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Re: linkvest post# 80980

Saturday, 07/05/2014 3:46:52 PM

Saturday, July 05, 2014 3:46:52 PM

Post# of 123645
Linkvest, that may be true but only as it applies to established efforts and brands with known and predictable sales and run rates that can have contingencies built in without hamstringing the company financially or logistically. We're dealing with a significantly different animal here with a startup in the space. The Point K is making is valid and I don't think it's an attempt to discredit the company but just to inform that the situation exists. Supply chain factors, metrics and analytics therein are important but at the point Marani are they are even more important as the rubber is running dangerously close to the road and it could be potentially devastating if not addressed with great detail, care and expertise and I'm not sure if they have anyone capable of that task. Missing a shipment date or having too much inventory when you're already running at a significant loss can land a startup in deep doo doo. Just as an example, I don't buy this 1600 cases already sold deal. It makes no sense logistically. That would mean their inventory stands at zero. Might be good for the books but distributors are not going to be happy with a back order, empty shelves or waiting for a container that could take more than a month to arrive. There should be at least one non-spoken for container in inventory as a contingency but Margit has made it clear that's not the case. If they somehow miraculously got a big order they couldn't fill it for 30-45 days. Plus if a distributor gets a sniff that you're running a just in time inventory deal they're going to be hesitant to commit to anything of substance.