STOCKHOLDERS’ EQUITY (DEFICIT)

3 Months Ended

Mar. 31, 2022

Equity [Abstract]

STOCKHOLDERS’ EQUITY (DEFICIT)

NOTE 9 – STOCKHOLDERS’ EQUITY (DEFICIT)

Preferred Stock

We are authorized to issue up to 50,000,000 shares of preferred stock with a par value of $0.001 and our board of directors has the authority to issue one or more classes of preferred stock with rights senior to those of common stock and to determine the rights, privileges, and preferences of that preferred stock.

Our Board of Directors approved the designation of 2,000,000 of the Company’s shares of preferred stock as Series B Cumulative Redeemable Perpetual Preferred Stock (“Series B Preferred Stock”), each with a stated value of $25 per share. Our Series B Preferred Stockholders are entitled to 500 votes per share and are entitled to receive cumulative dividends at the annual rate of 13% per annum of the stated value, equal to $3.25 per annum per share. The Series B Preferred Stock is redeemable at our option or upon certain change of control events.

During the year ended March 31, 2021 we commenced a security offering to sell a total of 2,000,000 units at $25 per unit (“Unit Offering”), such that each unit consisted of: (i) one share of our newly authorized Series B Preferred Stock and (ii) five warrants each exercisable to purchase one share of common stock at an exercise price of $0.10 per warrant share. Each Warrant offered is immediately exercisable on the date of issuance, will expire 5 years from the date of issuance, and its value has been classified as a fair value liability due to the terms of the instrument (see NOTE 7).

During the three months ended March 31, 2021 we sold 97,763 units for a total of $2,444,075: 47,953 units for cash proceeds of $1,198,825, 392 units for bitcoin proceeds of $9,800, and 49,418 units for debt of $1,235,450. In conjunction with the sale of the units we issued 97,763 shares of Series B Preferred Stock and granted 488,815 warrants during the period.

As of March 31, 2022 and December 31, 2021, we had 252,192 shares of preferred stock issued and outstanding.

Preferred Stock Dividends

During the three months ended March 31, 2022 we recorded $204,835 for the cumulative cash dividends due to the shareholders of our Series B Preferred Stock. We made payments of $156,821 in cash and issued $36,735 worth of cryptocurrency to reduce the amounts owed. As a result, we recorded $230,984 as a dividend liability on our balance sheet as of March 31, 2022.

Common Stock

During the three months ended March 31, 2022 we cancelled 150,000,000 shares that had been issued but were forfeited (see NOTE 5). As a result, we decreased common stock by $150,000 and increased additional paid in capital by the same. As of the date of this filing, 33,333,333 shares of common stock forfeited as of December 31, 2021 had not yet been physically cancelled due to administrative delays. All forfeited shares have been deemed cancelled as of March 31, 2022. Also during the three months ended March 31, 2022, we repurchased 43,101,939 shares from members of our then management team and Board of Directors in exchange for cash of $1,724,008 to pay for tax withholdings (see NOTE 5).

During the three months ended March 31, 2021, we cancelled 255,000,000 shares that had been issued but were subject to certain forfeiture conditions. As a result of the forfeiture, we decreased common stock by $255,000 and increased additional paid in capital by the same.

As of March 31, 2022 and December 31, 2021, we had 2,711,108,823 and 2,904,210,762 shares of common stock issued and outstanding, respectively.

INVESTVIEW, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

AS OF MARCH 31, 2022

(Unaudited)

Warrants

Transactions involving our warrants are summarized as follows:

			Weighted
	Number of		Average
	Shares		Exercise Price
Warrants outstanding at December 31, 2021		1,178,320	$	0.10
Granted		-	$	-
Canceled/Expired		-	$	-
Exercised		-	$	-
Warrants outstanding at March 31, 2022		1,178,320	$	0.10

Details of our warrants outstanding as of March 31, 2022 is as follows:

Exercise Price		Warrants Outstanding		Warrants Exercisable		Weighted Average Contractual Life (Years)
$	0.10		1,178,320		1,178,320		3.90

Class B Redeemable Units of Investview Financial Group Holdings, LLC

As of March 31, 2022 and December 31, 2021 there were 565,000,000 Units of Class B Investview Financial Group Holdings, LLC issued and outstanding. These units were issued as consideration for the purchase of operating assets and intellectual property rights of MPower Trading Systems, LLC, a company controlled and partially owned by David B. Rothrock and James R. Bell, two of our board members (see NOTE 12). The Class B Redeemable Units have no voting rights but can be exchanged at any time, within 5 years from the date of issuance, for 565,000,000 shares of our common stock on a one-for-one basis, and are subject to significant restrictions upon resale through 2025 under the terms of a lock up agreement. The fair value of the consideration at the if-converted market value of the common shares was $58.9 million based on the closing market price of $0.1532 on the closing date of September 3, 2021 as discounted from $86.6 million by 32% (or $27.7 million) to reflect the significant lock up period.