AccelerateBS Ind

Risks

• The company revenues from operations are highly dependent on customers located in the United States. Worsening economic conditions or factors that negatively affect the economic conditions of the United States could materially adversely affect its business, financial condition and results of operations.

• If the company fail to attract and retain highly skilled IT professionals, its may not have the necessary resources to properly staff projects, and failure to successfully compete for such IT professionals could materially adversely affect the company business, financial condition and results of operations.

• The current and continuing effect of the COVID-19 pandemic on the company business, results of operations, operations and financial condition is highly uncertain and cannot be predicted.

• The company is dependent on its top 5 customers for the revenues. Further the company do not have any long-term commitments from customers and any failure to continue its existing arrangements could adversely affect the company business and results of operations.

• The company may become liable to the customers and lose customers if its has defects or disruptions in the company service. The company may also be liable in the event of misuse of its services or platforms.

• The company product and services expose it to numerous risks, including sometimes conflicting legal and regulatory requirements, and violation of these regulations could adversely its business and results of operations.

• The company Promoters and directors play key role in its functioning and its heavily rely on his knowledge and experience in operating the company business and therefore, it is critical for its business that the company Promoters remain associated with it.

• The Restated Financial Statements have been provided by Peer Reviewed Chartered Accountants who is not Statutory Auditor of the Company.

• The company generate a significant portion of its revenues from a small number of customers, and any loss or reduction of business from these customers could reduce the company revenues and materially adversely affect its business, financial condition, and results of operations.

• The company inability to cater to the evolving consumer preferences, in India and abroad, IT industry may affect its business operations, cash flows and results of operations.

• The Company logo "AccelerateBS" is not registered with Registrar of Trademark; any infringement of its brand name or failure to get it registered may adversely affect the company business. Further, any kind of negative publicity or misuse of its brand name could hamper the company brand building efforts and its future growth strategy could be adversely affected.

• The Company had negative cash flows in the past years, details of which are given below. Sustained negative cash flow could impact its growth and business.

• The company operate in a rapidly evolving industry, which makes it difficult to evaluate its future prospects and may increase the risk that the company will not continue to be successful. If its are not successful, it could materially adversely affect the company business, reputation and cash flows.

• The company existing international operations and its plans to expand into additional overseas markets subject to various business, economic, political, regulatory and legal risks.

• The company face strong competition from onshore and offshore IT services companies, and increased competition, its inability to compete successfully against competitors, pricing pressures or loss of market share could materially adversely affect the company business, financial condition and results of operations.

• The company utilize the services of certain consultants for some of its operations. Any deficiency or interruption in their services could adversely affect the company business operations and reputation.

• Undetected software design defects, errors or failures may result in loss of or delay in market acceptance of the company services or in liabilities that could materially adversely affect its business, financial condition and results of operations.

• The company Registered Office and branch office is not owned by it. In the event its lose such rights, the company business, financial condition and results of operations and cash flows could be adversely affected.

• The company require working capital for its smooth day-to-day operations of business and any discontinuance or the company inability to acquire adequate working capital timely and on favourable terms may have an adverse effect on its operations, profitability and growth prospects.

• The company incorporate third-party open-source software into its customer deliverables and the company failure to comply with the terms of the underlying open-source software licenses could adversely impact its customers and create potential liability on it.

• Any adverse change in regulations governing the company business and business of its clients, may adversely impact the company business prospects and results of operations.

• Failure to offer client support in a timely and effective manner may adversely affect the company relationships with its clients.

• The company use third-party software, hardware and Software-As-A-Service (SaaS), technologies from third parties that may be difficult to replace or that may cause errors or defects in, or failures of, the services or solutions the company provide.

• If the company has not successful in managing increasingly large and complex projects, its may not achieve the financial goals and the company results of operations could be materially adversely affected.

• The company inability to obtain, renew or maintain its statutory and regulatory permits and approvals required to operate the company business may have a material adverse effect on its business, financial condition and results of operations.

• Interruptions or performance problems associated with the company technology and infrastructure may harm its business and results of operations.

• The company has been recently incorporated the company and any non-compliance with the provisions of Companies Act, 2013 may attract penalties against the Company which could impact its financial and operational performance and reputation.

