Email Response from Paul to questions I submitted last week.
(This was before Allie's idea of the board sending questions throught her)
Paul's responses are in bold.
Dear Paul,
I want to thank you for the efforts you and the team put in at the ValueRich expo this week. I enjoyed listening to the audio presentation, and hearing the plans and goals of the company.
From all I was able to hear from our diligent board rep, MuchCompensation, it was a very succesful experience for the company. I, and many other investors appreciate your efforts to move Spooz forward, and I am very thankful to be invested in a company that is committed to the interests of its shareholders
It was nice to hear your reference to the Ihub board - I have found it to be a great community of Spooz investors.
The mood of some on the board sometimes gets testy when hopes and expectation for news and information are high, and the share price dips. We start hearing fear, and complaints from some parties. I was wondering if you would have the time and inclination to address some of the concerns that we have heard over the last little while. I understand that there is information that you are not able to provide, but I'm hoping there might be some things you can say about the following questions to ease the minds of shareholders.
1. Do SpoozToolz and the other trading modules work well enough to be put to use in the real world? Are bugs and technical problems the reason for the delayed releases?
No, bugs and technical problems are not the problem with releasing the software. The truth is that Spooz is a complex situation. The product is complex, marketing is complex, financing is complex, in fact, nothing about Spooz is simple, especially when you consider spinning off another public company like 141 Capital, Inc.
2. Is Jan 2008 a firm date for release of SpoozToolz - or are further delays possible?
While at the Expo last week, I was introduced to, and became personal friends with the President and CEO of the Chamber of Commerce for the City of New York. To make a long story short, the Chamber is forming its International Finance Committee who’s mission will be to stimulate investment in New York companies. I was informed that Spooz will be the first company to be invited to join this committee and the Chamber of Commerce will provide office space for a Spooz sales office at Madison Avenue and 44th. Of course this is all tentative, however, our investors want us to have a New York presence before product launch because they want us international as quickly as possible. It has everything to do with grabbing market share possible as quickly as possible. This stifles competition due to brand recognition in targeted market segments, which in turn lowers the investment risk in Spooz. We believe that, in this case, quickly acquiring market share is far more important then time to market.
3. Is Spooz in a strong enough financial position to accomplish its mission? Can you say anything about "those who are seeking to inject millions" into the company? You mentioned at the expo that Spooz is not looking for money at the moment - could you elaborate on that at all?
We are turning money away, however, if what we believe may happen actually does happen, I will be looking for investment dollars in the $50 million range. I am tired of being asked about “those who are seeking to inject millions.” I wish I had never said it, but in all honesty, we are, in some cases, walking away from deals for various reasons. We believe we have the best of all worlds in our investment partners and financial consultants, namely, The Kauderer Group. The best of all worlds means extremely deep pockets, a deep understanding of our industry, world class connections, skin in the game, steadfast belief in the company’s mission and management, sweat equity.
4. Can you provide any information about the reasons for the reduced revenue projections presented at the conference (compared to the ones you PR'd earlier this year)?
Conservative numbers play far better to sophisticated investors than aggressive ones. I have learned that there is a huge risk in aggressive projections in that they tend to dilute credibility. In addition, our philosophy is moving toward under promising and over performing. We believe it is possible, if not likely to eclipse the projections. I believe that I alone, without any help from the sales department, could sell more than 4,000 subscriptions in 2008.
5. We received a second hand announcement during the expo from MuchCompenstion about Spooz uplisting to the OTC:BB. Could you tell us what the status of that uplisting is?
We are up-listing to the OTC:BB as soon as there is time. It will become a greater priority toward the end of the year, but we are already working toward the audit and required SEC filings. We have been working with an accountant for several months to prepare the books for audit. We met with our audit partners in New York while we were there for ValueRich. In addition, we will also be listing on the Deutsche Börse Group.
I realize that you are very busy, and get many emails from shareholders. I'm hoping if you could provide some answers then maybe you would have fewer individual emails to respond to.
Answering emails from shareholders is beginning to take a tremendous toll on my time, so much in fact that Errol and Care yelling at me. Although I fully intend to remain transparent, we need to find a way to lessen the load. I have dozens of emails but doing so is counterproductive and not in the best interests of the collective shareholders. In future, I must adopt a policy of answering ONLY emails from moderators of the IHUB board. I hope you understand.
I will ony post replies on the Ihub board with your permission.
You may share my answers with the board if you believe it will reduce my email by even so little as one.
Thanks so much - and I fully understand if you don't feel inclined to respond.
Best wishes,
******
