WRAP TECHNOLOGIES, INC. 10-Q

Item 1A. Risk Factors   Except as set forth below, management is not aware of any material changes to the risk factors discussed in Part 1, Item 1A, of the Annual Report on Form 10-K for the year ended December 31, 2020.   In addition to the following risk factors and other information set forth in this Quarterly Report on Form 10-Q, you should carefully consider the risk factors discussed in Part 1, Item 1A, of the Annual Report on Form 10-K for the year ended December 31, 2020 and subsequent reports filed pursuant to the Exchange Act which could materially and adversely affect the Company ’ s business, financial condition, results of operations, and stock price. The risks described in the Annual Report on Form 10-K and subsequent reports filed pursuant to the Exchange Act are not the only risks facing the Company. Additional risks and uncertainties not presently known to management, or that management presently believes not to be material, may also result in material and adverse effects on our business, financial condition, and results of operations.   We may experience difficulties in integrating and transitioning from the BolaWrap 100 to the BolaWrap 150.   The success of the Company's new product, the BolaWrap 150, depends on a number of factors including, but not limited to, timely and successful product development, market acceptance, the Company’s ability to manage the risks associated with new product production ramp-up issues, the effective management of purchase commitments and inventory levels in line with anticipated product demand, the availability of products in appropriate quantities and costs to meet anticipated demand, and the risk that new products may have quality or other defects or deficiencies in the early stages of introduction.   The continued spread of COVID-19 and uncertain market conditions may adversely affect our business, financial condition and results of operations .   The Company’s business, operating results and financial condition could continue to be adversely affected due to the COVID-19 pandemic. The extent to which the COVID-19 continues to impact our operations or those of our third-party partners will depend on future developments, which are highly uncertain and cannot be predicted with confidence at this time, including the duration of the outbreak, new information that may emerge concerning the severity of COVID-19 and the actions to contain COVID-19 or treat its impact, among others. Any losses or damages we incur could have a material adverse effect on our financial results and our ability to conduct business as expected.    -30- Table of Contents     Item 2. Unregistered Sales of Equity Securities and Use of Proceeds   No unregistered securities were issued during the three months ended September 30, 2021 that were not previously reported.   Item 3. Defaults Upon Senior Securities   None.   Item 4. Mine Safety Disclosures   Not Applicable.