I understand that growing a business takes cash money upfront, hence it's called investment after all (as opposed to expenditure).
But seeing the firm diluting at this critical juncture raises concerns to me:
- Why is share dilution the only option to raise money? Would a standard loan not make it? 13m shares at approx. 0.012 cents equals roughly $150k of new equity for the development of the KK store and its online presence. Fair enough!
But: Backed with a solid business plan, partners like the MirageLV and the Kardashian family, it should not be too troublesome to get a standard loan agreement from a Bank of your choice.
This is not a research intensive business with no guarantee of tangible results, it's also not a business with years of lead time before revenues are earned. It a standard retail concept, with some unique features, earning instant revenues like there are many others. Only few exist as publicly listed firms. The majority is financed the good ole way...
I also feel that alternative financing options, such as Private Equity, are viable means of raising capital here, and I wonder whether this path has been explored. DA has celebrity power behind the firm! Don't tell me there is no one willing to fund the business of the KK's, Odoms and Mel B's...
If not a bank, I wonder why the Kardashians would not enter into a loan agreement! 150k with a reasonable interest rate are lucrative for them, less of a instant burden for the firm and shareholders and ties both parties together. A positive signal to the market, imo.
News 
Market Data 
Discover 
