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Looks like the converters can't find a bid.
Funny world when even the converters can lose money. Less than 20,000 dollars in selling can knock the bids out. The converters must be sweating.
Shuffling Deck Chairs On The Titanic?
Take a look at yesterday's LaborSMART Facebook post:
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Labor Smart Relocates to Larger Corporate Office
Yesterday (6 photos)
Growing...Growing...GROWN. Construction is well underway at the new Labor Smart Inc. Corporate Headquarters. The decision to relocate to a larger facility was made to further support aggressive and smart expansion plans in the very near future. Stay Tuned:) More photos of our progress to come!
https://www.facebook.com/laborSMART
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Buyers did step in with Friday's selling. The stock was drifting lower fast before they did. So someone apparently wanted the stock at these prices.
LaborSMART Latest Job Postings...
http://www.indeed.com/cmp/Labor-Smart,-Inc.-1
Once upon a time...
This board had 10 positive comments for every negative comment. All those positive members have left. There seems to be very little support for LTNC right now.
I was planning on buying if the stock got to these levels. But I am stepping aside and waiting to see what happens. I bought a little in the 17s but just can't justify adding to that with the way the stock is acting.
It is possible the converters could have a hard time finding a bid for their volume of selling. If the converters can lose money then I need to stay out of the way.
Apparently Aegis Capital wasn't impressed.
LTNC has lost a lot of friends. It would be nice if I were wrong but this stock looks lower.
LaborSMART New Job Postings. TN MO NC FL
http://www.indeed.com/cmp/Labor-Smart,-Inc.-1
LaborSMART, Inc. Upcoming Investment Conference...
http://www.otcmarkets.com/stock/LTNC/news
LaborSMART, Inc. Job Postings...
http://www.indeed.com/cmp/Labor-Smart,-Inc.-1
LaborSMART, Inc. Facebook page...
https://www.facebook.com/laborSMART
August Rev figures link...
http://client.irwebkit.com/Laborsmart
LTNC is getting closer to where it needs to be.
Ramping up the new branches should help get LTNC over the top.
Peculiar... No August Rev figures?
LTNC is usually all over that at the end of a month.
I am still unable to buy much stock in the 17s or lower. Got a little bit a couple weeks ago but none since.
Actually, LTNC is not pink sheet it is a BB stock.
OshKosh B'Gosh was a pink sheet stock a long time ago. They were bought out for 312 million dollars in 2005.
TJAI1c3a wrote:
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Then let this one go. Seriously. Watch it and play it if for a good flip if you've got L2, but Ryan Schadel isn't worth the turd on the end of a short stick. Someone is correct that I have wasted enough time on this board, but if I helped at least one person then it wasn't wasted. LTNC is a typical pink sheet because the CEO is either inept or a crook. Either way, save your money and energy. Maybe...just maybe he'll turn things around, but there is no sign of that. This is my last post here. GLTY.
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I remember you posting the email exchange.
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On Mon, Jan 13, 2014 at 9:23 AM, Ryan Schadel <rschadel@laborsmart.com> wrote:
I'm going to chime in to the response here. Labor Smart is 100% current on ALL tax reporting requirements. We report to over 100 government agencies including state, county, local, and federal. Our tax liability is fully disclosed.
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What Ryan Schadel emailed you seems accurate. Tax filings and payments are two different things. Plus by filing all tax reporting requirements the tax liability would be fully disclosed to the taxing authorities. I don't see much of an issue with his email.
5 million vs 48 million market cap.
LTNC 5 million market cap
CCNI 48 million market cap
LTNC 21.2% gross margin
CCNI 26.9% gross margin
LTNC 6.43 million 2Q14 Rev
CCNI 21.6 million 2Q14 Rev
LTNC adjusted EBITDA 2Q14 $401,455
CCNI adjusted EBITDA 2Q14 $1.7 million
LTNC 30 locations
CCNI 54 locations
If LTNC can get its financial house in order the market cap can move up substantially from 5 million. Hopefully the OS doesn't move up at a higher rate than the market cap.
I disagree. It might not have been pretty but it was accurate.
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(f)Involvement in certain legal proceedings. Describe any of the following events that occurred during the past ten years ... :
(2) Such person was convicted in a criminal proceeding or is a named subject of a pending criminal proceeding (excluding traffic violations and other minor offenses);
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Someone could logically state "never" in the 401(f)2 section and be correct even if guilty of a crime 11 years ago. It might have been worded differently but it follows the item 401 instructions. The instructions don't say to repeat parts of the instructions in your answer.
