Company: AHRO
Filing Date: 2025-11-25
Form Type: 10-Q
Source: 0001477932-25-008590
Chunk: 129

Company: Authentic Holdings, Inc.
Filing Date: 2025-11-25
Form: 10-Q
Item: Part I, Item 8
Chunk 129
---
 In addition, we issued to AHO 200,000 common shares of Authentic Heroes, Inc. (“AHI”), a subsidiary created by us to hold the purchased assets. 

AHI has patented technology that takes the original event worn apparel from an iconic individual and creates “Fan-wear” collectibles containing fibers from that original. All of the Fan-Wear items have an embedded QR Code that registers the items on our Blockchain for their provenance and immutability. During 2024, we entered into a license agreement with Tommy DeVito, Quarterback with the New York Giants Football Team, and we expect to launch the Authentic Heroes version of “Fan-Wear” during the NFL 2025 season. The company is also in licensing discussions with other athletes to further Authentic Heroes opportunities.

 27Table of Contents

Authentic Recordings is in the business of creating vinyl records for distribution into retail department stores and online sales as well as “Theme Based” Vinyl’s, such as for Black History Month, for example, as well as other cultural holidays from our library of over 17,000 Master Recordings. 

The NFT Mint Farm has completed an NFT Platform on the Ethereum Blockchain capable of housing millions of NFTs. The NFT platform plans to start to market music NFTs once management has consulted with its advisors and determines that a regulatory pathway exists for this business line which is anticipated in first quarter of 2026

Going Concern Considerations 

The Company intends to fund operations through increased sales and debt and/or equity financing arrangements, which may be insufficient to fund its expenditures or other cash requirements, until the Company generates positive cash flow from operations. However, the Company’s financial statements show an accumulated deficit of $40,440,662 as of September 30, 2025, with a net working capital deficit of $6,284,026 and virtually no cash resources. The Company has several promissory notes in default, including convertible notes with face values of $1,587,148, related party promissory notes with face values of $497,150 and self-liquidating promissory notes of $137,083. The Company is negotiating extensions and/or forbearance agreements with certain of these lenders, but no formal agreements have been reached. These factors raise doubts about the Company’s ability to continue as a going concern within the next year. 

The Company's ability to continue as a going concern depends on its ability to repay or settle its current indebtedness, generate positive