Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 21

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 1
Chunk 21
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 Portability and Accountability Act of 1996 and Section 5(a) of the Federal Trade Commission Act of 1914.

We sell and distribute our
vehicles internationally through international distributors. As such, we will be subject to the local laws of each jurisdiction in which
we sell our vehicles. These regulations may result in increased costs and expenses, which may materially and adversely affect our business,
results of operations or financial condition.

Employees

As of July 15, 2025, we had
64 employees, consisting of 35 full-time employees and 29 part-time employees.

Our employees are not represented
by a labor organization or covered by a collective bargaining agreement. We believe that we maintain a good working relationship with
our employees and to date, we have not experienced any significant labor disputes.

Item 1A. Risk Factors

An investment in our common stock involves
a high degree of risk. You should carefully consider the risks and uncertainties described below, together with all of the other information
in this annual report, including “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations”
and our consolidated financial statements and related notes before making a decision to invest in our common stock. Our business, operating
results, financial condition, or prospects could be materially and adversely affected by any of these risks and uncertainties. If any
of these risks actually occurs, the trading price of our common stock could decline and you might lose all or part of your investment.
Our business, operating results, financial performance, or prospects could also be harmed by risks and uncertainties not currently known
to us or that we currently do not believe are material.

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Summary of Risk Factors

Risks Related to the Company’s Business,
Operations, and Industry 

●We may not meet our growing production and delivery plans, which could harm our business.

●We rely heavily on a few key vendors in China for vehicle components.

●Trade tensions, especially between the U.S. and China, may negatively impact our operations.

●We depend on third parties for quality control on China-sourced parts.

●Our ability to produce vehicles at scale and with consistent quality is unproven.

●Supply chain changes may increase costs and hurt our financial performance.

●Rising material costs or shortages, including from global conflicts, could disrupt production.

●Our vehicles may not meet customer expectations.

●Growth depends on consumer adoption of electric vehicles (EVs).

●We operate in a complex and evolving regulatory environment.

●We may