Great Elm Group's biggest risks in the FY2025 10-K
- The company faces extensive financial services regulation and the strict asset composition tests of the Investment Company Act.
- High debt levels, market volatility, and anti-takeover provisions dominate the risk profile.
The risks most specific to Great Elm Group
- Risks Related to Our Business
Should one of our customers, debtors or competitors fail, our business prospects and revenue could be negatively impacted due to negative market sentiment causing customers to cease doing business with us and our lenders to cease extending credit to us, which could adversely affect our business, funding and liquidity
Customer, debtor, or competitor failures and financial market disruptions like high inflation, interest rates, and regional bank instability could restrict credit and liquidity.
- Risks Related to Our Business
limitation on our ability to borrow additional amounts for expenses, capital expenditures, acquisitions, debt service requirements, execution of our strategy and other purposes and other disadvantages compared to our competitors who have less debt
Debt obligations limit borrowing for expenses, capital expenditures, and acquisitions while creating disadvantages against competitors with less debt.
- Risks Related to Our Business
restrictions on the issuance of securities
The Investment Company Act may impose registration, specific corporate structures, and burdensome requirements on our business.
- Risks Related to Our Business
reporting, record keeping, voting, proxy and disclosure requirements and other rules and regulations
We must ensure investment securities do not exceed 40 percent of our total assets to avoid being regulated as an investment company.
- Risks Relating to Our Common Stock
may adversely affect prevailing market prices for our common stock
Anti-takeover provisions in our certificate of incorporation, bylaws, and Delaware law could impair or discourage acquisition attempts.
- Risks Relating to Our Common Stock
These provisions, alone or together, could delay hostile takeovers and changes in control of our company or changes in our management
Section 203 of the Delaware General Corporation Law prevents stockholders holding over 15 percent of our common stock from engaging in certain business combinations without broad approval.
All 6 risk factors
Headings as the filing states them, in filing order.
Risks Related to Our Business
- 01Should one of our customers, debtors or competitors fail, our business prospects and revenue could be negatively impacted due to negative market sentiment causing customers to cease doing business with us and our lenders to cease extending credit to us, which could adversely affect our business, funding and liquidity
- 02limitation on our ability to borrow additional amounts for expenses, capital expenditures, acquisitions, debt service requirements, execution of our strategy and other purposes and other disadvantages compared to our competitors who have less debt
- 03restrictions on the issuance of securities
- 04reporting, record keeping, voting, proxy and disclosure requirements and other rules and regulations
Risks Relating to Our Common Stock
- 05may adversely affect prevailing market prices for our common stock
- 06These provisions, alone or together, could delay hostile takeovers and changes in control of our company or changes in our management
Other Great Elm Group 10-Ks
- FY2026 10-K risk factors6 risksNo changes
No new, removed, or reworded risks were identified in the provided comparison.
Filed Aug 26, 2026
About this page
The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.