Any toxic lender would be thrilled to lend money on those terms. Unless the Company gets itself into a position in which it either can't convert the notes into shares or those shares can't be sold by the lender, it's risk-free easy money to the lender.
"I don't know why Seth likes to do these kind of loans....there's got to be a less expensive way to raise capital." You're absolutely right. I can only guess why he does it and you wouldn't like my guess.
My guess is, he does these “deals” because these people are his “buddies”. Do you have a BETTER explanation??? He certainly is not doing it to benefit the SHAREHOLDERS. After all, you admit that you could get the deal done with much better terms.
Who knows what he receives in return... I mean, beside their gratitude for him cutting them such awesome (read lucrative) “deals”. BSeth is a creep. But of course that’s just my opinion... Although I think a look at the history of this company speaks volumes.
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