855424--3/19/2007--HOME_SOLUTIONS_OF_AMERICA

related topics

{acquisition, growth, future}

{cost, contract, operation}

{personnel, key, retain}

{operation, natural, condition}

{control, financial, internal}

{regulation, government, change}

{product, market, service}

{customer, product, revenue}

{cost, regulation, environmental}

{stock, price, share}

{loss, insurance, financial}

A significant portion of our interior services business segment is dependent upon relationships with two customers. We intend to engage in acquisitions as part of our growth strategy, which will consume resources and may be unsuccessful or unprofitable. We expect that we will need to raise additional funds to pursue our growth strategy, and these funds may not be available when we need them We must effectively manage the growth of our operations, or our results of operations will suffer We face competition from numerous sources and competition may increase, leading to a decline in revenues. Our failure to comply with federal and state environmental laws and regulations could result in fines or injunctions, which could materially impair the operation of our business The failure to obtain and maintain required governmental licenses, permits and approvals could have a substantial adverse effect on our operations If the Company fails to maintain adequate insurance, our financial results could be negatively impacted. We are heavily dependent on our senior management, and a loss of a member of our senior management team could cause our stock price to suffer Our inability to hire, train and retain qualified employees could cause our financial condition to suffer. We have identified 18 material weaknesses in our internal control over financial reporting and cannot assure you that additional material weaknesses will not be identified in the future. If our internal control over financial reporting or disclosure controls and procedures are not effective, there may be errors in our financial statements that could require a restatement or our filings may not be timely and investors may lose confidence in our reported financial information, which could lead to a decline in our stock price. We may be unable to pay our debts when due, which could materially impact our profitability and our stock price SPECIFIC RISKS RELATED TO RESTORATION AND CONSTRUCTION SERVICES The need for restoration services is unpredictable and depends upon the nature and extent of weather-related emergencies. If we fail to win contracts that are ultimately reimbursable by insurers and federal, state and local governments, it may impede our ability to grow our restoration services segment. If insurance proceeds and federal funds are not available to our customers, then our revenues may decline, and the demand for our restoration and construction services may decline.

Full 10-K form ▸

855424--3/19/2007--HOME_SOLUTIONS_OF_AMERICA_INC