Company: AVCRF
Filing Date: 2025-06-16
Form Type: 20-F
Source: 0001641172-25-015266
Chunk: 17

Company: Avricore Health Inc.
Filing Date: 2025-06-16
Form: 20-F
Item: Item 5
Chunk 17
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 and business development. The Company
will require cash to support working capital.

At
December 31, 2024, the Company had a working capital of $1,252,139, compared to $244,343 at December 31, 2023. The Company believes that
its cash on hand, the expected future cash inflows from the sale of its products, net proceeds from the closing of private placements
and proceeds from loans, stock options and warrants exercised, if any, will be sufficient to finance the Company’s working capital
and operational needs for at least the next twelve to eighteen months. If the Company’s existing cash resources together with the
cash the Company generates from the sales of its products are insufficient to fund its working capital and operational needs, the Company
may need to sell additional equity or debt securities or seek additional financing through other arrangements.

During
the year ended year December 31, 2020, the Company entered into a loan agreement with a third party for a secured loan in the amount
of $1,000,000. The Loan was for a term of one year from the date of receipt of the funds, bore interest at a rate of 10% per annum and
was secured with all of the present and after-acquired property of the Company. In 2021, the Company repaid the $1,000,000 loan at its
maturity. The Company does not have any off-balance sheet arrangements.

5. C.
Research and development, patents and licenses etc.

The
Company will not be devoting resources to research, development and patents going forward. The Company is now focused on the growth of
the POTC segment HealthTab™.

5. D.
Trend information

There
is a significant trend toward consumer point of care testing. Healthcare data, its capture, analysis and delivery to the consumer is
a top market priority as consumers are looking to take greater control, however; those same consumers are looking to companies to manage
the security of that data well and use it ethically.

  18  

5. E.
Critical Accounting Estimates

Critical
accounting estimates are disclosed in the consolidated financial statements for the current fiscal year.

ITEM
6. DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES