Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 323

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 323
---
comparison of our financial statements with other public companies difficult or impossible.

Our status as an “emerging
growth company” under the JOBS Act may make it more difficult to raise capital as and when we need it.

Because of the exemptions
from various reporting requirements provided to us as an “emerging growth company” and because we will have an extended transition
period for complying with new or revised financial accounting standards, we may be less attractive to investors, and it may be difficult
for us to raise additional capital as and when we need it. Investors may be unable to compare our business with other companies in our
industry if they believe that our financial accounting is not as transparent as other companies in our industry. If we are unable to raise
additional capital as and when we need it, our financial condition and results of operations may be materially and adversely affected.

33

If we continue to fail
to maintain an effective system of disclosure controls and fail to maintain an effective system of internal control over financial reporting,
our ability to produce timely and accurate financial statements or comply with applicable regulations could be impaired.

As a public company, we are subject to the reporting requirements of
the Exchange Act, the Sarbanes-Oxley Act and the rules and regulations of the applicable listing standards of Nasdaq. We expect that the
requirements of these rules and regulations will continue to increase our legal, accounting, and financial compliance costs, make some
activities more difficult, time-consuming and costly and place significant strain on our personnel, systems and resources. The Sarbanes-Oxley
Act requires, among other things, that we maintain effective disclosure controls and procedures and internal control over financial reporting.
Based upon evaluation of our Chief Executive Officer and Interim Chief Financial Officer as of December 31, 2024, our disclosure controls
and procedures are ineffective, as we are a newly publicly traded company with limited resources in our finance department, and we are
in the process of establishing our procedures around our disclosure controls. We are continuing to develop our disclosure controls and
other procedures that are designed to ensure that information required to be disclosed by us in the reports that we will file with the
SEC is recorded, processed, summarized, and reported within the applicable time periods specified in SEC rules and forms and that information
required to be disclosed in reports under the Exchange Act is accumulated and communicated to our principal executive and financial officers.
We are also continuing to improve our internal control over financial reporting.

In order to improve and maintain
the effectiveness of our disclosure