nit2win, You don't make any sense in your statements.
Gross Profit = 1,870,571
Total operating expenses = 3,010,580
LTNC didn't have enough gross profit to cover their operating expenses. Hence they borrowed money with convertible debt to pay their bills. Shareholders are being diluted so the company can pay its operating expenses.
How is that difficult to understand?
LTNC may very well get to the point of critical mass and make a bottom line profit. Company may do very well. But dilution will be involved. Shareholders are being diluted. It is just a question of how much dilution we will ultimately be subjected to. Let's check back in a year and see if we are closer to 20,000,000 or 30,000,000+ shares outstanding. In the meantime watch your bids. The converters may hit you hard.
nit2win wrote:
-----------------------------------------------------------
Growthstocks99, My grandma use to say, "If it doesn't make sense then it's probably a lie."
We are quick to point out that Labor SMART has shown $1.14 million in operational losses but conveniently leave out the fact that they also made $1.8 million in gross profits.
Gee, do we think that MAYBE the gross profits were reinvested back into the company in order to fuel their explosive growth?
What if....
They hadn't expanded from 4 to 9 states?
They hadn't grown from 6 to 15 branches?
Gone from 4 to over 45 full-time employees?
Loaded up on their corporate infrastructure with experienced and proven upper level executive management to help ensure their abiity to handle future growth?
Etc., etc., etc.
Even with the accumulated operational loss, the company is also sitting with OVER $2.1 million in assets, mostly in receivables which is treated as CASH!
That aside, what is the actual loss once the non-cash write-offs and interest expenses for stock issuances (which do not affect a company's ability to operate) are taken out?
Who are we trying to fool by saying this company can't pay their bills?
Easy to say.... Impossible to prove!
-----------------------------------------------------------
