UK drone firm that raised $3.4m on Kickstarter collapses

The Torquing Group raised $3.4m in January but having only delivered 600 of the promised 15,000 drones, has gone into liquidation.
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The British drone startup that set a new record for most-funded European Kickstarter project earlier this year has folded.

News of the collapse of the firm that raised a staggering $3.4million in under two months on the site was revealed in a statement sent to its backers on Wednesday.

In January this year, Torquing Group concluded its Kickstarter campaign to fund the production of its handheld drone, the Zano.

However, only earlier this month, co-founder and CEO of Torquing, Ivan Reedman left the firm, due to “personal health issues and irreconcilable differences.”

Before his exit, Reedman had promised that shipping of the drone to its swathes of online backers would commence in July 2015. To date the firm has only shipped 600 of the more than 15,000 ordered.

The official statement from Torquing Group read:

“Having explored all options known to us, and after seeking professional advice, we have made the difficult decision to pursue a creditor’s voluntary liquidation.

“All creditors will be contacted by an insolvency practitioner next week.

“We are greatly disappointed with the outcome of the Zano project and we would like to take this opportunity to thank everyone who has supported us during this difficult period, especially or loyal employees whose commitment has exceeded all expectations.”

Ars reports that the feeling among many of the backers is that they will not recover any money pledged to the project, with creditors being top of the repayment list above backers and investors.

Of course according to the Kickstarter terms of service, ‘the creator is solely responsible for fulfilling the promise made in their project.

‘If they are unable to satisfy the terms of this agreement, they may be subject to legal action by backers.’

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