NEXTNRG, INC. 8-K

What Happened
NextNRG, Inc. (NXXT) announced on June 30, 2026 that it entered into a Standard Merchant Cash Advance Agreement with Avanza Capital Holdings, LLC. Under the agreement NextNRG sold $1,499,900 of future receivables to Avanza for a $1,000,000 purchase price. After a $60,000 underwriting and program fee, NextNRG received net cash proceeds of $940,000. CEO Michael D. Farkas personally guaranteed the Company’s obligations under the agreement.

Key Details

• Receivables sold: $1,499,900; purchase price: $1,000,000; net proceeds to NextNRG: $940,000 (after $60,000 fee).
• Repayment: Avanza will collect 25% of the Company’s daily settlements/receivables until the Receivables Purchased Amount is fully delivered.
• Payment mechanics: initial estimated periodic ACH debit of $62,496 every Tuesday, with monthly collections capped at $268,732 (subject to conditions and exclusions); prepayment allowed without penalty.
• Security and remedies: Avanza holds a first-priority security interest in substantially all current and future accounts and related collateral; on default Avanza can accelerate the balance, enforce collateral, and may recover 25% of the unpaid balance as liquidated damages.

Why It Matters
This is a financing transaction that provides NextNRG roughly $940,000 in immediate cash but diverts 25% of its incoming customer payments to repay the advance until Avanza collects the equivalent of $1,499,900. The agreement grants Avanza a broad security interest in the company’s receivables and other assets and is personally guaranteed by CEO Michael Farkas, which underscores management’s commitment but also increases founder exposure. Investors should view this as a liquidity move that affects near-term cash flow and encumbers receivables until repayment is complete. The full agreement is filed as Exhibit 10.1 to the company’s 8-K.