Definitions

An Advocate is a community member who is automatically designated as such when their normal platform activity — such as issuing Growth Points, sending an invoice, or initiating a chat — leads to another person registering on Frega.

The primary reason people use Frega is the platform's practical utility for running a business or engaging a community. Advocacy is a secondary, incidental outcome of normal use, not a purpose or programme.

Advocates have no requirements, targets, or obligations. When someone they have naturally interacted with chooses to register and later uses paid Frega services, the Advocate may receive variable payments funded from Frega's service revenue. These payments are tied strictly to actual service usage and stop automatically if usage stops. They recognise organic introductions within existing relationships — not recruitment, not sign-ups, and not network building.

Advocate payments are calculated as 20% of service fees in year one, 15% in year two, and 10% from year three onwards (continuing indefinitely at this rate) from direct introductions.

Payments are subject to a flat monthly cap of $3,000 across all introduced accounts, or 100% of the Advocate's own combined Frega service fee spend if that exceeds $3,000 — whichever is higher.

Targeted promotional campaigns that enable businesses to reach specific community segments efficiently.

AdDrops are performance-based promotions where businesses pay only for completed, successful transactions — not for clicks, impressions, or views. Targeting capabilities will evolve as Frega's dataset grows, while maintaining strict privacy protections throughout.

A specialised AI tool created by community members using Azure Foundry and published to the Frega marketplace for other users to subscribe to.

AI Agents are available at a standard subscription price. Publishers receive a portion of the subscription fee, while Frega manages distribution, subscription processing, and compliance oversight. Agents operate within Frega's privacy-protected environment and may collaborate with Nova and with each other.

A community coordinator who supports and encompasses approximately ten Territory Licensees within a broader geographical region.

Area Licensees secure their appointment through a setup fee of $10,000 and an annual renewal fee of $100. They receive a coordination fee of 1.5% of service fees generated across their area. A maturity adjustment applies where the area is already generating service fee revenue at the point of appointment, normalising to the full rate from year three.

Area Licensees may also be Advocates but cannot hold other roles (Consultant, Publisher) simultaneously, to maintain clear separation of responsibilities.

The record held by eligible Frega users showing amounts available to request from Frega's service revenue. Your Share may include amounts arising from advocacy, consultancy, publishing, and licensee activity, depending on the roles held by the user.

Amounts shown in Your Share are not held on the user's behalf by Frega and do not constitute a deposit, stored-value facility, or financial product. They represent Frega's record of variable payments calculated as due and available for the user to request, subject to Frega's standard payment terms.

The interconnected network of businesses, customers, consultants, advocates, publishers, and licensees who participate in the Frega platform.

The community is built on principles of practical utility, privacy protection, and genuine value. Each participant contributes to and benefits from the ecosystem through their normal platform activity.

A community member who is programmatically identified as competent and willing to help others optimise their use of the Frega platform. Consultant status is available exclusively to personal account holders and is awarded on a merit-based, invitation-only basis.

Consultants provide onboarding support, answer questions, assist with tool usage, and help clients achieve their goals. They may receive variable payments from Frega's service revenue based on their clients' service usage — not for introductions, recruitment, or network building.

Every Consultant is allocated as a Sub-Consultant to an existing Consultant upon appointment, with allocation made exclusively by Frega based on the Senior Consultant's performance and Net Score. Consultants use a "Get Rid of the Red" dashboard with performance measured through the proprietary Net Score system.

Senior Consultants may be assigned up to four Sub-Consultants by Frega. The Sub-Consultant supervision fee of 4% is a professional services fee reflecting genuine supervisory responsibilities — it is not a recruitment reward or passive income.

The non-monetary record held by every Frega user showing their Growth Points across all businesses they engage with.

Growth Points held in Your Growth Points are loyalty rewards, not monetary value. They cannot be withdrawn, transferred, or exchanged for cash. They are redeemable only with the specific business that triggered their issuance.

Your Growth Points is separate from Your Share. A person may hold both simultaneously, but the terminology reflects the function: Your Growth Points records non-monetary loyalty points; Your Share records amounts available to request from Frega's service revenue, which may include advocacy, consultancy, publisher, and licensee amounts.

An accounting provision representing Frega's obligation to provide future goods or services when Growth Points are redeemed.

When a business pays to issue Growth Points, 35% of the fee is deferred as a liability — not recognised as revenue — in accordance with IFRS 15 Appendix B (B39–B43). This liability is reduced only when points are redeemed, at which point Frega credits the business's service account.

