Company: IBACR
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001641172-25-023510
Chunk: 81

Company: IB Acquisition Corp.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 2
Chunk 81
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 debt, capital lease obligations, operating lease obligations or long-term liabilities, other than an agreement
to pay Chief Financial Officer a sum of $5,000 per month commencing on October 1, 2023. Upon completion of the initial business combination
or the liquidation, the Company will cease paying these monthly fees. On January 22, 2024, the Company’s Chief Financial Officer
resigned and the Administrative Services Agreement was terminated.

On
January 22, 2024, the Company appointed a new Chief Financial Officer and entered into an Administrative Services Agreement dated January
24, 2024, pursuant to which the Company agreed to pay the Chief Financial Officer a sum of $5,000 per month commencing at the time of
the Initial Public Offering closing. The agreement further specified that upon completion of the initial business combination or the
liquidation, the Company will cease paying these monthly fees.

Under
a business combination marketing agreement, the Company engaged I-Bankers to provide marketing services in connection with the Business
Combination and will pay I-Bankers a cash fee for such marketing services upon the consummation of the Business Combination in an amount
equal to, in the aggregate, 3.5% of the gross proceeds of the Initial Public Offering (the “M&A fee”) or $4,025,000 in
the aggregate. If the Company doesn’t complete a business combination, no fee will be due. In addition, the Company will pay the
I-Bankers a finder fee equal to 1.0% of the consideration issued to a target if the business combination is consummated with a target
introduced by the I-Bankers.

15

Critical
Accounting Policies

The
preparation of unaudited financial statements and related disclosures in conformity with GAAP requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of
the unaudited financial statements, and income and expenses during the periods reported. Actual results could materially differ from
those estimates. We have not identified any critical accounting policies as of June 30, 2025.

Recent
Accounting Standards

In
November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments
in this ASU require disclosures, on an annual and interim basis, of significant segment expenses