Company: LSEB
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001199835-25-000233
Chunk: 469

Company: LSEB Creative Corp.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 6
Chunk 469
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 capital. There are no agreements with any parties at this point
in time for additional funding; however, we are in preliminary discussions with various funders in the US. 

We
presently do not have any significant credit available, bank financing or other external sources of liquidity. Due to our operating losses,
our operations have not been a source of liquidity. We will need to obtain additional capital in order to expand operations and become
profitable. In order to obtain capital, we may need to sell additional shares of our common stock or borrow funds from private lenders.
There can be no assurance that we will be successful in obtaining additional funding.

To
the extent that we raise additional capital through the sale of equity or convertible debt securities, the issuance of such securities
may result in dilution to existing stockholders. If additional funds are raised through the issuance of debt securities, these securities
may have rights, preferences and privileges senior to holders of common stock and the terms of such debt could impose restrictions on
our operations. Regardless of whether our cash assets prove to be inadequate to meet our operational needs, we may seek to compensate
providers of services by issuance of stock in lieu of cash, which may also result in dilution to existing shareholders. Even if we are
able to raise the funds required, it is possible that we could incur unexpected costs and expenses, fail to collect significant amounts
owed to us, or experience unexpected cash requirements that would force us to seek alternative financing.

40

No
assurance can be given that sources of financing will be available to us and/or that demand for our equity/debt instruments will be sufficient
to meet our capital needs, or that financing will be available on terms favorable to us. If funding is insufficient at any time in the
future, we may not be able to take advantage of business opportunities or respond to competitive pressures or may be required to reduce
the scope of our planned marketing efforts and development of various swimwear styles, any of which could have a negative impact on our
business and operating results. In addition, insufficient funding may have a material adverse effect on our financial condition, which
could require us to: 1) Limit the production of a select swimwear designs, 2) Seek strategic partnerships that may force us to relinquish
control of the Company, or 3) Explore potential mergers or sales of significant assets of our Company.

On
January 13, 2025, the Company announced it is actively pursuing a capital raise of a minimum $