UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended ~~March~~September 3130, 2024

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______________ to ______________

Commission file number: 333-206745

LEAFBUYER TECHNOLOGIES, INC.

(Exact name of registrant as specified in its charter)

Nevada

38-3944821

(State or other jurisdiction

of incorporation or organization)

(I.R.S. Employer

Identification No.)

6888 S. Clinton Street, Suite 300, Greenwood Village, CO 80112

(Address of principal executive offices, including zip code)

Registrant’s telephone number, including area code (720)-235-0099

Securities registered pursuant to Section 12(b) of the Exchange Act:

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

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the Company is a larger accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

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

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☒

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of shares of outstanding of the Registrant’s Common Stock as of ~~September~~November 2019, 2024 was 100,071,075

Table of Contents

PART I – FINANCIAL INFORMATION
Item 1.	Unaudited Interim Condensed Financial Statements	3
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	1518
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	2022
Item 4.	Controls and Procedures	2022
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings	2123
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	2123
Item 3.	Defaults Upon Senior Securities	2123
Item 4.	Mine Safety Disclosures	2123
Item 5.	Other Information	2123
Item 6.	Exhibits	2224
	SIGNATURES	2325

Table of Contents

PART I – FINANCIAL INFORMATION

Item 1. Interim Condensed Financial Statements

The unaudited interim condensed financial statements of Leafbuyer Technologies, Inc. (“we”, “our”, “us”, the “Company”) follow. All currency references in this report are to US dollars unless otherwise noted.

PART I. Financial Information

Item 1. Financial Statements

LEAFBUYER TECHNOLOGIES INC.
UNAUDITED CONDENSED BALANCE SHEETS
	March 31,2024			June 30,2023
ASSETS
Current assets:
Cash and cash equivalents	$	155,942		$	445,721
Accounts receivable (net of allowance for doubtful accounts of $49,982 and $49,982, respectively)		194,420			135,476
Prepaid expenses and other current assets		21,000			29,268
Total current assets		371,362			610,465
Noncurrent assets:
Fixed assets and intangible assets, net		681,700			1,225,034
Total assets	$	1,053,062		$	1,835,499
LIABILITIES AND STOCKHOLDERS’ DEFICIT
Current liabilities:
Accounts payable	$	227,769		$	308,840
Accrued liabilities		1,074,524			1,165,815
Deferred revenue		14,252			10,029
Debt, related party (Note 10)		172,817			107,817
Debt		893,802			1,043,802
Total current liabilities		2,383,164			2,636,303
Debt, net of current portion		456,134			478,067
Total liabilities		2,839,298			3,114,370
Commitments and contingencies (Note 7)		-			-
Stockholders’ 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 March 31, 2024 and June 30, 2023, 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 March 31, 2024 and June 30, 2023, respectively		8			8
Common stock, $0.001 par value; 700,000,000 shares authorized; 100,071,075 shares issued and outstanding at March 31, 2024 and 99,428,575 shares issued and outstanding at June 30, 2023		100,070			99,428
Additional paid in capital (“APIC”)		23,339,320			23,057,067
Accumulated deficit		(25,225,958	)		(24,435,698	)
Total stockholders’ deficit		(1,786,236	)		(1,278,871	)
Total liabilities and stockholders’ deficit	$	1,053,062		$	1,835,499

LEAFBUYER TECHNOLOGIES INC.
UNAUDITED CONDENSED CONSOLDIATED BALANCE SHEETS

See accompanying notes to condensed unaudited financial statements.

	(Unaudited) September 30, 2024			(Unaudited) June 30, 2024
ASSETS
Current assets:
Cash and cash equivalents	$	231,381		$	165,332
Accounts receivable (net of allowance for doubtful accounts of $117,009 and $90,151, respectively)		91,031			83,480
Prepaid expenses and other current assets		7,229			21,208
Total current assets		329,641			270,020
Intangible assets, net		476,856			602,674
Other assets		1,000			1,000
Total assets	$	807,497		$	873,694

LIABILITIES AND EQUITY (DEFICIT)
Current liabilities:
Accounts payable	$	144,356		$	129,367
Accrued liabilities		967,026			934,279
Deferred revenue		6,962			11,140
Notes payable to related parties		-			137,817
Notes payable		429,000			429,000
Notes payable to bank – EIDL loan		29,244			29,640
Convertible notes payable		464,802			464,802
Total current liabilities		2,041,390			2,136,045
Notes payable to bank – EIDL loan, net of current portion		412,268			419,183
Total liabilities		2,453,658			2,555,228

Commitments and contingencies (Note 10)

Equity:
Convertible Preferred Stock Series A, $0.001 par value; 324,325 designated; 324,325 and 324,325 shares issued and outstanding at September 30, 2024 and June 30, 2024, 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 September 30, 2024 and June 30, 2024, respectively		8			8
Common stock, $0.001 par value; 700,000,000 shares authorized; 100,071,075 shares issued and outstanding at September 30, 2024 and 100,071,075 shares issued and outstanding at June 30, 2024		100,070			100,070
Additional paid in capital		23,387,064			23,363,192
Accumulated deficit		(25,133,627	)		(25,145,128	)
Total equity (deficit)		(1,646,161	)		(1,681,534	)
Total liabilities and equity	$	807,497		$	873,694

3See ~~Table~~accompanying ofnotes ~~Contents~~to condensed unaudited financial statements.

~~LEAFBUYER~~3 ~~TECHNOLOGIES~~Table ~~INC.~~of ~~CONDENSED STATEMENTS OF OPERATIONS (Unaudited)~~Contents

	Three months EndedMarch 31,						Nine months EndedMarch 31,
	2024			2023			2024			2023
Revenue	$	1,496,714		$	1,286,132		$	4,100,467		$	3,763,207
Cost of sales		933,663			769,701			2,732,473			2,059,325
Gross profit		563,051			516,431			1,367,994			1,703,882
Operating expenses:
Selling expenses		227,328			177,812			605,078			509,198
General and administrative		170,759			154,487			595,000			543,231
Personnel expenses		197,514			210,827			585,584			594,671
Stock based compensation expense		106,882			108,395			279,855			345,981
Total operating expenses		702,483			651,521			2,065,517			1,993,081
Loss from operations		(139,432	)		(135,090	)		(697,523	)		(289,199	)
Interest expense		(32,217	)		(35,410	)		(92,785	)		(130,544	)
Other Income		-			42			48			3,423
Net loss	$	(171,649	)	$	(170,458	)	$	(790,260	)	$	(416,320	)
Earnings per common share:
Basic	$	(0.00	)	$	(0.00	)	$	(0.00	)	$	(0.00	)
Weighted average common shares outstanding:
Basic		99,944,894			95,356,353			99,599,430			95,428,575

LEAFBUYER TECHNOLOGIES INC.

UNAUDITED CONDENSED STATEMENTS OF OPERATIONS

See accompanying notes to condensed unaudited financial statements

	(Unaudited) Three months Ended September 30,
	2024			2023

Revenue	$	1,609,473		$	1,169,622
Cost of revenue		860,192			813,344
Gross profit		749,281			356,278

Operating expenses:
Selling expenses		175,728			196,371
General and administrative		541,066			520,916
Total operating expenses		716,794			717,287

Income (loss) from operations		32,487			(361,009	)

Other income (expense):
Interest expense		(20,986	)		(37,624	)
Other Income		1			35
Other income / (expense)		(20,985	)		(37,589	)

Net (loss) income	$	11,502		$	(398,598	)

Earnings (loss) per common share:
Basic and diluted	$	-		$	-

Weighted average common shares outstanding:
Basic and diluted		100,071,075			99,428,575

4See ~~Table~~accompanying ofnotes ~~Contents~~to condensed unaudited financial statements

~~LEAFBUYER~~4 ~~TECHNOLOGIES,~~Table ~~INC.~~of ~~CONDENSED STATEMENTS OF STOCKHOLDERS’ DEFICIT~~Contents

	Preferred Stock A				Preferred Stock B				Common Stock
	# ofShares		Amount		# ofShares		Amount		# ofShares		Amount		APIC		AccumulatedDeficit			Total
Balance, June 30, 2022		324,325	$	324		7,567	$	8		93,316,288	$	93,315	$	22,344,293	$	(23,850,040	)	$	(1,412,547	)
Stock based compensation		-		-		-		-		-		-		273,619		-			273,619
Issuance of common stock for vendor payments		-		-		-		-		640,000		640		29,780		-			30,420
Issuance of common stock as employee compensation		-		-		-		-		1,472,287		1,473		70,889		-			72,362
Net loss		-		-		-		-		-		-		-		(416,320	)		(416,320	)
Balance, March 31, 2023		324,325	$	324		7,567	$	8		95,428,575	$	95,428	$	22,718,581	$	(24,266,360	)	$	(1,452,466	)

LEAFBUYER TECHNOLOGIES, INC.

UNAUDITED CONDENSED STATEMENTS OF STOCKHOLDERS’ DEFICIT

	Preferred Stock A				Preferred Stock B				Common Stock
	# ofShares		Amount		# ofShares		Amount		# ofShares		Amount		APIC		~~AccumulatedDeficit~~AccDeficit			Total
Balance, June 30, 2023		324,325	$	324		7,567	$	8		99,428,575	$	99,428	$	23,057,067	$	(24,~~435~~425,698	)	$	(1,278,871	)
Stock based compensation		-		-		-		-						256,793					256,793
Stock based compensation for employees		-		-		-		-						86,487		-			86,487
Issuance of common stock for vendor payments		-		-		-		-		80,000		80		2,960					3,040
Net Loss		-		-		-		-		-		-		-		(398,598	)		(398,598	)
Issuance of common stock as employee compensation		-		-		-		-		562,500		562		22,500					23,062
Balance. Sept 30, 2023 (unaudited)		324,325		324		7,567	$	8		99,428,575	$	99,428	$	23,143,554	$	(24,834,296	)	$	(1,590,982	)
Net loss		-		-		-		-								(790,260	)		(790,260	)
Balance, June 30, 2024		324,325		324		7,567	$	8		100,071,075	$	100,070	$	23,363,192	$	(25,145,129	)	$	(1,681,534	)
Balance, March 31, 2024		324,325	$	324		7,567	$	8		100,071,075	$	100,070	$	23,339,320	$	(25,225,958	)	$	(1,786,236	)
Stock based compensation for employees		-		-						-		-		23,872					23,872
Net Income		-		-		-		-		-		-		-		11,502			11,502
Balance, September 30, 2024 (Unaudited)		324,325		324		7,567	$	8		100,071,075	$	100,070	$	23,387,064	$	(25,133,627	)	$	(1,646,161	)

See accompanying notes to condensed unaudited financial statements.

Table of Contents

LEAFBUYER TECHNOLOGIES INC.
CONDENSED STATEMENTS OF CASH FLOW
(Unaudited)
	Nine months EndedMarch 31,
	2024			2023
Cash flows from operating activities:
Net Loss	$	(790,260	)	$	(416,320	)
Adjustments to reconcile net loss to net cash (used in) operating activities:
Stock based compensation		279,855			345,981
Stock for services		3,040			30,420
Amortization		543,334			543,334
Changes in assets and liabilities:
Accounts receivable		(58,944	)		(35,925	)
Prepaid expenses and other		8,268			(4,276	)
Accounts payable		(81,071	)		(76,840	)
Accrued liabilities		(87,068	)		(56,881	)
Net cash (used in)/provided by operating activities		(182,846	)		329,493
Cash flows from investing activities:
Net cash used in investing activities		-			-
Cash flows from financing activities:
Proceeds from Debt		65,000			-
Repayment of Debt		(171,933	)		(261,805	)
Net cash used in financing activities		(106,933	)		(261,805	)
Net change in cash and cash equivalents		(289,779	)		67,688
Cash and cash equivalents, beginning of period		445,721			367,245
Cash and cash equivalents, end of period	$	155,942		$	434,933
Cash paid for interest	$	-		$	-
Cash paid for taxes	$	-		$	-
Supplemental information for non-cash investing and financing activities:
Issuance of common stock for vendor payments	$	3,040		$	30,420

LEAFBUYER TECHNOLOGIES, INC.

UNAUDITED CONDENSED STATEMENTS OF CASH FLOWS

See accompanying notes to condensed unaudited financial statements.

