Company: LDDD
Filing Date: 2025-09-26
Form Type: 10-K
Source: 0001213900-25-091988
Chunk: 113

Company: Longduoduo Co Ltd
Filing Date: 2025-09-26
Form: 10-K
Item: Item 1A
Chunk 113
---
 become
worthless. 

PRC
regulation of loans to, and direct investments in, PRC entities by offshore holding companies may delay or prevent us from using our
capital reserves to make loans or additional capital contributions to our PRC operating subsidiaries.

As
an offshore holding company with PRC subsidiaries, we may transfer funds to our PRC subsidiaries or finance our operating entity by means
of loans or capital contributions. Any capital contributions or loans that we, as an offshore entity, make to our Company’s PRC
subsidiaries, are subject to PRC regulations. Any loans to our PRC subsidiaries, which are foreign-invested enterprises, cannot exceed
statutory limits based on the difference between the amount of our investments and registered capital in such subsidiaries, and shall
be registered with SAFE, or its local counterparts. Furthermore, any capital increase contributions we make to our PRC subsidiaries,
which are foreign-invested enterprises, are subject to the requirement of making necessary filings in FICMIS, and registration with other
government authorities in China. We may not be able to obtain these government registrations or approvals on a timely basis, if at all.
If we fail to obtain such approvals or make such registration, our ability to make equity contributions or provide loans to our Company’s
PRC subsidiaries or to fund their operations may be negatively affected, which may adversely affect their liquidity and ability to fund
their working capital and expansion projects and meet their obligations and commitments. As a result, our liquidity and our ability to
fund and expand our business may be negatively affected.  

Because
our principal assets are located outside of the United States and because all of our directors and all our officers reside in China,
it may be difficult for you to use the United States Federal securities laws to enforce your rights against us and our officers or to
enforce judgments of United States courts against us or them in the PRC.

Our
Company conducts substantially all of its operations in China, and substantially all of the assets reflected on our balance sheet are
located in China. In addition, all members of our board of directors and all of our senior executive officers reside within China and
are PRC nationals. As a result, it may be difficult for our shareholders to effect service of process upon those persons inside China.
In addition, China does not have treaties providing for the reciprocal recognition and enforcement of judgments of courts with the United
States. Therefore, recognition and enforcement in China of judgments of a court in the United States