Company: WCT
Filing Date: 2025-10-07
Form Type: DRS
Source: 0001213900-25-096917
Chunk: 76

Company: Wellchange Holdings Co Ltd
Filing Date: 2025-10-07
Form: DRS
Chunk 76
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 internal
control over financial reporting. Our independent registered public accounting firm did not conduct an audit of our internal control over
financial reporting. However, in connection with the audits of our consolidated financial statements as of December 31, 2024 and 2023,
we and our independent registered public accounting firm identified a few material weaknesses in our internal control over financial reporting
PCAOB of the United States, a “material weakness” is a deficiency, or a combination of deficiencies, in internal control over
financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements
will not be prevented or detected on a timely basis. The material weaknesses identified related to (1) our lack of sufficient full-time
personnel with appropriate levels of accounting knowledge and experience to monitor the daily recording of transactions, address complex
U.S. GAAP accounting issues and to prepare and review financial statements and related disclosures under U.S. GAAP; (2) our lack of a
functional internal audit department or personnel that monitors the consistencies of the preventive internal control procedures as well
as adequate policies and procedures in internal audit function to ensure that our policies and procedures have been carried out as planned;
(3) our lack of proper procedures developed and implemented for system security and access as well as segregation of duties in relation
to the system; (4) our lack of proper procedures developed for system development, program change management policies and critical change
management control processes and procedures; and (5) our lack of proper procedures developed and implemented for IT policy and procedure
as well as operating system security management control.

We intend to implement measures designed to improve
our internal control over financial reporting to address the underlying causes of these material weaknesses, including i) hiring more
qualified staff to fill up the key roles in the operations; ii) setting up a financial and system control framework with formal documentation
of policies and controls in place; and iii) appointing independent directors, establishing an audit committee and strengthening corporate
governance.

We will be subject to the requirement that we
maintain internal controls and that management perform periodic evaluations of the effectiveness of the internal controls. Effective internal
control over financial reporting is important to prevent fraud. As a result, our business, financial condition, results of operations
and prospects, as well as the market for and trading price of our Class A Ordinary Shares, may be materially and adversely affected if
we do not have effective internal controls. Before our initial public offering, we