeds |
| --- | --- | --- | --- | --- |
| 12/2020 | Section 4(a)(2) | Common stock | $615,000 | General operations |
| 1/2021 | Section 4(a)(2) | Common stock | $100,000 | General operations |
| 1/2021 | Section 4(a)(2) | Common stock | $100,000 | General operations |
| 1/2021 | Section 4(a)(2) | Common stock | $100,000 | General operations |
| 2/2021 | Section 4(a)(2) | Common stock | $100,000 | General operations |
| 4/2021 | Section 4(a)(2) | Common stock | $250,000 | General operations |
| 5/2021 | Section 4(a)(2) | Common stock | $25,000 | General operations |
| 10/2021 | Other |  | $9,945 | General operations |
| 11/2021 | Section 4(a)(2) | Common stock | $100,000 | General operations |
| 11/2021 | Section 4(a)(2) | Common stock | $100,000 | General operations |
| 12/2021 | Section 4(a)(2) | Common stock | $10,000,000 | General operations |

| 12/2021 | Section 4(a)(2) | Common stock $100,000 | General operations |
| --- | --- | --- | --- |
| 12/2021 | Section 4(a)(2) | Common stock $276,000 | General operations |
| 12/2021 | Section 4(a)(2) | Common stock $100,000 | General operations |
| 12/2021 | Section 4(a)(2) | Common stock $100,000 | General operations |
| 12/2021 | Other | $22,466 | General operations |
| 12/2021 | Other | $4,372 | General operations |
| 12/2021 | Other | $14,469 | General operations |
| 1/2022 | Section 4(a)(2) | Common stock $100,000 | General operations |
| 3/2022 | Section 4(a)(2) | Common stock $100,000 | General operations |
| 5/2022 | Section 4(a)(2) | Common stock $100,000 | General operations |
| 12/2022 | Other | $499,387 | General operations |

26. Was or is the issuer or any entities controlled by or under common control with the issuer a party to any transaction since the beginning of the issuer's last fiscal year, or any currently proposed transaction, where the amount involved exceeds five percent of the aggregate amount of capital raised by the issuer in reliance on Section 4(a)(6) of the Securities Act during the preceding 12- month period, including the amount the issuer seeks to raise in the current offering, in which any of the following persons had or is to have a direct or indirect material interest:

1. any director or officer of the issuer;
2. any person who is, as of the most recent practicable date, the beneficial owner of 20 percent or more of the issuer's outstanding voting equity securities, calculated on the basis of voting power;
3. if the issuer was incorporated or organized within the past three years, any promoter of the issuer;
4. or any immediate family member of any of the foregoing persons.

☑ Yes
☐ No

For each transaction specify the person, relationship to issuer, nature of interest in transaction, and amount of interest.

| Name | Global Brigades, Inc. |
| --- | --- |
| Amount Invested | $615,000.00 |
| Transaction type | Priced round |
| Issue date | 12/08/20 |
| Relationship | Parent non-profit organization from which the company's operations spun out from |

Name Colleen O'Brien

Amount Invested $100,000.00

Transaction type Priced round

Issue date 01/14/21

Relationship Colleen currently serves as CEO of Eskala and sits on the board of directors.

Name Jim Stollberg

Amount Invested $100,000.00

Transaction type Priced round

Issue date 01/20/21

| Relationship | Jim Stolberg currently sits on Eskala's board of directors. |
| --- | --- |
| Name | Steven Nooyen |
| Amount Invested | $100,000.00 |
| Transaction type | Priced round |
| Issue date | 01/20/21 |
| Relationship | Steven Nooyen currently sits on Eskala's board of directors. |
| Name | Jim Sartori |
| Amount Invested | $100,000.00 |
| Transaction type | Priced round |
| Issue date | 02/11/21 |
| Relationship | Jim Sartori currently sits on Eskala's board of directors |
| Name | Colleen O'Brien |
| Amount Invested | $250,000.00 |
| Transaction type | Priced round |
| Issue date | 04/01/21 |
| Relationship | Colleen O'Brien currently serves as the CEO of Eskala and sits on the board of directors. |
| Name | Jim Sartori |
| Amount Invested | $25,000.00 |
| Transaction type | Priced round |
| Issue date | 05/09/21 |
| Relationship | Jim Sartori currently sits on Eskala's board of directors |
| Name | Carlos Garces |
| Amount Invested | $10,000,000.00 |
| Transaction type | Priced round |
| Issue date | 12/07/21 |
| Relationship | Carlos Garces currently sits on Eskala's board of directors |
| Name | Steven Nooyen |
| Amount Invested | $100,000.00 |
| Transaction type | Priced round |
| Issue date | 12/13/21 |
| Relationship | Steven Nooyen currently sits on Eskala's board of directors |
| Name | Global Brigades, Inc. |
| Amount Invested | $276,000.00 |
| Transaction type | Priced round |
| Issue date | 12/19/21 |
| Relationship | Global Brigades, Inc., a nonprofit organization, is the majority shareholder and parent company of Eskala |
| Name | Global Brigades, Inc. |
| Amount Invested | $80,702.00 |
| Transaction type | Loan |

| Issue date | 12/30/21 |
| --- | --- |
| Outstanding principal plus interest | $25,768.47 as of 02/28/23 |
| Interest rate | 0.0% per annum |
| Current with payments | Yes |
| Relationship | Global Brigades, Inc. is the founder and majority shareholder of the company. |

| Name | Colleen O'Brien |
| --- | --- |
| Amount Invested | $100,000.00 |
| Transaction type | Priced round |
| Issue date | 01/19/22 |
| Relationship | Colleen O'Brien currently serves as Eskala's CEO and sits on its board of directors. |

| Name | Katherine Burgess |
| --- | --- |
| Amount Invested | $100,000.00 |
| Transaction type | Priced round |
| Issue date | 03/22/22 |
| Relationship | Katherine Burgess currently sits on Eskala's board of directors. |

| Name | Atamian Family Trust |
| --- | --- |
| Amount Invested | $40,000.00 |
| Transaction type | Loan |
| Issue date | 12/22/22 |
| Outstanding principal plus interest | $40,569.59 as of 02/28/23 |
| Interest rate | 7.5% per annum |
| Maturity date | 06/22/24 |
| Current with payments | Yes |
| Relationship | The lender is the brother of an officer of the company. |

| Name | JCRS, LLC |
| --- | --- |
| Amount Invested | $100,000.00 |
| Transaction type | Loan |
| Issue date | 12/28/22 |
| Outstanding principal plus interest | $101,423.98 as of 02/28/23 |
| Interest rate | 7.5% per annum |
| Maturity date | 06/29/24 |
| Current with payments | Yes |
| Relationship | The lender sits on the board of directors of Eskala, Inc. |

| Name | Global Brigades, Inc. |
| --- | --- |
| Amount Invested | $499,387.00 |
| Transaction type | Other |
| Issue date | 12/30/22 |
| Relationship | Global Brigades, Inc. is the founder and majority shareholder of the company. |

*Accounts payable to Global Brigades for shared services owed. In August 2022, $300,000 of this balance was paid.*

*INSTRUCTIONS TO QUESTION 26: The term transaction includes, but is not limited to, any financial transaction, arrangement or relationship (including any indebtedness or guarantee of indebtedness) or any series of similar transactions, arrangements or relationships.*

*Beneficial ownership for purposes of paragraph (2) shall be determined as of a date that is no more than 120 days prior to the date of filing of this offering statement and using the same calculation described in Question 6 of this Question and Answer format.*

*The term 'member of the family' includes any child, stepchild, grandchild, parent, stepparent, grandparent, spouse or spousal equivalent, sibling, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, or sister-in-law of the person, and includes adoptive relationships. The term 'spousal equivalent' means a cohabitant occupying a relationship generally equivalent to that of a spouse.*

*Compute the amount of a related party's interest in any transaction without regard to the amount of the profit or loss involved in the transaction. Where it is not practicable to state the approximate amount of the interest, disclose the approximate amount involved in the transaction.*

## FINANCIAL CONDITION OF THE ISSUER

27. Does the issuer have an operating history?

28. Describe the financial condition of the issuer, including, to the extent material, liquidity, capital resources and historical results of operations.

### Management's Discussion and Analysis of Financial Condition and Results of Operations

You should read the following discussion and analysis of our financial condition and results of operations together with our financial statements and the related notes and other financial information included elsewhere in this offering. Some of the information contained in this discussion and analysis, including information regarding the strategy and plans for our business, includes forward-looking statements that involve risks and uncertainties. You should review the 'Risk Factors' section for a discussion of important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained in the following discussion and analysis.

#### Overview

Eskala is helping to alleviate poverty in Latin America through community-owned banks

Eskala is a spin off of the non-profit Global Brigades (GB). Founded in 2003, GB's mission is to inspire, mobilize and collaborate with communities to achieve their own health and economic goals. Through 18 years of work, GB discovered that access to financial services were vital for a community to break the cycle of poverty - thus Eskala was born.

Eskala lends and invests in community-owned banks in Latin America to keep funds circulating and create self-sustaining economies.

Eskala endeavors to serve 20,000 communities with 18 million people living in poverty in the next 5 years. Projections can't be guaranteed.

Eskala is not an investment company as defined in section 3 of the Investment Company Act of 1940. Working through wholly-owned subsidiaries in Honduras and Nicaragua, Eskala supports rural locally owned cooperatives with capital and technical capacity building. Eskala seeks to equip underbanked communities with the tools and resources to break the poverty cycle.

#### Milestones

Eskala, Inc. ('Eskala') was incorporated October 16, 2020 as a Delaware Public Benefit Corporation. Eskala serves as a holding company with a wholly-owned subsidiary in Honduras. Eskala Honduras ('EH') was incorporated in Honduras on December 22, 2020. The accompanying

consolidated financial statements include the accounts of Eskala and EH (collectively, the 'Company'). The Company's primary source of revenue is through its local subsidiary. EH started making loans and micro investments into rural community banks and providing rural banks with technical support and training in Honduras in fiscal year 2021. On May 31, 2021, Eskala Ventures, S.A. was incorporated in Panama and is a wholly-owned subsidiary of the Company. During 2021, the wholly-owned subsidiary was transferred to a related party. Since then, we have:

Since then, we have:

- - Join Eskala's preferred debt partner, Nicolet National Bank, committed \$20k to this loan
- - Eskala has deployed \$3m+ of impact investment to transform banking in under resourced communities
- - We aim to empower 18M people living in poverty with financial services by 2025
- - We have issued \$1M in loans so far, serves the capital needs of 2,500+ micro-enterprises
- - 0% default rate to date
- - Featured in Forbes, American Banker, and Milwaukee Business Journal
- - Partners include Kiva, World Bank, Whole Planet Foundation, Inter-American Development Bank

#### Historical Results of Operations

Our company was organized in October 2020 and has limited operations upon which prospective investors may base an evaluation of its performance.

- - *Revenues & Gross Margin*. For the period ended December 31, 2021, the Company had revenues of \$76,965 compared to the year ended December 31, 2020, when the Company had revenues of \$0. Our gross margin was 100.0% in fiscal year 2022.
- - *Assets*. As of December 31, 2021, the Company had total assets of \$1,910,632, including \$361,148 in cash. As of December 31, 2020, the Company had \$613,460 in total assets, including \$613,460 in cash.
- - *Net Loss*. The Company has had net losses of \$898,229 and net losses of \$3,744 for the fiscal years ended December 31, 2021 and December 31, 2020, respectively.
- - *Liabilities*. The Company's liabilities totaled \$881,641 for the fiscal year ended December 31, 2021 and \$2,204 for the fiscal year ended December 31, 2020.

#### Related Party Transaction

Refer to Question 26 of this Form C for disclosure of all related party transactions.

#### Liquidity & Capital Resources

To-date, the company has been financed with \$901,002 in debt, 550,639 in accounts payable to Global Brigades for shared services owed, and \$12,366,000 in equity.

