Sow Good Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Sow Good Inc. has filed its quarterly report (10-Q) for the period ending March 31, 2024, detailing financial obligations and corporate history.</b>

AI Summary

Sow Good Inc. (SOWG) filed a Quarterly Report (10-Q) with the SEC on May 15, 2024. Sow Good Inc. filed a 10-Q report for the period ending March 31, 2024. The company was formerly known as Black Ridge Oil & Gas, Inc. and ante5, Inc. The filing includes details on various notes payable, including those to Lyle A. Berman Revocable Trust and IG Union Bower LLC. Stock options and warrants issued with promissory notes are mentioned in relation to specific dates and individuals. The company's business address is located at 1440 N. Union Bower, Irving, TX 75061.

Why It Matters

For investors and stakeholders tracking Sow Good Inc., this filing contains several important signals. The filing provides a detailed look at the company's financial structure, including various notes payable and warrants, which are crucial for understanding its debt obligations and potential equity dilution. Information on past company names and the current business address offers context on the company's evolution and operational base.

Risk Assessment

Risk Level: medium — Sow Good Inc. shows moderate risk based on this filing. The company has a complex structure of notes payable and warrants, indicating potential financial risks and dilution concerns that require careful monitoring.

Analyst Insight

Investors should closely examine the notes payable and warrant details in the 10-Q to assess the company's financial health and potential equity dilution.

Key Numbers

• 2024-03-31 — Reporting Period End Date (10-Q filing)
• 2024-05-15 — Filing Date (10-Q filing)
• 2012-04-03 — Date of Name Change (From Black Ridge Oil & Gas, Inc.)
• 2010-04-22 — Date of Name Change (From ante5, Inc.)

Key Players & Entities

• Sow Good Inc. (company) — Filer name
• Black Ridge Oil & Gas, Inc. (company) — Former company name
• ante5, Inc. (company) — Former company name
• Lyle A. Berman Revocable Trust (company) — Mentioned in relation to notes payable
• IG Union Bower LLC (company) — Mentioned in relation to notes payable
• Mr. Mueller (person) — Mentioned in relation to share-based compensation
• Mr. Goldfarb (person) — Mentioned in relation to share-based compensation and employment agreements
• Mr. Creed (person) — Mentioned in relation to share-based compensation

FAQ

Key Dates

• 2024-03-31: Quarterly Period End — Financial data reported in the 10-Q pertains to this date.
• 2024-05-15: Filing Date — Date the 10-Q was officially submitted to the SEC.

Glossary

10-Q

A quarterly report required by the U.S. Securities and Exchange Commission (SEC). (Provides an update on the company's financial performance and condition between annual reports.)

Notes Payable

Obligations to repay borrowed money. (Indicates the company's debt structure and repayment commitments.)

Warrants

Options to purchase a company's stock at a specific price. (Can lead to equity dilution if exercised.)

Key Financial Figures

• $0.001 — ch registered Common stock, par value $0.001 per share SOWG NASDAQ Indicate by

Filing Documents

• sowg-20240331.htm (10-Q) — 1809KB
• sowg-ex31_1.htm (EX-31.1) — 13KB
• sowg-ex31_2.htm (EX-31.2) — 13KB
• sowg-ex32_1.htm (EX-32.1) — 7KB
• sowg-ex32_2.htm (EX-32.2) — 7KB
• img137448226_0.jpg (GRAPHIC) — 10KB
• 0000950170-24-060058.txt (&nbsp;) — 9510KB
• sowg-20240331.xsd (EX-101.SCH) — 1452KB
• sowg-20240331_htm.xml (XML) — 1758KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 4 Condensed Balance Sheets as of March 31, 2024 (Unaudited) and December 31, 2023 4 Unaudited Condensed Statements of Operations for the Three Months Ended March 31, 2024 and 2023 4 Unaudited Statements of Changes in Stockholders' Equity for the Three Months Ended March 31, 2024 and 2023 6 Unaudited Condensed Statements of Cash Flows for the Three Months Ended March 31, 2024 and 2023 7 Notes to the Condensed Financial Statements (Unaudited) 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 30 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 38 Item 4.

