Congratulations to the Company for finally filing the 10-K. As late as it is, they kept their word about that. That means we are one step closer from being halted and may mean these guys maybe actually real.
I mean an audit costs a minimum of $30-$60K, that costs real money. Audit firms typically don't hand out terms to small cap companies, certainly not for any period of time. And I don't see anyone absolutely proving the Company has sold a share since April 20th when their financials went stale and could not legally sell stock. That would be the only way they would have the capital to pay for the audit. I don't believe someone just hands a company up to $60K without some convertible note, purchase of stock or revenue sharing deal to go with it. Oh by the way, those are all 8K events, haven't seen any 8Ks filed for XCLK regarding this topic. So how did they pay for this lengthy audit? Scams don't usually pay for audits. Why, becuz the very people most likely to catch you doing no good you are paying to file your public filing, duh!
For those really wanting to understand further think about this. If you read the Convertible Notes filed with all the public filings you realize there is alot of convertible debt, no news here. XLCK probably had a bit of a run on issuing stock from 2014 through the beginning of 2015 since I don't see much enough in revenues being touted by them to pay off creditors. With a limit of 2.99B shares just how much stock can they issue before the treasury runs out and their creditors are holding until they can get current financial reporting. I will give you revenues in 2014 may not be much. Selling tons of stock to stuff management's pockets very unlikely, no...improbable.
For those who think this biz was a scam from the start, you are are way off. Here is a fact to feed on: if you are running a call center do you want to promote your location so everyone can visit you especially if you are doing political fundraising or are offering rent guarantees to credit challenged individuals of whom maybe half you might not want in your living room? I would not think so. If what some say is true and that the Company rents an executive suite, what about the call center in the Greater Las Vegas area with over 4K sq ft. that has been disclosed?
Pretty hard to fool auditors who have reviewed contracts and books and maybe even have done a site visit. Food for thought for those who think XCLK is a fraud from the gate. I have been doing my homework on small cap companies and those that run similar biz as XCLK. Seems like XCLK is no worse than many of the call centers and digital media companies out there leveraging their ability to be virtual, cost effective and having relationships across the country.
Well congratulations to all of us for having the company file the 10K which we get to see on Monday. At least it is a step in the right direction.
Happy Halloween everyone, Monday will tell us if we have a little or alot to treat on. And to the Company, thanks...now get the 10Qs done!
