There was about $1.5m in the bank so the end of the year. They had $2.7m in receivables, and apparently collected a bunch of July, but there was also $2.6m in payables. The burn rate is about $1m/month so any dip in receipts puts them in a really bad spot.
Personally I think they should have raised more, but (a) maybe they couldn't, and (b) if revenue doesn't pick up soon then maybe this business just isn't going to work in its current guise.
I'll agree that there should be $3.5m in the bank, but expect costs to grow again this year, as they inevitably do.
3DP Price at posting:
8.9¢ Sentiment: Hold Disclosure: Held
