Investment Opportunity:

Disclosure, Compensation, Risks Involved and Forward-Looking Statements:

 

You must read the following before continuing. 

PinnacleDigest.com‘s video (“this video” or “the video” or “our video”) about Draganfly Inc. and the content on this web page are not investment advice or a recommendation to purchase any security. Nor are they intended to provide a complete overview of Draganfly Inc. (“Draganfly” or the “Company”). The information in this video and on this web page is not a substitute for independent professional advice. Seek the advice of your financial advisor and a registered broker-dealer before making any investment decisions. 

Maximus Strategic Consulting Inc., owner of PinnacleDigest.com (“Maximus” or “Pinnacle Digest” or “we” or “our”), has been paid US$120,000 to provide online advertisement coverage for Draganfly for three months. Digitonic Ltd., an investor relations provider to Draganfly, contracted with Maximus Strategic Consulting Inc. and paid for this coverage. Therefore, Draganfly paid for this coverage indirectly. Because we were paid to provide online advertisement coverage for Draganfly (the online advertisement coverage includes the production and distribution of this video about the Company and the included content on this web page), and therefore we are not independent reporters, our coverage of the Company features many of its positive aspects, and not the potential risks to its business or to investing in its stock.

The securities of Draganfly are highly speculative. Draganfly is subject to many of the risks common to early-stage enterprises, including under-capitalization, cash shortages, limitations with respect to personnel, financial, and other resources. The Company’s business, financial condition, results of operations and prospects may have changed since the date the video was filmed. Viewers should conduct their own investigation and analysis of Draganfly, its assets and the information provided in this video and thoroughly review Draganfly’s public disclosure documents found on the SEDAR website (www.sedar.com) before considering investing.

History of Losses: The Company cannot assure that it can become profitable or avoid net losses in the future or that there will not be any earnings or revenue declines for any future quarterly or other periods. The Company expects that its operating expenses will increase as it grows its business, including expending substantial resources for research and development and marketing. As a result, any decrease or delay in generating revenues could result in material operating losses.

The Company has limited financial resources, and no assurances that sufficient funding, including adequate financing, will be available to advance its objectives. If the Company’s generative commercialization and development programs are successful, additional funds will be required for development of one or more initiatives. The Company may seek such additional financing through debt or equity offerings. Any equity offering will result in dilution to the ownership interests of the Company’s shareholders and may result in dilution to the value of such interests. Failure to obtain additional financing could result in the delay or indefinite postponement of further business development. 

There can be no certainty that Draganfly will successfully implement the objectives and strategies described in the video. A prospective investor should consider carefully the risk factors set out in this disclosure statement, Draganfly’s annual and quarterly Management’s Discussion and Analysis, and in other filings made by Draganfly with Canadian securities regulatory authorities available at www.sedar.com under the Company’s issuer profile.

An investment in securities of Draganfly should only be made by persons who can afford a significant or total loss of their investment. The value of the Company’s securities may experience significant fluctuations due to many factors, some of which could include operating performance, performance relative to estimates, disposition or acquisition by a large shareholder, a lawsuit against Draganfly, the loss or acquisition of a significant customer or business, industry-wide factors, and general market trends. There can be no assurance that an active trading market for Draganfly’s common shares will be established and/or sustained.

Draganfly Operates in a Highly Competitive Industry: Draganfly operates in a highly competitive environment where its products and services are subject to rapid technological change and evolving industry standards. Draganfly’s future success depends on its ability to design and produce new products and services, deliver enhancements to its existing products and services, accurately predict and anticipate evolving technology, and respond to technological advances in its industry and customers’ increasingly sophisticated needs. Draganfly’s products embody complex technology that may not meet those standards, changes and preferences. If Draganfly is unable to respond to technological changes, fails or delays to develop new products and services in a timely and cost-effective manner, its products and services may become obsolete, which could negatively impact sales, profitability and the continued viability of the business.

