| Commitments and Contingencies | Note 13. Commitments and Contingencies Employment Agreements Seenu G. Kasturi On January 18, 2017, the Company
appointed Seenu G. Kasturi as its President, Chief Financial Officer and Chairman of its board of directors. In connection therewith,
on January 18, 2017, the Company entered into an employment agreement with Mr. Kasturi to serve as the President and Chief Financial Officer
of the Company. The employment agreement was for an initial term of three years with automatic one-year renewals thereafter unless earlier
terminated or not renewed as provided therein. Under the terms of the employment agreement, Mr. Kasturi was paid annual compensation in
the amount of $80,000 per year, consisting of: (i) an initial annual base salary of $26,000, and (ii) equity awards equal in value to
$54,000 per year. Mr. Kasturi was eligible to receive increases in salary on January 1 st On January 2, 2019, the Company
appointed Seenu G. Kasturi as its Chief Executive Officer. As a result of the appointment, Mr. Kasturi then served as the Company’s
Chief Executive Officer, Chief Financial Officer and Chairman of its board of directors. In connection therewith, on January 2, 2019,
Mr. Kasturi resigned as the Company’s President and Richard W. Akam resigned as the Company’s Chief Executive Officer. Mr.
Akam continued to serve as the Company’s Chief Operating Officer and Secretary. On January 2, 2019, the Company
entered into an amended and restated employment agreement with Mr. Kasturi to serve as the Chief Executive Officer and Chief Financial
Officer of the Company. The agreement is for an initial term of three years with automatic one-year renewals thereafter unless earlier
terminated or not renewed as provided therein. Under the terms of the agreement, Mr. Kasturi will be paid an initial annual base salary
in the amount of $350,000. Mr. Kasturi will be eligible to receive increases in salary on January 1 st Pursuant to the terms of the new
employment agreement, the Company entered into a restricted stock award agreement with Mr. Kasturi pursuant to which the Company granted
390,000 shares of the Company’s common stock to Mr. Kasturi. The shares vest in accordance with the following schedule: (i) 130,000
shares on March 31, 2019; (ii) 130,000 shares on March 31, 2020; and (iii) 130,000 shares on March 31, 2021. In the event the Company
terminates the employment of Mr. Kasturi without “cause”, as such term is defined in the employment agreement, his restricted
stock award will vest in full immediately. In the event Mr. Kasturi’s employment with the Company terminates by reason of death
or “disability”, as such term is defined in the employment agreement, or if the Company terminates Mr. Kasturi’s employment
for “cause”, as such term is defined in the employment agreement, or if Mr. Kasturi terminates his own employment with the
Company, then any shares that have not yet vested will be forfeited to the Company. In the event of certain “changes in control”
as such term is defined in the Company’s 2014 Stock Incentive Plan adopted by the Company’s board of directors on June 16,
2014, all restrictions and conditions on any of the shares then outstanding will automatically be deemed terminated or satisfied in full,
as applicable, immediately prior to the consummation of the change in control event. Richard W. Akam On January 22, 2013, the Company
appointed Richard W. Akam to serve as its Chief Operating Officer. In connection therewith, the Company entered into an employment agreement
with Mr. Akam pursuant to which it agreed to pay him an annual base salary of $150,000, subject to annual adjustment and discretionary
bonuses, plus certain standard and customary fringe benefits. The initial term of the employment agreement is for one year and automatically
renews for additional one-year terms until terminated by Mr. Akam or the Company. The employment agreement provided
that, on July 22, 2013, the Company would grant Mr. Akam shares of its common stock equal in value to $50,000 if Mr. Akam was continuously
employed by the Company through that date. The number of shares of common stock that the Company would issue to Mr. Akam would be calculated
based on the last sales price of the Company’s common stock as reported on the OTCQB on July 22, 2013. The employment agreement
also provided that the Company would grant Mr. Akam additional shares of its common stock equal in value to $50,000 on January 1st of
each year thereafter if Mr. Akam was continuously employed by the Company through January 1st of the applicable year. The number of shares
of common stock that the Company would issue to Mr. Akam for each applicable year would be calculated based on the average of the last
sales price of shares of the Company’s common stock as reported on the OTCQB for the month of January of the applicable year. Notwithstanding the above, and
in connection therewith, Mr. Akam agreed that the number of shares that may be earned by him under his employment agreement in connection
with any particular grant would be equal to the lesser of: (i) 71,429 shares of common stock, or (ii) the number of shares of common stock
calculated by dividing $50,000 by the closing price of the Company’s common stock on the day immediately preceding the date the
Company’s obligation to issue the shares to him fully accrues. Mr. Akam also agreed that in the event the Company was unable to
fulfill its obligation to issue all of the shares earned by him with respect to any particular grant because it did not have enough shares
of common stock authorized and available for issuance, (i) Mr. Akam would not require the Company to issue more shares of common stock
than are then authorized and available for issuance by the Company, and (i) the Company would be permitted to settle any liability to
Mr. Akam created as a result thereof in cash. In the event the Company terminates
Mr. Akam’s employment without “cause” (as such term is defined in the employment agreement), Mr. Akam will be entitled
to receive the following severance compensation from the Company: (i) if the Company terminates Mr. Akam’s employment during the
first year of his employment with the Company, that amount of compensation equal to the salary payable to Mr. Akam during that year, (ii)
if the Company terminates Mr. Akam’s employment during the second year of his employment with the Company, that amount of compensation
equal to nine months of the salary payable to Mr. Akam during that year, (iii) if the Company terminates Mr. Akam’s employment during
the third year of his employment with the Company, that amount of compensation equal to six months of the salary payable to Mr. Akam during
that year, and (iv) if the Company terminates Mr. Akam’s employment after the third year of his employment with the Company, that
amount of compensation equal to three months of the salary payable to Mr. Akam during the year that such termination occurs. Mr. Akam
will not be entitled to receive any severance compensation from the Company if the Company terminates his employment for “cause”
or as a result of his disability, or if Mr. Akam resigns from his employment with the Company. The employment agreement also
contains customary provisions that provide that, during the term of Mr. Akam’s employment with the Company and for a period of one
year thereafter, Mr. Akam is prohibited from disclosing confidential information of the Company, soliciting Company employees and certain
other persons, and competing with the Company. On July 31, 2013, the
Company appointed Richard Akam as its Chief Executive Officer, Chief Financial Officer and Secretary. The Company and Mr. Akam did not
amend the employment agreement in connection with the above appointments, and Mr. Akam did not receive any additional compensation in
connection with the above appointments. On August 19, 2013,
Richard Akam resigned as the Company’s Chief Financial Officer. Mr. Akam retained his positions as the Company’s Chief Executive
Officer, Chief Operating Officer and Secretary. On January 31, 2017, the Company
and Richard W. Akam entered into an amendment to the employment agreement. Under the terms of the amendment, the parties confirmed the
appointment of Mr. Akam as the Company’s Chief Operating Officer on January 22, 2013 and as the Company’s Chief Executive
Officer on July 31, 2013, clarified that Mr. Akam’s monthly base salary after the initial term of the employment agreement may be
adjusted from time to time by the Company with Mr. Akam’s consent, removed the provision relating to the grant of shares of the
Company’s common stock to Mr. Akam on January 1 st st On January 2, 2019, the Company
entered into a Second Amendment to Employment Agreement with Richard W. Akam pursuant to which Mr. Akam resigned as the Company Chief
Executive Officer but retained his positions as the Company’s Chief Operating Officer and Secretary. In March, 2020 Mr. Akam’s
employment from the Company was terminated. Alex Andre On July 15, 2019, the
Company appointed Alex Andre as its Chief Financial Officer. In connection therewith, on July 15, 2019, Seenu G. Kasturi resigned as the
Company’s Chief Financial Officer. Mr. Kasturi continued to serve as the Company’s Chief Executive Officer and Chairman of
the Company’s board of directors. On July 15, 2019, the Company
entered into an employment agreement with Mr. Andre to serve as the Chief Financial Officer of the Company and, upon the completion of
all applicable registration and licensing requirements, to serve as the General Counsel of the Company. The employment agreement is for
an initial term of three years with automatic one-year renewals thereafter unless earlier terminated or not renewed as provided therein.