On January 1, 2021, the Company entered into a partner agreement with Global Brigades Logistics, S.A. ('GBLSA'), an affiliate of Global Brigades, Inc. ('GB'), where the Company will execute community bank lending programs in rural communities of Honduras to increase access capital in under-resourced areas. GBLSA will facilitate the execution of international development programs in Honduras. At the commencement of the agreement and for the duration of the agreement GBLSA agrees to maintain a bank account at a financial institution mutually agreed upon where a representative of the Company will have secondary signing privileges, full access, and account monitoring. On a discretionary basis, the Company will provide funding to GBLSA. Loans financed by the Company shall be issued by GBLSA unless the Company directs, with the mutual agreement of GBLSA, the rights and obligations of any and all loans be assigned to another entity nominated by the Company and each borrower consents. GBLSA agreed to collect any and all principal and interest payments payable for loans financed by project funds on or after July 1, 2020 and maintain all collected interest. Upon the Company opening a bank account

maintain all collected interest. Upon the Company opening a bank account in the Republic of Honduras, GBLSA will transfer principal payments and proceeds from interest payments to the Company less any outstanding service fees and/or administrative fees owed to GBLSA.

Global Brigades, Inc. is a California nonprofit organization, tax-exempt under IRC 501(c)(3). As a nonprofit organization, Global Brigades has no owners.

After the conclusion of this Offering, should we hit our minimum funding target, our projected runway is 36 months before we need to raise further capital.

We plan to use the proceeds as set forth in this Form C under 'Use of Funds'. We don't have any other sources of capital in the immediate future.

We will likely require additional financing in excess of the proceeds from the Offering in order to perform operations over the lifetime of the Company. We plan to raise capital in 3 months. Except as otherwise described in this Form C, we do not have additional sources of capital other than the proceeds from the offering. Because of the complexities and uncertainties in establishing a new business strategy, it is not possible to adequately project whether the proceeds of this offering will be sufficient to enable us to implement our strategy. This complexity and uncertainty will be increased if less than the maximum amount of securities offered in this offering is sold. The Company intends to raise additional capital in the future from investors. Although capital may be available for early-stage companies, there is no guarantee that the Company will receive any investments from investors.

#### **Runway & Short/Mid Term Expenses**

Eskala, Inc. cash in hand is $61,451.53, as of March 2023. Over the last three months, revenues have averaged $40,848.84/month, cost of goods sold has averaged $11,282.50/month, and operational expenses have averaged $53,369/month, for an average burn rate of $23,802.66 per month. Our intent is to be profitable in 6 months.

Since December 2022, we have been able to improve efficiencies in our overhead and dramatically reduce our burn rate. As such, we have only gotten closer to reaching profitability.

We expect revenue to grow by ~10-20% in the next three to six months, and expect our overhead costs to lower to ~$15,000 a month. We expect that the loan portfolio will increase due to the kiva line of credit that has been secured and result in increased revenue. We expect expenses to reduce due to decreased administrative support needed from Global Brigades as a part of the shared services agreement.

If we are successful in raising an additional $400,000-$500,000 in either debt or equity, we believe we will be able to make enough micro-investments to achieve profitability.

There are no additional sources of income outside of this Wefunder raise to cover short term burn.

All projections in the above narrative are forward-looking and not guaranteed.

*INSTRUCTIONS TO QUESTION 28: The discussion must cover each year for which financial statements are provided. For issuers with no prior operating history, the discussion should focus on financial milestones and operational, liquidity and other challenges. For issuers with an operating history, the discussion should focus on whether historical results and cash flows are representative of what investors should expect in the future. Take into account the proceeds of the offering and any other known or pending sources of capital. Discuss how the proceeds from the offering will affect liquidity, whether receiving these funds and any other additional funds is necessary to the viability of the business, and how quickly the issuer anticipates using its available cash. Describe the other available sources of capital to the business, such as lines of credit or required contributions by shareholders. References to the issuer in this Question 28 and these instructions refer to the issuer and its predecessors, if any.*

## FINANCIAL INFORMATION

29. Include financial statements covering the two most recently completed fiscal years or the period(s) since inception, if shorter:

Refer to Appendix C, Financial Statements

I, Colleen O'Brien, certify that:

(1) the financial statements of Eskala, Inc. included in this Form are true and complete in all material respects ; and
(2) the financial information of Eskala, Inc. included in this Form reflects accurately the information reported on the tax return for Eskala, Inc. filed for the most recently completed fiscal year.

Colleen O'Brien

Impact Investor & Volunteer

# STAKEHOLDER ELIGIBILITY

30. With respect to the issuer, any predecessor of the issuer, any affiliated issuer, any director, officer, general partner or managing member of the issuer, any beneficial owner of 20 percent or more of the issuer's outstanding voting equity securities, any promoter connected with the issuer in any capacity at the time of such sale, any person that has been or will be paid (directly or indirectly) remuneration for solicitation of purchasers in connection with such sale of securities, or any general partner, director, officer or managing member of any such solicitor, prior to May 16, 2016:

(1) Has any such person been convicted, within 10 years (or five years, in the case of issuers, their predecessors and affiliated issuers) before the filing of this offering statement, of any felony or misdemeanor:

i. in connection with the purchase or sale of any security? Yes No
ii. involving the making of any false filing with the Commission? Yes No
iii. arising out of the conduct of the business of an underwriter, broker, dealer, municipal securities dealer, investment adviser, funding portal or paid solicitor of purchasers of securities? Yes No

(2) Is any such person subject to any order, judgment or decree of any court of competent jurisdiction, entered within five years before the filing of the information required by Section 4A(b) of the Securities Act that, at the time of filing of this offering statement, restrains or enjoins such person from engaging or continuing to engage in any conduct or practice:

i. in connection with the purchase or sale of any security? Yes No
ii. involving the making of any false filing with the Commission? Yes No
iii. arising out of the conduct of the business of an underwriter, broker, dealer, municipal securities dealer, investment adviser, funding portal or paid solicitor of purchasers of securities? Yes No

(3) Is any such person subject to a final order of a state securities commission (or an agency or officer of a state performing like functions); a state authority that supervises or examines banks, savings associations or credit unions; a state insurance commission (or an agency or officer of a state performing like functions); an appropriate federal banking agency; the U.S. Commodity Futures Trading Commission; or the National Credit Union Administration that:

i. at the time of the filing of this offering statement bars the person from:

A. association with an entity regulated by such commission, authority, agency or officer? Yes No
B. engaging in the business of securities, insurance or banking? Yes No
C. engaging in savings association or credit union activities? Yes No

ii. constitutes a final order based on a violation of any law or regulation that prohibits fraudulent, manipulative or deceptive conduct and for which the order was entered within the 10-year period ending on the date of the filing of this offering statement? ☐ Yes ☑ No

(4) Is any such person subject to an order of the Commission entered pursuant to Section 15(b) or 15B(c) of the Exchange Act or Section 203(e) or (f) of the Investment Advisers Act of 1940 that, at the time of the filing of this offering statement:

i. suspends or revokes such person's registration as a broker, dealer, municipal securities dealer, investment adviser or funding portal? Yes No
ii. places limitations on the activities, functions or operations of such person? Yes No
iii. bars such person from being associated with any entity or from participating in

the offering of any penny stock? ☐ Yes ☑ No

(5) Is any such person subject to any order of the Commission entered within five years before the filing of this offering statement that, at the time of the filing of this offering statement, orders the person to cease and desist from committing or causing a violation or future violation of:

i. any scienter-based anti-fraud provision of the federal securities laws, including without limitation Section 17(a)(1) of the Securities Act, Section 10(b) of the Exchange Act, Section 15(c)(1) of the Exchange Act and Section 206(1) of the Investment Advisers Act of 1940 or any other rule or regulation thereunder? ☐ Yes ☑ No

ii. Section 5 of the Securities Act? ☐ Yes ☑ No

(6) Is any such person suspended or expelled from membership in, or suspended or barred from association with a member of, a registered national securities exchange or a registered national or affiliated securities association for any act or omission to act constituting conduct inconsistent with just and equitable principles of trade?

☐ Yes ☑ No

(7) Has any such person filed (as a registrant or issuer), or was any such person or was any such person named as an underwriter in, any registration statement or Regulation A offering statement filed with the Commission that, within five years before the filing of this offering statement, was the subject of a refusal order, stop order, or order suspending the Regulation A exemption, or is any such person, at the time of such filing, the subject of an investigation or proceeding to determine whether a stop order or suspension order should be issued?

☐ Yes ☑ No

(8) Is any such person subject to a United States Postal Service false representation order entered within five years before the filing of the information required by Section 4A(b) of the Securities Act, or is any such person, at the time of filing of this offering statement, subject to a temporary restraining order or preliminary injunction with respect to conduct alleged by the United States Postal Service to constitute a scheme or device for obtaining money or property through the mail by means of false representations?

☐ Yes ☑ No

If you would have answered "Yes" to any of these questions had the conviction, order, judgment, decree, suspension, expulsion or bar occurred or been issued after May 16, 2016, then you are NOT eligible to rely on this exemption under Section 4(a) (6) of the Securities Act.

INSTRUCTIONS TO QUESTION 30: Final order means a written directive or declaratory statement issued by a federal or state agency, described in Rule 503(a)(3) of Regulation Crowdfunding, under applicable statutory authority that provides for notice and an opportunity for hearing, which constitutes a final disposition or action by that federal or state agency.

No matters are required to be disclosed with respect to events relating to any affiliated issuer that occurred before the affiliation arose if the affiliated entity is not (i) in control of the issuer or (ii) under common control with the issuer by a third party that was in control of the affiliated entity at the time of such events.

## OTHER MATERIAL INFORMATION

31. In addition to the information expressly required to be included in this Form, include:

- (1) any other material information presented to investors; and

- (2) such further material information, if any, as may be necessary to make the required statements, in the light of the circumstances under which they are made, not misleading.

All information presented to investors hosted on Wefunder.com is available in Appendix A: Business Description & Plan.

INSTRUCTIONS TO QUESTION 30: If information is presented to investors in a format, media or other means not able to be reflected in text or portable document format, the issuer should include:

(a) a description of the material content of such information;

(b) a description of the format in which such disclosure is presented; and

(c) in the case of disclosure in video, audio or other dynamic media or format, a transcript or description of such disclosure.

ONGOING REPORTING

## ONGOING REPORTING

32. The issuer will file a report electronically with the Securities & Exchange Commission annually and post the report on its website, no later than:

120 days after the end of each fiscal year covered by the report.

33. Once posted, the annual report may be found on the issuer's website at:

https://www.eskala.org//invest

The issuer must continue to comply with the ongoing reporting requirements until:

1. the issuer is required to file reports under Exchange Act Sections 13(a) or 15(d);
2. the issuer has filed at least one annual report and has fewer than 300 holders of record;
3. the issuer has filed at least three annual reports and has total assets that do not exceed $10 million;
4. the issuer or another party purchases or repurchases all of the securities issued pursuant to Section 4(a)(6), including any payment in full of debt securities or any complete redemption of redeemable securities; or the issuer liquidates or dissolves in accordance with state law.

## APPENDICES

Appendix A: Business Description & Plan

Appendix B: Investor Contracts

Wefunder Promissory Note

Appendix C: Financial Statements

Financials 1

Appendix D: Director & Officer Work History

Carlos Garces

Charles Ries

Colleen O'Brien

James Sartori

James Stollberg

Katherine Burgess

Pallav Vora

Steve Nooyen

Steven Atamian

Appendix E: Supporting Documents

ttw_communications_83952_214404.pdf

## Signatures

Intentional misstatements or omissions of facts constitute federal criminal violations. See 18 U.S.C. 1001.

The following documents will be filed with the SEC:

Cover Page XML

Offering Statement (this page)

Appendix A: Business Description & Plan

Appendix B: Investor Contracts

Wefunder Promissory Note

Appendix C: Financial Statements

Financials 1

Appendix D: Director & Officer Work History

Carlos Garces

Charles Ries

Colleen O'Brien

James Sartori

James Stollberg

Katherine Burgess

Pallav Vora

Steve Nooyen

Steven Atamian

Appendix E: Supporting Documents

ttw_communications_83952_214404.pdf

Pursuant to the requirements of Sections 4(a)(6) and 4A of the Securities Act of 1933 and Regulation Crowdfunding (§ 227.100 et seq.), the issuer certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form C and has duly caused this Form to be signed on its behalf by the duly authorized undersigned.

