Company: AGSS
Filing Date: 2025-11-17
Form Type: 10-Q
Source: 0001213900-25-111597
Chunk: 43

Company: AMERIGUARD SECURITY SERVICES, INC.
Filing Date: 2025-11-17
Form: 10-Q
Item: Item 8
Chunk 43
---
 and concluded there were no indicators of impairment as defined in ASC 350-20-35. Therefore, no interim impairment
testing was performed.

Goodwill is reviewed annually for impairment as
of October 1, or more frequently if triggering events occur.

NOTE 8 –
DEFERRED REVENUE

 During the first three years of operations of
TransportUS Inc, Secure Transportation, Inc. (Secure), a subcontractor, advanced funds to TransportUS Inc. with the expectation of future
services provided for Secure. This arrangement ended, December 31, 2021, after Secure had advanced $1,087,327.
The agreement moving forward required TransportUS to provide services in the amount of $15,000
per month or return funds to Secure in that same amount. Since January 2022, TransportUS has returned funds in the amount of $415,000,
leaving a balance of $657,327
as of December 31, 2024. In July 2025 it was learned that Secure was sold to a third-party Transportation Company. Due to the repayment
agreement was with the owners of Secure only and not transferable, the balance remaining of $657,327
was written off to non-operational income, debt forgiveness. 

9

NOTE 9 –
PAYROLL LIABILITY – PENSION

 The company offers various pension plans to employee
groups based on location of employment. Corporate office employees and guards have an option to participate in a 401K sponsored by the
company with a matching program up to 5%
of employee salary. Federal contracts have union agreements that define the pension calculation and due dates. It is the responsibility
of the company to calculate the pension benefit amount each month and contribute the amount due to the plan designated. The pension balances
due on September 30, 2025, and December 31, 2024, were $227,008
and $708,120
respectively. 

NOTE 10 –
NOTES PAYABLE

 In June 2020, AmeriGuard Security Services,
Inc. received an SBA Loan through Fresno First Bank in the amount of $1,080,000
that was used to close out a Citibank loan in the amount of $312,339
with the remaining balance after expenses held in reserve. The SBA loan is a 10-year
loan with monthly principal and interest payments. Interest rate is variable at prime rate plus 2.75%,
adjusted every calendar quarter