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LOL. Jan..9 floor $0.0059 gets tested today. Low..volume so far. Will it hold?
Recent uptrend. Closing price Jan. 9 was $0.0059. A month and a half later, Feb. 23, it closed at $0.0087. Up 47%.
Good uptrend for a month and a half! And the recent news supports it.
There are a few "Sunshine State Financial" entities in Florida. The one BZWR has "partnered" with appears to be the one called "Sunshine State Financial Group LLC" in Orlando. The website is https://sunshinestatefinancial.com/. The company has existed since at least 2017, according to Florida corporation records. Another webpage (here) makes the connection to the company's website since it mentions "autopal", which is an auto loan software company that has been associated with the company in the past, so I am pretty sure that I have the right entity. I have no feeling for how large Sunshine State Financial is and could find no customer reviews for it so far. The fact that I see no negative comments about it in at least 5 years of existence is a good thing.
This is the kind of progress that could help build a good reputation for BZWR, and I am happy to see this news today.
Rhett's video gave us things to hope for. What did you think of it?
I thought he did well to point out that he has assembled a company that provides small-business know-how, marketing support and software development, currently focused on lending solutions. The Annual Report did not give us much of a look forward. We will have to wait to see how fast sales will improve.
Obviously, from the Report, the have lost capital from the two acquisitions and became in need of a large line of credit. They may have wasted the time and money used to qualify for their short run as an OTCQB company. Not surprisingly, there is "going concern" language in the Report. But, almost six months have gone by since the report date and they may be learning to make ends meet in their new trajectory.
(They may even try to requalify for OTCQB someday, but my little research does not find long-lasting share price improvement for those who do that.)
I hope they will consider tightening up their financial controls. Perhaps an independent Director and a competent Controller would help. I didn't see that a Controller was identified in the Report.
Last..price fell 16% on $2.79 worth of shares (416 shares @ $0.0067). A very slow day so far.
Here are some of the changes in the Annual Report compared to the June article "Business Warrior Acquires FinTech SaaS Company, Alchemy Technologies" .
The article said, "The value of the deal at closing is $8.75 million with $2.25 million in cash and $5 million in preferred stock with a 7%, three-year cash dividend. In addition, $450,000 in restricted common stock will go to existing Alchemy employees that will vest over 24 months." The Report said, "On June 8, 2022, the Company closed the acquisition of FluidFi, Inc. , dba Alchemy Technologies (“FluidFi”). Business Warrior obtained 100% of FluidFi’s equity interest for $800,000 in cash and $1,823,671 in preferred stock with a 7%, three-year cash dividend.
Consideration: Cash $ 800,000; Preferred stock 1,823,671; Total consideration $ 2,623,671"
The article said, "Alchemy is a global company with customers in six different countries and territories, the United States, Mexico, United Arab Emirates, Australia, United Kingdom and Puerto Rico. In 2021, Alchemy generated total revenues of $2.8 million. The company is on track to add additional revenue and projects full-year 2022 revenues to increase by 77% compared to 2021." (That's almost $5 million.) The timing may be different, but the Report shows EOY gross sales as $6.5 million for the whole combined company "if each of these business combinations had occurred as of September 1, 2021". So it looks like they may be on track for Alchemy to hit $5 million, but figuring that HelixHouse and the original BZWR had some of the sales, they weren't to that goal by August 31.
Hopefully, overhead is being reduced since the time of the article, which said, "As a subsidiary of Business Warrior, Alchemy will remain under its current brand name and will continue to support its clients and internal teams. Alchemy and its more than 30 full-time employees and over 100 full-time contracted developers will be an independently managed subsidiary of Business Warrior. This acquisition expands the Business Warrior team to 157 professionals focused on a singular mission: to be the source for success and long-term growth for small businesses through marketing technology and unique funding solutions." So, that looks like the had around 30-35 Alchemy employees, around 10-30 BZWR or HelixHouse employees, and over 100 contracted developers, if that's how the 157 were deployed. In the Report they say, "As of August 31, 2022, we had 32 full-time employees, all of whom are based in the United States. We supplement our workforce with contractors and consultants globally." If this number counts all three entities, it looks like the Alchemy portion would be well below the old 30+ count.
