American Green Inc (ERBB)

[iSmellCrickets]

This company has come up with an idea, and has enough 'clout', or believers that have dollars, to loan them money.

We cannot expect a company to gather resources from every direction on more levels than most people deal with in their entire lives, in a couple years. This is as close to financial rocket science as your going to get. Simply because I might not understand how this whole thing works, does not mean the rest of the financial world is wrong.

Company has an idea to make money, they present it to those interested in making money, that have money, they loan company money / resources, in exchange for a note, no different than a bank, yet in many cases can have deeper repercussions than a traditional bank loan.

Company does business, making whatever products / services they make or provide, the payment comes due on the note terms, it is out of companies hands, plain and simple. The note, or loan comes due, it converts to shares, the note holder retains the right to sell the shares on open market, at the conversion rate, and said note is cleared.

Simple. Legal. Very useful. Productive. Eventually company does not need these types of loans, and notes are all cleared. Hence no more conversions. Products sell and valuations rise.

Novel concept? yes, it's how it's done, every day, by millions of people observed in hundreds of thousands of companies.

No sense expecting something to suddenly be different than the paperwork explains.