Company: ZDAN
Filing Date: 2025-02-18
Form Type: DRS/A
Source: 0001683168-25-001085
Chunk: 78

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-02-18
Form: DRS/A
Chunk 78
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, results of operation, and financial condition.

We believe that customer
satisfaction is key to our business. In order to deliver high-level customer satisfaction, the VIE must successfully assist its distributors
in deploying and continuing to use the VIE’s products and solutions, resolving performance issues, and responding to performance
and reliability problems that may arise from time to time. Because the VIE’s platform and products are designed to be highly configurable
and to rapidly implement customers’ reconfigurations, customer errors in configuring the VIE’s platform and products can
result in significant disruption to its distributors.

There can be no assurance
that the VIE will be able to hire sufficient personnel as and when needed, particularly if the VIE’s sales exceeds its internal
forecasts. To the extent that the VIE is unsuccessful in hiring, training, and retaining adequate support resources, the VIE’s
ability to provide high-quality and timely support to its distributors will be negatively impacted, and the VIE’s customers’
satisfaction with the VIE’s network could be adversely affected. Any failure to maintain high-quality customer support, or a market
perception that the VIE does not maintain high-quality customer support, could adversely affect our reputation, business, results of
operations, and financial condition, particularly with respect to our large enterprise customers.

Defects or errors in the VIE’s products or solutions could diminish demand for the VIE’s products or solutions, harm the VIE’s business and results of operations and subject the VIE to liability.

The VIE’s customers
use its products for important aspects of its businesses, and any errors, defects or disruptions to the VIE’s products and any
other performance problems with the VIE’s products could damage the VIE’s customers’ businesses and, in turn, hurt
the VIE’s brand and reputation. The VIE provides regular updates to its products, which have in the past contained, and may in
the future contain, undetected errors, failures, vulnerabilities and bugs when first introduced or released. Real or perceived errors,
failures or bugs in our products could result in negative publicity, loss of or delay in market acceptance of the VIE’s platform,
loss of competitive position, lower customer retention or claims by customers for losses sustained by them. In such an event, the VIE
may be required, or may choose, for customer relations or other reasons, to expend additional resources in order to help correct the
problem. In addition, the V