Organizational stability along with management expertise.
Established reputation and customer relationships.
Focus on consistently meeting quality standards.
Experienced Management Team and a motivated and efficient workforce.
Significant portion of the company's revenue has been generated from Eastern part of India, any loss of business from these states may adversely affect its revenues and profitability.
The company's business is substantially dependent on certain key customers, from whom the company derives a significant portion of its revenues. The loss of any significant customers may have a material and adverse effect on the company's business and results of operations.
The company's manufacturing relies on contract manufacturers who operates independently, which could introduce the company to potential risks stemming from any challenges or changes affecting their operations.
The Company operations requires significant amount of working capital for a continuing growth. The company's inability to meet its working capital requirements may adversely affect the company's results of operations.
The Company has negative cash flows from its operating activities, investing activities and financing activities majorly in the prior period, details of which are given below. Sustained negative cash flow could impact the company's growth and business.
The company is dependent on its suppliers for uninterrupted supply of Raw-Materials. Any shortfall in the supply of the company's raw materials, or an increase in its raw material costs and other input costs, may adversely affect the pricing and supply of the company's products with subsequently having an adverse effect on the business, results of operations and financial conditions of the company.
As a company involved in wholesale distribution, the company may faces credit risks if its retail partners fails to meet payment obligations. Delays or defaults in payments could affect the company's cash flow and financial stability.
The company's business is both manpower and machine intensive. The company's business may be adversely affected by strikes, work stoppages, increased wage demands by the company's employees, or any other kind of disputes with its employees, and if the company is unable to engages with new contractual workers at commercially attractive terms.
Fluctuations in the prices of key raw materials such as gold and copper may impact the Company's cost structure, as these metals are widely used in the manufacturing of artificial jewellery.
The Company has proposed to acquire a property for setting up a new showroom, however definitive agreements in relation to such acquisition have not yet been executed.