I think burthub is correct. Here are links to info concerning the 10 year period.
http://www.sec.gov/about/forms/forms-1.pdf
http://www.law.cornell.edu/cfr/text/17/229.401
The instructions for Form S-1 state:
Information required by Item 401 of Regulation S-K (§229.401 of this chapter), directors and executive officers;
be placed under Item 11. Information with Respect to the Registrant.
Cornell states "during the past 10 years" in reference to the 401 info for Involvement in certain legal proceedings.
You can read about it in greater detail on those two links.
I agree. The new convertible note is geared favorably to a higher stock price. The other notes were not. It is a substantially better note for the company and current shareholders. The accredited investors have an interest in a higher stock price.
Now where was I?...
Oh yes, LTNC and Pyrenees Investments. Pyrenees Investments and their accredited investors. Smart bunch those accredited investors. Why are they so smart? Well, maybe because they have money and know how to make it and keep it.
Now those smart investors are investing in LaborSMART, Inc. of all things. Maybe they did substantial due diligence before cutting a large check. Hmmm... they like LTNC. I wonder if they really looked under the hood before committing to a 1.1 million dollar investment? Most likely. Mere conjecture on my part? Doubt it.
We all know that 1.1 million dollars isn't a lot of money.
But... maybe Pyrenees Investments and their accredited investors think it is. I would imagine they did some pretty serious due diligence before cutting a check. Just a little more than you guys did? Maybe? I am sure they went through Ryan Schadel's laundry basket let alone his business bank statements. I doubt they failed to verify actual revenue as opposed to phony claims of revenue as some here suggest.
It must be time to buy.
What with the rest of you all negative.
Hell hath no fury like a woman scorned.
Or an investor that misses out on a buying opportunity.
All this talk of tax liens.
Yes, of course there are tax liens. The IRS does automatic tax liens when the amount due is over a certain figure. I think it is 25,000 maybe? So, yes there are tax liens.
Yes there would have been penalties plus interest. The IRS imposes penalties for failure to file and failure to pay/deposit on time. LTNC filed just had a little problem paying. Those penalties are most likely worked into the payment arrangement.
I agree with kmikesara that the new monies raised will not go towards tax debt. That arrangement is already structured. The IRS interest rate for underpayments of tax is currently 3% per year. I doubt LTNC will be in a hurry to use expensive money to pay off a 3% interest arrangement.
Anyway, this new loan looks better than the others. The stock started moving up after the news. Too bad, because I was only able to buy 25% of the position I want under 18 cents. Maybe it pulls back. Maybe not.
Permabears tend to get slaughtered. Permabulls at least have the luxury of time to get them out of most bad trades. I find it best to be somewhere in between.
I have been both negative and positive on this stock. Currently I am cautiously optimistic. I have traded this stock on a market cap basis. Originally bought over a year ago when it was under a 5 million market cap. Sold my position on the run to 50 cents. I didn't think the company was worth 11 million cap.
At 27.2 million OS it is at 5 million cap at 18 cents. If the CEO has to dilute to 50 million OS then 10 cents would be my buy price. I am building a new position at prices up to 18. May be able to buy more, maybe not.
I think it will go lower but I could be wrong. So I am buying some now.
I like this CEO. He is driven but a little too ambitious. I think he will have to slow down and digest the current growth. He may need to dilute to realize his dream. The argument surrounding his taking his money out of the company has little merit. He has his heart and soul invested in this company. The seed capital he loaned did its job and he should have pulled it out. I can imagine he has many 2:00 AM sleepless nights working on issues that need fixing. He is focused and I think he will be successful.
Hey, the competitor, TrueBlue TBI, started out as a hamburger joint then turned to temporary labor. This CEO at least isn't trying to sell hamburgers.
Single digit pennies might not happen.
I wouldn't mind seeing it much lower. I would like to buy a position at better prices. But it might not trade that low.
I am willing to pay 15 to 18. Bought some yesterday in the 17 range. Wasn't able to get as much stock as I want though. Paying 10 to 12 would be great but might be a fantasy.
This CEO can fix things up. Might take significant dilution if no other choices are viable. But I think it will end up OK. I am only willing to pay a 5 million cap or less for the stock. So with dilution maybe my buy price goes lower than 18 cents.
Might be time to buy?
