Company: SDAWW
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036086
Chunk: 24

Company: SunCar Technology Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 3
Chunk 24
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2)(B) of the Securities Act for complying with new or revised accounting
standards, meaning that the company can delay the adoption of certain accounting standards until those standards would otherwise apply
to private companies. We have irrevocably elected not to avail ourselves of this exemption from new or revised accounting standards and,
therefore, will be subject to the same new or revised accounting standards as other public companies that are not emerging growth companies.

We may remain an “emerging
growth company” until the fiscal year-end following the fifth anniversary of the completion of this initial public offering, though
we may cease to be an “emerging growth company” earlier under certain circumstances, including (1) if we become a large accelerated
filer, (2) if our gross revenue exceeds $1.07 billion in any fiscal year or (3) if we issue more than $1.0 billion in non-convertible
notes in any three year period. The exact implications of the JOBS Act are still subject to interpretations and guidance by the SEC and
other regulatory agencies, and we cannot assure you that we will be able to take advantage of all of the benefits of the JOBS Act. In
addition, investors may find our ordinary shares less attractive if we rely on the exemptions and relief granted by the JOBS Act. If some
investors find our ordinary shares less attractive as a result, there may be a less active trading market for our ordinary shares and
our stock price may decline and/or become more volatile.

We may not be able to use certain of our
leased properties due to defects related to these properties. And failure to comply with PRC laws and regulations on leased property may
expose us to potential fines and negatively affect our ability to use the properties we lease.

As of the date of this Report,
we operated our business primarily through one owned property in Shanghai and 76 leased properties across China. For some leased
properties, the landlords have not provided ownership certificates, or where the landlords are not the owners, consent letters from the
property owners for leasing or sub-leasing the properties. We believe that lessors are not entitled to lease properties if they do not
have ownership of such properties or consent from the property owners authorizing the lease. If our lessors are not the owners of the
properties or they have not obtained consents from the owners or their lessors or permits from the relevant government authorities, our
leases could be invalidated. If any third party raises claims against the ownership