Annual report pursuant to Section 13 and 15(d)

CONSOLIDATED STATEMENTS OF CASH FLOW

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CONSOLIDATED STATEMENTS OF CASH FLOW - USD ($)
 12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
CASH FLOWS FROM OPERATING ACTIVITIES    
Net income $ 20,908,651 $ 13,318,696
Adjustments to reconcile net income to net cash provided by operating activities:    
Amortization of deferred financing costs and bond discount 2,104,093 1,215,200
Write-off of deferred financing costs   72,806
Depreciation expense 106,414 83,525
Stock based compensation 495,015 191,318
Impairment loss 904,909 719,000
(Gain) Loss on sale of real estate (44,752) 165,915
Unrealized loss on investment securities 2,963,760 (284,769)
Gain on sale of investment securities (521,662)  
(Increase) decrease in:    
Interest and fees receivable (2,616,200) (1,873,578)
Other assets - miscellaneous (3,599,779) (26,801)
Due from borrowers (1,605,951) (1,645,353)
Accrued dividends payable (1,414,560)  
Other assets - prepaid expenses   (199,978)
(Decrease) increase in:    
Accounts payable and accrued liabilities -accrued interest 158,687 161,385
Accounts payable and accrued liabilities - accounts payable and accrued expenses 766,723 129,091
Deferred revenue (283,038) 2,544,159
Advances from borrowers (5,173,950) 13,235,575
Total adjustments (7,760,291) 14,487,495
NET CASH PROVIDED BY OPERATING ACTIVITIES 13,148,360 27,806,191
CASH FLOWS FROM INVESTING ACTIVITIES    
Purchase of investment securities (51,651,930) (204,064,590)
Proceeds from the sale of investment securities 85,113,227 180,533,333
Purchase of interests in investment partnerships, net (24,775,342) (6,055,838)
Proceeds from sale of real estate owned 2,090,879 2,399,557
Acquisitions of and improvements to real estate owned, net (126,442) (981,873)
Purchase of property and equipment (1,581,350) (822,322)
Security deposits held   (13,415)
Principal disbursements for mortgages receivable (300,277,303) (251,832,318)
Principal collections on mortgages receivable 131,840,244 115,147,409
Other assets - pre-offering costs (170,606) (306,440)
NET CASH USED FOR INVESTING ACTIVITIES (159,538,623) (165,996,497)
CASH FLOWS FROM FINANCING ACTIVITIES    
Net proceeds from (repayment of) line of credit (29,590,137) 5,122,383
Net proceeds from repurchase facility 23,446,277 19,087,189
Proceeds from mortgage   750,000
Repayment of mortgage payable   (767,508)
Accounts payable and accrued liabilities - principal payments on other notes (24,907) (23,761)
Dividends paid on Common Stock (18,809,722) (12,267,706)
Dividends paid on Preferred Stock (3,687,062) (1,853,855)
Financings costs incurred   (461,357)
Repayment of other loans   (257,845)
Proceeds from issuance of common shares, net of expenses 39,291,945 56,060,472
Proceeds from issuance of Series A Preferred Stock, net of expenses (70,000) 45,462,626
Gross proceeds from issuance of fixed rate notes 122,125,000 51,750,000
Financings costs incurred in connection with fixed rate notes (4,516,931) (1,879,463)
NET CASH PROVIDED BY FINANCING ACTIVITIES 128,164,463 160,721,175
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (18,225,800) 22,530,869
CASH AND CASH EQUIVALENTS- BEGINNING OF YEAR 41,938,897 19,408,028
CASH AND CASH EQUIVALENTS - END OF PERIOD 23,713,097 41,938,897
SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION    
Interest paid 19,286,819 9,097,631
SUPPLEMENTAL INFORMATION-NON-CASH    
Dividends declared and payable $ 5,342,160 $ 3,927,600