RE:RE:RE:New Press Release - Reliq Health Technologies, Inc. Announces New Contract with Leading US Healthcare Company with 75 Locations in Eight StatesYou make a good point. We know they are putting in more effort to collect, but perhaps they should double down at this point.
Having said that, it seems to me there are a few possibilities worth considering:
1. The company continues to deal with smaller outfits and collects virtually everything. This is the best outcome and should result in the highest fair value.
2. The company continues to deal with smaller outfits but has to write off a material amount of receivables each year. This is less desirable, but still should result in a very nice fair value.
3. The company forgets the smaller outfits and continues to sign bigger and bigger deals with major counterparties. This is the least desirable outcome, but should still result in a very good fair value.
Regardless, just one deal - like the one announced today - signed each year should add several dollars in fair value per year.
So, the bottom line for me is that regardless of collection actions on the little guys, the fact that the big guys will pay their bills should push the company's fair value way up over the next one, two, three years.
That why these bigger deals are...such big deals.
mingzhu wrote: i am writing to CEO it is high time to change the initial strategies of "go easy with clients" as a marketing tool since it is now profitable.
theinvestor22 wrote: I mused a while ago about whether Reliq"s collections leniency might be one factor leading to overall satisfaction with the service which, in turn, might lead to materially larger contracts going forward. And, if that were the case, whether some folks here might start thinking the CEO is a genius instead of being incompetent. Well, perhaps now is the time for that shift in thinking to occur. This one announcement is a company maker all by itself. 25k patients in the first year in the first of 8 states. Wow!!