LIFD 10-Q

Lftd Partners Inc. (LIFD)

10-Q 2023-08-11 For: 2023-06-30

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Added on April 06, 2026

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Common Stock, $0.001 par value		LIFD		None
Title of each class		Trading symbol(s)		Name of exchange on which registered

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

	PART I — FINANCIAL INFORMATION
Item 1.	Financial Statements	F-1
	Consolidated Balance Sheets, June 30, 2023 (Unaudited) and December 31, 2022 (Audited)	F-1
	Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2023 and 2022 (Unaudited)	F-2
	Consolidated Statements of Shareholders’ Equity for the Three and Six Months Ended June 30, 2023 and 2022 (Unaudited)	F-3
	Consolidated Statement of Cash Flows for the Six Months Ended June 30, 2023 and 2022 (Unaudited)	F-4
	Notes to the Consolidated Financial Statements (Unaudited)	F-5
Item 2.	Management’s Discussion And Analysis Of Financial Condition And Results Of Operations	3
Item 3.	Quantitative And Qualitative Disclosures About Market Risk	9
Item 4.	Controls And Procedures	9
	PART II — OTHER INFORMATION
Item 1.	Legal Proceedings.	11
Item 1A.	Risk Factors.	11
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.	11
Item 3.	Defaults Upon Senior Securities.	11
Item 4.	Mine Safety Disclosures.	11
Item 5.	Other Information.	11
Item 6.	Exhibits	12
	SIGNATURES	13

LFTD PARTNERS INC. AND SUBSIDIARY LIFTED LIQUIDS, INC.
CONSOLIDATED BALANCE SHEETS

	June 30, 2023			December 31, 2022
	(Unaudited)			(Audited)
ASSETS
Current Assets
Cash and Cash Equivalents	$	2,049,268		$	3,530,623
Prepaid Expenses		911,477			1,668,961
Accounts Receivable, net of allowance of $261,200 in 2023 and $281,762 in 2022		2,814,647			2,410,327
Inventory		10,469,279			6,023,967
Income Tax Receivable		278,604			-
Current Portion of Settlement Asset		185,024			185,024
Other Current Assets		-			35,047
Total Current Assets		16,708,299			13,853,949
Goodwill		23,092,794			22,292,767
Investment in Ablis		399,200			399,200
Investment in Bendistillery and Bend Spirits		1,497,000			1,497,000
Net Deferred Tax Asset		998			87,422
Fixed Assets, less accumulated depreciation of $361,349 in 2023 and $209,143 in 2022		1,893,439			1,020,255
Security and State Licensing Deposits		35,671			25,600
Finance Lease Right-of-Use Asset, net of Right-of-Use Asset Amortization of $227,608 in 2023 and $206,008 in 2022		1,252,800			1,274,400
Operating Lease Right-of-Use Asset, net of Right-of-Use Asset Amortization of $179,879 in 2023 and $100,892 in 2022		713,826			496,604
Non-Current Portion of Settlement Asset		92,512			185,024
Other Non-Current Assets		30,000			-
Total Assets	$	45,716,539		$	41,132,221
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Finance Lease Liability	$	1,370,124		$	1,357,524
Operating Lease Liability		168,430			117,719
Deferred Revenue		622,361			594,086
Earnout Liability Pursuant to the Oculus Merger Agreement		1,000,000			-
Income Tax Payable		-			77,641
Accounts Payable and Accrued Expenses		3,815,908			4,049,897
Accounts Payable - Related Party		1,860			2,229
Preferred Stock Dividends Payable		7,206			11,036
Total Current Liabilities	$	6,985,890		$	6,210,133
Non-Current Liabilities
Operating Lease Liability		546,546			384,417
Total Non-Current Liabilities	$	546,546		$	384,417
Total Liabilities	$	7,532,435		$	6,594,549
Commitments and Contingencies		-			-
Shareholders' Equity
Preferred Stock, $0.001 par value; 10,000,000 total shares authorized; out of which 400,000 shares of Series A Convertible Preferred Stock are authorized, and 4,500 shares of Series A Convertible Preferred Stock shares were issued and outstanding at June 30, 2023, and 4,500 shares of Series A Convertible Preferred Stock shares were issued and outstanding at December 31, 2022; and out of which 5,000,000 shares of Series B Convertible Preferred Stock are authorized, and 40,000 shares of Series B Convertible Preferred Stock shares were issued and outstanding at June 30, 2023, and 40,000 shares of Series B Convertible Preferred Stock shares were issued and outstanding at December 31, 2022		45			45
Common Stock, $0.001 par value; 100,000,000 shares authorized; 14,512,678 shares issued and outstanding at June 30, 2023, and 14,102,578 shares issued and outstanding at December 31, 2022		14,513			14,103
Additional Paid-in Capital		40,121,209			38,762,260
235,000 shares of Deferred Contingent Stock issuable upon instruction by the respective Deferred Contingent Stock Recipients at June 30, 2023; no shares of Deferred Contingent Stock issuable at December 31, 2022		779,025			-
Accumulated Deficit		(2,730,688	)		(4,238,735	)
Total Shareholders' Equity		38,184,103			34,537,671
Total Liabilities and Shareholders' Equity	$	45,716,539		$	41,132,221

