Item 2. Properties
Item 2. Properties.
On August 1, 2020, we began leasing office space consisting
of 1,595 square feet as our main corporate office in Grant, Florida for $1,000 per month. The five-year lease agreement is with a related
party, Just Pick, LLC (“Just Pick”). Nirajkumar Patel, our Chief Science and Regulatory Officer and director, is also an officer
of Just Pick. We believe our office space is sufficient to meet our current needs.
On November 1, 2021 the Company entered into a month-to-month
lease agreement with Ranger Enterprises, LLC, located in Seymour, Indiana, to store product inventory at this satellite location. The
Company made payments on this lease in the amount of $19,959. The lease was terminated in June 2022.
On November 11, 2021 the Company entered into a month-
to-month lease agreement with FFE Solutions Group, located in Salt Lake City Utah, to store additional product inventory at this satellite
location. The Company made payments on this lease in the amount of $19.108. This lease was terminated in April 2022.
On June 10, 2022, we entered into a Lease Agreement
(the “2022 Lease”) with Just Pick, LLC (a related party) for approximately 21,332 rentable square feet combined in the office
building and warehouse located at 4460 Old Dixie Highway, Grant-Valkaria, Florida 32949 (the “Premises”), together with all
improvements thereon. Just Pick, LLC is considered a related party as it is owned controlled by our Chief Science and Regulatory Officer
and director, Nirajkumar Patel. We believe our office space is sufficient to meet our current needs. We must pay the Just Pick lease base
rent equal to $17,776.67 per month during the first year of the lease term. Thereafter, the monthly base rent will be increased annually
with a monthly base rent of $18,665.50 in the second year, $19,554.33 in the third year, $20,443.17 in the fourth year, $22,220.83 in
the fifth year, $23,998.50 in the sixth year, and one twelfth (1/12 th ) of the market annual rent for the seventh through eleventh
years, if appliable. In addition to the base rent, we must pay Just Pick one hundred percent (100%) of operating expenses, insurance costs,
and taxes for each calendar year during the lease term.
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