SOCKET MOBILE, INC. (NASDAQ:SCKT) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01 Entry into a Material Definitive Agreement
The information under Item 2.03 of this Current Report on Form 8-K is incorporated herein by reference.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant
On April 20, 2020, Socket Mobile, Inc. (the “Company”) received a U.S. Small Business Administration Loan (the “SBA Loan”) from Western Alliance Bank, to the Paycheck Protection Program established under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), in the amount of $1,058,700 (the “Loan Proceeds”). Under the Paycheck Protection Program Loan Note (the “Promissory Note”), the SBA Loan has a fixed interest rate of 1%, a maturity date of April 20, 2022, and no payments are due on the SBA Loan for six months. There is no prepayment penalty. to the terms of the SBA Loan and Promissory Note, the Company may apply for forgiveness of the amount due on the SBA Loan in an amount equal to the sum of the following costs incurred by the Company during the eight-week period (or any other period that may be authorized by the U.S. Small Business Administration) beginning on the date of first disbursement of the SBA Loan: payroll costs, any payment of interest on a covered mortgage obligation, payment on a covered rent obligation, and any covered utility payment. The amount of SBA Loan forgiveness shall be calculated in accordance with the requirements of the Paycheck Protection Program, including the provisions of Section 1106 of the CARES Act, although no more than 25% of the amount forgiven can be attributable to non-payroll costs.
Item 8.01 Other Events
On April 21, 2020, the Company issued a press release announcing its receipt of the Loan Proceeds. A copy of the press release is attached hereto as Exhibit 99.1.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
| Description | |
| 99.1 | Press Release issued by Socket Mobile Inc. on April 21, 2020. |
SOCKET MOBILE, INC. Exhibit
EX-99 2 pressrelease.htm EXHIBIT 99.1 Exhibit 99.1 Socket Mobile Announces Receipt of Loan Proceeds Under Paycheck Protection Program NEWARK,…
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About SOCKET MOBILE, INC. (NASDAQ:SCKT)
Socket Mobile, Inc. is a producer of data capture products. The Company’s products are integrated into mobile applications used in mobile point of sale (mPOS), hospitality, asset management, commercial services, healthcare and other mobile business markets. The Company operates through mobile systems solutions for businesses segment. Its cordless barcode scanners connect over Bluetooth and work with applications running on smartphones, mobile computers and tablets using various operating systems. It offers a software developer kit (SDK) to mobile application developers to enable the use of its products with their applications. The Company offers barcode scanning products for both one-dimensional (1D), including imager and laser, and two-dimensional (2D) barcode scanning in standard and durable cases. Its 7 Series barcode scanners are designed for handling as a stand-alone cordless barcode scanner. Its D700 series barcode scanners are used in linear imaging, laser and 2D models.
