What changed in this filing

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Item 7. Management’s Discussion and Analysis

2026-03-10 compared with 2025-03-14 · 397 added, 257 removed, 414 unchanged (61% of the section changed)

9 unchanged sentences

particularly in the sections titled “Risk Factors” and “Special Note Regarding Forward-Looking Statements.”

We are an acquisition holding company focused

on locating undervalued and undercapitalized companies, primarily in the healthcare industry, and providing them capitalization and leadership

to maximize the value and potential of their private enterprises while also providing diversification and risk mitigation for our stockholders.

Specifically, we have and will continue to look at a diverse variety of acquisitions in the healthcare sector in terms of growth stages

and capital structures and we intend to focus our portfolio of subsidiaries approximately as follows:

80% will be targeted to established

profitable niche small to mid-sized healthcare companies and 20% will be targeted to second stage startups in healthcare and related financial

services (emerging businesses with a strong organic growth plan that is materially cash generative).

On May 31, 2021, we acquired Nova, which operates

a group of regional primary specialty and ancillary care facilities throughout Florida that provide traumatic injury victims with primary

care evaluations, interventional pain management, and specialty consultation services.

We focus on plaintiff related care are and a highly

efficient provider of EMC assessments.

We provide a full range of diagnostic and surgical services for injuries and disorders of the skeletal

system and associated bones, joints, tendons, muscles, ligaments, and nerves.

From sports injuries, to sprains, strains, and fractures,

our doctors are dedicated to helping patients return to active lifestyles.

Our company is a targeted healthcare holding company

dedicated to acquiring and building middle-market niche healthcare clinics, primarily in orthopedics, spine care, and pain management.

Our partnership-driven culture emphasizes service excellence, teamwork, accountability, and performance.

We are focused on the acquisition of orthopedic

and related modality practices with strong organic growth plans that are materially cash generative to maximize value and providing greater

coverage for our patients, and diversification and risk mitigation for our stockholders.

All current revenue is derived from Nova, which

was acquired on May 31, 2021.

It operates a group of regional primary specialty and ancillary care facilities across Florida and Georgia

that provide traumatic injury victims with primary care evaluations, interventional pain management, and specialty consultation services,

including EMC assessments.

We currently primarily focus on plaintiff-related care and provide healthcare to uninsured patients.

have typically been in an accident and have filed a lawsuit as a plaintiff against the defendant who is allegedly responsible for the

accident as the result of negligence or another tort.

We provide a full range of diagnostic and surgical services for injuries and disorders

of the skeletal system and associated bones, joints, tendons, muscles, ligaments, and nerves.

From sports injuries, to sprains, strains,

and fractures, our doctors are dedicated to helping patients return to active lifestyles.

We also own a real estate company, Edge View,

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Edge View owns five (5) acres zoned medium density residential (MDR) with 12 lots already platted,

six (6) acres zoned high-density residential (HDR) that can be platted in various configurations to meet current housing needs, and

twelve (12) acres zoned in Lemhi County as Agriculture that is available for further annexation into the City of Salmon for development,

as well as a common area for landowners to view wildlife, provide access to the Salmon River and fishing in a two (2) acre pond.

has invested years working to develop a new and exciting housing development in Salmon, Idaho and plans to enter into a joint venture

agreement with a developer for this planned concept development.

six (6) acres zoned high-density residential (HDR) that can be platted in various configurations to meet current housing needs, and twelve

(12) acres zoned in Lemhi County as Agriculture that is available for further annexation into the City of Salmon for development, as well

as a common area for landowners to view wildlife, provide access to the Salmon River and fishing in a two (2) acre pond.

Management does

not currently have any plans to develop this property and expects to eventually sell the property.

All of our operations are conducted through, and

our income derived from, our two subsidiaries.

Recent Developments

In December 2025 and January 2026, we entered

into loan agreements with two accredited investors, pursuant to which we issued to such investors (i) convertible promissory notes in

the aggregate principal amount of $80,000, which also provide for a second tranche of up to an additional $80,000 upon the mutual agreement

of the parties, all of which were issued in January 2026, (ii) warrants for the purchase of an aggregate of 73,334 shares of common stock,

of which 33,334 were issued in December 2025 and 40,000 were issued in January 2026, and (iii) 36,667 shares of common stock, all of which

were issued in January 2026, for total gross proceeds of $80,000 and net proceeds of approximately $269,500, all of which were received

in January 2026.

These convertible promissory notes accrue interest

at a rate of twelve percent (12%) per annum, payable in shares of common stock, cash or a combination thereof at our option quarterly

commencing on April 1, 2026, with all principal and accrued interest being due and payable five (5) years after issuance.

If a quarterly

interest payment is paid in shares of common stock, then the interest rate used in connection with such issuance shall be fifteen percent

(15%) per annum.

We may prepay the principal and accrued interest at any time without penalty upon fifteen (15) days’ notice.

addition, if we complete a financing of at least $2.5 million, then, if requested by a holder, we must repay the remaining principal and

interest from the proceeds of such financing.

These convertible promissory notes are unsecured and contain customary events of default

for a loan of this type.

These convertible promissory notes are convertible into shares of common stock at a conversion price of $0.825

(subject to standard adjustments in the event of any stock splits, stock combinations, dividends paid in common stock, stock reclassifications

or similar transactions).

