Company: BIAF
Filing Date: 2025-04-11
Form Type: S-1
Source: 0001641172-25-003892
Chunk: 81

Company: bioAffinity Technologies, Inc.
Filing Date: 2025-04-11
Form: S-1
Chunk 81
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 decrease, which might cause our Common Stock price and trading volume to decline.

If we fail to establish and maintain an effective system of internal control or disclosure controls and procedures are not effective, we may not be able to report our financial results accurately and timely or to prevent fraud. Any inability to report and file our financial results accurately and timely could harm our reputation and adversely impact the trading price of our Common Stock.

Effective internal controls are necessary for us to
provide reliable financial reports and effectively prevent fraud. Section 404 of the Sarbanes-Oxley Act of 2002 (“SOX”) requires
us to evaluate and report on our internal controls over financial reporting and, depending on our future growth, may require our independent
registered public accounting firm to annually attest to our evaluation, as well as issue its own opinion on our internal controls over
financial reporting. The process of implementing and maintaining proper internal controls and complying with Section 404 is expensive
and time consuming. We cannot be certain that the measures we will undertake will ensure that we will maintain adequate controls over
our financial processes and reporting in the future. Furthermore, if we are able to rapidly grow our business, the internal controls that
we will need may become more complex, and significantly more resources will be required to ensure our internal controls remain effective.
Failure to implement required controls or difficulties encountered in their implementation could harm our operating results or cause us
to fail to meet our reporting obligations. If we or our auditors discover a material weakness in our internal controls, the disclosure
of that fact, even if the weakness is quickly remedied, could diminish investors’ confidence in our financial statements and harm
our stock price. In addition, non-compliance with Section 404 could subject us to a variety of administrative sanctions, including the
suspension of trading, ineligibility for future listing on one of the Nasdaq Stock Markets or national securities exchanges, and the inability
of registered broker-dealers to make a market in our Common Stock, which may reduce our stock price.

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<div align='center'>THE PRIVATE PLACEMENT</div>

On February 25, 2025, we entered into the Inducement
Agreement with the Holders of our existing warrants issued in a private placement offering that closed on October 21, 2024 (the “October
Warrants”) and a private placement offering that closed on August 5, 2024 (the “August Warrants” and, together with
the October Warrants,