Replies to post #171173 on NeoMedia Technologies, Inc (NEOM)

[srowen]

I see $70M debt (all short-term, note) on the last balance sheet. I do think you bring up a decent point for potential investors. Debt is senior to equity. Buying a share is buying a piece of what is left of the company after debtholders are repaid.

You are indeed betting that, over time, it will pay off its debt and it will have something left for shareholders. Revenue was only $1M last year. Even with no expenses... you can tell how long until payoff at that rate.

Don't get me wrong, anything is possible. I understand some here expect a massive jump in revenue indeed. I see a lot of talk about Scanbuy. Let's even say those guys pay a license fee. How much can it be, given their revenue? You would be betting on licensing from a lot more than Scanbuy then.