SEC Filing Document

Company: Ambitious Entertainment, Inc.
Ticker: 
CIK: 1900851
Filing Type: S-1
Document Type: S-1
Date Filed: 2026-05-15
Accession Number: 0001493152-26-023581
Exchange: 
SIC Code: 7812
SIC Description: Services-Motion Picture & Video Tape Production
URL: https://www.sec.gov/Archives/edgar/data/1900851/000149315226023581/forms-1.htm

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fragmentation, or disruption in traditional distribution channels (such as the decline of theatrical releases in favor of streaming) may impact the demand for our content and affect our ability to monetize it effectively across different platforms. Based upon the factors above and others beyond our control, we have a limited ability to forecast our future revenue, costs and expenses, and as a result, our operating results may, from time to time, fall below our estimates or the expectations of analysts and investors. our costs increase, we may not be able to generate sufficient revenue to sustain profitability. expect to expend resources to grow our business. We anticipate continued growth that could require further financial and other resources to, among other things: ● Develop, produce, and market original film and television content across multiple formats and platforms; ● Expand our distribution channels, including direct-to-consumer and streaming platforms, both domestically and internationally;

●	Attract
and retain top creative talent, production partners, and promotional collaborators, including social media influencers and brand
sponsors.

Investing
in the foregoing, however, may not yield anticipated returns. Consequently, as our costs increase, we may not be able to generate sufficient
revenue to sustain profitability. During the years ended December 31, 2025 and December 31, 2024, we recorded impairment charges of
$128,650 and $85,837, respectively, related to a film and film rights where the expected future economic benefits were not realized.
These impairments reflect instances in which our investments in content development did not generate the anticipated returns. Similar
circumstances may occur in the future as we continue to invest in the development and production of entertainment content, which could
adversely affect our operating results.

Servicing
our debt will require a significant amount of cash, and we may not have sufficient cash flow from our business to pay our debt.

Our
ability to make scheduled payments of principal, to pay interest on, or to refinance our indebtedness depends on our future operating
performance, which is subject to economic, financial, competitive and other factors beyond our control. All of our outstanding debt
matures at various dates during 2026.

Our
debt agreements do not contain traditional financial maintenance covenants; however, they include customary provisions that may restrict
certain corporate actions, including limitations on additional indebtedness, liens, dividends, and certain fundamental transactions,
unless permitted by the terms of the applicable agreements. In addition, failure to timely repay amounts due at maturity or comply with
other obligations under the debt instruments would constitute an event of default, which could result in acceleration of the indebtedness
and the imposition of default interest. Further, while our convertible notes do not contain operational covenants, they are senior secured obligations with
customary default provisions (including cross-defaults above $50,000), which could materially affect liquidity and operations if triggered.

Given
that all of our indebtedness matures during 2026, we will be required to repay, refinance, extend, or convert these obligations prior
to or upon maturity. There can be no assurance that we will be able to do so on favorable terms or at all, which could materially adversely
affect our liquidity, financial condition, and results of operations.

have historically generated negative cash flow from operations and have not produced sufficient operating cash flow to cover our debt
service obligations. Net cash used in operating activities was $1,068,619 for the year ended December 31, 2025, $4,714,924 for the year
ended December 31, 2024, and $4,646,188 for the year ended December 31, 2023. Accordingly, our operations have not generated sufficient
cash to fund our working capital needs or service our outstanding indebtedness.

of December 31, 2025, we had outstanding convertible notes payable, net of original issue discount and debt discount, of $2,092,762.
All of our outstanding convertible notes mature at various dates during 2026. Unless converted into equity, refinanced, extended, or
otherwise restructured, these obligations will require repayment in cash upon maturity.

