SSC Security Services Corp Ordinary Shares V.INP

RE:RE:This week Input should report # shares retired in December

[tkirk62]

Input is reasonably very unique and attractive in that it does not require much capital and all of its cash flow needs are pretty accurately forecasted. Here are the products and their features regarding capital:

• Marketing streams require almost no capital up front, and Input knows exactly how much cash they'll need to buy the crop at harvest, which they get back almost immediately. These streams therefore require little capital to grow.
• Capital streams are cash heavy up front, but as has been mentioned here plenty Input hardly does capital streams anymore. With so few of these, there is little capital needed for reinvestment. 
• Mortgage streams Input has made clear that lenders are very willing to finance, since giving Input a credit line for investing in mortgage streams is practically as good as lending out the money for farm mortgages themselves. Therefore Input is able to lever this product more and little capital is needed for reinvestment. 

The three products Input sells require very little capital for growth, and Input can forecast its capital needs at harvest very accurately, so it knows exactly how much cash it will need. Therefore, Input really doesn't need much money to reinvest and grow its business, so buybacks and dividends are no longer a sign dried up reinvestment opportunities. They are now a sign of the shift to a cash lighter model.