Company: JWEL
Filing Date: 2025-05-09
Form Type: 20-F
Source: 0001213900-25-041556
Chunk: 5

Company: Jowell Global Ltd.
Filing Date: 2025-05-09
Form: 20-F
Item: Item 3
Chunk 5
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 environment, it is uncertain when and whether we, WFOE,
VIE or their subsidiaries, will be required to obtain permission from the PRC government to be listed on a U. S. exchange in the future,
and even when such permission is obtained, whether it will be rescinded. If we, our subsidiaries, or the VIE do not receive or maintain
such permissions or approvals, inadvertently conclude that such permissions or approvals are not required, or applicable laws, regulations,
or interpretations change and we are required to obtain such permissions or approvals in the future, it could significantly limit or completely
hinder our ability to offer or continue to offer our securities to investors and cause the value of our securities to significantly decline
or become worthless.

Dividend Distribution and Cash Transfer
Between the Holding Company, Subsidiaries and VIE.

We, through the VIE, operates an e-commerce platform
for cosmetics, health and nutritional supplements and household products e-commerce platform in China. The VIE also sells our products
through authorized retail stores all across China. Operating under the brand name of “ Love Home Store” or “ LHH Store”,
the authorized retailers may operate as independent stores or store-in-shop (an integrated store), selling products that they purchased
through our online platform LHH Mall under their retailers’ accounts which provide them with major discounts. The VIE also
sells products through its “ Juhao Best Choice” community group-buying stores in China.

The VIE receives its revenue in RMB. Under our
current corporate structure, to fund any cash and financing requirements we may have, the Company may rely on certain dividend payments
from our WFOE in China. Our WFOE receives payments from VIE, pursuant to the VIE Agreements. WFOE may make distribution of such payments
to Jowell HK as dividends.

Under existing PRC foreign exchange regulations,
payments of current account items, such as profit distributions and trade and service-related foreign exchange transactions, can be made
in foreign currencies without prior approval from the State Administration of Foreign Exchange, or SAFE, by complying with certain procedural
requirements. Therefore, our WFOE is able to pay dividends in foreign currencies to us without prior approval from SAFE, subject to the
condition that the remittance of such dividends outside of the PRC complies with certain procedures under PRC foreign exchange regulations,
such as the overseas investment registrations by the shareholders of the Company who are PRC residents. Approval from or registration
with