802257--9/28/2009--BRAIN_TREE_INTERNATIONAL

related topics

{stock, price, share}

{product, market, service}

{acquisition, growth, future}

{stock, price, operating}

{interest, director, officer}

{product, liability, claim}

{product, candidate, development}

{regulation, change, law}

{cost, operation, labor}

{property, intellectual, protect}

{personnel, key, retain}

{loan, real, estate}

{regulation, government, change}

Risk Factors Related to Our Business Our auditors have expressed a going concern opinion. We have a limited operating history and have not recorded revenues or profits since inception. Continuing losses may exhaust capital resources and force us to discontinue operations. The success of future operations depends on our ability to develop our technology and generate revenues from the commercialization of products developed from this technology, which may be subject to many factors. If the technology we are developing is not ultimately accepted by the market, we will not realize anticipated revenues. We have not made an independent market analysis for the products and services that we will market and there can be no assurance that our business will be successful. Because we are preparing to market a new technology and we are significantly smaller than the majority of our competitors, we may lack the financial resources required to capture a significant market share Future operating results are difficult to predict. Possible government regulations concerning our technology-based products may negatively impact our business. Our limited ability to protect our intellectual property may prevent us from attaining and retaining a competitive advantage Intellectual property claims against us can be costly and restrict our business We do not carry liability insurance and any action or suit against our company could result in substantial expense and loss. Our future success depends on retaining existing key employees and hiring and assimilating new key employees. Management will devote only minimal time to the company. We may not be able to manage any future growth effectively, which could adversely affect our operations and financial performance. If we are unable to raise additional capital in the future, we may not be able to achieve our desired operating objectives and our business could fail. As a reporting company under the Securities Exchange Act of 1934, our cost of doing business will increase significantly because of necessary expenses, including compliance with SEC reporting requirements. Risks Relating to Ownership of Our Common Stock There is not currently an active public trading market for our common stock. Trading of our shares in the public market is most likely to be volatile and subject to numerous factors. Effective voting control of our company is held by directors and certain principal stockholders. We do not expect to pay dividends in the foreseeable future, which could make our stock less attractive to potential investors. Trading in our shares is most likely subject to certain penny stock( regulation, which could have a negative effect on the price of our shares in the public market. Future sales or the potential for sale of a substantial number of shares of our common stock could cause our market value to decline.

Full 10-K form ▸

802257--9/28/2009--BRAIN_TREE_INTERNATIONAL_INC