In addition, these convertible promissory note provide that if the closing price of our common stock on the

sixth (6th) month anniversary of the issuance date is less than the conversion price then in effect, then the conversion price shall be

adjusted to such lower price, and also provide that if we issue any shares of common stock, or securities convertible into common stock,

at a price that is less than the conversion price then in effect, then the conversion price shall be adjusted to such lower price, subject

to certain exceptions.

All of the warrants may be exercised for a period

of three years at an exercise price of $9.00 (subject to standard adjustments in the event of any stock splits, stock combinations, dividends

paid in common stock, stock reclassifications, mergers, consolidations, reorganizations or similar transactions) and may be exercised

on a cashless basis if there is no effective registration statement covering the shares of common stock issuable upon the exercise of

the warrants.

All of the convertible promissory notes and warrants

contain ownership limitations, which provide that we shall not effect any conversion or exercise, and a holder shall not have the right

to convert or exercise any portion of a note or a warrant, to the extent that after giving effect to the issuance of common stock upon

such conversion or exercise, such holder, together with its affiliates, would beneficially own in excess of 4.99% of the number of shares

of common stock outstanding immediately after giving effect to the issuance of common stock upon such conversion or exercise.

This limitation

may be waived, up to a maximum of 9.99%, by a holder upon not less than sixty-one (61) days’ prior notice to us.

Conversion of Deferred Compensation

On January 29, 2026, we entered into a conversion

agreement with Alex Cunningham, our Chief Executive Officer, pursuant to which deferred compensation in the amount of $2,365,242 owed

Cunningham was cancelled in exchange for 556,528 shares of common stock, of which the conversion was valued as of January 28, 2026.

On March 6, 2026, we entered into a conversion

agreement with Daniel Thompson, our former Chairman of the Board, pursuant to which deferred compensation in the amount of $2,352,994

Thompson was cancelled in exchange for 588,249 shares of common stock, of which the conversion was valued as of March 4, 2026.

Compensation Resolution Agreement

On March 6, 2026, we entered into a lock-up and

compensation resolution agreement with Daniel Thompson, our former Chairman of the Board, to resolve outstanding accrued compensation

Under the agreement, we issued an unsecured promissory note in the principal amount of $116,666.66 bearing interest at 10%

annually, payable interest-only in year one and 50% principal in each of years two and three, with all amounts due within three years.

The agreement also required Mr.

Thompson to execute a lock-up agreement in connection with our planned public offering.

Amendment to Series N Certificate of Designation

On January 29, 2026, we filed a certificate of

amendment to the certificate of designation for our series N senior convertible preferred stock with the Nevada Secretary of State’s

Office to amend the certificate of designation to remove the redemption provisions, which previously provided for an optional redemption

by us and a mandatory redemption at the option of the holder in certain circumstances.

Impact of Recent Developments on Stockholders’

Our capital structure changed materially after

the balance-sheet date as a result of the aforementioned transactions.

On a pro forma basis as of December 31, 2025, after giving effect

to these transactions, our stockholders’ equity would have been approximately $6,018,864.

The impact on stockholder’s

equity from the bridge loan transactions was $58,934, the conversions of deferred compensation by Mr.

Cunningham $2,274,587 and Mr.

Thompson $2,352,994, respectively, and the removal of the redemption provisions from the series N senior convertible preferred stock was

As of December 31, 2025, we had two reportable

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Discontinued Operations

On November 10, 2023, we sold Platinum Tax, which

was a full-service tax resolution firm located in Los Angeles, California.

Through this subsidiary we provided fee-based tax resolution

services to individuals and companies that have federal and state tax liabilities by assisting clients to settle outstanding tax debts.

As part of the asset purchase agreement between us and the purchaser, the assets that were purchased included substantially all assets,

rights, interests, and licenses, except for bank accounts in place prior to the sale, for the purchase consideration of 15% of cash collected

by the purchaser within one year following the sale date.

On November 10, 2023, we sold our financial services

(tax resolution) business, Platinum Tax Defenders, or Platinum Tax, that we acquired on July 31, 2018, which was a full-service tax resolution

firm located in Los Angeles, California.

Through this subsidiary, we provided fee-based tax resolution services to individuals and companies

that have federal and state tax liabilities by assisting clients to settle outstanding tax debts.

As part of the asset purchase agreement

between us and the purchaser, the assets that were purchased included substantially all assets, rights, interests, and licenses, except

for bank accounts in place prior to the sale, for the purchase consideration of 15% of cash collected by the purchaser within one year

following the sale date.

Results of Operations

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Depreciation expense

Loss on disposal

Share based compensation

Selling, general and administrative

Total operating expenses

(Loss) income from continuing operations

Other income (expense)

Total operating expense

Income (loss) from continuing operations

Other (expense) income

Other expense

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Total other expense

Net (loss) income before discontinued operations

Loss from discontinued operations

Net (loss) income

Net loss before discontinued operations

Income (loss) from discontinued operations

$ (5,507,592 )

$ (3,302,999 )

For the years ended December

31, 2024 and 2023, all of our revenue was generated by our healthcare segment, which generates revenue through a full range of diagnostic

31, 2025 and 2024, all our revenue was generated by our healthcare segment, which generates revenue through a full range of diagnostic

and surgical services.

Our total revenue decreased by $3,583,140, or 30.23%, to $8,270,126 for the year ended December 31, 2024 from $11,853,266

Our total revenue increased by $3,265,451, or 39.48%, to $11,535,577 for the year ended December 31, 2025 from

$8,270,126 for the year ended December 31, 2024.

