Infollion Resea.

Risks

• The company may not be able to maintain and enhance the quality of its existing services.

• If the company has to increase its costs associated with engaging, retaining and paying Network Members due to competition or otherwise, its business, results of operations and financial position may be harmed.

• The company relies on Network Members to provide accurate and complete information to it about their profiles and eligibility for projects.

• The profitability and success of its business depend on the company ability to identify, recruit, retain and engage Network Members.

• The company Network Members may, from time to time, possess material UPSI information, creating a risk of disclosure and a risk that clients will trade on such information.

• The company Network Members may, from time to time, possess trade secrets, state secrets, intellectual property and other confidential information, creating a risk of disclosure.

• The company clients may be connected with Network Members who have a conflict of interest or limitations from their employers, which may diminish clients` likelihood to conduct research through its and damage the company reputation.

• The company Network Members and employees may engage in misconduct or other improper activities, which could cause liability for it and harm the company reputation.

• The company business would be adversely affected if Network Members were classified as employees instead of independent contractors.

• The company is proposing deploy the proceeds of its IPO to enter into new international geographics such as USA and Europe and will face severe competition with the established players in these geographics such as GLG Network, Alpha Sight, Guide Point and Third Bridge etc.

• The company has significant employee benefit expenses, such as workers compensation, staff welfare expenses and contribution to provident and other funds. An increase in employee costs in India may prevent it from maintaining the company competitive advantage and may reduce its profitability.

• The company inability to empanelled, recruit, train and retain personnel who meet the requirements of its clients may adversely affect its reputation, business prospects and future financial performance.

• The company success will depend on its ability to attract and retain the company key managerial personnel, Senior Managemetn, technical and research team and other key personnel.

• There have been certain inadvertent inaccuracies, delay and non-compliances with respect to certain regulatory filings and corporate actions taken by the Company. Consequently, its may be subject to regulatory actions and penalties for any past or future non-compliance and its business and financial condition may be adversely affected.

• Servers for the website of the company are not owned by it. Any termination or dispute in relation to the subscription of cloud server may have an adverse effect on its business operations and results thereof".

• Within the parameters as mentioned in the chapter titled `Objects of the Offer` beginning on page 94, 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 Independent third party. While the Company will receive proceeds from the Fresh Issue, it will not receive any proceeds from the Offer for Sale.

• The company has in the past entered into transactions with related parties and may continue to do so in the future. These or any future related party transactions may potentially involve conflicts of interest and there can be no assurance that its could not have achieved better terms, had such arrangements been entered into with unrelated parties.

• The company revenue from operations is highly dependent upon a limited number of clients.

• Its may be exposed to risks and costs associated with protecting the integrity and security of its systems as well as the company clients` operational and other confidential information.

• The company presently do not own the trademark or logo under which its currently operate and if third parties infringe the trademark, logo and intellectual property that its use, the company business and reputation would be adversely affected.

• The Company may not completely utilise the Net Proceeds of the Offer for the objects stated in FY 2023-24 and FY 2024-25.

• The company is engaged in highly competitive businesses and may be unable to compete successfully against existing or new competition.

• Any errors, defects or disruption in its service or inability to meet expected or agreed service standards may lead to claims, or adversely affect revenues or future business prospects.

• Certain of its client contracts can be terminated by the company clients without cause and with limited or no notice or penalty, which could negatively impact its revenue and profitability.

• Purchase Orders not having been placed for certain IT Equipments as mentioned in the Objects to offer.

• If the company is unable to collect the company receivables from its clients, the company results of operations and cash flows could be adversely affected.

• The company inability to manage rapid growth and business diversification initiatives may disrupt its operations and adversely affect its business and growth strategies and future financial performance.

• If the company is unable to attract new clients or its existing clients do not renew their contract, the growth of its business and cash flows will be adversely affected.

• The Company has no insurance policies to cover all risk, specifically risks like liability risk, loss of profits and terrorism. In the event of the occurrence of such events, the company may be subject to possible risk of loss.

• The company may need to change its pricing models to compete successfully.

• If the company is unable to establish and maintain an effective system of internal controls and compliances, its business and reputation could be adversely affected.

• The company business is significantly affected by fluctuations in general economic activity.

• Properties, on which the company has its registered office and Corporate Office, are not owned by it. Any termination or dispute in relation to this lease/ rental agreement may have an adverse effect on its business operations and results thereof.

• Due to the nature of the staffing services business, its may be exposed to employment-related claims and losses that could have a material adverse effect on its business and reputation.

• If the company is fail to successfully develop new service offerings and adapt to client needs, its may be unable to retain current clients and gain new clients and its revenues would decline.

• The company business and profitability could be adversely affected if its fail to keep pace with changing technology and evolving industry standards and norms or fail to enhance existing services and develop and introduce new latest technology in timely manner.

• The Company, its Promoter and the company Directors other than promoter are involved in certain legal proceedings. Any adverse decision in such proceedings may render it / them liable to liabilities / penalties and may adversely affect its business and results of operations.

• The industry segments in which its operate being fragmented, the company face competition from other players, which may affect its business operational and financial conditions.

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

• Its may not be successful in implementing the company business strategies.

• Systems failures and resulting interruptions in the availability of its services could adversely affect the company business, financial condition, cash flows and results of operations.

• Security breaches and attacks against its Infrastructure, and any potentially resulting breach or failure to otherwise protect confidential and proprietary information, could damage its reputation and negatively impact its business, as well as materially and adversely affect the company financial condition and results of operations.

• The average cost of acquisition of Equity Shares by its Promoter and Selling Shareholder could be lower than the floor price.

• The company has not made any alternate arrangements for meeting its capital requirements for the Objects of the offer. Further its have 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, operations and financial performance.

• The company future funds requirements, in the form of issue of capital or securities and/or loans taken by it, may be prejudicial to the interest of the shareholders depending upon the terms on which they are eventually raised.

• The company is required to maintain certain licenses, approvals, registrations, consents and permits in the ordinary course of business. Failure to obtain the requisite approvals result in non-compliance and therefore, affect its business operations, financial condition, result of operations and prospects.

• In addition to standard remuneration or benefits and reimbursement of expenses, its Promoter, some of Directors, key managerial personnel and Senior Management are interested in the Company to the extent of their shareholding, dividend entitlement, in the Company.

• There is no monitoring agency appointed by the Company and the deployment of funds are at the discretion of its Management and the company Board of Directors, though it shall be monitored by the Audit Committee.

• Its ability to pay dividends in the future may depend upon the company future revenues, profits, financial condition, cash flows, working capital requirements, capital expenditures and restrictive covenants in its financing arrangements.

• The company Promoter and Promoter Group will continue jointly to retain majority control over the Company after the Offer, which will allow them to determine the outcome of matters submitted to shareholders for approval.

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