Company: MGLD
Filing Date: 2025-09-19
Form Type: 10-K
Source: 0001493152-25-014286
Chunk: 188

Company: Marygold Companies, Inc.
Filing Date: 2025-09-19
Form: 10-K
Item: Item 1A
Chunk 188
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 directors may issue shares of preferred stock without stockholder approval.

Our
articles of incorporation authorize the issuance of up to 50,000,000 shares of preferred stock, of which 13,302 shares of Series
B Preferred Stock are issued and outstanding. Our board of directors may, without shareholder approval, issue one or more new series
of preferred stock with rights which could adversely affect the voting power or other rights of the holders of outstanding shares of
our common stock. In addition, the issuance of shares of preferred stock may have the effect of rendering more difficult or discouraging,
an acquisition or change of control of the company. Although we do not have any current plans to issue any additional shares of preferred
stock, we may do so in the future.

Future
sales of our shares by our existing stockholders may cause our stock price to fall.

The
market price of our shares could decline as a result of sales by our existing stockholders of our shares in the market or the perception
that these sales could occur. These sales might also make it more difficult for us to conduct an equity or equity-based financing at
a time and price that we deem appropriate and thus inhibit our ability to raise additional capital when it is needed.

Because
we have not and do not intend to pay cash dividends, our stockholders receive no current income from holding our stock.

We
have paid no cash dividends on our capital stock to date and we currently intend to retain our future earnings, if any, to fund the development
and growth of our business. We currently expect to retain earnings for use in the operation and expansion of our business, and therefore
do not anticipate paying any cash dividends in the foreseeable future. As a result, capital appreciation, if any, of our Common Stock
could be the sole source of gain for our stockholders for the foreseeable future.

Risks Related to our Recent Note Financing

In addition to the net proceeds we received
from our recent equity and debt financings, we may need to raise additional equity or debt financing to continue the development and marketing
of our Fintech app, to fund ongoing operations, invest in acquisitions, and for working capital purposes. Our inability to raise such
additional financing may limit our ability to continue the development of our Fintech app.

In 2019, through our wholly owned
subsidiary, Marygold & Co., we began development of our peer-to-peer Fintech digital money app. As of June 30, 2025, we have