Vertical Branding Inc.(fka VBDG)

[houtheman]

Nancy makes $335K salary plus unknown perks and bonuses and only has $650K worth of VBDG stock. Which do you think is more important to her?

I'll compare it to my situation - I get a 150K salary for a company I own and I have turned down offers to sell the company which would net me 500-700k cash. The control of the company and consistent cash flow is much more important to me than the shares I own.

Does Nancy really have shareholders in mind first? What's to stop her from declaring bankruptcy and buying the assets for pennies so she can own more than 15%? What's to stop her from doing dilutive deals that would pump enough cash in to pay her a $1 million salary?

I believe this is the crux of the issue why many OTC stocks sell so cheaply. How can we decrease the risk of this unknown when making an investment in VBDG?