I think the last quarter made it quite clear that even without government support, the cash burn is only $100k in a COVID-affected quarter. Plus they hired and trained several sales executives and worked on a new product release over the period. None of which contributes revenue, but costs $$.
There is absolutely no requirement to raise money to survive, unlike what others have suggested.
This raise is basically saying, 'trust us, we can manage this business, but we would like your money to help grow the business quicker'.
The key risk from here, is whether SP3's management will be able to generate a satisfactory return on the capital that is raised. So basically, it comes down to execution risk.
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