I agree, BCCI's core business is bad.
I was discussing the mobile kiosk as a marketing concept. I agree, appropriate uses are limited. If they break even on it, who cares. If they lose money on it, enhanced kiosk sales may be offsetting.
But overall, BCCI's kiosk business is not viable (see: financial statements), you and I agree on that.
They have no cash, their only hope is franchising. And how is that working for them? They have had franchising gurus on staff -- at least according to press releases -- with filings in 26 states as of 18 months ago. They had national franchise availability recognition in various publications last spring.
The results:
- The SW Florida JV is close to a franchising concept. Two stores opened, a third was announced in January for 'early Q2' opening but nothing heard since; BCCI website still has a placeholder for that site.
- An 8 state master franchising deal with BMOC, an established franchise distributor, was signed and announced in May, including brand extension to a sports bar to be purchased by BCCI and operated by BMOC. This deal is now dead.
Not encouraging. Audited (annual, quarterly not required) SEC reporting of financial results has only turned previously reported profits into losses, not a surprise to close readers of the previously published non-GAAP financials, with commenting posts here. It has been kept alive by stock issuance, frequently in exchange for services, sometimes in exchange for cash at a significant discount to the traded price (BTW, ihub investors who want to buy stock should contact the company, it will be cheaper there, but likely with some sell restrictions -- shouldn't be a problem for those who believe in this company).
Availability of stock on a 'higher' exchange does not change the viability of the underlying business, key to any long term stock price increase.
Note: I have no 'inside' knowledge of this company, just what I read in press releases and published financial statements.
