1. Our business operations rely significantly on the continuous and timely supply of products from top 5 and top 10 suppliers, Also, we do not have continuing and exclusive supply agreement with them. Any interruptions or discontinuation of same will adversely impact our overall performance and profitability.
2. We source our majority of the products from international market i.e. China. Any adverse developments affecting our procurement in this region could have an adverse impact on our revenue and results of operations.
3. We generate our majority of the sales from domestic market of which major portion of sales from our operations is generated from certain geographical regions especially, Maharashtra, Gujarat and New Delhi and minority portion of sales is from international market. Any adverse developments affecting our operations in these regions could have an adverse impact on our revenue and results of operations.
4. Our Registered Office is not owned by us. In the event we lose such rights, our Business, Financial Condition and Results of Operations and Cash Flows could be adversely affected.
5. The restated Consolidated financial statements have been provided by peer reviewed chartered accountants who is not statutory auditor of our Company.
6. We depend on certain customers for a significant portion of our revenues, Also, our Company in the usual course of Business does not have any long term contracts with its Customers and we rely on purchase orders for delivery of our products and our Customers may cancel or modify their orders, change quantities, delay or change their sourcing strategy. Loss of one or more of our top Customers or a reduction in their demand for our products or reduction in revenue derived from them may adversely affect our Business, Results of Operations and Financial Condition.
7. We have entered into and may enter into related party transactions in the future, however, there can be no assurance that such transactions, individually or taken together, will not have an adverse effect on our business, prospects, results of operations and financial condition.
8. There are certain discrepancies/errors/delay filings noticed in some of our corporate records relating to forms filed with the Registrar of Companies and other provisions of Companies Act, 2013. Any penalty or action taken by any regulatory authorities in future, for non-compliance with provisions of corporate or any other law could impact the financial position of the Company to that extent.
9. We have certain outstanding litigation against us, an adverse outcome of which may adversely affect our business, reputation and results of operations.
10. Our Company had not obtained Registration under FSSAI for its warehouse where its operations are carried on and have applied for modification in the FSSAI. We are not sure if the same shall be approved by the concerned authority or at all.