Company: FWDI
Filing Date: 2025-06-10
Form Type: S-1
Source: 0001683168-25-004372
Chunk: 20

Company: Forward Industries, Inc.
Filing Date: 2025-06-10
Form: S-1
Chunk 20
---
 and solvency of clients;                                                                                                      |
| · | Loss of key employees;                                                                                                                         |
| · | The sale of a large amount of common stock by our stockholders;                                                                                |
| · | Our announcement of a pending or completed acquisition or our failure to complete a proposed acquisition;                                      |
| · | An adverse court ruling or regulatory action;                                                                                                  |
| · | Changes in regulatory practices, including tariffs and taxes;                                                                                  |
| · | Changes in market valuations of similar companies;                                                                                             |
| · | Short selling activities;                                                                                                                      |
| · | Our announcement of any financing or a change in the direction of our business;                                                                |
| · | Announcements by us, or our competitors, of significant contracts, acquisitions, commercial relationships,                                     
 joint ventures or capital commitments; or                                                                                                      |
| · | Other forces outside of our control such as inflation, Federal Reserve interest rate increases and the                                         
 recessionary environment it could bring, geopolitical turmoil and other developments that could adversely impact the U.S. and global economies 
 and erode investor sentiment.                                                                                                                  |

In the past, following periods
of volatility in the market price of a company’s securities, securities class action litigation has often been instituted. A securities
class action suit against us could result in substantial costs and divert our management’s time and attention, which would otherwise
be used to benefit our business.

| 10 |

<div align='center'>THE COMMITTED EQUITY FINANCING</div>

Overview

On May 16, 2025, we entered
into the Purchase Agreement with the Selling Stockholder. Sales of our common stock to the Selling Stockholder under the Purchase Agreement,
and the timing of any sales, will be determined by us from time to time in our sole discretion and will depend on a variety of factors,
including, among other things, market conditions, the trading price of our common stock and determinations by us regarding the use of
proceeds from any sale of such common stock. The net proceeds from any sales under the Committed Equity Financing will depend on the frequency
with, and prices at which, the shares of common stock are sold to the Selling Stockholder. To the extent we sell shares under the Purchase
Agreement, we currently plan to use the net proceeds for working capital and other general corporate purposes.

In accordance with our obligations
under the Purchase Agreement, or the Registration Rights Agreement, pursuant to which we agreed to provide the Selling Stockholder with
customary registration