Socket Mobile (SCKT) Registration Filing summary

Company overview and business model

• Provides data capture and delivery solutions for workforce mobilization, including barcode scanning and RFID/NFC devices compatible with iOS, Android, and Windows platforms.

• Product lines include XtremeScan, SocketCam, DuraScan, SocketScan, DuraSled, and NFC/RFID readers, serving industries such as POS, logistics, manufacturing, healthcare, and event management.

• Products are distributed globally through a two-tier distribution model, online resellers, and direct online stores.

• Manufactures components via third-party contractors in the US, Mexico, and Asia, with final assembly and distribution from Fremont, CA.

• Offers a software developer kit (CaptureSDK) to facilitate integration of its devices into third-party applications.

Financial performance and metrics

• Completed a $1,000,000 secured subordinated convertible note financing on August 21, 2024.

• Notes have a three-year term, 10% annual interest, and are convertible at $0.9515 per share.

Use of proceeds and capital allocation

• Will not receive proceeds from the sale of shares in this offering; all proceeds go to selling stockholders.

• Conversion of notes relieves up to $1,000,000 in obligations that would otherwise be paid in cash.