The operations of the Company have been primarily funded through internally generated cashflow and private placements of equity and convertible debentures. The continued operations of Draganfly are dependent on the Company’s ability to generate profitable operations in the future, develop and execute a sufficient financing plan for future operations and receive continued financial support from shareholders and other providers of finance. On May 27, 2021, Draganfly announced in a press release that it recorded an operating loss. Please read that press release for further details. 

The Company and its business prospects must be viewed against the background of the risks, expenses and problems frequently encountered by small companies in new and evolving markets.

Do Your Own Due Diligence: All statements in our video and on this web page should be checked and verified by the viewer. The video, and this web page, may contain technical or other inaccuracies, omissions, or errors, for which Maximus Strategic Consulting Inc., owner of PinnacleDigest.com, assumes no responsibility. PinnacleDigest.com cannot warrant the information contained in the video to be exhaustive, complete or sufficient.

Unless otherwise indicated, the market and industry data contained in the video is based upon information from industry and other publications and the knowledge of Pinnacle Digest and Draganfly. While Pinnacle Digest believes this data is reliable, market and industry data is subject to variations and cannot be verified with complete certainty due to limits on the availability and reliability of raw data, the voluntary nature of the data gathering process and other limitations and uncertainties inherent in any statistical survey. Pinnacle Digest has not independently verified any of the data from third-party sources referred to in the video, or ascertained the underlying assumptions relied upon by such sources.

Please be aware and note the date the video was published (August 3, 2021). As a result of the passing of time, the relevancy of the opinions and facts in the video are likely to diminish and may change. As such, you cannot rely on the accuracy and timeliness of the information provided in the video. Since there is no specific guideline as to how long the video may remain relevant, you should consider that it may be irrelevant shortly after its publication date.

Viewers should refer to Draganfly’s public disclosure documents found on the SEDAR website (www.sedar.com) before considering investing in the Company. The public disclosure documents will help investors understand Draganfly’s objectives and the risks associated with the Company. 

 The statements and opinions expressed by representatives of Pinnacle Digest are solely those of Pinnacle Digest and not the opinions of Draganfly. The statements and opinions expressed by representatives of Draganfly are solely those of Draganfly and not the opinions of Pinnacle Digest.

Cautionary Note Regarding Forward-Looking Information:  The video and the content on this web page contain “forward-looking information” within the meaning of Canadian securities legislation (collectively, “forward-looking statements”). All statements, other than statements of historical fact, that address activities, events or developments that Draganfly or Pinnacle Digest believes, expects or anticipates will or may occur in the future are forward-looking statements. Such forward-looking statements also include, but are not limited to, statements regarding: the future financial position and performance, business strategy and objectives, potential acquisitions and partnerships, budgets, projected costs, and plans of or involving Draganfly; future growth predictions for the drone industry; new potential applications for drones, including Draganfly’s drones; the expected results of new operations and new clients; customer preferences; liquidity; Draganfly being in a growth phase; market forecasts and predictions; the nature of potential business acquisitions and partnerships; the timing and the completion of various development projects; future product offerings from Draganfly; the Company’s intention to grow its business and operations; the expected timing and completion of Draganfly’s near-term and long-term objectives, including revenue and volume targets; the regulatory environment; the Company being positioned for future growth; potential growth catalysts for the Company; the current economic climate and its effect on the Company’s client base; the Company’s ability to successfully acquire new customers; the Company’s ability to successfully implement its technology; the sustainability of recurring revenue streams and the Company’s expected profitability; the exclusive strategic partnership with Woz ED; how Steve Wozniak may be of benefit to Draganfly; the value and potential applications of the imagery drone cameras can collect; the potential impact of Draganfly’s products on industries and applications; the Company being able to leverage its expertise, technologies, and leadership team to grow its business; the competitive advantages of Draganfly; how the data Draganfly collects provides its customers with a competitive advantage; the efficacy of drone spraying in stadiums, arenas or any public event in killing off germs and preventing contagion; the size of the audience that comes with being a nationally listed public company; the benefits of listing on NASDAQ; organizations continuing to use drone spraying for their public events; the milestones required to warrant a rerate of Draganfly’s valuation and stock price; Draganfly’s collection of data being of substantial value in the future; Draganfly’s ability to capitalize on the continually evolving adoption of drones across many industries; Draganfly breaking boundaries and looking to enter new and emerging markets; the benefits of Draganfly’s drones and technologies; the Company being able to attract and retain key personnel; currency exchange and interest rates; the impact of competition; future changes and trends in Draganfly’s industry or the global economy, and other estimates or expectations.

