Ann: March Quarterly Appendix 4C, page-8

Hi IOUers
response from a recent enquiry (Today) I would like to share, quite a few questions still not answered

Firstof all we want to highlight the fact that investor relations is an importantpriority for the Company and we have a comprehensive system of policies andprocedures around responding to individual shareholder enquiries. We areonly aware of one item of correspondence from you, received on 2nd February2022, to which we responded the next day. We apologise if you haveotherwise communicated with the Company and not received a response. To ensure that we have a record of all of your communications, and are able torespond in a timely fashion, kindly direct your correspondence to thisemail address.

Weunderstand that your investment has been impacted by marketconditions. In terms of market performance, we note that theAustralian BNPL sector generally has shown an extended period of decliningshare prices. A review of the past 12 months' performance of BNPLcompanies listed on the ASX provides some perspective. We also appreciatethe impact of the COVID-19 pandemic on economic growth, rising inflation and arising interest rate market has on equities markets. These environmentalconditions and market movements are outside of our control but are factoredinto our continuous reviews and planning.

Pleasenote that we are unable to provide investment advice and recommend that if youdo have questions regarding your personal investments and strategy that youseek advice from a professional accredited financial advisor.

Westrongly refute your assertion that management is "either over their heador playing some game at the cost of investors". Four successfulcapital raisings totalling $63.6 million were completed during FY21 to fund thesignificant operational development of the Company's businesses as well asfunding for development of the new BNPL receivables portfolio. Capitalraisings were successfully completed in July 2020 ($1.5m), September 2020($2.1m), November 2020 ($10m) and February 2021 ($50m). The Company'sleadership team has therefore a proven track record in successfully raising capital.

Your suggestion that weshow a "lack of respect for investors and earnest questions" is inour opinion incorrect and unfounded. We refer you to your correspondencewith us in February 2022. We believe that we operate in accordance with'best-practices' investor relations policies for responsiveness and managementof shareholder enquiries. In responding to all shareholder queries,we are also mindful of disclosure laws and our obligations under ASXListing Rules.

Additionally, it is veryimportant that we provide consistent messaging and information to allshareholders with whom we correspond. For compliance and efficiencywe purposefully develop responses to queries that can be used as templates thatmay then be individually tailored where required. If you are comparingwith other shareholders the correspondence they receive from us then that mayexplain your comment about "generic generated answers".

Furthermore, if weunderstand the last part of your third paragraph correctly, we believe that weprovide detailed and comprehensive information in our releases to the ASXAnnouncements Platform. We refer you to our various announcements overthe past 21 months and, in particular, our quarterly activities reports andmid-quarter BNPL business update reports during FY22.

Regarding announcementsgenerally, we are mindful of our obligations under the ASX Listing Rules anddisclosure laws. Any material events and those that are price sensitivein nature are certainly announced to the market as and when required.

Withrespect to management of the Company's cash flows and funding of the business,we refer you to our responses at item 8.6 in the Appendix 4C announced onFriday 29th April 2022.

TheCompany does detailed modelling to assist management of its receivablesportfolio and costs with specific consideration given to our market entry,organic and strategic growth plans, and other key BNPL metrics. Sustainable cash generation and profitability go to the core of our financialobjectives. In only its third quarter of BNPL operations the business hasgenerated normalised positive net operating cash flow as reported in our lasttwo Quarterly Activity Reports and with profit margins within our targetrange. In addition to this, the Company believes that it is able to fundits normal operations using existing cash and liquid assets, investment incomeand cash generated through the cycling of its short term loan receivablesportfolio. The Company has closely monitored its net cash position inparallel to the maturity of its current BNPL portfolio to satisfy itself thatit currently has sufficient cash flow to fund normal operations whilst cyclingthe current capital invested/allocated to the BNPL businessunit. The Company expects its current working capital position withorganic growth from the current businesses to sustainably fund its current sizeand scale of operations until December 2022.

Asforeshadowed in previous ASX releases, the Company plans to source additionalcapital to fund the expansion of its BNPL portfolio once the currentimplementation of IOUpay and myIOU BNPL products reaches a critical marketpenetration requiring a significant level of growth capital likely to beavailable from or of interest to debt capital markets (wholesale debtfunding). Also as highlighted in previous ASX releases, the Company'sleadership team has extensive experience in wholesale debt markets andreceivables portfolio funding. The Company is confident of the potentialto attract such longer term non-dilutive growth capital to continue theexpansion of the IOUpay and myIOU products, once it has demonstrated a trackrecord of delivering the current BNPL offering, which means the cycling ofthe portfolio at a commercially attractive size and scale.

Outsideof this, the Company will consider additional sources of raising further cashas needed to fund specific growth initiatives, existing or new capitalcommitments or investments (such as its investment in IDSB or investment intoIDSB related expansion), which are over and above its expectations for organicgrowth of the BNPL portfolio. The Company has a proven ability of raisingcapital in a timely manner if and when required to fund these initiatives orfor additional working capital (if required).

It would be highly inappropriate for us to speculate on sources or timing ofany future additional capital. It is not a matter of "secrecy",any additional capital secured would need to be announced to the market inaccordance with ASX Listing Rules and disclosure laws.

Wedo not understand what you mean by "a decent financial report" butcan only assume you are referring to more detailed information as to ourbusiness model and financial forecast. We are not permitted to providespecific financial forecasts but can provide insights that are notprice-sensitive. Like all companies listed on the ASX, we spendconsiderable resources producing the required audited half yearly and annualfinancial statements, and quarterly cash & business reports, in order tocomply with the various regulatory requirements including Accounting Standardsand ASX Listing Rules.

Aspreviously mentioned, we look forward to providing to the market an InvestorPresentation (including an updated roadmap &strategy) during the June quarter. We trust that you will findthis informative and helpful in your understanding of the value proposition inthe Company.

Thankyou again for your continued support and interest in IOUpay Limited.

So Thoughts on this??????
Maybe we all need a share adviser, gave it so have to take it.