Company: EMCRF
Filing Date: 2025-12-10
Form Type: 10-Q
Source: 0001493152-25-027065
Chunk: 15

Company: Embrace Change Acquisition Corp.
Filing Date: 2025-12-10
Form: 10-Q
Item: Part I, Item 1
Chunk 15
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 defined and described in Note 7. As of September 30, 2025, there was $851,112
outstanding under the Convertible Promissory Notes, which was issued to the Company’s related party for extension and working
capital purposes, $144,060
due to related party for working capital purposes, $58,077
outstanding under the promissory note - third party, which was issued for working capital purpose and $1,675,000
due to third party for extension and working capital purposes. Subsequent to September 30, 2025, the Company received an additional
$275,000
from Tianji and its subsidiaries for working capital and extension deposits purposes, resulting in an aggregated of $1,950,000
due to third party up to the date the unaudited consolidated financial statements were issued.

Going
Concern Consideration

The
Company expects to incur significant costs in pursuit of its financing and acquisition plans. In connection with the Company’s
assessment of going concern considerations in accordance with Accounting Standards Update (“ASU”) 2014-15, “Disclosures
of Uncertainties about an Entity’s Ability to Continue as a Going Concern,” management has determined that if the Company
is unsuccessful in consummating an Initial Business Combination by August 12, 2026 (as of the date of these unaudited interim consolidated
financial statements are issued, $75,000 of the required extension payments has not been deposited into the Trust Account), the requirement
that the Company cease all operations, redeem the Public Shares and thereafter liquidate and dissolve raises substantial doubt about
the Company’s ability to continue as a going concern within one year after the date that the unaudited interim consolidated financial
statements are issued. The unaudited interim consolidated financial statements do not include any adjustments that might result from
the outcome of this uncertainty. The accompanying financial statement has been prepared in conformity with generally accepted accounting
principles in the United States of America (“GAAP”), which contemplate continuation of the Company as a going concern.

NOTE
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis
of Presentation

The
accompanying consolidated financial statements are presented in U.S. Dollars and conformity with accounting principles generally accepted
in the United States of America (“GAAP”) and pursuant to the rules and regulations of the SEC. Certain information and note
disclosures normally included in the annual financial statements prepared in accordance with generally accepted accounting principles