LFTD PARTNERS INC. AND SUBSIDIARY LIFTED LIQUIDS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)

	For the Three Months Ended						For the Six Months Ended
	June 30,						June 30,
	2023			2022			2023			2022
Net Sales	$	12,522,542		$	16,776,502		$	24,984,335		$	34,865,379
Cost of Goods Sold		6,886,185			8,713,590			13,699,533			18,817,483
Gross Profit		5,636,357			8,062,912			11,284,802			16,047,896
Operating Expenses:
Deferred Contingent Stock Expense		-			-			2,138,175			-
Payroll Expenses		1,778,329			1,811,678			3,652,827			3,665,829
Company-Wide Management Bonus Pool		-			1,152,162			233,332			2,121,532
Professional Fees		256,328			203,402			605,144			320,629
Bank Charges and Merchant Fees		140,731			132,470			277,550			265,507
Advertising and Marketing		250,178			110,797			478,749			216,397
Bad Debt Expense		77,981			(311,209	)		221,500			(63,209	)
Depreciation and Amortization		44,989			6,706			83,122			9,409
Other Operating Expenses		715,147			528,608			1,326,613			911,070
Total Operating Expenses		3,263,683			3,634,615			9,017,012			7,447,164
Income From Operations		2,372,674			4,428,297			2,267,790			8,600,733
Other Income/(Expenses)
Interest Expense		(24,364	)		(26,928	)		(48,551	)		(58,658	)
Dividend Income		1,193			-			1,193			-
Penalties		(11,431	)		222			(11,692	)		(1,730	)
Gain on Forgiveness of Debt		-			-			-			5,026
Settlement Income		-			108,570			-			108,570
Interest Income		10,664			521			25,476			1,013
Total Other Income/(Expenses)		(23,938	)		82,385			(33,574	)		54,220
Income Before Provision for Income Taxes		2,348,736			4,510,682			2,234,216			8,654,953
Provision for Income Taxes		(689,275	)		(1,291,222	)		(716,497	)		(2,490,700	)
Net Income Attributable to LFTD Partners Inc. common stockholders	$	1,659,461		$	3,219,460		$	1,517,719		$	6,164,253

Basic Net Income per Common Share	$	0.11		$	0.23		$	0.10		$	0.44
Diluted Net Income per Common Share	$	0.10		$	0.20		$	0.09		$	0.39

Weighted average number of common shares outstanding:
Basic		14,512,648			14,099,007			14,380,431			14,058,517
Diluted		16,689,846			15,906,205			16,557,629			15,865,715

LFTD PARTNERS INC. AND SUBSIDIARY LIFTED LIQUIDS, INC.
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (DEFICIT)
(UNAUDITED)

