Company: MASK
Filing Date: 2025-06-24
Form Type: F-1
Source: 0001185185-25-000685
Chunk: 61

Company: 3 E Network Technology Group Ltd
Filing Date: 2025-06-24
Form: F-1
Chunk 61
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 quickly as we anticipate or at all.

If we are unable to collect our receivables
from our customers, our results of operations and cash flows could be adversely affected.

Our business depends on our ability to successfully
obtain payment from our customers of the amounts they owe us for work performed. As of June 30, 2024 and December 31, 2024, our
accounts receivable balance, net of allowance, amounted to approximately US$2,098,227 and US$2,683,251, respectively. For the years ended
June 30, 2024 and 2023, US$46,981 and nil allowance of doubtful accounts were provided for the Company’s total accounts receivable
balance, respectively. For the year ended June 30, 2024, US$46,706 or 2.2% of the Company’s total accounts receivable balance
were provided as allowance of doubtful accounts. Since we generally do not require collateral or other security from our customers, we
establish an allowance for doubtful accounts based upon estimates, historical experience and other factors surrounding the credit risk
of specific customers. However, actual losses on customer receivables balance could differ from those that we anticipate and as a result
we might need to adjust our allowance. There is no guarantee that we will accurately assess the creditworthiness of our customers. Macroeconomic
conditions, including related turmoil in the global financial system, could also result in financial difficulties for our customers,
including limited access to the credit markets, insolvency or bankruptcy, and as a result could cause customers to delay payments to
us, request modifications to their payment arrangements that could increase our receivables balance, or default on their payment obligations
to us. As a result, an extended delay or default in payment relating to a significant account will have a material and adverse effect
on the aging schedule and turnover days of our accounts receivable. If we are unable to collect our receivables from our customers
in accordance with the contracts with our customers, our results of operations and cash flows could be adversely affected.

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A significant portion of our income is
generated, and will in the future continue to be generated, on a project basis with a fixed price; we may not be able to accurately estimate
costs and determine resource requirements in relation to our projects, which would reduce our margins and profitability.

A significant portion of our income is
generated, and will in the future