Under the terms of the agreement, Mr. Andre will be paid an initial annual base salary in the amount of $175,000. On May 1, 2020, Mr.
Andre’s salary will increase to $200,000 for the remainder of the employment term. Mr. Andre will be eligible to receive increases
in salary on January 1 st st On April 8, 2019, the Company
entered into a restricted stock award agreement with Mr. Andre pursuant to which the Company granted 225,000 shares of the Company’s
common stock, $0.01 par value per share, to Mr. Andre. The shares vest in accordance with the following schedule: (i) 75,000 shares on
April 30, 2020; (ii) 75,000 shares on April 30, 2021; and (iii) 75,000 shares on April 30, 2022. In the event the Company terminates the
employment of Mr. Andre without “cause”, as such term is defined in Section 4(c) of the Employment Agreement, his restricted
stock award will vest in full immediately. In the event Mr. Andre’s employment with the Company terminates by reason of death or
“disability”, as such term is defined in Section 4(b) of the Employment Agreement, or if the Company terminates Mr. Andre’s
employment for “cause”, as such term is defined in Section 4(c) of the Employment Agreement, or if Mr. Andre terminates his
own employment with the Company, then any shares that have not yet vested shall be forfeited to the Company. In the event of certain “changes
in control” as such term is defined in the Company’s 2014 Stock Incentive Plan adopted by the Company’s board of directors
on June 16, 2014, all restrictions and conditions on any of the shares then outstanding shall automatically be deemed terminated or satisfied
in full, as applicable, immediately prior to the consummation of the change in control event. Mr. Andre resigned from the Company on July 27, 2021. Joseph Dominiak On November 12, 2019, the “Company
appointed Joseph Dominiak as its Chief Operating Officer. In connection therewith, on November 12, 2019, Richard W. Akam resigned as the
Company’s Chief Operating Officer. On November 6, 2019, the Company
entered into an employment agreement with Mr. Dominiak to serve as the Chief Operating Officer of the Company. The employment agreement
is for an initial term of three years with automatic one-year renewals thereafter unless earlier terminated or not renewed as provided
therein. Under the terms of the agreement, Mr. Dominiak will be paid an initial annual base salary in the amount of $200,000. Beginning
January 1, 2021, he will be eligible to receive increases in salary in the discretion of the Company’s board of directors. Mr. Dominiak
will be eligible to receive annual bonuses on each anniversary of the Effective Date of up to 20% of his then current base salary in the
discretion of the Company’s board of directors. The employment agreement contains customary confidentiality, non-competition and
non- solicitation provisions in favor of the Company. On November 12, 2019, pursuant
to the terms of the employment agreement, the Company entered into a restricted stock award agreement with Mr. Dominiak under which the
Company granted 100,000 shares of the Company’s common stock, $0.01 par value per share, to Mr. Dominiak. The shares vest in accordance
with the following schedule: (i) 33,333 shares on November 12, 2020; (ii) 33,333 shares on November 12, 2021; and (iii) 33,334 shares
on November 12, 2022. In the event the Company terminates the employment of Mr. Dominiak without “cause”, as such term is
defined in Section 4(c) of the employment agreement, then all shares that would have vested within the following 12 months had the Executive
continued to be employed by the Company during such period shall immediately vest in full. In the event Mr. Dominiak’s employment
with the Company terminates by reason of death or “disability”, as such term is defined in Section 4(b) of the employment
agreement, or if the Company terminates Mr. Dominiak’s employment for “cause”, as such term is defined in Section 4(c)
of the employment agreement, or if Mr. Dominiak terminates his own employment with the Company, then any shares that have not yet vested
shall be forfeited to the Company. In the event of certain “changes in control” as such term is defined in the Company’s
2014 Stock Incentive Plan adopted by the Company’s board of directors on June 16, 2014, all restrictions and conditions on any of
the shares then outstanding shall automatically be deemed terminated or satisfied in full, as applicable, immediately prior to the consummation
of the change in control event. Stock Incentive Plan adopted by
the Company’s board of directors on June 16, 2014, all restrictions and conditions on any of the shares then outstanding shall automatically
be deemed terminated or satisfied in full, as applicable, immediately prior to the consummation of the change in control event. Yannick Bastien On April 27, 2020, the Company
entered into an employment agreement with Mr. Bastien to serve as the Chief Administrative Officer of the Company (the “Employment
Agreement”). The Employment Agreement is for an initial term of three years with automatic one-year renewals thereafter unless earlier
terminated or not renewed as provided therein. Under the terms of the Employment Agreement, Mr. Bastien will be paid an initial annual
base salary in the amount of $150,000. Since January 1, 2021, Mr. Bastien has been eligible to receive increases in salary in the discretion
of the Company’s board of directors. Mr. Bastien’s salary cannot be reduced after any increase is made in accordance with
the terms of the Employment Agreement. Mr. Bastien is eligible to receive annual bonuses on April 1 st On April 27, 2020, in conjunction
with the Employment Agreement, the Company entered into a restricted stock award agreement with Mr. Bastien pursuant to which the Company
granted 150,000 shares of the Company’s common stock, $0.01 par value per share, to Mr. Bastien. The shares vest in accordance with