The decrease in revenue is mainly attributable to the following factors:

Our mix of services provided during the year ended December 31, 2024 with lower settlement realization rates from surgical procedures performed and an increase in the lower revenue generating pain management treatments being performed for approximately the same number of patient visits in 2024 as compared to 2023.

During 2024, the state of Florida experienced one of the most active and destructive hurricane seasons, which negatively impacted our revenue.

The harsh weather caused several of our facilities to shut down for periods of time due to storm damage as well as patients not being able to attend their appointments.

All of our facilities have reopened.

Prior to fiscal year 2024, we historically realized a 49% settlement rate from total gross billed charges.

Accordingly, we had historically recognized net healthcare service revenue as 49% of gross billed amounts.

During the first nine months of 2024, we underwent efforts to accelerate cash settlement of our accounts receivable to generate cash flow for operations.

We did this by shortening our settlement negotiations timespan with attorneys’ insurance companies and accepting lower settlement amounts.

We began to see improvements in settlement rates during the fourth quarter of 2024 as we begin to transition away from this initiative.

Additionally, during the third quarter of 2024, we completed a thorough review of our third-party billing data, including reviewing historical reports and new reporting methods as a part of our updated analysis.

Based upon this review, it was determined that a 24-month lookback period should be used in the analysis of our historical settlement realization rates.

As a result of the new efforts to accelerate cash settlement during the year ended December 31, 2024, we realized a 44% average settlement rate of our gross billed charges during this time frame, which were historically recorded in accounts receivable and revenue at 49% of gross billings.

Excluding the cumulative catch up reduction to revenue of $1,005,764 and the one-time

change in accounting estimate of $1,650,474 (both discussed below), revenue increased by $609,213, or 5.58%.

The increase in revenue is

driven by an increase in both patient office visits and a shift to more complex higher-value surgical procedures performed on patients

year over year.

For the year ended December 31, 2025, these office visits and surgical procedures were provided to approximately 270 -

375 patients per month on average at eleven facilities, an increase over the year ended December 31, 2024, where we provided services

to approximately 250 – 325 patients per month on average at twelve facilities.

For the year ended December 31, 2024, we realized

a 44% average settlement rate of our gross billed charges during this time frame, which were historically recorded in accounts receivable

and revenue at 49% of gross billings.

Accordingly, we recorded reductions to net revenue of $1,005,764 for the year ended December 31,

Additionally, with the reduction in our estimate of our settlement realization rate from 49% to 44%, a $1,650,474 change in accounting estimate was taken during the third quarter of 2024 in our accounts receivable and revenue.

Additionally, with the reduction in our estimate of our settlement realization rate from 49% to 44%, a $1,650,474 change in accounting

estimate was taken during the third quarter of 2024 in our accounts receivable and revenue.

For the year ended December 31, 2025, we realized

a 41% average settlement rate.

Cost of sales .

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of sales increased by $487,702, or 12.70%, to $4,329,330 for the year ended December 31, 2025 from $3,841,628 for the year ended December

Such increase was primarily due to an increase in overall increases in healthcare costs and specifically costs related to surgical

procedures performed due to technology advancements, inflation, and materials and wage increases.

As a percentage of revenue, cost of sales decreased from 46.45% for the year ended December 31, 2024 to 37.53% for the year

ended December 31, 2025.

Excluding the reductions to revenue of $1,650,474 and $1,005,764 noted above, as a percentage of revenue, cost

of sales increased from 35.16% for the year ended December 31, 2024 to 37.53% for the year ended December 31, 2025.

The increase is attributable

to an increase in revenue as noted above, offset by a corresponding increase in laboratory fees and personnel-related fees.

Gross profit .

As a result of the

foregoing, our total gross profit decreased by $3,864,144, or 46.60%, to $4,428,498 for the year ended December 31, 2024 from $8,292,642

foregoing, our total gross profit increased by $2,777,749, or 62.72%, to $7,206,247 for the year ended December 31, 2025 from $4,428,498

for the year ended December 31, 2024.

Our total gross margin (percent of revenue) decreased from 69.96% for the year ended December 31,

Our total gross margin (percent of revenue) increased from 53.55% for the year ended December 31,

2024 to 62.47% for the year ended December 31, 2025.

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ended December 31, 2024.

The decrease in depreciation expense was due to certain assets becoming fully depreciated during the year ended

December 31, 2023.

The decrease is related to the loss on disposal of fixed assets described below and the related reduction of

depreciation expense.

Loss on disposal of fixed assets .

For the year ended December 31, 2025, we recognized a loss on disposal of fixed assets of $12,593, which resulted from the identification

of certain medical equipment that was no longer functional in our medical facilities.

Share based compensation .

based compensation expense was $544,725, or 6.59% of revenue, for the year ended December 31, 2024, as compared to $0, for the year ended

December 31, 2023.

Share based compensation expense in 2024 consisted of expense related to the issuance of common stock to our board

of directors, officers and employees as well as our investor relations firm for services provided.

based compensation expense was $754,475, or 6.54% of revenue, for the year ended December 31, 2025, as compared to $544,725, or 6.59%

of revenue, for the year ended December 31, 2024.

Share based compensation expense in 2025 and 2024 consisted of expense related to the

issuance of common stock to our board of directors, officers and employees, our investor relations firm and other consultants for services

Selling, general and administrative expenses .

