SIPP Industries Inc (SIPC)

[Zitroja Group]

Great information...GO SIPC

April Upside Play: SIPC And The Hemp Sector
From Seeking Alpha....Mar 20, 2016 12:02 PM |

SIPC has very few existing liabilities - Anytime I consider sticking my toes into any OTC play, my number one concern is toxic/convertible debt. Shell companies and fly by night operations that are built on toxic notes leave the unsuspecting holding the bag more often than not in the wild, wild, west landscape that is the OTC.

In July, 2014, Sipp Industries divested its beverage industries and removed nearly 100% of their convertible and toxic debt, holding only one note in the amount of $62,680 on the balance sheets. Re-organized as a conglomerate corporation that specializes in technology, import/export, and distribution of commercial and consumer products, in early 2015 SIPC entered into the hemp sector by offering advanced plasma lighting for indoor horticulture, gaining sales traction in Colorado, and the mid-year addition of an online store which offered bulk hemp products and co-packaging solutions. Sales in these endeavors, coupled with the clean balance sheet and lack of debt, allowed SIPC to post a modest profit in 2015 Q3 as a start-up hemp-based business.

Having a 'clean' balance sheet and little to no toxic debt separates SIPC from their peers. Compared to one of their peers, Hemp Inc.(OTCPK:HEMP), SIPC's $62K looks far more attractive than the $1.3M in total liabilities stated on HEMP's most recent 10Q, of which $1.1M were toxic notes and interest accrued, that more often than not eventually translates into additional shares being diluted. Moreover, the knowledge and experience gained within the hemp sector laid the groundwork for SIPC to launch a fully-owned hemp subsidiary, Major Hemp, in December of 2015.