Often, but not always, these forward-looking statements can be identified by the use of forward-looking terminology such as “expects”, “expected”, “budgeted”, “targets”, “forecasts”, “intends”, “anticipates”, “scheduled”, “estimates”, “aims”, “will”, “believes”, “projects”, “could”, “would” and similar expressions (including negative variations) which by their nature refer to future events.

By their very nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond Draganfly’s control. These statements should not be read as guarantees of future performance or results because a number of assumptions and estimates have been made, and they may prove to be incorrect. Forward-looking statements are based on the opinions and estimates of Draganfly’s management or Pinnacle Digest at the date the statements are made. In the video, assumptions and estimates may have been made regarding, among other things, future demand for the Company’s offerings; that customer orders will increase; Draganfly being able to fund its development plans; Draganfly being able to secure future financing to meet its growth targets; Draganfly’s ability to scale its operations; economic conditions in the United States and Canada continuing to show modest improvement in the near to medium future; the efficacy of Draganfly products; no material changes to the tax and other regulatory requirements governing the Company; the competitive environment; the ability to maintain or accurately forecast revenue; the Company being able to identify, hire, train, motivate, and retain qualified personnel; the ability of the Company to develop, introduce, and implement new offerings and technologies as well as enhancements or improvements for existing offerings; risks associated with operations; the impact of any changes in the laws and regulations in the jurisdictions in which the Company operates; Draganfly’s ability to carry on current and future operations; that the average cost to build and market Draganfly drones will fluctuate in line with historical trends; that the Company will be able to attract and retain new customers; the ability of the Company to meet current and future obligations; the accuracy and reliability of estimates, projections, forecasts, studies and assessments; the current and future social, economic and political conditions; currency exchange rates; capital costs; the future size of the markets that Draganfly intends to service, and other assumptions and factors generally associated with the drone industry. We caution all viewers that the foregoing list of assumptions and estimates is not exhaustive.

Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Draganfly to differ materially from those discussed in the forward-looking statements in this video and, even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, Draganfly. Factors that could cause Draganfly’s results to differ materially from those expressed in forward-looking statements in the video include, but are not limited to, the following risks and uncertainties: development activities Draganfly may conduct which may not produce favourable results; changes in customer preferences, demand and perceptions; reliance on third parties for products, supplies and/or services critical to the Company’s operations; the overall performance of stock markets; integration of technologies; volatility in the Company’s stock price; the inherent risks involved in the general securities markets; foreign exchange fluctuations; the consequences of competitive factors in the industries in which Draganfly operates; performance of key suppliers; increased competition by larger and better financed competitors; the impact of viruses and diseases on the Company’s ability to operate; travel restrictions; decrease in sales; reliance on information systems; the inherent uncertainties associated with operating as a small company in an evolving marketplace; dependence on obtaining and maintaining regulatory approvals; increased scrutiny from federal, state, provincial and local governmental authorities pertaining to the drone industry; regulatory changes requiring extensive and/or costly changes to the Company’s operations or technologies; economic and financial conditions; failure to retain, secure and maintain key personnel and strategic partnerships including but not limited to executives, researchers, customers and suppliers; interest rate volatility; supply and demand for drones; a decline in market sentiment; significant inflation or deflation; increased costs of being a publicly traded company; the effectiveness of the Company’s products and technologies; the regulatory environment; regulatory failings; privacy breaches; the corporate governance required for Draganfly; the Company’s ability to generate sufficient cash flow from operations to meet its current and future obligations; the potential for issues which could expose the Company to legal liability that may harm its business or reputation; the Company may not be able to raise the capital required to complete its development plans and to continue to pursue its business objectives; conflicts of interest; officers and directors allocating their time to other ventures; the willingness of third parties to sign agreements with Draganfly on terms that are acceptable to management of the Company; management’s ability to manage growth effectively; product recalls; risks related to the response-time that might be needed in case of totally unexpected events in areas relevant to Draganfly’s field of activity; research and development delays; failure to develop and successfully market new offerings at favourable margins, or at all; Future acquisitions may expose Draganfly to potential risks; intellectual property risks, including the intellectual property of others and any asserted claims of infringement; liquidity, dilution and future issuances of equity; unanticipated problems related to Draganfly’s business objectives, including the potential for unexpected costs and expenses; supply chain disruptions; product obsolescence; the Company’s ability to obtain and/or maintain any necessary permits, consents or authorizations required to pursue its business objectives; the Company’s revenues may fluctuate substantially from quarter to quarter; the Company may not generate sufficient revenue to achieve profitability both in the short and long-term; general business, economic, geopolitical and social uncertainties; the risk of claims and legal actions against the Company in respect of which insurance coverage is inadequate or not available; market perception of junior companies such as Draganfly may change, and other risks and uncertainties pertaining to the drone industry as well as those factors discussed in the section entitled “Risk Factors” or “Business Risks” in Draganfly’s Annual and Quarterly Reports, associated financial statements, Management Information Circulars, and other disclosure documents filed with Canadian securities regulators. The Company’s filings can be found on the SEDAR website (www.sedar.com) under Draganfly’s issuer profile.

