You can only going with EBITDA so far before something out of...

You can only going with EBITDA so far before something out of the contest happens and we have a few years of bad sales, boom, there goes your EBITDA and the cycle restarts.

I very much compares this to real estate investing, especially the negative gearing part. I have 2 investment properties, both negative geared for the past 10 years, sadly I bought at the high of the bubble in Perth and even now both are still around 15% below the purchase price (flats).

I don't expect both properties to be positively geared for another 5 years or so. This feels much like HLF, buying business at the height of the cycle, then get someone else to fund it, hoping we go nicely along the way and finally making a profit.

What happens if all of a sudden catastrophe happens due to the world market and orders been significantly reduced for 2-3 years? Having made profit and money in the bank will lesser the impact and still able to carrying on with reserve fund. Much like the more successful company are doing. You just need to look for ZIP and APT as their EBITDA is ever increasing, however their loses keeps widens.