Company: MNTR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001620
Chunk: 100

Company: Mentor Capital, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 100
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 train, motivate and manage a growing number
of staff. Due to a competitive employment environment for qualified accounting, technical, marketing, and sales personnel, we may experience
difficulty in filling our needs for qualified personnel. There can be no assurance that we will be able to effectively achieve or manage
any future growth, and our failure to do so could delay market penetration or otherwise have a material adverse effect on our financial
condition and results of operations.

We
could face product liability risks and may not have adequate insurance.

Our
partners’ and affiliates’ products may be used in sensitive ways. We may become the subject of litigation alleging that
our partners’ and affiliates’ products were pollutive, ineffective or unsafe. Thus, we may become the target of lawsuits
from injured or disgruntled customers or other users. We intend to, but do not now, carry product and liability insurance, but in the
event that we are required to defend more than a few such actions, or in the event we are found liable in connection with such an action,
our business and operations may be severely and materially adversely affected.

Failure
to maintain effective internal controls in accordance with Section 404 of the Sarbanes-Oxley Act of 2002 could have a material adverse
effect on our stock price.

Section
404 of the Sarbanes-Oxley Act of 2002 and the related rules and regulations of the SEC require annual management assessments of the effectiveness
of our internal control over financial reporting. If we fail to adequately maintain compliance with, or maintain the adequacy of, our
internal control over financial reporting, as such standards are modified, supplemented or amended from time to time, we may not be able
to ensure that we can conclude on an ongoing basis that we have effective internal control over financial reporting in accordance with
Section 404 of the Sarbanes-Oxley Act of 2002 and the related rules and regulations of the SEC. If we cannot favorably assess our internal
controls over financial reporting, investor confidence in the reliability of our financial reports may be adversely affected, which could
have a material adverse effect on our stock price.

11

We
have indemnified our officers and directors.

We
have indemnified our officers and directors against possible monetary liability to the maximum extent permitted under California and
Delaware law. The managers of Mentor Partner I, LLC, Mentor Partner II, LLC, and TWG, LLC have been indemnified to the maximum extent
permitted under Texas law.

The