Our selling, general and administrative expenses consist primarily of accounting, auditing, legal and public reporting expenses, personnel

expenses, including employee salaries and bonuses plus related payroll taxes, advertising expenses, professional advisor fees, bad debts,

rent expense, insurance and other expenses incurred in connection with general operations.

Our selling, general and administrative expenses

increased by $986,996, or 32.08%, to $4,063,816 for the year ended December 31, 2024 from $3,076,820 for the year ended December 31, 2023.

expenses, including employee salaries and bonuses plus related payroll taxes, advertising expenses, professional advisor fees, credit

losses, rent expense, insurance and other expenses incurred in connection with general operations.

Our selling, general and administrative

expenses increased by $1,269,125, or 31.23%, to $5,332,941 for the year ended December 31, 2025 from $4,063,816 for the year ended December

As a percentage of revenue, our selling, general and administrative expenses were 46.23% and 49.14% for the years ended December

31, 2025 and 2024, respectively.

Increases were primarily attributable to increases in salaries and wages of $714,799, bad debt expense of $133,719,

legal fees of $105,152, public company, filing and investor relations fees of $106,820, and rent expense of 130,331.

These increases were

offset by a decrease in accounting fees of $192,900.

Increases were primarily attributable to increases of $1,017,749 in salaries, related bonuses, payroll

taxes and payroll fees while headcount remained the same during each period, as well as an increase of $166,138 in professional fees during

the year ended December 31, 2025.

Total other expense .

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December 31, 2024.

Other expense, net, for the year ended December 31, 2024 consisted of interest expense of $3,045,504, amortization

of note payable discounts of $24,821, financing penalties and fees of $1,330 and other expense of $5,362, offset by a gain on debt refinance

and forgiveness of $78,834.

Other expense, net, for the year ended December 31, 2023 consisted of interest expense of $1,956,266, amortization

of debt discounts of $136,518, financing penalties and fees of $53,000 and other expense of $49,795, offset by a gain on debt refinance

and forgiveness of $115,448.

The 55.68% increase in interest expense was primarily attributable to interest associated with the line of

credit described below.

Other expense, net, for the year ended December 31, 2025 consisted of interest expense of $6,822,816, financing penalties

and fees of $1,500 and other expense of $22,147.

Other expense, net, for the year ended December 31, 2024 consisted of interest expense

of $3,045,504, amortization of note payable discounts of $24,821, financing penalties and fees of $1,330 and other expense of $5,362,

offset by a gain on debt refinance and forgiveness of $78,834.

The 124.03% increase in interest expense was primarily attributable to

interest associated with the line of credit described below.

Discontinued operations .

the year ended December 31, 2024, we recorded a loss from discontinued operations of $111,312, as compared to $86,520 for the year ended

December 31, 2023.

Net income (loss) .

As a result of

the cumulative effect of the factors described above, our net loss was $3,302,999 for the year ended December 31, 2024, as compared to

a net income of $3,028,394 for the year ended December 31, 2023, a net decrease of $6,331,393, or 209.07%.

the year ended December 31, 2025, we recorded a gain from discontinued operations of $238,285 and for the year ended December 31, 2024,

we recorded a loss from discontinued operations of $111,312.

The income from discontinued operations for the year ended December 31, 2025

is due to the final resolution and disposition of remaining claims in connection with Platinum Tax, which were reported as net liabilities

from discontinued operations on the consolidated balance sheet as of December 31, 2024.

The $111,312 loss from discontinued operations

for the year ended December 31, 2024 is a part of the execution of a settlement reached in July 2022 with six previous owners of Red Rock,

an entity that was discontinued in May 2019.

As a result of the cumulative

effect of the factors described above, our net loss was $5,507,592 for the year ended December 31, 2025, as compared to a net loss of

$3,302,999 for the year ended December 31, 2024, a net increase of $2,204,593, or 66.75%.

Liquidity and Capital Resources

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had $318,535 in cash .

To date, we have financed our operations primarily through revenue generated from operations, sales of

securities, advances from stockholders and third-parties and related party debt.

To date, we have financed our operations primarily through revenue generated from operations, proceeds from

issuance of securities, advances from stockholders and third-parties and related party debt.

We believe, based on our operating plan, that

46 unchanged sentences

Cash at end of year

Operating Activities

Our net cash used in operating activities from

continuing operations was $2,853,274 for the year ended December 31, 2025, as compared to $2,765,797 for the year ended December 31, 2024.

The primary drivers of our net cash used in operating activities for year ended December 31, 2024 are our net loss of $3,302,999, increase

of $4,545,068 in accounts receivable, and a decrease of $699,560 in accounts payable and other accrued expenses, offset by a change in

estimate adjustment for the change in realization rate of $1,650,474, share based compensation of $544,725 and bad debt expense of $266,000.

For the year ended December 31, 2023, our net income of $3,028,394, an increase in accrued officers’ compensation of $982,500, an

increase in accrued interest of $486,165, and an increase in accounts payable and accrued expense of $341,261, offset by an increase in

account receivable of $6,833,615 were the primary drivers of our net cash used in operations.

We monitor outstanding cases as they develop through

ongoing discussions with attorneys, doctors and our third-party medical billing company and additionally monitor our settlement realization

rates over time.

We have two primary methods of accelerating our cash settlement of our revenue and related accounts receivable.

is through factoring our receivables, which was done in 2023, but ended prior to April 2023.