Eskala, Inc.

By

Colleen O'Brien

Co-Founder & CEO

Pursuant to the requirements of Sections 4(a)(6) and 4A of the Securities Act of 1933 and Regulation Crowdfunding (§ 227.100 et seq.), this Form C and Transfer Agent Agreement has been signed by the following persons in the capacities and on the dates indicated.

legal name:

legal name

title:

Title

date of birth:

mm/dd/yyyy

SIGN

Katherine Burgess

Board Member
3/28/2023

James Sartori

Chairman
3/28/2023

Charles P. Ries

Board Member
3/27/2023

James M Stollberg

Executive Committee
3/24/2023

Steven Nooyen

Vice Chair
3/24/2023

Steven Atamian

Chief Strategy Officer
3/24/2023

Pallav M. Vora

Secretary
3/24/2023

Colleen O'Brien

Co-Founder & CEO
3/24/2023

Pending Signatures

Carlos Garces - carlos.garces20@gmail.com

The Form C must be signed by the issuer, its principal executive officer or officers, its principal financial officer, its controller or principal accounting officer and at least a majority of the board of directors or persons performing similar functions.

I authorize Wefunder Portal to submit a Form C to the SEC based on the information I provided through this online form and my company's Wefunder profile.

As an authorized representative of the company, I appoint Wefunder Portal as the company's true and lawful representative and attorney-in-fact, in the company's name, place and stead to make, execute, sign, acknowledge, swear to and file a Form C on the company's behalf. This power of attorney is coupled with an interest and is irrevocable. The company hereby waives any and all defenses that may be available to contest, negate or disaffirm the actions of Wefunder Portal taken in good faith under or in reliance upon this power of attorney.

![img-0.jpeg](img-0.jpeg)

**Attachment 2:** `document_2.pdf`

INVEST IN ESKALA

## Alleviating poverty in Latin America through community-owned banks

![img-0.jpeg](img-0.jpeg)

eskal.org | Louis DE

Project in Finance | Eskalm Foundation | University Foundation

### Highlights

1. Join Eskala's preferred debt partner, Nicolet National Bank, committed $20k to this loan
2. Eskala has deployed $3m+ of impact investment to transform banking in under-resourced communities
3. We aim to empower IBM people living in poverty with financial services by 2025
4. We have issued $1M in loans so far, serves the capital needs of 2,500+ micro-enterprises
5. 0% default rate to date
6. Featured in Forbes, American Banker, and Milwaukee Business Journal
7. Partners include Kiva, World Bank, Whole Planet Foundation, Inter-American Development Bank

### Our Team

**Colleen O'Brien** Co-Founder & CEO
Impact Investor: Client relations professional.

Eskala is a spin-off of the non-profit Global Brigades (GB). Founded in 2003, GB's mission is to inspire, mobilize and collaborate with communities to achieve their own health and economic goals. Through 18 years of work, GB discovered that access to financial services were vital for a community to break the cycle of poverty - thus Eskala was born.

**Steve Atamian** Co-Founder & Chief Strategy Officer

Social entrepreneur for emerging economies, Co-Founder & CSO of Global Brigades, the largest movement for global health and holistic development.

**Pallav Vora** Co-Founder & VP of Legal

Legal professional with 10+ years experience in international development and operations.

**Luis Quan** Co-Founder & VP, Honduras

Latin American banking and operations expert.

**Pablo Garron** VP, Panama

Microfinance thought leader in Latin America.

**Denis Gaitan** VP, Nicaragua

Management of development projects.

LEGAL INSPECTION

**Brian Howe**

On investing in Eskala because of their ambitious mission to empower 18 million people living in poverty with financial services. From that time on a startup being seen out of a well established, industry-leading nonprofit Microfinance has been one of the most revolutionary approaches to poverty alleviation over the last 50 years, but has always had extremely high interest rates because of the costs of administration. By investing already in locally owned banking on top three (10) already in the network) and leading the ability of those closest to the consumers to manage risk, they've maintained an outstanding 0% default rate while offering interest rates significantly below the industry average.

The CEO Gaitan and her team are strong with domain expertise and have sunked together previously. They have over 10 years of operational experience in building our Global Brigades as a regional leader in sustainable development programs throughout Central America. At a personal level, I have the privilege of knowing they are aware of long, integrity, authenticity, and humility. I have a very high level of confidence in their ability to navigate complex decision-making and achieve positive growth without sacrificing mission.

The Eskala Innovation has already been recognized as the best economic development initiative in rural Panama by the United Nations Development Program. They are still in the early stages but the direction is clear: Eskala is a bottom-up position that empowers local stakeholders with capital at scale and might be the best opportunity, that exists to fully alleviate global poverty through a sustainable business model.

Invested $5,000 this round

**Nancy Amador** VP Finance
Multi-entity operational management

**Juan David Villegas** VP of Programs
Rural micro-enterprise consultant

## Pitch

We believe every person is worth investing in.

### ABOUT OUR PARENT COMPANY GLOBAL BRIGADES (501c3)

#### Should it cost

- $10,000 out of 100,000 dollars
- Internationally recognized to alleviate poverty through Economic Development, Retail & Sanitation and Health Access
- Established 100 community banking cooperatives among 51.5%
- Spun off Eskala in 2021 after a World Bank grant to a voluntary mark and attract Impact Residents

![img-1.jpeg](img-1.jpeg)

### WHY ESKALA?

#### PROBLEM

1.7 billion adults are urbanized and 1.5 billion are living in poverty. Urbanized people in emerging markets rely on high interest rates that are on debt and potential for the cycle of poverty. These loans tend to be:

- **Expensive:** a typical loan to an unburned person has annual interest rates ranging from 50%-100%.
- **Extractive:** the lenders who benefit from the interest are outside of the community, further extracting from an already under-resourced group.

#### SOLUTION

Reliance the cycle of poverty, Eskala partners with community lenders in next Central America to create and grow the capacity of their community led and owned banking cooperatives. Eskala focuses on:

- **Land:** the interest leans with half of the interest staying in the community bank for hypnotic and incineration of capital.
- **Partner:** through equity investments, financial training and lowerly visits from our field staff.

### HOW DOES IT WORK?

![img-2.jpeg](img-2.jpeg)

### WHY NOW: READY FOR SCALE

179 banking cooperatives lending

397 banking cooperatives in training

2822 operational break even

+2000 new community targets

70% of bank members are women

52.5M outstanding loan portfolio

-0% default rate

### Community Bank Growth: 2021

![img-3.jpeg](img-3.jpeg)

*The above slide refers to banks that Eskala has either invested in and or lent to.

### Loan Portfolio Growth: 2021

![img-4.jpeg](img-4.jpeg)

### Financial Analysis: Projected v Actual 2021

![img-5.jpeg](img-5.jpeg)

### PATH TO PROFITABILITY

![img-6.jpeg](img-6.jpeg)

### WHERE WE WORK

**Current Target Population:**
20,000 communities with 18 million people living in poverty

**Vulnerable Groups including:** indigenous, refugees, migrants and women borrowers

**Market Opportunity:** Active and Caribbean regions from -26.2 million market enterprises with a funding gap of $1.2 trillion

![img-7.jpeg](img-7.jpeg)

### CLIENT SPOTLIGHT: PUEBLO NUEVO, PANAMA

- **Founded:** 2014
  - Prior to partnering with Eskala, Pueblo Nuevo did not have an option for banking services
  - There are traditional banks nearby, but this community was discriminated against and excluded.
- **Active Members:** 34
- **Impact:** 50% limit across 317 loans
  - >20 loans for business organizations
  - 10 loans to launch new fundamurs
  - 137 loans supported farmers
- **Performance:** 0% difficult

![img-8.jpeg](img-8.jpeg)

### CLIENT SPOTLIGHT: CAFEPSA, HONDURAS

- **Founded:** 2001, Eskala partner since 2021
  - Prior to partnering with Eskala, CAFEPSA relied on high interest loans with hidden fees, high admin costs and long waiting periods.
  - After partnering with Eskala, CAFEPSA was able to export their first harvest without net active intermediaries.
- **Active Members:** 1,100 and growing
- **Eskala Loan:** 100% in working capital voice for local farmers to plant, organically fertilize and harvest coffee crops.
- **Performance:** 0% default, fully repaid

![img-9.jpeg](img-9.jpeg)

## INVESTORS

Funded by
The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

The Bank of India

The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

Funded by
The Bank of India

## PARTNERS

Exhale leverages established partnerships with the world's foremost leaders in international development along with local governments that enable our innovative model.

![img-10.jpeg](img-10.jpeg)

"The most effective economic development program in rural Panama"
- United Nations Development Program

## Financials - Balance Sheet December 31, 2022

| Balance |  |
| --- | --- |
| Net income | 1,000,000 |
| Net income (losses) | 1,000,000 |
| Net income (losses) (losses) | 1,000,000 |
| Net income (losses) (losses) (losses) | 1,000,000 |
| Net income (losses) (losses) (losses) | 1,000,000 |
| Net income (losses) (losses) (losses) | 1,000,000 |
| Net income (losses) (losses) (losses) | 1,000,000 |

| Net income |  |
| --- | --- |
| Net income | 1,000,000 |
| Net income (losses) | 1,000,000 |
| Net income (losses) (losses) | 1,000,000 |
| Net income (losses) (losses) | 1,000,000 |
| Net income (losses) (losses) | 1,000,000 |

| Net income |  |
| --- | --- |
| Net income | 1,000,000 |
| Net income (losses) | 1,000,000 |
| Net income (losses) (losses) | 1,000,000 |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |
| Net income (losses) (losses) | 1,000,000 |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |
| Net income (losses) (losses) | 1,000,000 |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |
| Net income (losses) (losses) | 1,000,000 |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |
| Net income (losses) (losses) | 1,000,000 |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table></table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table></table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table></table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table></table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table></table>

| Net income (losses) (losses) | 1,000,000 |
| --- | --- |

</table>

## Financials - 2022 P&L

| Balance |  |  |
| --- | --- | --- |
| Balance of the 1st December | 2,561,967 |  |
| Total Balance | 1,561,912 |  |
| Total Balance | 2,561,968 |  |
| Balance of the 1st December | 2,561,968 |  |
| Total Balance | 1,561,914 |  |
| Balance of the 1st December | 2,561,970 |  |
| Total Balance | 1,561,910 |  |
| Balance of the 1st December | 2,561,970 |  |
| Total Balance | 1,561,910 |  |
| Balance of the 1st December | 2,561,970 |  |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |

| Balance of the 1st December | 2,561,970 |
| --- | --- |
| Balance of the 1st December | 2,561,970 |

![img-11.jpeg](img-11.jpeg)

![img-12.jpeg](img-12.jpeg)

**Attachment 3:** `document_3.pdf`

# PROMISSORY NOTE

Date of Note: [EFFECTIVE DATE]

Principal Amount of Note: [INVESTMENT AMOUNT]

City and State of Lender:

For value received Eskala, Inc., a ("Borrower"), hereby promises to pay to the order of [INVESTOR NAME] ("Lender"), in lawful money of the United States of America and in immediately available funds, the principal amount set forth above (the "Loan") together with accrued and unpaid interest thereon, each due and payable on the dates and in the manner set forth below.

1. Interest Rate. The outstanding principal amount of the Loan shall accrue interest at a rate of 5% per annum or the maximum rate permissible by law (which under the laws of the State of Delaware shall be deemed to be the laws relating to permissible rates of interest on commercial loans), whichever is less, non-compounding, calculated on the basis of a 365-day year and the actual number of days elapsed.

2. Repayment Schedule. Borrower promises to repay the outstanding principal amount of the Loan and any unpaid accrued interest according to the following schedule:

Borrower shall pay the outstanding principal amount of the Loan and all unpaid accrued interest through the date of each such payment on the dates and in the amounts listed below

| Repayment Date | Principal Repayment Amount |
| --- | --- |

; provided, however, that at any time the Company may defer up to 1 of such payments upon notice to Lender (each, a "Permitted Deferral")

; provided, however, that Borrower may prepay the outstanding principal amount of the Loan and any unpaid accrued interest at any time.

