2016 – A realistic view of what to expect this _
Post# of 8802
Posted On: 02/16/2016 12:15:20 PM
2016 – A realistic view of what to expect this _year
10k – This form was due Nov 30 for Fiscal YE 8/31. The notes to the financials will be the most important thing as they will reference details about share structure and the merger with UMS. The financials will be only for iTALK.
10Q – This form was due mid-Jan 2016 for 1st quarter ending Nov 30. According to the latest 8k filed, a notation made at the bottom suggests iTALK and UMS joined together on Sept 2. If this is the case, there should be 3 months of revenues in the 1st quarter filing.
2014 and first 6mo of 2015 for UMS showed losses from operations and accumulated debt of just over 2.8mil. Over 1mil of this debt was due to bad debt expensed during that time. It appears there was some clean up being done here as the amount expensed was excessively greater than the prior year which for the same 18 months was only 80k…and it just makes sense that they would do some clean up to prepare for public scrutiny.
I believe the second half of 2015 will see a very different picture in terms of bad debt expense and a reduction back to normal levels.
In addition, admin expense includes officer salaries for UMS. As of the closing of the merger all officers with the exception of Lee were asked to resign. No severance packages were given. Ordinarily payroll expense accounts for anywhere between 20-30% of Admin exp and can even be more. In this case nearly 1/3 of the expense will be eliminated.
This saving in Payroll in addition to the reduction in Bad Debt mentioned above will present a very different picture for the first and second quarter filings of the joint company beginning Sep 2015 – Nov 2015 and Dec 2015 through Feb 2016. I would not be surprised if we don’t’ see profits by second quarter ending Feb 29.
Amended 8k – The amended 8k with audited financials and details regarding the financial statements will be out by mid-April. I believe we will see this a lot sooner than that.
Feel free to add to the details above.
10k – This form was due Nov 30 for Fiscal YE 8/31. The notes to the financials will be the most important thing as they will reference details about share structure and the merger with UMS. The financials will be only for iTALK.
10Q – This form was due mid-Jan 2016 for 1st quarter ending Nov 30. According to the latest 8k filed, a notation made at the bottom suggests iTALK and UMS joined together on Sept 2. If this is the case, there should be 3 months of revenues in the 1st quarter filing.
Quote:
NOTE 11 - SUBSEQUENT EVENTS
On January 5, 2015, the Company amended its inventory financing agreement with Curve Commercial Services, LLC. The agreement is twenty-four months and the terms of the financing agreement are the same terms as the Procure Pal, LLC agreement discussed in Note 4.
On January 9, 2015 the Company entered into a twenty four-month term loan totaling $250,000 with Curve Commercial Services, LLC. The term loan bears interest at 18.00% per annum. The Company will pay monthly principal and interest payments commencing on January 12, 2015 and on the first day of each consecutive month. The remaining principal balance, plus all accrued but unpaid interest, is due and payable on the maturity date of January 9, 2017.
On September 2, 2015 the Companies entered into an agreement with ITalk, Inc, whereas the ownership of the Companies will receive $10 and 85% of the fully diluted restricted common shares outstanding of ITalk.
2014 and first 6mo of 2015 for UMS showed losses from operations and accumulated debt of just over 2.8mil. Over 1mil of this debt was due to bad debt expensed during that time. It appears there was some clean up being done here as the amount expensed was excessively greater than the prior year which for the same 18 months was only 80k…and it just makes sense that they would do some clean up to prepare for public scrutiny.
I believe the second half of 2015 will see a very different picture in terms of bad debt expense and a reduction back to normal levels.
In addition, admin expense includes officer salaries for UMS. As of the closing of the merger all officers with the exception of Lee were asked to resign. No severance packages were given. Ordinarily payroll expense accounts for anywhere between 20-30% of Admin exp and can even be more. In this case nearly 1/3 of the expense will be eliminated.
This saving in Payroll in addition to the reduction in Bad Debt mentioned above will present a very different picture for the first and second quarter filings of the joint company beginning Sep 2015 – Nov 2015 and Dec 2015 through Feb 2016. I would not be surprised if we don’t’ see profits by second quarter ending Feb 29.
Amended 8k – The amended 8k with audited financials and details regarding the financial statements will be out by mid-April. I believe we will see this a lot sooner than that.
Feel free to add to the details above.
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