The second method is through accepting lower

settlement amounts during the final negotiations of the settlement, which is coordinated through our third-party medical billing company.

When our third-party medical billing company is provided with a settlement amount of 49% of gross charges or greater they will accept.

When presented with a lower amount we will discuss the reasons for the reduced rate and negotiate a higher rate.

Shortening our negotiation

timeframe will typically result in a lower settlement realization rate, but will accelerate the cash settlement of the outstanding accounts

We began employing this second method in 2024, which reduced our settlement realization rate as described below.

We have employed

both methods from time to time to accelerate our cash settlement and may employ one or both in the future.

Prior to April 2023, we factored (sold) the vast

majority of our accounts receivable to third party(s) to generate working capital to fund ongoing business operations and growth.

the year ended December 31, 2023, we factored a total of $544,196 of our accounts receivable in exchange for cash of $253,750.

factoring of accounts receivable in the first quarter of 2023.

The most recent average realization time for accounts receivable was approximately

18 to 24 months from the initial date of service.

Typically, a patient will have a series of dates of service over an average of 12 to

The primary drivers of our net cash used in operating activities for year ended December 31, 2025 are our net loss of $5,507,592, an increase

of $6,399,392 in accounts receivable, an increase in officers’ compensation of $512,769, an increase of $459,766 in accounts payable

and other accrued expenses, an increase in accrued interest of $367,745 and a $238,285 gain on final resolution and dismissal of remaining

liabilities and legal claim of the discontinued operations.

These increases were offset by $6,421,521 in interest expense from the line

of credit, $754,475 in share based compensation expense, $593,450 in bonus expense and $262,928 in credit losses.

The primary drivers

of our net cash used in operating activities for year ended December 31, 2024 are our net loss of $3,302,999, increase of $4,545,068 in

accounts receivable, and a decrease of $699,559 in accounts payable and other accrued expenses, offset by interest included in the line

of credit of $3,092,350, a change in estimate adjustment for the change in realization rate of $1,650,474, share based compensation of

$544,725 and credit losses of $266,000.

We monitor outstanding patient cases as they develop

through ongoing discussions with attorneys, doctors and our third-party medical billing company and additionally monitor our settlement

realization rates over time.

We currently have one primary method of accelerating our cash settlement of our revenue and related accounts

receivable through accepting lower settlement amounts during the final negotiations of the settlement, which is coordinated through our

third-party medical billing company.

When our third-party medical billing company is provided with a settlement amount of 49% of gross

charges or greater they will accept.

When presented with a lower amount we will discuss the reasons for the reduced rate and negotiate

a higher rate.

Shortening our negotiation time frame will typically result in a lower settlement realization rate, but will accelerate

the cash settlement of the outstanding accounts receivable.

We began employing this method in 2024, which reduced our settlement realization

rate as described below.

We may employ this method in the future.

The most recent average realization time for accounts receivable was

approximately 12 to 24 months from the initial date of service.

Typically, a patient will have a series of dates of service over an average

of 12 to 16 months.

Prior to fiscal year 2024, we historically realized

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to generate cash flow for operations.

We did this by shortening our settlement negotiations with insurance companies and accepting lower

settlement amounts.

Additionally, during the third quarter of 2024, we completed a thorough review of our third-party billing data, including

reviewing historical reports and new reporting methods as a part of our updated analysis.

Based upon this review it was determined that

a 24-month lookback period should be used in the analysis of our historical settlement realization rates.

As a result of the new efforts

to accelerate cash settlement during the year ended December 31, 2024, we realized a 44% average settlement rate of our gross billed charges

during this time frame, which were historically recorded in accounts receivable and revenue at 49% of gross billings.

Accordingly, we

recorded reductions to net revenue of $1,005,764 for the year ended December 31, 2024.

Additionally, with the reduction in our estimate

of our settlement realization rate from 49% to 44%, a $1,650,474 change in accounting estimate was taken during the third quarter of 2024

in our accounts receivable and revenue.

We did this by shortening settlement negotiations with insurance companies and accepting lower settlement

Additionally, during 2024, we completed a thorough review of our third-party billing data, including reviewing historical reports

and new reporting methods as a part of the updated analysis.

Based upon this review, it was determined that a lookback period should be

used in the analysis of our historical settlement realization rates.

As a result of the new efforts to accelerate cash settlement, and

establishing a periodic lookback analysis, during the year ended December 31, 2024, we realized a 44% average settlement rate of our gross

billed charges during this time frame, which were historically recorded in revenue at 49% of gross billings.

We continue to periodically

evaluate this estimated settlement realization rate in accordance with ASC 606.

This includes a monthly review of our historical data

and settlement realization rates, along with estimates of current and pending settlements through ongoing discussions with attorneys,

doctors and third-party medical billing company in order to determine the variable consideration under ASC 606 and the net transaction

During 2025, we continued expanding the historical lookback period to 36 months based on the ongoing expanding data history and

the timeframe in which collections have recently been occurring.

We update the settlement realization rate estimate used in determining

revenue periodically based on these reviews.

As of December 31, 2025, the settlement realization rate at which revenue is recorded was

Investing Activities

We had no investing activities for the years ended

December 31, 2025 and 2024.

