Datz World Holdings Corp 10-Q, filed Feb 14, 2022

Datz World Holdings Corp. (BOTX)

10-Q 2022-02-14 For: 2021-12-31

Added on April 06, 2026

About this 10-Q

Datz World Holdings Corp filed this 10-Q on February 14, 2022, covering the quarter ended December 31, 2021.

Headline figures

Quarter ended December 31, 2021, as reported in this filing, compared with the same period a year earlier where the filing states it.

Revenue: $923.83K; up 53.3% from $602.79K a year earlier
Net loss: $1.37M; compared with a net loss of $4.26M a year earlier

Search and read filings like this one from Claude or ChatGPT with the SEC filings MCP server →

Nevada		38-3944821
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

Title of Each Class	Trading Symbol(s)	Name of each exchange on which registered
None	None	None

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
		Emerging growth company	☒

PART I – FINANCIAL INFORMATION

Item 1.	Interim Condensed Consolidated Financial Statements	3
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	18
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	23
Item 4.	Controls and Procedures	23

PART II – OTHER INFORMATION

Item 1.	Legal Proceedings	24
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	24
Item 3.	Defaults Upon Senior Securities	24
Item 4.	Mine Safety Disclosures	24
Item 5.	Other Information	24
Item 6.	Exhibits	25
	SIGNATURES	26

LEAFBUYER TECHNOLOGIES INC.
UNAUDITED CONDENSED CONSOLDIATED BALANCE SHEETS

	December 31, 2021			June 30, 2021

ASSETS
Current assets:
Cash and cash equivalents	$	452,251		$	684,639
Accounts receivable (net of allowance for doubtful accounts of $7,452and $14,037, respectively,)		55,170			31,474
Prepaid expenses and other current assets		18,327			14,152
Total current assets		525,748			730,265
Noncurrent assets:
Fixed assets and intangible assets, net		2,311,702			2,673,924
Total assets	$	2,837,450		$	3,404,189

LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Current liabilities:
Accounts payable	$	339,851		$	213,465
Accrued liabilities		1,002,933			958,451
Deferred revenue		70,059			67,276
Debt, related party (Note 9)		325,000			325,000
Debt		1,404,802			1,404,802
Derivative liability		-			6,601,339
Total current liabilities		3,142,645			9,570,333
Debt, net of current portion		500,000			1,057,977

Total liabilities		3,642,645			10,628,310

Commitments and contingencies (Note 6)		-			-

Stockholders’ Equity (Deficit):
Convertible Preferred Stock, $0.001 par value; 10,000,000 shares authorized
Convertible Preferred Stock Series A, $0.001 par value; 324,325 designated; 324,325 and 324,325 shares issued and outstanding at December 31, 2021 and June 30, 2021, respectively		324			324
Convertible Preferred Stock, $0.001 par value; 10,000,000 shares authorized Convertible Preferred Stock Series B, $0.001 par value; 27,027 designated;7,568 and 7,568 shares issued and outstanding at December 31, 2021 and June 30, 2021, respectively		8			8
Common stock, $0.001 par value;700,000,000 shares authorized; 91,530,085 shares issued and outstanding at December 31, 2021 and 81,772,802 shares issued and outstanding at June 30, 2021		91,529			89,318
Additional paid in capital		22,323,998			17,492,411
Accumulated deficit		(23,221,054	)		(24,806,182	)
Total stockholders’ equity (deficit)		(805,195	)		(7,224,121	)
Total liabilities and stockholders’ equity (deficit)	$	2,837,450		$	3,404,189

LEAFBUYER TECHNOLOGIES INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)

	Three Months Ended December 31,						Six Months Ended December 31,
	2021			2020			2021			2020
				(Restated)						(Restated)
Sales revenue	$	923,829		$	602,787		$	1,775,522		$	1,255,510
Cost of sales		662,059			487,041			1,292,594			943,946
Gross profit		261,770			115,746			482,928			311,564

