1. There are outstanding legal proceedings involving the Company, Promoters and Directors. Any adverse decision in such proceeding may have a material adverse effect on its business, results of operations and financial condition.
2. Its Registered Office, Factory, Showroom and our Warehouses are not owned by it. The same are occupied by it on a lease basis. Disruption of its rights as lessee or termination of the agreements with the lessor would adversely impact the company operations and, consequently, its business.
3. The company product is subject to frequently changing designs, patterns, customer requirements and tastes, its inability to meet such needs or preferences may affect the company business.
4. The Company's failure to maintain the quality standards of the products could adversely impact its business, results of operations and financial condition.
5. The company face competition in its business from domestic competitors. Such competition would have an adverse impact on the business and financial performance.
6. The company is dependent on various kinds of Supplier for the supply of raw materials, services and finished goods.
7. Its ability to remain competitive may be adversely affected by rapid technological changes and its ability to access such technology.
8. The company's business involves usage of manpower and any unavailability of the employees or shortage of contract labour or any strikes, work stoppages, increased wage demands by workmen or changes in regulations governing contractual labour may have an adverse impact on its cash flows and results of operations.
9. Its business is capital intensive. If its experience insufficient cash flows to meet required payments on the company debt and working capital requirements, there may be an adverse effect on its operations.
10. Heavy dependence on the Promoters for the continued success of its business through his continuing services, strategic guidance and support.