Company: TCRG
Filing Date: 2025-03-21
Form Type: 10-K
Source: 0001185185-25-000206
Chunk: 100

Company: Cannaisseur Group Inc.
Filing Date: 2025-03-21
Form: 10-K
Item: Item 1A
Chunk 100
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 our total outstanding shares of preferred stock may be converted to common stock and sold into the market at any time. Some of these
shares are owned by the management of the Company, and we believe that such holders have no current intention to either convert their
preferred stock into common stock or to sell a significant number of shares of their common stock into the market. If all of the
major stockholders were to decide to sell large amounts of stock over a short period of time such sales could cause the market price
of our common stock to drop significantly, even if our business is performing well.

Our
business is dependent upon continued market acceptance by consumers.

We
are substantially dependent on continued market acceptance of our products by consumers. Although we believe that our products in the
United States are gaining increasing consumer acceptance, we cannot predict that this trend will continue in the future.

The
ability to hire additional qualified employees, and the timing of such hiring and our ability to control costs. We
may require additional capital to finance our operations in the future, but that capital may not be available when
it is needed and could be dilutive to existing stockholders.

We
may require additional capital for future operations. We plan to finance anticipated ongoing expenses and capital requirements with
funds generated from the following sources:

    ●
    Cash
    provided by operating activities

    ●
    Available
    cash and cash investments

    ●
    Capital
    raised through debt and equity offerings

17

Current
conditions in the capital markets are such that traditional sources of capital may not be available to us when needed or may be available
only on unfavorable terms. Our ability to raise additional capital, if needed, will depend on conditions in the capital markets, economic
conditions and a number of other factors, many of which are outside our control. Accordingly, we cannot assure you that we will be able
to successfully raise additional capital at all or on terms that are acceptable to us. If we cannot raise additional capital when needed,
it may have a material adverse effect on our liquidity, financial condition, results of operations and prospects. Further, if we
raise capital by issuing stock, the holdings of our existing stockholders will be diluted.

If
we raise capital by issuing debt securities, such debt securities would rank senior to our common stock upon our bankruptcy or liquidation.
In addition, we may raise capital by issuing equity securities that may be senior to our common stock for the purposes of dividend and
liquidating distributions, which may adversely affect