CyberloQ: Product Focus but No Revenue, Heavy Convertible Debt and Going‑Concern Warning

Snapshot - CyberloQ Technologies, Inc. (OTCMKTS: CLOQ)

Plain view: product development is active (CyberloQ platform capitalization), but the company has no material revenue and is burning cash with heavy convertible debt and interest expense. Management warns there is substantial doubt about the company's ability to continue as a going concern.

Key facts & figures

* Cash (6/30/2025): $86,454 (down from $282,866 at 12/31/2024)

* Total assets (6/30/2025): $2,005,246

* Total liabilities (6/30/2025): $3,354,405

* Stockholders' equity (6/30/2025): $(1,349,159) - negative

* Accumulated deficit: $(9,216,018)

* Revenue (six months ended 6/30/2025): $0 (versus $15,000 in prior year period)

* Net loss: $(584,133) for six months ended 6/30/2025; $(243,102) loss for Q2 2025

* Operating expenses (six months): $430,262

* Interest expense (six months): $153,873; Accrued interest on balance sheet: $497,449

* Convertible debt - stockholders (principal): $2,540,000

* Potential convertible-debt shares outstanding (not included in weighted average because anti-dilutive): ~104.7 million (6/30/2025)

* Shares issued & outstanding: 131,962,254 (as of filing date)

* Cash flow: Net cash used in operations (six months): $(403,612); investing: $(319,442); financing provided: $526,642

* Product investment: capitalized CyberloQ platform costs $291,200 (six months); website $6,745; patents capitalized $21,497

Positive signals

* Continued product investment - CyberloQ platform capitalization increased to $1,836,621 (capitalized dev costs $291,200 YTD) and patents added ($21,497).

* Financing access - raised $216,001 from common stock sales and $303,141 of new convertible debt in the six-month period; net financing covered operating+investing cash outflows this period.

* Low headcount keeps fixed payroll costs constrained (company reports two full-time employees).

Material negatives and risks

* No recurring revenue: $0 for six months - commercial traction is limited and a prior services agreement (QRails) is no longer producing revenue.

* Heavy leverage and interest burden: $2.54M convertible debt plus $497,449 accrued interest; interest expense materially increased net loss.

* Dilution risk: many convertible notes convert at very low prices (examples in filings: $0.02, $0.05, $0.10) and convertible schedules show very large potential share issuance - major dilution risk to common holders.

* Negative equity and going-concern warning: accumulated deficit $9.2M and management states "substantial doubt" about going concern.

* Weak controls & small team: management discloses ineffective disclosure controls and insufficient segregation of duties.

* Related-party concentration: meaningful related-party notes and convertible debt tied to insiders/affiliates.

What's happening inside

* Management is prioritizing product development (platform, website, patents) while funding operations with equity and convertible debt.

* Operating losses continue; financing has so far plugged cash shortfalls but increases leverage and dilution risk.

* Internal control gaps and a tiny workforce limit scalability and increase execution risk until revenue picks up or capital structure is stabilized.

Near-term watchlist for investors

* Revenue milestones / customer onboarding (any reactivation of QRails or new contracts).

* Convertible debt maturities, conversion triggers and aggregate dilution if converted at reported low prices.

* Quarterly cash burn vs. financing - will management raise equity/debt again and on what terms?

* Any remediation of internal controls and hiring to support scaling and reporting accuracy.

Bottom line: CyberloQ (OTCMKTS: CLOQ) is investing in product development but has no meaningful revenue, negative equity, large convertible debt and a going-concern warning. The story is high-risk: potential upside only if the company can convert product development into paying contracts quickly or secure non-dilutive financing; otherwise dilution and continued losses are likely.