10-K - Sound Cave Technology Inc. (0001912540) (Filer)
Thu, Oct 3, 6:31 PM (33 days ago)
Sound Cave Technology Inc. (SCTI) is a development-stage company focused on creating wearable technology, specifically a hoodie with embedded Bluetooth speakers. As of December 31, 2022, SCTI reported no revenues and an accumulated deficit of $30,280, reflecting continued operational losses since its inception in May 2021. Operating expenses increased to $15,548 in 2022 from $14,732 in 2021 due to heightened activity and professional fees. The company had minimal assets of $256 and total liabilities of $13,957, leading to a working capital deficit of $31,701. SCTI raised $6,800 through share subscriptions at $0.05 per share during 2022, but requires a minimum of $380,000 over the next year for product development and marketing. There is substantial doubt about the company’s ability to continue as a going concern without additional capital. The sole director, Christopher Campbell, has provided funding but is not legally obligated to continue doing so. The company plans to target young adults aged 18-35 in North America and intends to utilize social media marketing. However, competition from established brands in the clothing market poses significant risks. The company lacks formal internal controls and an audit committee, which could impact financial reporting and governance.