the following schedule: (i) 50,000 shares on April 27, 2021; (ii) 50,000 shares on April 27, 2022; and (iii) 50,000 shares on April 27,
2023. In the event the Company terminates the employment of Mr. Bastien without “cause,” as such term is defined in Section
4(c) of the Employment Agreement, his restricted stock award will vest in full immediately. In the event Mr. Bastien’s employment
with the Company terminates by reason of death or “disability,” as such term is defined in Section 4(b) of the Employment
Agreement, or if the Company terminates Mr. Bastien’s employment for “cause,” as such term is defined in Section 4(c)
of the Employment Agreement, or if Mr. Bastien terminates his own employment with the Company, then any shares that have not yet vested
shall be forfeited to the Company. In the event of certain “changes in control,” as such term is defined in the Company’s
2014 Stock Incentive Plan adopted by the Company’s board of directors on June 16, 2014, all restrictions and conditions on any of
the shares then outstanding shall automatically be deemed terminated or satisfied in full, as applicable, immediately prior to the consummation
of the change in control event. Operating Leases Company Headquarters In January 2015, the Company entered
into a lease with Crescent Hill Office Park for its corporate headquarters located at 6327-4
Argyle Forest Boulevard, Jacksonville, Florida In January 2018, the Company entered
into a new, month-to-month lease with Crescent Hill Office Park for its corporate headquarters located at 6327-4
Argyle Forest Boulevard, Jacksonville, Florida On November 15, 2018, the Company
entered into a triple net lease with the Kasturi Children’s Trust (the “Trust”) for its new corporate headquarters located
at 1409 Kingsley Ave., Ste. 2, Orange Park, Florida. The lease is for a term of 60 months and provides the Company with an option to extend
the lease by three additional five-year periods. The lease provides for rent payments in the amount of $4,000 per month. The Trust is
an irrevocable trust for which the children of Seenu G. Kasturi are the beneficiaries. The trustee of the Trust is an unrelated third
party. Nocatee Restaurant In
October 2013, On April 1, 2017, DWG Acquisitions,
Seediv and NTC-REG entered into an assignment and assumption & first modification to lease agreement for the Nocatee Restaurant. Under
the agreement, DWG Acquisitions assigned all of its right, title, interest and claim in and to the Nocatee lease, and Seediv assumed the
payment and performance of all obligations, liabilities and covenants of DWG Acquisitions under the lease for the Nocatee Restaurant.
In addition, the parties amended certain terms of the lease to state that the lease covers approximately 3,400 square feet of space, to
extend the term of the lease for a 60-month period commencing on April 1, 2018 and expiring March 31, 2023, and to change the rent payments
to an initial monthly rent payment of $7,035 without an additional annual rent payment. Youngerman Circle Restaurant In
May 2014, On December 20, 2016, Seediv entered
into a new triple net lease with Raceland QSR for the Youngerman Circle Restaurant. The lease provides for rent payments to be made by
the Company for each of 13 rent periods per year, with each rent period comprised of four weeks. The lease provides for an initial base
rent payment equal to the greater of: (i) $10,000 per rent period, or (ii) 7.5% of the Youngerman Circle Restaurant’s net sales
for the applicable rent period. Commencing on the fifth (5 th Valdosta Dick’s Wings Restaurant On December 31, 2017, DWAG Valdosta,
LLC, a Georgia limited liability company that is a wholly-owned subsidiary of the Company, entered into a triple net lease with PLD, L.L.L.P.,
a Georgia limited liability company, for the Dick’s Wings and Grill restaurant located at 153 Baytree Road, Valdosta, Georgia. The
lease provides for monthly rent payments of $3,333 for the first two years and $5,000 for the following three years, plus an additional
annual rent payment equal to the amount by which 6% of the restaurant’s annual gross sales exceeds $1,000,000. The lease has an
initial term of five years and provides the Company with an option to extend the lease for two additional five-year periods. Panama City Beach Dick’s Wings Restaurant On July 1, 2015, DWG Acquisitions
entered into a lease with Arquette Development Corporation, a Florida corporation (“Arquette Development”), for the Dick’s
Wings and Grill restaurant located at 1136 Thomas Drive, Panama City Beach, Florida (the “Panama City Lease”). The lease provided
for rent payments of $5,000 plus an additional annual rent payment equal to the amount by which 6% of the restaurant’s annual gross
sales exceeds $1,200,000. The lease had an initial term of three years and provided DWG Acquisitions with an option to extend the lease
for three additional three-year periods. The lease expired on June 30, 2018 and was not renewed by DWG Acquisitions. Upon the expiration
of the lease, DWG Acquisitions entered into a month-to-month tenancy with Arquette Development pursuant to which DWAG PCB, LLC, a Florida
limited liability company that is a wholly-owned subsidiary of the Company (“DWAG PCB”), makes monthly rent payments of $3,000
to Arquette Development on behalf of DWG Acquisitions. Tallahassee Dick’s Wings Restaurant On May 1, 2018, DWAG Tallahassee,
LLC, a Florida limited liability company that is a wholly-owned subsidiary of the Company (“DWAG Tallahassee”), entered into
a triple net lease with Bannerman Crossings III, LLC, a Florida limited liability company, for a Dick’s Wings and Grill restaurant
to be located at 3427 Bannerman Rd., Suite 104, Tallahassee, Florida. The lease provides for no rent during the first year of the lease,
followed by monthly rent payments equal to 6% of the restaurant’s monthly gross sales for each month remaining under the lease.
The lease has an initial term of 10 years and provides the Company with an option to extend the lease for two additional five-year periods.
