---
schema_version: "secwatch.filing_event.v1"
accession: "0001851734-22-000633"
form_type: "8-K"
ticker: "PAYD"
cik: "0001017655"
company_name: "PAID INC"
filed_at: "2022-10-25T23:59:59+00:00"
generated_at: "2026-06-23T01:08:03.363535+00:00"
event_type: "debt"
sentiment: "neutral"
materiality_score: 0.5
calibrated_materiality_score: 0.5
confidence: "high"
source: SEC EDGAR
---

# PAID loans $1.5M to Embolx via convertible note; gets warrant to buy Embolx shares

## Summary
- PAID loans $1.5M cash; note principal $1.875M due to 20% original issue discount.
- Note matures 9 months from closing; 20% annual interest accrues if unpaid.
- PAID receives 5-year warrant to purchase Embolx common stock at 105% of next financing price; warrant coverage increases from 50% to 75% if note unpaid at maturity.
- PAID has the right to invest up to $2M total on same terms via over-allotment option.

## SEC filing metadata
- accession: 0001851734-22-000633
- form_type: 8-K
- ticker: PAYD
- cik: 0001017655
- company_name: PAID INC
- filed_at: 2022-10-25T23:59:59+00:00
- event_type: debt
- sentiment: neutral
- materiality_score: 0.5
- calibrated_materiality_score: 0.5
- confidence: high
- sec_items: 1.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1017655/000185173422000633/0001851734-22-000633-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1017655/000185173422000633/payd20221024_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001851734-22-000633
- JSON: https://secwatch.observer/filing/0001851734-22-000633.json
- Plain text: https://secwatch.observer/filing/0001851734-22-000633.txt

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.