Company: ZDAN
Filing Date: 2025-07-28
Form Type: F-1/A
Source: 0001683168-25-005450
Chunk: 69

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-07-28
Form: F-1/A
Chunk 69
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 are subject to environmental inspections and regulations. As of the date of this prospectus,
we cannot assure you that all the factories and offices are in strict compliance with such environmental inspections and regulations based
on our knowledge. If such facilities fail to rectify and pass the environmental inspections or comply with relevant environmental requirements
relating to production activities in a timely manner, they may be subject to fines, rectification, suspension and closure, which may materially
and adversely affect the production at the VIE’s office and in turn may impact its business. In the event of any changes in the
PRC laws and/or regulations and/or government policies on environmental protection and more stringent requirements are imposed on the
VIE’s and its suppliers, the VIE may have to incur extra costs and expenses to comply with such requirements and the VIE’s
business and results of operations may be adversely affected.

Furthermore, the VIE’s
facilities are located on leased properties. Though such leases are renewable upon expiration, the VIE’s ability to renew existing
leases upon their expiration is crucial to the VIE’s production activities, operations and profitability. If the VIE is unable
to negotiate for a renewal of the relevant leases, the VIE may be forced to relocate its production bases and it may be difficult and
costly to replace or relocate the facilities and equipment on a timely basis. If the VIE fails to address the risks mentioned above,
its production will be materially and adversely affected.

If the VIE or its suppliers
experience any unanticipated disruptions, the VIE’s production will be severely disrupted, which may in turn materially and adversely
affect the VIE’s business, financial condition and results of operations.

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The VIE may be exposed to intellectual property infringement and other claims by third parties which, if successful, could disrupt the VIE’s business and have a material adverse effect on our financial condition and results of operations.

The VIE’s success depends,
in large part, on its ability to use and develop its technology and know-how without infringing third-party intellectual property rights.
As intellectual property litigation becomes more common in the PRC, the VIE faces a higher risk of being the subject of claims for intellectual
property infringement, invalidity or indemnification relating to other parties’ proprietary rights. The VIE’s current or potential
competitors, many of which have substantial resources and have made substantial investments in competing technologies, may have or may
obtain patents that will prevent, limit or interfere with