REFERENCE ONLY - BARNYARD PLAY
By: rbp0899
06 Oct 2005, 10:59 PM EDT
Msg. 1021 of 1021
Where AMDS...I mean, Bert stands now................
When AMDS had approx. 1200 merchants of which about 1050 where profitable this past January, AMDS took in about $39k after chargebacks, etc......
Now, with some of the merchant base taken away by salespeople who left for other ISOs, my guess is there is about 700 profitable merchants remaining. That comes to an approx. $25-26k in monthly residual income.
With Bert, 1 or 2 salepeople, and a secretary, that leaves a pretty nice income base for Bert to live off of.
You have a $1500-$2000 monthly lease, $2000 Secretary, Salespeople get commissions but maybe a base of $1500/month x 2 salespeople= $3000, equip. rental, utilities, phone, insur., etc...another $4000.
So you have about $11,000 in monthly operating expenses before BERT gets paid. So Bert has $14-15k monthly income.
Even if the expenses run another $5000 or more, that still leaves a whole lotta fun money for Bert to play with !!
Of course, you don't think Bert is paying himself a realistic salary of say $5k a month and keeping the rest in retained earnings, do you ??
Heck, Bert is living larger and with less stress than ever before.
A year ago, he had run this biz with a $120,000 monthly payroll !!....and another $25-30k in monthly expenses.....and was only taking in about $30,000 in monthly residuals..........i.e.
AMDS biz plan was upside down by about $120,000 a MONTH !!....Now ask yourself, why did the share count go from 15 million shares in March of 2004 to over 48 million by Febuary 2005 ?? The stock price was trading over that time in prices from 15 cents to 60 cents. Bert liked to sell stock to "investors" at a discount to the current market price so lets guesstimate that he sold stock at 10 cents per share on average, that would mean he recieved in $3.3 million (33 million additional shares x 10 cents/share). Bert was out selling the hell out of shares to keep the biz and his lifestyle afloat instead of being a "good" businessman and downsizing the company way back when, keeping costs under control, and NOT DILUTING EACH AND EVERY SHAREHOLDERS OWNERSHIP.
Then of course, he issued himself that preferred to knock all shareholders out of any say.
As best I can figure, from March 04 to Feb 05 is 11 months. The months of March, April 04 and Oct thru Feb didn't have the large monthly payroll and expenses as did the summer months so a good guess is that $100k was the average monthly expenses over that time. That means about $1.1 million was spent operating the biz over that time. If $3.3 million was raised, what happened to the rest of it ??
If he only got 5 cents a share (which in unrealstic as I know of many examples where he got 35 to 25 cents a share for stock), that would still leave over $1 million unaccounted for !!
I ask, where did this money go ??.
Now, I have no idea where creditors, IRS, lawsuits, etc...stand and/or if anything has been done with these entities to resolve matters. Berts very good at not answering phone calls, faxes, mail, etc when times get tough .....so if history is in indication, he's still putting these liabilities and persons off.
Something else to chew on. Come the end of Feb. 06 which is just a few months from now, AMDS will "own" their merchants (provided AMDS has fullfilled contractual obligations with First Data). What this means is that BERT can sell off his merchant base for a price. Though there are variances in the industry, getting $1500-$2500 per merchant in not unrealstic.
At the midpoint, 700 merchants would bring AMDS/Bert $1,400,000 !!
Can you guess who will KEEP this for himself ??
Dollar Danger, Will Robinson! Dollar Danger!
