10-K: Global Acquisitions Corporation Reports Annual Results for Fiscal Year 2023, Continues Search for Business Opportunity

Global Acquisitions Corporation, a shell company, reported its annual results for the fiscal year ended December 31, 2023, highlighting a net loss and ongoing efforts to identify a suitable business acquisition.

Summary

• Global Acquisitions Corporation reported a net loss of $69,875 for the year ended December 31, 2023, compared to a net loss of $57,428 in 2022.
• The company's general and administrative expenses increased to $69,875 in 2023 from $57,428 in 2022, primarily due to a charge for filing escheatment of stock in 13 states and increased legal fees.
• The company has an accumulated deficit of $29,344,820 and a stockholder deficit of $610,250 as of December 31, 2023.
• The company's operations are nominal, and it is actively seeking a business opportunity for acquisition or merger.
• The company is dependent on related parties for funding and has limited financial resources.
• The company's management has concluded that its disclosure controls and procedures were not effective as of December 31, 2023, due to a lack of segregation of duties.

Sentiment

Score: 2

Explanation: The document paints a negative picture due to the company's ongoing losses, accumulated deficit, lack of operations, and dependence on related parties. The company's status as a shell company and its internal control deficiencies further contribute to the low sentiment.

Positives

• The company is actively seeking a business opportunity, which could lead to future growth.
• The company has no debt other than amounts due to related parties.

Negatives

• The company has incurred a net loss of $69,875 for the year ended December 31, 2023.
• The company has a significant accumulated deficit of $29,344,820.
• The company's disclosure controls and procedures are not effective due to a lack of segregation of duties.
• The company is dependent on related parties for funding.
• The company has nominal assets and operations.
• The company has no employees.

Risks

• The company's ability to continue as a going concern is in doubt due to recurring losses and a significant accumulated deficit.
• The company's limited financial resources and lack of diversification pose a substantial risk to shareholders.
• The company faces substantial competition in its efforts to locate attractive business opportunities.
• The company's management has limited experience with mergers and acquisitions.
• The company's reliance on related parties for funding creates a risk of dependence.
• The company's lack of effective disclosure controls and procedures could lead to inaccurate financial reporting.
• The company may not be able to identify and merge with or acquire any business opportunity which will ultimately prove to be beneficial to the Company and its shareholders.

Future Outlook

The company intends to seek, investigate, and potentially acquire a business opportunity, but there is no guarantee of success and the company may become dormant or be dissolved if no suitable opportunity is found.

Management Comments

• Management believes that companies who desire a public market to enhance liquidity for current stockholders, or plan to acquire additional assets through issuance of securities rather than for cash, will be potential merger or acquisition candidates.
• Management anticipates that we may be able to participate in only one potential business venture because we have nominal assets and limited financial resources.
• Management believes that its operations may not be sufficient to fund operating cash needs over at least the next 12 months.

Industry Context

The company operates in the context of shell companies and special purpose acquisition companies (SPACs), which are facing increased regulatory scrutiny and competition for attractive business opportunities.

Comparison to Industry Standards

• The company's financial performance is weak compared to industry standards, with a significant accumulated deficit and ongoing losses.
• The company's lack of operations and reliance on related party funding is not typical of established public companies.
• The company's status as a shell company and its search for a business opportunity is similar to other SPACs, but its limited resources and lack of diversification make it a higher risk investment.
• The company's internal control deficiencies are a concern and are not in line with best practices for public companies.

Management Changes

Related Party Transactions

• The company has received funding for operations from various stores owned by Ronald Boreta and John Boreta.
• The net amount due to these stores totaled $587,607 and $531,378 as of December 31, 2023 and 2022, respectively.

Stakeholder Impact

• Shareholders face a high risk of loss due to the company's financial condition and lack of operations.
• The company's dependence on related parties could impact its ability to operate independently.
• The company's lack of employees means there is no direct impact on employment.

Next Steps

• The company will continue to seek, investigate, and potentially acquire a business opportunity.
• The company may need to raise additional capital to fund its operations and any potential acquisition.

Key Dates

Keywords

acquisition, merger, shell company, net loss, financial results, business opportunity, related party, going concern, disclosure controls, OTC Markets