"So BHRT paid all their expenses and still had money left over?"? What indication is there of that?
According to the 10-K they sold shares/dumped shares to the likes of Asher right up until Jan 14, Feb 10 and Feb 19 of this yr, 2014 ($32.5K +$32.5K + $35K = $100K cash via convertible (toxic) share sales). 10-K, page F-41, last page.
Cash left on the balance sheet dated 12/31/2013 was $46,227.00. ($46K) (10-K, page F-3), (the entire purpose of the "balance sheet" is to show the balance of assets versus liabilities and cash on hand, etc in a "snap shot" of that moment- there is no "hidden" sources of cash stashed away somewhere). So, if that is to be considered "money left over" so be it- $46K wouldn't even last part of a month at their spending rate. Thus, they raised cash on Jan 14 as indicated above, or would have been insolvent according to the document- IMO.
BHRT appears from several past 10-Q's and this 10-K to survive, limp along with a few months cash at any given time and needs to sell shares/do "financing" deals every month or two to keep enough survival cash coming in- or they'd be out of cash by all indicators of the balance sheet, cash position and "financing" activities shown in each 10-Q and now this 10-K, IMO. Thus their warning statement such as this 10-K, PAGE 25:
"Risks Related to Our Financial Position and Need for Additional Financing
We will need to secure additional financing in 2014 in order to continue to finance our operations. If we are unable to secure additional financing on acceptable terms, or at all, we may be forced to curtail or cease our operations.
As of March 24, 2014, we had cash and cash equivalents of approximately $211,632.80 and a working capital deficit of approximately $13.4 million. As such, our existing cash resources are INSUFFICIENT to FINANCE EVEN OUR IMMEDIATE operations. Accordingly, we will need to secure additional sources of capital to develop our business and product candidates as planned. We are seeking SUBSTANTIAL additional financing through public and/or private financing, which may include equity and/or debt financings, research grants and through other arrangements, including collaborative arrangements. As part of such efforts, we may seek loans from certain of our executive officers, directors and/or current shareholders. We may also seek to satisfy some of our obligations to the guarantors of our loan with Seaside National Bank & Trust, or the Guarantors, through the issuance of various forms of securities or debt on negotiated terms. However, financing and/or alternative arrangements with the Guarantors may not be available when we need it, or may not be available on acceptable terms.
If we are unable to secure additional financing in the near term, we may be forced to:
· curtail or abandon our existing business plan;
· reduce our headcount;
· default on our debt obligations;
· file for bankruptcy;
· seek to sell some or all of our assets; and/or
· cease our operations.
If we are forced to take any of these steps, any investment in our common stock may be worthless."
It's all right there in black n white- the numbers appear pretty clear IMO. Not sure what there is not to see or understand?