Financing Activities

Our net cash provided by financing activities

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Net cash provided

by financing activities for the year ended December 31, 2024 consisted of net proceeds from the line of credit of $6,525,892, offset by

$125,000 paid on a note payable, the payment of $120,997 to a director, $105,079 paid on convertible notes payable, $100,000 in dividend

payments and $6,739 in payments on the Small Business Administration loan described below.

Net cash provided by financing activities for

the year ended December 31, 2023 consisted of net proceeds from the line of credit of $2,125,145 and proceeds from convertible notes payable

of $421,375, offset by repayment of convertible notes payable of $175,000 and repayments to directors and officers of $2,195.

by financing activities for the year ended December 31, 2025 consisted of net proceeds from the line of credit of $2,142,396 and net proceeds

from convertible notes payable of $200,000, offset by $300,000 paid on a note payable, $50,000 in dividend payments and $8,772 in payments

on the Small Business Administration loan described below.

Net cash provided by financing activities for the year ended December 31, 2024

consisted of net proceeds from the line of credit of $3,433,542, offset by $125,000 paid on a note payable, the payment of $120,997 to

a director, $105,079 paid on convertible notes payable, $100,000 in dividend payments and $6,739 in payments on the Small Business Administration

loan described below.

Convertible Notes

As of December 31, 2024, we had convertible debt

outstanding net of amortized debt discount of $105,000.

During the year ended December 31, 2024, we made $105,080 in principal payments

and paid the total outstanding accrued interest on these notes in the amount of $22,781.

We also paid $100,000 of accrued interest to

a convertible noteholder.

Also, during the year ended December 31, 2024, we converted $680 in accrued interest and $1,000 in conversion

cost into 1,222 shares of common stock.

We recognized $1,679 of additional paid-in capital to adjust fair value for the debt settlement

of December 31, 2025, we had convertible debt outstanding net of amortized debt discount of $118,295.

During the year ended December 31,

On June 11, 2024, we entered into a settlement

agreement and release of claims with the holder certain notes.

Pursuant to the settlement agreement and release of claims, the holder

agreed to cancel such notes in exchange for the fixed amount settlement promissory note in the principal amount of $535,000 described

Additionally, during the year ended December 31, 2024, we exchanged certain notes for the issuance of 938,908 shares of series

Y senior convertible preferred stock to the noteholder.

On January 24, 2017, we issued a convertible

promissory note in the principal amount of $80,000 for services rendered, which matured on January 24, 2018.

This note is currently in

default and accrues interest at a default interest rate of 20% per annum.

On March 30, 2023, we executed an additional tranche under this

note in the principal amount of $25,000.

This note is currently in default and accrues interest at a default interest rate of 20% per

On August 11, 2023, we executed an additional tranche under this note in the principal amount of $25,000.

This note accrues interest

at a rate of 15% per annum.

2025, we received $200,000 in proceeds from convertible notes and no interest was repaid, we converted $154,049 in principal and accrued

interest and $1,500 in conversion cost into 64,165 shares of common stock and recognized $145,871 of additional paid-in capital to adjust

the fair value for the debt settlement during the year ended December 31, 2025.

discounts associated with the convertible debt at December 31, 2025 were $131,705.

On January 24, 2017, we issued a convertible promissory

note in the principal amount of $80,000 for services rendered, the remaining balance of which was converted into common stock on August

On March 30, 2023, we executed an additional tranche under this note in the principal amount of $25,000.

This note is currently

in default and accrues interest at a default interest rate of 20% per annum.

On August 11, 2023, we executed an additional tranche under

this note in the principal amount of $25,000.

This note accrues interest at a rate of 15% per annum.

As of December 31, 2025, the outstanding

balance of these notes is $50,000 and they have accrued interest of $23,370.

In December 2025, we entered into loan agreements

with two accredited investors, pursuant to which we issued to such investors (i) convertible promissory notes in the aggregate principal

amount of $200,000, (ii) warrants for the purchase of an aggregate of 66,667 shares of common stock and (iii) 6,667 shares of common stock

for total gross and net proceeds of $200,000.

We concluded that the notes, warrants and common shares represent freestanding financial

instruments issued as a single financing unit and, accordingly, allocated the total transaction proceeds to each instrument based on their

relative fair values.

The aggregate amount allocated to the warrants and common shares was recorded as a debt discount and is being amortized

to interest expense over the contractual term of the notes.

These convertible promissory notes accrue interest at a rate of twelve percent

(12%) per annum, payable in shares of common stock, cash or a combination thereof at our option quarterly commencing on April 1, 2026,

with all principal and accrued interest being due and payable one (1) year after issuance.

We may prepay the principal and accrued interest

at any time without penalty upon fifteen (15) days’ notice.

These convertible promissory notes are unsecured and contain customary

events of default for a loan of this type.

These convertible promissory notes are convertible into shares of common stock at a conversion

price of $3.00 (subject to standard adjustments in the event of any stock splits, stock combinations, dividends paid in common stock,

stock reclassifications or similar transactions).

As of December 31, 2025, the outstanding balance of these notes is $200,000 and they

have accrued interest of $499.

All of the December 2025 warrants may be exercised

for a period of three years at an exercise price of $9.00 (subject to standard adjustments in the event of any stock splits, stock combinations,

dividends paid in common stock, stock reclassifications, mergers, consolidations, reorganizations or similar transactions) and may be

exercised on a cashless basis if there is no effective registration statement covering the shares of common stock issuable upon the exercise

of the warrants.

