Neil, I have some comments on rental.
The rental fo the 6 months to December 17 was $84K and this was 55% over the December 2016 value.
There is a tendency for top end executives residing in the Sydney Eastern suburbs to have offices in the CBD which though is convenient in terms of travel time, the downside is the rentals are much higher than if offices were located in the fringes of the CBD.
Currently there are a number of un-leased office space even in the CBD and you will be surprised of what bargains you can get.
While letting your house to your company and deriving a revenue from it, what justification is there to charge a rental which is significantly higher than the previous rental.
It is a nice deal to strike to locate one's office at one's own house and derive a revenue of $14K per month which would otherwise have brought no revenue if it was used for its original purpose as a home.
Surely Pnina Feldman could have charged a rental equivalent to the previous rental which would be palatable to shareholders as the company is hardly generating any revenue and good business management is to save on cost or not increase it. A dollar saved is a dollar earned. Pnina will still get a revenue and have the convenience of working from home.
Whilst we appreciate the long hours she is putting and her efforts to make QBL a success story she has to don the shareholders cap and look at their perspective.
QBL Price at posting:
4.5¢ Sentiment: Hold Disclosure: Held