Well, reporting isn't always perfect and subsequent changes could have been made as well. But if overhead is trimmed and sales are growing, they could be entering a sweet spot.
Good..day for..MMs: nice volume, buy..at .006, sell..at .008!
That would be my guess. They have a civil suit against Timothy Li, so I doubt they would keep any partners he had around. Maybe some employees could be friends of his. So you have a point. But BZWR can remove them if they would become insubordinate. I hope they like the conditions that they have under the new parent company.
You think the employees of the subsidiary fleeced him? Not much chance of that! Try the owner(s) for that role. The owner(s) got the money and surely left the company. The employees are probably doing just fine working for BZWR, trying to keep customers happy and make sales.
Back up to $0.008, not far from UNCH.
The FluidFi ("Alchemy") balance sheet appears on page F-10 of the Annual Report. It says that BZWR bought assets worth $1,117,420 consisting of cash, accounts receivable and other assets and that BZWR assumed liabilities of $1,395,130. That's a net worth of minus $277,710. For that, BZWR paid $2,623,671 in consideration, including $800,000 cash. We can now ignore the goodwill since it was expensed as no longer valid.
I assume that what BZWR got for their resulting $2,901,381 in consideration and assumed net debt, the "goodwill", included all rights to PayPlan and the ability to maintain, modify and support it among present and future clients. Even though the goodwill is not on the books, the rights to PayPlan would still exist and with them, some amount of revenue would eventually be realized. That appears to be the plan. And if PayPlan is a big hit with little competition, it may be a very successful plan.
After all, it is about six months later and the company is still here. AND, someone was willing to lend $5,000,000 for this purpose.
Better than I expected. Looks good going forward.
I am not too surprised about the Goodwill Impairment calculation. I have doubts about recovering payments from the Alchemy purchase price, but since future payments are involved and Alchemy's assets/liabilities may possibly have been misrepresented, maybe BZWR could get some relief. At any rate, the Goodwill asset has been tested and is not overstated, consisting only of the Helix portion.
This report does not show the full force of combined sales since it only goes through August. The first quarter should indicate how far behind breakeven they may be. BZWR has a line of credit that may be enough to fund the rest of the transition.
We have seen the share price at this morning's levels before. Good high volume with buyers leading sellers so far, yet the price is stabilizing. It may want to go lower as this news circulates, and may take weeks for finding a bottom when someone chooses to sell on low volume days. But I still like BZWR when the majority starts looking forward into what progress is likely. I feel that a rally to at least 50% higher is not far away.
You can download results from "Stock Screener" at https://www.otcmarkets.com/research/stock-screener . Today it no longer shows BZWR as OTCQB. It says "Pink Limited" where it used to say "OTCQB". If a company is PINK, it can either be "PINK CURRENT" or "PINK LIMITED".
I doubt that a company can be both OTCQB and PINK LIMITED at the same time.
The share price under one cent is another issue with this. Perhaps BZWR has been warned about losing OTCQB status and hasn't put out a press release on the subject. Rhett did mention regaining full compliance, so it is encouraging that BZWR would be financially strong enough to do so.
Glad Rhett says, "Our EOY financials are complete"!
By the way, I do not know that OTCQB status is lost or just suspended. The company has not mentioned its status or any possible warning or probationary period, I believe. So, I don't know if reporting will cure the "Limited Pink" issue. I suspect that, at the earliest, it won't change until Quarter 1 results are published.
I am also curious if they still have that Controller that they hired last year.
"OTCQB" has disappeared from otcmarkets.com page and what we now have is called "Pink Limited Information". When the audit finally is posted, I suppose that would solve some of the problems. But my guess is that requalifying for OTCQB may not be worthwhile as things now stand. Qualifying sure didn't raise the share price.
Standing by for news.
