Management’s Discussion and Analysis of Financial Condition and Results of Operations

You should read the following discussion and analysis of our financial condition and results of operations together with our financial statements and the related notes and other financial information included elsewhere in this offering. Some of the information contained in this discussion and analysis, including information regarding the strategy and plans for our business, includes forward-looking statements that involve risks and uncertainties. You should review the "Risk Factors" section for a discussion of important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained in the following discussion and analysis.

Overview

UpLyft™ is the first known FDA-compliant Self Transfer System (“STS”) from bed to wheelchair for people with limited mobility. In 1 minute, a person can self-transfer him/herself with UpLyft™ from a flat (supine) position in bed into their wheelchair or vice versa. UpLyft™ replaces slings, body boards, and other inferior “lift to stand” mechanisms that require nursing assistance and physical force to transfer individuals with mobility challenges.
Our aim is for UpLyft to become the gold standard for “zero-lifting” patient transfer from bed to wheelchair.
Given the Company’s limited operating history, the Company cannot reliably estimate how much revenue it will receive in the future, if any.

Milestones

DME Innovations, Inc was incorporated in the State of California in February 2016.  Patents are held by DME Innovations, Inc.

Since then, we have:

• Founder is a triple-degree engineer from MIT with over 35 years of experience in the industry.
• UpLyft has 12 patents issued (3 U.S and 9 foreign) with 9 patents pending.
• 2 Channel Opportunity: At-Home Consumers + Hospitals/Institutions. $19.6B Total Available Market.
• UpLyft secured $100K investment as winner of the 2019 MyEO Angel Shark Competition in Denver, CO.
• By investing in UpLyft, you make a direct positive social impact to individuals in dire health need.

Historical Results of Operations

• Revenues & Gross Margin. For the period ended December 31, 2019, the Company had revenues of $0 compared to the year ended December 31, 2018, when the Company had revenues of $0.
• Assets. As of December 31, 2019, the Company had total assets of $76,900.70, including $957.28 in cash. As of December 31, 2018, the Company had $58,195.66 in total assets, including $908.20 in cash.
• Net Loss. The Company has had net losses of $13,293.67 and net losses of $147,204.74 for the fiscal years ended December 31, 2019 and December 31, 2018, respectively.
• Liabilities. The Company's liabilities totaled $262,166.87 for the fiscal year ended December 31, 2019 and $232,643.16 for the fiscal year ended December 31, 2018.

Related Party Transaction

Refer to Question 26 of this Form C for disclosure of all related party transactions.

Liquidity & Capital Resources

To-date, the company has been financed with $137,000 in debt, $200,000 in convertibles, and $90,000 in SAFEs.

After the conclusion of this Offering, should we hit our minimum funding target, our projected runway is 12 months before we need to raise further capital.

We plan to use the proceeds as set forth in this Form C under "Use of Funds". We don’t have any other sources of capital in the immediate future.

We will likely require additional financing in excess of the proceeds from the Offering in order to perform operations over the lifetime of the Company. We plan to raise capital in 6 months. Except as otherwise described in this Form C, we do not have additional sources of capital other than the proceeds from the offering. Because of the complexities and uncertainties in establishing a new business strategy, it is not possible to adequately project whether the proceeds of this offering will be sufficient to enable us to implement our strategy. This complexity and uncertainty will be increased if less than the maximum amount of securities offered in this offering is sold. The Company intends to raise additional capital in the future from investors. Although capital may be available for early-stage companies, there is no guarantee that the Company will receive any investments from investors.

Runway & Short/Mid Term Expenses

DME Innovations, Inc cash in hand is $54,000, as of June 2020. Over the last three months, revenues have averaged $0/month, cost of goods sold has averaged $0/month, and operational expenses have averaged $15,000/month, for an average burn rate of $15,000 per month. Our intent is to be profitable in 18 months.

We secured $100,000 via a convertible debt note in January 2020 and utilized $50,000 of this capital to build our digital marketing and e-commerce infrastructure and further advance our patent positions. 

If we secure $1M or more we anticipate being able to generate revenues of $119,900 in month 6. Our expenses would be ~$900,000 over this period of time (predominantly towards manufacturing).

We anticipate complimenting the crowdfunding capital raise with at least $250,000 of additional angel investments.  In order to make our first production run we likely need a minimum of $500K in hand for D&K to commence and most importantly - to begin conveying to customers a planned delivery date for initial orders. All in we will need $750K to complete it but likely will be able to secure supplemental angel money to get to $750K if we only raise $500K on We-Funder. Our goal is $1M so we can have extra capital to devote to marketing and sales.