Operating expenses:
Selling expenses		210,885			230,852			442,390			495,696
General and administrative		150,078			149,527			298,243			379,703
Personnel expenses		204,152			101,387			435,904			444,317
Stock based compensation expense		185,560			101,591			383,388			184,522
Total operating expenses		750,675			583,357			1,559,925			1,504,238

Loss from operations		(488,905	)		(467,611	)		(1,076,997	)		(1,192,674	)

Interest expense		(46,650	)		(73,260	)		(104,321	)		(215,231	)
Unrealized gain(loss) on Derivative		(838,303	)		(3,714,877	)		2,208,469			(2,792,563	)
Other Income								557,977			-

Net loss	$	(1,373,858	)	$	(4,255,748	)	$	1,585,128		$	(4,200,468	)

Net loss per common share:
Basic	$	(0.01	)	$	(0.05	)	$	0.02		$	(0.05	)
Fully Diluted	$			$			$	0.01		$	(0.02	)

Weighted average common shares outstanding:
Basic		90,511,052			82,072,299			90,835,517			82,072,299
Fully Diluted								255,041,108			248,966,302

	Preferred Stock A				Preferred Stock B				Common Stock
	Shares		Amount		Shares		Amount		Shares		Amount		APIC		Acc Deficit			Total
Balance, June 30, 2021		324,325	$	324		7,567	$	8		89,318,160	$	89,318	$	17,492,411	$	(24,806,182	)	$	(7,224,121	)

Stock based compensation		-		-		-		-		-		-		264,628		-			264,628

Issuance of common stock for vendor payments		-		-		-		-		814,790		814		56,727		-			57,541

Cancellation of Bifurcated Derivative PS A														4,392,870					4,392,870

Issuance of common stock as employee compensation		-		-		-		-		1,397,135		1,397		117,363		-			118,760

Net gain		-		-		-		-		-		-		-		1,585,128			1,585,129

Balance, December 31, 2021		324,325	$	324		7,567	$	8		91,530,085	$	91,529	$	22,323,998	$	(23,221,054	)	$	(805,195	)

LEAFBUYER TECHNOLOGIES INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW
(Unaudited)

	Six months Ended December 31,
	2021			2020
Cash flows from operating activities:				(RESTATED)
Net Income	$	1,585,128		$	(4,200,468	)
Adjustments to reconcile net income to net cash used in operating activities:
Stock based compensation		388,388			256,502
Amortization of note payable discount		-			65,638
Loss (gain) on derivative liability		(2,208,469	)		2,792,563
Forgiveness of PPP loan		(557,977	)		-
Depreciation and amortization		362,222			362,223
Changes in assets and liabilities:
Accounts receivable		(23,696	)		(5,931	)
Prepaid expenses and other		(4,175	)		27,400
Accounts payable		126,386			(276,905	)
Accrued liabilities		47,265			347,000
Net cash used in operating activities		(232,388	)		(640,739	)

Cash flows from investing activities:
Net cash used in investing activities		-			-

Cash flows from financing activities:
Net cash provided by financing activities		-			-

Net change in cash and cash equivalents		(232,388	)		(640,739	)
Cash and cash equivalents, beginning of period		684,639			1,309,912
Cash and cash equivalents, end of period	$	452,251		$	669,173

Cash paid for interest	$	-		$	-
Cash paid for taxes	$	-		$	-
Supplemental information for non-cash investing and financing activities:
Issuance of common stock for vendor payments	$	57,540		$	71,980

	As Computed - Restated		As Reported		Effect of Change
Convertible Preferred Stock Series A - Value	$	324	$	3,000	$	(2,676	)
Convertible Preferred Stock Series B - Value	$	8	$	1,120	$	(1,112	)
Additional Paid in Capital	$	16,725,897	$	16,722,110	$	3,788

Convertible Preferred Stock Series A - Shares		324,325		3,000,000		(2,675,675	)
Convertible Preferred Stock Series B - Shares		7,567		1,120,000		(1,112,433	)

	December 31, 2021			June 30, 2021

Software platform	$	4,482,225		$	4,482,225
Furniture and fixtures		1,500			1,500
Less accumulated amortization		(2,170,523	)		(1,809,801	)
Property and equipment, net	$	2,311,702		$	2,673,924

