Company: DREM
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004861
Chunk: 100

Company: Dream Homes & Development Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 100
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 a diversion
of management time and attention from revenue-generating activities to compliance activities. If we are unable to comply with the newly
enacted JOBS Act regulations, which lessen if not eliminate the harsher impact of some of the reporting requirements, expenses will remain
higher than other companies which are able to meet the new rules. In particular, our efforts to comply with Section 404 of the Sarbanes-Oxley
Act and the related regulations regarding our required assessment of our internal controls over financial reporting and our independent
registered public accounting firm’s audit of that assessment will require the commitment of significant financial and managerial
resources. We expect these efforts to require the continued commitment of significant resources. Further, our board members, chief executive
officer, and chief financial officer could face an increased risk of personal liability in connection with the performance of their duties.
As a result, we may have difficulty attracting and retaining qualified board members and executive officers, which could slow down our
business. If we are unable to fully comply with new or changed laws, regulations and standards, or if our efforts differ from the activities
intended by regulatory or governing bodies due to ambiguities related to practice, our reputation may be harmed and our stock price may
suffer.

11

Failure
to achieve and maintain effective internal controls in accordance with Section 404 of the Sarbanes-Oxley Act of 2002 could have a material
adverse effect on our business and operating results. In addition, current and potential stockholders could lose confidence in our financial
reporting, which could have an adverse effect on our stock price.

Effective
internal controls are necessary for us to provide reliable financial reports and effectively prevent fraud. If we cannot provide reliable
financial reports or prevent fraud, our operating results could be harmed. If we are unable to maintain the status of “Emerging
Growth Company”, we will be required to document and test our internal control procedures in order to satisfy the requirements
of Section 404 of the Sarbanes-Oxley Act of 2002, which requires annual management assessments of the effectiveness of our internal controls
over financial reporting and a report by our independent registered public accounting firm addressing these assessments. Although we
intend to augment our internal controls procedures and expand our accounting staff, there is no guarantee that this effort will be adequate.

We
may need additional capital in the future, but there is no assurance that funds will be available on acceptable terms.

We
may need to raise additional funds in order