All of the December 2025 convertible promissory

notes and warrants contain ownership limitations, which provide that we shall not effect any conversion or exercise, and a holder shall

not have the right to convert or exercise any portion of a note or a warrant, to the extent that after giving effect to the issuance of

common stock upon such conversion or exercise, such holder, together with its affiliates, would beneficially own in excess of 4.99% of

the number of shares of common stock outstanding immediately after giving effect to the issuance of common stock upon such conversion

This limitation may be waived, up to a maximum of 9.99%, by a holder upon not less than sixty-one (61) days’ prior

notice to us.

Promissory Note – Settlement Agreement

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On September 29, 2023, our company and Nova entered

into a two-year revolving purchase and security agreement with DML HC Series, LLC, or DML, to sell, with recourse, Nova’s accounts

receivables for a revolving financing up to a maximum advance amount of $4.5 million.

A review is performed on a quarterly basis to assess

the adequacy of the maximum amount.

into a two-year revolving purchase and security agreement with DML HC Series, LLC, or DML, which was automatically renewed for a term

of one year on September 29, 2025, to sell, with recourse, Nova’s accounts receivables for a revolving financing up to a maximum

advance amount of $4.5 million.

Effective October 22, 2025, we entered into amendment No.

5 with DML, which extends the term of the revolving

purchase and security agreement through September 28, 2028.

A review is performed on a quarterly basis to assess the adequacy of the maximum

If mutually agreed upon by us and DML, the maximum amount may be increased.

On April 24, 2024, we

entered into amendment No.

1 with DML which increased the maximum advance amount to $8,000,000 and defined the discount fee equal to 2.25%

per purchase and claims balance forward on new purchases with a minimum fee to now be $10,000.

On June 11, 2024, we entered into amendment

2 with DML which further increased the maximum advance amount to $11,000,000.

On December 27, 2024, we and Nova entered into amendment

3 with DML which further increased the maximum advance amount to $15,000,000.

As of December 31, 2024, we had an outstanding balance

$8,645,991 against the revolving receivable line of credit and accrued interest of $315,031.

The unused line of credit balance as of December

31, 2024 was $6,354,009.

The revolving purchase and security agreement includes discounts recorded as interest expense on each funding

and matures on September 29, 2025.

On April 24, 2024, we entered into amendment No.

with DML which increased the maximum advance amount to $8,000,000 and defined the discount fee equal to 2.25% per purchase and claims

balance forward on new purchases with a minimum fee to now be $10,000.

On June 11, 2024, we entered into amendment No.

2 with DML which

further increased the maximum advance amount to $11,000,000.

On December 27, 2024, we and Nova entered into amendment No.

3 with DML which

further increased the maximum advance amount to $15,000,000.

On October 1, 2025, we and Nova entered into amendment No.

4 with DML which

further increased the maximum advance amount to $23,000,000.

As of December 31, 2025, we had an outstanding balance $17,209,908 against

the revolving receivable line of credit and accrued interest of $673,267.

The unused line of credit balance as of December 31, 2025 was

The revolving purchase and security agreement includes discounts recorded as interest expense on each funding and matures

on September 28, 2028.

Related Party Loans

On December 21, 2025, in connection with bonuses

earned by certain employees, we issued promissory notes in the aggregate principal amount of $1,085,703 (representing bonuses earned of

$593,450 and $492,253 for the years ended December 31, 2025 and 2024, respectively), in lieu of cash payment, including a promissory note

in the principal amount of $460,000 to Alex Cunningham, our Chairman and Chief Executive Officer, a promissory note in the principal amount

of $122,550 to Matthew T.

Shafer, our Chief Financial Officer, and a promissory note in the principal amount of $460,000 to Daniel Thompson,

our Chairman at such time.

These notes bear interest of 5% per annum and mature on June 30, 2026.

The bonus expense was recognized in

the period earned, and the issuance of the notes was accounted for as a non-cash financing activity.

In connection with the acquisition of Edge View

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policies for our consolidated company.

The preparation of financial statements in conformity with United States generally accepted accounting

principles, or GAAP, requires our management to make assumptions, estimates and judgments that affect the amounts reported, including

the notes thereto, and related disclosures of commitments and contingencies, if any.

We have identified certain accounting policies that

are significant to the preparation of our financial statements.

These accounting policies are important for an understanding of our financial

condition and results of operation.

Critical accounting policies are those that are most important to the portrayal of our financial condition

and results of operations and require management’s difficult, subjective, or complex judgment, often as a result of the need to

make estimates about the effect of matters that are inherently uncertain and may change in subsequent periods.

Certain accounting estimates

are particularly sensitive because of their significance to financial statements and because of the possibility that future events affecting

the estimate may differ significantly from management’s current judgments.

We believe the following critical accounting policies

involve the most significant estimates and judgments used in the preparation of our financial statements:

The preparation of financial statements in conformity with GAAP requires our management to make

assumptions, estimates and judgments that affect the amounts reported, including the notes thereto, and related disclosures of commitments

and contingencies, if any.

We have identified certain accounting policies that are significant to the preparation of our financial statements.

These accounting policies are important for an understanding of our financial condition and results of operation.

Critical accounting

policies are those that are most important to the portrayal of our financial condition and results of operations and require management’s

difficult, subjective, or complex judgment, often as a result of the need to make estimates about the effect of matters that are inherently

uncertain and may change in subsequent periods.

Certain accounting estimates are particularly sensitive because of their significance

to financial statements and because of the possibility that future events affecting the estimate may differ significantly from management’s

current judgments.

