We are a holding company incorporated in the Cayman Islands and not a Chinese operating company. As a holding company with no material operations of our own, we conduct our operations through our subsidiaries in China and the U.S. and the VIEs in China. 

Note: “Unless otherwise indicated, all share amounts and per share amounts in this prospectus have been presented giving effect to a forward split of our ordinary shares at a ratio of 1,000-for-1 share and additional share issuances to our existing shareholders approved by our shareholders and board of directors on March 27, 2021.”

The PRC Stores and the U.S. Stores manufacture and sell a wide selection of bakery products, seasonal products (i.e. products sold during particular holiday seasons), and beverage products; some of these stores also offer eat-in services. The PRC Stores and the U.S. Stores currently focus their business in Xinjiang of the PRC and New York City, respectively, and plan to expand to other regions of the PRC and the U.S., with a goal of opening three to five new stores in China annually and eight new stores in the U.S. during the next five years. The PRC Stores and the U.S. Stores aim to make healthy, nutritious, and ready-to-eat food through advanced facilities and industry research and to create a comfortable, yet distinguishable store environment in which customers can enjoy their products.

The PRC Stores are a bakery chain consisting of 32 stores operated by Xinjiang United Family and the VIEs under the “George●Chanson” brand in Xinjiang, and the U.S. Stores sell their products in New York City. Chanson 3rd Ave and Chanson Broadway are currently renovating spaces for the opening of two new stores in New York City. Selling through directly-operated stores, instead of franchise stores, allows the operating entities to run their entire operation more efficiently and to exercise greater control over the quality of products and the presentation of their brand, and to better manage customer experience in the stores. The PRC Stores and the U.S. Stores also sell their products on their digital platforms and through third-party online food ordering platforms. The current customer base of the PRC Stores and the U.S. Stores consists of both individual and corporate customers. To expand their customer base, the PRC Stores and the U.S. Stores have developed a variety of marketing and sale strategies, such as increasing their presence on social media platforms, devising pricing and discounting programs, and improving customer in-store experience.

The PRC Stores manufacture the majority of bakery products in their central factory located in Urumqi, Xinjiang, prepare beverage products within the stores, and contract third-party manufacturers to produce seasonal products. the U.S. Stores bake bakery products, prepare breakfast, lunch and all-day brunch, bar food, and other light meals for eat in, and make beverage products all within the kitchen in the stores. To ensure the quality and safety of their products, the PRC Stores and the U.S. Stores procure raw materials, including flour, eggs, and milk, from renowned suppliers with a record of consistently supplying high-quality raw materials over decades in the food industry. In addition, the PRC Stores and the U.S. Stores have implemented a rigorous quality control system covering their entire operation process and mandated internal training to improve their employees’ awareness and knowledge of food safety.

The PRC Stores and the U.S. Stores have dedicated and highly experienced product development teams that constantly create new products that reflect market trends and are designed to meet customer demand. As of November 2022, the PRC Stores had more than 697 types of bakery products and seasonal products on sale, including over 135 types of new products introduced to the market since 2021, and the U.S. Stores had 123 types of eat-in menu items and bakery products on sale, including 26 types of new products introduced to the market since 2021. The PRC Stores and the U.S. Stores also offer a large number of beverage products and update their drink menus seasonally and in response to ever changing customer demand. By continuously offering new products and refining their product formulas to enhance existing products, we believe that the PRC Stores and the U.S. Stores are able to steadily bring in new customers and increase the frequency of their existing customers’ visits to their stores, digital platforms, and store page on third-party platforms.

**Note: Revenue and net income figures are for the 12 months that ended June 30, 2022.

(Note: Chanson International Holding downsized its micro-cap IPO at pricing on March 29, 2023, to 3.39 million shares – down from 3.75 million shares in the prospectus – and priced the IPO at $4.00 – the low end of its $4.00-to-$6.00 range – to raise $13.56 million. The stock is expected to start trading Thursday, March 30, on the NASDAQ. Chanson International Holding filed an F-1/A dated March 20, 2023, in which it increased the size of its IPO to 3.75 million shares and kept the price range at $4.00 to  $6.00 to raise $18.75 million. In February, Chanson switched its sole book-runner to EF Hutton – from Univest Securities – according to an F-1/A filing dated Feb. 6, 2023.)

(Chanson International Holding filed its F-1 on March 31, 2021, and disclosed terms for its IPO: 3 million shares at $4.00 to $6.00 to raise $15.0 million. )

(Note: On Dec.1, 2022, Chanson International Holding filed an F-1/A with updated financial statements for the six months through June 30, 2022.)