Important post by Tulazl
Posted by: Tulaz1
Date: Sunday, June 20, 2010 4:31:47 PM
Post # of 20902
With or without Dutchess....MMRF will succeed - why? Because deals are done and now its time to deploy.
The fact is that YES Robert Lorsch is the biggest shareholder and any cash that is needed must be healthy for the company. Companies that do not survive are the ones who struggle to pay back their loans (like people that spend more on their credit card than they will be ever able to pay back).
Dutchess is coming in now at a time when during the 3Q there will be hundreds of Kodak resellers all over the world selling MMR Pro - a product there is a very high demand for and will represent $22-$23K per unit (MMRF expects to sell 1,000 units). The UNIS deal is also a very big part of the MMRF future.
China has a population of over 1B people. We will begin to see revenues coming from China starting in the 3rd Q. It will come in pieces, but the first province is almost the size of the US. As if that wasn't enough....this possible Dutchess loan is also coming at a time when cash is needed to fund the Chartis deal which represents the biggest launch of a PHR ever:
The cost of launching Chartis alone will be nearly one million dollars through 2011, requiring translations, personnel, compliance, network infrastructure and platform enhancements necessary to comply with the Company's agreement with Chartis, in what we believe can represent the biggest worldwide deployment of a Personal Health Record."
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I've done projections on possible revenues from all of these deals and anyway you estimate it ....there will be much more than $10M in revs coming in from each individual deal (when fully deployed) which will make Dutchess only neccesary for a short amount of time if at all.....
The question I have is....why is it only a standby line of credit? What is in the short term that will allow MMR to possibly not even need a line of credit?
I would assume that Lorsch knows how much will be needed to deploy in China through UNIS, to train Kodak resellers for selling MMR Pro, and for translations and personnel that is required for the Chartis deal - so why not make the deal just a regular deal with good terms - give me the money now and we'll pay you back later??
