Company: VEEAW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032215
Chunk: 493

Company: VEEA INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1B
Chunk 493
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 2023, the Company had an accumulated deficit of $217.8 million and
$170.3 million, respectively. As of December 31, 2024 and 2023, the Company had cash of $1.7 million and $6.0 million, respectively. As
of December 31, 2024, the Company had $13.9 million outstanding debt, of which approximately $1.2 million was outstanding under the September
2024 Notes and $12.7 million was outstanding under our working capital facility. The Company’s consolidated financial statements
have been prepared assuming the Company will continue as a going concern, which contemplates, among other things, the realization of assets
and satisfaction of liabilities in the normal course of business. The consolidated financial statements do not include adjustments to
reflect the possible future effects on the recoverability and classification of recorded assets or the amounts of liabilities that might
be necessary should the Company be unable to continue as a going concern.

Although we have incurred recurring
losses each year since our inception, we plan to fund our operations and capital funding needs through a combination of private and public
equity and debt offerings, or a combination thereof, including, (1) available cash proceeds from equity sales under the ELOC Program,
(2) cash proceeds from a substantial strategic investment anticipated to close in the second quarter of 2025, and (3) savings from planned
expense reduction measures.

Taking into account these plans as
well as (1) the expected cash tax refund of up to $2.0 million in respect of the Company’s UK subsidiary’s 2023 and 2024 research
and development activities, (2) the anticipated refund by June 30, 2025, of up to $5.0 million of the Company’s prepayment for purchased
inventory and (3) potential additional investments in the form of debt or equity to fund operating deficits from existing investors, including
related parties, which may include the Company’s CEO and his affiliates, the Company expects it will be able to fund its operations
over the next twelve months and has a reasonable basis to believe it has alleviated substantial doubt regarding its ability to continue
as a going concern. Although management continues to pursue these plans, there is no assurance that the Company will be successful in
obtaining sufficient funding on terms acceptable to the Company, if at all.

3
- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles
of Consolidation