	(Unaudited) Three months ended September 30,
	2024			2023
Cash flows from operating activities:
Net income (loss)	$	11,502		$	(398,598	)
Adjustments to reconcile net income (loss) to net cash used in operating activities
Stock based compensation		23,872			86,487
Depreciation and amortization expense		125,820			181,112
Changes in assets and liabilities:
Accounts receivable		(7,551	)		8,276
Prepaid expenses and other		13,979			13,536
Accounts payable		14,991			3,213
Accrued liabilities		32,742			(76,488	)
Deferred revenue		(4,178	)		(3,017	)
Net cash provided by (used in) operating activities		211,177			(185,479	)

Cash flows from financing activities:
Repayments notes payable to related parties		(137,817	)		-
Repayments on notes payable		-			(50,000	)
Repayments on note payable to bank under EIDL loan		(7,311	)		(7,311	)
Net cash provided by (used in) financing activities		(145,128	)		(57,311	)

Net change in cash and cash equivalents		66,049			(242,790	)

Cash and cash equivalents, beginning of period		165,332			445,721

Cash and cash equivalents, end of period	$	231,381		$	202,931

SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest	$	-		$	-
Cash paid for taxes	$	-		$	-

6See ~~Table~~accompanying ofnotes ~~Contents~~to condensed unaudited financial statements.

~~LEAFBUYER~~6 ~~TECHNOLOGIES~~Table ~~INC.~~of Contents

~~Notes~~LEAFBUYER toTECHNOLOGIES ~~Unaudited Condensed Financial Statements~~INC.

~~Note~~Notes 1to —Unaudited ~~Description~~Condensed ofFinancial ~~Business~~Statements

Note 1 — Description of Business

~~The~~Description ~~Company was founded in 2012 by a group~~ of ~~technology and industry veterans and provides online resources for cannabis deals and specials. Our headquarters is located in Greenwood Village, Colorado.~~Business

The Company ~~has~~was ~~evolved~~founded ~~and~~in ~~grown~~2012 asby a ~~listing~~group ~~website~~of ~~to a comprehensive marketing~~ technology ~~platform.~~and ~~Our~~industry ~~clients,~~veterans ~~medical~~ and ~~recreational~~provides ~~dispensaries~~online inresources ~~legalized~~for cannabis ~~states,~~deals ~~along~~and ~~with~~specials. ~~cannabis~~Our ~~product~~headquarters ~~companies~~is ~~subscribe~~located ~~to our technology platform to assist~~ in ~~new~~Greenwood ~~customer~~Village, ~~acquisition and provide retention tools that include texting/loyalty and order ahead technology~~Colorado.

~~Basis~~The ofCompany ~~Presentation~~has evolved and grown as a listing website to a comprehensive marketing technology platform. Our clients, medical and recreational dispensaries in legalized cannabis states, along with cannabis product companies subscribe to our technology platform to assist in new customer acquisition and provide retention tools that include texting/loyalty and order ahead technology.

~~The~~Basis ~~accompanying condensed balance sheet as~~ of March 31, 2024, has been derived from audited financial statements. The accompanying unaudited interim condensed financial statements have been prepared on the same basis as the annual financial statements being audited and in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. In the opinion of management, such unaudited information includes all adjustments (consisting only of normal recurring accruals) necessary for a fair presentation of this interim information. All intercompany transactions have been eliminated in consolidation. Operating results and cash flows for interim periods are not necessarily indicative of results that can be expected for the entire year. The Company uses the same accounting policies in preparing quarterly and annual financial statements. Certain information and footnote disclosures normally included in the annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted. The information included in this report should be read in conjunction with our audited financial statements and notes thereto.Presentation

~~Going~~The ~~Concern~~accompanying condensed balance sheet as of September 30, 2024, has been derived from audited financial statements. The accompanying unaudited interim condensed financial statements have been prepared on the same basis as the annual financial statements being audited and in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. In the opinion of management, such unaudited information includes all adjustments (consisting only of normal recurring accruals) necessary for a fair presentation of this interim information. All intercompany transactions have been eliminated in consolidation. Operating results and cash flows for interim periods are not necessarily indicative of results that can be expected for the entire year. The Company uses the same accounting policies in preparing quarterly and annual financial statements. Certain information and footnote disclosures normally included in the annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted. The information included in this report should be read in conjunction with our audited financial statements and notes thereto.

AsGoing of March 31, 2024, we had $155,942 in cash and cash equivalents and a working capital deficit of $2,011,802. We are dependent on funds raised through equity financing. Our accumulated deficit through March 31, 2024 of $25,225,958 was funded by debt and equity financing and we reported a net loss from operations of $697,253 for the nine months ended March 31, 2024. Accordingly, there is substantial doubt about our ability to continue as a going concern within one year after the date the financial statements are issued.Concern

~~Our~~As ~~ability~~of toSeptember ~~continue~~30, as2024, awe ~~going~~had ~~concern~~$231,381 ~~is dependent upon our generating profitable operations~~ in ~~the~~cash ~~future~~ and /cash orequivalents ~~obtaining~~and ~~the~~a ~~necessary~~working ~~financing~~capital todeficit ~~meet~~of ~~our~~$1,711,749. ~~obligations~~We ~~and~~are ~~repay~~dependent ~~our~~on ~~liabilities~~funds ~~arising~~raised ~~from~~through ~~normal~~equity ~~business operations when they come due~~financing. ~~Management~~Our ~~believes~~accumulated ~~that~~deficit ~~actions~~through ~~presently~~September ~~being~~30, ~~taken~~2024 ~~to further implement our business plan~~ of ~~expansion of products~~$25,133,627 ~~geographical~~was ~~locations~~funded weby ~~sell~~debt ~~our services~~ and ~~deeper~~equity ~~market~~financing ~~penetration~~and ~~will~~we ~~generate~~reported ~~additional~~a ~~revenues~~net ~~and~~income ~~eventually~~from ~~positive~~operations ~~cash~~of ~~flow~~$11,502 ~~and provide opportunity~~ for the ~~Company~~three tomonths ~~continue~~ended asSeptember a30, ~~going concern~~2024. ~~While~~Accordingly, wethere ~~believe~~is insubstantial ~~the~~doubt ~~viability~~about of our ~~strategy~~ability to ~~generate~~continue ~~additional~~as ~~revenues~~a ~~and~~going ~~our~~concern ~~ability~~within toone ~~raise~~year ~~additional~~after ~~funds,~~the ~~there~~date ~~can~~the befinancial nostatements ~~assurances~~are ~~to that effect~~issued.

~~Note~~Our 2ability —to ~~Summary~~continue as a going concern is dependent upon our generating profitable operations in the future and / or obtaining the necessary financing to meet our obligations and repay our liabilities arising from normal business operations when they come due. Management believes that actions presently being taken to further implement our business plan of ~~Significant~~expansion ~~Accounting~~of ~~Policies~~products, geographical locations we sell our services and deeper market penetration will generate additional revenues and eventually positive cash flow and provide opportunity for the Company to continue as a going concern. While we believe in the viability of our strategy to generate additional revenues and our ability to raise additional funds, there can be no assurances to that effect.

~~Principles~~Note 2 — Summary of ~~Consolidation~~Significant Accounting Policies

~~The~~Principles ~~condensed financial statements include the accounts~~ of ~~the Company and its wholly owned subsidiary, LB Media. All significant inter-company transactions and balances have been eliminated in consolidation.~~ Consolidation

~~For~~The acondensed ~~detailed~~financial ~~discussion~~statements ~~about~~include the ~~Company’s~~accounts ~~significant accounting policies, refer to Note 2 “Summary~~ of ~~Significant Accounting Policies,” in~~ the Company’s ~~financial~~and ~~statements~~its ~~included~~wholly inowned ~~the Company’s June 30~~subsidiary, ~~2023~~LB ~~Form 10-K~~Media. ~~During~~All ~~the nine months ended March 31, 2024, there were no~~ significant ~~changes~~inter-company ~~made~~transactions toand ~~the~~balances ~~Company’s~~have ~~significant~~been ~~accounting~~eliminated ~~policies~~in consolidation.

~~Use~~For a detailed discussion about the Company’s significant accounting policies, refer to Note 2 “Summary of ~~Estimates~~Significant Accounting Policies,” in the Company’s financial statements included in the Company’s June 30, 2024 Form 10-K. During the three months ended September 30, 2024, there were no significant changes made to the Company’s significant accounting policies.

~~Management~~Use ~~uses estimates and assumptions in preparing these condensed financial statements. Those estimates and assumptions affect the reported amounts~~ of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Examples of estimates include loss contingencies; useful lives of our tangible and intangible assets; allowances for doubtful accounts; and stock-based compensation forfeiture rates. Examples of assumptions include: the elements comprising a software arrangement, including the distinction between upgrades or enhancements and new products; when technological feasibility is achieved for our products; the potential outcome of future tax consequences of events that have been recognized in our financial statements or tax returns. Actual results could differ from those estimates.Estimates

~~Earnings~~Management ~~(Loss)~~uses ~~per~~estimates ~~Share~~and assumptions in preparing these condensed financial statements. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Examples of estimates include loss contingencies; useful lives of our tangible and intangible assets; allowances for doubtful accounts; and stock-based compensation forfeiture rates. Examples of assumptions include: the elements comprising a software arrangement, including the distinction between upgrades or enhancements and new products; when technological feasibility is achieved for our products; the potential outcome of future tax consequences of events that have been recognized in our financial statements or tax returns. Actual results could materially differ from those estimates.

~~Basic~~7 ~~loss~~Table ~~per share is computed by dividing net loss by the weighted-average number~~ of common shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share, except that it includes the potential dilution that could occur if dilutive securities are exercised. Dilutive instruments had no effect on the calculation of earnings or loss per share during the quarter ended March 31, 2024.Contents

7Earnings ~~Table~~(Loss) ofper ~~Contents~~Share

~~Accounts~~Basic ~~Receivable~~loss ~~and~~per ~~Allowance~~share ~~for~~is ~~Doubtful~~computed ~~Accounts:~~by dividing net loss by the weighted-average number of common shares outstanding during the reporting period. Diluted loss per share is computed similarly to basic loss per share, except that it includes the potential dilution that could occur if dilutive securities are exercised. Dilutive instruments had no effect on the calculation of earnings or loss per share during the quarter ended September 30, 2024.

Accounts Receivable from services are short-term nature of the Company’s receivables, where payment terms are typically 30 days. Receivables more than 90 days past due are considered delinquent. Delinquent receivables are evaluated and ~~may~~Allowance befor ~~written~~Doubtful ~~off~~Accounts: ~~based on individual credit evaluation and specific circumstances of the customer.~~

~~The~~Accounts ~~Company’s~~Receivable ~~allowance~~from ~~for~~services ~~credit~~are ~~losses~~short-term ~~considers~~nature ~~historical experience, the age~~ of ~~certain receivable balances, credit history, current economic conditions and other factors that may affect~~ the ~~counterparty~~Company’s ~~ability to pay. At each balance sheet date~~receivables, ~~all~~where ~~potentially~~payment ~~uncollectable~~terms ~~accounts~~ are ~~assessed~~typically ~~individually~~30 ~~for the purpose of determining the appropriate provision for doubtful accounts~~days. ~~Management~~Receivables ~~has~~more ~~elected~~than to90 ~~use~~days apast ~~credit~~due ~~risk-based,~~are ~~pool-level~~considered ~~segmentation framework to calculate the expected loss rate~~delinquent. ~~Management~~Delinquent ~~evaluates~~receivables ~~its~~are ~~experience~~evaluated ~~with historical losses~~ and ~~then applies the historical loss ratio or its determination of risk pools~~ may be adjusted for changes in customer, economic, market, or other circumstances. The Company may also establish an allowance for credit losses for specific receivables when it is probable that the receivable will not be collected, and the loss can be reasonably estimated. Amounts are written off ~~against~~based ~~the~~on ~~allowance~~individual when they are considered to be collectible, and reversals of previously reserved amounts are recognized if a specifically reserved item is settled for an amount exceeding the previous estimate. Balances that are still outstanding after management has made reasonable collection efforts are written off through a charge to the valuation allowance and a credit toevaluation ~~contract receivables. The Company’s allowance for doubtful accounts was $49,982 as of March 31, 2024~~ and ~~$49,982~~specific ascircumstances of ~~June 30, 2023. At March 31, 2024 and June 30, 2023,~~ the ~~Company has not incurred any material credit losses~~customer.

