Arch Therapeutics Inc (ARTH)

[Polyphemus]

I have been following ARTH for 4-5 months. I follow a few other early stage companies in this sector, but no investmkent in ARTH. ARTH was brought to my attention by someone who I know. To date, other than the passions of the posts on this board, I have seen little to indicate that ARTH is an attractive place to invest. I have heard that ARTH has posted a job for a product development engineer. Biggest watchouts from my perspective are:
1 - no one in management or on the board has previously successfully developed and launched a medical device; Norchi was a mutual fund manager & stock analyst - and apparently on the beach - before taking this job
2 - wound dressing sector is very crowded, price sensitive, and needs strong distribution and careful product positioning for success. AC5 doesn't seem to fit bill. and ARTH is not positioned for success with regard to solid marketing/distribution organization and budget and, which would consume working capital
3- management and board compensation is unacceptably high for this company, which is always a red flag.
4 - key asset is a MIT patent that is long in the tooth; registered in many countries, but still only one parent patent. Also, MIT reports indicate that AC5 technology is appropriate for a tissue sealant, but is not a true hemostat. Without the MIT connection, would we be talking about ARTH? Entity was previously an on-line distributor of automative parts.

What am I missing on the positive side? Please point these out.