YCQH Agricultural Technology Co. Ltd

ITEM 1A. RISK FACTORS

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item. Despite the fact that we are not required to provide risk factors, we consider the following factors to be risks to our continued growth and development:

We may face challenges in executing its business plan if it cannot secure adequate capital and may be compelled to incur high capital costs.

Our ability to successfully identify, acquire, and develop new business opportunities depends significantly on our access to sufficient capital. As of the date of this report, we are no longer engaged in our previous business segments, including the wholesale and retail of BCBF, online sales of consumer goods through e-commerce platforms, and trading of beauty products. We have exited these lines of business and are actively evaluating new strategic directions, including potential acquisitions.

The transition away from our historical operations means we currently lack a stable revenue-generating business. As a result, we may require substantial capital to support due diligence efforts, fund potential acquisitions, cover ongoing operating expenses, and establish the infrastructure and personnel needed to launch or integrate new businesses. Re-entering a product-driven or distribution-based business would likely require investment in logistics, marketing, and supply chain relationships. Similarly, restarting or expanding an e-commerce or consumer-facing business would necessitate upfront spending on technology, platform development, customer acquisition, and supplier coordination. If we are unable to secure adequate financing on commercially reasonable terms, we may be forced to delay, modify, or abandon elements of our business plan. In particular, insufficient capital could prevent us from completing acquisitions we are currently evaluating or responding to time-sensitive opportunities.

Moreover, if financing is only available at a high cost or with unfavorable terms, it could adversely impact our financial condition and strategic flexibility. For example, raising capital through equity issuances may dilute the interests of our existing shareholders, while debt financing could increase our leverage and financial risk.

Our ability to obtain additional capital is subject to a number of uncertainties, including investor sentiment, market conditions, our financial performance, and the perceived viability of our future business plans. There is no assurance that we will be able to raise sufficient funding on acceptable terms or at all, which could materially and adversely affect our ability to pursue and implement our long-term growth strategy.

Our operational performance and financial results may be adversely impacted by prevailing global market and economic conditions, including ongoing geopolitical instability in various regions.

Our business, financial condition, and results of operations may be materially affected by global economic and market conditions beyond our control. Factors such as rising inflation, interest rate volatility, fluctuations in currency exchange rates, disruptions in global supply chains, and labor market constraints can impact the availability and cost of capital, investor sentiment, and the valuation of potential acquisition targets. In particular, continued geopolitical instability in regions such as Eastern Europe, the Middle East, and East Asia may lead to heightened market uncertainty, increased commodity and transportation costs, and shifts in regulatory or trade policies that could disrupt business operations globally.

These macroeconomic and geopolitical factors may also reduce the availability of viable business opportunities or affect the performance of any business we acquire. Furthermore, investor risk appetite and access to funding may decline during periods of market stress, directly impacting our ability to raise capital or execute our strategic plans. If such adverse conditions persist or worsen, our ability to identify, finance, or operate new business ventures could be significantly impaired.