Posted On: 09/19/2016 9:53:58 AM
Post# of 75360
Re: Roger Wilco #25518
man, if it happened as easy as that it would be like a magic trick. chinese buy the company, insert cash, grow the brand, sell it to coke/pepsi, and boom...big profit. nevermind the many years, huge investment, and tons of hard work to make that happen. and even if all that happens, there has to be an element of luck or "right product at the right time" to make this happen.
what is a letter of intent?? LOI. well, its a non-binding agreement that allows, in this case, for the chinese group to look through every dark and hidden corner of RMHB prior to making any formal commitment. they will have access to documents and personnel that they wouldn't normally have without the LOI. they will meet a lot of people, shake some hands, and get a good idea about what they are buying into. imagine this as the "test drive" before you buy the car. just because you drove it doesn't mean you are buying it.
so, after all that looking and digging around, Mrs. Li will convene with her group and discuss the merits of buying Jerry's controlling shares for 3.5 million. in this discussion they will certainly be looking at the form 10, which does not have the most current quarter of financials but there is a lot in there. in there they will see a company that has 13 million in debt and gross sales revenues (after cost of sales) of $227,000. maybe those numbers wont scare off Li. In fact, maybe those numbers are irrelevant. who knows?
I'm just trying to help out the group here. The more we deal with the reality as it is and facts as we know them we are better off.
what is a letter of intent?? LOI. well, its a non-binding agreement that allows, in this case, for the chinese group to look through every dark and hidden corner of RMHB prior to making any formal commitment. they will have access to documents and personnel that they wouldn't normally have without the LOI. they will meet a lot of people, shake some hands, and get a good idea about what they are buying into. imagine this as the "test drive" before you buy the car. just because you drove it doesn't mean you are buying it.
so, after all that looking and digging around, Mrs. Li will convene with her group and discuss the merits of buying Jerry's controlling shares for 3.5 million. in this discussion they will certainly be looking at the form 10, which does not have the most current quarter of financials but there is a lot in there. in there they will see a company that has 13 million in debt and gross sales revenues (after cost of sales) of $227,000. maybe those numbers wont scare off Li. In fact, maybe those numbers are irrelevant. who knows?
I'm just trying to help out the group here. The more we deal with the reality as it is and facts as we know them we are better off.
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