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The foundation is starting to crumble. First payment due to the #1 financier on May 31, and it came up well short. I’m still hopeful but concerned on the number of different books this company keeps. The first cost cutting will come by the end of Q3 and approx. 30 territories will be cut.
The answer to that is easy…. Defer the debt, take additional loans and accelerate the erosion of your cash flow as your profitability diminishes….all behind the curtain as your not public…. It’s a bush league mistake many startups make…. No discipline on contracting and over spend at launch with subpar returns coupled with underperforming sales will result in downsizing, fire sale or diluted buyout…. You can kiss your IPO goodbye, no underwriter will touch you.