FAQ: Focus Universal Inc.'s $10 Million Preferred Equity Offering and Technology Platforms

What is the main announcement from Focus Universal Inc.?

Focus Universal Inc. has closed a $10 million preferred equity offering to fund the ongoing commercialization of its Universal Smart IoT platform and AI-driven SEC financial reporting software.

When did the preferred equity offering close?

The offering closed on October 23, 2025, as announced on October 27, 2025.

How much net proceeds will Focus Universal receive from this offering?

The company will receive approximately $9.44 million in net proceeds after deducting underwriting discounts, commissions, and offering-related expenses from the $10 million gross proceeds.

What are the specific purposes for using the net proceeds?

The net proceeds will be used to continue ongoing commercialization of the Universal Smart IoT platform and AI-driven SEC financial reporting software, supporting the company’s path to profitability.

Who were the major investors in this offering?

Dr. Edward Lee, Chairman of the Board, invested $2 million, and another previous FCUV shareholder committed $1 million alongside Dr. Lee in the initial Series A round, with participation from 3 investor groups.

What makes Focus Universal’s IoT platform different from traditional systems?

Unlike traditional IoT systems where engineers start from scratch, Focus Universal’s platform provides a pre-built common foundation where different IoT devices can share roughly 90% of the same hardware and software, reducing development costs and complexity.

Where can users access the Universal Smart IoT applications?

The Universal Smart IoT applications are now available for download on both the Apple App Store and Google Play Store by searching ‘FCUV’.

What is the current status of Focus Universal’s AI-driven SEC financial reporting software?

The AI-driven SEC financial reporting software is currently under contract for testing and has been successfully demonstrated to several industry leaders within the SEC filing and compliance sector.

How does the AI-driven SEC financial reporting software benefit companies?

The software provides a fully automated, end-to-end solution that can retrieve financial statements from accounting platforms, reformat data into spreadsheets, and automatically generate consolidated financials with a single click, significantly reducing the complex, costly, and time-consuming traditional SEC reporting process.

Why is this funding important for Focus Universal’s future?

This investment strengthens the company’s balance sheet, provides financial flexibility to support growth strategy, helps meet Nasdaq’s minimum stockholders’ equity requirement, and supports the path to profitability with both flagship products in final commercialization stages.