Company: ZDAN
Filing Date: 2025-06-30
Form Type: F-1
Source: 0001683168-25-004840
Chunk: 150

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-06-30
Form: F-1
Chunk 150
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 respectively.

Net income

As a result of the foregoing,
we recorded net income of $2,711,275 and $2,522,852 in the fiscal years ended September 30, 2024 and 2023, respectively.

Liquidity and Capital Resources

Our primary sources of liquidity
consist of existing cash balances and cash flows from our operating activities, capital contribution from shareholders and loan from
related parties and banks. We received proceeds from short-term bank loan of $694,028 and $425,332 for the fiscal years ended September
30, 2024 and 2023, respectively. We made a repayment of short-term bank loan of $416,417 for the fiscal year ended September 30, 2024.
We received a capital contribution from our shareholders of nil and $238,113 for the fiscal years ended September 30, 2024 and 2023,
respectively. We received a loan from related parties of $13,881 and $1,458,321 for the fiscal years ended September 30, 2024 and 2023,
respectively. We made a prepayment of loan from related parties of $13,881 and $663,669 for the fiscal years ended September 30, 2024
and 2023, respectively.

As of September 30, 2024,
we had cash and cash equivalents of $105,706.

| 85 |

We believe that our current
levels of cash, combined with the net proceeds from this offering, will be sufficient to meet our anticipated cash needs for our operations
and expansion plans for at least the next 12 months. We may, however, in the future require additional cash resources, due to changing
business conditions, implementation of our strategy to expand our business, or other investments or acquisitions we may decide to pursue.
If our own financial resources are insufficient to satisfy our capital requirements, we may seek to sell additional equity or debt securities
or obtain additional credit facilities. The sale of additional equity securities could result in dilution to our shareholders. The incurrence
of indebtedness would result in increased debt service obligations and could require us to agree to operating and financial covenants
that would restrict our operations. Financing may not be available in amounts or on terms acceptable to us, if at all. Any failure by
us to raise additional funds on terms favorable to us, or at all, could limit our ability to expand our business operations and could
harm our overall business prospects.