"Myself and other partners I'm in business with would never...

"Myself and other partners I'm in business with would never purchase a business based on it's revenue."

No and I dont think they purchased it on its revenue I think they purchased it on its potential future revenue. Just to point out, if you purchased XPE on revenue, you overpaid.

As with our investments in XPE being based on the concept of future revenue, none of which has been announced, XPE in my belief has purchased JTC not only on current revenue but also very likely that they believe the future revenue would be probably greatly increased by their own tech being added.

Its the same reason we all backed Xped so far, and that the highly oversubscribed CR was for 8 million. With no revenue even announced then.

Plus worth pointing out the deal required a gross profit margin of 50% so your numbers seem a little off. If they have a gross profit of 50% and your accounting only 400K net profit pre tax it seems to be a poor business right away. I guess without looking at the books we would not know but I imagine they went over them pretty thorough at XPE. I mean to me, gross profit, for a business is after costs. Why are you saying the profit would then also have the costs taken out after? Isn't that completely incorrect? Why would you claim gross profit as X-overheads. Overheads are part of the cost of running business, you calculate gross profit buy subtracting overheads and costs from revenue?

It looks like you are halving the actual profit of the company in your calcs?

I honestly cant understand why your unhappy with the whole deal. Because they are not actually paying those cash numbers your throwing around anyway, they are doing as many small startups do and save cash buy offering a form of revenue trade. And I can tell you if my business was making 1.8 million a year at 50% profit margin you would need to offer me a hell of a lot more to give it up than 2 million bucks. And even if you wanted to give me 3 million in shares, especially wanting it tied to performance targets your company would have to be damn fantastic! And Xpe doesnt make money yet! JTC does!

Dont forget once again the shares allocated for the deal are escrowed as part of the purchase too. So I am actually surprised in the deal in that, you would have a hard time getting me to sell my business for that.

I can understand anyone wanting to know all the details. But for me, I think its a good deal, because I would have asked for a truckload more than what was paid here. I think Eddie Jackson took the deal because he saw the opportunity to take his own multi million dollar company and turn it into a global empire with new tech by direct connection and profit share.

Seems a no brainer to me....