IOU Financial Reports on Amendment of Stock Options

Rhea-AI Summary

IOU Financial Inc. announced an amendment to the exercise price of 200,000 stock options from $0.25 to $0.08, granted to The Howard Group on January 15, 2020. The shares linked to these options will have a four-month hold period post-amendment. IOU Financial specializes in providing small businesses in the U.S. and Canada with expedited access to capital, allowing loans of up to US$500,000 based on cash flow trends. This approach positions IOU Financial as a reliable alternative to traditional banks.

Positive

• Amended stock options could enhance investor relations and align incentives.
• Loan offerings up to US$500,000 may drive revenue growth through increased lending activity.

Negative

• Reduction in exercise price may signal underlying financial distress or lower expectations for future stock performance.
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MONTREAL, Sept. 11, 2020 /PRNewswire/ - IOU FINANCIAL INC. ("IOU Financial" or the "Company") (TSXV: IOU), a leading online lender to small businesses (IOUFinancial.com), announced today that it has amended the exercise price of the 200,000 options granted on January 15, 2020 to the investor relations firm The Howard Group from $0.25 to $0.08. If exercised, the shares underlying these options would be subject to a four-month hold period from the date of the amendment.

About IOU Financial Inc.

IOU Financial Inc. provides small businesses throughout the U.S. and Canada access to the capital they need to seize growth opportunities quickly. In a unique approach to lending, IOU Financial's advanced, automated application and approval system accurately assesses applicants' financial realities, with an emphasis on day-to-day cash flow trends. IOU Financial allows these businesses to apply for six, nine, twelve, fifteen and eighteen-month term loans of up to US$500,000 to qualified U.S. applicants ($150,000 in Canada) within a few business days, with affordable charges favorable to cash-flow management. Its speed and transparency make IOU Financial a trusted alternative to banks. To learn more visit: IOUFinancial.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

View original content:http://www.prnewswire.com/news-releases/iou-financial-reports-on-amendment-of-stock-options-301128113.html

SOURCE IOU Financial Inc.

FAQ

What is the significance of IOUFF's amended stock options on September 11, 2020?

The amendment lowers the exercise price of 200,000 options, which may benefit investors if exercised.

How much can small businesses borrow from IOU Financial?

Qualifying U.S. applicants can borrow up to US$500,000, while Canadian applicants can access up to $150,000.

Why did IOU Financial amend the stock options?

The amendment may aim to improve investor relations and align the interests of the investor relations firm.

What are the terms for the stock options granted to The Howard Group?

The stock options were amended to an exercise price of $0.08, with a four-month hold period after the amendment.