~~Leases~~The Company’s allowance for credit losses considers historical experience, the age of certain receivable balances, credit history, current economic conditions and other factors that may affect the counterparty’s ability to pay. At each balance sheet date, all potentially uncollectable accounts are assessed individually for the purpose of determining the appropriate provision for doubtful accounts. Management has elected to use a credit risk-based, pool-level segmentation framework to calculate the expected loss rate. Management evaluates its experience with historical losses and then applies the historical loss ratio or its determination of risk pools may be adjusted for changes in customer, economic, market, or other circumstances. The Company may also establish an allowance for credit losses for specific receivables when it is probable that the receivable will not be collected, and the loss can be reasonably estimated. Amounts are written off against the allowance when they are considered to be collectible, and reversals of previously reserved amounts are recognized if a specifically reserved item is settled for an amount exceeding the previous estimate. Balances that are still outstanding after management has made reasonable collection efforts are written off through a charge to the valuation allowance and a credit to contract receivables. The Company’s allowance for doubtful accounts was $117,009 as of September 30, 2024 and $90,151 as of June 30, 2024. At September 30, 2024 and June 30, 2024, the Company has not incurred any material credit losses.

~~The~~Intangible Company accounts for leases in accordance with ASC 842, Leases (“ASC 842”). At the inception or modification of a contract, the Company determines whether a lease exists and classifies its leases as an operating or finance lease at commencement. Right-of-use ("ROU") assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent their obligation to make lease payments arising from the lease. Assets

~~Leases~~Intangible ~~with~~assets anrepresent ~~initial~~software ~~expected~~costs ~~term~~were ofcapitalized 12at ~~months~~the ortime ~~less~~of ~~are~~acquisition ~~not~~and ~~recorded~~implementation inand ~~the~~enhancement ~~Company's~~costs ~~balance~~during ~~sheets and~~ the ~~related~~first ~~lease~~2 ~~expense~~year isand ~~recognized~~are depreciated on a straight-line basis over ~~the~~their ~~lease~~estimated ~~term.~~useful ~~For~~lives ~~certain classes~~ of ~~underlying~~five ~~assets, the Company has elected~~ to ~~not~~seven ~~separate fixed lease components from the fixed non-lease components~~years. ~~See Note 11.~~

~~Fixed~~Intangible Assets ~~and~~- ~~Intangible~~Capitalized ~~Assets~~Product Development Costs

~~Fixed~~Accounting ~~assets~~Standards ~~are~~Codification ~~recorded~~(“ASC”) atTopic ~~cost~~350, ~~and~~“Intangibles ~~are~~- ~~depreciated~~Goodwill onand aOther” ~~straight-line~~includes ~~basis~~software ~~over~~that ~~their~~is ~~estimated~~part ~~useful~~of ~~lives~~a ofproduct ~~five~~or ~~years.~~process ~~Intangible~~to ~~assets~~be ~~represent~~sold ~~software~~to ~~costs~~a ~~are~~customer ~~were~~and ~~capitalized~~shall atbe ~~the~~accounted ~~time~~for ofunder ~~acquisition~~Subtopic ~~and~~985-20. ~~implementation~~Our ~~and~~products ~~enhancement~~contain ~~costs~~embedded ~~during~~software ~~the~~internally ~~first~~developed 2by ~~year~~FTI, ~~and~~which ~~are~~is ~~depreciated~~an onintegral apart ~~straight-line~~of ~~basis~~these ~~over~~products ~~their~~because ~~estimated~~it ~~useful~~allows ~~lives~~the various components of ~~five~~the products to ~~seven~~communicate ~~years.~~with ~~Maintenance~~each other and ~~repairs~~the products are ~~charged~~clearly unable to ~~expense~~function aswithout ~~incurred~~this coding.

~~Revenue~~The ~~Recognition~~costs of product development that are capitalized once technological feasibility is determined (noted as Technology in progress in the Intangible Assets table, in Note 2 to Notes to Consolidated Financial Statements) include certifications, licenses, payroll, employee benefits, and other headcount-related expenses associated with product development. We determine that technological feasibility for our products is reached after all high-risk development issues have been resolved. Once the products are available for general release to our customers, we cease capitalizing the product development costs and any additional costs, if any, are expensed. The capitalized product development costs are amortized on a product-by-product basis using the straight-line amortization. The amortization begins when the products are available for general release to our customers.

~~The~~As ~~Company~~of ~~recognizes~~September ~~revenue~~30, in2024 ~~accordance~~and ~~with~~June ~~Accounting Standards Codification~~30, ~~or ASC~~2024, ~~606,~~capitalized ~~the~~product ~~core~~development ~~principle~~costs ofin ~~which~~progress iswere ~~that~~$0, anrespectively. ~~entity~~For ~~should recognize revenue to depict~~ the ~~transfer~~periods ofending ~~promised~~September ~~goods~~30, or2024 ~~services~~and toJune ~~customers~~30, in2024, anwe ~~amount~~incurred ~~that~~$0 ~~reflects~~and ~~the~~$0, ~~consideration~~respectively ~~to which the entity expects to be entitled to receive~~ in ~~exchange~~capitalized ~~for~~product ~~those~~development ~~goods or services. To achieve this core principle~~costs, ~~five~~and ~~basic~~all ~~criteria~~costs ~~must~~incurred ~~be met~~ before ~~revenue~~technological ~~can~~feasibility beis ~~recognized:~~reached ~~(1)~~are ~~identify~~expensed ~~the~~and ~~contract~~included ~~with a customer; (2) identify the performance obligations~~ in ~~the~~our ~~contract;~~consolidated ~~(3)~~statements ~~determine~~of ~~the~~comprehensive ~~transaction~~income ~~price;~~ (4loss) ~~allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when or as the Company satisfies a performance obligation~~.

~~The~~8 ~~Company~~Table ~~recognizes revenue from each customer contract to provide access to the technology platform for a certain period~~ of ~~time (typically monthly) on dates determined by the customer per order requests received by the Company.~~Contents

~~The~~Revenue ~~Company~~Recognition ~~had accounts receivable, net of $194,420 and $135,476 on March 31, 2024 and June 30, 2023, respectively.~~

~~Deferred~~The ~~Revenue~~Company ~~represents~~recognizes revenue in accordance with Accounting Standards Codification, or ASC, 606, the core principle of which is that an ~~obligation~~entity should recognize revenue to ~~provide~~depict ~~access~~the transfer of promised goods or services to ~~our~~customers ~~technology~~in ~~platform~~an amount that reflects the consideration to awhich ~~customer~~the entity expects to be entitled to receive in exchange for ~~consideration~~those wegoods ~~have~~or ~~already~~services. ~~received~~To ~~from~~achieve this core principle, five basic criteria must be met before revenue can be recognized: (1) identify the contract with a customer; ~~but~~(2) ~~not~~identify ~~yet~~the ~~earned~~performance byobligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when or as the Company satisfies a performance obligation.

Deferred Revenue as of June 30, 2023	$	10,029
Revenue earned	$	8,349
Customer payments received	$	12,571
Deferred Revenue as of March 31, 2024	$	14,252

The Company recognizes revenue from each customer contract to provide access to the technology platform for a certain period of time (typically monthly) on dates determined by the customer per order requests received by the Company.

~~Accounting~~Deferred ~~Pronouncements~~Revenue –represents ~~Current~~an ~~Adoption~~ obligation to provide access to our technology platform to a customer for consideration we have already received from the customer but not yet earned by the Company.

In June 2016, the FASB issued Accounting Standards Update (“ASU”), Financial Instruments—Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), which introduces new guidance for the accounting for credit losses on instruments within its scope. The new guidance introduces an approach based on expected losses to estimate credit losses on certain types of financial instruments. It also modifies the impairment model for available-for-sale (AFS) debt securities and provides for a simplified accounting model for purchased financial assets with credit deterioration since their origination. As of January 1, 2023, the Company adopted ASU 2016-13. AU 2016-13 replaces the existing incurred loss impairment model with an expected loss methodology, which will result in more timely recognition of credit losses. The adoption of this standard did not result in any material adjustment to the Company’s financial statements.

Deferred Revenue as of June 30, 2024	$	11,140
Revenue earned	$	(4,178	)
Customer payments received	$	-
Deferred Revenue as of September 30, 2024	$	6,962

InAccounting ~~August~~Pronouncements ~~2020, the FASB issued ASU 2020-06, (Debt-Debt with Conversion and other Options (Subtopic 470-20) and Derivatives and Hedging~~ – ~~Contracts~~Current in Entity’s own Equity (Subtopic 815-40)). ASU 2020-06 requires entities to provide expanded disclosures about the terms and features of convertible instruments and reduces the number of accounting models for convertible instruments and allows more contracts to qualify for equity classification. The pronouncement is effective for public business entities that are SEC filers in fiscal years beginning after December 15, 2023, including interim periods within those fiscal years The adoption of this standard did not result in any material adjustment to the Company’s financial statements.Adoption

~~Recently~~In ~~Issued~~June 2016, the FASB issued Accounting ~~Pronouncements~~Standards Update (“ASU”), Financial Instruments—Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), which introduces new guidance for the accounting for credit losses on instruments within its scope. The new guidance introduces an approach based on expected losses to estimate credit losses on certain types of financial instruments. It also modifies the impairment model for available-for-sale (AFS) debt securities and provides for a simplified accounting model for purchased financial assets with credit deterioration since their origination. As of January 1, 2023, the Company adopted ASU 2016-13. AU 2016-13 replaces the existing incurred loss impairment model with an expected loss methodology, which will result in more timely recognition of credit losses. The adoption of this standard did not result in any material adjustment to the Company’s financial statements.

NoIn August 2020, the FASB issued ASU 2020-06, (Debt-Debt with Conversion and other ~~recent~~Options ~~accounting~~(Subtopic ~~pronouncements~~470-20) ~~were~~and ~~issued~~Derivatives byand ~~FASB~~Hedging – Contracts in Entity’s own Equity (Subtopic 815-40)). ASU 2020-06 requires entities to provide expanded disclosures about the terms and features of convertible instruments and reduces the ~~SEC~~number of accounting models for convertible instruments and allows more contracts to qualify for equity classification. The pronouncement is effective for public business entities that are ~~believed~~SEC byfilers ~~management~~in tofiscal ~~have~~years abeginning after December 15, 2023, including interim periods within those fiscal years The adoption of this standard did not result in any material ~~impact~~adjustment onto the Company’s ~~present or future condensed~~ financial statements.

8Recently ~~Table~~Issued ofAccounting ~~Contents~~Pronouncements

~~Note~~No 3other —recent ~~Fixed~~accounting ~~Assets~~pronouncements were issued by FASB and ~~Intangible~~the ~~Assets~~SEC that are believed by management to have a material impact on the Company’s present or future condensed financial statements.

~~Fixed~~9 ~~Assets~~Table ~~and intangible assets consist~~ of ~~the following~~ Contents

	March 31,2024			June 30,2023
Software platform	$	4,482,225		$	4,482,225
Furniture and fixtures		1,500			1,500
Less accumulated amortization		(3,802,025	)		(3,258,691	)
Property and equipment, net	$	681,700		$	1,225,034

Note 3 — Intangible Assets

~~Amortization~~Intangible ~~expense~~assets ~~for~~consisted ~~the~~of ~~three and nine months ended March 31, 2024 was $181,111 and $543,333, respectively. Amortization expense for~~ the ~~three and nine months ended March 31, 2023 was $181,111 and $543,333, respectively.~~following:

Amortization expense for the next year is as follows:

	September 30, 2024			June 30, 2024

Software platform	$	4,482,225		$	4,482,225
Less accumulated amortization		(4,005,369	)		(3,879,551	)
Total intangible assets, net	$	476,856		$	602,674

2024	$	181,111
2025		500,589
Total Unamortized Expense	$	681,700

Amortization expense, recorded as cost of revenue, related to internal use software totaled $125,820 and $724,445 for the three months ended September 30, 2024 and 2023, respectively.

~~Note~~Amortization 4expenses —for ~~Capital~~the ~~Stock~~future ~~and~~years ~~Equity~~are ~~Transactions~~as follows:

The Company has 700,000,000 shares of common stock authorized with a par value of $0.001 per share as of March 31, 2024. On August 13, 2021 the Company filed Articles of Amendment to Amended and Restated Articles of Incorporation with the State of Nevada increasing the number of common shares from 150,000,000 to 700,000,000.

