Company: APCXW
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001683168-25-008326
Chunk: 7

Company: AppTech Payments Corp.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 7
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equity stake in PayToMe.co have not been issued as of the date of this filing. Additionally, PayToMe.co was a related party to AppTech.
A former senior member of the Company sits on PayToMe.co's board of directors and AppTech's former Chief Financial Officer is married
to its founder and Chief Executive Officer.

Purchase of Alliance Partners, LLC

On October 13, 2023, the Company entered into
a purchase agreement to acquire 100% of Alliance Partners, LLC, a Nevada based software development limited liability company (“Alliance
Partners”). As consideration for the purchase, the Company agreed to pay the seller total consideration of $2 million in cash and
assume certain short-term and long-term liabilities of Alliance Partners. The primary reason for the Purchase was to acquire Alliance
Partners’ intellectual property, personnel, and software platform, which is now AppTech’s platform “FinZeo”.

The Company closed the Purchase on October 26,
2023.

On October 31, 2023, the Company issued 1 million
shares of its common stock to an entity owned by the seller. In exchange for the shares, the seller waived, cancelled, and forgave the
long-term debt of Alliance Partners.

The remaining outstanding payable related to the
original purchase price as of September 30, 2025 is $1,200 thousand, and the payable is secured by substantially all the Company’s
assets.

Management’s Plan to Address Going
Concern Considerations

The Company has experienced recurring operating
losses, primarily due to limited revenues. The Company's current financial conditions and recurring losses raise substantial doubt about
its ability to continue as a going concern.

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In late 2024, we reorganized senior leadership
and initiated actions to reduce indebtedness to improve the current financial condition of the Company. In addition, we are actively pursuing
additional funding options and are confident that our revenue streams will begin generating cash, although no assurances can be made.

Management continues to maintain adequate working
capital and adhere to prudent financial forecasting.

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES

Basis of Presentation

The accompanying unaudited condensed consolidated
financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S.
GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”).
In the opinion of the Company’s management, the accompanying financial statements