3. Place of Payment. All amounts payable hereunder shall be payable at the office of [Wefunder, Inc., c/o Lender, INVESTOR NAME], unless another place of payment shall be specified in writing by Lender.

4. Application of Payments. Payment on this Promissory Note (this "Note") shall be applied first to accrued interest, and thereafter to the outstanding principal amount hereof.

5. Secured Note. To secure payment of all amounts due under this Note, Borrower grants Lender a security interest in all of its personal property, now existing or hereafter arising, including all accounts, inventory, equipment, general intangibles, financial assets, investment property, securities, deposit accounts, and the proceeds thereof. Borrower authorizes Lender to file a financing statement to perfect this security interest.

6. Default. Each of the following events shall be an "Event of Default" hereunder:

(a) Other than with respect to a Permitted Deferral, Borrower fails to pay any of the outstanding principal amount due under this Note on the date the same becomes due and payable or within five business days thereafter or any accrued interest or other amounts due under this Note on the date the same becomes due and payable or within five business days thereafter;

(b) Borrower files any petition or action for relief under any bankruptcy, reorganization, insolvency or moratorium law or any other law for the relief of, or relating to, debtors, now or hereafter in effect, or makes any assignment for the benefit of creditors or takes any action in furtherance of any of the foregoing; or

(c) an involuntary petition is filed against Borrower (unless such petition is dismissed or discharged within 60 days) under any bankruptcy statute now or hereafter in effect, or a custodian, receiver, trustee or assignee for the benefit of creditors (or other similar official) is appointed to take possession, custody or control of any property of Borrower.

Upon the occurrence of an Event of Default hereunder, all unpaid principal, accrued interest and other amounts owing hereunder shall automatically be immediately due, payable and collectible by Lender pursuant to applicable law.

7. Subordination. The indebtedness evidenced by this Note is hereby expressly subordinated to the extent and in the manner hereinafter set forth, in right of payment to the prior payment in full of the Senior Indebtedness. "Senior

**Indebtedness** shall mean, unless expressly subordinated to or made on a parity with the amounts due under this Note, the principal of, unpaid interest on and amounts reimbursable, fees, expenses, costs of enforcement and other amounts due in connection with (a) indebtedness of Borrower to banks or commercial finance or other lending institutions regularly engaged in the business of lending money (excluding including venture capital, investment banking or similar institutions and their affiliates which sometimes engage in lending activities but which are primarily engaged in investments in equity securities), whether or not secured, and (b) any such indebtedness or any debentures, notes or other evidence of indebtedness issued in exchange for such Senior Indebtedness, or any indebtedness arising from the satisfaction of such Senior Indebtedness by a guarantor.

**7.1 Insolvency Proceedings.** If there shall occur any receivership, insolvency, assignment for the benefit of creditors, bankruptcy, reorganization or arrangements with creditors (whether or not pursuant to bankruptcy or other insolvency laws), sale of all or substantially all of the assets, dissolution, liquidation or any other marshaling of the assets and liabilities of Borrower, (a) no amount shall be paid by Borrower in respect of the principal of, interest on or other amounts due with respect to this Note at the time outstanding, unless and until the principal of and interest on the Senior Indebtedness then outstanding shall be paid in full, and (b) no claim or proof of claim shall be filed by or on behalf of Lender which shall assert any right to receive any payments in respect of the principal of and interest on this Note except subject to the payment in full of the principal of and interest on all of the Senior Indebtedness then outstanding.

**7.2 Default on Senior Indebtedness.** If there shall occur an event of default that has been declared in writing with respect to any Senior Indebtedness, as defined therein, or in the instrument under which it is outstanding, permitting the holder to accelerate the maturity thereof and Lender shall have received written notice thereof from the holder of such Senior Indebtedness, then, unless and until such event of default shall have been cured or waived or shall have ceased to exist, or all Senior Indebtedness shall have been paid in full, no payment shall be made in respect of the principal of or interest on this Note unless within [180] days after the happening of such event of default the maturity of such Senior Indebtedness shall not have been accelerated. Not more than one notice may be given to Lender pursuant to the terms of this Section [7.2] during any 365-day period.

**7.3 Further Assurances.** By acceptance of this Note, Lender agrees to execute and deliver customary forms of subordination agreement requested from time to time by the holders of Senior Indebtedness and, as a condition to Lender's rights hereunder, Borrower may require that Lender execute such forms of subordination agreement, provided that such forms shall not impose on Lender terms less favorable than those provided herein.

**7.4 Subrogation.** Subject to the payment in full of all Senior Indebtedness, Lender shall be subrogated to the rights of the holder(s) of such Senior Indebtedness (to the extent of the payments or distributions made to the holder(s) of such Senior Indebtedness pursuant to the provisions of this Section [7]) to receive payments and distributions of assets of Borrower applicable to the Senior Indebtedness. No such payments or distributions applicable to the Senior Indebtedness shall, as between Borrower and its creditors, other than the holders of Senior Indebtedness and Lender, be deemed to be a payment by Borrower to or on account of this Note; and for purposes of such subrogation, no payments or distributions to the holders of Senior Indebtedness to which Lender would be entitled except for the provisions of this Section [7] shall, as between Borrower and its creditors, other than the holders of Senior Indebtedness and Lender, be deemed to be a payment by Borrower to or on account of the Senior Indebtedness.

**7.5 No Impairment.** Subject to the rights, if any, of the holders of Senior Indebtedness under this Section [7] to receive cash, securities or other properties otherwise payable or deliverable to Lender, nothing contained in this Section [7] shall impair, as between Borrower and Lender, the obligation of Borrower, subject to the terms and conditions hereof, to pay to Lender the principal hereof and interest hereon as and when the same become due and payable, or shall prevent Lender, upon default hereunder, from exercising all rights, powers and remedies otherwise provided herein or by applicable law.

**7.6 Lien Subordination.** Any lien or security interest of Lender, whether now or hereafter existing in connection with the amounts due under this Note, on any assets or property of Borrower or any proceeds or revenues therefrom which Lender may have at any time as security for any amounts due and obligations under this Note, shall be subordinate to all liens or security interests now or hereafter granted to a holder of Senior Indebtedness by Borrower or by law notwithstanding the date, order or method of attachment or perfection of any such lien or security interest or the provisions of any applicable law.

**7.7 Applicability of Priorities.** The priority of the holder of the Senior Indebtedness provided for herein with respect to security interests and liens are applicable only to the extent that such security interests and liens are enforceable and perfected and have not been avoided; if a security interest or lien is judicially determined to be unenforceable or unperfected or is judicially avoided with respect to any claim of the holder of the Senior Indebtedness or any part thereof, the priority provided for herein shall not be available to such security interest or lien to the extent that it is avoided or determined to be unenforceable or unperfected. The foregoing notwithstanding, Lender covenants and agrees that it shall not challenge, attack or seek to avoid any security interest or lien to the extent that it secures any holder of the Senior Indebtedness. Nothing in this Section [7.7] affects the operation of any subordination of indebtedness or turnover of payment provisions hereof, or of any other agreements among any of the parties hereto.

**7.8 Reliance of Holders of Senior Indebtedness.** Lender, by its acceptance hereof, shall be deemed to acknowledge and agree that the foregoing subordination provisions are, and are intended to be, an inducement to and a consideration of each holder of Senior Indebtedness, whether such Senior Indebtedness was created or acquired before or after the creation of the indebtedness evidenced by this Note, and each such holder of Senior Indebtedness shall be deemed conclusively to have relied on such subordination provisions in acquiring and holding, or in continuing to hold, such Senior Indebtedness.

**8. Waiver.** Borrower waives presentment and demand for payment, notice of dishonor, protest and notice of protest of this Note, and shall pay all costs of collection when incurred, including, without limitation, reasonable attorneys' fees, costs and other expenses.

The right to plead any and all statutes of limitations as a defense to any demands hereunder is hereby waived to the full extent permitted by law.

**9. Governing Law.** This Note shall be governed by, and construed and enforced in accordance with, the laws of the State of DE, excluding conflict of laws principles that would cause the application of laws of any other jurisdiction.

**10. Successors and Assigns.** The provisions of this Note shall inure to the benefit of and be binding on any successor to Borrower and shall extend to any holder hereof.

BORROWER:

ESKALA, INC.

By: Founder Signature

Name:

Title:

LENDER:

[INVESTOR NAME]

By: *Investor Signature*

Name: [INVESTOR NAME]

Title:

**Attachment 4:** `document_4.pdf`

Eskala, Inc.

# Consolidated Financial Statements
and Independent Auditor's Report

December 31, 2021 and 2020

CohnReznick
ADVISORY • ASSURANCE • TAX

# **Eskala, Inc.**

# Index

|  | Page |
| --- | --- |
| Independent Auditor's Report | 2 |
| Consolidated Financial Statements |  |
| Consolidated Balance Sheets | 4 |
| Consolidated Statements of Operations | 5 |
| Consolidated Statements of Stockholders' Equity | 6 |
| Consolidated Statements of Cash Flows | 7 |
| Notes to Consolidated Financial Statements | 8 |

1

CohnReznick LLP  
cohnreznick.com

**CohnReznick** ![CohnReznick logo]()  
ADVISORY • ASSURANCE • TAX

### Independent Auditor's Report

To the Board of Directors Eskala, Inc.

#### *Opinion*

We have audited the consolidated financial statements of Eskala, Inc., which comprise the consolidated balance sheets as of December 31, 2021 and 2020, and the related consolidated statements of operations, stockholders' equity, and cash flows for the year ended December 31, 2021 and the period from October 16, 2020 (inception) through December 31, 2020, and the related notes to the consolidated financial statements.

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the financial position of Eskala, Inc. as of December 31, 2021 and 2020, and the results of its operations and its cash flows for the year ended December 31, 2021 and the period from October 16, 2020 (inception) through December 31, 2020 in accordance with accounting principles generally accepted in the United States of America.

#### *Basis for Opinion*

We conducted our audits in accordance with auditing standards generally accepted in the United States of America ('GAAS'). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are required to be independent of Eskala, Inc., and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

#### *Responsibilities of Management for the Consolidated Financial Statements*

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about Eskala, Inc.'s ability to continue as a going concern for one year after the date that the consolidated financial statements are available to be issued.

#### *Auditor's Responsibilities for the Audit of the Consolidated Financial Statements*

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the consolidated financial statements.

2

CohnReznick

In performing an audit in accordance with GAAS, we:

- Exercise professional judgment and maintain professional skepticism throughout the audit.
- Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of Eskala, Inc.'s internal control. Accordingly, no such opinion is expressed.
- Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the consolidated financial statements.
- Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about Eskala, Inc.'s ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.

Los Angeles, California
February 28, 2023

3

# Eskala, Inc.

# Consolidated Balance Sheets  
December 31, 2021 and 2020

# Assets

|  | 2021 | 2020 |
| --- | --- | --- |
| Current assets |  |  |
| Cash and cash equivalents | $361,148 | $613,460 |
| Due from related parties | 239,652 | - |
| Notes receivable short-term, net | 1,170,082 | - |
| Total current assets | 1,770,882 | 613,460 |
| Notes receivable long-term, net | 139,077 | - |
| Computers and equipment | 673 | - |
| Total assets | $1,910,632 | $613,460 |

# Liabilities and Stockholders' Equity

| Current liabilities |  |  |
| --- | --- | --- |
| Accounts payable and accrued expenses | $24,414 | $ - |
| Accounts payable, related party | 580,089 | 2,204 |
| Accrued payroll liabilities | 26,838 | - |
| Total current liabilities | 631,341 | 2,204 |
| Line of credit | 250,300 | - |
| Total liabilities | 881,641 | 2,204 |
| Commitments and contingencies |  |  |
| Stockholders' equity |  |  |
| Common stock | 178 | 59 |
| Additional paid-in capital | 2,306,787 | 614,941 |
| Stock subscription receivable | (376,001) | - |
| Accumulated deficit | (901,973) | (3,744) |
| Total stockholders' equity | 1,028,991 | 611,256 |
| Total liabilities and stockholders' equity | $1,910,632 | $613,460 |

See Notes to Consolidated Financial Statements.

