Company: BFRG
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023496
Chunk: 34

Company: BullFrog AI Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 1
Chunk 34
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 ability to continue as a going concern is dependent upon the Company obtaining
the necessary financing or revenues to meet its obligations arising from normal business operations when they become due.

Accordingly,
we will require additional capital to continue to execute our strategy. We anticipate securing this additional capital through various
avenues including revenues from licensing agreements and collaborative arrangements within our operating business and/or the selling
of equity securities or entry into debt transactions. Although management believes that such funding sources will be available, including
pursuant to the Company’s at-the-market common stock sales facility under our ATM Agreement and pursuant to our equity line of
credit facility provided by our purchase agreement with Lincoln Park Capital Fund, LLC, there can be no assurance that any such arrangements
will provide sufficient capital when needed to allow us to continue our operations, or if available, be on terms acceptable to us. If
we do not raise sufficient funds in a timely manner, among other things, we may be forced to delay, scale back or eliminate some or all
our research and product development programs and capital expenditures or enter into arrangements on unfavorable terms. We currently
do not have commitments for future funding from any source other than those noted above. Furthermore, the issuance of additional equity
securities may be significantly dilutive to our current shareholders.

Our
Strategy 

The
Company has a unique strategy designed to reduce risk and increase the frequency of cash flow. The first part of the strategy is to generate
revenues through strategic relationships with biopharma companies. These relationships will be structured as a combination of fees in
cash, equity in our partners, or other consideration and intellectual property based on the specific scope of the engagement. The objective
of these engagements will be to uncover valuable insights to reduce the risk and increase the speed of the drug development process,
which can be achieved through manual or automated integration into the client’s workflow or analysis of discrete data sets.

In
the future, the second part of our strategy involves acquiring the rights to drugs at various stages of development and using our proprietary
AI/ML technology to advance the development of such drugs, with the objective of creating near term value and then exiting and monetizing
as quickly as possible, preferably within approximately 30 months.

Critical
Accounting Policies and Estimates

Our
financial statements are prepared in accordance with U.S. GAAP. The preparation of these financial statements requires us to make estimates
and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses, as well as related disclosures. We evaluate