Year ended June 30, 2024	Amount
2025	$	333,522
2026		143,332
Total Unamortized Expense	$	476,856

InNote ~~addition,~~4 ~~the~~— ~~Company~~Capital ~~has~~Stock ~~10,000,000~~and ~~preferred~~Equity ~~stock authorized with a par value of $0.001 per share as of March 31, 2024.~~Transactions

~~Effective~~The ~~October 13, 2021, the~~ Company ~~executed~~has ~~and filed with the State of Nevada a Certificate of Designation of Preferred Stock of the Corporation fixing the designations~~700, ~~power~~000,000 ~~preferences, and rights of the~~ shares. ~~The total~~ of ~~324,325~~common ~~shares of preferred~~ stock ~~series~~authorized A with a par value of $0.001 per share, as of ~~the~~September ~~Corporation~~30, ~~are~~2024. ~~herby~~On ~~designated~~August as13, ~~Series~~2021 Athe ~~Super~~Company ~~Voting~~filed ~~Preferred~~Articles ~~Stock.~~of ~~These~~Amendment ~~shares are not entitled~~ to ~~receive~~Amended ~~dividends~~ and ~~shall~~Restated ~~not~~Articles beof ~~entitled~~Incorporation towith ~~any liquidation preference. Further~~ the ~~holders~~State ~~shall~~of ~~have~~Nevada noincreasing ~~conversion rights and~~ the ~~holders~~number ~~shall~~of ~~have~~common ~~the~~shares ~~right~~from to150,000,000 ~~vote in an amount equal~~ to ~~600 votes per share of Series A Preferred Stock~~700,000,000.

~~The~~In 7addition,~~567~~ ~~shares~~the ofCompany ~~Series~~has B10,000,000 ~~Convertible~~preferred ~~Preferred~~stock ~~Stock~~authorized ~~are~~with ~~convertible~~a ~~into~~par ~~1,120,064~~value ~~shares~~of $0.001 per share as of ~~common~~September ~~stock.~~30, 2024.

~~Issuance~~Effective October 13, 2021, the Company executed and filed with the State of ~~Common~~Nevada a Certificate of Designation of Preferred Stock of the Corporation fixing the designations, power, preferences, and rights of the shares. The total of 324,325 shares of preferred stock series A with a par value of $0.001 per share, of the Corporation are herby designated as Series A Super Voting Preferred Stock. These shares are not entitled to receive dividends and shall not be entitled to any liquidation preference. Further the holders shall have no conversion rights and the holders shall have the right to vote in an amount equal to 600 votes per share of Series A Preferred Stock.

~~During~~The ~~the~~7,567 ~~nine~~shares ~~months~~of ~~period~~Series ~~ended~~B ~~March~~Convertible ~~31,~~Preferred ~~2023~~Stock ~~the~~are ~~Company~~convertible ~~issued~~into 1,~~472~~120,~~287~~064 shares of ~~Common~~common ~~Stock to employees~~stock. ~~These shares were valued at fair market value of $72,362 and expensed in the accompanying Condensed Statement of Operations.~~

~~During~~10 ~~the~~Table ~~nine months ended March 31, 2023, the Company issued 640,000 shares~~ of ~~Common Stock to vendors for services rendered. These shares were valued at fair market value of $30,420 and expensed in the accompanying Condensed Statement of Operations.~~Contents

~~During~~Note ~~the~~5 ~~nine~~— ~~months~~Notes ~~period~~Payable ~~ended March 31, 2024 the Company issued 562,500 shares of Common Stock~~ to ~~employees.~~Related ~~These shares were valued at fair market value of $23,062 and expensed in the accompanying Condensed Statement of Operations.~~Parties

~~During~~Notes ~~the~~payable ~~nine months ended March 31, 2024, the Company issued 80,000 shares of Common Stock~~ to ~~vendors~~related ~~for~~parties ~~services~~consisted ~~rendered. These shares were valued at fair market value~~ of ~~$3,040 and expensed in~~ the ~~accompanying Condensed Statement of Operations.~~following:

9 Table of Contents

	September 30, 2024		June 30, 2024
March 2020 – Total loan of $600,000 with interest rate at 12% per annum due in December 2020, currently due upon demand.	$	-	$	100,000
April 2020 – Total loan of $50,000 with interest rate at 12% per annum due in January 2021, currently due upon demand.		-		7,817
March 2024 – Total loan of $65,000 with interest rate at 12% per annum due in May 2024.		-		30,000
Total notes payable to related parties		-		137,817
Less current portion of notes payable to related parties		-		(137,817	)
Notes payable to related parties, less current portion	$	-	$	-

Note 5 — Debt

	·	March 2020 - $600,000

		During the year ended June 30, 2020, the Company entered into a promissory note with a related party with a face value of $600,000 in exchange for a total of $565,000 cash payments with interest rate at 12% per annum due in December 2020. The total discount of the note was amortized over the life of the note and recorded as an interest expense which matured on December 1, 2020. In January 2021, the Company repaid $300,000 and in July 2022 the Company repaid $100,000 of the note balance. The note was in default and due upon demand and the interest rate was increased to 12% as of June 30, 2024 and the outstanding loan amount of $100,000 was paid in full on September 17, 2024. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $13,437 and is recorded in accrued liabilities.

	·	April 2020 - $50,000

		During the year ended June 30, 2020, the Company entered into a promissory note with a related party with a face value of $50,000 with interest rate at 10% per annum due in December 2020. In January 2021, the Company repaid $25,000 and in July 2022 repaid $17,183 of the note balance. The note was in default and the interest rate increased to 12% as of June 30, 2024 and the outstanding loan amount of $7,817 was paid in full on September 17, 2024. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $2,373 and $2,240, respectively, and is recorded in accrued liabilities.
	·	March 2024 - $65,000

		During the quarter ended March 31, 2024, the Company entered into two promissory notes with related parties with a total value of $65,000 with interest rate at 12% per annum due in May 2024. During the year ended June 30, 2024, the Company paid $35,000 and the outstanding loan amount of $30,000 was paid on September 17, 2024. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $3,792 and $3,206, respectively, and is recorded in accrued liabilities.

	Total interest expense on notes payable to related parties was $2,613 for the three months ended September 30, 2024 and $1,908 for the three months ended September 30, 2024.

~~During~~11 ~~the~~Table ~~year ended June 30, 2018, the Company entered two promissory notes with an investor~~ of the Company in the amount of $350,000 with an interest rate of zero. This loan is considered payable upon demand. During the quarter ending March 31, 2024 the Company paid $71,000 and intends to make monthly payments of $25,000 until the note is paid in full.Contents

~~During~~Note ~~the~~6 ~~year~~— ~~ended~~Notes June 30, 2018, the Company issued a promissory note in favor of an investor of the Company in the amount of $150,000 in exchange for $132,000 cash. The loan maturity date was extended to August 8, 2019, the discount is fully amortized, total unpaid principal and interest is approximately $260,416, accruing at 12% at March 31, 2024, and is payable upon demand.Payable

~~During~~Notes the year ended June 30, 2019, the Company entered into a promissory note with an investor of the Company with a face value of $440,000 in exchange for $400,000 cash payment (“the Convertible Note”), the discount of the Convertible Note was amortized over the life of the Convertible Note and has an interest rate of 10%. As of March 31, 2024, the Convertible Note is payable ~~upon~~consisted ~~demand and included as current debt on the balance sheet. As~~ of ~~March 31, 2024, and~~ the ~~total unpaid principal and interest outstanding is approximately $246,834.~~following:

During the year ended June 30, 2019, the Company entered a promissory note with an investor of the Company with a face value of $220,000 in exchange for $200,000 cash payment the discount of the Notes was amortized over the life of the Note and has an interest rate of 10%. The promissory note is in default and payable upon demand and included as current debt on the balance sheet. As of March 31, 2024, the total unpaid principal and interest is approximately $363,247.

	September 30, 2024			June 30, 2024
November and December 2017 – Total loan of $350,000 with no interest rate with maturity date of November and December 2018, currently the note is due upon demand.	$	150,000		$	150,000
February 2018 – Total loan of $150,000 with interest rate at 12% per annum with maturity date of August 2018, currently the note is due upon demand.		279,000			350,000
Total notes payable		429,000			500,000
Less current portion of notes payable		(429,000	)		(500,000	)
Notes payable, less current portion	$	-		$	-

During the year ended June 30, 2019, the Company entered into two promissory notes with an investor of the Company with a face value of $640,000 in exchange for a total of $600,000 cash payment. The discount of the Notes was amortized over the life of the Note and has an interest rate of 7%. The remaining principal is in default and payable upon demand and included as current debt on the balance sheet. As of March 31, 2024, the total unpaid principal and interest is approximately $408,980.

	·	November and December 2017 - $350,000

		During the year ended June 30, 2018, the Company entered two promissory notes with an investor of the Company in the total amount of $350,000 with no interest rate due in November and December 2018. These notes are considered payable upon demand as of September 30, 2024 and June 30, 2024. During the year ended June 30, 2024 the Company paid $71,000 and intends to make monthly payments of $25,000 until the note is paid in full.

	·	February 2018 - $150,000

		During the year ended June 30, 2018, the Company issued a promissory note with an investor of the Company in the amount of $150,000 in exchange for $132,000 cash with an interest rate of 12% per annum. The loan maturity date was extended to August 8, 2019, the discount was fully amortized as of June 30, 2024 and 2023. As of June 30, 2024 and 2023, the total unpaid and accrued interest was $96,904 and $114,904, respectively, and is recorded in accrued liabilities.

	Total interest expense on notes payable was $4,488 and $4,500 for the three months ended September 30, 2024 and 2023.

~~During the year ended June 30, 2020, the Company entered into a promissory note with a related party (see~~ Note ~~10)~~7 ~~with~~— aNotes ~~face~~Payable value of $600,000 in exchange for a total of $565,000 cash payments. The total discount of the Note will be amortized over the life of the Note and recorded as interest expense which matured on December 1, 2020. In January 2021, the Company repaid $300,000 and in July 2022 the Company repaid $100,000 of the promissory note balance. The note is in default and due upon demand and the interest rate was increased to ~~12%.~~Bank As– ofEIDL ~~March 31, 2024, the total unpaid principal and interest is approximately $163,344. This is classified as current debt, related party on the balance sheet.~~Loan

~~During~~Notes ~~the~~payable ~~year~~to ~~ended~~bank ~~June~~– ~~30,~~EIDL ~~2020,~~loan ~~the~~consisted ~~Company entered into a promissory note with a related party (see Note 10) with a face value~~ of ~~$50,000. In January 2021,~~ the Company repaid $25,000 and in July 2022 repaid $8,333 of the promissory note balance. The note is in default and the interest rate increased to 12%. As of March 31, 2024, the total unpaid principal and interest is approximately $13,985. This is classified as current debt, related party on the balance sheet.following:

During the quarter ended March 31, 2024, the Company entered into two promissory notes with related parties (see Note 10) with a total value of $65,000. The notes mature in 120 days and accrue interest at 12%. As of March 31, 2024, the total unpaid principal and interest is approximately $66,261. This is classified as current debt, related party on the balance sheet.

	September 30, 2024		June 30, 2024
3.75% SBA EIDL Note Payable		441,512		448,823
Less current portion of notes payable to bank – EIDL loan		-		-
Notes payable to bank – EIDL loan, less current portion	$	441,512	$	448,823

During the year ended June 30, 2020, the Company executed the standard loan documents required for securing a loan (the “EIDL Loan”) from the United States Small Business Administration (the “SBA”) under its Economic Injury Disaster Loan (“EIDL”) assistance program in light of the impact of the COVID-19 pandemic on the Company’s business. The principal amount of the EIDL Loan is $500,000, with proceeds to be used for working capital purposes. Interest on the EIDL Loan accrues at the rate of 3.75% per annum and installment payments, including principal and interest, are due monthly beginning twelve months from the date of the EIDL Loan in the amount of $2,437. The balance of principal and interest is payable thirty years from the date of the promissory note and included as long -term debt on the balance sheet.

10Total ~~Table~~interest ofexpense ~~Contents~~on notes payable to bank was $4,128 and $4,128 for the three months ending September 30, 2024 and 2023, respectively.

