Company: RAYA
Filing Date: 2025-08-01
Form Type: 424B5
Source: 0001213900-25-070321
Chunk: 30

Company: Erayak Power Solution Group Inc.
Filing Date: 2025-08-01
Form: 424B5
Chunk 30
---
on the amount of the funds, subject to satisfaction of applicable government registration, approval and filing requirements. Erayak HK
is also permitted under the laws of Hong Kong to provide funding to ERAYAK Power Solution Group Inc. and Erayak BVI through dividend distribution
without restrictions on the amount of the funds. The PRC has currency and capital transfer regulations that require us to comply with
certain requirements for the movement of capital. The Company is able to transfer cash (US Dollars) to its PRC subsidiaries through an
investment (by increasing the Company’s registered capital in a PRC subsidiary). The Company’s subsidiaries within China can
transfer funds to each other when necessary, through the way of current lending. We have not been notified of any other restriction which
could limit our PRC subsidiaries’ ability to transfer cash between PRC subsidiaries. As of the date of this prospectus, there has
been no distribution of dividends or assets among the holding company or the subsidiaries.

We currently intend to retain all available funds
and future earnings, if any, for the operation and expansion of our business and do not anticipate declaring or paying any dividends in
the foreseeable future. Any future determination related to our dividend policy will be made at the discretion of our board of directors
after considering our financial condition, results of operations, capital requirements, contractual requirements, business prospects and
other factors the board of directors deems relevant, and subject to the restrictions contained in any future financing instruments.

Subject to the Companies Act (Revised) of the
Cayman Islands and our memorandum and articles of association, our board of directors may authorize and declare a dividend to shareholders
at such time and of such an amount as they think fit if they are satisfied, on reasonable grounds, that immediately following the dividend
we will be able to pay our debts as they become due in the ordinary course of business.

Under the current practice of the Inland Revenue
Department of Hong Kong, no tax is payable in Hong Kong in respect of dividends paid by us. The laws and regulations of the PRC do not
currently have any material impact on transfer of cash from Erayak to Erayak HK or from Erayak HK to Erayak. There are no restrictions
or limitation under the laws of Hong Kong imposed on the conversion of HK dollar into foreign currencies and the remittance of currencies
out of Hong Kong or across borders and to U.S investors.

Current PRC regulations permit our PRC subsidiaries
to pay dividends to