1. Our company doesn't own any land or any other facilities including the current warehouses and registered offices. All of these properties are owned by our Promoter and Promoter Group and are provided on the rental basis to our company.
2. Our Company is dependent on a few suppliers for purchase of product. Loss of any of these large suppliers may affect our business operations. Moreover, significant revenue of our company is from related party.
3. Our Company has not entered into any agreements/ contracts for the supply of products. Risks related to shortfall or non-availability of products may adversely affect our manufacturing processes and have an adverse impact on our operations and financial condition.
4. Our Group Companies and also Promoter Group Entities is engaged in similar line of business.
5. Historically, we have been engaged in the business of Paper trading. Company is proposing to setup Waste paper processing Units. The activity of setting up a processing unit of wastepaper is a segment which our company has limited operating history, which, may make it difficult for the investor to evaluate our historical performance or future prospectus.
6. Our company has a significant sale generated from state of Gujarat and any adverse developments affecting our operations in this state could have an adverse development affecting our operation in this state could have an adverse impact on our revenue and results of operation.
7. Our Group company which constitutes a significant part of our related party transactions M/s Majethia Papers Private Limited is currently involved a criminal case and in certain other tax related proceedings which are currently pending at various jurisdiction which may adversely affect the business of M/s Majethia Papers Private Limited impacting the scale of its business and affecting the going concern of the M/s Majethia Papers Private Limited which will ultimately affect our transactions and profitability ending up exposing our company to huge risk.
8. We have not yet placed orders in relation to the funding Capital Expenditure towards Setting up of Wastepaper Processing Units. In the event of any delay in placing the orders, or in the event the lessors are not able to start the Civil work in a timely manner, or at all, may result in time and cost over-runs and our business, prospects and results of operations may be adversely affected. Our proposed processing Units plans are subject to the risk of unanticipated delays in implementation due to factors including delays in construction, obtaining regulatory approvals in timely manner and cost overruns.
9. Our Company has lapsed /delayed in making the required filings under Companies Act, 2013 .
10. Our Company is dependent on few numbers of customers for sales. Loss of any of this large customer may affect our revenues and profitability.