Quarterly report [Sections 13 or 15(d)]

Related Party Transactions

v3.26.1
Related Party Transactions
3 Months Ended
Mar. 31, 2026
Related Party Transactions [Abstract]  
Related Party Transactions

Note 6 — Related Party Transactions

 

CEO Compensation

 

Alan Campbell serves as the Company’s Chief Executive Officer pursuant to an employment agreement entered into in August 2025. The agreement provides for an annual salary of $350,000 and an initial equity grant of 780,264 shares of common stock that vest over three years. The agreement also contains an anti-dilution provision (see Note 10 — Derivative Liability).

 

Office Space

 

The Company’s premises at 407 Lincoln Road, Suite 9F, Miami Beach, FL 33139 are provided by The Farkas Group, Inc., a related party, at no cost to the Company.

 

Related Party Notes and Advances

 

The following table summarizes related party notes and advances outstanding as of March 31, 2026:

 

Loan Source   Principal     Accrued Interest     Balance Sheet Classification
Michael Farkas — Note 10/14/2025 (18%)   $ 18,000     $ 1,491     Short-term advances — RP
The Farkas Group — Note 11/3/2025 (8%)   $ 250,000     $ 8,110     Notes payable — RP
The Farkas Group — Note 11/11/2025 (8%)   $ 250,000     $ 7,671     Notes payable — RP
Total   $ 518,000     $ 17,272      

 

Related Party Interest Expense

 

The following related party notes recognized interest expense for the three months ended March 31, 2026 and 2025:

 

    Q1 2026     Q1 2025  
Michael Farkas — Note 10/14/2025   $ 799     $  
The Farkas Group — Note 11/3/2025     4,932        
The Farkas Group — Note 11/11/2025     4,932        
Balance Group LLC (pre-conversion)           1,186  
The Farkas Group (pre-conversion)           25,108  
CEO Loans (pre-conversion)           10,291  
Foundation (pre-conversion)           1,184  
Convertible Note — Balance Group LLC (pre-conversion)           3,092  
Convertible Note — CEO (pre-conversion)           1,574  
Total related party interest expense   $ 10,663     $ 42,435