• Failure to perform or observe any contractual obligations could result in cancellation or non- renewal of a contract, which could cause it to experience a higher-than-expected number of unassigned employees and an increase in the company expenses as a percentage of revenues, until we are able to reduce or reallocate its headcount and may adversely affect the company business, results of operations and financial condition.

• The company has in the past experienced, and may in the future experience, a long selling and implementation cycle with respect to certain projects that require it to make significant resource commitments prior to realising revenue for the company services.

• Significant disruptions in the company information technology systems or breaches of data security could adversely affect its business and reputation.

• If the company is unable to source business opportunities effectively, its may not achieve it financial objectives.

• The company is dependent on a number of key managerial personnel and its senior management, and the loss of or the company inability to attract or retain such persons with specialized technical know-how could adversely affect its business, results of operations, cash flows and financial condition.

• The company may not be able to recognise revenues in the period in which its product and services are performed, which may cause its margins to fluctuate.

• The company Promoters and Promoter Group will continue to retain significant control in the Company, which will allow them to influence the outcome of matters submitted to shareholders for approval.

• The Company has entered into related party transactions in the past and may continue to enter into related party transactions in the future, which may potentially involve conflicts of interest with the equity shareholders.

• In addition to normal remuneration, other benefits and reimbursement of expenses some of the company directors (including the Promoter) are interested in its Company to the extent of their shareholding and dividend entitlement in the Company.

• The company business, results of operations and financial condition could be negatively affected if its incur legal liability, including with respect to the company indemnification obligations, in connection with providing its solutions and services.

• The company international sales and operations are subject to many uncertainties and the company is exposed to foreign currency exchange rate fluctuations.

• The company actual results could differ from the estimates and projections used to prepare its financial statements.

• Certain agreements may be inadequately stamped or may not have been registered as a result of which the company operations may be adversely affected.

• The Company`s insurance coverage may not be adequate to protect it against all material hazards which may result in disruptions of operations/monetary loss on account of stoppage of work.

• If the company fail to maintain an effective system of internal controls, its may not be able to successfully manage, or accurately report, the company financial risks.

• Product development is a long, expensive and uncertain process and the company current expenditure in product development may not provide a sufficient or timely return.

• If security measures implemented by it are compromised or if the company products and services are perceived as vulnerable, its operations could be materially adversely affected.

• The proper functioning of the company solutions may be impaired by fraudulent or malicious activity, including non-human traffic.

• The company client`s proprietary rights may be misappropriated by its employees in violation of applicable confidentiality and non-disclosure agreements and as a result, cause it to breach its contractual obligations in relation to such proprietary rights.

• Increases in wages for IT professionals could reduce the company cash flows and profit margins.

• The company may not be successful in executing its strategy to increase sales of the company offerings to new and existing large enterprise clients, its operating results may suffer.

• Industry information included in this Prospectus has been derived from industry reports. There can be no assurance that such third-party statistical, financial and other industry information is either complete or accurate.

• Within the parameters as mentioned in the chapter titled "Objects of the Offer" beginning on page 70 of this Prospectus, the Company`s management will have flexibility in applying the proceeds of this Offer. The fund requirement and deployment mentioned in the Objects of this Offer have not been appraised by any bank or financial institution.

• The deployment of funds raised through this Offer shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.

• The company ability to pay dividends in the future will depend upon its future earnings, financial condition, cash flows, working capital requirements, capital expenditure and restrictive covenants in the company financing arrangements.

• Managing employee benefit pressures in India may prevent it from sustaining the company competitive advantage which could adversely affect its business prospects and future financial performance.

• In the event there is any delay in the completion of the Offer, there would be a corresponding delay in the completion of the objects / schedule of implementation of this Offer which would in turn affect the company revenues and results of operations.

• The company have not made any alternate arrangements for meeting its capital requirements for the Objects of the Offer. Further the company has not identified any alternate source of financing the Objects of the Offer. Any shortfall in raising / meeting the same could adversely affect its growth plans, business operations and financial condition.

• The company could be harmed by employee misconduct or errors that are difficult to detect and any such incidences could adversely affect its financial condition, results of operations and reputation.

• The average cost of acquisition of Equity Shares by the company Promoters and the selling shareholders could be lower than the price determined at time of registering the Prospectus.