Bannerman Crossings agreed to loan DWAG Tallahassee $250,000 to be used for tenant improvements to the property. DWAG has the right to
terminate the lease at the end of the 42 nd th th Financing Leases On August 30, 2018, the Company
entered into the Master Lease. The initial term of the lease expires on August 31, 2038. The Company has the option to extend the term
of the lease for four additional successive periods of five years each. The aggregate base annual rent is $876,875 and is subject to annual
increases commencing September 1, 2019 in an amount equal to the lesser of: (i) 1.75%, or (ii) 1.25 times the change in the Consumer Price
Index. The Company is responsible for all costs and obligations relating to the Properties. Sponsorship Agreements In July 2013, we entered into
a three-year sponsorship agreement with the Jacksonville Jaguars, LLC (the “Jacksonville Jaguars”) and, in connection therewith,
in August 2013, entered into a subcontractor concession agreement with Levy Premium Foodservice Limited Partnership (“Levy”)
for a concession stand to be located at TIAA Bank Field in Jacksonville, Florida. We concurrently assigned all of our rights and obligations
under the concession agreement to DWG Acquisitions in return for a fee of $2,000 per month for each full or partial month during which
the concession agreement is in effect. In July 2015, we extended our sponsorship agreement with the Jaguars by an additional two years
and entered into a subcontractor concession agreement with Ovations Food Services, L.P. (“Ovations”) for a second concession
stand at TIAA Bank Field. We concurrently assigned all of our rights and obligations under the second concession agreement to DWG Acquisitions
in return for an additional fee of $3,000 per month for each full or partial month during which the concession agreement is in effect. In September 2016, we terminated
our subcontractor concession agreements with Levy and Ovations and the related assignment agreements with DWG Acquisitions, and entered
into a sub-concession agreement with Jacksonville Sportservice, Inc. (“Jacksonville Sportservice”) and DWG Acquisitions with
respect to the two concession stands previously covered by the Levy and Ovations subcontractor concession agreements. We concurrently
assigned all of our rights and obligations under the sub-concession agreement to DWG Acquisitions in return for a fee equal to the revenue
generated by the concession stands less all expenses incurred by the concession stands for each full or partial month during which the
concession agreement is in effect. In October 2017, we entered into a termination agreement with DWG Acquisitions whereby we terminated
the assignment to DWG Acquisitions. In November 2017, the Company
entered into a new five-year sponsorship agreement with the Jacksonville Jaguars. Under the terms of the sponsorship agreement, during
each preseason and regular season football game played by the Jacksonville Jaguars and at certain other events held at the football-based
stadium in Jacksonville, Florida currently named “Everbank Field”: (i) the Company has the right to display its branding on
one fixed concession stand in the Bud Light Party Zone at Everbank Field and a second concession stand located on the concourse at Everbank
Field, (ii) the Company has the right to have its food products sold or otherwise distributed from the stands and/or certain general concession
areas at Everbank Field, and (iii) the Company has the right to receive a variety of stadium signage at Everbank Field, radio broadcasting
on the Jacksonville Jaguars’ radio programming, and digital advertising on the Jacksonville Jaguars’ website and certain of
its social media sites. The term of the sponsorship agreement
commenced on April 1, 2018 and expires on the later of: (i) the conclusion of the 2022/23 NFL season, and (ii) February 28, 2023. The
Company is required to pay the Jacksonville Jaguars annual fees in the amount of $200,000 during the first year of the agreement increasing
to $216,490 during the last year of the agreement. In addition, the Company is required to provide the Jacksonville Jaguars with food,
beverages and serving products equal in value to $35,000 during the first year of the agreement increasing to $37,890 during the last
year of the agreement. In the event the Jacksonville Jaguars play in any post-season playoff games, the Company will pay the Jacksonville
Jaguars an additional amount per playoff game equal to a pro-rated portion of the annual fee applicable during the then-current year of
the agreement. In July 2019, the Company entered
into a First Amendment to Sponsorship Agreement with the Jacksonville Jaguars. The amendment amended the terms of that certain Sponsorship
Agreement, dated November 27, 2017, by and between the Company and the Jaguars. Under the terms of the amendment, during each preseason
and regular season football game played by the National Football League’s Jacksonville Jaguars and at certain other events held
at the football- based stadium in Jacksonville, Florida currently named “TIAA Bank Field”: (i) the Company has the right to
display its branding on two fixed concession stands in the stadium located in the Bud Light Party Zone at Everbank Field, five fixed concession
stands on the stadium concourse, and two fixed concession stands on the upper club level of the stadium, and up to four portable concession
stands on the north end zone deck, (ii) the Company has the right to have its food products sold or otherwise distributed from the stands
and/or certain general concession areas at TIAA Bank Field, (iii) the Company has the right to receive a variety of advertising and stadium
signage at TIAA Bank Field, radio broadcasting on the Jacksonville Jaguars’ radio programming, and digital advertising on the Jacksonville
Jaguars’ website and certain of its social media sites, and (iv) the Company will be identified as the “Official Watch Party
Restaurant / Bar for Jaguars away games, including social media spots, radio spots and banner ads. Second Amendment to Sponsorship Agreement In August 2020, the Company entered
into a Second Amendment to Sponsorship Agreement with the Jacksonville Jaguars. The amendment further amended the terms of that certain
Sponsorship Agreement, dated November 27, 2017, by and between the Company and the Jaguars. Under the terms of the amendment, the parties
agreed to reduce the benefits to be received by the Company and the term of the agreement. The amendment is for a term of three NFL football
seasons, is deemed to have commenced as of April 1, 2018, and expires on the later of: (i) the conclusion of the 2020/21 NFL season, and
(ii) the last day in February 2021. The Company is required to pay the Jaguars annual fees in the amount of $200,000 during the 2018/19
NFL season, $500,000 during the 2019/20 NFL season, and $150,000 during the 2020/21 NFL season. In addition, the Company is required to
provide the Jaguars with food, beverages and serving products equal in value to $35,000 during the 2018/19 NFL season, $35,700 during
the 2019/20 NFL season, and $6,875 during the 2020/21 NFL season. Third Amendment to Sponsorship Agreement In May 2021, the Company entered
into a Third Amendment to Sponsorship Agreement with the Jacksonville Jaguars. The amendment further amended the terms of that certain
Sponsorship Agreement, dated November 27, 2017, by and between the Company and the Jaguars. Under the terms of the amendment, the parties
agreed to extend the term of this agreement to: (i) the conclusion of the 2022/23 NFL season, and (ii) the last day in February 2023.
The term deemed to have commenced as of April 1, 2018. The Company is required to pay the Jaguars annual fees in the amount of $200,000
during the 2018/19 NFL season, $500,000 during the 2019/20 NFL season, $150,000 during the 2020/21 NFL season, $100,000 during the 2021/22
NFL season, and $105,000 during the 2022/23 NFL season. In addition, the Company will not be required to provide the Jaguars with food,
beverages or serving during any of the seasons under contract. The following table presents the
future minimum annual payments under the sponsorship agreement as of June 30, 2021:
Year Ended December 31, Minimum Annual Payments
2021 (remaining six months) $ 415,072
2022 830,144
2023 830,144
2024 834,444
2025 834,444
Thereafter 3,337,776
Total $ 7,082,024 | Note 16. Commitments and Contingencies Employment Agreements Seenu G. Kasturi On January 18, 2017, the Company
appointed Seenu G. Kasturi as its President, Chief Financial Officer and Chairman of its board of directors. In connection therewith,
on January 18, 2017, the Company entered into an employment agreement with Mr. Kasturi to serve as the President and Chief Financial Officer
of the Company. The employment agreement was for an initial term of three years with automatic one-year renewals thereafter unless earlier
terminated or not renewed as provided therein. Under the terms of the employment agreement, Mr. Kasturi was paid annual compensation in
the amount of $80,000 per year, consisting of: (i) an initial annual base salary of $26,000, and (ii) equity awards equal in value to
$54,000 per year. Mr. Kasturi was eligible to receive increases in salary on January 1 st On January 2, 2019, the Company
appointed Seenu G. Kasturi as its Chief Executive Officer. As a result of the appointment, Mr. Kasturi then served as the Company’s
Chief Executive Officer, Chief Financial Officer and Chairman of its board of directors. In connection therewith, on January 2, 2019,
Mr. Kasturi resigned as the Company’s President and Richard W. Akam resigned as the Company’s Chief Executive Officer. Mr.
