Aurora Investment: Better Overview

Summary of Risks Risks Related to Our Operating History, Business Model, Growth and Financial Condition 1. Our business and operations have experienced rapid growth, and if we do not appropriately manage future growth, if any, or are unable to improve our systems, processes and controls, our business, financial condition, results of operations, and prospects, could be materially and adversely affected. 2. Our recent growth may not be indicative of our future growth, and we may not be able to maintain our revenue growth rate in the future. Our growth also makes it difficult to evaluate our future prospects and may increase the risk that we will not be successful. 3. We have a history of operating losses and may not maintain profitability in the future. 4. We may not be able to continue to grow our loan production business or effectively manage significant increases in our loan production volume, both of which could materially and adversely affect our reputation and business, financial condition, results of operations, and prospects. 5. We depend on our ability to sell loans and MSRs in the secondary market to a limited number of loan purchasers and to government-sponsored enterprises and other secondary market participants for each relevant product. If our ability to sell loans and MSRs is impaired, our ability to produce loans and related MSRs may also be materially and adversely affected. 6. We depend on financial services websites, search engines, social media platforms and other online sources to drive traffic to our website, and if we fail to appear prominently in the search results or fail to drive traffic through other forms of advertising, our traffic would decline and our business, financial condition, results of operations, and prospects, could be materially and adversely affected, and as we grow our customer acquisition costs may continue to rise. 7. We rely on our own models and market information to manage risk and to make business decisions. Our business could be materially and adversely affected if those models fail to produce reliable and/or valid results or such market information is out of date or unreliable. 8. Our growth depends, in part, on the success of our strategic relationships with third-parties. 9. The COVID-19 pandemic poses unique challenges to our business and the effects of the pandemic could materially and adversely impact our ability to produce loans, sales into secondary markets, our liquidity, and our team members. 10. Our risk management policies, procedures and techniques may not be sufficient to identify all of the risks to which we are exposed, and failure to identify such risks could result in substantial losses and disruption to our business operations. 11. We may be required to repurchase loans or MSRs that we have sold or indemnify purchasers of our loans or MSRs. 12. A substantial portion of our assets are measured at fair value, including our MSRs which are highly volatile. Fair value determinations require many assumptions and complex analyses, and we cannot control many of the underlying factors. If our estimates prove to be incorrect, we may be required to write down the value of such assets, which could materially and adversely affect our business, financial condition, results of operations, and prospects. 13. Our MSRs are highly volatile assets with continually changing values, and these changes in value could materially and adversely affect our business, financial condition, results of operations, and prospects. 14. We are required to make servicing advances that can be subject to delays in recovery or may not be recoverable in certain circumstances. 15. We may be subject to liability in connection with the applications for loans we deliver to another lender in our capacity as a private label loan producer or mortgage broker, or leads we provide to other real estate brokers in our capacity as a real estate broker. 16. Our real estate brokerage services expose us to additional risks. 17. Our hedging strategies may not be successful in mitigating our risks associated with changes in interest rates. 18. We may not be able to hire, train and retain qualified personnel to support our growth, and difficulties with hiring, team member training and other labor issues could materially and adversely affect our ability to implement our business objectives and disrupt our operations. 19. If we cannot maintain our corporate culture, we could lose the innovation, collaboration and focus on the mission that contribute to our business. 20. Loss of our key management could materially and adversely affect our business, financial condition, results of operations, and prospects. 21. Our CEO and founder is involved in ongoing litigation related to prior business activities that includes at least one allegation about Better that alleges (among other things) that he breached his fiduciary duties (including by misappropriation of intellectual property or trade secrets), misappropriated business funds and failed to file tax returns. This litigation could divert his attention from our business regardless of the outcome of such litigation. Although Better is not currently party to such litigation, at least one plaintiff has sought permission to add us as a defendant and has alleged that we have used unspecified, misappropriated trade secrets. If we were to become involved it could have a significant cost and divert resources and the attention of our CEO and other members of our executive management from our business regardless of the outcome of such litigation that, together with the outcome of such litigation if resolved unfavorably, could adversely affect our business, financial condition and results of operations. 22. Operating and growing our business may require additional capital, and if capital is not available to us, our business, financial condition, results of operations, and prospects, may suffer. 23. Acquisitions and strategic alliances could distract management and expose us to financial, execution and operational risks that could materially and adversely affect our business, financial condition, results of operations, and prospects. 24. We are, and may in the future be, subject to litigation or other disputes. If the outcomes of these proceedings are adverse to us, it could materially and adversely affect our business, financial condition, results of operations, and prospects. 25. Exposure to additional tax liabilities could affect our future profitability. 26. Our ability to use our net operating losses to offset future taxable income is subject to certain limitations. Better 39

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