A privacy-first, AI-powered SaaS ecosystem designed to strengthen local business communities through genuine connection and practical tools.

The name represents:
Freedom — from extractive business models
Global — serving communities worldwide
Abundance — creating value for everyone

Frega's privacy architecture where all user data stays within the protected Frega ecosystem and is never sold to third parties.

Data is used only for explicitly agreed purposes, handled in accordance with UK and EU data-protection regulations, and may be used to generate aggregate, anonymised insights where no individual is identifiable. Users maintain full control over their data, including rights to view, export, and delete.

The General Data Protection Regulation — EU and UK data-protection law that Frega is designed in accordance with.

Frega is built with data-protection principles from the foundation, including explicit consent requirements, user data rights, privacy-by-design architecture, and the "garden fence" model.

Frega's company-wide management methodology using a RAG (Red/Amber/Green) traffic-light system applied consistently across all dashboards.

Red indicators flag areas needing attention. This system is used by consultants, licensees, and businesses to identify and address issues proactively. The goal is always to resolve flagged issues and move indicators from red to green.

Frega's branded loyalty reward system that allows businesses to thank customers for their support. When a qualifying transaction occurs, Frega issues Growth Points to the customer. Those points are redeemable only with the business that triggered their issuance.

Businesses pay service fees of 1% or more on the transaction value to use the loyalty system. Of this fee, 35% is recognised as deferred liability under IFRS 15 and 65% is recognised as service revenue allocated to service providers.

Each business's Growth Points are independently branded (for example, "Bob's Barber Growth Points"), building loyalty to that specific business while appearing together in Your Growth Points.

Growth Points may expire according to the issuing business's policy.

International Financial Reporting Standard 15 — the global accounting standard governing revenue recognition, including loyalty programmes.

Appendix B (B39–B43) explains how loyalty points create a contract liability representing the obligation to provide future goods or services. Frega's Growth Points accounting is fully compliant with this standard, treating the 35% allocation as deferred liability (not revenue) until redemption occurs.

A community coordinator who represents Frega in a specific geographical region, providing local support and face-to-face presence. Licensees exist at two levels: Territory (local) and Area (regional).

Licensees secure appointments through fees that contribute to infrastructure costs. The standard Territory Licensee establishment fee is $1,000, applied uniformly regardless of the territory's current activity level. Where a territory is already generating service fee revenue at the point of appointment, a maturity adjustment applies to the Licensee's revenue share during the first two years, normalising to the full rate from year three.

Licensee fees are not investments and do not provide equity. Licensees may be Advocates but cannot hold other roles (Consultant, Publisher) simultaneously.

Frega's proprietary performance measurement system used to assess Consultant service quality and client engagement. The Net Score determines a Consultant's capacity for client assignment — a Consultant must maintain a sufficient Net Score to be assigned up to the maximum of 100 clients.

Net Score is measured and updated continuously and forms the basis of all Consultant performance oversight.

Every user's personal AI assistant that operates entirely within Frega's privacy-protected "garden fence" ecosystem.

Nova draws only on data within Frega, operates under strict data-protection principles, provides help and support, and reduces the burden on human consultants. Nova will be free with optional upgrades available.

A community member who develops and publishes AI agents to the Frega marketplace for other users to subscribe to.

Publishers use Azure Foundry within a secure sandbox environment. They receive a portion of the subscription fee. All development and publishing processes follow strict data-protection and secure data-access rules.

The distribution of Frega's service fee revenue to community members who provide services to the platform.

When businesses pay service fees, portions are allocated to Advocates (for organic introductions), Consultants (for support services), Licensees (for regional coordination), Publishers (for AI agent creation), and Frega (for platform operation). Each participant receives their share based on the services they provide and the activity they generate.

The portion of fees paid by businesses that constitutes Frega's actual revenue, as distinct from deferred liability.

For Growth Points: when a business pays $100 to issue points, $65 is the service fee (revenue) and $35 is deferred liability. The service fee is distributed to service providers — Advocates, Consultants, Licensees, Publishers, and Frega.

A community coordinator who represents Frega in a specific local geographical territory of approximately 100,000 residents and 10,000 businesses.

Territory Licensees secure their appointment through a standard establishment fee of $1,000 and an annual renewal fee of $10. They receive a coordination fee of 2.5% of service fees generated within their territory. Where the territory is already generating service fee revenue at appointment, a maturity adjustment applies to their revenue share for the first two years, normalising to the full rate from year three. Territory Licensees may be Advocates but cannot hold other roles (Consultant, Publisher).