Company: FWFW
Filing Date: 2025-01-14
Form Type: 10-K
Source: 0001493152-25-002097
Chunk: 68

Company: FLYWHEEL ADVANCED TECHNOLOGY, INC.
Filing Date: 2025-01-14
Form: 10-K
Item: Item 1A
Chunk 68
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 in a limited
geographic area. While larger companies have the ability to manage their risk by diversifying their operations among different industries
and regions, smaller companies such as ours and the entities we anticipate reviewing for a potential business combination generally lack
diversification, in terms of both the nature and geographic scope of their business. As a result, we will likely be impacted more acutely
by risks affecting the industry or the region in which we operate than we would if our business were more diversified. In addition to
general economic risks, we could be exposed to natural disasters, civil unrest, technological advances, and other uncontrollable developments
that will threaten our viability if and to the extent our future operations are limited to a single industry or region. If we do not
diversify our operations, our financial condition and results of operations will be at risk.

Changes
in laws or regulations, or a failure to comply with the laws and regulations applicable to us, may adversely affect our business, ability
to negotiate and complete a business combination, and results of operations.

We
are subject to laws and regulations enacted by federal, state, and local governments. In addition to SEC regulations, any business we
acquire in the future may be subject to substantial legal or regulatory oversight and restrictions, which could hinder our growth and
expend material amounts on compliance. Compliance with, and monitoring of, applicable laws and regulations may be difficult, time consuming
and costly. Those laws and regulations and their interpretation and application by courts and administrative judges may also change from
time to time, and any such changes could be unfavorable to us and could have a material adverse effect on our business, investments,
and results of operations. In addition, a failure to comply with applicable laws or regulations, as interpreted and applied, could result
in material defense or remedial costs and/or damages have a material adverse effect on our financial condition.

Risks
Related to Our Common Stock

Due
to factors beyond our control, our stock price may be volatile.

There
is currently a limited market for our Common Stock, and there can be no guarantee that an active market for our Common Stock will develop,
even if we are successful in consummating a business combination. Recently, the price of our Common Stock has been volatile for no reason.
Further, even if an active market for our Common Stock develops, it will likely be subject to significant price volatility when compared
to more seasoned issuers. We expect that the price of our Common Stock will continue to be