I want to build another position. Was thinking 15 to 18 range. But the sellers seem to have gone away. Well, maybe they are at lunch.
Well, the problem is dilution at such low prices. I think the CEO will eventually turn things around but at what level of dilution? Allowing conversions to happen is better than going out of business. We could end up with a successful company but with 100 million OS. Maybe the CEO thinks 20% of something is better than 80% of nothing. So if dilution is the only way out 10 cents a share might seem pricey.
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kmikesara wrote:
yes, after the quarter there were additional conversions and O/S is now 27.5M and at a dime a share to boot. You won't see a dime a share though, and it would take another 5M shares dilution to take the ceo below 50%, and then so what? I'm interested in what you think will happen.
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Major Dilution Last Quarter. 27.5 Million Shares OS. Up 5 Million Shares! Converters paid around 10 cents per share. I will wait to pay 10 cents or less. Forget 20 cents. It won't take much more dilution and the CEO will own less than 50% of the stock. Then what?
If LTNC customers might be liable for unpaid payroll taxes then marketing to new or even existing accounts could be very difficult. LTNC competitors only have to say to the prospect that LTNC is behind on payroll taxes to take the account away. LTNC had better clean up this issue quickly. Competitors like to have things like this to say to potential customers.
Every time LTNC has gone up it has been a good time to sell it. Now I wonder... How much dilution has happened since last reporting? How much in payroll taxes are currently due? Forget about past due. I wonder if the IRS can go after LTNC customers for the unpaid payroll taxes if LTNC can't pay? Any tax lawyers on this board that might know the answer?
75,000,000 increased to 150,000,000 Authorized Shares? Why?
Major dilution about to happen? With 22.5 million outstanding shares and over 50 million authorized left LTNC needs 75 million more authorized?
Are we going to 5 cents a share soon? Incredible.
Timely 10-Q. Excellent. Maybe things will start looking up. I would think with the large amount of payroll taxes LTNC has to pay that they are a monthly filer. They appear to have a payment arrangement with the IRS for back taxes. Well, at least borrowing from the IRS is at lower interest rates and no converted stock being issued.
All in all you have to respect Schadel for what he has been able to accomplish so far. I've built businesses from the ground up before. It takes a tremendous amount of hard work. So I do tip my hat to Schadel for what he has created from nothing but a dream.
I was thinking of buying LTNC in the low 20s. But I read the review on Glassdoor.com where a former employee mentioned something about LTNC not paying payroll taxes. Pretty scary if it is true. I think I will hold off on buying LTNC.
10-Q? NT 10-Q? Inability to timely file yet again?
25 cent bid. I wonder if newly converted stock is selling in here? Smells like it. So LTNC has gone from 50 cents to 25 cents. It apparently was overpriced at 48 cents like I mentioned.
LTNC lives paycheck to paycheck and on credit cards.
Current Assets: 2.24 million
Current Liabilities: 3.612 million
Quick Ratio = .62
Healthy companies have a Quick Ratio of 1.1 or greater.
Accounts Payable: 1.668 million
Short term debt: 1.944 million
LTNC keeps rolling their high cost credit card debt. (convertible notes)
1st Qtr 2014 revenue: 4,728,800
Almost the same as the 4th Qtr 2013: 4,766,000
Loss will probably be in the same neighborhood? 900,000 dollars?
Tack that on to the credit card debt.
Yea, things are great at LTNC.
1.00 per share? Good luck with that.
Zacks estimates are way off. Sloppy research? 1st Qtr 2014 revenue estimate way off actual. 4th Qtr 2013 loss much larger than Zacks estimate. What should we believe now Zacks? Redoing your estimates? Unbelievable.
10-K finally out. Ouch! Lost 2,729,918 dollars in 2013. Lost 900,169 dollars in 4th Qtr 2013. LTNC Still doing plenty of convertible debt financing. Look out below.
When I said the stock was overvalued at 48 cents I thought LTNC would go back to the 20's. But I thought it would take the 10-K to get it there. It got to 28 cents without the 10-K. I am not sure how low it might go now when the 10-K actually comes out. Could it see low 20's or even teens?
janeyH wrote:
I think the market has spoken.
Quote:
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Is LTNC currently overvalued? At .48 cents with 22 million shares its market cap is 10.56 million dollars.
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More Fluff PR - No 10-K
How much did LaborSmart profit or lose in the 4th Qtr? How much convertible debt is on the balance sheet? That is what we need to know. Thanks for telling us there is a labor market in the Western US.