Akam continues to serve as the Company’s Chief Operating Officer and Secretary. On January 2, 2019, the Company
entered into an amended and restated employment agreement with Mr. Kasturi to serve as the Chief Executive Officer and Chief Financial
Officer of the Company. The agreement is for an initial term of three years with automatic one-year renewals thereafter unless earlier
terminated or not renewed as provided therein. Under the terms of the agreement, Mr. Kasturi will be paid an initial annual base salary
in the amount of $350,000. Mr. Kasturi will be eligible to receive increases in salary on January 1 st Pursuant to the terms of the new
employment agreement, the Company entered into a restricted stock award agreement with Mr. Kasturi pursuant to which the Company granted
390,000 shares of the Company’s common stock to Mr. Kasturi. The shares vest in accordance with the following schedule: (i) 130,000
shares on March 31, 2019; (ii) 130,000 shares on March 31, 2020; and (iii) 130,000 shares on March 31, 2021. In the event the Company
terminates the employment of Mr. Kasturi without “cause”, as such term is defined in the employment agreement, his restricted
stock award will vest in full immediately. In the event Mr. Kasturi’s employment with the Company terminates by reason of death
or “disability”, as such term is defined in the employment agreement, or if the Company terminates Mr. Kasturi’s employment
for “cause”, as such term is defined in the employment agreement, or if Mr. Kasturi terminates his own employment with the
Company, then any shares that have not yet vested will be forfeited to the Company. In the event of certain “changes in control”
as such term is defined in the Company’s 2014 Stock Incentive Plan adopted by the Company’s board of directors on June 16,
2014, all restrictions and conditions on any of the shares then outstanding will automatically be deemed terminated or satisfied in full,
as applicable, immediately prior to the consummation of the change in control event. Richard W. Akam On January 22, 2013, the Company
appointed Richard W. Akam to serve as its Chief Operating Officer. In connection therewith, the Company entered into an employment agreement
with Mr. Akam pursuant to which it agreed to pay him an annual base salary of $150,000, subject to annual adjustment and discretionary
bonuses, plus certain standard and customary fringe benefits. The initial term of the employment agreement is for one year and automatically
renews for additional one-year terms until terminated by Mr. Akam or the Company. The employment agreement provided
that, on July 22, 2013, the Company would grant Mr. Akam shares of its common stock equal in value to $50,000 if Mr. Akam was continuously
employed by the Company through that date. The number of shares of common stock that the Company would issue to Mr. Akam would be calculated
based on the last sales price of the Company’s common stock as reported on the OTCQB on July 22, 2013. The employment agreement
also provided that the Company would grant Mr. Akam additional shares of its common stock equal in value to $50,000 on January 1st of
each year thereafter if Mr. Akam was continuously employed by the Company through January 1st of the applicable year. The number of shares
of common stock that the Company would issue to Mr. Akam for each applicable year would be calculated based on the average of the last
sales price of shares of the Company’s common stock as reported on the OTCQB for the month of January of the applicable year. Notwithstanding the above, and
in connection therewith, Mr. Akam agreed that the number of shares that may be earned by him under his employment agreement in connection
with any particular grant would be equal to the lesser of: (i) 71,429 shares of common stock, or (ii) the number of shares of common stock
calculated by dividing $50,000 by the closing price of the Company’s common stock on the day immediately preceding the date the
Company’s obligation to issue the shares to him fully accrues. Mr. Akam also agreed that in the event the Company was unable to
fulfill its obligation to issue all of the shares earned by him with respect to any particular grant because it did not have enough shares
of common stock authorized and available for issuance, (i) Mr. Akam would not require the Company to issue more shares of common stock
than are then authorized and available for issuance by the Company, and (i) the Company would be permitted to settle any liability to
Mr. Akam created as a result thereof in cash. In the event the Company terminates
Mr. Akam’s employment without “cause” (as such term is defined in the employment agreement), Mr. Akam will be entitled
to receive the following severance compensation from the Company: (i) if the Company terminates Mr. Akam’s employment during the
first year of his employment with the Company, that amount of compensation equal to the salary payable to Mr. Akam during that year, (ii)
if the Company terminates Mr. Akam’s employment during the second year of his employment with the Company, that amount of compensation
equal to nine months of the salary payable to Mr. Akam during that year, (iii) if the Company terminates Mr. Akam’s employment during
the third year of his employment with the Company, that amount of compensation equal to six months of the salary payable to Mr. Akam during
that year, and (iv) if the Company terminates Mr. Akam’s employment after the third year of his employment with the Company, that
amount of compensation equal to three months of the salary payable to Mr. Akam during the year that such termination occurs. Mr. Akam
will not be entitled to receive any severance compensation from the Company if the Company terminates his employment for “cause”
or as a result of his disability, or if Mr. Akam resigns from his employment with the Company. The employment agreement also
contains customary provisions that provide that, during the term of Mr. Akam’s employment with the Company and for a period of one
year thereafter, Mr. Akam is prohibited from disclosing confidential information of the Company, soliciting Company employees and certain
other persons, and competing with the Company. On July 31, 2013, the Company
appointed Richard Akam as its Chief Executive Officer, Chief Financial Officer and Secretary. The Company and Mr. Akam did not amend the
employment agreement in connection with the above appointments, and Mr. Akam did not receive any additional compensation in connection
with the above appointments. On August 19, 2013, Richard Akam
resigned as the Company’s Chief Financial Officer. Mr. Akam retained his positions as the Company’s Chief Executive Officer,
Chief Operating Officer and Secretary. On January 31, 2017, the Company
and Richard W. Akam entered into an amendment to the employment agreement. Under the terms of the amendment, the parties confirmed the
appointment of Mr. Akam as the Company’s Chief Operating Officer on January 22, 2013 and as the Company’s Chief Executive
Officer on July 31, 2013, clarified that Mr. Akam’s monthly base salary after the initial term of the employment agreement may be
adjusted from time to time by the Company with Mr. Akam’s consent, removed the provision relating to the grant of shares of the
Company’s common stock to Mr. Akam on January 1 st st On January 2, 2019, the Company
entered into a Second Amendment to Employment Agreement with Richard W. Akam pursuant to which Mr. Akam resigned as the Company Chief
Executive Officer but retained his positions as the Company’s Chief Operating Officer and Secretary. Alex Andre On July 15, 2019, the Company
appointed Alex Andre as its Chief Financial Officer. In connection therewith, on July 15, 2019, Seenu G. Kasturi resigned as the Company’s
Chief Financial Officer. Mr. Kasturi continued to serve as the Company’s Chief Executive Officer and Chairman of the Company’s
board of directors. On July 15, 2019, the Company
entered into an employment agreement with Mr. Andre to serve as the Chief Financial Officer of the Company and, upon the completion of
all applicable registration and licensing requirements, to serve as the General Counsel of the Company. The employment agreement is for
an initial term of three years with automatic one-year renewals thereafter unless earlier terminated or not renewed as provided therein.
