DEBT | NOTE 6 – DEBT Notes Payable – Related Parties In Q1 2024, the Company issued convertible notes to board member Chris Kneppers totaling $ 60,000 The Notes bear no interest and are convertible at the option of the lender into common shares of the Company at 8 cents per share, plus a warrant with a strike price of 10 cents per share and a 5 750,000 In 2023, the Company entered into long-term convertible notes with board member Chris Kneppers, with principal balances of $ 110,000 that are to be repaid when the Company receives $5 million in equity investment. The Notes carry a 10 % interest per annum. The Notes are convertible, at the option of the lender, into common shares of the Company at 15 cents per share, plus a warrant with a strike price of 25 cents per share and a 5 -year expiration, for a total of 733,333 shares and warrants. On November 11, 2023, and also on July 7, 2023, the Company entered into two long-term convertible notes with board member Edmund Burke, with a total principal balance of $ 15,000 25,000 they accrued warrants, with a strike price of 15 cents and an expiration of 5 years, at the rate of 50,000 and 30,000 respectively every 12 months instead of interest, with a minimum of 80,000 warrants. 0.13 307,692 In June 2023, the Company entered into a short-term convertible note with board member Chris Kneppers, with a principal balance of $ 100,000 0.13 769,231 In April 2023, the Company entered into a long-term convertible note with board member Edmund Burke, with a principal balance of $ 150,000 accrued warrants, with a strike price of 15 cents and an expiration of 5 0.13 1,153,846 In January 2023, the Company entered into a short-term convertible note with board member Chris Kneppers, with a principal balance of $ 250,000 0.13 1,923,077 Legacy Notes Payable – Related Party On May 31, 2019, the Company entered into an agreement with Chris and Pamela Jemapete such that its debt of $ 100,630 On May 20, 2019, the Company entered into an agreement with Steven Sadaka such that the $ 100,000 Between November 30, 2018 and December 14, 2018, the Company entered into agreements to renegotiate various debts owed to founders and related parties. These agreements were subject to the bankruptcy Court’s plan confirmation. The Plan, which was confirmed by the Court on September 18, 2019, indicated that the debt to Mark Koch shall be $ 240,990 579,942 1.5 Notes Payable – Other In Q1 2024, the Company issued convertible notes to 4 different individuals totaling $ 200,000 These notes carry no interest and may be prepaid at anytime, but are convertible, at the option of the lender, into common shares of the Company at 8 cents per shares plus a warrant with a strike price of 10 cents per share and a 5 2,500,000 In December 2023, the Company issued a convertible note to one individual for $ 50,000 This note carries no interest and may be prepaid at anytime, but are convertible, at the option of the lender, into common shares of the Company at 8 cents per shares plus a warrant with a strike price of 10 cents per share and a 5 625,000 Legacy Notes Payable – Other On March 19, 2019, the Company entered into an agreement with Lucas Hoppel, such that its combined debt on two notes shall be reduced to $ 100,000 5 On March 27, 2019, the Company entered into an agreement with another creditor, such that its debt will be reduced from $ 32,000 20,000 On November 30, 2018, the Company entered into an agreement with a third party such that its debt will be reduced to $ 96,570 50 A summary of all debts indicated in the Notes above is as follows: SCHEDULE OF NOTES PAYABLE Notes Payable March 31, 2024 December 31, 2023 Short Term Convertible Note – Related Party $ 370,000 $ 350,000 Short Term Convertible Notes — Other 200,000 0 Long Term Convertible Notes – Related Party 40,000 0 Long Term Convertible Notes -- Other 50,000 50,000 Long Term Convertible Notes Payable after equity investment – Related Party 300,000 300,000 Long Term Notes Payable from future revenue — Related Party 200,630 200,630 Long Term Notes Payable from future revenue — Other 120,000 120,000 Long-Term Notes Payable expiring on September 18, 2024 — Related Party 2,320,932 2,320,932 Long Term Notes Payable expiring on September 18, 2024 — Other 96,570 96,570 TOTAL NOTES $ 3,698,132 $ 3,438,132 Only $ 100,000 of the $ 3,698,132 payable as of March 31, 2024, is payable in cash at a specific point in time. $ 300,000 is due only after a significant capital investment. $ 320,630 is due out of future revenue with no specific due date. $ 2,417,502 1,230,630 860,630 370,000 |