Company: VEEAW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032215
Chunk: 270

Company: VEEA INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 270
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 Veea fails to establish and maintain effective internal controls over financial reporting and disclosure
controls and procedures, it may not be able to accurately report its financial results or report them in a timely manner, which could
adversely affect Veea’s business.

Veea
is a public reporting company subject to the rules and regulations established from time to time by the SEC. These rules and regulations
require, among other things, and Veea establish and periodically evaluate, certain procedures with respect to its internal controls over
financial reporting. Reporting obligations as a public company are likely to place a considerable strain on Veea’s financial and
management systems, processes, and controls, as well as on its personnel.

41

In
addition, prior to the Business Combination, Private Veea was not required to document and test its internal controls over financial
reporting nor was Private Veea’s management required to certify the effectiveness of its internal controls, and its auditors have
not been required to opine on the effectiveness of Private Veea’s internal controls over financial reporting. However, as a public
company, Veea is required to document and test its internal control over financial reporting pursuant to Section 404 of the Sarbanes-Oxley
Act so that Veea’s management can certify as to the effectiveness of its internal controls over financial reporting by the time
Veea’s second annual report is filed with the SEC and thereafter, which will require Veea to document and make significant changes
to its internal controls over financial reporting. As a public company, Veea is subject to the reporting requirements of the Exchange
Act, the Sarbanes-Oxley Act and the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, as well as rules adopted, and
to be adopted, by the SEC and Nasdaq, and other applicable securities rules and regulations, which impose various requirements on public
companies, including the establishment and maintenance of effective disclosure and financial controls and changes in corporate governance
practices. Veea’s management and other personnel will need to devote a substantial amount of time to these public company requirements.
Moreover, these rules and regulations may substantially increase Veea’s legal and financial compliance costs and may make some
activities more time-consuming and costly. Veea may need to hire additional legal, accounting and financial staff with appropriate public
company experience and technical accounting knowledge and maintain an internal audit function.

Veea
will develop and refine its disclosure controls and other procedures that are designed to ensure that information required to