1. A significant portion of the company operating revenue is derived from the business of learning, training and consultancy activities. Failure to attract potential learners in the courses due to factors, including but not limited to an unsatisfactory success ratio, may adversely affect its revenues, business, results of operations and prospects.
2. The company ability to attract new learners is dependent upon various factors including the company reputation and its ability to maintain a high level of service quality.
3. The company training courses offered by it depends substantially on the trainers and its ability to attract and retain them. Sudden decrease in the number of the trainers due to attrition may affect the company operations and business.
4. The learning and training sector in which its operate is not specifically regulated. The central and state governments may change the existing regulations or introduce a new regulatory framework in the future. The impact of such changes or new regulations on the business cannot be ascertained presently and may affect the company business adversely in the future.
5. The company has certain outstanding litigation against it, an adverse outcome of which may adversely affect its business, reputation and results of operations.
6. One of the promoter group members is associated with a Company that had instance of non-compliance on exchange where it is listed and also case is pending against the Company in NCLT.
7. The Registered Office from where its are currently operating has been taken on lease from the promoter. In the event of termination or non-renewal of the leases, the company business and revenues may be adversely affected.
8. There are certain discrepancies/errors noticed in few of the corporate records relating to forms filed with the Registrar of Companies and other provisions of Companies Act,1956 and 2013. Any penalty or action taken by any regulatory authorizes in future, for non-compliance with provisions of corporate or any other law could impact the financial position of the Company to that extent.
9. In the past the company total revenues had a substantial contribution from other income.
10. In the past the company nature of income from learning, training and consultancy services has been in varying proportions and also its had not maintained structured MIS of the deliveries.