Company: SYRA
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0001493152-25-009873
Chunk: 742

Company: Syra Health Corp
Filing Date: 2025-03-11
Form: 10-K
Item: Item 7
Chunk 742
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 operations. These
factors raise substantial doubt about the Company’s ability to continue as a going concern. The Company has commenced sales and
continues to develop its operations. In the event sales do not materialize at the expected rates, management would seek additional financing
or would attempt to conserve cash by further reducing expenses. There can be no assurance that the Company will be successful in achieving
these objectives.

The
Company continues to pursue sources of additional capital through debt and financing transactions or arrangements, including equity financing
or other means. The Company may not be successful in identifying suitable funding transactions in a sufficient time period or at all
and may not obtain the required capital by other means. If the Company does not succeed in raising additional capital, resources may
not be sufficient to fund its business. The Company’s ability to scale production and distribution capabilities and further increase
the value of its brands, is largely dependent on its success in raising additional capital. From January through April of 2023, the Company
raised a total of $1,455,000 of capital from the sale of convertible notes. On October 3, 2023, the Company completed its IPO and received
net proceeds of approximately $5,332,283. In October 2023, the convertible notes were converted into Class A common stock in accordance
with the terms of the convertible promissory notes as a result of the IPO. On September 11, 2024, the Company completed a public offering
and received net proceeds of $1,619,021.

The
financial statements do not include any adjustments that might result from the outcome of any uncertainty as to the Company’s ability
to continue as a going concern. These financial statements also do not include any adjustments relating to the recoverability and classification
of recorded asset amounts or amounts and classifications of liabilities that might be necessary should the Company be unable to continue
as a going concern.

Note
3 – Related Party Transactions

The
Company pays for payroll and related costs for its employees that provide services to Sahasra Technologies Corp., doing business as
STLogics to service contracts of STLogics, which is an entity beneficially owned by the principal owners and management team of
Syra. During the year ended December 31, 2024, the Company paid $101,411
of payroll and related costs for these employees and had a receivable from STLogics of $0
and $50,614 for additional costs incurred as of December 31,