Gajanand Inter.

Good track record.

Government support Textile industry.

Leveraging the experience of its Promoters.

Experienced management team and a motivated and efficient work force.

Cordial relations with its consumers.

Quality assurance and control.

Its business is subject to seasonal volatility which contributes to fluctuations in the company`s results of operations and financial condition.

The company does not have long term contracts with its suppliers and therefore, there may be potential unavailability of raw materials (Supply Chain Risks) in future which may adversely affect its business operations.

Its present promoters of the Company are first generation entrepreneurs.

The Company has negative cash flows from its operating activities, investing activities as well as financing activities in the current and past years, details of which are given below. Sustained negative cash flow could impact its growth and business.

Omission of Some Objects in the Memorandum of Association of the Company.

Its top 5 customers contributed 84.39%, 85% and 98% of the company total revenue from operations for the year ended March 31, 2024, for the year ended March 31, 2023 and for the year ended March 31, 2022. Any loss of business from one or more of them may adversely affect its revenues and profitability.

The company has not entered into any long term or definitive agreements with its customers. If the company customers choose not to source their requirements from it, its business, financial condition and results of operations may be adversely affected.

Its top 5 customers contributed 84.39%, 85%and 98% of the company total revenue from operations for the year ended March 31, 2024, for the year ended March 31, 2023 and for the year ended March 31, 2022. Any loss of business from one or more of them may adversely affect its revenues and profitability.

Its dependence upon transportation services for supply and transportation of the company products are subject to various uncertainties and risks, and delays in delivery may result in rejection of products by customer.

Any adverse movement in the price of the raw material may affect the price of the finished products and affect its profitability.

The company operates in a competitive industry and any failures to compete effectively may result in a decline in its market share.

The company requires a number of approvals, licenses, registration and permits for its business and failures to obtain or renew them in a timely manner may adversely affect its operations. In some cases, its may be operating without all the required permissions, risking civil and criminal sanctions.

Its results of operations could be adversely affected by a disruption of operations at the company manufacturing facilities.

Its business is dependent on the company manufacturing facilities and the company is subject to certain related risks. Unplanned slowdowns, unscheduled shutdowns or prolonged disruptions in its manufacturing operations or underutilization of the company manufacturing capacities could have an adverse effect on its business, results of operations, cash flows and financial condition.

The present production capacity installed at its manufacturing unit is not fully utilized.

Its existing manufacturing operation is geographically located at one place. Hence, the company may face the risk of geographical non-diversification of manufacturing facilities.

The prices the company is able to obtain for its products that its trade depend largely on prevailing market prices.

If the company is unable to establish and maintain an effective system of internal controls and compliances, its business and reputation could be adversely affected.

In the event there is any delay in the completion of the Issue, there would be a corresponding delay in the completion of the objects of this Issue which would in turn affect its revenues and results of operations.

The Company has entered into certain related Party transactions and may continue to do so in the future.

Failures to effectively manage labour or failures to ensure availability of sufficient labour could affect the business operations of the Company.

Certain Agreements, deeds or licenses may be in the previous name of the company.

The company depends on certain brand names and logo "GAJANAND INTERNATIONAL LIMITED" that the company may not be able to protect and/or maintain.

The company has incurred substantial indebtedness which exposes it to various risks which may have an adverse effect on its business and results of operations.

The Company has availed unsecured loans which are repayable on demand. Any demand from lenders for repayment of such unsecured loans, may adversely affect its cash flow.

There is no monitoring agency appointed by the Company and the deployment of funds are at the discretion of its Management and the company Board of Directors, though it shall be monitored by its Audit Committee.

The Company, Promoters, and Directors are involved in certain legal and regulatory proceedings. Any adverse decision in such proceedings may have a material adverse effect on its business, financial condition, cash flows and results of operations.

Any changes in regulations or applicable government incentives would adversely affect the Company`s operations and growth prospects.

The company sell its products in highly competitive markets and the company inability to compete effectively may lead to lower market share or reduced operating margins, and adversely affect its results of operations.

The company is subject to risks associated with expansion into new geographic regions.

Its success depends largely on the company senior management and other key personnel and its ability to attract and retain them.

The average cost of acquisition of Equity Shares by its Promoter is lower than the issue price.

The present production capacity installed at its manufacturing unit is not fully utilized.

Its ability to pay dividends in the future will depends upon the company`s future earnings, financial condition, cash flows, working capital requirements, capital expenditure and restrictive covenants in its financing arrangements.

Its future funds requirements, in the form of fresh issue of capital or securities and/or loans taken by it, may be prejudicial to the interest of the shareholders depending upon the terms on which they are eventually raised.

Obsolescence, destruction, theft, breakdowns of its major plants or machineries or failures to repair or maintain the same may affect its business, cash flows, financial condition and results of operations.

Certain information contained in this Prospectus is based on management estimates and the company cannot assure you of the completeness or accuracy of the data.

Certain of its old corporate records are not available with the company.

Its ability to pay dividends in the future will depends upon the company future earnings, financial condition, cash flows, working capital requirements, capital expenditure and restrictive covenants in its financing arrangements.

The company cannot assure you that its equity shares will be listed on the NSE Emerge in a timely manner or at all, which may restrict your ability to dispose of the equity shares.

Its may not be successful in implementing the company`s business strategies.

The Company has file e-form with delayed fees and have received Regulators orders against it.