Company: IDVV
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001683168-25-006029
Chunk: 108

Company: ModuLink Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 2
Chunk 108
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 activities, any interruption in the provision of products by these
third parties whether due to supply chain disruptions, regulatory restrictions, or geopolitical developments may impair our ability to
deliver properties to our clients in a timely or cost-effective manner. Please see “Risk Factors - We rely on third-party manufacturers
and partners for certain aspects of our operations, and any interruptions in the provision of products provided by these third parties
may impair our ability to deliver properties to our clients.” Set forth in the Registration Statement.

Our sources of capital in
the past have included the sale of equity securities, which include common stock sold in private transactions to our executive officers
or existing shareholders, and short-term and long-term debts. We expect to finance future acquisitions through a combination of the foregoing.
While we believe that existing shareholders and our officers and directors will continue to provide additional cash to make acquisitions
and to meet our obligations as they become due or that we will obtain external financing, there can be no assurance that we will be able
to raise such additional capital resources on satisfactory terms. Currently, we rely on funding provided by our officers and directors
to support our ongoing operating activities. In light of this support, along with the continued forbearance of Zenith (Hong Kong) Engineering
Limited (“Zenith (HK)”) as discussed below, we believe our existing cash position and other sources of liquidity are sufficient
to fund our operations for at least the next 12 months. To implement our business plan, we estimate that we will require approximately
$6.5 million over the next 12 months and a total of $11.5 million over the next 24 months. We are actively evaluating various financing
alternatives to meet these capital requirements.

We are indebted to Zenith
(HK), a customer that accounted for approximately 26% of our revenues for the six months ended June 30, 2025, in the approximate amount
of $127,050 as of June 30, 2025. Pursuant to the Stock Purchase Agreement dated January 22, 2025, the two convertible promissory notes
were purchased and assigned to Zenith (HK) on January 30, 2025. On February 28, 2025, Zenith (HK) waived all rights to convert the outstanding
principal amount and any accrued but unpaid interest under the two convertible promissory notes into equity securities of the Company.
We owe approximately $127,050 pursuant to such notes. Both notes have already become due and