Company: BIAF
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001840
Chunk: 1102

Company: bioAffinity Technologies, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 10
Chunk 1102
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 CyPath® Lung, is a noninvasive test for early detection of lung cancer, the leading cause of cancer-related deaths.
CyPath® Lung is offered for sale to physicians by the Company’s subsidiary, Precision Pathology Laboratory Services,
LLC (“PPLS”). The Company also conducted and intends to seek strategic partners to advance therapeutic discoveries that could
in the future result in broad-spectrum cancer treatments. Research and optimization of the Company’s proprietary platform technologies
are conducted in laboratories at PPLS and laboratory space leased at The University of Texas at San Antonio.

Organization

The
Company was formed on March 26, 2014, as a Delaware corporation with its corporate offices located in San Antonio, Texas. On June 15,
2016, the Company formed a wholly owned subsidiary, OncoSelect® Therapeutics, LLC, as a Delaware limited liability company.
On August 14, 2023, the Company formed a wholly owned subsidiary, PPLS, as a Texas limited liability company, to acquire the assets of
Village Oaks Pathology Services, P.A. (“Village Oaks”), a Texas professional association d/b/a Precision Pathology Services,
including the clinical pathology laboratory it owned.

Basis
of Presentation

The
consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles
(“GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”).

Liquidity
and Capital Resources

In
accordance with Accounting Standards Update (“ASU”) 2014-15, Presentation of Financial Statements – Going Concern
(Subtopic 205-40), the Company has evaluated whether there are conditions and events that raise substantial doubt about the Company’s
ability to continue as a going concern for at least one year after the date the consolidated financial statements are issued.

The
Company has incurred significant losses and negative cash flows from operations since inception and expects to continue to incur losses
and negative cash flows for the foreseeable future. As a result, the Company had an accumulated deficit of $53.6 million at December
31, 2024. The Company’s cash and cash equivalents at December 31, 2024, were approximately $1.1 million. Based on the Company’s
current expected level of operating expenditures and the cash and cash equivalents on hand at December 31, 2024, management concludes
that there is substantial doubt about the Company’s ability to continue as a