Risk Warning
Frenzi Apps UK Ltd (the “Company”) is registered in England and Wales under company number 12638805. The Company is targeted exclusively at investors who are sufficiently sophisticated to understand the risks and make their own investment decisions.
Investment may only be made on the Terms of the Information Memorandum (subject to and all disclaimers and limitations set out therein) and subject to the Terms and Conditions contained therein and Articles of Association of the Company.
Throughout the Company’s website you may find links to external websites. Although we make every effort to ensure these links are accurate, up to date and relevant, the Company cannot take responsibility for pages maintained by external providers.
There are a number of risks you should be aware of before investing.
Investment loss
Your capital is at risk if you invest in the Company. Young, growth businesses have a high failure rate. You must assume that many of young, growth businesses in which you invest are likely to experience difficulties and in some cases will become insolvent. As a result you may lose all of your capital.
Diversification
Although the Company does not provide any advice or recommendations in relation to investments it is typically considered prudent for investors to consider balancing their risk with safer, more liquid investments.
Limited liquidity
Shares in the Company are extremely illiquid – meaning that there are very few opportunities to buy and sell them. Once you have bought shares in the Company, it is extremely unlikely that you will be able to sell them through a secondary marketplace. In other words, it is likely that you would have to hold on to them until there is a strategic exit – like a share buy-back, management buy-out or a complete sale of the Company.
Rarity of dividends
The Company does not pay any dividends to shareholders. That means you are unlikely to receive any income from your shares. You will need to wait until a successful exit before receiving any gains.
Share dilution
Shares in the Company are subject to dilution. If the Company wants to raise more capital at a later date, it will probably issue new shares to new investors, thereby reducing the percentage that you own. Your investment could also be diluted as a result of options being granted to employees of, service providers to or certain other parties connected with, the Company.
Tax treatment of shares
Tax reliefs are not guaranteed. They depend on the Company maintaining their qualifying status, and may be withdrawn at any time by HM Revenue & Customs. In addition, the tax treatment of EIS and SEIS schemes in the future depends on the individual circumstances of each investor and may be subject to change in future.
Past and forecast performance
If you are investing in the Company you should not assume that past performance is a reliable indicator of future performance. By the same token you should not assume that the Company’s forecasts for future sales are reliable or likely to happen.
Advice
The Company is not authorised or regulated by the Financial Conduct Authority.
The Company, its directors, officers, affiliates, employees, advisers, consultants, and agents do not provide any financial, investment, tax, legal, accounting, or any other kind of advice, nor do they advise on the suitability and appropriateness of investing in the Company.
If you require professional advice please engage an advisor authorised and regulated by the FCA.