Company: SNBH
Filing Date: 2025-04-16
Form Type: 10-K
Source: 0001731122-25-000581
Chunk: 283

Company: SENTIENT BRANDS HOLDINGS INC.
Filing Date: 2025-04-16
Form: 10-K
Item: Item 3
Chunk 283
---
,900. In addition,
our inventory decreased by $24,539 and accounts payable increased by $184,849. An increase in prepaid expenses used $8,453 of cash.

Cash flows from Investing Activities

There are no Investing activities in for the year
ended December 31, 2024 or 2023.

Cash flows from Financing Activities

Cash flows provided by financing activities during
the year ended December 31, 2024 amounted to $325,500 as compared with $68,795 for the year ended December 31, 2023. During 2024, we
received net proceeds from short term loans totaling $11,500. We also received $314,000 from the sale of common stock. During 2023, we
received net proceeds from short term loans totaling $22,795. We also increased our stock subscription payable for $85,000. During 2023,
we also received $38,000 from the sale of common stock and $8,000 from the exercise of warrants to purchase common stock.

25

We will need to raise additional
funds, particularly if we are unable to generate positive cash flow as a result of our operations. We estimate that based on current plans
and assumptions, that our available cash will be insufficient to satisfy our cash requirements under our present operating expectations.
Other than working capital and advance received from related parties and funds received pursuant to securities purchase agreements, we
presently have no other significant alternative source of working capital. We have used these funds to fund our operating expenses, pay
our obligations and grow our company. We will need to raise significant additional capital to fund our operations and to provide working
capital for our ongoing operations and obligations. Therefore, our future operation is dependent on our ability to secure additional financing.
Financing transactions may include the issuance of equity or debt securities, obtaining credit facilities, or other financing mechanisms.
However, the trading price of our common stock and a downturn in the U.S. equity and debt markets could make it more difficult to obtain
financing through the issuance of equity or debt securities. Even if we are able to raise the funds required, it is possible that we could
incur unexpected costs and expenses or experience unexpected cash requirements that would force us to seek alternative financing. Furthermore,
if we issue additional equity or debt securities, stockholders may experience additional dilution or the new equity securities may have
rights, preferences or privileges senior to those of existing holders of our common stock. The inability to obtain