Company: IPST
Filing Date: 2025-06-04
Form Type: POS AM
Source: 0001641172-25-013501
Chunk: 28

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-06-04
Form: POS AM
Chunk 28
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 be too early in the product life cycle of these brands to determine whether our products and brands will achieve and maintain satisfactory levels of acceptance by independent distributors, retail customers and consumers. We believe the success of our brands will also be substantially dependent upon acceptance of our product name brands. Accordingly, any failure of our brands to maintain or increase acceptance or market penetration would likely have a material adverse effect on our revenues and financial results.

A reduction in consumer demand for whiskey, vodka, gin, RTDs and other spirits, which may result from a variety of factors, including demographic shifts and decreases in discretionary spending, could materially and adversely affect our business, results of operations and financial results.

We rely on consumers’ demand for our craft spirits. While over the past several years there have been modest increases in consumption of beverage alcohol in most of our product categories and geographic markets, there have been periods in the past in which there were substantial declines in the overall per capita consumption of beverage alcohol products in the U.S. and other markets in which we participate or plans to participate. Consumer preferences may shift due to a variety of factors, including changes in demographic or social trends, changes in discretionary income, public health policies and perceptions and changes in leisure, dining and beverage consumption patterns. Our success will require us to anticipate and respond effectively to shifts in consumer behavior and drinking tastes. If consumer preferences were to move away from our Heritage Distillingor other brands, our results of operations would be materially and adversely affected.

A limited or general decline in consumer demand could occur in the future due to a variety of factors, including:

| ● | a                                                                                                                                        
 general decline in economic or geopolitical conditions;                                                                                  |
| ● | a                                                                                                                                        
 general decline in the consumption of alcoholic beverage products in on-premises establishments, such as those that may result from      
 smoking bans and stricter laws relating to driving while under the influence of alcohol and changes in public health policies, including 
 those implemented to address the COVID-19 pandemic;                                                                                      |

| 17 |

| ● | a                                                                                                                                            
 generational or demographic shift in consumer preferences away from whiskies and other spirits to other alcoholic beverages or non-alcoholic 
 beverages;                                                                                                                                   |
| ● | increased                                                                                                                                    
 activity of anti-alcohol groups;                                                                                                             |
| ● | increased                                                                                                                                    
 regulation placing restrictions on the purchase or consumption of alcoholic beverage products;                                               |
| ● | concern                                                                                                                                      
 about the health consequences of consuming alcoholic beverage products; and                                                                  |
| ● | increased                                                                                                                                    
 federal, state, provincial, and foreign exc