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Bullboard - Stock Discussion Forum Gnomestar Craft Inc VDQSF

Gnomestar Craft Inc. is a Canada-based craft cannabis company. The Company is engaged in the medical and recreational marijuana business. It operates in one business segment, the marijuana industry. The Company produces hand trimmed cultivars in its 12,000 square foot indoor facility in Delta, British Columbia.

GREY:VDQSF - Post Discussion

Gnomestar Craft Inc > No Liquidity and No Rental Income and No Pot Sales....
View:
Post by indoubtgetout on Sep 07, 2018 3:54pm

No Liquidity and No Rental Income and No Pot Sales....

Liquidity Risk Liquidity risk is the risk that the Company will not be able to meet its obligations associated with its financial liabilities. The Company has historically relied upon equity financings to satisfy its capital requirements and will continue to depend upon equity capital and possibly loans to finance its activities. The Company manages
Date of Private Placement
Gross Proceeds Prior Disclosure Actual Spent Remaining Variance
November 2016* $1,300,390
Proceeds to be used for further expansion into Washington State, USA and general working capital purposes. $1,300,390 $0 $0
October 17, 2017 $400,000
Proceeds to be used for general working capital and corporate purposes. $400,000 $0 $0
October 27, 2017 $95,200
Proceeds to be used for general working capital and corporate purposes. $95,200 $0 $0
December 12, 2017** $2,015,000
Proceeds to be used to complete the expansion of the facility in Bellingham, Washington and the process of upgrading the Delta, BC location and for general working capital and corporate purposes $2,015,000 $0 $0 *The Company used the net proceeds for expansion of the Bellingham facility and for working capital **The Company used the net proceeds for completion of 80% of the Bellingham facility, required upgrades to the Delta facility and for working capital
 Management’s Discussion and Analysis  Vodis Pharmaceuticals Inc. June 30, 2018
 
Page 9
liquidity risk through its capital management as outlined above. Management has assessed liquidity risk as high.
 
Credit Risk Credit risk is the risk of potential loss to the Company if the counterparty to a financial instrument or customer contract fails to meet its contractual obligations.  The Company’s credit risk is primarily attributable to its liquid financial assets including cash and receivables.  The Company limits exposure to credit risk on liquid financial assets through maintaining its cash with high-credit quality financial institutions.  The Company is directly exposed to credit risk from its receivables. The Company’s maximum exposure to credit risk is limited to the carrying amount of financial assets recognized as at June 30, 2018. The majority of the Company’s cash is held with major Canadian based financial institutions. Management has assessed credit risk as low.
 
The tenant of the Company’s investment property has to date been unable to pay the required rent payments to the Company.  The Company only recognizes revenue for rent payments received due to uncertainty of collection.
Comment by mrgreen0 on Sep 07, 2018 7:07pm
Lol.why....my time is to valuable. Gd samaritan I suppose.gd for a laugh too
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