Under the terms of the agreement, Mr. Andre will be paid an initial annual base salary in the amount of $175,000. On May 1, 2020, Mr.
Andre’s salary will increase to $200,000 for the remainder of the employment term. Mr. Andre will be eligible to receive increases
in salary on January 1 st st On April 8, 2019, the Company
entered into a restricted stock award agreement with Mr. Andre pursuant to which the Company granted 225,000 shares of the Company’s
common stock, $0.01 par value per share, to Mr. Andre. The shares vest in accordance with the following schedule: (i) 75,000 shares
on April 30, 2020; (ii) 75,000 shares on April 30, 2021; and (iii) 75,000 shares on April 30, 2022. In the event the Company terminates
the employment of Mr. Andre without “cause”, as such term is defined in Section 4(c) of the Employment Agreement, his restricted
stock award will vest in full immediately. In the event Mr. Andre’s employment with the Company terminates by reason of death or
“disability”, as such term is defined in Section 4(b) of the Employment Agreement, or if the Company terminates Mr. Andre’s
employment for “cause”, as such term is defined in Section 4(c) of the Employment Agreement, or if Mr. Andre terminates his
own employment with the Company, then any shares that have not yet vested shall be forfeited to the Company. In the event of certain “changes
in control” as such term is defined in the Company’s 2014 Stock Incentive Plan adopted by the Company’s board of directors
on June 16, 2014, all restrictions and conditions on any of the shares then outstanding shall automatically be deemed terminated or satisfied
in full, as applicable, immediately prior to the consummation of the change in control event. Joseph Dominiak On November 12, 2019, the “Company
appointed Joseph Dominiak as its Chief Operating Officer. In connection therewith, on November 12, 2019, Richard W. Akam resigned as the
Company’s Chief Operating Officer. On November 6, 2019, the Company
entered into an employment agreement with Mr. Dominiak to serve as the Chief Operating Officer of the Company. The employment agreement
is for an initial term of three years with automatic one-year renewals thereafter unless earlier terminated or not renewed as provided
therein. Under the terms of the agreement, Mr. Dominiak will be paid an initial annual base salary in the amount of $200,000. Beginning
January 1, 2021, he will be eligible to receive increases in salary in the discretion of the Company’s board of directors. Mr. Dominiak
will be eligible to receive annual bonuses on each anniversary of the Effective Date of up to 20% of his then current base salary in the
discretion of the Company’s board of directors. The employment agreement contains customary confidentiality, non-competition and
non- solicitation provisions in favor of the Company. On November 12, 2019, pursuant
to the terms of the employment agreement, the Company entered into a restricted stock award agreement with Mr. Dominiak under which the
Company granted 100,000 shares of the Company’s common stock, $0.01 par value per share, to Mr. Dominiak. The shares vest in accordance
with the following schedule: (i) 33,333 shares on November 12, 2020; (ii) 33,333 shares on November 12, 2021; and (iii) 33,334 shares
on November 12, 2022. In the event the Company terminates the employment of Mr. Dominiak without “cause”, as such term is
defined in Section 4(c) of the employment agreement, then all shares that would have vested within the following 12 months had the Executive
continued to be employed by the Company during such period shall immediately vest in full. In the event Mr. Dominiak’s employment
with the Company terminates by reason of death or “disability”, as such term is defined in Section 4(b) of the employment
agreement, or if the Company terminates Mr. Dominiak’s employment for “cause”, as such term is defined in Section 4(c)
of the employment agreement, or if Mr. Dominiak terminates his own employment with the Company, then any shares that have not yet vested
shall be forfeited to the Company. In the event of certain “changes in control” as such term is defined in the Company’s
2014 Stock Incentive Plan adopted by the Company’s board of directors on June 16, 2014, all restrictions and conditions on any of
the shares then outstanding shall automatically be deemed terminated or satisfied in full, as applicable, immediately prior to the consummation
of the change in control event. Leases The Company is a party to numerous
operating and financing leases. A general description of the leases is set forth herein under Note 13. Leases Acquisition of WingHouse. Sponsorship Agreements In July 2013, the Company entered
into a three-year sponsorship agreement with the Jacksonville Jaguars, LLC, a Delaware limited liability company (the “Jacksonville
Jaguars”), and, in connection therewith, in August 2013, entered into a subcontractor concession agreement with Levy Premium Foodservice
Limited Partnership (“Levy”) for a concession stand to be located at TIAA Bank Field in Jacksonville, Florida. The Company
concurrently assigned all of its rights and obligations under the concession agreement to DWG Acquisitions in return for a fee of $2,000
per month for each full or partial month during which the concession agreement is in effect. In July 2015, the Company extended its sponsorship
agreement with the Jaguars by an additional two years and entered into a subcontractor concession agreement with Ovations Food Services,
L.P. (“Ovations”) for a second concession stand at TIAA Bank Field. The Company concurrently assigned all of its rights and
obligations under the second concession agreement to DWG Acquisitions in return for an additional fee of $3,000 per month for each full
or partial month during which the concession agreement is in effect. In September 2016, the Company
terminated its subcontractor concession agreements with Levy and Ovations and the related assignment agreements with DWG Acquisitions,
and entered into a sub-concession agreement with Jacksonville Sportservice, Inc. (“Jacksonville Sportservice”) and DWG Acquisitions
with respect to the two concession stands previously covered by the Levy and Ovations subcontractor concession agreements. The Company
concurrently assigned all of its rights and obligations under the sub-concession agreement to DWG Acquisitions in return for a fee equal
to the income generated by the concession stands less all expenses incurred by the concession stands for each full or partial month during
which the concession agreement is in effect. In October 2017, the Company entered into a termination agreement with DWG Acquisitions whereby
the Company terminated the assignment to DWG Acquisitions. In November 2017, the Company
entered into a new five-year sponsorship agreement with the Jacksonville Jaguars. Under the terms of the sponsorship agreement, during
each preseason and regular season football game played by the Jacksonville Jaguars and at certain other events held at the football-based
stadium in Jacksonville, Florida currently named “Everbank Field”: (i) the Company has the right to display its branding on
one fixed concession stand in the Bud Light Party Zone at Everbank Field and a second concession stand located on the concourse at Everbank
Field, (ii) the Company has the right to have its food products sold or otherwise distributed from the stands and/or certain general
concession areas at Everbank Field, and (iii) the Company has the right to receive a variety of stadium signage at Everbank Field, radio
broadcasting on the Jacksonville Jaguars’ radio programming, and digital advertising on the Jacksonville Jaguars’ website
and certain of its social media sites. The term of the sponsorship agreement
commenced on April 1, 2018 and expires on the later of: (i) the conclusion of the 2022/23 NFL season, and (ii) February 28, 2023. The
Company is required to pay the Jacksonville Jaguars annual fees in the amount of $200,000 during the first year of the agreement increasing
