Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 33

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 1
Chunk 33
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 for our accounting staff, especially training related to U.S. GAAP and SEC reporting requirements; and (iii) regularly
conducting checks on the IT software we utilize to ensure its proper functionality, and arranging training sessions for our IT staff.
We also plan to adopt additional measures to improve our internal control over financial reporting, including, among others, creating
a U.S. GAAP accounting policies and procedures manual, which will be maintained, reviewed and updated, on a regular basis, to the
latest U.S. GAAP accounting standards, strengthening corporate governance as well as general control over our information technology.
While we believe these efforts, once completed, will remediate the material weaknesses, we may not be able to complete our evaluation,
testing or any required remediation in a timely fashion, or at all. We cannot assure you that the measures we have taken to date and
may take in the future, will be sufficient to remediate the control deficiencies that led to our material weaknesses in internal control
over financial reporting, to prevent the identification of significant deficiencies in the future or that they will prevent or avoid
potential future material weaknesses. The effectiveness of our internal control over financial reporting is subject to various inherent
limitations, including cost limitations, judgments used in decision making, assumptions about the likelihood of future events, the possibility
of human error and the risk of fraud. If we are unable to remediate the material weaknesses, our ability to record, process and report
financial information accurately, and to prepare financial statements within the time periods required of public companies could be adversely
affected which, in turn, may adversely affect our reputation and business and the market price of our common stock. In addition, any
such failures could result in litigation or regulatory actions by the SEC or other regulatory authorities, loss of investor confidence,
delisting of our securities and harm our reputation and financial condition, or diversion of financial and management resources from
the operation of our business.

The markets in which we operate are in their
infancy and highly competitive, and we may not be successful in competing in this industry.

The market of electric two-wheel
vehicles is in its infancy, and we expect it will become more competitive in the future. There is no assurance that our vehicles will
be successful in the respective markets in which they compete. A significant and growing number of established and new companies, as well
as other companies, have entered or are reported to have plans to enter the electric vehicle market. Most of our current and potential