Company: MIRA
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001183
Chunk: 52

Company: MIRA PHARMACEUTICALS, INC.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1A
Chunk 52
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this standard, significant resources and management oversight are required and, as a result, management’s attention may be diverted
from other business concerns, which could harm our business and results of operations. To comply with these requirements, we may need
to hire more employees in the future or engage outside consultants, which will increase our costs and expenses.

51

In
addition, changing laws, regulations and standards relating to corporate governance and public disclosure are creating uncertainty for
public companies, increasing legal and financial compliance costs and making some activities more time consuming. These laws, regulations
and standards are subject to varying interpretations, in many cases due to their lack of specificity, and, as a result, their application
in practice may evolve over time as new guidance is provided by regulatory and governing bodies. This could result in continuing uncertainty
regarding compliance matters and higher costs necessitated by ongoing revisions to disclosure and governance practices. We intend to
continue to invest resources to comply with evolving laws, regulations and standards, and this investment may result in increased general
and administrative expenses and a diversion of management’s time and attention from revenue-generating activities to compliance
activities. If our efforts to comply with new laws, regulations and standards differ from the activities intended by regulatory or governing
bodies due to ambiguities related to their application and practice, regulatory authorities may initiate legal proceedings against us,
which could adversely affect our business and financial results.

As
a public company subject to these rules and regulations, it may be more expensive to obtain director and officer liability insurance,
and we may be required to accept reduced coverage or incur substantially higher costs to obtain coverage. These factors could also make
it more difficult for us to attract and retain qualified members of the Board, particularly to serve on the Audit Committee and Compensation
Committee, and qualified executive officers.

We
are an “emerging growth company,” and any decision on our part to comply only with certain reduced reporting and disclosure
requirements applicable to emerging growth companies could make shares of our common stock less attractive to investors.

We
are an “emerging growth company,” as defined in Section 2(a) of the Securities Act. For as long as we continue to be an emerging
growth company, we may choose to take advantage of exemptions from various reporting requirements applicable to other public companies
that are not emerging growth companies, including, but not limited to, not being required to have our independent registered public accounting
firm audit our internal control over financial reporting under Section 404 of the Sarbanes-O