Company: SNBH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001731122-25-000760
Chunk: 25

Company: SENTIENT BRANDS HOLDINGS INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 25
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know-how protection
for our confidential and proprietary information, however we have not yet taken security measures to protect this information.

Competition

We have experienced, and expect to continue to experience,
intense competition from a number of companies.

The current market is highly competitive, consisting
of publicly-trade and privately-owned companies, many of which are more adequately capitalized than the Company.

Research and Development

We are continuously in the process of identifying
and/or developing potential new products to offer to our customers. Our expenditures on research and development have historically been
small and immaterial compared to our other business expenditures. We are currently developing new formulations for additional product
lines.

Employees

We believe that our success depends upon our ability
to attract, develop and retain key personnel. We currently employ one full-time employee. The Company otherwise currently relies on the
services of independent contractors. None of our employees are covered by collective bargaining agreements, and management considers relations
with our employees to be in good standing. Although we continually seek to add additional talent to our work force, management believes
that it currently has sufficient human capital to operate its business successfully.

18

Our compensation programs are designed to align the
compensation of our employees with our performance and to provide the proper incentives to attract, retain and motivate employees to achieve
superior results. The structure of our compensation programs balances incentive earnings for both short-term and long-term performance.

The primary mailing address for the Company is 590 Madison Avenue, 21st
Floor, New York, New York 10022. The Company’s telephone number is (646) 202-2897. The Company’s website is www.sentientbrands.com.

Going Concern

We have a limited operating
history, and our continued growth is dependent upon the continuation of selling our products to our customers; hence generating revenues
and obtaining additional financing to fund future obligations and pay liabilities arising from normal business operations. We had an accumulated
deficit of $5,161,123 and $4,669,826 at March 31, 2025 and December 31, 2024, respectively and a working capital deficit of $1,355,128
and $2,206,318 at March 31, 2025 and December 31, 2024, respectively. The report of our independent registered public accounting firm
on our financial statements for the year ended December 31, 2024 contained an explanatory paragraph regarding our ability to continue
as a going concern based upon cash used