GIVBUX, INC. Annual Report - How They Did This Year

I’ve put together this guide to help you understand how GIVBUX, INC. performed. My goal is to turn complex filings into plain English so you can decide if this company fits your portfolio.

1. The Big Picture

GivBux is a financial technology company built around a "Super App." This digital wallet combines payments, social media, and charitable giving. They earn money by taking a portion of the marketing fees retailers pay when you use the app.

As of the last fiscal year, the company had over 20,000 downloads and a small group of active users. They are currently in a "survival" phase, working to prove their model—which gives 70% of marketing fees back to users—can sustain the high cost of acquiring new customers.

2. How They Make Money

The company earns revenue through retailer marketing fees and membership dues:

• The Revenue Split: For every dollar of marketing fees, the company keeps 30% for operations and development, while distributing 70% to users and affiliates to encourage app activity.
• Membership Fees: They generate recurring income through an associate membership program, which costs $149.95 to join, plus a $29.95 monthly fee.
• Funding Operations: The company is not yet profitable. To fund operations, they utilize "convertible notes," which are loans that lenders can trade for company stock. This process can lead to share dilution, which increases the total number of shares and can impact the value of existing holdings.

3. The Risks

GivBux operates in a highly competitive market against established giants like Apple Pay, PayPal, and Venmo.

• Market Competition: Larger competitors possess significant cash reserves, established brand recognition, and advanced technology. If these players introduce similar rewards-sharing features, it could impact GivBux’s ability to retain users.
• Expansion Challenges: The company is pursuing growth in banking, food delivery, and transportation. These sectors require significant capital, increasing the risk of cash shortages before the user base reaches a scale that supports profitability.
• Regulatory Compliance: As a financial provider, the company must adhere to strict anti-money laundering and identity verification laws. They currently limit daily transfers to $1,000 to manage these requirements, though the administrative costs of maintaining compliance remain a factor for the business.

4. Strategic Outlook

The company is shifting its strategy to focus on local merchants to reduce reliance on national brands and improve profit margins. They are currently developing "Super App 2.0," with a planned release in early 2026, aimed at increasing user engagement.

The Bottom Line: This is a high-risk, speculative investment. The company currently spends more on development and rewards than it earns, relying on external financing to remain operational. Before considering an investment, look for signs that the company is successfully growing its user base and moving toward a self-sustaining profit model that does not require frequent issuance of new shares.