Company: SIMA
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001213900-25-109984
Chunk: 54

Company: SIM Acquisition Corp. I
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 8
Chunk 54
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, and geopolitical instability,
such as the military conflicts in Ukraine and the Middle East. The Company cannot at this time predict the likelihood of one or more of
the above events, their duration or magnitude or the extent to which they may negatively impact the Company’s ability to complete
an initial Business Combination.

Liquidity and Capital Sources and Going Concern

As of September 30, 2025 and
December 31, 2024, the Company had a cash balance of $169,145 and $697,085 and a working capital surplus of $290,658 and $791,676,
respectively. Further, the Company has incurred and expects to continue to incur significant costs in pursuit of a Business Combination.
In connection with the Company’s assessment of going concern considerations in accordance with ASU 2014-15, “Disclosures of
Uncertainties about an Entity’s Ability to Continue as a Going Concern,” management has determined that the mandatory liquidation
and subsequent dissolution raises substantial doubt about the Company’s ability to continue as a going concern. The financial statements
do not include any adjustments that may be necessary if the Company is unable to continue as a going concern. It is uncertain that the
company will be able to consummate a Business Combination by July 11, 2026. If a Business Combination is not consummated by this date,
there will be a mandatory liquidation and subsequent dissolution of the Company. Management has determined that the mandatory liquidation
and subsequent dissolution raises substantial doubt about the Company’s ability to continue as a going concern. No adjustments have
been made to the carrying amounts of assets or liabilities should the Company be required to liquidate after July 11, 2026. In addition,
the Company’s cash balance does not exceed its current budgeted operating requirements, and management has concluded that this indicates
the Company will not have sufficient liquidity to meet its obligations as they become due within one year after the date these financial
statements are issued.

Note 2 – SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES

Basis of Presentation

The accompanying unaudited
condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of
America (“GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation
S-X of the U.S. Securities and Exchange Commission (the “SEC”). Certain information or footnote disclosures normally included
in financial statements prepared in accordance with GA