~~The~~12 ~~Company~~Table ~~recognized $92,785 and $130,544~~ of interest expense for the nine months ended March 31, 2024 and 2023, respectively. As of March 31, 2024 and June 2023, accrued interest on the above notes was $804,181 and $716,351, respectively. The weighted average interest rates as of March 31, 2024 and 2023 was 5.95% and 6.46%. Contents

~~Notes~~Note ~~payable~~8 ~~and~~— ~~long-term~~Convertible ~~debt~~Notes ~~outstanding as of March 31, 2024 and June 30, 2023 are summarized below:~~Payable

	Maturity Date	March 31,2024		June 30,2023
12% $150,000 Convertible Note Payable, net of unamortized discount of $0 and $0, respectively	Due on Demand	$	150,000	$	150,000
10% $440,000 Convertible Note Payable, net of unamortized discount of $0 and $0, respectively	Due on Demand		-		79,000
10% $220,000 Convertible Note Payable, net of unamortized discount of $0 and $0, respectively	Due on Demand		220,000		220,000
7% $640,000 Convertible Note Payable, net of unamortized discount of $0 and $0, respectively	Due on Demand		244,802		244,802
12% $600,000 Related Party Note Payable, net of unamortized discount of $0 and $0 respectively	Due on Demand		100,000		100,000
12% $50,000 Related Party Note Payable	Due on Demand		7,817		7,817
12 % $65,000 Related Party Note Payable	May 2024		65,000		-
0% $350,000 Note Payable	Due on Demand		279,000		350,000
3.75% $500,000 SBA EIDL Note Payable	April 30, 2050		456,134		478,067
Total notes payable			1,522,753		1,629,686
Less current portion of notes payable			1,066,619		1,151,619
Notes payable, net of current portion		$	456,134	$	478,067

Convertible notes payable consisted of the following:

11 Table of Contents

	September 30, 2024			June 30, 2023
September 2018 – Convertible note of $220,000 with interest rate at 10% per annum with maturity date of September 2019.		220,000			220,000
March 2019 – Convertible note of $640,000 with interest rate at 7% per annum with maturity date of September 2020.		244,802			244,802
Total notes payable		464,802			464,802
Less current portion of notes payable		464,802	)		(464,802	)
Notes payable, less current portion	$	-		$	-

Note 6: Income Taxes

	·	September 2018 - $220,000
		During the year ended June 30, 2019, the Company entered a convertible note with an investor of the Company with a face value of $220,000 in exchange for $200,000 cash payment with an interest rate of 10% per annum. The discount of this note was amortized over the life of the note. The note is in default and payable upon demand. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $155,314 and $149,829, respectively, and is recorded in accrued liabilities.

	·	March 2019 - $640,000
		During the year ended June 30, 2019, the Company entered into two promissory notes with an investor of the Company with a face value of $640,000 in exchange for a total of $600,000 cash payment. The discount of the Notes was amortized over the life of the Note and has an interest rate of 7%. The remaining principal is in default and payable upon demand and included as current debt on the balance sheet. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $164,143 and $159,871, respectively, and is recorded in accrued liabilities.

~~The~~Total ~~Company~~interest ~~accounts~~expense ~~for~~on ~~income~~notes ~~taxes~~payable into ~~accordance~~bank ~~with~~was ~~ASC 740~~$9,757 ~~Income~~and ~~Taxes (“ASC 740”)~~$15,796 ~~which requires the use of the asset and liability method. Deferred tax assets and liabilities are recognized~~ for the ~~expected~~three ~~future~~months ~~tax~~ending ~~consequences~~September of30, ~~temporary~~2024 ~~differences between the carrying amounts of assets~~ and ~~liabilities~~2023, ~~for financial reporting purposes and the amounts used for income tax purposes~~respectively. ~~Deferred tax assets are also recognized for net operating losses (NOLs) and tax credit carryforwards.~~

~~Provision~~13 ~~for~~Table ~~Income~~of ~~Taxes~~Contents

~~The~~Note ~~components~~9 of– ~~the~~Income ~~provision for income taxes are as follows:~~ Taxes

	Years Ended
	March 31, 2024		June 30, 2023
Current
Federal		-		-
State		-		-
Total current	$	-	$	-
Deferred
Federal		-		-
State		-		-
Total deferred	$	-	$	-
Total	$	-	$	-

The Company accounts for income taxes in accordance with ASC 740, Income Taxes (“ASC 740”), which requires the use of the asset and liability method. Deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Deferred tax assets are also recognized for net operating losses (NOLs) and tax credit carryforwards.

~~Deferred~~Provision ~~Tax~~for ~~Assets~~Income ~~and Liabilities~~Taxes

~~Significant~~The components of the ~~Company’s~~provision ~~deferred~~for ~~tax~~income ~~assets~~taxes ~~and liabilities as of March 31, 2024, and June 30, 2023~~ are as follows:

	Period Ended
	March 31, 2024			June 30, 2023
	September 30,2024			June 30, 2024
Deferred tax assets:
Current
Net operating loss carryforwards	$	10,728,983		$	10,728,983
Federal		-			-
Other temporary differences		2,306,450			2,306,450
State		-			-
Total deferred tax assets		13,035,433			13,035,433
Total current	$	-		$	-
Change in valuation allowance		(13,035,433	)		(13,035,433	)
Deferred
Effective income tax rate	$	-		$	-
Federal		-			-
State		-			-
Total deferred	$	-		$	-
Total	$	-		$	-

~~Valuation~~Deferred ~~Allowance~~Tax Assets and Liabilities

~~The~~Significant ~~Company~~components ~~has~~of ~~established~~the aCompany’s ~~full valuation allowance against its net~~ deferred tax assets and liabilities as of ~~March~~September 3130, 2024, and June 30, ~~2023. The valuation allowance was recorded because it is more likely than not that the Company will not realize its deferred tax assets~~2024, ~~primarily~~are ~~due~~as ~~to cumulative losses incurred in recent years.~~follows:

Unrecognized Tax Benefits

	Period Ended
	September 30, 2024			June 30, 2023
Deferred tax assets:
Net operating loss carryforwards	$	10,728,983		$	10,728,983
Other temporary differences		2,306,450			2,306,450
Total deferred tax assets		13,035,433			13,035,433
Change in valuation allowance		(13,035,433	)		(13,035,433	)
Effective income tax rate	$	-		$	-

~~The~~Valuation ~~Company has no unrecognized tax benefits as of March 31, 2024, and June 30, 2023.~~Allowance

The Company ~~files~~has ~~income~~established ~~tax~~a ~~returns~~full invaluation ~~the~~allowance ~~U.S.~~against ~~federal~~its ~~jurisdiction~~net ~~and~~deferred ~~is subject to income~~ tax ~~examinations~~assets byas ~~federal~~of ~~tax~~September ~~authorities~~30, ~~for~~2024 ~~tax~~and ~~years~~June ~~ended~~30, ~~2019 and later~~2024. The ~~Company~~valuation ~~currently~~allowance iswas ~~not~~recorded ~~under~~because ~~examination~~it byis ~~any~~more ~~tax~~likely ~~authority.~~than ~~The~~not that the Company’s ~~policy~~will isnot torealize ~~record~~its ~~interest~~deferred ~~and~~tax ~~penalties~~assets, onprimarily ~~uncertain~~due ~~tax~~to ~~positions~~cumulative aslosses ~~income~~incurred ~~tax~~in ~~expense~~recent years.

As14 Table of ~~March 31, 2024 and June 30, 2023, the Company has no accrued interest or penalties related to uncertain tax positions.~~Contents

~~Note 7~~Unrecognized —Tax ~~Commitments and Contingencies~~Benefits

The Company ~~records~~has ~~tax~~no ~~contingencies~~unrecognized ~~when~~tax ~~the~~benefits ~~exposure~~as ~~item becomes probable and reasonably estimable. As~~ of ~~March~~September 3130, 2024, ~~the Company had a tax contingency related to stock options granted below the fair market value on date of grant. The Company is in the process of determining the possible exposure~~ and ~~necessary~~June ~~expense accrual for the related tax~~30, ~~penalties and interest~~2024. ~~Management has not been able to determine the amount as of the date of this report, however, does not expect the amount to be material to the financial statements.~~

ToThe ~~the~~Company ~~best~~files ofincome tax returns in the ~~Company’s~~U.S. ~~knowledge~~federal jurisdiction and ~~belief,~~is nosubject ~~legal~~to ~~proceedings~~income oftax ~~merit~~examinations ~~are~~by federal tax authorities for tax years ended 2019 and later. The Company currently ~~pending~~is ornot ~~threatened~~under ~~against~~examination ~~the~~by any tax authority. The Company’s policy is to record interest and penalties on uncertain tax positions as income tax expense.

Note 810 — ~~Risks~~Commitments and ~~Uncertainties~~Contingencies

The Company ~~does~~records ~~not~~tax ~~have~~contingencies when the exposure item becomes probable and reasonably estimable. As of September 30, 2024, the Company had a ~~concentration~~tax contingency related to stock options granted below the fair market value on date of ~~revenues~~grant. ~~from~~The ~~any~~Company ~~individual~~is ~~customer~~in ~~(less~~the ~~than~~process ~~10%)~~of determining the possible exposure and necessary expense accrual for the related tax, penalties and interest. Management has not been able to determine the amount as of the date of this report, however, does not expect the amount to be material to the financial statements.

~~The~~To ~~Company~~the ~~operates~~best inof athe ~~rapidly~~Company’s ~~evolving~~knowledge and ~~highly~~belief, ~~regulated~~no ~~industry~~legal ~~and~~proceedings ~~will~~of ~~only~~merit ~~conduct~~are ~~business~~currently inpending ~~state~~or ~~legal~~threatened ~~cannabis~~against ~~markets~~the Company.

Note 911 — ~~Stock~~Risks ~~Based~~and ~~Compensation~~Uncertainties

The ~~equity incentive plan of the~~ Company ~~was~~does established in February of 2017. The Board of Directors of the Company may from time to time, in its discretion grant to directors, officers, consultants and employees of the Company, non-transferable options to purchase common shares, provided that the number of options issued do not ~~exceed~~have ~~20,000,000. The options are exercisable for~~ a ~~period~~concentration of uprevenues ~~to 4 years~~ from ~~the~~any ~~date~~individual ofcustomer ~~the~~(less ~~grant.~~than ~~The number of shares authorized to be issued under the equity incentive plan was increased from~~ 10~~,000,000 to 20,000,000 through consent of stockholders to amend and restate the equity incentive plan~~%).

12The ~~Table~~Company ofoperates ~~Contents~~in a rapidly evolving and highly regulated industry and will only conduct business in state legal cannabis markets.

~~A summary of option activity under the employee share option plan as of March 31, 2024 and changes during the~~Note ~~period~~12 ~~then~~— ~~ended~~Stock isBased ~~presented below.~~Compensation

	Shares			Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Price		Aggregate Intrinsic Value
Options:
Outstanding at July 1, 2023		17,774,000		$	0.06
Granted		-		$	0.00
Exercised, converted		-		$	0.00
Forfeited / exchanged / modification		(899,000	)	$	0.00
Outstanding at March 31, 2024		16,875,000		$	0.05		0.5	$	-
Exercisable at March 31, 2024		16,733,630		$	0.05		0.5
Number of options available for grant at end of period		1,667,938

The equity incentive plan of the Company was established in February of 2017. The Board of Directors of the Company may from time to time, in its discretion grant to directors, officers, consultants and employees of the Company, non-transferable options to purchase common shares, provided that the number of options issued do not exceed 25,000,000. The options are exercisable for a period of up to 4 years from the date of the grant. The number of shares authorized to be issued under the equity incentive plan was increased from 10,000,000 to 25,000,000 through consent of stockholders to amend and restate the equity incentive plan.

A15 ~~summary~~Table of ~~the status of the Company’s nonvested shares as of March 31, 2024, and changes during the quarter March 31, 2024, is presented below:~~Contents

Options	Shares		Weighted-Average Grant-Date Fair Value
Nonvested at July 1, 2023		662,608	$	0.11
Granted		0	$	0.00
Vested		521,238	$	0.11
Forfeited		-	$	0.00
Nonvested at March 31, 2024		141,370	$	0.11

The average fair value of stock options granted was estimated to be $0.14 and $0.07 per share for the period ended September 30, 2024 and June 30, 2024. This estimate was made using the Black-Scholes option pricing model and the following weighted average assumptions:

The Company recorded stock compensation expense of $83,820 and $256,793 during the three and nine months ended March 31, 2024, respectively.