2022	$	724,445
2023		724,445
2024		724,445
2025		138,367
Total Unamortized Expense	$	2,311,701

	Maturity Date	December 31, 2021		June 30, 2021
12% $150,000 Convertible Note Payable, net of unamortized discount of $0 and $0, respectively	Due on Demand	$	150,000	$	150,000
12% $440,000 Convertible Note Payable, net of unamortized discount of $0 and $0, respectively	Due on Demand		440,000		440,000
12% $220,000 Convertible Note Payable, net of unamortized discount of $0 and $0, respectively	Due on Demand		220,000		220,000

7% $213,333 Convertible Note Payable, net of unamortized discount of $0 and $28,492, respectively	Due on Demand		244,802		244,802
8% $600,000 Related Party Note Payable, net of unamortized discount of $0 and $21,911 respectively	Due on Demand		300,000		300,000
8% $50,000 Related Party Note Payable	Due on Demand		25,000		25,000
5% Note Payable	Due on Demand (1)		350,000		350,000
1% PPP #2 Note Payable	May 29 ,2022		-		557,977
3.75% SBA EIDL Note Payable	April 30, 2050		500,000		500,000
Total notes payable			2,229,802		2,787,779
Less current portion of notes payable			1,729,802		1,729,802
Notes payable, net of current portion		$	500,000	$	1,057,977

Expected option life (years)	2-4
Expected stock price volatility	227 to 258	%
Expected dividend yield	-
Risk-free interest rate	0.44 to 0.54	%

	Shares			Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Price		Aggregate Intrinsic Value

Options:
Outstanding at July 1, 2021		13,594,259		$	0.08
Granted		562,500		$	0.13
Exercised, converted		-		$	0.00
Forfeited / exchanged / modification		(542,027	)	$	0.07
Outstanding at December 31, 2021		13,614,732		$	0.11		2.5	$	-
Exercisable at December 31, 2021		9,557,364		$	0.08		3.0

Number of options available for grant at end of period		426,870

Options	Shares			Weighted-Average Grant-Date Fair Value
Nonvested at July 1, 2021		12,130,179		$	0.08
Granted		562,500		$	0.13
Vested		(542,027	)	$	0.07
Forfeited		(955,733	)	$	0.08
Nonvested at December 31, 2021		11,194,920		$	0.08

Warrants	Remaining Number Outstanding		Weighted Average Remaining Life (Years)		Weighted Average Exercise Price
Warrants - SEDA Financing		86,957		1.80	$	1.15
Warrants - Issued with Convertible Notes		600,000		2.23	$	0.75
Warrants - Securities Purchase Agreement		360,577		3.02	$	0.78
Warrants A - Securities Purchase Agreement		28,072,364		3.02	$	0.16
Total		29,119,898
Aggregate intrinsic value at December 31, 2021	$	0

	Six months Ended September,
	2021			2020
Net cash used in operating activities	$	(232,388	)	$	(640,739	)
Net cash used in investing activities	$	-		$	-
Net cash provided by financing activities	$	-		$	-

Exhibit Number		Exhibit Description

31.1		Certification of Chief Executive Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002*

31.2		Certification of Chief Financial Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002*

32.1		Certification of Chief Executive Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 **

32.2		Certification of Chief Financial Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 **

101.INS		101.INS Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document).

101.SCH		101.SCH Inline XBRL Taxonomy Extension Schema Document.

101.CAL		101.CAL Inline XBRL Taxonomy Extension Calculation Linkbase Document.

101.DEF		101.DEF Inline XBRL Taxonomy Extension Definition Linkbase Document.

101.LAB		101.LAB Inline XBRL Taxonomy Extension Labels Linkbase Document.

101.PRE		101.PRE Inline XBRL Taxonomy Extension Presentation Linkbase Document.

104		Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101).

	LEAFBUYER TECHNOLOGIES, INC.

Date: February 14, 2022	By:	/s/ Kurt Rossner
		Kurt Rossner
		Chief Executive Officer, Director (principal executive officer)

	By:	/s/ Mark Breen
		Mark Breen
		Chief Financial Officer and Director