Company: CPMV
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001683168-25-002584
Chunk: 755

Company: Mosaic ImmunoEngineering Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 7
Chunk 755
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, based on currently proposed plans and assumptions, that our cash and cash equivalents
on hand will not satisfy our operational and capital requirements through twelve months from the filing date of this Annual Report on
Form 10-K.

There are a number of uncertainties associated with
our ability to raise additional capital and we have no current arrangements with respect to any additional financing. In addition, the
continuation of disruptions caused by COVID-19 or other variants or pandemics, broad-based inflation, and various economic indicators
that the United States economy may be entering a recession in upcoming quarters may cause investors to slow down or delay their decision
to deploy capital which will adversely impact our ability to fund future operations. Consequently, there can be no assurance that any
additional financing on commercially reasonable terms, or at all, will be available when needed. The inability to obtain additional capital
will delay our ability to conduct our business operations. Any additional equity financing may involve substantial dilution to our then
existing stockholders. The above matters raise substantial doubt regarding our ability to continue as a going concern.

2.        Summary
of Significant Accounting Policies

Basis of Presentation

The accompanying consolidated financial statements
have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) and include the
accounts of Mosaic ImmunoEngineering, Inc. and our subsidiaries. All intercompany accounts and transactions among the consolidated entities
have been eliminated in the consolidated financial statements.

     F-8 

    Mosaic ImmunoEngineering, Inc.

    Notes to Consolidated Financial Statements
    For the Years Ended December 31, 2024 and 2023 (continued)

Cash and Cash Equivalents

We consider all highly liquid investments acquired
with a maturity of three months or less from the purchase date to be cash equivalents.

Investment in Affiliated Company

In February 2007, we invested an aggregate of $370,000
in Holocom, Inc. (“Holocom”), a California corporation that manufactures products that protect information transmitted over
secure networks, in exchange for 2,100,000 shares of Series A Convertible Preferred Stock (“Series A Preferred Stock”), which
represented an approximate 46% ownership interest in Holocom, on an as-converted basis. Prior to impairment, this investment was accounted
for at cost since we did not have the ability to exercise significant influence over the operating and financial policies of Holocom.
On July 6, 2023, we entered into a redemption