																				Deferred
																	Additional			Contingent					Total
	Preferred Stock						Common Stock						Treasury Stock				Paid-in			Stock		Accumulated			Shareholders'
	Shares			Amount			Shares			Amount			Shares		Amount		Capital			to be Issued		Deficit			Equity
Balance, December 31, 2021		45,750		$	46			14,027,578		$	14,028			-	$	-	$	38,862,333		$	-	$	(11,414,602	)	$	27,461,804
Series A Preferred Stock dividend payable																							(4,253	)		(4,253	)
Series B Preferred Stock dividend payable																							(1,476	)		(1,476	)
Issuance of Common Stock Upon Exercise of Warrant								50,000			50							49,950								50,000
Repurchase and cancellation of Common Stock								(100,000	)		(100	)						(149,900	)							(150,000	)
Net Income																							2,944,793			2,944,793
Balance, March 31, 2022		45,750		$	46			13,977,578		$	13,978			-	$	-	$	38,762,383		$	-	$	(8,475,539	)	$	30,300,868
Series A Preferred Stock dividend payable																							(3,403	)		(3,403	)
Series B Preferred Stock dividend payable																							(1,496	)		(1,496	)
Conversions of Series A Convertible Preferred Stock to Common Stock		(1,250	)		(1	)		125,000			125							(124	)							-
Issuance of Common Stock																										-
Repurchase and cancellation of Common Stock																										-
Net Income																							3,219,460			3,219,460
Balance, June 30, 2022		44,500		$	45			14,102,578			14,103			-	$	-	$	38,762,260		$	-	$	(5,260,978	)	$	33,515,429

Balance, December 31, 2022		44,500		$	45			14,102,578		$	14,103			-	$	-	$	38,762,260				$	(4,238,735	)	$	34,537,671
Issuance of 410,000 of the total 645,000 shares of Deferred Contingent Stock related to the acquisition of Lifted, of which shares began being issued on February 24, 2023 upon direction by the Deferred Contingent Stock Recipients								410,000			410						$	1,358,740		$	779,025					2,138,175
Series A Preferred Stock dividend payable																							(3,329	)		(3,329	)
Series B Preferred Stock dividend payable																							(1,480	)		(1,480	)
Net Loss																							(141,742	)		(141,742	)
Balance, March 31, 2023		44,500		$	45			14,512,578		$	14,513			-	$	-	$	40,121,000		$	779,025	$	(4,385,286	)	$	36,529,296
Series A Preferred Stock dividend payable																							(3,366	)		(3,366	)
Series B Preferred Stock dividend payable																							(1,497	)		(1,497	)
Issuance of 100 shares of common stock pursuant to the Oculus Merger Agreement								100			0.10							208.90								209
Net Income																							1,659,461			1,659,461
Balance, June 30, 2023		44,500		$	45			14,512,678		$	14,513		$	-	$	-	$	40,121,209		$	779,025	$	(2,730,688	)	$	38,184,103

LFTD PARTNERS INC. AND SUBSIDIARY LIFTED LIQUIDS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)

