Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 574

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 3
Chunk 574
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00% 
    US Dollar
  
    Mission Supply LLC 
    USA 
     100.00% 
    US Dollar
  
    SideQik, Inc. 
    USA 
     100.00% 
    US Dollar

Non-controlling
interests are measured initially at their proportionate share of the acquiree’s identifiable net assets at the date of acquisition.
Changes in the Company’s interest in a subsidiary that does not result in a loss of control are accounted for as equity transactions.
As of December 31, 2024, the Company’s subsidiary, Faze Media Inc., had non-controlling interests (see Note 4).

(c)
Use of estimates

The
preparation of consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect
the reported amount of assets and liabilities at the date of the financial statements and the reported amount of revenue and expenses
during the reporting period. Management evaluates these estimates and judgments on an ongoing basis and bases its estimates on historical
experience, current and expected future conditions, third-party evaluations and various other assumptions that management believes are
reasonable under the circumstances. Significant estimates have been used by management in conjunction with the following: (i) valuation
of warrant liabilities; (ii) valuation of convertible debt; (iii) contingent liabilities; (iv) share-based compensation; (v) assumptions
used in business combinations; and (vi) testing for impairment of long-lived assets and goodwill. Actual results may differ from the
estimates and assumptions used in the consolidated financial statements.

    F-12

(d)
Foreign currencies

The
functional currency of the Company is the US Dollar (“USD”). The functional currencies of the Company’s subsidiaries
are disclosed in Note 2(b) above. Our reporting currency is USD.

Assets
and liabilities of foreign subsidiaries are translated from local (functional) currency to reporting currency (USD) at the rate of exchange
in effect on the consolidated balance sheets date; income and expenses are translated at the average rate of exchange prevailing during
the year. The related translation gains and losses are included in other comprehensive income or loss within the consolidated statements
of operations and comprehensive loss.

(e)
Revenue recognition

Revenue
is measured based on the consideration specified in a contract with a customer. The Company recognizes revenue when it transfers control
of its services to a customer.

The
following provides information about the nature and timing of the satisfaction of performance obligations in contracts with customers,
including significant payment terms and related revenue recognition policies:

Brand