Earth Science Tech, Inc. (ticker: UNOV), a progressive biotechnology company focused on pharmaceutical and nutraceutical sectors, has recently secured two Small Business Administration (SBA) loans totaling $215,500 under the Economic Injury Disaster Loan (EIDL) program. The loans are aimed at providing additional funding for Earth Science Tech’s business expansion.
The first loan, totaling $106,800, was executed on July 27, 2020, with the holding company. The second loan, amounting to $108,700, was executed on April 1, 2021, with RxCompound, a subsidiary of Earth Science Tech. The loans are secured by all tangible and intangible assets of the companies and payable over 30 years at an interest rate of 3.75% per annum.
Monthly installment payments, including principal and interest, for the holding company loan will start from the 13th month at $521 per month, while RxCompound’s loan payments will commence on the 13th month as well, totaling $530 per month. The initial payments will be applied to the accrued interest on the loans.
The future long-term SBA loan payments for Earth Science Tech are scheduled as follows:
- Within the first year: $4,767
- Within the second year: $4,947
- Within the third year: $5,132
- Within the fourth year: $5,325
- Thereafter: $189,004
The total loan payments amount to $209,175, with the current portion valued at $4,767, leaving a non-current portion of $204,408.
This additional funding will help boost Earth Science Tech’s business operations, especially in the wake of the acquisition of RxCompoundStore.com, LLC, and Peaks Curative, LLC. With the expansion in the pharmaceutical products and topicals portfolio, the company generated revenue of $48,537 through RxCompound and Peaks for the year ended March 31, 2023.
As of March 31, 2023, Earth Science Tech had issued 282,611,083 common stocks, which were instrumental in securing the loans and settling prior debts. Along with the two SBA loans under EIDL, the company also received cash proceeds of $564,200 from the issuance of 87,246,677 common stocks during the same fiscal year.
In conclusion, Earth Science Tech, Inc. is on a promising trajectory, thanks to the secured loans under the SBA Economic Injury Disaster Loan program and the successful acquisition of RxCompoundStore.com and Peaks Curative LLC. The funding from these loans will help the company to further expand its operations and gain a larger market share in the pharmaceutical and nutraceutical sectors.
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