(Total Views: 371)
Posted On: 05/17/2019 12:31:36 PM
Post# of 40991
I agree with most everyone about the revenue and commissions/salary.
As I have detailed in the past, I believe SB is booking revenue per his contract terms without really having to delivery inventory to the customer. That's why AR stays so high. He has nothing to collect since not much has been sold to the end customer. He just lets the sales sit in AR until he decides to write off (or in the 1% chance that the sales are real) or collect it. One day the bloom will come off the rose imo and SB is going to have to write off most of those sales. I think he is waiting for these PL's to hit so he can obscure the write offs he'll have to do.
So as long as he keeps booking sales according to "contract terms", technically his sales are "real". He'll have to pay the piper soon. An audit would disclose his sales/AR shenanigans.
Regarding his salary and commission, he is accruing much of that . Whatever cash is coming in is mostly from the Canouse notes imo. Since he owns the preferred shares, SB is senior to the common shareholders, but is junior to the debt holders.
As I have detailed in the past, I believe SB is booking revenue per his contract terms without really having to delivery inventory to the customer. That's why AR stays so high. He has nothing to collect since not much has been sold to the end customer. He just lets the sales sit in AR until he decides to write off (or in the 1% chance that the sales are real) or collect it. One day the bloom will come off the rose imo and SB is going to have to write off most of those sales. I think he is waiting for these PL's to hit so he can obscure the write offs he'll have to do.
So as long as he keeps booking sales according to "contract terms", technically his sales are "real". He'll have to pay the piper soon. An audit would disclose his sales/AR shenanigans.
Regarding his salary and commission, he is accruing much of that . Whatever cash is coming in is mostly from the Canouse notes imo. Since he owns the preferred shares, SB is senior to the common shareholders, but is junior to the debt holders.
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