Autofurnish Ltd IPO

The company manufacturing operations were temporarily discontinued in the past, which adversely affected its business, results of operations, financial condition, and cash flows, and similar disruptions in the future may have a material adverse effect.

The company derives a significant part of the company revenue from selected customers. If one or more of such customers choose not to source their requirements from its, the company business, financial condition and results of operations may be adversely affected.

The company business is manpower intensive and any unavailability of its employees or shortage of labour or any strikes, work stoppages, increased wages demands by workmen or changes in regulations governing hiring of labour may have an adverse impact on its cash flows and results of operations.

The company relies on affidavits provided by its promoter group and group companies regarding shareholding in other entities.

The company profitability has significantly increased in recent periods, and there is no assurance that its will be able to sustain such growth in the future.

There has been instances of delayed filings and erroneous filings of certain forms which were required to be filed as per the reporting requirements under the Companies Act, 2013 to ROC.

The company manufacturing operations were previously disrupted due to commercial disputes, which impacted its product-wise revenue mix and capacity utilization, and any recurrence of such issues may adversely affect the company business.

The company does not has documentary evidence for the acquisition of the business of M/s. Autofurnish, the proprietorship concern, into its Company, which may expose the company to potential risks relating to historical performance, compliance, and liabilities.

The Company has filed a compounding application in relation to Private Placement under Section 42 of the Companies Act, 2013.

Major proportion of the company revenue from operations derives from the state of Delhi. Any adverse changes in the conditions affecting these regions can adversely affect its business, financial condition and results of operations.