Company: DGLY
Filing Date: 2025-02-06
Form Type: S-1/A
Source: 0001493152-25-005144
Chunk: 15

Company: DIGITAL ALLY, INC.
Filing Date: 2025-02-06
Form: S-1/A
Chunk 15
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 of the underwriter’s over-allotment option. The number of shares of our common stock that are and will be outstanding immediately before and after this offering as shown above is based on 9,600,246 shares outstanding as of February 4, 2025. The number of shares outstanding as of February 5, 2025, as used throughout this prospectus, unless otherwise indicated, excludes, as of that date:

| ● | up to 52,500 shares of our common stock issuable upon exercise                                                            
 of outstanding options with a weighted average exercise price of $45.14 per share.                                        |
| ● | up to 7,101,095 shares of our common stock issuable                                                                       
 upon exercise of warrants issued previously and outstanding, having a weighted average exercise price of $1.45 per share. |

| 6 |

<div align='center'>RISK FACTORS</div>

Investing in our securities involves a high degree of risk. You should carefully consider the following risks and all other information contained in this prospectus, including our financial statements and the related notes, before investing in our securities. Additional risks and uncertainties that we are unaware of, or that we currently believe are not material, also may become important factors that affect us. If any of the following risks occur, our business, financial condition, results of operations and prospects could be materially and adversely affected. In these circumstances, the market price of our securities could decline, and you may lose all or part of your investment.

Risks Related to Our Financial Condition

We will need financing in the longer term to support our ongoing operations. If we do not raise sufficient capital when such financing is needed, we may be forced to cease operations, liquidate our assets and possibly seek bankruptcy protection or engage in a similar process.

While we believe that current cash on hand is sufficient to fund our immediate operational needs, we will need financing in the longer term to support our ongoing operations. There can be no assurance that we will be able to secure any needed funding, or that if such funding is available, the terms or conditions would be acceptable to us. If we are unable to obtain such additional financing, whether through this offering or otherwise, we will be required to divest all or a portion of our business or otherwise liquidate, wind-up, restructure or curtail our operations and product development timeline. We may seek additional capital through a combination of equity offerings, debt financings and/or strategic collaborations. Debt financing, if obtained, may involve