	For the Six Months Ended
	June 30,
	2023			2022
Cash Flows From Operating Activities
Net Income	$	1,517,719		$	6,164,253
Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by (Used in) Operating Activities:
Deferred Contingent Stock Compensation Expense		2,138,175			-
Bad Debt Expense		221,500			(63,209	)
Depreciation and Amortization		173,806			83,069
Gain on Forgiveness of Debt		-			(5,026	)
Spoiled and Written Off Inventory		174,256			799,465
Sales Allowances		(571,687	)		76,614
Deferred Income Taxes		86,424			391,602
Effect on Cash of Changes in Operating Assets and Liabilities
Accounts Receivable		6,395			418,837
Prepaid Expenses		757,484			1,420,190
Dividend Receivable from Bendistillery, Inc.		-			2,495
Income Tax Payable		(356,246	)		(257,042	)
Management Bonuses Payable		-			(941,562	)
Company-wide Management Bonus Pool		-			565,477
Inventory		(4,472,138	)		(7,038,765	)
Other Current Assets		29,707			(4,360	)
Trade Accounts Payable and Accrued Expenses		(233,989	)		472,554
Accounts Payable and Interest Payable to Related Parties		(368	)		(16,926	)
Change in Settlement Asset		92,512			-
Change in Right Of Use Asset		78,987			(93,141	)
Change in Finance & Operating Lease Liabilities		(34,933	)		95,633
Deferred Revenue		28,275			(1,540,664	)
Net Cash Provided by/(Used in) Operating Activities		(364,121	)		529,492
Cash Flows From Investing Activities
Net Cash Paid as Part of the Oculus Transaction		(342,068	)		-
Net Purchase of Fixed Assets		(695,831	)		(85,297	)
Net Cash Used in Investing Activities		(1,037,898	)		(85,297	)
Cash Flows From Financing Activities
Issuance of Common Stock		-			50,000
Payments of Dividends to Series A Convertible Preferred Stockholders		(13,499	)		(17,147	)
Proceeds from Borrowings Under Notes Payable to Related Party - Nick Warrender		-			2,750,000
Repayment of Borrowings Under Notes Payable to Related Party - Nick Warrender		-			(916,666	)
Purchase of Shares of Common Stock		-			(150,000	)
Payments on Finance Lease Liability		(35,836	)		(11,970	)
Other Financing Activities		(30,000	)		-
Net Cash Provided By/(Used In) Financing Activities		(79,335	)		1,704,217
Net Increase/(Decrease) in Cash		(1,481,355	)		2,148,413
Cash and Cash Equivalents at Beginning of Period		3,530,623			1,602,731
Cash and Cash Equivalents at End of Period	$	2,049,268			3,751,144

	(a)	If, according to NWarrender’s Determination, the Incremental Pre-Tax Profits of Lifted being generated by the business is $500,000, then the second installment of the Merger Consideration would be calculated as $500,000 X 5 = $2,500,000, of which ($2,500,000 X .2) = $500,000 would be in the form of cash, and the remaining $2,000,000 would be paid in the form of ($2,000,000/$5) = 400,000 newly issued shares of unregistered LIFD Common Stock;

	(b)	If, according to NWarrender’s Determination, the Incremental Pre-Tax Profits of Lifted being generated by the business is $25,000, then the second installment of the Merger Consideration would be the minimum of $1,000,000, of which ($1,000,000 X .2) = $200,000 would be in the form of cash, and the remaining $800,000 would be paid in the form of ($800,000/$5) = 160,000 newly issued shares of unregistered LIFD Common Stock; and

	(c)	If, according to NWarrender’s Determination, the Incremental Pre-Tax Profits of Lifted being generated by the business is $2,000,000, then the second installment of the Merger Consideration would be the maximum of $6,000,000, of which ($6,000,000 X .2) = $1,200,000 would be in the form of cash, and the remaining $4,800,000 would be paid in the form of ($4,800,000/$5) = 960,000 newly issued shares of unregistered LIFD Common Stock.

Consideration Paid Pursuant to the Asset Purchase Agreement

Cash used to pay off Oculus' liabilities at the closing	$	368,488

Consideration Paid Pursuant to the Oculus Merger Agreement

First Installment of Merger Consideration
100 shares of common stock of LIFD issued at the closing of the Merger to Chase and Hagan Sanchez	$	209

Second Installment of Merger Consideration
Value of minimum consideration to be paid in cash	$	200,000
Value of minimum consideration to be paid in shares of common stock of LIFD (160,000 shares of common stock valued at $5.00 per share)	$	800,000
Total Consideration	$	1,368,697

Assets Acquired:

Cash	$	26,420
Accounts receivable	$	60,528
Inventory	$	147,431
Fixed Assets	$	329,559
Security and Utility Deposits	$	4,732
Goodwill	$	800,027
Total Assets Acquired	$	1,368,697

Total Liabilities Assumed	$	-

Net Assets Acquired	$	1,368,697

	June 30, 2023		December 31, 2022
Raw Goods	$	5,790,295	$	3,407,196
Finished Goods	$	4,678,984	$	2,616,771
Total Inventory	$	10,469,279	$	6,023,967

	1)	Identifying raw goods that would no longer be used in the manufacture of finished goods;
	2)	Identifying finished goods that would no longer be sold or that are slow moving; and
	3)	Valuing and expensing raw and finished goods that would no longer be sold.