to $216,490 during the last year of the agreement. In addition, the Company is required to provide the Jacksonville Jaguars with food,
beverages and serving products equal in value to $35,000 during the first year of the agreement increasing to $37,890 during the last
year of the agreement. In the event the Jacksonville Jaguars play in any post-season playoff games, the Company will pay the Jacksonville
Jaguars an additional amount per playoff game equal to a pro-rated portion of the annual fee applicable during the then-current year of
the agreement. First Amendment to Sponsorship Agreement In July 2019, the Company entered
into a First Amendment to Sponsorship Agreement with the Jacksonville Jaguars. The amendment amended the terms of that certain Sponsorship
Agreement, dated November 27, 2017, by and between the Company and the Jaguars. Under the terms of the amendment, during each preseason
and regular season football game played by the National Football League’s Jacksonville Jaguars and at certain other events held
at the football- based stadium in Jacksonville, Florida currently named “TIAA Bank Field”: (i) the Company has the right to
display its branding on two fixed concession stands in the stadium located in the Bud Light Party Zone at Everbank Field, five fixed concession
stands on the stadium concourse, and two fixed concession stands on the upper club level of the stadium, and up to four portable concession
stands on the north end zone deck, (ii) the Company has the right to have its food products sold or otherwise distributed from the stands
and/or certain general concession areas at TIAA Bank Field, (iii) the Company has the right to receive a variety of advertising and stadium
signage at TIAA Bank Field, radio broadcasting on the Jacksonville Jaguars’ radio programming, and digital advertising on the Jacksonville
Jaguars’ website and certain of its social media sites, and (iv) the Company will be identified as the “Official Watch Party
Restaurant / Bar for Jaguars away games, including social media spots, radio spots and banner ads. The amendment is for a term of
10 NFL football seasons and expires on the later of: (i) the conclusion of the 2028/29 NFL season, and (ii) February 2029. The Company
is required to pay the Jaguars annual fees in the amount of $500,000 during the 2019/20 NFL season and $794,444 for each of the next nine
NFL seasons. In addition, the Company is required to provide the Jaguars with food, beverages and serving products equal in value to $35,700
during the 2019/20 NFL season increasing to $40,000 for each of the last six NFL seasons. In the event the Jaguars play in any post-season
playoff games, the Company will pay the Jaguars an additional amount per playoff game equal to a pro-rated portion of the annual fee applicable
during the then-current year of the agreement. Second Amendment to Sponsorship Agreement In August 2020, the Company entered
into a Second Amendment to Sponsorship Agreement with the Jacksonville Jaguars. The amendment further amended the terms of that certain
Sponsorship Agreement, dated November 27, 2017, by and between the Company and the Jaguars. Under the terms of the amendment, the parties
agreed to reduce the benefits to be received by the Company and the term of the agreement. The amendment is for a term of three NFL football
seasons, is deemed to have commenced as of April 1, 2018, and expires on the later of: (i) the conclusion of the 2020/21 NFL season, and
(ii) the last day in February 2021. The Company is required to pay the Jaguars annual fees in the amount of $200,000 during the 2018/19
NFL season, $500,000 during the 2019/20 NFL season, and $150,000 during the 2020/21 NFL season. In addition, the Company is required to
provide the Jaguars with food, beverages and serving products equal in value to $35,000 during the 2018/19 NFL season, $35,700 during
the 2019/20 NFL season, and $6,875 during the 2020/21 NFL season. The following table presents the
future minimum annual payments under the sponsorship agreement as of December 31, 2020:
Minimum Annual
Year Payments
2021 $ 794,000
2022 794,000
2023 794,000
2024 794,000
2025 794,000
Thereafter 2,382,000
Total $ 6,352,000 Teay’s Valley Fire On March 25, 2019, the Company
experienced a fire at its Fat Patty’s restaurant located at 5156 State Route 34 in Hurricane, West Virginia. As a result, the restaurant
was closed for repair. The company has an insurance policy in place on the property and received insurance proceeds in the amount of $770,718
under the policy for such items as lost income and damaged equipment during the year ended December 31, 2020. The Company recorded $584,521
of the insurance proceeds under “revenue – restaurant sales” for the year ended December 31, 2020 on its consolidated
statements of operations as that portion of the insurance proceeds was paid for lost income from business interruption, and recorded the
remaining $186,197 of the insurance proceeds under “income from insurance proceeds” on its consolidated statements of operations
for the year ended December 31, 2020 as that portion of the insurance proceeds was for equipment and other assets that were destroyed
in the fire. The restaurant reopened on November 18, 2019. Employment Agreements The Company is a party to employment
agreements with certain of its executive officers. A description of the employment agreements is set forth herein under Note 16. Commitments
and Contingencies – Employment Agreements Financing Transactions The Company is a party to a credit
facility with Blue Victory. A description of the credit facility is set forth herein under Note 11. Debt Obligations On September 20, 2021, Seenu G
Kasturi agreed to allocate the balance owed under the “Agreement to Guaranty Obligations” to the principal investment
made by ARC Fat Patty’s LLC in connection with the Bremer Bank National Association Promissory Note assignment. As a result, the
“Agreement to Guarantee Obligations” has been satisfied in full and the Bremer Bank Note Assignment balance reduced commensurately Leases On November 15, 2018, the Company
entered into a triple net lease with the Kasturi Children’s Trust for its new corporate headquarters located at 1409 Kingsley Ave.,
Ste. 2, Orange Park, Florida. The lease is for a term of 60 months and provides the Company with an option to extend the lease by three
additional five-year periods. The lease provides for rent payments in the amount of $4,000 per month. The Kasturi Children’s Trust
is an irrevocable trust for which the children of Seenu G. Kasturi are the beneficiaries. The trustee of the Kasturi Children’s
Trust is an unrelated third party. In October 2013, DWG Acquisitions
entered into a triple net shopping center lease with NTC-REG, LLC (“NTC-REG) for the Nocatee Restaurant. The lease provides for
an initial monthly rent payment of $1,100 and an additional annual rent payment equal to the amount by which 6% of the restaurant’s
annual gross sales exceeds the aggregate monthly rent payments accrued during the applicable year. The lease has an initial term of 53
months and provides DWG Acquisitions with an option to extend the lease by an additional term of 60 months. The lease was assumed by Seediv
when Seediv acquired all of the assets and liabilities associated with the Nocatee and Youngerman Circle Restaurants from DWG Acquisitions
pursuant to the terms of that certain asset purchase agreement, dated December 1, 2016, by and between Seediv and DWG Acquisitions (the
“Seediv Purchase Agreement”). On April 1, 2017, DWG Acquisitions,
Seediv and NTC-REG entered into an assignment and assumption & first modification to lease agreement for the Nocatee Restaurant. Under
the agreement, DWG Acquisitions assigned all of its right, title, interest and claim in and to the Nocatee lease, and Seediv assumed the
payment and performance of all obligations, liabilities and covenants of DWG Acquisitions under the lease for the Nocatee Restaurant.
