Company: GRAN
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069627
Chunk: 172

Company: Grande Group Ltd/HK
Filing Date: 2025-07-31
Form: 20-F
Item: Item 19
Chunk 172
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 or services recognized as performance obligations
are satisfied. In according with ASC 606, revenues are recognized when the Company satisfies the performance obligations by delivering
the promised services to the customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange
for those services. The following five steps are applied to achieve that core principle:

Step
1: Identify the contract with the customer

Step
2: Identify the performance obligations in the contract

Step
3: Determine the transaction price

Step
4: Allocate the transaction price to the performance obligations in the contract

Step
5: Recognize revenue when the company satisfies a performance obligation

The
Company identifies each distinct service as a performance obligation. The recognition and measurement of revenues is based on the assessment
of individual contract terms. The Company applies a practical expedient to expense costs as incurred for those suffered in order to obtain
a contract with a customer when the amortization period would have been one year

Grande
Capital is a licensed corporation under the Hong Kong Securities and Futures Ordinance to carry out regulated activities Type 1
“ Dealing in securities” and Type 6 “ Advisory on corporate finance” under the Hong Kong Securities and Futures
Ordinance. The Company’s principal revenue streams include:

IPO
sponsorship services

The
Company enters into an agreement with its customers for advising and guiding listing applicants throughout the IPO process with various
services, such as coordinating the listing progress, conducting due diligence, performing all duties of a sponsor as required under the
applicable rules and regulations and acting as the primary channel of communication with the regulators such as the Stock Exchange of
Hong Kong (the “ Hong Kong Exchange”) and the Securities and Futures Commission of Hong Kong concerning the
listing, in return for a sponsor’s fee.

The Company charged a fixed fee payable by progress payment based on
achievement of certain milestones as specified in the service agreements with an initial deposit of20% in average.

The
services carried out by the Company in its role as sponsor are usually highly interdependent and interrelated and therefore, in accordance
with ASC 606-10-25-21 (c), these services also fail to satisfy the criterion in ASC 606-10-25-19 (b) of being distinct from
one another within the context of the contract. Therefore, the Company accounts for all of the sponsorship services promised in the contract
as a single performance obligation.

F-11

  GRANDE                                      
  GROUP LIMITED