Company: TCRG
Filing Date: 2025-03-21
Form Type: 10-K
Source: 0001185185-25-000206
Chunk: 91

Company: Cannaisseur Group Inc.
Filing Date: 2025-03-21
Form: 10-K
Item: Item 1A
Chunk 91
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 to collect and retain large volumes of internal, partner and consumer data, including credit card numbers and
other personally identifiable information, for business purposes, including for transactional or target marketing and promotional purposes,
and our various information technology systems enter, process, summarize and report such data. We also maintain personally identifiable
information about our employees. The integrity and protection of our customer, employee, and company data is critical to our business
and our customers and employees are likely to have a high expectation that we will adequately protect their personal information. The
regulatory environment, as well as the requirements imposed on us by the credit card industry, governing information, security and privacy
laws is increasingly demanding and continues to evolve. Maintaining compliance with applicable security and privacy regulations may increase
our operating costs and/or adversely impact our ability to market our products and services.

We
also rely on accounting, financial and operational management information technology systems to conduct our operations. If these information
technology systems suffer severe damage, disruption or shutdown and our business continuity plans do not effectively resolve the issues
in a timely manner, our business, financial condition and results of operations could be materially adversely affected.

We
may face various security threats, including cyber security attacks on our data (including our vendors’ and customers’ data)
and/or information technology infrastructure. Although we utilize various procedures and controls to monitor and mitigate these threats,
there can be no assurance that these procedures and controls will be sufficient to prevent penetrations or disruptions to our systems.
Furthermore, a penetrated or compromised data system or the intentional, inadvertent or negligent release or disclosure of data could
result in theft, loss, fraudulent or unlawful use of customer, employee, or company data which could harm our reputation or result in
remedial and other costs, fines or lawsuits and require significant management attention and resources to be spent. In addition, our
insurance coverage and indemnification arrangements that we enter into, if any, may not be adequate to cover all the costs related to
cyber security attacks or disruptions resulting from such events.

Risks
Relating to Our Financial Condition

All
businesses are affected by an unstable economy.

Even
though there may be downturns in the economy, consumers will always need essential goods and services regardless of the economy. However,
economic downturns almost inevitably signal cutbacks in overall spending, which would translate specifically to us as decreased revenue,
if any, as we expect that part of our income stream will be commissions on customer purchases and interest on customers’ balances.

We