Wilyfox013 - Thanks, good points. I think that for any company, like you pointed out, one key aspect of business for all to be wise to not forget about is the meeting of demand with sufficient supply of product. I think indeed there is an inherent risk for RFMK to not maximize its revenue streams, at least initially, because of a lack of adequate supply versus the presumed gigantic demand out there for the CannaCig. However, my opinion on the matter is that because RFMK is going from zero revenues in its history as a company to actually making money and becoming profitable, bringing shareholder value with such a leap forward cannot be judged too harshly. Basically, if management does not fully supply every single outlet and distributor and so does not maximize their revenue potential, it is not the end of the world. The risk of not meeting demand is more of an issue I think for established companies who have an expectation to meet certain EPS goals in future quarters, all the while they have already filled a niche and exploited an economy of scale for their product line. For RFMK, they have only just started to tap into the potential for this vast revenue stream in selling the CannaCig, so if they lack adequate supply in the near-term to fulfill all of the gigantic orders the distributors want then so be it. It is actually a very very nice problem for RFMK management and shareholders to have. Though to be fair, I can see the point that if there is a significant order back log and the company has no operating cash to fulfill those orders, then those orders are not worth a dime because they cannot be fulfilled. Its all speculation to assume how management will fund operations going forward but I should think if substantial orders were placed by a myriad distributors while the company had only a couple units in inventory, then they could use the supply agreements to obtain long term funding or lines of credit in one way or another. I agree that an uplisting to the OTCBB would open up a vast array of funding options for the company though. I think too if a vendor is serious about a massive order, they themselves could loan the company the funds to produce the immediate product and use that financial condition as leverage to negotiate a better agreement for themselves, as regards revenue sharing percentages, etc. I think funding is less of a risk than say, the capacity of the parts manufacturers in China. The real potential weak link in the chain in my opinion could instead be the parts manufacturers and their maximum rate of unit production. That would be the limiting factor, not so much, funding. Also remember too, the company has been selling units recently via the two stores in CA and on the webstore so revenue is coming in at some rate so there is potential for operating cash going forward without the need for dilution, however it is all relative and depends on the size of any future orders. If a Walmart or some gigantic chain of stores decided they wanted a contract with RFMK tomorrow, of course the company would not have the funds to immediate fulfill orders, however with such a contract in hand, the financial side of obtaining funding to ramp up production and supply should be the easy part, the supply and production chain mechanics I should think would be the real issue that would need to be ironed out. Still though, all good problems for RFMK to have. As long as demand exists and the orders to come from distributors in the future can be rather large, RFMK can grow steadily, step by step and bring shareholder value all along the way.
GLTY
$RFMK!
