Winchester arranges $500,000 (U.S.) note with Taxfyle

Winchester Equity Corporation (TSXV: WEC) has entered into a secured promissory note with Taxfyle Inc., a Miami-based tax preparation firm that utilizes an AI-driven platform. The facility provides a $500,000 USD short-term loan to Taxfyle, bearing a flat 5% interest rate, totaling $25,000 USD in interest. Repayment is due on or before August 15, 2026.

The loan is secured against Taxfyle's assets, specifically a pledge of receivables exceeding the principal plus accrued interest. The transaction is confirmed as arm's length under TSX Venture Exchange Policy 1.1, with no insider or non-arm's length party involvement. This follows a prior October 2025 announcement where WEC extended a $2M USD secured convertible promissory note to Selma House LLC, of which $1M has been drawn.

Winchester Equity Corporation (WEC) has secured a $500,000 USD loan, an addition that represents a notable asset relative to the company’s approximately $1.12 million market capitalization. The transaction is classified as a balance sheet asset, specifically a loan receivable, rather than equity capital. The agreement carries a 5% flat return, providing predictable interest income and aligning with WEC’s apparent strategy of deploying cash into secured short-term lending.

The transaction is routine for a holding and lending entity of this size. It does not alter the company's operational trajectory, nor does it introduce unexpected strategic pivots. There is no material positive or negative surprise relative to prior lending activities.

Winchester Equity Corporation operates as a financial holding and lending entity, focusing on short-term secured loans and convertible debt instruments. Its flagship activity involves deploying shareholder capital into secured promissory notes with AI-driven and real estate-adjacent businesses, including Taxfyle and Selma House LLC. The company has transitioned from a revenue-generating operational model in 2022 to a holding and lending structure, evidenced by the absence of revenue in 2023-2025 and a reliance on interest income. Management is prioritizing capital preservation and yield generation over aggressive expansion.