Company: GRAN
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069627
Chunk: 33

Company: Grande Group Ltd/HK
Filing Date: 2025-07-31
Form: 20-F
Item: Item 3
Chunk 33
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 services will continue to retain us for future business,
and there is no assurance that we can continue to secure the engagements of our Operating Subsidiary in the future. Therefore, the revenue
generated from each client or engagement differs and we cannot assure that our future engagement fee rates will be comparable to those
accepted by our clients during the years ended March 31, 2025, 2024 and 2023.

The nature of the corporate finance activities
also means the demand and scope for the services of our Operating Subsidiary are dependent on the conditions of the financial markets,
which are in turn influenced by a variety of factors (such as investor sentiment or political/economic environments) beyond our control,
resulting in uncertainties in relation to the sustainability of our financial performance. Any adverse market condition or market sentiment
will affect clients’ decisions on the scale, timing, and stock market choices in respect of their fundraising needs, which may lead
to lower demand for, delay to or termination of fundraising activities and our services and in turn affect the financial performance of
our corporate finance advisory business. If we are unable to continuously secure new sizable mandates, or if the market conditions become
unfavorable, our business and the results of operations may be materially and adversely affected.

In general, service fees we charged for the projects
are recognized when the underlying services have been provided and/or relevant milestones have been completed in accordance with the terms
of our mandates by instalments, which are not necessarily based on the time or costs we have incurred for the project. The grant of approvals
of the projects undertaken by Grande Capital by the regulators in Hong Kong such as the HKSE and the HKSFC, or by the home jurisdictions
of the clients, such as the CSRC for the PRC domestic companies, will usually affect the project timeline. Failure in obtaining the necessary
approvals as stipulated or at all could result in the delay or abortion of the transactions. Due to aforesaid nature of our projects and
factors beyond our control, in particular our listing sponsorship engagements, it may not be possible to successfully complete each project,
and consequently we may not receive the mandated payments in full for services provided or after we have expended substantial effort and
time as scheduled or at all. If a milestone is not achieved or if a transaction is terminated before completion, the clients may delay
in settling our invoices which are presented to them when due, or not settle them at all. In the case of default payments, if