RE: RE: FactsNow I am misquoting Van!
Sorry
I quoted SCS burn at $700,000 per month instead of per quarter.
So I will get off my Ar**e and doing the maths myself...
From Sedar, Net Deficit for year ending Aug 2001 $2,467,534, an average burn rate of $200,000 per month.
This compares to year previous of $290,000/month.
As burn rate is falling, it must have been higher at beginning of year end so current burn rate is likely to be nearer 150,000/month.
Subtract most of $65,000 dollars/month savings that SCS has made since departure of Larry, move and restructuring, which did not kick in to later in the year,
Burn rate is probably closer to $100,000 per month. (So I make it $300K/4 instead of $700K/4 Van?)
Net monthly income for last year (Total income - cost of sales) = $451,000 per annum, or about $36,000 per month.
To break even, SCS needs to Treble sales!
and that's not an NR announcing a letter of intent or, someone has signed, or agreed to develop a new system as we have seen many of these take up to two years to come to fruition.
It's actully customer online an paying.
It's certainly possible with a few Tourtek Bureau customers going live (what's the delay, they were due in September).
Or Airtek out the door and with a few customers like D-FW, though this would take months to go live.
Even a dozen new Solarnet deals would get close (at typically $5,000 to $10,000 per month each) and some of those are occuring via Hitchhiker
So are they going to make it?
And if they do, are we going to get diluted again in the process?
Jet thinks so and is aqquiring.
I am not willing to risk more and am holding.
I wouldn't dare give advice on what to do to anybody, this has been my first dabble in the stockmarket and I am still a novice.
Idle