4

# Eskala, Inc.

# **Consolidated Statements of Operations**  
 **Year Ended December 31, 2021 and the Period from October 16, 2020 (inception)**  
 **through December 31, 2020**

|  | 2021 | 2020 |
| --- | --- | --- |
| Income |  |  |
| Interest | $76,965 | $ - |
| Operating expenses |  |  |
| Payroll and related expenses | 252,481 | - |
| Grants to related parties | 349,608 | - |
| Administrative expenses, related party | 284,083 | - |
| Other operating expenses | 59,877 | 3,744 |
| Total operating expenses | 946,049 | 3,744 |
| Foreign currency transaction loss | 14,676 | - |
| Loss before income taxes | (883,760) | (3,744) |
| Income tax expense | 14,469 | - |
| Net loss | $(898,229) | $(3,744) |

See Notes to Consolidated Financial Statements.

5

# Eskala, Inc.

# **Consolidated Statements of Stockholders' Equity**  
 **Year Ended December 31, 2021 and the Period from October 16, 2020 (inception)**  
 **through December 31, 2020**

|  | Common stock |  | Stock subscription receivable | Additional paid- in capital | Accumulated deficit | Total |
| --- | --- | --- | --- | --- | --- | --- |
|  | Shares | Amount |  |  |  |  |
| Initial issuance of common stock | 587,954 | $59 | $ - | $614,941 | $ - | $615,000 |
| Net loss | - | - | - | - | (3,744) | (3,744) |
| Balance December 31, 2020 | 587,954 | 59 | - | 614,941 | (3,744) | 611,256 |
| Issuance of common stock | 1,074,477 | 107 | - | 1,550,896 | - | 1,551,003 |
| Stock subscription receivable | - | - | (376,001) | - | - | (376,001) |
| Common stock issued for compensation | 115,888 | 12 | - | 140,950 | - | 140,962 |
| Net loss | - | - | - | - | (898,229) | (898,229) |
| Balance December 31, 2021 | 1,778,319 | $178 | $(376,001) | $2,306,787 | $(901,973) | $1,028,991 |

See Notes to Consolidated Financial Statements.

6

# Eskala, Inc.

# **Consolidated Statements of Cash Flows**  
 **Year Ended December 31, 2021 and the Period from October 16, 2020 (inception)**  
 **through December 31, 2020**

|  | 2021 | 2020 |
| --- | --- | --- |
| Cash flows from operating activities |  |  |
| Net loss | $(898,229) | $(3,744) |
| Adjustment to reconcile net loss to net cash used in operating activities |  |  |
| Shares of common stock issued for compensation | 140,962 | - |
| Depreciation | 163 | - |
| Bad debt expense | 679 | - |
| Changes in operating assets and liabilities |  |  |
| Due from related parties | (239,652) | - |
| Accounts payable and accrued expenses | 24,414 | - |
| Accounts payable, related party | 577,885 | 2,204 |
| Accrued payroll and related expenses | 26,838 | - |
| Net cash used in operating activities | (366,940) | (1,540) |
| Cash flows from investing activities |  |  |
| Notes receivable | (1,309,838) | - |
| Purchase of equipment | (836) | - |
| Net cash used in investing activities | (1,310,674) | - |
| Cash flows from financing activities |  |  |
| Borrowings on the line of credit | 250,300 | - |
| Proceeds from the issuance of common stock | 1,175,002 | 615,000 |
| Net cash provided by financing activities | 1,425,302 | 615,000 |
| Net (decrease) increase in cash and cash equivalents | (252,312) | 613,460 |
| Cash and cash equivalents, beginning | 613,460 | - |
| Cash and cash equivalents, end | $361,148 | $613,460 |
| Supplemental disclosure of cash flow information |  |  |
| Cash paid for taxes | $14,469 | $ - |
| Supplemental disclosure non-cash investing and financing transactions |  |  |
| Stock subscription receivable | $376,001 | $ - |

See Notes to Consolidated Financial Statements.

7

Eskala, Inc.

# **Notes to the Consolidated Financial Statements  
December 31, 2021 and 2020**

# **Note 1 - Business activity and summary of significant accounting policies**

# **Business activity**

Eskala, Inc. ('Eskala') was incorporated October 16, 2020 as a Delaware Public Benefit Corporation and operates in the United States and works with other related entities throughout the world. Eskala serves as a holding company with a wholly-owned subsidiary in Honduras. Eskala Honduras ('EH') was incorporated in Honduras on December 22, 2020. The accompanying consolidated financial statements include the accounts of Eskala and EH (collectively, the 'Company'). The Company's primary source of revenue is through its local subsidiary. The Company is in the process of establishing operations in Panama and Nicaragua. EH started making loans and micro investments into rural community banks and providing rural banks with technical support and training in Honduras in fiscal year 2021.

On January 1, 2021, the Company entered into a partner agreement with Global Brigades Logistics, S.A. ('GBLSA'), an affiliate of Global Brigades, Inc. ('GB'), where the Company will execute community bank lending programs in rural communities of Honduras to increase access capital in under-resourced areas. GBLSA will facilitate the execution of international development programs in Honduras. At the commencement of the agreement and for the duration of the agreement GBLSA agrees to maintain a bank account at a financial institution mutually agreed upon where a representative of the Company will have secondary signing privileges, full access, and account monitoring. On a discretionary basis, the Company will provide funding to GBLSA. Loans financed by the Company shall be issued by GBLSA unless the Company directs, with the mutual agreement of GBLSA, the rights and obligations of any and all loans be assigned to another entity nominated by the Company and each borrower consents. GBLSA agreed to collect any and all principal and interest payments payable for loans financed by project funds on or after July 1, 2020 and maintain all collected interest. Upon the Company opening a bank account in the Republic of Honduras, GBLSA will transfer principal payments and proceeds from interest payments to the Company less any outstanding service fees and/or administrative fees owed to GBLSA.

On May 31, 2021, Eskala Ventures, S.A. was incorporated in Panama and is a wholly-owned subsidiary of the Company. During 2021, the wholly-owned subsidiary was transferred to a related party.

# **Basis of accounting**

The consolidated financial statements of the Company have been prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America ('GAAP').

# **Principles of consolidation**

The consolidated financial statements include the accounts of Eskala and EH. All significant intercompany accounts and transactions have been eliminated in consolidation.

# **Cash and cash equivalents**

The Company considers all highly-liquid instruments with an original maturity of three months or less when acquired to be cash equivalents. Cash and cash equivalents consist of cash held in bank deposit accounts. At times, such amounts may exceed federally insured limits.

# **Notes receivable**

As of December 31, 2021 and 2020, the Company had notes receivables of $1,309,159 and $0, respectively, for loans to local community banks. As of December 31, 2021 there are no past due notes receivable. The Company has reviewed loans not yet collected and reserved for amounts that

8

Eskala, Inc.

# **Notes to the Consolidated Financial Statements  
December 31, 2021 and 2020**

are determined uncollectible. The Company has a rating scale for the loans based on an aging and payments of the loan. A percentage is applied as an allowance based on the loan rating. As of December 31, 2021 and 2020, allowances for doubtful accounts were $679 and $0, respectively.

Notes receivable that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at their outstanding unpaid principal balances reduced by any charge-offs or specific valuation accounts and net of any deferred fees or costs on originated loans, or unamortized premiums or discounts on purchased loans. They are classified as notes receivable on the balance sheets. Loan origination fees and certain direct origination costs are capitalized and recognized as an adjustment of the yield of the related loan. Amortization of deferred loan fees is discontinued when a loan is placed on nonaccrual status. There were no deferred loan fees at December 31, 2021 and 2020. Interest rates on loans range from 1.33 percent to 1.83 percent per month and have maturities from six months to four years.

Income on nonaccrual loans is subsequently recognized only to the extent that cash is received, and the loan's principal balance is deemed collectible. Loans are designated as non accrual loans when principal or interest is past due 90 days based on the contractual terms of the loan.

Notes receivable that are due within one year of the balance sheet date are classified as short-term on the balance sheet and notes receivable that are due one year after the balance sheet date are classified as long-term on the balance sheet.

# **Property and equipment**

Property and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method based on the estimated useful life of the assets. As of December 31, 2021, property and equipment totaled $836 and accumulated depreciation totaled $163. During the year ended December 31, 2021 and 2020, the Company recorded depreciation expense of $163 and $0, respectively, of depreciation expense.

# **Accounts payable and accrued expenses**

Accounts payable and accrued expenses are recorded on an accrual basis for the amounts due for benefits received.

# **Revenue recognition**

As of December 31, 2021 and 2020, the Company recognized revenue as $76,965 and $0, respectively, for interest on loans. Interest revenue is recognized on the accrual basis monthly based on the balance of the loans.

# **Advertising and marketing costs**

Advertising and related costs are expensed as incurred. Advertising costs for the years ended December 31, 2021 and 2020, were $10,800 and $0, respectively.

# **Stock-based compensation**

Equity awards are granted to management, employees, and nonemployees of the Company. Management assessed the classification of its stock-based compensation arrangements under ASC Topic 480, Distinguishing Liabilities from Equity and ASC Topic 718, Stock Compensation, and determined all stock-based compensation awards to be equity classified.

All stock-based compensation is recognized in the consolidated financial statements based on the grant-date fair value of the awards, using an option pricing model under the calculated value approach. Costs are recognized over the requisite service period beginning at the earlier of the

9

Eskala, Inc.

# **Notes to the Consolidated Financial Statements  
December 31, 2021 and 2020**

service inception or the grant date. The Company elected to recognize forfeitures when they occur. Management obtains third-party valuations that incorporate a market-driven approach and the Black-Scholes option pricing model on an annual basis to value stock option awards. Fair value determined by the Black-Scholes model varies based on assumptions used for the expected life, expected stock price volatility and risk-free interest rates. Management estimates the fair value of awards granted using the implied volatility of common stock of similar entities. The expected life of options granted represents the period of time for which the options are expected to be outstanding. The risk-free interest rate is derived from the U.S. Treasury yield curve in effect at the date of grant. Management's assumptions may change for future grants.

Common stock issued to employees and consultants in exchange for service is recorded in payroll expenses and equity.

# **Foreign currency translation**

The consolidated financial statements of the subsidiary are translated into United States dollars, using current and historical exchange rates, as appropriate. The functional currency is the Honduran lempira. The foreign currency translation amount is immaterial at December 31, 2021 and 2020. Gains and losses on transactions recorded using Honduran lempira are recorded in the consolidated statements of operations.

# **Income taxes**

Income taxes are recognized for the amount of taxes payable or refundable for the current year and deferred tax liabilities and assets are recognized for the future tax consequence of transactions that have been recognized in the Company's consolidated financial statements or tax returns. A valuation allowance is provided when it is more likely than not that some portion or all the deferred tax asset will not be realized.

The Company has no unrecognized tax benefits at December 31, 2021. The Company was initially formed on October 16, 2020 and, as a result, the Company's federal and state income tax returns since 2020 are open for examination. Management continually evaluates expiring statutes of limitations, audits, proposed settlements, changes in tax law and new authoritative rulings.

When necessary, the Company recognizes interest and penalties associated with tax matters as part of the income tax provision and includes accrued interest and penalties with the related tax liability in the balance sheets.

For the year ended December 31, 2021 and 2020, there was $14,469 and $0 provision for income taxes, respectively.

The Company has approximately $590,000 of federal net operating losses, resulting in a deferred tax asset of $124,000. The entire asset is fully reserved by the valuation allowance for a net deferred tax asset of $0.

# **Use of estimates**

The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

10

Eskala, Inc.

# **Notes to the Consolidated Financial Statements  
December 31, 2021 and 2020**

# **Subsequent events**

The Company has evaluated the impact of subsequent events through February 28, 2023, which is the date the consolidated financial statements were available to be issued.

# **Note 2 - Related party transactions**

On January 1, 2021, the Company entered into a shared services agreement with GB, where the Company pays for administrative expenses on a quarterly basis.

As of December 31, 2021 and 2020, the Company had advances of $239,652 and $0, respectively, due from two related parties. Advances due from GBLSA were $153,153 and advances due from Global Brigades USA, Inc. (Nicaragua operations), a wholly owned subsidiary of GB, were $86,499. As of December 31, 2021 and 2020, $580,089 and $0, respectively, are payable to GB.

