Company: MNTR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001620
Chunk: 284

Company: Mentor Capital, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 284
---
 involvement
or continuing influence over its operations. As a result of this sale, our facilities operations segment was eliminated, and its results
of operations, assets, and liabilities were excluded from our continuing operations. Therefore, WCI is presented as a discontinued operation
in our consolidated financial statements. See Note 3.

Note
2 - Summary of significant accounting policies

Basis
of presentation

The
accompanying consolidated financial statements and related notes include the activity of subsidiaries in which a controlling financial
interest is owned. The consolidated financial statements have been prepared in accordance with accounting principles generally accepted
in the United States of America (“GAAP”).

    F-8

Mentor
Capital, Inc.

Notes
to Consolidated Financial Statements

December
31, 2024 and 2023

Significant
intercompany balances and transactions have been eliminated in consolidation. Certain prior period amounts have been reclassified to
conform with the current period presentation.

As
shown in the accompanying financial statements, the Company has an accumulated deficit of ($9,027,312) as of December 31, 2024. The Company
has recently received significant profit on the sale of its former majority owned subsidiary, although negative cash flows from operations
continue.

Ongoing
capital formation

The
Company will endeavor to raise additional capital to fund its acquisitions from both related and unrelated parties to generate increasing
growth and revenues. The Company has 4,250,000 Series D warrants outstanding, and the Company has reset the exercise price to $0.02 per
share, which is below the current market price. The Company may reverse split the stock to raise the stock price to a level further above
the warrant exercise price. The warrants are specifically not affected and do not split with the shares in the event of a reverse split.
These consolidated financial statements do not include any adjustments that might result from repricing the outstanding warrants.

Management’s
plans include increasing revenues through acquisition, investment, and organic growth. Management anticipates funding new activities
by raising additional capital through the sale of equity securities and debt.

Impact
related to endemic factors

Our
future financial condition may be materially and adversely impacted as a result of the ongoing worldwide economic, political, and
military situations, economic sanctions, the impact of inflation, interest rate increases, tax increases, tariff increases,
recession, climate regulation, cybersecurity risks, evolving and sophisticated cyber-attacks and other attempts to gain access to
our information technology systems, increased risk to oil