Company: LICN
Filing Date: 2025-12-02
Form Type: F-3
Source: 0001185185-25-001892
Chunk: 30

Company: Lichen International Ltd
Filing Date: 2025-12-02
Form: F-3
Chunk 30
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 State Administration of Foreign Exchange, there is no restriction or limitations on such cash transfer or earnings distribution. With respect to the payment of dividends, we note the following:

| 1. | PRC                                                                                                                                          
 regulations currently permit the payment of dividends only out of accumulated profits, as determined in accordance with accounting standards 
 and PRC regulations (an in-depth description of the PRC regulations is set forth below);                                                     |

| 2. | Our                                                                                                                                    
 PRC subsidiaries are required to set aside, at a minimum, 10% of their net income after taxes, based on PRC accounting standards, each 
 year as statutory surplus reserves until the cumulative amount of such reserves reaches 50% of their registered capital;               |

| 3. | Such                                               
 reserves may not be distributed as cash dividends; |

| 4. | Our                                                                                                                                      
 PRC subsidiaries may also allocate a portion of their after-tax profits to fund their staff welfare and bonus funds; except in the event 
 of a liquidation, these funds may also not be distributed to shareholders; the Company does not participate in a Common Welfare Fund;    
 and                                                                                                                                      |

| 5. | The                                                                                                                                    
 incurrence of debt, specifically the instruments governing such debt, may restrict a subsidiary’s ability to pay shareholder dividends 
 or make other cash distributions.                                                                                                      |

If, for the reasons noted above, our subsidiaries are unable to pay shareholder dividends and/or make other cash payments to the Company when needed, the Company’s ability to conduct operations, make investments, engage in acquisitions, or undertake other activities requiring working capital may be materially and adversely affected. However, our operations and business, including investment and/or acquisitions by our subsidiaries within China, will not be affected as long as the capital is not transferred in or out of the PRC. During the fiscal years ended December 31, 2020, Lichen Zixun made dividend payments of RMB30 million (approximately $4.3 million) to the then eventual shareholders of Lichen Zixun, who are PRC individuals. On February 10, 2023, Lichen International Limited made payments of $6 million to its subsidiary Legend Consulting BVI for investment. As of the date of this prospectus, other than the above stated, no dividends, distributions or transfers has been made between Lichen International Limited and any of its subsidiaries. As of the date of this prospectus, the Company or its subsidiaries have made no other transfers, dividends, or distributions to investors and no investors have