Controls and Procedures

Controls and Procedures 38 PART II. OTHER INFORMATION 39 Item 1.

Legal Proceedings

Legal Proceedings 39 Item 1A.

Risk Factors

Risk Factors 39 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 39 Item 3. Defaults Upon Senior Securities 39 Item 4. Mine Safety Disclosures 39 Item 5. Other Information 39 Item 6. Exhibits 40

Signatures

Signatures 41 2 CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS We are including the following discussion to inform our existing and potential security holders generally of some of the risks and uncertainties that can affect our company and to take advantage of the "safe harbor" protection for forward-looking statements that applicable federal securities law affords. From time to time, our management or persons acting on our behalf may make forward-looking statements to inform existing and potential security holders about our company. All statements other than statements of historical facts included in this report regarding our financial position, business strategy, plans and objectives of management for future operations and industry conditions are forward-looking statements. When used in this report, forward-looking statements are generally accompanied by terms or phrases such as "estimate," "project," "predict," "believe," "expect," "anticipate," "target," "plan," "intend," "seek," "goal," "will," "should," "may" or other words and similar expressions that convey the uncertainty of future events or outcomes. Items making assumptions regarding actual or potential future sales, market size, collaborations, trends or operating results also constitute such forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and important factors (many of which are beyond our control) that could cause actual results to differ materially from those set forth in the forward-looking statements include the following: our ability to compete successfully in the highly competitive industry in which we operate; our ability to maintain and enhance our brand; our ability to successfully implement our growth strategies related to launching new products; the effectiveness and efficiency of our marketing programs; our ability to manage current operations and to manage future growth effectively; our future operating per

—FINANCIAL INFO RMATION

PART I—FINANCIAL INFO RMATION

Finan cial Statements

Item 1. Finan cial Statements. SOW GOOD INC. CONDENSED BALANCE SHEETS March 31, December 31, 2024 2023 ASSETS (Unaudited) Current assets: Cash and cash equivalents $ 6,815,355 $ 2,410,037 Accounts receivable, net 2,934,925 2,578,259 Inventory 5,138,229 4,123,246 Prepaid inventory 804,981 563,131 Prepaid expenses 512,155 563,164 Total current assets 16,205,645 10,237,837 Property and equipment: Construction in progress 1,242,627 1,522,465 Property and equipment 7,197,592 6,287,422 Less accumulated depreciation ( 1,134,597 ) ( 967,602 ) Total property and equipment, net 7,305,622 6,842,285 Security deposit 357,954 346,616 Right-of-use asset 3,999,151 4,061,820 Other assets 35,000 - Total assets $ 27,903,372 $ 21,488,558 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 894,011 $ 853,535 Accrued interest 1,006,937 860,693 Accrued expenses 1,032,746 648,947 Current portion of operating lease liabilities 638,630 550,941 Current maturities of notes payable, related parties, net of $ 345,424 and $ 431,854 of debt discounts at March 31, 2024 and December 31, 2023, respectively 2,629,576 2,543,146 Current maturities of notes payable, net of $ 57,479 and $ 86,062 of debt discounts as of March 31, 2024 and December 31, 2023, respectively 342,521 313,938 Total current liabilities 6,544,421 5,771,200 Operating lease liabilities 3,537,749 3,671,729 Notes payable, related parties, net of $ 1,305,962 and $ 1,448,858 of debt discounts as of March 31, 2024 and December 31, 2023, respectively 4,314,038 4,171,142 Notes payable, net of $ 123,639 and $ 135,962 of debt discounts as of March 31, 2024 and December 31, 2023, respectively 606,361 594,038 Total liabilities 15,002,569 14,208,109 Commitments and contingencies Stockholders' equity: Preferred stock, $ 0.001 par

View Full Filing

View this 10-Q filing on SEC EDGAR