	2024

Expected option life (years)	2-4
Expected stock price volatility	227to254		%
Expected dividend yield		-
Risk-free interest rate	0.44to0.54		%

AsA summary of ~~March~~option ~~31,~~activity ~~2024,~~under ~~there~~the ~~was~~employee ~~approximately~~share ~~$71,407~~option ofplan ~~unrecognized~~as ~~compensation~~of ~~expense~~June ~~related to 141~~30,~~370~~ ~~nonvested~~2024 ~~stock~~and ~~options~~2023 ~~outstanding,~~ and ~~the~~changes ~~weighted~~during ~~average~~the ~~vesting~~year ~~period~~then ~~for~~ended ~~those~~is ~~options~~presented ~~was 1 year~~below.

13 Table of Contents

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

Options:
Outstanding at July 1, 2024		4,150,000	$	0.08
Granted		-	$	0.04
Exercised, converted		-	$	0.00
Forfeited / exchanged / modification		-		-
Outstanding at September 30, 2024		4,150,000	$	0.06
Exercisable at September 30, 2024		4,150,000	$	0.06		0.3

Number of options available for grant at end of period		10,617,326

~~Warrants~~A summary of the status of the Company’s nonvested shares as of and for the period ended September 30, 2024 is presented below

At June 30, 2023, the Company had outstanding warrants to purchase the Company’s common stock which were issued in connection with multiple financing arrangements. Information relating to these warrants is summarized as follows:

Options	Shares		Weighted-Average Grant-Date Fair Value
Nonvested at July 1, 2024		-	$	-
Granted		-	$	-
Vested		-	$	-
Forfeited		-	$	-
Nonvested at September 30, 2024		-	$	-

Warrants	Remaining Number Outstanding		WeightedAverage Remaining Life (Years)		Weighted AverageExercise Price
Warrants - SEDA Financing		86,957		-	$	1.15
Warrants - Issued with Convertible Notes		600,000		0.23	$	0.75
Warrants - Securities Purchase Agreement		360,577		1.02	$	0.78
Warrants A - Securities Purchase Agreement		28,072,364		1.02	$	0.16
Total		29,119,898
Aggregate intrinsic value at June 30, 2023	$	0

Stock-based compensation expense attributable to stock options was approximately $23,873 and $86,487 for the three months ended September 30, 2024 and 2023, respectively.

AtAs ~~March~~of 31September 30, 2024 and June 30, ~~the~~2024, ~~Company~~there ~~had~~was ~~outstanding~~approximately ~~warrants~~$23,633 toand ~~purchase~~$47,535, ~~the~~respectively, ~~Company’s~~of ~~common~~unrecognized ~~stock~~compensation ~~which~~expense ~~were~~related ~~issued~~to inthe ~~connection~~stock ~~with~~options ~~multiple~~outstanding, ~~financing~~and ~~arrangements.~~the ~~Information~~weighted ~~relating~~average tovesting ~~these~~period ~~warrants~~for isthose ~~summarized~~options aswas ~~follows:~~less than a year.

Warrants	Remaining Number Outstanding		WeightedAverage Remaining Life (Years)		Weighted AverageExercise Price
Warrants - Securities Purchase Agreement		360,577		0.27		0.78
Warrants A - Securities Purchase Agreement		28,072,364		0.27	$	0.17
Total		28,432,941
Aggregate intrinsic value at March 31, 2024	$	0

Table of Contents

Warrants

~~Note 10~~At —September ~~Related~~30, ~~Party~~2024, ~~Transactions~~the Company had no outstanding warrants to purchase the Company’s common stock as the warrants previously outstanding expired on July 8, 2024.

InAt ~~March~~June ~~2020~~30, 2024, the Company ~~entered~~had ~~into~~outstanding awarrants ~~promissory~~to ~~note~~purchase ~~with~~ the ~~Chief~~Company’s ~~Executive~~common ~~Officer~~stock ~~for~~which ~~$600,000~~were inissued ~~exchange for a total of a $565,000 cash payment. The note matured~~ in ~~December~~connection ~~2020~~with ~~and~~multiple ~~$500,000~~financing ~~of principal payments have been made to date~~arrangements. ~~The~~Information ~~note~~relating ~~is in default and due upon demand and the interest rate was increased~~ to ~~12%.~~these Aswarrants ~~of March 31, 2024 and June 30, 2023, the total unpaid principal and interest~~ is ~~$163,344~~summarized ~~and $152,363, respectively. This principal amount of $100,000 is classified~~ as ~~current debt, related party on the March 31, 2024 and June 30, 2023 balance sheet.~~follows:

In April 2020, the Company entered into a promissory note with the Chief Technology Officer for $50,000. The note matured on January 1, 2021 and $42,183 of principal payments have been made to date. The note is in default and due upon demand and the interest rate was increased to 12%. As of March 31, 2024 and June 30, 2023, the total unpaid principal and interest is $13,985 and $13,134, respectively. This principal amount of $7,817 is classified as current debt, related party on the March 31, 2024 and June 30, 2023 balance sheet.

Warrants	Remaining Number Outstanding		Weighted Average Remaining Life (Years)		Weighted Average Exercise Price
Warrants - Securities Purchase Agreement		360,577		0.02		0.78
Warrants A - Securities Purchase Agreement		28,072,364		0.02	$	0.17
Total		28,432,941
Aggregate intrinsic value at June 30, 2024	$	0

~~During the quarter ended March 31, 2024, the Company entered into two promissory notes with executives of the Company (see~~ Note 5)13 ~~with~~— aRelated ~~total~~Party value of $65,000. The notes mature in 120 days and accrue interest at 12%. As of March 31, 2024, the total unpaid principal and interest is approximately $66,261. This principal amount of $65,000 is classified as current debt, related party on the March 31, 2024 balance sheet.Transactions

~~Note~~The 11Company —had ~~Leases~~the following related party transactions:

On· ~~January~~Notes 1,payable 2024 the Company extended its Denver, Colorado headquarter lease for 12 months through December 31, 2024. During the past fiscal year a majority of the Company’s employee have been working remotely and the Company does not know if they will continue to ~~keep~~related this location or relocate to a small facility. Therefore, in accordance with ASC 842 the Company will not record an operating right of use asset and operating lease liability because of the short term nature of this amendment. The Company will recognize lease expense on a monthly basis through the life of this lease of approximately $41,000.parties:

~~Note~~o March 2020 - $600,000 During the year ended June 30, 2020, the Company entered into a promissory note with the Chief Executive Officer with a face value of $600,000 in exchange for a total of $565,000 cash payments with interest rate at 12% —per ~~Subsequent~~annum ~~Events~~due in December 2020. The total discount of the note was amortized over the life of the note and recorded as an interest expense which matured on December 1, 2020. In January 2021, the Company repaid $300,000 and in July 2022 the Company repaid $100,000 of the note balance. The note was in default and due upon demand and the interest rate was increased to 12% as of June 30, 2024 and the outstanding loan amount of $100,000 was paid in full on September 17, 2024. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $13,437 and is recorded in accrued liabilities. o April 2020 - $50,000 During the year ended June 30, 2020, the Company entered into a promissory note with the Chief Technology officer for $50,000 with interest rate at 10% per annum due in December 2020. In January 2021, the Company repaid $25,000 and in July 2022 repaid $17,183 of the note balance. The note was in default and the interest rate increased to 12% as of June 30, 2024 and the outstanding loan amount of $7,817 was paid in full on September 17, 2024. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $2,373 and $2,240, respectively, and is recorded in accrued liabilities. o March 2024 - $65,000 During the quarter ended March 31, 2024, the Company entered into two promissory notes with the executives of the Company with a total value of $65,000 with interest rate at 12% per annum due in May 2024. During the year ended June 30, 2024, the Company paid $35,000 and the outstanding loan amount of $30,000 was paid on September 17, 2024. As of September 30, 2024 and June 30, 2024, the total unpaid and accrued interest was $3,792 and $3,206, respectively, and is recorded in accrued liabilities.

~~The~~Total ~~Company~~interest ~~evaluated~~expense ~~all~~on ~~events~~notes orpayable ~~transactions~~to ~~that~~related ~~occurred~~parties ~~after~~was ~~March 31~~$2,613 ~~2024,~~for ~~through~~the three month ended September 2030, 2024. ~~The~~and ~~Company~~$1,908 ~~determined that it does not have any subsequent event requiring recording or disclosure in the financial statements~~ for the ~~period~~three months ended ~~March~~September 3130, 2024.

Note 14 ~~Table~~— ~~of Contents~~Leases

~~Item~~On 2January 1, 2024 the Company extended its Denver, Colorado headquarter lease for 12 months through December 31, 2024. ~~Management~~During the past fiscal year, a majority of the Company’s ~~Discussion~~employees have been working remotely and ~~Analysis~~the Company does not know if they will continue to keep this location or relocate to a small facility. Therefore, in accordance with ASC 842 the Company will not record an operating right of ~~Financial~~use ~~Condition~~asset and ~~Results~~operating lease liability because of ~~Operations~~the short-term nature of this amendment. The Company will recognize lease expenses on a monthly basis through the life of this lease of approximately $41,000.

~~Forward~~Note ~~Looking~~15 ~~Statements~~— Subsequent Events

~~This~~The ~~quarterly~~Company ~~report~~evaluated onall ~~Form 10-Q contains forward-looking statements that involve risks and uncertainties. These statements relate to future~~ events or ~~our~~transactions ~~future~~that ~~financial~~occurred ~~performance.~~after InSeptember ~~some~~30, ~~cases~~2024, ~~you~~through ~~can~~November ~~identify~~19 ~~forward-looking~~2024. ~~statements~~The byCompany ~~terminology~~determined ~~such~~that asit ~~“may”,~~does ~~“should”,~~not ~~“expects”,~~have ~~“plans”,~~any ~~“anticipates”,~~subsequent ~~“believes”,~~event ~~“estimates”,~~requiring ~~“predicts”,~~recording ~~“potential”~~ or ~~“continue”~~disclosure orin the ~~negative~~financial ofstatements ~~these~~for ~~terms~~the orperiod ~~other~~ended ~~comparable~~September ~~terminology.~~30, ~~These statements are only predictions~~2024.

~~While~~17 ~~these~~Table ~~forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction~~ of our business, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggested in this report. Except as required by applicable law, we do not intend to update any of the forward-looking statements to conform these statements to actual results.Contents

~~Our~~Item ~~unaudited~~2. ~~interim~~Management’s ~~condensed~~Discussion ~~financial statements for the three months ended March 31, 2024 are expressed in US dollars~~ and ~~are~~Analysis ~~prepared in accordance with generally accepted accounting principles in the United States~~ of ~~America.~~Financial ~~They~~Condition ~~reflect all adjustments (all of which are normal~~ and ~~recurring~~Results ~~in nature) that, in the opinion~~ of ~~management, are necessary for fair presentation of our interim financial information~~Operations. The results of operations for the interim periods presented are not necessarily indicative of the results to be expected for any subsequent quarter or for our fiscal year ending June 30, 2024. Our unaudited financial statements and notes included therein have been prepared on a basis consistent with and should be read in conjunction with our audited financial statements and notes for the year ended June 30, 2023, as filed in our annual report on Form 10-K.

~~The~~Forward ~~following~~Looking ~~discussion should be read in conjunction with our interim financial statements and the related notes that appear elsewhere in this quarterly report.~~Statements

~~Business~~This ~~Overview~~quarterly report on Form 10-Q contains forward-looking statements that involve risks and uncertainties. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions.

~~Our~~While ~~company~~these ~~evolved~~forward-looking statements, and ~~grown~~any ~~from~~assumptions aupon ~~listing~~which ~~website~~they toare abased, ~~comprehensive~~are ~~marketing~~made ~~technology~~in ~~platform.~~good ~~Our~~faith ~~clients,~~and ~~medical~~reflect ~~and~~our ~~recreational~~current ~~dispensaries~~judgment regarding the direction of our business, inactual ~~legalized~~results ~~cannabis~~will ~~states~~almost always vary, ~~along~~sometimes ~~with~~materially, ~~cannabis~~from ~~product~~any ~~companies~~estimates, ~~subscribe~~predictions, toprojections, ~~our~~assumptions ~~technology~~or ~~platform~~other tofuture ~~assist~~performance suggested in ~~new~~this ~~customer acquisition~~report. WeExcept ~~provide~~as ~~retention~~required ~~tools~~by applicable law, we do not intend to ~~those~~update ~~companies~~any ~~that~~of ~~include~~the ~~texting/loyalty~~forward-looking ~~and~~statements ~~ordering~~to ~~ahead~~conform ~~technology.~~these statements to actual results.

