GFOO Genufood Energy Enzymes Corporation (CE)

On July 3, 2020, Jui Pin (John) Lin, the President and Chief Executive Officer of Genufood Energy Enzymes Corp. (the “Company”), made a loan (the “July Loan”) to the Company in the principal amount of $20,000. The July Loan bears simple interest at a rate of 4% per annum, and is payable as to both principal and interest on the sixth-month anniversary of the July Loan, which is January 3, 2021 (the “Maturity Date”). This is one of a series of loans that Mr. Lin has made from time to time to help the Company meets its obligations.

Mr. Lin, as the holder of the Company’s 4% Convertible Promissory Note dated July 3, 2020 (the “July Note”) evidencing the July Loan, may, at his sole option, convert (a “Voluntary Conversion”) the then outstanding principal and accrued and unpaid interest on the July Note into shares of the common stock of the Company (“Common Stock”) at a rate of $0.0005 per share. Notwithstanding the holder’s right of Voluntary Conversion, the holder of the July Note may not make such conversion unless and until the Company has a sufficient number of authorized and unissued shares of Common Stock to issue upon a Voluntary Conversion. At the present time, the Company does not have a sufficient number of authorized and unissued shares of its Common Stock to issue upon a Voluntary Conversion but expects to have a sufficient number of authorized and unissued shares of its Common Stock before the Maturity Date.

The July Note also provides for events of default and remedies in such event, including without limitation interest at a rate equal to the lesser of 10% per annum or the maximum interest rate allowed under usury or other similar laws from the Maturity Date until the July Note is paid in full. The July Note also contains other terms and conditions typical for a transaction of this type.