Company: AGSS
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001829126-25-003800
Chunk: 20

Company: AMERIGUARD SECURITY SERVICES, INC.
Filing Date: 2025-05-19
Form: 10-Q
Item: Part I, Item 1
Chunk 20
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2025, the company had 82 vehicles under lease. The lease agreement includes maintenance services and tracking.
The terms of the lease agreement vary based on the date the vehicle was leased and the respective terms for each vehicle. The master lease
is updated annually and requires annual internal financial reports and company tax return.

NOTE 13 – CONCENTRATION OF SALES

The company generated approximately $7,130,000
in service revenue as of March 31, 2025, and approximately $6,590,000
in contract service revenue. Of the total service revenue, approximately 92%
was earned from six federal contracts in through the first quarter of 2025 and four contracts through the 1st quarter of 2024 that generated
approximately $5,151,000 in contract revenue. The active contracts and their respective terms are as follows:

    ●
    Social Security Administration, NSC
     
    -
    
    September 2022 through September 2027
    Annual Revenue of approx. $6.1M

    ●
    Social Security Administration, SSC 
     
    -
    
    June 2022 through June 2027
    Annual Revenue of approx. $5.4M

    ●
    Social Security Administration, WBDOC
     
    -
    
    June 2021 through July 2026
    Annual Revenue of approx. $3M

    ●
    Veterans Administration – Central Los Angeles CA
     
    -
    
    Oct 2024 through Sep 2029
    Annual Revenue of approx. $720K

    ●
    Veterans Administration – Long Beach CA
     
    -
    
    Feb 2019 through September 2025
    Annual Revenue of approx. $9M

    ●
    Veterans Administration – Loma Linda CA
     
    -
    
    Oct 2024 through Sep 2029
    Annual Revenue of approx. $2.1M

NOTE 14 – LITIGATION AND CLAIMS

As of December 31, 2023, there are three employment issues pending.
The issues revolve around terminated employees alleging the Company has failed to pay minimum wages, sick pay wages, meal period violations,
rest period violations wage statement violations and violation of relevant unfair business practices acts. A lawsuit has been filed, but
it is early in the process, and we are unable to comment on the merits of such a lawsuit at this time. The Company believes this lawsuit
has no merit