Sarah Ferguson, the former Duchess of York, faces renewed scrutiny over her business judgement following the collapse of a lifestyle app she endorsed, which received more than £1 million of taxpayers' money.
The vVoosh App That Never Launched
The lifestyle application, named vVoosh, was founded by Ferguson's close friend, Manuel Fernandez. It promised users a platform to "Find, Plan, Share, Live, and Remember" their experiences. Despite ambitious plans and significant investment, the company was placed into administration last month without ever launching a product to the public.
Ferguson had publicly aligned herself with the venture, describing herself as an "ambassador" for the business and was also a personal investor. The failure deals another blow to Fergie's public profile, coming after her loss of the Duchess title and her home of twenty years.
Taxpayer Funds and International Troubles
According to documents filed by the administrator and seen by the BBC, the £1 million of public money was funnelled into vVoosh via the government's research and development (R&D) tax credit scheme. Over several years, the company raised nearly £9 million in total funding.
Development work was conducted by teams in both the UK and India. However, progress ground to a halt when the Indian contractor threatened legal action against the company. An administrator's report cited a severe breakdown in communication between the directors and founder Manuel Fernandez, who resigned earlier this year and subsequently ceased contact.
Investors Left in the Lurch
The report further revealed a complex financial fallout. It stated that a former director, believed to be Fernandez, owes the company £324,609. vVoosh had over 60 smaller shareholders, many based in London, Essex, and the United States. Administrators warned of "significant uncertainty" regarding how much these investors might recover.
One notable investor, American Mark Guzy, reported injecting over £400,000 into the failed enterprise. The company had previously pledged to donate 10% of its profits to charity, a promise that will now remain unfulfilled.
Fernandez, an ex-soldier from the Royal Anglian Regiment and former tech employee, founded vVoosh in 2010. The saga highlights questions surrounding the use of public funds for private tech startups and the risks associated with high-profile endorsements in the business world.
