TS03 Inc Trust Units TSTIF

RE:RE:RE:RE:RE:RE:RE:TSO3 Inc has a 181 per cent upside, says Echelon Wealth

[Drrwong]

Let me try to answer Screamer's question on cash for new inventory:
-  If we can sell 200 units this year, this would give us $100k x 200 = $20mm USD cash
-  Since we paid for all the Getinge's inventory already, all the machine costs have been expensed already.  So this $20mm is all positive cashflow for us
-  Given our expense run-rate in the last couple of quarters, this $20mm should be sufficient for most (if not all) of our expenses this year
-  Remember we had $16mm at the end of 3Q18, and probably $13+mm at YE19.  So if we are almost self-sufficient in 2019, then the remaining cash balance would fund any new inventory we need to produce
-  Let's say we need 50 VP4s per quarter, and our cost is $65k each = $3.25mm.  We will have enough to fund this and more if needed

Let's say for some unknown reason that we cannot fund these new inventory (shouldn't happen at all if we can place 200 units this year), we have to keep in the mind the following:
- Hospital customers need to put up 30% of downpayment for their orders, which is 30% x $100k ASP, or $30k each
-  The remaining $35k can easily be covered by a bank line or short-term loan.  Banks would be more than willing to give us these loans/lines because the monies is used for manufacturing a product where the product has already placed an order.  If needed, they could easily place a lien on the receivable from this order

The bottomline is:  the key to everyone is how many units we can place this year.  If you think we can sell 200+ units, then we would be fine on many fronts.