Risk Factors Update Summary

• Revenue growth rate increased from 42% to 60% in the years ended December 31, 2022 and 2023.
• Global tax regulations may increase tax responsibilities due to Organization for Economic Development's 15% global minimum tax.
• Net losses decreased from $487 million in 2021 to $275 million in 2022 and $246 million in 2023.
• Expansion of privacy laws with new US state-specific laws effective or becoming effective in 2023 and 2024.
• Failure to protect domain names like www.toasttab.com could lead to brand recognition loss.
• Accumulated deficit decreased from $1,623 million to $1,377 million as of December 31, 2023.
• Increased focus on ESG goals and practices, with potential adverse effects if not achieved.
• Changes in voting power percentages from 85% to 80% and 83% to 75% are significant.
• Approximately 550 employees impacted by a restructuring plan announced in February 2024.
• Anticipated future growth may be impacted by changes in tax laws at federal, state, or international levels.
• Material weaknesses in internal controls over financial reporting identified and remediation measures implemented.
• Continued investment in resources to grow the business and improve internal controls expected.
• Uncertainty regarding identification and remediation of future material weaknesses in internal controls.
• Failure to implement effective internal controls could impact the company's financial condition.