Although we have attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended.

Forward-looking information contained in the video or incorporated by reference are made as of the date of the video or as of the date of the documents incorporated by reference, as the case may be, and Pinnacle Digest does not undertake to update any such forward-looking information, except in accordance with applicable securities laws. Accordingly, viewers are cautioned not to place undue reliance on forward-looking information because we can give no assurance that such expectations will prove to be correct. Should one or more of the aforementioned risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, or expected.

We Are Not Financial Advisors: The video and the content on this web page do not constitute an offer to sell or a solicitation of an offer to buy Draganfly’s securities. Maximus Strategic Consulting Inc., PinnacleDigest.com and its employees/consultants are not a registered broker-dealer or financial advisors. Before investing in any securities, you should consult with your financial advisor and a registered broker-dealer.

Important: Our disclosure for the content on this web page and the video applies to the date the video was publicly released (August 3, 2021) and posted on our website. This disclosure and compensation statement will never be updated.

Disclosure and Compensation: Maximus Strategic Consulting Inc., owner of PinnacleDigest.com, has been paid US$120,000 to provide online advertisement coverage for Draganfly for three months. Digitonic Ltd., an investor relations provider to Draganfly, contracted with Maximus Strategic Consulting Inc. and paid for this coverage. Therefore, Draganfly paid for this coverage indirectly. The coverage includes, but is not limited to, the production and distribution of this video about Draganfly. Maximus may benefit from price and trading volume increases in Draganfly. Because we have been paid to provide online marketing and advertising services for the Company, you must recognize the inherent conflict of interest involved that may influence our perspective on Draganfly.

Draganfly is a Very Risky Investment: Draganfly is a small company operating in an evolving industry with substantial competition and potential challenges. Draganfly poses a much higher risk to investors than established companies. It is not an appropriate investment for most investors. When investing in speculative stocks of this nature, it is possible to lose your entire investment over time or even quickly.

PinnacleDigest.com’s past performance is not indicative of future results and should not be used as a reason to purchase any security mentioned in the video or on our website.

The past success of members of Draganfly’s management team, board of directors and advisory team are not indicative of future results for the Company.

The video and the content on this web page are intended for informational and entertainment purposes only. The producer of this video and the included content on this web page bears no liability for losses and/or damages arising from the use of this video and the included content.

Maximus Strategic Consulting Inc. and PinnacleDigest.com (including its employees and consultants) are not chartered business valuators; the methods used by business valuators often cannot justify the trading price for most junior stock exchange listed companies, including Draganfly. 

Pinnacle Digest does not undertake any obligation to publicly update or revise any statements made in the video or on this web page. If you have any questions about this video, please email us at support@pinnacledigest.com.