	1)	The ordered item breaks, melts, or separates in transit to the customer. In this case, the Company will replace the broken, melted or separated item at no cost to the customer.
	2)	The Company sent the wrong item to the customer. In this case, the Company will allow the customer to keep, at no cost to the customer, the item that was mistakenly sent to the customer. The Company will also send the correct product to the customer, at no cost to the customer.
	3)	The customer ordered the wrong product. In this case, the customer, at his/her own expense, must mail the mistakenly ordered product back to the Company, and the Company will mail the correct product to the customer.
	4)	The ordered item is recalled. In a situation where product is recalled, the Company will offer a replacement, credit, or refund.

	June 30, 2023		December 31, 2022
Contract Assets (invoiced but unfulfilled performance obligations)	$	616,201	$	594,086

Deposits from customers for unfulfilled orders	$	6,160	$	-

Total Deferred Revenue	$	622,361	$	594,086

Asset Class	June 30, 2023			December 31, 2022
Machinery & Equipment	$	1,423,745		$	664,606
Leasehold Improvements	$	560,806		$	379,499
Trade Show Booths	$	68,701		$	10,000
Vehicles	$	75,047		$	75,047
Computer Equipment	$	18,979		$	7,312
Furniture & Fixtures	$	107,509		$	92,934
Sub-total:	$	2,254,788		$	1,229,398

Less: accumulated depreciation	$	(361,349	)	$	(209,143	)
	$	1,893,439		$	1,020,255

Asset Class	Estimated Useful Life
Machinery & Equipment		60 months
Leasehold Improvements		60 months
Trade Show Booths		36 months
Vehicles		60 months
Computer Equipment		60 months
Furniture & Fixtures		60 months

	For the three months ended								For the six months ended
	June 30,								June 30,
Type of Sale	2023				2022				2023				2022
Net sales of raw materials to customers	$	692	0	%	$	13,250	0	%	$	3,078	0	%	$	18,632	0	%
Net sales of products to private label clients		689,062	6	%		-	0	%		865,782	3	%		84,142	0	%
Net sales of products to wholesalers		2,462,335	20	%		1,945,785	12	%		4,901,856	20	%		4,420,993	13	%
Net sales of products to distributors		8,820,333	70	%		14,350,448	86	%		18,097,919	72	%		27,739,730	80	%
Net sales of products to end consumers		550,120	4	%		467,019	3	%		1,115,701	4	%		2,601,882	7	%
Net Sales	$	12,522,542	100	%	$	16,776,502	100	%	$	24,984,335	100	%	$	34,865,379	100	%

Date	Base Monthly Rent
January 1, 2021 – December 31, 2021	$	5,740.75
January 1, 2022 – December 31, 2022	$	5,855.57
January 1, 2023 – December 31, 2023	$	5,972.68
January 1, 2024 – December 31, 2024	$	6,092.13
January 1, 2025 – December 31, 2025	$	6,213.97

					Weighted-Average
			Weighted-Average		Remaining Contractual		Aggregate Intrinsic
	Shares		Exercise Price		Term (Years)		Value
Exercisable Options, Warrants, Rights to Purchase Warrants to Purchase Common Stock and Financing Warrants Outstanding, April 1, 2023		3,587,198	$	3.84		1.82	$	636,771
Exercisable Options, Warrants, Rights to Purchase Warrants to Purchase Common Stock and Financing Warrants Outstanding, June 30, 2023		3,612,198	$	3.85		1.57	$	453,593
Outstanding Options, Warrants, Rights to Purchase Warrants to Purchase Common Stock and Financing Warrants, June 30, 2023		3,612,198	$	3.85		1.57	$	453,593

Date	Base Monthly Rent
10/01/2021 – 09/30/2022	$	2,395.84
10/01/2022 – 09/30/2023	$	2,467.72
10/01/2023 – 09/30/2024	$	2,541.75

