pspf_8k.htm
SECURITIES AND EXCHANGE
COMMISSION
Washington, DC 20549
_______________
FORM
8-K
_______________
CURRENT REPORT
Pursuant
to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of
Report (Date of earliest event reported): April 6, 2010
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SPORTS
FACTORY, INC. |
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(Exact
Name of Registrant as Specified in Charter)
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| Minnesota |
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000-25385 |
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41-1853993
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| (State or
Other Jurisdiction |
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(Commission |
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( I.R.S.
Employer |
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Incorporation) |
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File
Number) |
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Identification
No.) |
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300 Walnut Street, Philadelphia,
PA 19106 |
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(Address of
Principal Executive Offices) (Zip Code) |
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Registrant's telephone number,
including area code: (267) 546-9073 |
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Former name or
former address, if changed since last report |
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Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General Instruction A.2. below):
o Written communications
pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
o Soliciting material
pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a -12)
o Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d -2(b))
o Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e -4(c))
Item 1.01. Entry into a
Material Definitive Agreement.
We
entered into a Loan and Security Agreement (the “Agreement”), dated January 9,
2009, by and between Power Sports Factory, Inc. and Crossroads Debt LLC
(“Crossroads”), pursuant to which advances to us of approximately $514,000 have
been made. We are working with Crossroads to accelerate the liquidation of our
inventory and pay the outstanding balance on the Agreement, which was
approximately $144,942.61 as of April 12,
2010.
On April
6, 2010, we entered into a further agreement with Crossroads that provided for
specified payments to Crossroads for sales of particular scooter
models. Crossroads specifically states that PSF is no longer in
default on their loan and the new cash flow split is more advantageous to PSF.
In addition, we agreed that we will sell at least 100 scooters in April, 150
scooters in May, and 150 scooters in June, 2010. We agreed to use our best
efforts to facilitate scooter sales as quickly as possible. We agreed that in
order to sell one X50, we must sell at least 10 units of another model. All
other models would be sold in relation to their relative inventory
levels.
SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
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POWER
SPORTS FACTORY, INC. |
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Date:
April 13, 2010
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By:
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/s/
Shawn Landgraf |
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Name: Shawn
Landgraf |
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Title: Chief
Executive Officer |
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