Company: BFRG
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023496
Chunk: 81

Company: BullFrog AI Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 8
Chunk 81
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 below. Notwithstanding the identified material weaknesses, our management has concluded that the unaudited condensed consolidated
financial statements in this filing on Form 10-Q fairly present, in all material respects, our financial position, results of operations
and cash flows as of and for the periods presented in conformity with GAAP.

24

Material
Weakness and Ongoing Remediation Efforts

As
previously disclosed, management identified material weaknesses in its internal controls over financial reporting at December 31, 2023
which continue to be unremediated as of September 30, 2025. Specifically, management noted the Company did not properly document, implement
or operate a system of effective internal controls over financial reporting. A material weakness is a deficiency, or a combination of
deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement
of a company’s annual or interim financial statements will not be prevented or detected on a timely basis.

Management
is in the process of implementing improvements to its internal controls over financial reporting. Namely, the Company has and is continuing
to:

●transition
                                            its day-to-day accounting processes to an external firm including automating its vendor payments;

●complete
                                            the transfer of the overall accounting process to an enterprise type accounting platform;

●review
                                            the design and effectiveness of our controls including the creation of an annual risk assessment
                                            and ongoing monitoring activities;

●evaluate
                                            all internal and external resources to ensure they are appropriate for the level and complexity
                                            of our current operations;

●hired
                                            a Corporate Controller in 2024; and

●engaged
                                            a third-party specialist to assist in the remediation and ongoing evaluation of our internal
                                            controls over financial reporting.

While
we believe that these efforts will improve our internal control over financial reporting, the implementation of these measures is ongoing
and will require validation and testing of the design and operating effectiveness of internal controls over a sustained period of financial
reporting cycles. We will continue to monitor and evaluate the effectiveness of our internal controls over financial reporting on an
ongoing basis and are committed to taking further action and implementing additional enhancements or improvements, as necessary and as
funds allow. We cannot assure you that the measures we have taken to date, or that we may take in the future, will be sufficient to remediate
the material weaknesses we have identified or avoid potential future material weaknesses. Accordingly, there could continue to be a reasonable
poss