--- schema_version: "secwatch.filing_event.v1" accession: "0001493152-23-031394" form_type: "8-K" ticker: null cik: "0001499717" company_name: "Staffing 360 Solutions, Inc." filed_at: "2023-09-01T23:59:59+00:00" generated_at: "2026-06-11T00:29:23.551771+00:00" event_type: "debt" sentiment: "negative" materiality_score: 0.75 calibrated_materiality_score: 0.75 confidence: "high" source: SEC EDGAR --- # Staffing 360 issues $2M 12% note to Jackson, amends MidCap facility, waives default ## Summary - Issued $2M 12% senior secured note due Oct 2024 to Jackson Investment Group; interest rises to 16% if 50% not repaid by Oct 27, 2023. - Also issued 200,000 unregistered shares to Jackson as commitment fee under Section 4(a)(2) and Rule 506(b). - Amendment No. 28 with MidCap increases revolving loan margin from 4.25% to 4.50%, adds fixed charge coverage ratio of 1.00:1.00. - MidCap waives event of default for failing to maintain minimum liquidity in June 2023; Company must prepay loans from equity proceeds. - Proceeds from Jackson note used to repay other indebtedness; modification fee of $68,250 and overdue interest of $31,750 to MidCap. ## SEC filing metadata - accession: 0001493152-23-031394 - form_type: 8-K - cik: 0001499717 - company_name: Staffing 360 Solutions, Inc. - filed_at: 2023-09-01T23:59:59+00:00 - event_type: debt - sentiment: negative - materiality_score: 0.75 - calibrated_materiality_score: 0.75 - confidence: high - sec_items: 1.01, 2.03, 3.02, 3.03, 9.01 - EDGAR index: https://www.sec.gov/Archives/edgar/data/1499717/000149315223031394/0001493152-23-031394-index.htm - EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1499717/000149315223031394/form8-k.htm ## Machine-readable alternates - HTML: https://secwatch.observer/filing/0001493152-23-031394 - JSON: https://secwatch.observer/filing/0001493152-23-031394.json - Plain text: https://secwatch.observer/filing/0001493152-23-031394.txt ## Key facts - Debt Financings Staffing 360 Solutions, Inc. amended credit facility of (not specified, amendment to existing revolving credit facility) with MidCap Funding IV Trust at applicable margin increased from 4.25% to 4.50% for revolving loans and from 3.7 maturing not specified. - Instrument: credit facility - Principal: (not specified, amendment to existing revolving credit facility) - Counterparty: MidCap Funding IV Trust - Rate: applicable margin increased from 4.25% to 4.50% for revolving loans and from 3.7 - Maturity: not specified - Event: amendment source text: Amendment No. 28, among other things: (i) increases the applicable margin (a) from 4.25% to 4.50% with respect to revolving loans and other obligations (other than letter of credit liabilities) and (b) from 3.75% to 4.50% with respect to letter of credit liabilities, (ii) revises the definition of borrowing base to include the amount of any reserves and/or adjustments provided for in the Credit and Security Agreement, including, but not limited to, the Additional Reserve Amount (as defined in the in Amendment No. 28), (iii) requires that the Company complies with a fixed charge coverage ratio of at least 1:00 to 1:00, and (iv) waives the existing event of default that occurred under the Credit and Security Agreement due to the Credit Parties’ failure to maintain the Minimum Liquidity amount (as defined in the Credit and Security Agreement) for the fiscal month ending June 30, 2023 evidence_url: https://www.sec.gov/Archives/edgar/data/1499717/000149315223031394/0001493152-23-031394-index.htm - Debt Financings Staffing 360 Solutions, Inc. incurred senior notes of $2,000,000 with Jackson Investment Group, LLC at 12% per annum, increasing to 16% per annum if not repaid at least 50% by October maturing October 14, 2024. - Instrument: senior notes - Principal: $2,000,000 - Counterparty: Jackson Investment Group, LLC - Rate: 12% per annum, increasing to 16% per annum if not repaid at least 50% by October - Maturity: October 14, 2024 - Event: incurrence source text: simultaneously with the execution of the Amendment Agreement, the Company issued to Jackson a new 12% Senior Secured Promissory Note due October 14, 2024 (the “ Jackson Note ”) in the principal amount of $2,000,000, the proceeds of which will be used by the Company to repay certain indebtedness of the Company, among others. evidence_url: https://www.sec.gov/Archives/edgar/data/1499717/000149315223031394/0001493152-23-031394-index.htm - Material Agreements Staffing 360 Solutions, Inc. amended First Omnibus Amendment and Reaffirmation Agreement to the Note Documents with Jackson Investment Group, LLC (effective 2023-08-30). - Action: amendment - Agreement: credit facility - Counterparty: Jackson Investment Group, LLC - Effective: 2023-08-30 source text: On August 30, 2023, Staffing 360 Solutions, Inc. (the " Company ") entered into that certain First Omnibus Amendment and Reaffirmation Agreement to the Note Documents (the " Amendment Agreement ") with Jackson Investment Group, LLC evidence_url: https://www.sec.gov/Archives/edgar/data/1499717/000149315223031394/0001493152-23-031394-index.htm - Material Agreements Staffing 360 Solutions, Inc. amended Amendment No. 28 to Credit and Security Agreement and Limited Waiver with MidCap Funding IV Trust (effective 2023-08-30). - Action: amendment - Agreement: credit facility - Counterparty: MidCap Funding IV Trust - Effective: 2023-08-30 source text: On August 30, 2023, the Company entered into Amendment No. 28 to Credit and Security Agreement and Limited Waiver (“ Amendment No. 28” ), by and among the Company, as Parent, Monroe Staffing Services, LLC evidence_url: https://www.sec.gov/Archives/edgar/data/1499717/000149315223031394/0001493152-23-031394-index.htm This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.