carl updateI raised the issue of spending and having to go to the pp well again with Greg Johnston this morning - see below. The company is wanting to keep shares tightly held and minimize no.s. They probably could have got more than $800,000 from their last recent pp but in keeping with goals felt this was all the money they needed. As I suspected, what shows up as cash expenditure in marketing expense is mostly share issuance to cover debt etc. They have chosen to promote themselves globally with added cost as opposed to staying in their own backyard. I am sure this was done in consultation with PRC etc., who having evaluated their product and felt it was a good gamble to grow the business quicker. As I have mentioned, management is very approachable and better to get answers from the horses mouth as opposed to using this forum for information. don't get mired in small details here. From what I have seen of other junior companie's operations, these guys are the real deal. continue to be patient.
Hi Chesterchew – stock has been awarded for IR and other related business development activities above and beyond the day to day operational activities of the company. As the price has tripled over the last 6 months and laid the framework for many of our revenue expansion plans, I think this is money well spent (i.e. market cap of company is now 3X what it was). Operationally, we are extremely close to break even. I stand by my original statement that this will be done by end of year. Financing is being done by a growing list of very strong supporters – we did an $800,000 PP for $0.20!!!!!! Cash is not the problem. We are a tech company that deals with governments and very large clients. Things happen slowly but when then do – revenue increases significantly! Also – we have our core group in place. There is no need to expand the company with the exception of support and Sales and Marketing – meaning – profitably expands rapidly after breakeven.
Hope this helps.