We believe the following critical accounting policies involve the most significant estimates and judgments used in

the preparation of our financial statements:

Revenue Recognition .

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identification of a contract with a customer;

identification of the performance obligations in the contact;

identification of the performance obligations in the contract;

determination of the transaction price;

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and the transaction price is in the contract.

In determining net revenue to record under ASC

606, we must estimate the transaction price, including estimates of variable consideration in the contract at inception.

In order to estimate

variable consideration, we use established billings rates (also described as “gross charges”) for the procedures being performed,

however, the billing rates are not the same as actual amounts recovered for our healthcare subsidiary.

They generally do not reflect

what we are ultimately paid by the customer, insurance carriers and other payors, and therefore are not reported in the consolidated financial

statements at that rate.

We are typically paid amounts based on established charges per procedure with guidance from the annually updated

Current Procedural Terminology, or CPT, guidelines that designates relative value units and a suggested range of charges for each procedure

which is then assigned a CPT code.

This gross charge is discounted to reflect the percentage paid to us using a modifier recognized by

each insurance carrier for services, less deductible, co-pay, and contractual adjustments which are deducted from the calculated fee.

These adjustments are considered variable consideration under ASC 606 and are deducted from the calculated fee to arrive at the net transaction

We also estimate changes in the contract price as a result of price concessions, changes to deductibles, co-pays and other contractual

adjustments to determine the eventual settlement amount we expect to receive.

We use the term settlement realization in our disclosures

to describe the amount of cash we expect to receive based on our estimate of the transaction price under the expected value method of

In determining net revenue to record under

ASC 606, we must estimate the transaction price, including estimates of variable consideration in the contract at inception.

order to estimate variable consideration, we use established billings rates (also described as “gross charges”) for the

procedures being performed, however, the billing rates are not the same as actual amounts recovered for our healthcare subsidiary.

They generally do not reflect what we are ultimately paid by the customer, insurance carriers and other payors, and therefore are

not reported in the consolidated financial statements at that rate.

We are typically paid amounts based on established charges per

procedure with guidance from the annually updated Current Procedural Terminology, or CPT, guidelines that designates relative value

units and a suggested range of charges for each procedure which is then assigned a CPT code.

This gross charge is discounted to

reflect the percentage paid to us using a modifier recognized by each insurance carrier for services, less deductible, co-pay, and

contractual adjustments which are deducted from the calculated fee.

These adjustments are considered variable consideration under

ASC 606 and are deducted from the calculated fee to arrive at the net transaction price.

We also estimate changes in the contract

price as a result of price concessions, changes to deductibles, co-pays and other contractual adjustments to determine the eventual

settlement amount we expect to receive.

We use the term settlement realization in our disclosures to describe the amount of cash we

expect to receive based on our estimate of the transaction price under the expected value method of ASC 606.

Where appropriate, we utilize the expected value

method to determine the appropriate amount for estimates of variable consideration, which has been based on a historical 12-month lookback

of our actual settlement realization rates.

The estimates of reserves established for variable consideration reflect current contractual

requirements, our historical experience, specific known market events and trends, industry data and forecasted patient data and settlement

Settlement realization patterns are assessed based on actual settlements and based on expected settlement realization trends

obtained from discussions with attorneys, doctors and our third-party medical billing company.

Settlement amounts are negotiated, and

prolonged settlement negotiations are not indicative of a greater likelihood of reduced settlement realization or zero settlement.

method to determine the appropriate amount for estimates of variable consideration, which has been based on a historical lookback of our

actual settlement realization rates.

The estimates of reserves established for variable consideration reflect current contractual requirements,

our historical experience, specific known market events and trends, industry data and forecasted patient data and settlement patterns.

Settlement realization patterns are assessed based on actual settlements and based on expected settlement realization trends obtained

from discussions with attorneys, doctors and our third-party medical billing company.

Settlement amounts are negotiated, and prolonged

settlement negotiations are not indicative of a greater likelihood of reduced settlement realization or zero settlement.

We may accept a lower settlement realization rate

53 unchanged sentences

to generate cash flow for operations.

We did this by shortening our settlement negotiations with insurance companies and accepting lower

settlement amounts.

Additionally, during the third quarter of 2024, we completed a thorough review of our third-party billing data, including

reviewing historical reports and new reporting methods as a part of our updated analysis.

Based upon this review, it was determined that

a 24-month lookback period should be used in the analysis of our historical settlement realization rates.

As a result of the new efforts

to accelerate cash settlement during the year ended December 31, 2024, we realized a 44% average settlement rate of our gross billed charges

during this time frame, which were historically recorded in accounts receivable and revenue at 49% of gross billings.

Accordingly, we

recorded reductions to net revenue of $1,005,764 for the year ended December 31, 2024.

Additionally, with the reduction in our estimate

of our settlement realization rate from 49% to 44%, a $1,650,474 change in accounting estimate was taken during the third quarter of 2024

in our accounts receivable and revenue.

We will continue to evaluate our estimate of our settlement realization rates in the future, which

will include a monthly review of our trailing 24-month historical settlement realization rate, along with estimates of current and pending

settlements through ongoing discussions with attorneys, doctors and our third-party medical billing company in order to determine its

variable consideration under ASC 606 and the net transaction price.

We will update our settlement realization rate estimate used in determining

our accounts receivable and revenue each quarter based on this review.