Quarterly report [Sections 13 or 15(d)]

NOTES PAYABLE

v3.26.1
NOTES PAYABLE
3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
NOTES PAYABLE

NOTE 6 NOTES PAYABLE

 

Insurance Loans

 

The Company has several financing loans for general liability, directors’ and officers’ insurance and other insurance liabilities, which bear interest at varying percentages and require monthly payments. As of March 31, 2026 and December 31, 2025, the remaining balances of these loans was $0 and $113,158, respectively. For the three months ended March 31, 2026 and 2025, these insurance loans incurred approximately $16,647 and $967, respectively, of interest expense.

 

Gibraltar Loan and Security Agreement – Revolving Loan

 

As of March 31, 2026, the Company did not have any outstanding borrowings under the Gibraltar Loan and Security Agreement. The Company fully repaid all obligations under the Gibraltar facility in December 2025, and the agreement, including the related forbearance arrangements, was terminated at that time. There was no activity related to the Gibraltar Loan during the three months ended March 31, 2026.

 

Notes Payable – Related Parties

 

The Company’s notes payable as of March 31, 2026 consist of (i) the Amended Consolidated Secured Promissory Note issued to Ross Sklar and (ii) the Bridge Term Loan Promissory Note entered into with The Starco Group, Inc. on December 22, 2025. Both of these financing arrangements are with related parties and are described in Note 9 - Related Party Transactions. There were no amendments, additional borrowings, or repayments under these related-party notes during the three months ended March 31, 2026, other than the accrual and payment of interest in accordance with their terms.

 

CEO Notes

 

See Note 9 for loans to STCB from the Company’s CEO.