Company: JWEL
Filing Date: 2025-05-09
Form Type: 20-F
Source: 0001213900-25-041556
Chunk: 84

Company: Jowell Global Ltd.
Filing Date: 2025-05-09
Form: 20-F
Item: Item 4A
Chunk 84
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 as shareholder’s equity or that are not reflected in our consolidated
financial statements. Furthermore, we do not have any retained or contingent interest in assets transferred to an unconsolidated
entity that serves as credit, liquidity or market risk support to such an entity. We do not have any variable interest in any
unconsolidated entity that provides financing, liquidity, market risk or credit support to us or that engages in leasing, hedging or
research and development services with us.

Assets Held By and the Operations of Entities
Apart From the Consolidated VIE

The Company and its subsidiaries are all holding
companies, except for the consolidated VIE. The only assets held by the Company and its subsidiaries are the cash in their bank accounts.
The uncertainties in the PRC legal system could cause the relevant regulatory authorities to find our current VIE Agreements with VIE
to be in violation of any existing or future PRC laws or regulations and could limit the Company’s ability to enforce its rights
under these contractual arrangements. Furthermore, the nominee shareholders of the VIE may have interests that are different from those
of the Company, which could potentially increase the risk that they would seek to act contrary to the terms of the VIE Agreements with
the VIE. In addition, if the nominee shareholders will not remain the shareholders of the VIE, breach, or cause the VIE to breach, or
refuse to renew the existing contractual arrangements the Company has with them and the VIE, the Company may not be able to effectively
control the VIE and receive economic benefits from them, which may result in deconsolidation of the VIE.

JOBS Act

On April 5, 2012, the JOBS Act was signed
into law. The JOBS Act contains provisions that, among other things, relax certain reporting requirements for qualifying public companies.
We are qualified as an “emerging growth company” and under the JOBS Act we will be allowed to comply with new or revised accounting
pronouncements based on the effective date for private (not publicly traded) companies. We are electing to delay the adoption of new or
revised accounting standards, and as a result, we may not comply with new or revised accounting standards on the relevant dates on which
adoption of such standards is required for non-emerging growth companies. As a result, our financial statements may not be comparable
to companies that comply with new or revised accounting pronouncements as of public company effective dates.

Quantitative