To SKS - Since you read these boards
I completely get the practice of option granting to valued employees. Every business wants to keep its valued employees. Without an endless money supply to support years and years of ongoing developments it seems the most logical way to keep those valuable employees from leaving.
However, you are no longer a development stage company, by your own admission. You are a company who's time for sales and revenue performance has come. Since that hasn't occurred completely as expected, you are now asking us shareholders to help you keep these important people around, and even foot the bill for new employees that, so far, are unnecessary without revenues.
Why? You can't even assure me (shareholder) yet that Wave has a future out that long! Therefore, why is this plan the one that we should approve? You have still not validated your business plan. You have yet to offer a realistic, attainable forecast. You say it's too early to predict revenues, yet you are predicting new employees that need to be granted options.
That's the part I don't get! If you don't make money... you don't grow. If you don't grow ... you don't need new employees. If you don't need new employees ... you don't need more option shares voted to you to give out.
What am I missing?
I asked you in a conference call last year if your employee headcount growth was expected to be in line with your revenue growth. You told me that it was, but that if you suddently got a big order that required you to secure additional resources, all bets were off. Well? Did you get a big order? Is there something we shareholders should know?
If not, then I'm not convinced that this is the appropriate time for this. Show us some enterprise upgrade orders that will help validate the business plan first. If you're making the progress you say you are, then you shouldn't have to work very hard, or wait very long to gain our support for all the right reasons.
So please get the right message here. I am not saying that I wouldn't be open to voting you these shares under the right circumstances. But do you really believe that this is the right time for this? Let's see what the next 2-quarters bring, and then maybe the timing would be better
