Company: LRHC
Filing Date: 2025-08-20
Form Type: S-1/A
Source: 0001213900-25-078966
Chunk: 37

Company: La Rosa Holdings Corp.
Filing Date: 2025-08-20
Form: S-1/A
Chunk 37
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 certain investors or otherwise harm our
trading price.

<div align='center'>19</div>

We are authorized to issue “blank check” preferred stock without stockholder approval, which could adversely impact the rights of holders of our common stock.

Our articles of incorporation authorize us to
issue up to 50,000,000 shares of “blank check” preferred stock, meaning our Board of Directors can designate the rights and
preferences of classes or series of such preferred stock without stockholder approval. Any preferred stock that we issue in the future
may rank ahead of our common stock in terms of dividend priority or liquidation premiums and may have greater voting rights than our common
stock. In addition, such preferred stock may contain provisions allowing those shares to be converted into shares of common stock, which
could dilute the value of common stock to current stockholders and could adversely affect the market price, if any, of our common stock.
In addition, the preferred stock could be utilized, under certain circumstances, as a method of discouraging, delaying or preventing a
change in control of our company. There can be no assurance that we will not issue preferred stock in the future.

If our shares of common stock become subject to the penny stock rules, it would become more difficult to trade our shares.

The SEC has adopted rules that regulate broker-dealer
practices in connection with transactions in penny stocks. Penny stocks are generally equity securities with a price of less than $5.00
per share, other than securities registered on certain national securities exchanges or authorized for quotation on certain automated
quotation systems, provided that current price and volume information with respect to transactions in such securities is provided by the
exchange or system. If we do not retain a listing on Nasdaq or another national securities exchange and if the price of our common stock
is less than $5.00, our common stock could be deemed a penny stock. The penny stock rules require a broker-dealer, before a transaction
in a penny stock not otherwise exempt from those rules, to deliver a standardized risk disclosure document containing specified information.
In addition, the penny stock rules require that before effecting any transaction in a penny stock not otherwise exempt from those rules,
a broker-dealer must make a special written determination that the penny stock is a suitable investment for the purchaser and receive
(i) the purchaser’s written acknowledgment of the receipt of a risk disclosure statement; (ii) a written agreement to transactions
involving penny stocks; and (iii) a signed and