Replies to post #5579 on Saleen Automotive, Inc. (fka SLNN)

[AutoInvestor]

I said I would even buy in at that point, meaning if and when Saleen
actually reports significant financial improvement which indicates
a move in the direction of break-even cash flow and eventual profitability.
Achieving break-even and eventual profitability is the key to stopping the increase
of debt and the dilution of the stock.
This is urgent because Saleen has no funding source right now.
The core issues are that Saleen spends far too much every month and
the money spent does not add value. It is wasted on PR & SG&A expenses
rather than Inventory and R&D.
At the heart of Saleen's problem is the CEO, Steve Saleen does not know
how to run a real business for profit. He only wants fame.
He will not run the company on a budget and he
does not know or care how much a car cost's to tune.
He does not know how to price a car for profit.
He does not know that a small company with limited cash
must produce high volumes of a few model types at most.
Each new model produced requires Tooling and support inventory which
consumes cash.
I know that Saleen will never be profitable because that
is not the goal of the CEO. Even if Steve knew what to do
(which he does not) he would not do it. He does not have
the discipline to grow a company over time and to
stick with a balanced plan. He wants to take a short cut and
he prefers fame over fortune.
So, even though I said even I would buy in, I knew
that Saleen's financials will not move toward profitability.
they will keep moving to higher debt and a zero priced stock.
No discipline. No profit.