In addition, the parties amended certain terms of the lease to state that the lease covers approximately 3,400 square feet of space, to
extend the term of the lease for a 60-month period commencing on April 1, 2018 and expiring March 31, 2023, and to change the rent payments
to an initial monthly rent payment of $7,035 without an additional annual rent payment. In May 2014, DWG Acquisitions
entered into a triple net lease with Raceland QSRfor the Youngerman Circle Restaurant. The lease provides for a monthly rent payment equal
to 7% of the restaurant’s monthly net sales. The lease has an initial term of 10 years and renews automatically for additional one-year
terms unless prior written notice is provided by either party. The lease was assumed by Seediv when Seediv acquired all of the assets
and liabilities associated with the Nocatee and Youngerman Circle Restaurants from DWG Acquisitions pursuant to the terms of the Seediv
Purchase Agreement. On December 20, 2016, Seediv entered
into a new triple net lease with Raceland QSR for the Youngerman Circle Restaurant. The lease provides for rent payments to be made by
the Company for each of 13 rent periods per year, with each rent period comprised of four weeks. The lease provides for an initial base
rent payment equal to the greater of: (i) $10,000 per rent period, or (ii) 7.5% of the Youngerman Circle Restaurant’s net sales
for the applicable rent period. Commencing on the fifth (5 th On July 1, 2015, DWG Acquisitions
entered into a lease with Arquette Development Corporation, a Florida corporation (“Arquette Development”), for the Dick’s
Wings and Grill restaurant located at 1136 Thomas Drive, Panama City Beach, Florida (the “Panama City Lease”). The lease provided
for rent payments of $5,000 plus an additional annual rent payment equal to the amount by which 6% of the restaurant’s annual gross
sales exceeds $1,200,000. The lease had an initial term of three years and provided DWG Acquisitions with an option to extend the lease
for three additional three-year periods. The lease expired on June 30, 2018 and was not renewed by DWG Acquisitions. Upon the expiration
of the lease, DWG Acquisitions entered into a month-to- month tenancy with Arquette Development pursuant to which DWAG PCB, LLC, a Florida
limited liability company that is a wholly-owned subsidiary of the Company (“DWAG PCB”), makes monthly rent payments of $3,000
to Arquette Development on behalf of DWG Acquisitions. Amendments to WH Master Lease On February 12, 2020, April 21,
2020 and October 29, 2020, ARC WingHouse and Store Master Funding entered into that certain Amended and Restated Master Lease, Second
Amended and Restated Master Lease and Third Amended and Restated Master Lease, respectively, the collective effect of which was to add
the Company and Seenu G. Kasturi, who is the Company’s Chief Executive Officer, as guarantors and to reduce the aggregate base annual
rent from $2,041,848 to $1,904,763 in connection with the sale of one of the properties and the closure of the WingHouse restaurant located
thereon. Franchise Agreements Prior to December 31, 2019, the
Company had been a party to several franchise agreements with DWG Acquisitions pursuant to which DWG Acquisitions owned and operated Dick’s
Wings restaurants. The terms of these franchise agreements were identical to the terms of the franchise agreements that the Company enters
into with unrelated franchisees, except that the Company did not require DWG Acquisitions to pay a franchise fee to the Company under
the franchise agreements for the Nocatee and Youngerman Circle Restaurants. The Company generated $204,391 in royalties and franchise
fees through its franchise agreements with DWG Acquisitions during the year ended December 31, 2019. The Company also had a total of $41,512
for accounts payable and accrued expenses outstanding from DWG Acquisitions at December 31, 2019. The Company terminated the last of its
franchise agreements with DWG Acquisitions during the year ended December 31, 2019 and is no longer a party to any franchise agreements
with DWG Acquisitions. Accordingly, it did not generate any royalties and franchise fees during the year ended December 31, 2020. The
Company did not have any accounts payable and accrued expenses outstanding from DWG Acquisitions at December 31, 2020. In September 2018, the Company
became a franchisee of a Tilted Kilt restaurant located in Gonzales, Louisiana. Richard W. Akam, who served as the Company’s Chief
Operating Officer and Secretary until November 2019, served as President of TKFO from June 2018 until March 2020, and Ketan Pandya, who
serves as a member of the Company’s board of directors, has served as Vice President of Franchise Relations of TKFO since June 2018.
Fred D. Alexander, who serves as a member of the Company’s board of directors, is the owner of SDA Holdings. The Company closed
the Tilted Kilt restaurant and terminated the franchise agreement in August 2019. The Company paid ad fund fees of $9,423 to Tilted Kilt
during the year ended December 31, 2020. The Company was not required to pay any royalties or franchise fees to Tilted Kilt under its
franchise agreement with Tilted Kilt. The restaurant closed in August 2019. Series A Convertible Preferred Stock In June 2018, the Company entered
into a securities purchase agreement with Seenu G. Kasturi pursuant to which the Company issued Mr. Kasturi 449,581 shares of Series A
convertible preferred stock in exchange for 449,581 shares of common stock then held by Mr. Kasturi. A description of this transaction
is set forth herein under Note 14. Capital Stock. Acquisitions and Dispositions On October 4, 2017, Seediv entered
into an agreement for purchase and sale of real estate with Raceland QSR pursuant to which Seediv agreed to purchase the real property
located at 6055 Youngerman Circle in Argyle Circle, Jacksonville, Florida from Raceland QSR. The purchase price for the property was to
be the lesser of: (i) $2,000,000, or (ii) the appraised value of the property determined by the appraisal completed by the financing source
proposed to be utilized by Seediv to finance the acquisition of the property. The agreement provided for the payment by Seediv of a deposit
of $10,000 within 10 days of the date of the agreement to an escrow agent to be selected by the parties with the remainder of the purchase
price to be paid by Seediv at closing. Seediv had the right to terminate the transaction in the event that certain feasibility studies,
the title commitment or the appraisal was unsatisfactory to Seediv, or if Raceland QSR breached any of its representations, warranties,
covenants, agreements or obligations under the agreement, in which case the deposit would be returned to Seediv. The closing of the transaction
was to occur on December 3, 2017. On November 30, 2017, Seediv and
Raceland QSR entered into an amendment to the agreement pursuant to which the parties |