Four weeks ago we read, "Cloud-based Lending Platform Business Warrior Nears Completion of Its Audited Annual Financial Statements". Perhaps something is in the works where they can't yet give a progress update. Rhett Doolittle claimed to be writing up the report last week, so it's anybody's guess...
Agreed! Buy low and sell high. I've made very little off of BZWR share sales and am sitting on a pretty high inventory. But I could break even with a good rally and I am hopeful to hold my shares even after that.
And one could get something worse selling it!
C'mon, pay..the auditors! $0.0137 has moved..up to..best ask. Let's see the report!
One MM best ask..at $0.0099, $0.0137 is..the next one higher. Big difference! Not a surprise that buyers are scarce. But good to see evidence of those who are long and strong willing to wait on news. Tough to sell right now; gap is very large if you have many shares to dispose of.
But at 4:00, the $0.0104 close takes the attention off of a whole lot of selling.
No matter. A strong audited report will set a new tone, and I hope it's a good one.
Today sell volume leads buy volume 10-to-1! 500k shares vs. 50k shares. Most of the selling was well below the best bid at the time. Bid/ask has been firm at $0.009/$0.0105, but that is not where most of the trading has been. I saw 120k shares go for just $0.0061.
Today sell volume leads buy volume 5-to-1. I guess someone wants to accumulate shares but they had to raise the bid/ask to shake them loose. Price often goes up on buying demand, hitting the ask. Not this time.
In the end, the annual report might make this a good risk when demand accelerates.
2 o'clock financials drop? Breakfast is over on the coast. Will BZWR report today?
Best ask now $0.0142. Ready to fly after closing at 1 cent yesterday!
Up 17% to $0.0094. Watch EDGAR: maybe report on its way!
We haven't seen $0.0085 since December 15. BZWR is showing some life now.
I bought some more. Perhaps more rally ahead.
BZWR may have had time to solve their difficulties, or maybe they will soon.
We will shortly have news about the close of the fiscal year on August 31. A long time has passed since then, so any bad news at that point might not be carrying into the present.
They had issues with their OTCQB qualifications with share price below $0.01 and delinquent financial reports, although the company has not disclosed any notifications of this to date. They are still identified as OTCQB on the otcmarkets website.
It has been alleged that funds were wrongfully taken from the Alchemy Technologies subsidiary by the pre-acquisition principal there. How does this stand now and was there a recovery?
We should soon see how that acquisition affected the balance sheet at that time, but will still be uninformed about how it stands today, most of the way through the second quarter. Perhaps their combined sales are generating profits already.
The "subsequent events" section of the report should be an interesting read. I am encouraged that they may be over the hump. At least one subsidiary, HelixHouse, seems to be thriving lately.
Not too bad so far. R/S was needed. I'm bullish going forward.
Big volume so far, almost all under $0.007. Mid-month rally in jeopardy.
Long audit is exciting. HelixHouse subsidiary gives clues.
Helix House has put up a year-end review at https://helix-website-855e6e.webflow.io/blog-posts/helix-houses-2022-year-end-review .
They say:
Almost all sell volume today, but..price up 9%. The bid/ask has moved higher, to $0.0076/$0.0078.
I wouldn't be surprised to see a reverse-split announcement soon, to retain OTCQB status, but they may wait and not have to do this. Good earnings news may start a strong upward move in the share price. Cash is key. I hope they had a lot left after the acquisitions settled.
A Notification of Late Filing has been filed at https://www.sec.gov/Archives/edgar/data/1830503/000147793223000250/bzwr_nt10q.htm which allows for a 5-day delay of the first quarter results.
December and January-- both great!
Great update! Looks like today's word is "soon".
Market makers have few shares on hand today. It took just a few hundred dollars worth of selling to knock the best bid down to $0.0011 at around 2:30.
That's a big..if..and the share price shows it. I don't expect anything exciting in the year-end, but the first quarter (which now almost has to be delayed) might show some progress when we finally get it. They are well into their second quarter now, hopefully growing and cutting costs. So I am bullish long term.