Company: SYRA
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0001493152-25-009873
Chunk: 263

Company: Syra Health Corp
Filing Date: 2025-03-11
Form: 10-K
Item: Item 1A
Chunk 263
---
 organizations consolidate, thus decreasing the number of market participants, competition to provide products
and services like ours will become more intense, and the importance of establishing and maintaining relationships with key industry participants
will increase. These industry participants may try to use their market power to negotiate price reductions for our products and services.
Any of these factors could materially and adversely impact our business, financial condition and operating results.

If
we do not continue to recruit and retain sufficient quality healthcare professionals at reasonable costs, it could increase our operating
costs and negatively affect our business and our profitability.

We
rely significantly on our ability to recruit and retain a sufficient number of healthcare professionals who possess the skills, experience
and licenses necessary to meet the requirements of our clients. With clinician burnout rates continuing to rise, an ongoing shortage
of certain qualified nurses and physicians in many areas of the United States and low unemployment rates for nurses and physicians, competition
for the hiring of these professionals remains intense. Our ability to recruit temporary and permanent healthcare professionals may be
exacerbated by continued low levels of unemployment.

We
compete with healthcare staffing companies, recruitment and placement agencies, including online staffing and recruitment agencies, and
with hospitals, healthcare facilities and physician practice groups to attract healthcare professionals based on the quantity, diversity
and quality of assignments offered, compensation packages, the benefits that we provide and speed and quality of our service.

The
costs of recruiting quality healthcare professionals and providing them with competitive compensation packages may be higher than we
anticipate, or we may be unable to pass these costs on to our hospital and healthcare facility clients, which may reduce our profitability.
Moreover, if we are unable to recruit temporary and permanent healthcare professionals, our service execution may deteriorate and, as
a result, we could lose clients or not meet our service level agreements with these clients that have negative financial repercussions.

The
ability of our clients to increase the efficiency and effectiveness of their staffing management and recruiting efforts may affect the
demand for our services that could negatively affect our business.

If
our clients are able to increase the effectiveness of their staffing and recruitment functions, their need for our services may decline.
With the advent of technology and more sophisticated staffing management and recruitment processes, including internal “travel”
and other healthcare staffing models, clients may be able to successfully increase the efficiency and effectiveness of their internal
staffing management and recruiting efforts, through more effective planning and analytic tools, internet- or social media-based recruiting
or otherwise. Such new technologies and processes could