the business model

The main problem IMHO is the disappointing tenancy take up. Many tenants are not willing to give us a go and the tenants that do are not taking up the full suite of Intermoco Connect.

As far as Kiddle's commitment to the company the numerous contract wins speak for themselves.

In theory the business model is very sound. Let the business owner/operator sign up the tenants because it is in his best interests to get as many tenants as possible taking up the full suite, not just electricity. More moula for the Landlord.

In practice it's somewhat different. Management certainly know this and have mentioned it a couple of times in the Offer Document and the commentary on the 4c result.

We need to address this breakdown in the business plan. Don't know how to do it because that's the hard part.

Third paragraph in the Appendix 4c commentary
"This network and several others are continuing to grow as tenancy levels increase gradually"

Offer Document
6.1 Completion of new engagements
"the revenue and net profit to be earned is inherently uncertain, depending on the level of take-up of the services offered"

We need to do better in attacting punters to take on our offering from an unknown little company. We are not known like an AGL, ORIGIN, TRU or an NEC. The tenant needs some confidence in Intermoco Connect to be an offering that will not burn them in some way.

Who are they....Inter WHO never heard of them ! !