Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-Q/A
Source: 0001731122-25-000250
Chunk: 102

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-Q/A
Chunk 102
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aro Cube refines its products and develops additional products, Renovaro Cube may need to introduce new equipment, implement
new systems, technology, controls and procedures, and hire personnel with different qualifications, licenses or certifications.

The value
of Renovaro Cube’s products will depend, in part, on Renovaro Cube’s ability to perform tests, whether through a licensed
provider or internally, and return results to providers on a timely basis and at an appropriate quality standard, and on Renovaro Cube’s
reputation for such timeliness and quality. Failure to establish necessary arrangements with licensed providers, to implement necessary
procedures, to transition to new equipment or processes, or to hire the appropriately qualified personnel could result in higher costs
of processing, longer turnaround times or an inability to meet market demand. There can be no assurance that Renovaro Cube or any such
licensed provider will be able to perform tests on a timely basis at a level consistent with demand, that Renovaro Cube will be able to
maintain the quality of its test results as Renovaro Cube scales its commercial operations, or that Renovaro Cube will be successful in
responding to the potential growing complexity of its operations, including the related data analysis requirements.

In addition,
Renovaro Cube’s growth may place a significant strain on its management, operating and financial systems, research and development,
and its sales, marketing, and administrative resources. As a result of Renovaro Cube’s growth, its operating costs may escalate
even faster than planned, and some of its internal systems may need to be enhanced or replaced. If Renovaro Cube cannot effectively manage
its expanding operations and its costs, Renovaro Cube may not be able to grow successfully or it may grow at a slower pace, and its business
could be adversely affected.

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Renovaro Cube will need to grow the size and capabilities of its organization, and it may experience difficulties in managing this growth.

As of
February 13, 2024, Renovaro Cube had 11 full-time employees and four independent contractors, including two full-time. As Renovaro Cube’s
growth plan and strategies develop, it must add a significant number of additional managerial, operational, financial and other personnel.
Future growth will impose significant added responsibilities on members of management, including:

| ● | identifying,                                                                                                                                
 recruiting, integrating, retaining and motivating additional employees;                                                                     |
| ● | managing                                                                                                                                    
 its internal development efforts effectively