As of December 31, 2021 and 2020, GB owns 735,548 and 587,984 shares of common stock in the Company, of which $276,001 and $0 is recorded as a stock subscription receivable, respectively (see Note 4).

For the year ended December 31, 2021 and 2020, the Company provided grants to related parties of $349,608 and $0, respectively. For the year ended December 31, 2021 and 2020, the Company incurred fees to GB for administrative expenses of $284,083 and $0, respectively.

# **Note 3 - Line of Credit**

On November 10, 2021, the Company entered into a line of credit with Beneficial State Bank for $350,000. The line of credit matures on November 10, 2025 and the interest rate is the U.S. prime rate (3.25% at December 31, 2021). Payments of all unpaid accrued interest are due monthly. The principal and any remaining unpaid accrued interest are due on the maturity date. As of December 31, 2021, the Company had outstanding principal and interest of $250,300.

# **Note 4 - Stockholders' equity**

As of December 31, 2021 and 2020, the Company was authorized to issue 10,000,000 shares of common stock under the 2020 Stock Plan (the '2020 Plan'). All shares have a $.0001 par value. As of December 31, 2021 and 2020, 1,778,319 and 587,954 shares of common stock were issued and outstanding, respectively. As of December 31, 2021 and 2020, there were stock subscription receivables of $376,001 and $0, respectively. Of the $376,001 of stock subscription receivable $276,001 was from a related party (see Note 2) and $100,000 was from an investor.

# **Note 5 - Share-based compensation**

# **Stock Options**

In 2020, the Company established the 2020 Plan. The purpose of the 2020 Plan is to secure for the Company and its shareholders the benefits arising from capital stock ownership by employees, officers, and directors of, and consultants or advisors to, the Company and its parent and subsidiary corporations who are expected to contribute to the Company's future growth and success. The maximum number of shares that can be granted under the 2020 Plan is 1,500,000, all of which can be issued as a incentive stock options ('ISO') and nonqualified stock option ('NQSO'). Under the 2020 Plan, receipts, recipients may be awarded either ISO or NQSO options to purchase the Company's common stock. The common stock has a par value of $0.0001. The options become exercisable over various time frames, ranging from three to four years, depending on the grant

11

# **Eskala, Inc.**

# **Notes to the Consolidated Financial Statements  
December 31, 2021 and 2020**

agreement. As of December 31, 2021, 410,091 options had been granted at an exercise price of $1.11, of which 150,000 options are ISO and 260,091 are NQSO. As of December 31, 2020, no options had been granted. The fair value of all options granted in fiscal year 2021 was $1.11. Stock compensation expense related to stock options was not material for 2021 and 2020. As of December 31, 2021, 18,761 stock options had vested and 391,330 stock options were unvested.

The fair value of options is based on the estimated fair value using a Black Scholes option pricing model. The estimated fair value of options granted in 2021 was $0.382 per share, based on a Black-Scholes pricing model using the following inputs:

A description of the assumptions used to develop the above inputs is as follows:

| Volatility | 30.00% |
| --- | --- |
| Risk-free interest rate | 1.46% |
| Expected term | 7 |
| Dividend yield | 0.00% |

Volatility: The volatility was determined based on the volatility of similar companies operating in the Company's comparable industry.

Risk-free interest rate: The risk-free interest rate was set based on the US treasury yield curve rate as of the date that the options were granted.

Expected term: The expected term is based on the Simplified Method as permitted for private companies, which is the average of the vesting period and the contractual term of the option agreement. There is not currently any history of exercise of cancellations on post option grants made.

Dividend yield: The rate was set at 0.00% as the Company does not expect to pay any dividends on Common Stock.

Stock option activity for the period from January 1, 2021 to December 31, 2021, is as follows:

|  | Shares outstanding | Weighted average exercise price |
| --- | --- | --- |
| Balance - January 1, 2021 | - | $ - |
| Granted | 410,091 | 1.11 |
| Exercised | - | - |
| Cancelled or forfeited | - | - |
| Balance - December 31, 2021 | 410,091 | $1.11 |

As of December 31, 2020, no stock options were granted, exercised, cancelled, or forfeited. The weighted average remaining vesting life of the outstanding options was 3.52 years at December 31, 2021. As of December 31, 2021 unrecognized compensation was $149,488, which will be recognized through 2025. Subsequent to year end, 289,591 of the options were forfeited which will reduce the unrecognized compensation by $110,624.

12

Eskala, Inc.

# **Notes to the Consolidated Financial Statements  
December 31, 2021 and 2020**

# **Restricted stock**

As of December 31, 2021, 422,182 shares under the 2020 Plan shares were issued as restricted stock to employees and consultants. As of December 31, 2020, no restricted stock had been issued. These shares are based on a vesting schedule that vests over four years, one fourth each year starting on the grant date and thereafter if the employees and consultants have continuous service with the Company. As of December 31, 2021, 115,888 shares had vested at $1.11 a share. No shares were issued as of December 31, 2020. The fair value of all restricted stock was $1.11 a share. For the year ended December 31, 2021 and for the period from October 16, 2020 (inception) through December 31, 2020, $136,733, and $0, respectively, is recorded as compensation expense. As of December 31, 2021, unrecognized compensation cost related to unvested awards totaled $331,889. As of December 31, 2021, 123,183 restricted shares had vested and 298,999 shares were unvested. No restricted stock were exercised, forfeited or expired in fiscal year 2021. The weighted-average period over which this remaining compensation cost will be recognized is 2.83 years.

# **Note 6 - Warrants**

On November 10, 2021, the Company entered into a common stock purchase warrant agreement with a shareholder, granting the shareholder the right to acquire up to 13,369 shares of common stock at the exercise price of $0.0001 per share. The common stock purchase warrant shares are to vest as follows: one fourth of the total shares shall vest on November 10, 2021 and then one fourth every year after for three years on November 10th. No common stock purchase warrant shares were issued as of December 31, 2020. The common stock purchase warrant agreement expires on November 10, 2028. For the year ended December 31, 2021, the Company has recorded compensation of $4,229. As of December 31, 2021, unrecognized compensation cost related to unvested common stock purchase warrant totaled $10,611. As of December 31, 2021, 3,810 restricted shares had vested and 9,559 shares were unvested. The weighted-average period over which this remaining compensation cost will be recognized is 2.86 years.

# **Note 7 - Concentration of credit risk**

The Company maintains cash accounts with established commercial banks. Such deposits periodically exceed the Federal Deposit Insurance Corporation (the 'FDIC') insured limit of $250,000 for each account. The Company is subject to credit risk to the extent any financial institution with which it conducts business is unable to fulfill contractual obligations on its behalf. Management monitors the financial condition of such financial institutions and does not anticipate any losses from these counterparties. As of December 31, 2021, there were no losses incurred with respect to excess amounts over the FDIC insured limits.

As of December 31, 2021, notes receivable from two customers represented 50% of the Company's notes receivable balance.

# **Note 8 - Commitments and contingencies**

In March 2020, the coronavirus that causes COVID-19 was declared a global pandemic by the World Health Organization, which has caused business disruption domestically in the United States, the area in which the Company primarily operates. While the disruption is currently expected to be temporary, there is considerable uncertainty around the duration of this uncertainty. Therefore, while this matter may negatively impact the Company's financial condition, statement of operations, or cash flows, the extent of the financial impact and duration cannot be reasonably estimated at this time.

13

Eskala, Inc.

# **Notes to the Consolidated Financial Statements  
December 31, 2021 and 2020**

# **Note 9 - Subsequent events**

On January 20, 2022, 53,476 shares of common stock were issued to a third party in the amount of $100,000. On January 25, 2022, 53,476 shares of common stock were issued to a third party in the amount of $100,000. On March 23, 2022, 53,476 shares of common stock were issued to a third party in the amount of $100,000. On May 25, 2022, 53,476 shares were issued to a third party in the amount of $100,000.

On March 3, 2022, 289,591 stock options were forfeited. The awards were originally granted on November 11, 2021 with an exercise price of $1.11.

On April 27, 2022, a restricted stock award of 15,000 shares of common stock was issued to a consultant.

On September 21, 2022, the Company entered into a credit agreement with Kiva Microfunds for a secured revolving line of credit in the amount of $200,000 to be used to disburse loans in Honduras. The line of credit is secured by the Company's assets and bears no interest. Commencing on September 21, 2022, periodic minimum payments are due monthly until paid in full. The line of credit matures on September 21, 2025.

14

![img-0.jpeg](img-0.jpeg)

Independent Member of Nexia International

cohnreznick.com

**Attachment 5:** `document_5.pdf`

Contact

www.linkedin.com/in/carlos-garces-647aa632 (LinkedIn)

Top Skills

Higher Education Administration

Higher Education

Student Affairs

# Carlos Garces

Senior Assistant Dean of Admissions at Marquette University
(Retired)

New Berlin, Wisconsin, United States

Experience

Marquette University

Senior Assistant Dean of Admissions

June 1984 - October 2016 (32 years 5 months)

Education

Marquette University

Master's degree, Communication, General · (1978 - 1984)

Page 1 of 1

**Attachment 6:** `document_6.pdf`

Contact

www.linkedin.com/in/charles-p-ries-8a70b526 (LinkedIn)
www.charlespries.com (Personal)
www.tumblr.com/blog/charlespries (Blog)
www.marquette.edu/library/archives/Mss/CPR/CPR-main.shtml (Portfolio)

Top Skills

Innovation
Fund Raising
Creative Nonfiction Writing

Publications

Girl Friend & Other Mysteries of Love
The Fathers We Find

# Charles P. Ries

Marquette University / The Commons / Startup Milwaukee / Minktronics

Milwaukee, Wisconsin, United States

## Summary

Charles P. Ries is Senior Director of Development Design and Innovation at Marquette University. He joined Marquette's Advancement staff in 1998. Prior to joining Marquette he was Vice President for Development at the John Wayne Cancer Institute in Santa Monica, CA and Senior Vice President of the Oram Group - a fund raising management and consulting firm founded in 1940. During his thirteen years with The Oram Group he worked with over 200 non-profit organizations solving a variety of fundraising and organizational challenges. He is an honors graduate of the University of Wisconsin.

He is also a published author. His narrative poems, short stories, interviews, and poetry reviews have appeared in over two hundred print and electronic publications. He has received five Pushcart Prize nominations for his writing. He is the author of six books of poetry and a novel based on memory. He was awarded the Wisconsin Regional Writers Association "Jade Ring" Award for humorous poetry. He is the former poetry editor for Word Riot (www.wordriot.org) and board member at the Woodland Pattern Book Center as well as the Wisconsin Poet Laureate Commission. His book of poetry published by Alternating Currents Press in 2013 entitled, Girl Friend & Other Mysteries of Love, was selected for Outstanding Achievement by the Literary Awards Committee of the Wisconsin Library Association. You may find his blog radio interview Jane Crown by going to: www.janecrown.com and clicking on archived shows at the bottom of the page.

His novel based on memory was recently published on Amazon/Kindle and it can be accessed by going to: http://www.amazon.com/THE-FATHERS-WE-FIND-ebook/dp/B00854K2M4

Page 1 of 3

You may find the Charles P. Ries Collection which is archived at the Marquette University Raynor Library by going to: http://www.marquette.edu/library/archives/Mss/CPR/CPR-main.shtml

# Experience

The Commons - Wisconsin

Co-founder

April 2014 - Present (9 years)

Greater Milwaukee Area

I co-founded entrepreneurial skills accelerator program teaching students in Southeast Wisconsin corporate innovation and entrepreneurship. To learn more visit: https://www.linkedin.com/company/the-commons---wisconsin

http://www.milwaukeeindependent.com/profiles/charles-p-ries-standing-naked-with-clothes-on/

Startup Milwaukee

Advisory Board Member

October 2013 - Present (9 years 6 months)

Milwaukee

I am happy to support the good work of Matt Cordio (Founder) and the many entrepreneurs in Milwaukee and Wisconsin accelerate their dreams into high functioning businesses.