~~The~~Our ~~Leafbuyer~~unaudited ~~Technology~~interim ~~Platform~~condensed ~~reaches~~financial ~~millions~~statements offor ~~cannabis~~the ~~consumers~~three ~~every~~months ~~month~~ended ~~through~~September ~~its web-based platform~~30, ~~loyalty~~2024 ~~platform~~are ~~and~~expressed ~~smart~~in ~~application~~US ~~technology.~~dollars ~~Our~~and ~~website’s~~are ~~sophisticated~~prepared ~~vendor~~in ~~dashboard~~accordance ~~allows~~with ~~our~~generally ~~clients~~accepted toaccounting ~~update~~principles ~~their~~in ~~menus,~~the ~~deals~~United ~~and~~States ~~create~~of ~~real-time messages to communicate with consumers 24/7/365~~America. ~~The~~They ~~platform~~reflect ~~also~~all ~~provides~~adjustments a(all ~~robust~~of ~~reporting~~which ~~feature~~are tonormal ~~track~~and ~~the~~recurring ~~vendors’~~in ~~return~~nature) onthat, ~~investment.~~in ~~With~~ the ~~increased~~opinion ~~popularity~~ of ~~Leafbuyer texting/loyalty program~~management, ~~clients~~are ~~can~~necessary ~~communicate~~for ~~through~~fair ~~SMS,~~presentation ~~MMS~~of asour ~~well~~interim asfinancial ~~push~~information. ~~notifications~~The ~~within~~results aof ~~custom~~operations ~~branded~~for ~~application.~~the ~~Our~~interim ~~website,~~periods ~~Leafbuyer.com,~~presented ~~and~~are ~~its~~not ~~progressive~~necessarily ~~web~~indicative ~~application,~~of ~~hosts~~the aresults ~~robust~~to ~~search~~be ~~algorithm~~expected ~~like~~for ~~popular~~any ~~travel~~subsequent quarter or ~~hotel~~for ~~sites, where~~ our ~~clients’~~fiscal ~~customers~~year ~~can~~ending ~~search~~June ~~the~~30, ~~database for appealing offers~~2025. ~~They~~Our ~~can~~unaudited ~~also~~financial ~~search~~statements ~~through~~and ~~thousands~~notes ofincluded ~~menu~~therein ~~items~~have ~~and~~been ~~products,~~prepared ~~create~~on a ~~profile,~~basis ~~sign~~consistent upwith ~~to receive deal alerts~~ and ~~place~~should ~~online~~be ~~orders~~read ~~for~~in ~~pick~~conjunction upwith orour ~~delivery.~~audited Infinancial ~~November~~statements ofand ~~2020~~notes ~~Leafbuyer Technologies Inc. completed a customizable white label application~~ for the ~~dispensary~~year ~~clients.~~ended ~~Consumers~~June ~~can search~~30, ~~shop~~2024, ~~earn~~as ~~rewards,~~filed ~~place orders, and communicate with their favorite stores all~~ in ~~one~~our ~~convenient~~annual ~~application.~~report ~~The~~on ~~application~~Form ~~can also be completely branded for the dispensary and allows for 24/7 communication with their patrons~~10-K.

WeThe ~~continue~~following andiscussion ~~aggressive~~should ~~push~~be ~~into~~read ~~all legal cannabis states. Increasing our marketing and sales presence~~ in ~~new~~conjunction ~~markets is a primary objective. Along~~ with ~~this~~our ~~expansion,~~interim wefinancial ~~continue~~statements toand ~~develop~~the ~~innovative~~related ~~technologies~~notes that ~~will~~appear ~~serve~~elsewhere ~~cannabis dispensaries and product companies~~ in ~~attracting~~this ~~and~~quarterly ~~retaining consumers~~report.

~~Leafbuyer~~Business operates in a rapidly evolving and highly regulated industry that, as has been estimated by grandviewresearch.com, to exceed $70 billion in revenue by the year 2028. Our founders and our Board of Directors have been, and will continue to be, aggressive in pursuing long-term opportunities.Overview

WeOur ~~plan~~company tohas ~~grow~~evolved ~~organically through the aggressive deployment of sales~~ and ~~marketing~~grown ~~resources~~from ~~into~~a ~~legal~~listing ~~cannabis~~website ~~states. We understand that~~ to ~~obtain~~ a ~~significant~~comprehensive ~~market~~marketing ~~share~~technology weplatform. ~~may~~Our ~~need~~clients, tomedical ~~look~~and ~~for~~recreational ~~acquisitions~~dispensaries, ~~for~~in alegalized ~~sizable~~cannabis ~~portion of that growth. However~~states, ~~there~~along ~~can~~with becannabis noproduct ~~assurance~~companies ~~that~~subscribe weto ~~will~~our betechnology ~~able~~platform to ~~locate~~assist ~~and~~in ~~acquire~~new ~~such~~customer ~~opportunities~~acquisition. orWe ~~that~~provide ~~they~~retention ~~will~~tools beto onthose ~~terms~~companies that ~~are~~include ~~favorable~~texting/loyalty toand usordering ahead technology.

15The ~~Table~~Leafbuyer Technology Platform reaches millions of ~~Contents~~cannabis consumers every month through its web-based platform, loyalty platform and smart application technology. Our website’s sophisticated vendor dashboard allows our clients to update their menus, deals and create real-time messages to communicate with consumers 24/7/365. The platform also provides a robust reporting feature to track the vendors’ return on investment. With the increased popularity of Leafbuyer texting/loyalty program, clients can communicate through SMS, MMS as well as push notifications within a custom branded application. Our website, Leafbuyer.com, and its progressive web application, hosts a robust search algorithm like popular travel or hotel sites, where our clients’ customers can search the database for appealing offers. They can also search through thousands of menu items and products, create a profile, sign up to receive deal alerts and place online orders for pick up or delivery. In November of 2020 Leafbuyer Technologies Inc. completed a customizable white label application for the dispensary clients. Consumers can search, shop, earn rewards, place orders, and communicate with their favorite stores all in one convenient application. The application can also be completely branded for the dispensary and allows for 24/7 communication with their patrons.

~~The~~We ~~accompanying~~continue ~~financial~~an ~~statements~~aggressive ~~have~~push ~~been~~into ~~prepared~~all ~~assuming~~legal ~~that~~cannabis ~~the~~states. ~~Company~~Increasing ~~will~~our ~~continue~~marketing asand asales ~~going~~presence ~~concern. As discussed~~ in ~~Note~~new 1markets tois ~~the financial statements, the Company has suffered recurring losses from operations and has~~ a ~~significant~~primary ~~accumulated deficit~~objective. ~~These~~Along ~~factors~~with ~~raise~~this ~~substantial~~expansion, ~~doubt~~we ~~about~~continue ~~the Company’s ability~~ to ~~continue~~develop asinnovative atechnologies ~~going~~that ~~concern.~~will ~~Management’s~~serve ~~plans~~cannabis indispensaries ~~regard~~and toproduct ~~these~~companies ~~matters are also described~~ in ~~Note~~attracting 1.and ~~The~~retaining ~~financial statements do not include any adjustments that might result from the outcome of this uncertainty~~consumers.

~~Comparison~~Leafbuyer ofoperates ~~results~~in ofa ~~operations~~rapidly ~~for~~evolving ~~the~~and ~~three~~highly ~~months~~regulated ~~ended~~industry ~~March~~that, 31as has been estimated by grandviewresearch.com, ~~2024~~to exceed $70 billion in revenue by the year 2028. Our founders and ~~2023~~our Board of Directors have been, and will continue to be, aggressive in pursuing long-term opportunities.

	Three months EndedMarch 31,
	2024			2023			Change			%
Revenue	$	1,496,714		$	1,286,132		$	210,582			16	%
Cost of revenue		933,663			769,701			163,962			21	%
Gross profit		563,051			516,431			46,620			9	%
Total operating expenses		702,483			651,521			50,963			8	%
Interest expense & other income		(32,217	)		(35,368	)		(3,151	)		(9	)%
Net loss	$	(171,649	)	$	(170,458	)	$	(1,192	)		1	%

We plan to grow organically through the aggressive deployment of sales and marketing resources into legal cannabis states. We understand that to obtain a significant market share we may need to look for acquisitions for a sizable portion of that growth. However, there can be no assurance that we will be able to locate and acquire such opportunities or that they will be on terms that are favorable to us.

~~Revenues~~18 Table of Contents

~~During~~The accompanying financial statements have been prepared assuming that the ~~three~~Company ~~months~~will ~~ended~~continue ~~March~~as ~~31,~~a ~~2024,~~going weconcern. ~~generated~~As $discussed in Note 1.5 ~~million~~to ofthe ~~revenues~~financial statements, ~~compared~~the toCompany ~~revenues~~has ofsuffered $1recurring losses from operations and has a significant accumulated deficit.3 ~~million~~These ~~during~~factors raise substantial doubt about the ~~three~~Company’s ~~months~~ability ~~ended~~to ~~March~~continue ~~31,~~as ~~2023~~a going concern. Management’s plans in regard to these matters are also described in Note 1. The ~~slight~~financial ~~increase~~statements ~~was~~do ~~primarily~~not ~~due~~include toany adjustments that might result from the ~~additional~~outcome ~~text~~of ~~services.~~this uncertainty.

~~Gross~~Comparison ~~Profit~~of results of operations for the three months ended September 30, 2024 and 2023

Gross profit increased to $563,051 for the period ended March 31, 2024 which was an increase over the same period ended March 31, 2023 of 46,620. Gross profits increased in the quarter because company has been able to pass along most of the recent cost increases experienced in the previous quarter.

	Three months Ended September 30,
	2024			2023			Change			%
Revenue	$	1,609,473		$	1,169,622		$	439,851			38	%
Cost of revenue		860,192			813,344			46,848			61	%
Gross profit		749,281			356,278			393,003			110	%

Total operating expenses		716,794			717,287			(493	)	(-		)%

Interest expense & other income		(20,985	)		(37,589	)		16,604			44	%

Net loss	$	11,502		$	(398,598	)	$	410,100			103	%

~~Expenses~~Revenues

During the three months ended ~~March~~September 3130, 2024, we ~~incurred~~generated ~~total~~$1.6 ~~operating~~million ~~expenses~~ of ~~$702~~revenues,~~483~~ compared to revenues of $~~651,521~~1.2 ~~for~~million during the ~~same~~three ~~period~~months ~~ending~~ended inSeptember 30, 2023. The 8% increase inwas ~~operating costs is~~ primarily ~~because~~due ofto ~~additional commissions paid for~~ the ~~increase~~additional intext ~~sales~~services.

~~Interest~~Gross expense was $32,217 for the three months ended March 31, 2024 compared to interest expense of $35,410 for the same period ending March 31, 2023, because of the reduction in notes payable during the year.Profit

~~Net~~Gross ~~Income~~profit increased to $749,281 for the period ended September 30, 2024, which was an increase over the same period ended September 30, 2023 of $393,003. Gross profits increased in the quarter because the cost of third-party texting fees was included in our pricing agreements, unlike in 2023, cost of revenue increased, and the company did not have time to respond to the change in our pricing agreements.

~~During the three months ended March 31, 2024 we realized a net loss of $171,649, compared to a net loss of $170,458 for the three months ended March 31, 2023.~~Expenses

16During ~~Table~~the three months ended September 30, 2024, we incurred total operating expenses of ~~Contents~~$716,794 compared to $717,287 for the same period ending in 2023. The minimal decrease in operating costs is primarily because of lower stock- based compensation expense with an offset to an increase in bad debt expense.

~~Comparison~~Interest ofexpense ~~results~~was of$20,986 ~~operations~~ for the ~~nine~~three months ended ~~March~~September 3130, 2024 ~~and~~compared to interest expense of $37,624 for the same period ending September 30, 2023, because of the reduction in notes payable during the year.

	Nine months EndedMarch 31,
	2024			2023			Change			%
Revenue	$	4,100,467		$	3,763,207		$	337,260			9	%
Cost of revenue		2,732,473			2,059,325			673,148			33	%
Gross profit		1,367,994			1,703,882			(335,888	)		(20	)%
Total operating expenses		2,065,517			1,993,081			72,436			4	%
Interest expense & other income		(92,737	)		(127,121	)		(34,384	)		(27	)%
Net loss	$	(790,260	)	$	(416,320	)	$	(373,940	)		(90	)%

Net Income

~~Revenues~~During the three months ended September 30, 2024 we realized a net income of $11,502, compared to a net loss of $398,598 for the three months ended September 30, 2023.

