Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 1885

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 6
Chunk 1885
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10-K. We will be required to raise additional capital to service outstanding notes and
fund ongoing operations.

We have incurred recurring
net losses, and our operations have not provided net positive cash flows. In view of these matters, there is substantial doubt about our
ability to continue as a going concern. We plan on continuing to expand via acquisition, which will help achieve future profitability,
and we have plans to raise capital from outside investors, as we have done in the past, to fund operating losses and to provide capital
for further business acquisitions. We cannot provide any assurance that we can successfully raise the capital needed.

49

Summary of Cash Flows

    For the year ended December 31, 

    2024  
    2023 
  
    Net Cash Used in Operating Activities 
    $(2,997,307) 
    $(1,894,411)
  
    Net Cash Used in Investing Activities 
    $(68,625) 
    $(141,744)
  
    Net Cash Provided by Financing Activities 
    $4,202,713  
    $2,950,060 

Cash Flows Used in Operating Activities

For the year ended December
31, 2024 net cash used in operating activities was $2.997 million, which was primarily attributable to the net loss of $8.222 million,
excluding stock-based compensation and changes in operating assets and liabilities. Adding back non-cash items such as amortization and
depreciation and debt discount of $1.668 million, change in fair value of derivatives, impairment of goodwill, loss on extinguishment
of debt and non-cash lease and other expenses totaling $3.556 million.

For the year ended December
31, 2023, net cash used in operating activities was $1.894 million, which was primarily attributable to the net loss of $2.723 million,
excluding stock-based compensation, and changes in working capital of $0.188 million, mostly due to an increase in accounts receivable
and a reduction in accrued expenses after our IPO, partially offset by an increase in accounts payable, excluding payments of deferred
offering costs, as well as offsets from non-cash interest expense and amortization of debt discount and financing fees of $1.061 million.

Cash Flows Used in Investing Activities

For the year ended December 31, 2024, net cash used in investing activities
was $69 thousand. This was the result of the purchase of property plan equipment and cash