Marquette University

Senior Director Development Design and Innovation

1998 - Present (25 years)

I raise money in support of Marquette University and its many programs. In this regard, I work to create value based programing that benefits both the donor and the University. I designed Marquette's award winning CIRCLES program (http://www.marquette.edu/alumni/networking-circles.php) and more recently the Marquette CEO Round Table program. My work is extensively focused on entrepreneurs and business owners who wish elevate their corporate cultures to be more innovative. In turn, I work to bring these varied cultures to Marquette. I helped to design Marquette's first student start-up called, Buena Vida Coffee (https://www.google.com/search?q=buena+vida+coffee). I believe that by increasing Marquette's relevance and value to the business community, we will transform business as we know it, and grow the next generation of business leaders who not only understand they

Page 2 of 3

concept of "servant leadership", but are deeply rooted in the fundamentals of business and how money is made, jobs are created, and the greater good is accomplished.

# WRITER

Poet, Novelist, Essays, Interviews, and Articles

1998 - Present (25 years)

Milwaukee, Wisconsin

My narrative poems, short stories, interviews, and poetry reviews have appeared in over two hundred print and electronic publications. I have received five Pushcart Prize nominations. I was awarded the Wisconsin Regional Writers Association "Jade Ring" Award for humorous poetry. I am the former poetry editor for Word Riot, ESC!, and Pass Port Journal. I am a former board member of the Woodland Pattern Book Center in Milwaukee, and served on the Wisconsin Poet Laureate Commission. I am currently a board member of the John Michael Kohler Art Center in Sheboygan, Wisconsin

https://www.publishersweekly.com/978-0-692-48138-7

John Wayne Cancer Institute

Vice President for Advancement

March 1995 - May 1998 (3 years 3 months)

The Oram Group

Senior Vice President

November 1983 - February 1995 (11 years 4 months)

# Education

University of Wisconsin-Madison

Bachelor of Applied Science (BASc), Communication and Media

Studies · (1971 - 1976)

Page 3 of 3

**Attachment 7:** `document_7.pdf`

Contact

www.linkedin.com/in/
colleenkobrien (LinkedIn)

Top Skills

Strategic Communications

Copywriting

Copy Editing

Honors-Awards

MarCom Platinum Award - Rebrand

IMA Best in Class Award

# Colleen O'Brien

Co-Founder & CEO at Eskala

Santa Monica, California, United States

Experience

Eskala.org

2 years 1 month

Co-Founder & CEO

February 2022 - Present (1 year 2 months)

Eskala blends microfinance and microequity to create and invest in community-owned banks in rural Central America. We plan to manage a portfolio of 20,000 community-owned banks that will empower 18 million people living in poverty with financial services.

Unlike other microfinance institutions, Eskala doesn't just lend, it invests to acquire equity positions in community-owned banks that manage a hyperlocal savings and loan portfolio. The current asset base of 93 banks located in rural and under resourced Central America has generated more than $350k in profit for local communities and was named the best economic development initiative in rural Panama by the World Bank.

Co-Founder & VP of Investor Relations

March 2021 - February 2022 (1 year)

Hulu

4 years 10 months

Account Executive

January 2019 - March 2021 (2 years 3 months)

Santa Monica

Account Manager

June 2016 - December 2018 (2 years 7 months)

Santa Monica

Account Manager (2016-2017) and Account Executive coverage (2017-2018)

Megabite Inc.

Director of Accounts

May 2013 - June 2016 (3 years 2 months)

Santa Monica, CA

Page 1 of 2

Articulation Agency

Marketing Manager

May 2011 - May 2013 (2 years 1 month)

Mercury Media

1 year 7 months

Media Buyer

May 2010 - April 2011 (1 year)

Media Assistant

October 2009 - May 2010 (8 months)

## Education

University of Iowa

BA, Journalism and Mass Communication; Sociology · (2005 - 2009)

Page 2 of 2

**Attachment 8:** `document_8.pdf`

Contact

www.linkedin.com/in/jim-sartori-a08a363 (LinkedIn)

# Jim Sartori

CEO, Sartori Company
Plymouth, Wisconsin, United States

## Experience

Sartori Company
CEO
January 1977 - Present (46 years 3 months)

## Education

Marquette University
(1973 - 1977)

Page 1 of 1

**Attachment 9:** `document_9.pdf`

Contact

www.linkedin.com/in/jim-stollberg-3b4b6 (LinkedIn)

Top Skills

Business Development

Supply Chain

Cross-functional Team Leadership

# Jim Stollberg

Living the dream

Brookfield, Wisconsin, United States

## Summary

Follower, husband, father, son and friend. Spent 30 years chasing "success", feeding my ego and my pocketbook, but not my soul. Transitioned to a focus on significance and now living out my calling in a joyous adventure. My mission is to bring leadership and resources to invest in personal transformation and Kingdom Impact. My goal is to be salt and light in the world.

## Experience

Halftime Institute

3 years 2 months

Co Executive Director

April 2021 - Present (2 years)

'Halftime' is a time-out. It's a time to pause, reflect on what you've accomplished, who you've become, and what will matter most to you in the next season of life. It's an opportunity to make a course correction or commit to stay the course so that you are equipped to direct your time and resources purposefully.

Board Member

February 2020 - April 2021 (1 year 3 months)

Eskala.org

Board Member and Investor

January 2021 - Present (2 years 3 months)

Gemini Global Advisors LLC

Founder/President

July 2018 - Present (4 years 9 months)

Brookfield, WI

Founded advisory services firm assisting VC/PE firms by assessing deal flow, conduct due diligence & improve portfolio holdings. Consulting services with the goal of helping businesses transform through strategy development and deployment, technology assessment/

Page 1 of 3

roadmap development and operational excellence.

### Marquette University

14 years

#### Executive Instructor - International Business

January 2020 - Present (3 years 3 months)

Milwaukee, Wisconsin

#### Supply Chain Management Advisory Board Member

2009 - Present (14 years)

Greater Milwaukee Area

#### Marquette University, College of Business Supply Chain Management

Advisory Board

### Covariant

#### Member Of The Board Of Advisors

February 2020 - Present (3 years 2 months)

Berkeley, California

### AutoStore

#### Board Member

January 2020 - October 2021 (1 year 10 months)

Nedre Vats, Norway

### Pro/spur, LLC

#### Leadership & Personal Development Coach

September 2019 - April 2021 (1 year 8 months)

At Pro/spur, we develop leaders and transform culture to help you win. We have two divisions, professional sports and corporate. We've created a results driven leadership and character curriculum, using proven coaching methods. Current and past clients include the Green Bay Packers, St. Louis Cardinals, St. Louis Blues, Los Angeles Rams, and Dairyland Power Cooperative. Let's build a winning edge together.

### ShipMonk

#### Board Member

December 2018 - June 2020 (1 year 7 months)

Miami/Fort Lauderdale Area

### Dematic

18 years 10 months

Page 2 of 3

EVP, Global Product & Solution Management

December 2016 - July 2018 (1 year 8 months)

Greater Milwaukee Area

Retired from position at Dematic to found Gemini Global Advisors LLC after 18 years

EVP, Research & Development

December 2012 - December 2016 (4 years 1 month)

VP, Global Product Management

October 2010 - December 2012 (2 years 3 months)

VP, Strategy and Business Development

October 1999 - October 2010 (11 years 1 month)

Georgia Institute of Technology

Supply Chain & Logistics Institute Advisory Board Member
2015 - 2018 (3 years)

Greater Atlanta Area

Georgia Tech, Supply Chain & Logistics Institute Advisory Board

EXE Technologies

VP, Manufacturing and 3PL Services

October 1998 - October 1999 (1 year 1 month)

Accenture (formerly Andersen Consulting LLP)

Sr. Manager

June 1988 - October 1998 (10 years 5 months)

## Education

Marquette University

BSME, Mechanical Engineering · (1984 - 1988)

INSEAD

Global Executive Program · (2017 - 2018)

OCHS

· (1980 - 1984)

Page 3 of 3

**Attachment 10:** `document_10.pdf`

Contact

www.linkedin.com/in/kate-burgess-3675288 (LinkedIn)
www.elevate97.com (Company)
www.elevate97.com (Company)
www.fulfillnetinc.com/shopdev/
(Other)

# Kate Burgess

CEO/Owner, Elevate97

Green Bay, Wisconsin, United States

## Summary

Leading with empathy. Living with purpose. Embracing life's vitality and boundless possibilities through faith, family, and wellness.

As a business owner, the most meaningful contributions I can make are in mentorship. I have a passion for community and cultivating connection, and thrive on helping others fulfill their potential. I believe we are inherently more connected than most of us realize. Once we put our collective energies toward bridging gaps and creating connection, we tap into something very powerful.

CEO responsibilities have their rewards; chief among them are the remarkable relationships we build. But it also requires tough decisions, and I've never shied away from making them. I'm comfortable working outside the customary comfort zones, and love to explore new strategies where no playbook exists. Tackling challenges head on with energy, passion, and drive has always been my style.

My journey has been greatly enriched because I value diversity in perspectives and people. I am inspired by travel and love discovering new ideas, fresh artistic visions, and bold creative expressions in innovation and design.

I'm a big believer in paying it forward and give my time and resources however I can in service to others. Volunteering on the boards of several nonprofits is just one way I choose to live out my values and my belief that everyone should be elevated with dignity, respect, and compassion.

## Experience

Fox Cities Performing Arts Center

Board Member

July 2019 - Present (3 years 9 months)

Page 1 of 2

Appleton, Wisconsin, United States

# Elevate97

# CEO

July 2002 - February 2022 (19 years 8 months)

Elevate97. A dynamic brand house.

At Elevate97, we dream up and deliver creative solutions that bring you closer to your customers. Generating bold ideas and innovative concepts. Through print and fulfillment. In environments and with signs. Driven by a purpose to elevate others.

We find opportunities to print it better, design it bigger, deliver it faster, and connect it smarter than if you were on your own. We show off brands. Anywhere. Anyhow.

# McCain

# VP of Human Resources

2002 - 2002 (less than a year)

# Anchor Food Products

# Marketing

1999 - 2002 (3 years)

# Anchor Food Products, Inc.

# VP of Human Resources

1994 - 2002 (8 years)

# Custom Cuts

# Sales

1991 - 1994 (3 years)

# Education

# Marquette University

Bachelor of Arts (BA), Communication, General · (1987 - 1991)

Page 2 of 2

**Attachment 11:** `document_11.pdf`

Contact

www.linkedin.com/in/pallav-vora-b74524123 (LinkedIn)

Top Skills

Research

Nonprofit Organizations

# Pallav Vora

General Counsel and Chief Administrative Officer at Global Brigades
Greater Chicago Area

## Experience

Global Brigades, Inc.

12 years

General Counsel and Chief Administrative Officer

January 2020 - Present (3 years 3 months)

- Serve as General Counsel for Global Brigades, Inc., a multi-faceted international development organization with offices in 6 countries across North America, Central America, West Africa and Europe.
- Manage and maintain a network of 14 for-profit and non-profit subsidiaries spread across Honduras, Nicaragua, Panama, Guatemala, Ghana and Greece.
- Respond to any and all legal claims and managed legal defense in conjunction with outside counsel and insurance carriers.
- Manage an annual legal budget and oversaw engagement of all domestic and international outside counsel.
- Negotiate and draft a wide variety of contracts and agreements, including Grant Agreements, Service Contracts, Vendor Agreements, Employment Agreements, Stock Purchase Agreements, Liability Waivers, Non-Disclosure Agreements and M&A Agreements.
- Complete M&A due diligence and negotiate Asset Purchase Agreements for acquisition of two business divisions.
- Maintain compliance with state and federal regulations, and supported with annual audit requirements and Form 990 filings.
- Trademark and intellectual property administration for all Global Brigades' entities worldwide; File and maintained trademark filings with the USPTO.
- Insurance procurement across all Global Brigades' North American entities and provided insurance policy and risk management support to all Global Brigades entities worldwide.
- Work with in-country leadership to analyze, manage and mitigate programmatic risks associated with international development projects and programs in Ghana, Panama, Honduras, Guatemala, Nicaragua and Greece.
- Execute legal spin-off of Global Brigades' microfinance program into for-profit subsidiary, Eskala, Inc.

Page 1 of 2

- Provide legal compliance support to Eskala, Inc. and its operations in Honduras, Panama and Nicaragua.
- Serve as corporate secretary for all U.S. entities: manage board governance, draft resolutions, amend bylaws and create any legal documents as directed by the Board of Directors.

