Company: DGLY
Filing Date: 2025-02-14
Form Type: 424B4
Source: 0001493152-25-006704
Chunk: 40

Company: DIGITAL ALLY, INC.
Filing Date: 2025-02-14
Form: 424B4
Chunk 40
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 to change. Actual results may differ materially from the anticipated results discussed in these forward-looking statements due to a number of factors including, but not limited to, those set forth under the heading “Risk Factors” in this prospectus, as well as other risks discussed in documents that we file with the SEC.

We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by applicable laws or regulations.

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<div align='center'>USE OF PROCEEDS</div>

We estimate that the net proceeds to us from this offering will be $13,477,507.46 (approximately $15,547,507.46 if the underwriter exercises its over-allotment option solely for common stock in full) after deducting underwriting discounts and commissions and other estimated offering expenses payable by us for this offering and assuming no sale of any Pre-Funded Units and no exercise of the Warrants issued in connection with this offering. No underwriting discounts or commissions will be paid on any Warrants purchased pursuant to the underwriter’s over-allotment option.

We intend to use the net proceeds from this offering for working capital and other general corporate purposes, to pay in full the approximate $1.910 million aggregate amount owed under the Short-Term Merchant Advance and to pay in full the $3.6 million aggregate face value of senior secured promissory notes issued as part of the Private Placement. The senior secured promissory notes matured on February 4, 2025, and upon the occurrence of an Event of Default, as defined in the senior secured promissory notes, bear interest as the rate of 14% per annum. Pursuant to the terms of the senior secured promissory notes, we are required to apply 100% of the net proceeds of this offering to repay the senior secured promissory notes.

Investors must rely on the judgment of our management, who will have broad discretion regarding the application of the remaining net proceeds of this offering after repayment of our outstanding debt obligations. The amounts and timing of our actual expenditures will depend upon numerous factors, including market conditions, cash generated by our operations (if any), business developments and the rate of our growth. We may find it necessary or advisable to use portions of the proceeds of this offering for other purposes. Pending these uses, we intend to invest the net proceeds of this offering in a money market or other interest-bearing account.

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