Company: GRAN
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069627
Chunk: 48

Company: Grande Group Ltd/HK
Filing Date: 2025-07-31
Form: 20-F
Item: Item 3
Chunk 48
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, may
issue a report that is qualified, if it is not satisfied with our internal controls or the level at which our controls are documented,
designed, operated, or reviewed, or if it interprets the relevant requirements differently from us. In addition, after we become a public
company, our reporting obligations may place a significant strain on our management, operational, and financial resources and systems
for the foreseeable future. We may be unable to complete our evaluation testing and any required remediation in a timely manner.

Risks Related to our Corporate Structure

We rely on dividends and other distributions
of equity paid by our subsidiaries to fund any cash and financing requirements we may have. In the future, funds may not be available
to fund operations or for other uses outside of Hong Kong, due to interventions in, or the imposition of restrictions and limitations
on, our ability or our subsidiary by the PRC government to transfer cash. Any limitation on the ability of our subsidiaries to make payments
to us could have a material adverse effect on our ability to conduct our business and might materially decrease the value of our Class
A Ordinary Shares or cause them to be worthless.

Grande is a holding company incorporated in the
BVI, and we rely on dividends and other distributions on equity paid by our subsidiaries for our cash and financing requirements, including
the funds necessary to pay dividends and other cash distributions to our shareholders and service any debt we may incur. We do not expect
to pay cash dividends in the foreseeable future. If any of our subsidiaries incur debt on its own behalf in the future, the instruments
governing the debt may restrict its ability to pay dividends or make other distributions to us.

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. There are no restrictions or limitations
under the laws of Hong Kong imposed on the conversion of Hong Kong dollar into foreign currencies and the remittance of currencies
out of Hong Kong, nor is there any restriction on any foreign exchange to transfer cash between Grande and its subsidiaries, across
borders and to U. S. investors, nor there is any restrictions and limitations to distribute earnings from the subsidiaries, to Grande
and U. S. investors and amounts owed.

Currently, the PRC law and regulations and foreign
currency control in Mainland China do not currently have any material impact on the transfer of cash between Grande and our Operating
Subsidiary, or vice versa. However,