Company: MKLY
Filing Date: 2025-06-30
Form Type: CORRESP
Source: 0001213900-25-059801
Chunk: 2

Company: McKinley Acquisition Corp
Filing Date: 2025-06-30
Form: CORRESP
Chunk 2
---
,000 cash receipt by the Company and a $25,000 cash disbursement to pay for the
vendor retainer. Despite the Company not being directly involved in the cash exchange, we determined the corresponding receipt and disbursement
should be presented as cash flows as it meets the concept of a constructive receipt and disbursement given the transaction achieves the
same economic results as if cash had been exchanged through the Company. The transaction was structured in this manner for convenience
to expedite vendor payments while the Company’s bank account was being opened so that work could commence immediately on the proposed
public offering.

Similarly, payments for vendor retainers, recorded as prepaid
expenses, paid by the Sponsor on behalf of the Company, in substance, achieved the same economic result as $45,000 cash receipts from
proceeds on the Promissory Note and $45,000 cash disbursements to pay for the vendor retainers. Despite the Company not being directly
involved in the cash exchange, we determined the corresponding receipts and disbursements should be presented as cash flows as they meet
the concept of constructive receipts and disbursements given the transaction achieves the same economic results as if the cash had been
exchanged through the Company. The transactions were structured in this manner for convenience to expedite vendor payments while the Company’s
bank account was being opened so that work could commence immediately on the proposed public offering.

Please call me at 212 407-4866 if you would like
additional information with respect to any of the foregoing. Thank you.

| Sincerely,          |
| /s/ Giovanni Caruso |
| Giovanni Caruso     |
| Partner             |