Historically,
the Company has not generated positive cash flow from operating activities sufficient to service its debt obligations. For example, the
Company reported net cash used in operating activities of approximately $1,068,619 for the year ended December 31, 2025 and $4,714,924
for the year ended December 31, 2024. As a result, the Company has historically relied on financing activities to fund its operations.
The Company has not made any payments toward its debt service requirements. If the Company is unable to generate sufficient cash flow
from operations in the future or obtain additional financing, it may not be able to meet its debt obligations or fund necessary capital
expenditures.

may not generate cash flow from operations in the future sufficient to service our debt and make necessary capital expenditures, particularly
if the offering contemplated by this prospectus is unsuccessful. If we are unable to generate sufficient cash flow, we may be
required to pursue alternatives such as selling assets, restructuring or refinancing our debt, seeking extensions from noteholders,
or obtaining additional equity capital, which may be on terms that are onerous or highly dilutive to existing stockholders.
Our ability to refinance our indebtedness will depend on the condition of the capital markets and our financial position
at the time of refinancing. We may not be able to consummate any of these alternatives on acceptable
terms, or at all, which could result in a default on our debt obligations.

could become involved in litigation matters that may be expensive and time consuming, and, if resolved adversely, could harm our business,
financial condition, or results of operations.

Although
we are not currently involved in any litigation matters, any such litigation to which we are a party may result in an onerous or unfavorable
judgment that may not be reversed upon appeal, or we may decide to settle lawsuits on similarly unfavorable terms. Any negative outcome
could result in payments of substantial monetary damages or fines, or changes to our products or business practices, and accordingly,
our business, financial condition, or results of operations could be materially and adversely affected.

we fail to protect our intellectual property and proprietary rights adequately, our business could be adversely affected.

Our
ability to compete depends in part on the protection of our intellectual property, including copyrights and trademarks associated with
our film and television content. We rely on U.S. and international copyright, trademark and other intellectual property laws, as well
as contractual restrictions in our distribution and licensing arrangements, to protect our proprietary rights.

While
most countries maintain intellectual property laws and are signatories to international agreements such as those administered by the
World Intellectual Property Organization and the World Trade Organization, enforcement of those laws varies significantly by jurisdiction.
The Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) establishes minimum standards of protection; however,
practical enforcement in certain markets remains inconsistent.

The
Office of the United States Trade Representative (“USTR”) annually publishes its “Special 301 Report,” which
identifies countries where intellectual property enforcement concerns persist. USTR’s “Special 301 Report” issued on
April 29, 2025, reports, countries such as China, Russia, India, Vietnam, Türkiye (Turkey), and Indonesia have been identified as
jurisdictions where online piracy, unauthorized streaming services, illicit IPTV distribution, camcording of theatrical releases, or
ineffective enforcement mechanisms remain concerns. These issues typically relate to the effectiveness of enforcement rather than the
absence of copyright laws.

Although
revenue derived from these jurisdictions currently represents less than 10% of our total revenues, unauthorized distribution of our content
in these or other territories could reduce legitimate revenues, impair the value of our intellectual property, and undermine our ability
to license content in affected markets. In addition, digital piracy is global in nature, and infringing platforms operating in one jurisdiction
may distribute content internationally, including into markets that represent a significant portion of our revenues.

cannot assure you that our efforts to protect our intellectual property rights will be adequate or that we will be able to prevent unauthorized
use or distribution of our content. Failure to successfully protect our intellectual property could have a material adverse effect on
our business, financial condition, and results of operations.

rely on information technology systems and could face cybersecurity risks.

rely on information technologies and infrastructure, such as our company website, emails and data rooms, to manage our business,
including digital storage of marketing strategies, client information, films and digital programming, and the delivery
of digital marketing services. Data maintained in digital form is subject to the risk of intrusion, tampering, theft, corruption,
and unauthorized access.

The
incidence of malicious technology-related events, such as cyberattacks, computer hacking, ransomware, phishing attacks, computer viruses,
worms, denial-of-service attacks, and other destructive or disruptive activities, has increased in frequency and sophistication worldwide.
In addition, power outages, equipment failures, natural disasters (including extreme weather events), terrorist activities, and human
error may adversely affect our systems.