Company: MKDWW
Filing Date: 2025-04-03
Form Type: F-1
Source: 0001641172-25-002610
Chunk: 134

Company: MKDWELL Tech Inc.
Filing Date: 2025-04-03
Form: F-1
Chunk 134
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| Payments of leaseback                     |     |                       | 1,512,566 |     |                  | 1,242,154 |     |           |   270,412 |     |           | - |
| Operating and financing lease commitments |     |                       |    61,147 |     |                  |    61,147 |     |           |         - |     |           | - |
| Related party loans                       |     |                       | 2,162,876 |     |                  | 2,162,876 |     |           |         - |     |           | - |
| Loans from third parties                  |     |                       |   121,375 |     |                  |   121,375 |     |           |           |     |           |   |
| Total                                     |     | $                     | 9,444,324 |     |                  | 6,359,050 |     |           | 3,085,274 |     |           | - |

We are currently involved in a litigation matter with the previous U.S. legal advisor of Cetus Capital, which is one of our subsidiaries, and may be required to pay related reasonable attorneys’ fees. The amount was not able to be quantified at this stage, and hence no related liability was accrued in the financial statements.Other than those shown above, we did not have any significant capital and other commitments, long-term obligations and guarantees as of December 31, 2024.

Off-Balance Sheet Arrangements

We have not entered into any off-balance sheet financial guarantees or other off-balance sheet commitments to guarantee the payment obligations of any third parties. We have not entered into any derivative contracts that are indexed to our shares and classified as shareholder’s equity or that are not reflected in our consolidated financial statements. Furthermore, we do not have any retained or contingent interests in assets transferred to an unconsolidated entity that serves as credit, liquidity or market risk support to such entity. We do not have any variable interest in any unconsolidated entity that provides financing, liquidity, market risk or credit support to us or engages in leasing, hedging or product development services with us.

Inflation

Inflation affects us by generally increasing the PRC operating entities’ cost of labor and costs of inventories, the way it does to all labor and costs of inventories. However, we do not anticipate that inflation will materially affect our business in the foreseeable future.

Seasonality

We believe our