Replies to post #216849 on Sulja Bros. Building Supplies, Ltd (SLJB)

[MarionPolk]

Fixed cost include depreciation (which was omitted 11 out of 12 months in achieving last year's "stellar" performance), lease payments on the equipment, owners' compensation (which appeared to be omitted on the first Sulja financial statements appearing on the web), & utilities (whose cost has been increasing as oil prices increase).

This is not intended to be a complete list, but illustrates that even established businesses have "fixed" costs.

Legal fees for a public corporation can be expected to be much higher than for a privately owned company, as can accounting and auditing fees, if Sulja ever actually hires an auditor.

[binzur]

justfacts; Don't forget bad debts, unpaid supplies, housing market slumping and builders not able to sell! The sub contractors and the suppliers end up getting stuck far more in this type of slow market. Don't worry I only have over 30 years in construction! Liens are fine but the bank is first and as the house prices dive the banks barely get theirs and the subs and suppliers get pennies on the dollar! JMHO!