Date	Base Monthly Rent
01/01/2022 – 12/31/2022	$	4,000.00
01/01/2023 – 12/31/2023	$	4,120.00
01/01/2024 – 12/31/2024	$	4,243.60
01/01/2025 – 12/31/2025	$	4,370.91
01/01/2026 – 12/31/2026	$	4,502.34

Date	Base Monthly Rent
07/01/2022 – 06/30/2023	$	5,493.25
07/01/2023 – 06/30/2024	$	5,630.58
07/01/2024 – 06/30/2025	$	5,771.35
07/01/2025 – 06/30/2026	$	5,915.63
07/01/2026 – 06/30/2027	$	6,063.52

Date	Base Monthly Rent
February 1, 2023 – February 28, 2023	$	0.00
March 1, 2023 – February 29, 2024	$	3,395.73
March 1, 2024 – February 28, 2025	$	3,531.56
March 1, 2025 – February 28, 2026	$	3,672.82
March 1, 2026 – February 28, 2027	$	3,819.73
March 1, 2027 – February 29, 2028	$	3,972.52

Date	Base Monthly Rent
April 1, 2023 – January 31, 2024	$	1,945.42
February 1, 2024 – January 31, 2025	$	2,023.23
February 1, 2025 – January 31, 2026	$	2,104.16
February 1, 2026 – January 31, 2027	$	2,188.33
February 1, 2027 – January 31, 2028	$	2,275.86
February 1, 2028 – February 29, 2028	$	2,366.90

Asset	Balance Sheet Line	June 30, 2023
Operating Lease Right-of-Use Asset, net of Right-of-Use Asset Amortization of $179,879	Non-Current Assets	$	713,826

Liability	Balance Sheet Line	June 30, 2023
Operating Lease Liabilities	Current Liabilities	$	168,430
	Non-Current Liabilities	$	546,546

	For the Three Months Ended June 30,
Lease Cost:	2023		2022
Finance lease expense:
Amortization of Right-of-Use Assets	$	10,800	$	12,337
Interest on lease liabilities		24,274		11,232
Operating lease expense		55,314	$	20,147
Total	$	90,388	$	43,716

		For the Six Months Ended June 30,
Lease Cost:	2023		2022
Finance lease expense:
Amortization of Right-of-Use Assets	$	21,600	$	24,673
Interest on lease liabilities		48,437		22,521
Operating lease expense		100,022	$	40,295
Total	$	170,059	$	87,489

	Finance			Operating
2023	$	1,410,836		$	105,579
2024		-			208,519
2025		-			191,533
2026		-			197,622
2027		-			110,969
Thereafter		-			12,588
Total		1,410,836			826,810
Less: Present value discount		(40,712	)		(111,833	)
Lease liability	$	1,370,124		$	714,977

	(1)	Lifted Liquids, Inc. v. Girish GPO, Inc., Girish Ray, and the Law Offices of Saul Roffe – The Company has filed an action in a case styled “Lifted Liquids, Inc. v. Girish GPO, Inc., Girish Ray, and the Law Offices of Saul Roffe” seeking to recover $30,000 that was to be held in escrow. The Company is also requesting approximately $14,569 in damages resulting from Girish GPO’s failure to pay for product it ordered and that the Company delivered. The Company has obtained a default judgment against the Law Offices of Saul Roffe and is attempting to collect on the judgment. The action against Girish GPO is in the discovery phase and the Company intends to continue pursuing the action and recover its damages.
	(2)	Lifted Liquids, Inc. v. Asad Awawdeh and Habib Cash and Carry SD, Inc. – The Company has filed an action seeking to recover approximately $98,000 in damages resulting from Defendants’ failure to pay for product they ordered. The matter has been filed in California and the Company intends to pursue the action and recover its damages.
	(3)	Lifted Liquids, Inc. v. DEV Distribution, LLC, No, DC-22-15080 – In October 2022, Lifted filed an action against Dev Distribution LLC, a vendor who failed to deliver certain products that Lifted has purchased and paid $263,938 for. The case is pending in the State of Texas 14th Civil District Court of Dallas County and is in its early stages. Lifted has amended the complaint to seek the return of its molds and its packaging materials as well as other damages as a result of the vendor's actions.

