Company: BSFC
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021887
Chunk: 74

Company: Blue Star Foods Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 74
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 number of shares
to provide for the issuance of shares upon the full conversion of the ClearThink Note. For the nine months ended September 30, 2025,
the Company made no principal and interest payments on the loan. The outstanding balance on the loan was $47,059 as of September 30,
2025.

Off-Balance
Sheet Arrangements

We
currently have no off-balance sheet arrangements.

29

ITEM
3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

We
are a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and are not required to provide the information under this
item.

ITEM
4. CONTROLS AND PROCEDURES

Evaluation
of Disclosure Controls and Procedures

Under
the supervision and with the participation of our management, including our principal executive officer and principal financial officer,
as of March 31, 2025, we conducted an evaluation of our disclosure controls and procedures, as such term is defined under Rule 13a-15(e)
and Rule 15d-15(e) promulgated under the Securities Exchange Act of 1934, as amended. Based on this evaluation our principal executive
officer and principal financial officer has concluded that based on the material weaknesses discussed below our disclosure controls and
procedures were not effective as of such date to ensure that information required to be disclosed by us in reports filed or submitted
under the Securities Exchange Act were recorded, processed, summarized, and reported within the time periods specified in the SEC’s
rules and forms and that our disclosure controls are not effectively designed to ensure that information required to be disclosed by
us in the reports that we file or submit under the Securities Exchange Act is accumulated and communicated to management, including our
principal executive officer and principal financial officer, or persons performing similar functions, as appropriate to allow timely
decisions regarding required disclosure.

The
matters involving internal controls and procedures that our management considered to be material weaknesses under the standards of the
Public Company Accounting Oversight Board were:

●
inadequate control over the monitoring of inventory maintained in the Company’s third-party warehouse;

●
ineffective controls over the Company’s financial close and reporting process; and

●
inadequate segregation of duties consistent with control objectives, including lack of personnel resources and technical accounting expertise
within the accounting function of the Company.

Management’s
Remediation Initiatives

In
an effort to remediate the identified material weaknesses