Chief Legal Officer
2011 - January 2020 (9 years)

Eskala.org
Co-founder, VP Legal Affairs & Corporate Secretary
October 2020 - Present (2 years 6 months)

Angel Protocol
Nonprofit Counsel
April 2021 - Present (2 years)

The Law Offices of Joseph V. Roddy
Associate Attorney
2008 - 2011 (3 years)

# Education

University of Illinois Chicago School of Law
Juris Doctor (J.D.) · (2005 - 2008)

University of Richmond
Bachelor's Degree, Political Science and Government · (2000 - 2004)

Page 2 of 2

**Attachment 12:** `document_12.pdf`

# Steve Nooyen Bio

March, 2023

# Work History:

Steve Nooyen is the founder/owner of We Care Senior Care, Inc which operates fifteen franchises of Home Instead, Inc (an Honor Company). Steve started the company in 1997. Home Instead is the world’s largest provider of comprehensive, non-medical in-home care services for the elderly. Steve’s company maintains administrative offices and CarePro staff in Wisconsin, Kentucky, Tennessee, and Alabama. The WCSC Corp office is located in Green Bay, Wisconsin. They employ over 1200 full and part-time employees, and represent the largest of the more than 600 North American franchise groups for Home Instead, Inc.

Prior to 1997, Steve worked in sales for Automatic Data Processing (ADP), Dunn & Bradstreet, and Systems & Programming Resources. Steve is a 1988 graduate of Marquette University in Milwaukee, WI.

Steve and his wife, Kristi, have been married for 34 years and live in Sturgeon Bay, WI. They have two grown children. In 2015 Steve and Kristi started Wheelchair Whitetails, LLC which provides outdoor adventures including meals, lodging, and 3-day hunts for people with disabilities at no cost to the participants.

**Attachment 13:** `document_13.pdf`

Contact

www.linkedin.com/in/
stevenatamian (LinkedIn)
www.globalbrigades.org
(Company)
www.empowered.org (Company)
www.uwb.edu/business/
nondegree/socialenterprise
(Company)

Top Skills

Social Media
Social Entrepreneurship
Economic Development

Languages

English (Native or Bilingual)
Spanish (Limited Working)

# Steven Atamian

Co-Founder at Eskala and Global Brigades
Santa Monica, California, United States

## Summary

Developing organizations that solve social and environmental challenges through market-based strategies.

## Experience

Global Brigades, Inc.

Co-Founder and Chief Strategy Officer
August 2004 - Present (18 years 8 months)

Global Brigades is the world's largest student-led global health and sustainable development organization. With hundreds of university chapters across the world, each year it mobilizes nearly 10,000 volunteers to work alongside community members and local teams to help resolve health and economic disparities in the developing world.

Eskala.org

Chief Strategy Officer
July 2020 - Present (2 years 9 months)
Seattle, Washington, United States

Eskala is going to massively scale micro-investments with an innovative and egalitarian business model for rural communities in emerging economies. Our first step is to invest in 20,000 community-owned banking and agricultural cooperatives to empower 18 million people living in poverty in Central America. In our first two years we've deployed $3m in loans and investments with nearly zero default.

Empowered.org

President
November 2010 - Present (12 years 5 months)

Empowered.org is a SaaS technology platform for international nonprofits to optimize operations and fundraising. Since 2010, Empowered has helped organizations fundraise more than $100 million towards their missions.

PocketPatientMD

Advisor

Page 1 of 2

June 2021 - Present (1 year 10 months)

University of Washington
Affiliate Instructor, Social Enterprise
2011 - August 2015 (4 years)

Developed and currently instructing a series of multi-disciplinary courses
based on the theories and practices of social entrepreneurship.

Deloitte & Touche USA LLP
Community Involvement Associate
February 2005 - February 2009 (4 years 1 month)

## Education

University of Southern California
Bachelor of Arts and Bachelor of Science, International Relations and
Business Administration · (1999 - 2004)

Page 2 of 2

**Attachment 14:** `document_14.pdf`

GLOBAL Brigades

Pallav Vora <pallav@globalbrigades.org></pallav@globalbrigades.org>

## They need a loan not a donation!

1 message

Global Brigades <admin@globalbrigades.org></admin@globalbrigades.org>

Reply-To: Global Brigades <admin@globalbrigades.org></admin@globalbrigades.org>

To: Pallav <pallav@globalbrigades.org></pallav@globalbrigades.org>

Mon, Jul 18, 2022 at 8:36 AM

![img-0.jpeg](img-0.jpeg)

Hi Pallav,

For the first time in our history, we are not asking you for a donation, but a loan! The evolution of Global Brigades is here with the launch of Eskala, our award-winning microfinance program. Eskala is your opportunity to help scale economic opportunities within thousands of our partner communities in Latin America like Pueblo Nuevo in Panama.

## Client Spotlight: Pueblo Nuevo, Panama

Prior to partnering with Eskala, Pueblo Nuevo did not have an option for banking services.

**Impact so far:** $57k lent across 317 loans

- ~180 loans for business expansions
- ~20 loans to launch new businesses
- ~117 loans supported farmers

**Performance:** 0% default

![img-1.jpeg](img-1.jpeg)

Unbanked people in rural communities are caught in a cycle of poverty due to a lack of financial education and exploitative loans that pile on debt. Eskala has been called the "most effective economic development program in rural Panama" by the UN Development Program because we:

- Create community-owned banks to offer savings and loans to their members.
- Provide low-interest rates & recirculate the majority of principal and interest in the local community.
- Execute follow-up visits and ongoing financial training for community bank growth.

The only thing stopping us is further funding to meet the demand for loans to community partners. Behind the confidence of nearly 0% default over the last 4 years, we are not asking for a donation, but requesting our supporters, friends, and families to provide us with a loan that we will repay with interest! Click below to see how on our Wefunder page.

Learn More

In Partnership,
Global Brigades & Eskala

Unsubscribe - Unsubscribe Preferences

## Can you vouch for John Doe?

John has applied to raise funding for Company Name on Wefunder and provided your name as a personal reference.

Quote goes here

Wefunder has raised hundreds of millions for startups that later went on to raise over $5 billion in follow-on funding from venture capitalists.

Can you vouch for John?

VOUCH FOR JOHN

LEARN MORE

### About Wefunder

We help anyone invest as little as $100 in the startups they believe in. We're also a Public Benefit Corporation with a mission to keep the American dream alive. We aim to help 20,000 founders get off the ground by 2029.

Unsubscribe | About | Education

Wefunder Inc. runs wefunder.com and is the parent company of Wefunder Advisors LLC and Wefunder Portal LLC. Wefunder Advisors is an exempt reporting adviser that advises SPVs used in Reg D offerings. Wefunder Portal is a funding portal (CRD #283503) that operates sections of wefunder.com where some Reg Crowdfunding offerings are made. Wefunder, Inc. operates sections of wefunder.com where some Reg A offerings are made. Wefunder, Inc. is not regulated as either a broker-dealer or funding portal and is not a member of FINRA.

Company Name is testing the waters to evaluate investor interest. No money or other consideration is being solicited; if sent, it will not be accepted. No offer to buy securities will be accepted. No part of the purchase price will be received until a Form C is filed and, then, only through Wefunder. Any indication of interest has no obligation or commitment of any kind.

### UNITED STATES SECURITIES AND EXCHANGE COMMISSION
**Washington, D.C. 20549**

## FORM C

### UNDER THE SECURITIES ACT OF 1933

### Issuer Information

**Name of Issuer:** Eskala, Inc.

**Legal Status:** Other

**Jurisdiction of Incorporation/Organization:** DE

**Date of Organization:** 10-16-2020

**Physical Address:** 7339 Madison Street, Forest Park, IL, 60130

**Issuer Website:** http://www.eskala.org

**Is there a Co-Issuer?:** No

**Intermediary Name:** Wefunder Portal LLC

**Intermediary CIK:** 0001670254

**Intermediary File Number:** 007-00033

**Intermediary CRD Number:** 283503

### Offering Information

**Compensation to Intermediary:** 6.5% of the offering amount upon a successful fundraise, and be entitled to reimbursement for out-of-pocket third party expenses it pays or incurs on behalf of the Issuer in connection with the offering.

**Financial Interest in Issuer:** No

**Type of Security Offered:** Debt

**Price per Security:** $1.00

**Method for Determining Price:** Pro-rated portion of the total principal value of $50,000; interests will be sold in increments of $1.

**Target Offering Amount:** $50,000.00

**Oversubscription Accepted:** Yes

**Oversubscription Allocation Type:** Other

**Description of Oversubscription:** As determined by the issuer

**Maximum Offering Amount:** $5,000,000.00

**Deadline to Reach Target Amount:** 04-30-2023

### Annual Report Disclosure Requirements

**Current Number of Employees:** 7

**Total Assets (Most Recent Fiscal Year):** $1,910,632.00

**Total Assets (Prior Fiscal Year):** $613,460.00

**Cash & Cash Equivalents (Most Recent Fiscal Year):** $361,148.00

**Cash & Cash Equivalents (Prior Fiscal Year):** $613,460.00

**Accounts Receivable (Most Recent Fiscal Year):** $1,170,082.00

**Accounts Receivable (Prior Fiscal Year):** $0.00

**Short-Term Debt (Most Recent Fiscal Year):** $631,341.00

**Short-Term Debt (Prior Fiscal Year):** $2,204.00

**Long-Term Debt (Most Recent Fiscal Year):** $250,300.00

**Long-Term Debt (Prior Fiscal Year):** $0.00

**Revenues/Sales (Most Recent Fiscal Year):** $76,965.00

**Revenues/Sales (Prior Fiscal Year):** $0.00

**Cost of Goods Sold (Most Recent Fiscal Year):** $0.00

**Cost of Goods Sold (Prior Fiscal Year):** $0.00

**Taxes Paid (Most Recent Fiscal Year):** $14,469.00

**Taxes Paid (Prior Fiscal Year):** $0.00

**Net Income (Most Recent Fiscal Year):** $-898,229.00

**Net Income (Prior Fiscal Year):** $-3,744.00

**Jurisdictions Offered:**

ALABAMA, ALASKA, ARIZONA, ARKANSAS, CALIFORNIA, COLORADO, CONNECTICUT, DELAWARE, DISTRICT OF COLUMBIA, FLORIDA, GEORGIA, HAWAII, IDAHO, ILLINOIS, INDIANA, IOWA, KANSAS, KENTUCKY, LOUISIANA, MAINE, MARYLAND, MASSACHUSETTS, MICHIGAN, MINNESOTA, MISSISSIPPI, MISSOURI, MONTANA, NEBRASKA, NEVADA, NEW HAMPSHIRE, NEW JERSEY, NEW MEXICO, NEW YORK, NORTH CAROLINA, NORTH DAKOTA, OHIO, OKLAHOMA, OREGON, PENNSYLVANIA, RHODE ISLAND, SOUTH CAROLINA, SOUTH DAKOTA, TENNESSEE, TEXAS, UTAH, VERMONT, VIRGINIA, WASHINGTON, WEST VIRGINIA, WISCONSIN, WYOMING, B5, GU, PR, VI, 1V

### Signatures

**Issuer:** Eskala, Inc.

**Signature:** Colleen O'Brien

**Title:** Co-Founder & CEO

---

**Signature:** Katherine Burgess

**Title:** Board Member

**Date:** 03-28-2023

---

**Signature:** James Sartori

**Title:** Chairman

**Date:** 03-28-2023

---

**Signature:** Charles P. Ries

**Title:** Board Member

**Date:** 03-27-2023

---

**Signature:** James M Stollberg

**Title:** Executive Committee

**Date:** 03-24-2023

---

**Signature:** Steven Nooyen

**Title:** Vice Chair

**Date:** 03-24-2023

---

**Signature:** Steven Atamian

**Title:** Chief Strategy Officer

**Date:** 03-24-2023

---

**Signature:** Pallav M. Vora

**Title:** Secretary

**Date:** 03-24-2023

---

**Signature:** Colleen O'Brien

**Title:** Co-Founder & CEO

**Date:** 03-24-2023