Company: ARAI
Filing Date: 2025-04-18
Form Type: S-1/A
Source: 0001641172-25-005394
Chunk: 72

Company: Arrive AI Inc.
Filing Date: 2025-04-18
Form: S-1/A
Chunk 72
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 not able to raise capital from investors in a timely manner, the Company will explore available options, including but not limited to, an equity backed loan. In the absence of additional appropriate financing, the Company may have to modify its plan or slow down the pace of development and commercialization.

The Company does not have any short or long-term contractual purchases with suppliers for future purchases, capital expenditure commitments that cannot be cancelled with minimal fees, non-cancelable operating leases, or any commitment or contingency that would hinder management’s ability to scale down operations and management expenses until funding is raised.

The following table summarizes our cash flows from operating, investing, and financing activities for the years ended December 31, 2024 and December 31, 2023:

|                                           |     | Years Ended December 
 31,                  |       2024 |   |     |   |       2023 |   |
|:------------------------------------------|:----|:---------------------|-----------:|:--|:----|:--|-----------:|:--|
| Net cash used in operating activities     |     | $                    | (2,289,273 | ) |     | $ | (2,816,791 | ) |
| Net cash used by investing activities     |     |                      |   (114,655 | ) |     |   |   (104,991 | ) |
| Net cash provided by financing activities |     |                      |  2,207,774 |   |     |   |  1,690,158 |   |

Inflation

Although our operations are influenced by general economic conditions, we do not believe that inflation had a material effect on our results of operations during the year ended December 31, 2024.

Critical Accounting Policies and Estimates

The discussion and analysis of our financial condition and results of operations are based upon our financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States. The preparation of these financial statements requires us to make estimates and judgments that affect the amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. On an on-going basis, we evaluate our estimates based on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily available apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. While there are a number of significant accounting policies affecting