Data443 Risk Mitigation, Inc. SEC Filings

Data443 Risk Mitigation, Inc. entered a Financial Service Agreement with Margaret Z. Holdings Limited, which will act as financial advisor for an 18-month term in connection with a proposed de-SPAC business combination with Four Leaf Acquisition Corporation. Compensation includes a success-fee promissory note of $1,000,000 payable within 90 days after the Date of Deal Close, an equity success fee of 1,200,000 PubCo shares at closing, and a retention cash bonus equal to 25% of the trust amount retained, payable in three installments at months 3, 6, and 9 if specified listing, revenue, and cash conditions are met.

The advisor will also receive 1,500,000 FORL shares as nominee for CEO Jason Remillard, with sale proceeds remitted to him, and 30,000,000 company common shares will be allocated to Margaret from his holdings. PubCo is to issue Mr. Remillard 3,000,000 Class B Preferred Shares with 15 votes per share, a 10:1 conversion into Class A common stock, no dividends, transfer restrictions, and automatic cancellation after 36 months, subject to approvals. Upon deal close, the company will have a direct obligation under the $1,000,000 Note, which carries no interest if timely repaid but bears 15% per annum upon default and may be converted at a discount to the 20-trading-day VWAP, subject to a 19.99% ownership cap.

Data443 Risk Mitigation, Inc. entered into a Compensation Agreement with Guangzhou Xiaoyu DiDa Technology Co., Ltd. on July 16, 2026. This arrangement relates to the termination of XYDD’s earlier business combination agreement with Four Leaf Acquisition Corporation so that Four Leaf can pursue a proposed combination with Data443.

Under the agreement, Data443 will issue XYDD a $2,000,000 promissory note, payable in two $1,000,000 installments within 90 and 120 days after the “Date of Deal Close,” with no interest if paid on time and 15% simple interest on overdue amounts. If any balance remains 12 months after the Date of Deal Close, XYDD may convert it into PubCo ordinary shares at 80% of the 20‑day VWAP, subject to a floor of 50% of the 20‑day VWAP and a cap of 19.99% of PubCo shares outstanding at that date. In addition, 1,800,000 PubCo shares will be allocated to S.SHUN Holdings Limited for prior finder services.

Data443 Risk Mitigation, Inc. reported a larger net loss for the three months ended March 31, 2026 as liquidity pressures intensified. Revenue was $1,017,380, down from $1,166,589, and gross profit fell to $166,529, a margin of 16% versus 68% a year earlier.

Net loss widened to $1,013,506 from $676,664, driven by sharply higher cost of revenue and interest expense of $477,103. Cash declined to $40,812 against current liabilities of $18,842,890, producing a working capital deficit of $18,153,383 and prompting a going concern warning.

The company relies heavily on convertible and other promissory notes; several convertible notes are in default with elevated default interest rates. To reduce debt, it converted $104,540 of notes into 508,375,413 new common shares and issued 76,000,000 shares via cashless warrant exercise, increasing shares outstanding to 1,313,420,344.

DATA443 RISK MITIGATION, INC. provides data security and privacy management solutions for enterprises and government, protecting sensitive data across cloud, on‑premises and hybrid environments. The company offers a broad portfolio, including ransomware recovery, data identification, archiving, secure content distribution, phishing and malware detection, and AI governance platforms.

Data443 serves over 10,000 commercial enterprise customers and more than 100,000 open‑source users, processes billions of security transactions monthly, and operates data centers in the U.S., Germany and Israel. As of June 30, 2022, non‑affiliate equity market value was $1,594,117, and as of April 15, 2026, common shares outstanding were 1,313,420,344, reflecting significant dilution over time and a 1‑for‑600 reverse stock split in 2023.

The company highlights numerous risks, including a history of losses, the need for additional capital, substantial doubt about its ability to continue as a going concern, intense competition, cybersecurity threats, secured debt, penny‑stock trading on OTC Pink, and concentrated control by its CEO. It remains an emerging growth company and adopted a 2023 Equity Incentive Plan reserving 800,000 shares for awards.

Data443 Risk Mitigation, Inc. filed a Form 12b-25 notification stating it cannot timely file its Annual Report on Form 10-K for the fiscal year ended December 31, 2025. The company says financial compilation and review imposed time constraints and expects to file the Form 10-K within fifteen days of the original due date.

The notification is signed by Greg McCraw, Chief Financial Officer, dated March 31, 2026. Contact telephone shown is (919) 526-1070.

Data443 Risk Mitigation (ATDS) reported Q3 results showing lower revenue and a smaller loss. Q3 revenue was $899,132 versus $1,146,937 a year ago. Gross profit was $545,734 with operating expenses of $1,107,592, resulting in an operating loss of $(561,858) and a net loss of $(602,434). For the nine months, revenue was $3,497,748 and net loss was $(1,597,069), with interest expense reduced year over year.

The balance sheet remains highly leveraged: cash was $49,086 and total assets $5.29 million against total liabilities of $18.77 million, leaving a stockholders’ deficit of $(13.48 million). Current liabilities were $16.92 million versus current assets of $134,831. Deferred revenue totaled $2.07 million. Convertible notes payable were $4.00 million, all current.

The company disclosed substantial doubt about its ability to continue as a going concern and listed several convertible notes in default. Capital activity expanded the share count: 497,561,331 shares outstanding as of September 30, 2025, and 629,956,531 as of November 14, 2025. Subsequent events included additional cashless warrant share issuances and a new $92,400 convertible note with a conversion formula tied to market price.