Company: KWIK
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001683168-25-002055
Chunk: 130

Company: KwikClick, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 130
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 we would not be able to conduct our planned operations without immediate additional funding. Given the current rate at which we use
cash, we cannot survive unless we increase revenues or obtain additional equity or debt financing. While our majority shareholder has
committed to continue to provide funding for the foreseeable future, there is no assurance that we can increase revenues and/or obtain
additional necessary financing, much less on reasonable terms.

Our current liabilities as of December 31, 2024,
totaled $3,720,580, compared to $2,819,669 on December 31, 2023. If the Company doesn’t begin to generate sufficient
revenue or raise additional funds through financing, the Company may need to incur additional liabilities with certain related parties
to sustain the Company’s existence. Currently, there can be no assurance that the Company will be able to raise additional funds
necessary to further develop or operate its business or that such funding can be at commercially reasonable terms. The Company intends
to increasingly utilize stock or stock-based awards to compensate people and organizations who are or will be providing services or investment
to the Company.

We have historically been funded primarily from private
placements of stock and loans from Company affiliates and may continue to be so funded for the foreseeable future. However, there is no
assurance that we can obtain additional funds.

During the year ended 2024, Fred Cooper provided funding
of $861,272 under a promissory note originated in 2022. While we do not anticipate any default on the loan, in the event that we do default,
Mr. Cooper may take possession of our intellectual property and patents. This could have a material adverse effect on our business and
operations.

During the year ended December 31, 2024, the Company
issued 2,500,000 equity units for total cash proceeds of $500,000. Each equity unit consists of one share of common stock and
one stock appreciation right (“SAR”) convertible into common stock at a price per share of $0.20.

Management has determined that additional capital
will be required in the form of equity or debt securities. There is no assurance that management will be able to raise capital on terms
acceptable to the Company. If we are unable to obtain enough additional capital, we may have to cease filing the required reports and
cease operations completely. If we obtain additional funds by selling any of our equity securities or by issuing common stock to pay current
or future obligations, the percentage ownership of