	June 30,			December 31,
	2023			2022
Deferred Tax Assets:
Stock-based compensation	$	3,012,887		$	2,754,875
Sales Allowances		101,367			256,650
Accrued Related Party Expenses		518			612
Allowance for Doubtful Accounts		72,701			77,269
Lease Liabilities		35,528			23,060
Less: Valuation allowance for stock-based compensation		(2,754,875	)		(2,754,875	)
Total Deferred Tax Assets		468,126			357,591

Deferred Tax Liabilities:
Depreciation & Amortization		(464,654	)		(270,169	)
Goodwill		(2,474	)		-
Total Deferred Tax Liabilities		(467,128	)		(270,169	)

Net Deferred Tax Assets/(Liabilities)	$	998		$	87,422

	June 30, 2023		December 31, 2022
Current Assets	$	16,708,299	$	13,853,949
Current Liabilities	$	6,985,890	$	6,210,133
Working Capital	$	9,722,409	$	7,643,816

	(1)	Pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and disposition of an issuer;
	(2)	Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the issuer are being made only in accordance with authorizations of management and directors of the issuer; and
	(3)	Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the issuer’s assets that could have a material adverse effect on the financial statements.

10.53			Compensation Agreement between Acquired Sales Corp., Gerard M. Jacobs and William C. "Jake" Jacobs dated as of June 19, 2019
10.58			Lease Agreement - 5511 95th Avenue, Kenosha, WI 53144
10.61			Lease Agreement - 8920 58th Place, Suite 850, Kenosha, WI 53144
10.62			Lease Agreement - 8910 58th Place, Suites 600 and 700, Kenosha, WI 53144
10.67			Omnibus Agreement dated December 30, 2021 between LFTD Partners Inc. Nicholas S. Warrender, 95th Holdings, LLC, Gerard M. Jacobs and William C. “Jake” Jacobs
10.68			Amended Omnibus Agreement dated February 14, 2022 between LFTD Partners Inc. Nicholas S. Warrender, Gerard M. Jacobs and William C. “Jake” Jacobs
10.69			Lease Agreement - 9560 58th Place, Suite 360, Kenosha, WI 53144
10.70			Acceleration Agreement
10.71			Commercial Sublease – 2701-09 West Fulton PH, Chicago, IL 60612
10.72			Lease Agreement - 5732 95th Ave, Suites 200 and 300, Kenosha, WI 53144
10.72.1			Manufacturing, Sales and Marketing Agreement – Cali Sweets, LLC
10.73			Manufacturing, Sales and Marketing Agreement – Diamond Supply Co.
10.74			Agreement and Plan of Merger - Oculus CHS Management Corp.
10.75			Hagan Sanchez Employment Agreement
10.76			Chase Sanchez Employment Agreement
10.77			Assignment and Assumption of Lease and Landlord Consent and Lease Agreement – Aztec New Mexico
10.78			Manufacturing Sales and Marketing Agreement – DreamFields Brands Inc. d/b/a Jeeter
10.79			Finders Agreement – Florence Mirsky

31.1		Certification of principal executive officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2		Certification of principal accounting officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1		Certification of principal executive officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2		Certification of principal financial officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
99.1		Press Release dated August 14, 2023
101.INS		XBRL Instance Document
101.PRE		XBRL Taxonomy Extension Presentation Linkbase Document.
101.LAB		XBRL Taxonomy Extension Label Linkbase Document.
101.DEF		XBRL Taxonomy Extension Definition Linkbase Document.
101.CAL		XBRL Taxonomy Extension Calculation Linkbase Document.
101.SCH		XBRL Taxonomy Extension Schema Document.

	LFTD Partners Inc.

Dated: August 11, 2023	By:	/s/ Gerard M. Jacobs
		Gerard M. Jacobs
		Chief Executive Officer