~~During~~19 ~~the~~Table ~~nine months ended March 31, 2024, we generated $4.1 million~~ of ~~revenues, compared to revenues of $3.8 million during the nine months ended March 31, 2023. The 9% increase was primarily due to the additional text services.~~ Contents

~~Gross~~Liquidity ~~Profit~~and Capital Resources

~~Gross~~The ~~profit~~ability ~~decreased~~ to ~~$1,367,994~~continue ~~for~~as a going concern is dependent upon the ~~period~~Company ~~ended~~generating ~~March~~profitable ~~31,~~operations ~~2024~~in ~~which~~the ~~was~~future anand/or ~~decrease~~obtaining the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. Management intends to finance operating costs over the ~~same~~next ~~period~~twelve ~~ended~~months ~~March~~from ~~31,~~the ~~203~~date of ~~$335,888.~~the ~~Gross~~issuance ~~profits~~of ~~decreased~~these inunaudited condensed financial statements with existing cash on hand and/or the ~~second~~private ~~quarter~~placement ~~due~~of tocommon ~~industry-wide~~stock ~~increased~~or ~~provider~~obtaining ~~costs~~debt financing. ~~The~~There ~~company~~is, ~~has~~however, ~~been~~no assurance that the Company will be able to ~~pass~~raise ~~along~~any ~~most~~additional capital through any type of ~~the~~offering ~~recent~~on ~~cost~~terms ~~increases~~acceptable ~~and~~to isthe ~~hopeful~~Company, ~~that~~as ~~gross~~existing ~~margins~~cash ~~return~~on hand will be insufficient to ~~mid-year~~finance ~~2023~~operations ~~levels~~over ~~going~~the ~~forward~~next twelve months.

~~Expenses~~At September 30, 2024 we had $231,381 in cash and cash equivalents.

~~During~~Cash the nine months ended March 31, 2024, we incurred total operating expenses of $2,065,517 compared to $1,993,081 for the same period ending in 2023. The 4% increase in operating costs is primarily because of additional commissions paid and one-time recruiting fee and increase computer and internet fees during the period.Flows

~~Interest~~Our ~~expense~~cash ~~was~~flows ~~$92,785~~from ~~for the nine months ended March 31~~operating, ~~2024~~investing ~~compared~~and tofinancing ~~interest~~activities ~~expense~~were ofas ~~$130,544 for the same period ending March 31, 2023, because of the reduction in notes payable during the year.~~follows:

17 Table of Contents

	Three months Ended September 30,
	2024			2023
Net cash (used in)/provided by operating activities	$	211,177		$	(185,479	)
Net cash used in investing activities	$	-		$	-
Net cash used in financing activities	$	(145,128	)	$	(57,311	)

~~Net~~As ~~Loss~~of September 30, 2024, we had $231,381 in cash and cash equivalents and a working capital deficit of $1,711,7491. We are dependent on funds raised through equity financing. Our accumulated deficit of $25,133,627 was funded by equity financing and we reported a net income from operations of $11,502 for the three months ended September 30, 2024. During the three months ending September 30, 2024, we paid $145,128 to reduce related parties’ debt, and we did not expend any monies through investing activities (acquiring assets). The Company realized more gross profit during the three months ending September 30, 2024 compared to the same period in 2023 which provided cash from operating activities and allowed the Company to pay down more debt in 2024 than 2023.

~~During~~Off-Balance ~~the~~Sheet ~~nine months ended March 31, 2024 we realized a net loss of $790,260, compared to a net loss of $416,320 for the nine months ended March 31, 2023.~~Arrangements

~~Liquidity~~We had no off-balance sheet arrangements as of September 30, 2024 and ~~Capital~~June ~~Resources~~30, 2024.

~~The~~Critical ~~ability~~Accounting to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. Management intends to finance operating costs over the next twelve months from the date of the issuance of these unaudited condensed financial statements with existing cash on hand and/or the private placement of common stock or obtaining debt financing. There is, however, no assurance that the Company will be able to raise any additional capital through any type of offering on terms acceptable to the Company, as existing cash on hand will be insufficient to finance operations over the next twelve months.Estimates

AtOur ~~March~~condensed 31financial statements and accompanying notes have been prepared in accordance with U.S. GAAP. The preparation of these financial statements requires management to make estimates, ~~2024~~judgments weand ~~had~~assumptions ~~$155~~that affect reported amounts of assets,~~942~~ inliabilities, ~~cash~~revenues and ~~cash~~expenses. ~~equivalents~~We continually evaluate the accounting policies and estimates used to prepare the condensed financial statements. The estimates are based on historical experience and assumptions believed to be reasonable under current facts and circumstances. Actual amounts and results could differ from these estimates made by management. Certain accounting policies that require significant management estimates and are deemed critical to our results of operations or financial position are discussed in our June 30, 2024 form 10-K in the Critical Accounting Policies section of Management’s Discussion and Analysis of Financial Condition and Results of Operations.

~~Cash~~20 ~~Flows~~Table of Contents

~~Our~~Critical ~~cash~~Accounting ~~flows from operating, investing and financing activities were as follows:~~Policies

	Nine months Ended March 31,
	2024			2023
Net cash (used in)/provided by operating activities	$	(182,846	)	$	329,493
Net cash used in investing activities	$	-		$	-
Net cash used in financing activities	$	(106,933	)	$	(261,805	)

Our unaudited condensed interim financial statements are affected by the accounting policies used and the estimates and assumptions made by management during their preparation. For a detailed discussion about the Company’s significant accounting policies, refer to Note 2 — “Summary of Significant Accounting Policies,” in the Company’s financial statements included in the Company’s June 30, 2024 Form 10-K. We have identified below the accounting policies that are of particular importance in the presentation of our financial position, results of operations and cash flows, and which require the application of significant judgment by our management. Management has carefully considered the recently issued accounting pronouncements that altered generally accepted accounting principles and does not believe that any other new or modified principles will have a material impact on the Company’s reported financial position or operations in the near term.

AsUse of March 31, 2024, we had $155,942 in cash and cash equivalents and a working capital deficit of $2,011,802. We are dependent on funds raised through equity financing. Our accumulated deficit of $25,225,958 was funded by equity financing and we reported a net loss from operations of $790,260 for the nine months ended March 31, 2024. During the nine months ending March 31, 2024, we raised $65,000 from two related parties and we paid $171,933 to reduce debt, and we did not expend any monies through investing activities (acquiring assets). The Company realized more gross profit during the nine months ending March 31, 2023 compared to the same period in 2024 which provided cash from operating activities and allowed the Company to paydown more debt in 2023 than 2024.Estimates

~~Off-Balance~~Management ~~Sheet~~uses ~~Arrangements~~estimates and assumptions in preparing these condensed financial statements. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates.

WeRevenue ~~had no off-balance sheet arrangements as of March 31, 2024 and June 30, 2023.~~Recognition

~~Critical~~For ~~Accounting~~revenue ~~Estimates~~recognition arrangements that we determine are within the scope of Topic ASC 606, we perform the following five steps: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation. We only apply the five-step model to arrangements that meet the definition of a contract under Topic 606, including when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of Topic 606, we evaluate the goods or services promised within each contract related performance obligation and assess whether each promised good or service is distinct. We then recognize as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied.

~~Our~~We ~~condensed~~recognize ~~financial~~revenue ~~statements~~upon ~~and~~completion ~~accompanying notes have been prepared in accordance with U.S. GAAP. The preparation~~ of ~~these~~our ~~financial~~performance ~~statements~~obligations ~~requires~~or ~~management~~expiration ~~to make estimates, judgments and assumptions that affect reported amounts~~ of ~~assets, liabilities, revenues and expenses. We continually evaluate~~ the ~~accounting~~contractual ~~policies~~time ~~and estimates used~~ to ~~prepare~~use ~~the~~services ~~condensed~~such ~~financial~~as ~~statements.~~bulk ~~The estimates are based on historical experience and assumptions believed to be reasonable under current facts and circumstances~~texting. Actual amounts and results could differ from these estimates made by management. Certain accounting policies that require significant management estimates and are deemed critical to our results of operations or financial position are discussed in our June 30, 2023 form 10-K in the Critical Accounting Policies section of Management’s Discussion and Analysis of Financial Condition and Results of Operations.

18Recent ~~Table~~Accounting ofGuidance ~~Contents~~Adopted

~~Critical~~We ~~Accounting~~have ~~Policies~~implemented all new accounting pronouncements that are in effect and applicable to us. These pronouncements did not have any material impact on our financial statements unless otherwise disclosed, and we do not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on our financial position or results of operations.

~~Our~~21 ~~unaudited~~Table condensed interim financial statements are affected by the accounting policies used and the estimates and assumptions made by management during their preparation. For a detailed discussion about the Company’s significant accounting policies, refer to Note 2 — “Summary of Significant Accounting Policies,” in the Company’s financial statements included in the Company’s June 30, 2023 Form 10-K. We have identified below the accounting policies that are of particular importance in the presentation of our financial position, results of operations and cash flows, and which require the application of significant judgment by our management. Management has carefully considered the recently issued accounting pronouncements that altered generally accepted accounting principles and does not believe that any other new or modified principles will have a material impact on the Company’s reported financial position or operations in the near term.Contents

Use of Estimates

Management uses estimates and assumptions in preparing these condensed financial statements. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates.

Revenue Recognition

For revenue recognition arrangements that we determine are within the scope of Topic ASC 606, we perform the following five steps: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation. We only apply the five-step model to arrangements that meet the definition of a contract under Topic 606, including when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of Topic 606, we evaluate the goods or services promised within each contract related performance obligation and assess whether each promised good or service is distinct. We then recognize as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied.

We recognize revenue upon completion of our performance obligations or expiration of the contractual time to use services such as bulk texting.

Recent Accounting Guidance Adopted

We have implemented all new accounting pronouncements that are in effect and applicable to us. These pronouncements did not have any material impact on our financial statements unless otherwise disclosed, and we do not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on our financial position or results of operations.

19 Table of Contents

Item 3. Quantitative and Qualitative Disclosures About Market Risk

We are a smaller reporting company as defined by 17 C.F.R. 229 (10)(f)(i) and are not required to provide information under this item.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Our management is responsible for establishing and maintaining a system of disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e) under the Exchange Act) that is designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by an issuer in the reports that it files or submits under the Exchange Act is accumulated and communicated to the issuer’s management, including its principal executive officer or officers and principal financial officer or officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

An evaluation was conducted under the supervision and with the participation of our management of the effectiveness of the design and operation of our disclosure controls and procedures as of June 30, ~~2023~~2024. Based on that evaluation, our management concluded that our disclosure controls and procedures were not effective as of such date to ensure that information required to be disclosed in the reports that we file or submit under the Exchange Act, is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms. Such officer also confirmed that there was no change in our internal control over financial reporting during the ~~nine~~three months ended ~~March~~September 3130, 2024 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

Changes in Internal Control Over Financial Reporting

There were no changes in our internal control over financial reporting that occurred during the ~~nine~~three months ended ~~March~~September 3130, 2024, which have materially affected or would likely materially affect our internal control over financial reporting. The Company continues to invest resources in order to upgrade internal controls.

2022 Table of Contents

PART II – OTHER INFORMATION

Item 1. Legal Proceedings

We are not aware of any legal proceedings to which we are a party or of which our property is the subject. None of our directors, officers, affiliates, any owner of record or beneficially of more than 5% of our voting securities, or any associate of any such director, officer, affiliate or security holder are (i) a party adverse to us in any legal proceedings, or (ii) have a material interest adverse to us in any legal proceedings. We are not aware of any other legal proceedings that have been threatened against us.

Item 2. Unregistered Sales of Equity Securities

None

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

None

2123 Table of Contents

Item 6. Exhibits

Exhibit Number		Exhibit Description
ExhibitNumber		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).

* Filed herewith.

** Furnished herewith.

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SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Exchange Act, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	LEAFBUYER TECHNOLOGIES, INC.
Date: September 20, 2024	By:	/s/ Kurt Rossner
Date: November 19, 2024	By:	/s/ Kurt Rossner
		Kurt Rossner
		Chief Executive Officer, Director(principal executive officer)
	By:	/s/ Mark Breen
		Mark Breen
		Chief Financial Officer and Director

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