Sun Pacific Holding Corp (SNPW)

[Mightymite45]

Well let’s see? Humm in most new businesses such as SNPW’s, Service and Warranty revenues take some time to build, they are built on what you might call your front end business such as selling Solar Panels, Batteries, Inverters and all the other components that go with it to make it work what one would call their bread and butter. The goal is to get enough of those components out there so that what one would call the backend business grows over time because usually in the long run it will have higher margins and as such over the years one wants to use the backend to basically cover all expenses and the front end becomes clear from overhead. Now if I was a smart businessman, I would want to outsource the backend knowing that it will take some time to grow like in any business that has service and warranty work knowing that my absorption rate is going to be low there for a while and I would sell the hell out of my front end business to reap higher revenue initially and focus on my market penetration rate. This is compacted a little but hope I made it sense.