Company: AGSS
Filing Date: 2025-09-25
Form Type: 10-Q
Source: 0001213900-25-091579
Chunk: 27

Company: AMERIGUARD SECURITY SERVICES, INC.
Filing Date: 2025-09-25
Form: 10-Q
Item: Item 1
Chunk 27
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 has put the operations of the Company in jeopardy.

Management has since begun a complete reorganization
of operations which is ongoing. We have taken steps necessary to keep our Transportation company operating and have begun eliminating
all non-vital expenses in all categories. Although we are optimistic that we will be able to continue, the future is not certain. We
can operate profitably moving forward resulting in some free cash flow. Month to month expenses will be met. However, the amount of debt
held by the Company and the amounts due to vendors is significant and may be more than the future operations can manage. The Company’s
continued operations greatly depend upon the arrangements that can be made with the Lender and the patience of our vendors. 

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES
ABOUT MARKET RISK

We are a smaller reporting company and are not
required to provide the information required by this item.

ITEM 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures
(as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934, as amended, or the “Exchange Act”) that are
designed to ensure that information that would be required to be disclosed in the Exchange Act reports is recorded, processed, summarized
and reported within the time period specified in the SEC’s rules and forms, and that such information is accumulated and communicated
to our management, including to our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding
required disclosure.

As required by Rule 13a-15 under the Exchange
Act, our management, including our Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of the design and
operation of our disclosure controls and procedures as of June 30, 2025. Based on that evaluation, our Chief Executive Officer and
Chief Financial Officer concluded that as of June 30, 2025, our disclosure controls and procedures were not effective to satisfy
the objectives for which they are intended due to a weakness in our internal control over financial reporting discussed below.

The framework our management uses to evaluate
the effectiveness of our internal control over financial reporting is based on the guidance provided by the Committee of Sponsoring Organizations
(COSO) of the Treadway Commission in its 1992 report: INTERNAL CONTROL - INTEGRATED FRAMEWORK. Based on our evaluation under the framework
described above, our management has concluded that