Company: NCL
Filing Date: 2025-01-29
Form Type: S-1/A
Source: 0001575872-25-000097
Chunk: 4

Company: Northann Corp.
Filing Date: 2025-01-29
Form: S-1/A
Chunk 4
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 a Smaller
Reporting Company” on page 11.

Investing in our common stock involves significant risks. The risks could result in a material change in the value of the securities we are registering for sale or could significantly limit or completely hinder our ability to offer or continue to offer securities to investors. See “Risk Factors” beginning
on page 14 to read about factors you should consider before buying our common stock.

The shares of common stock offered in this prospectus
are shares of Northann Corp., the Nevada holding company, which has no material operations of its own and conducts substantially all of
its operations through its operating entities in the United States, Hong Kong and China. For a description of our corporate structure,
see “Corporate History and Structure” beginning on page 32. Our corporate structure involves unique risks to investors.
See “Risk Factors – Risks Related to Our Corporate Structure”.

In addition, as most
of our products are manufactured through our subsidiary, Northann (Changzhou) Construction Products Co., Ltd., in China, we are subject
to certain legal and operational risks associated with having operations in China. The Chinese government may exercise significant oversight
and discretion over the conduct of our PRC subsidiaries’ business and may intervene in or influence our operations at any time,
which could result in a material change in our operations and/or the value of our common stock, and could significantly limit or completely
hinder our ability to offer or continue to offer securities to investors, or cause such securities to significantly decline in value or
become worthless. As of the date of this prospectus, our PRC subsidiaries are not operating in an industry that prohibits or limits foreign
investment.

In addition, as advised
by our PRC counsel, Grandall Law Firm, other than those permissions or approvals required
for a domestic company in China to engage in the businesses similar to ours, we are not subject to cybersecurity review with the Cyberspace
Administration of China, or the “CAC,” under the Cybersecurity Review Measures that became effective on February 15, 2022,
since we currently do not have over one million users’ personal information and do not anticipate that we will be collecting over
one million users’ personal information in the foreseeable future, which we understand might otherwise subject us to the Cybersecurity
Review Measures; we are also not subject to network data security review by the CAC if the Draft Regulations on the Network Data Security
Administration (Draft for Comments) (the “Security Administration Draft”) are enacted as