Q&A Gary, what will CBQ need for the importing of computers from China like financing with only 197K in the bank, technical support etc.? You know how certain posters are on RB?
Absolutely, Bart realizes he is going to need various things such as financing with the existing credit line being resolved and no longer available. However, I am not sure how much drop shipping, vendor financing, consignment, etc. that Bart has obtained. I doubt finding real financing is going to be a problem now.
Also along with being a distributor, Bart realizes CBQ is going to need other aspects and programs in the future as well, such as these examples (in-house or alliance):
CBQ Workshop * to test and certify the CBQ products to be imported will be Quality Products in total conformity with U.S. laws, standards and regulations. Further to test and certify hardware and software components designed to inter-operate with CBQ products. (this is in process as per the CNN interview)
CBQ Authorized Education Centers * that will offer education to end-users. Thus CBQ-developed courses will have to be constructed to instruct students in the use and maintenance of CBQ products. CBQ may also offer self-paced training products I am not sure. ( Bart has been talking about this for a while)
CBQ Technical Support * to provide cooperative efforts to support their customers.
CBQ Certified Engineers * individuals who receive high-level training, may be employed by resellers, independent support organizations, etc. to ensure quality service on a national or global level for CBQ products.
CBQ Developer-Communication Channel * to provide and deliver software, tools, training, education, support and partnering opportunities to developers.
CBQ Synergy * CBQ could develop a program with the CBQ logo to help customers identify and purchase third-party hardware and software products that are compatible with CBQ products.
CBQ Partnerships may include:
CBQ Development Partners * resources to deal with customer requests for a new service or function be added to CBQ products,
CBQ Systems Partners * resources who have complimentary software and hardware.
CBQ Application Partners * resources to provide integrated software products and support for end users.
CBQ Consulting Partners * resources to work with CBQ to deliver distributed client/server solutions for customers with large enterprise-wide networks.
CBQ Multiple Channel Distribution Network * resources to market CBQ products through a broad range of distributors, dealers, value added resellers, systems integrators, and OEMs as well as to major end users.
CBQ Worldwide Service and Support * resources committed to providing service and support on a worldwide basis to CBQ resellers and end-user customers.
Of course, this is right off the top of my head on the future, but you can expect as CBQ establishes one of these aspects or even one I do not have here, some will be off on something else. However, CBQ has only been back from China for 15 days.
If so, why has Bart not concluded one of the previous negotiations for financing?
These financial resources that have approached CBQ have offered basically “PIIPE” or Convertible Debenture (death spirals) type financing. The announced financing negotiations hit a snag when Bart could not get the anti-dumping, anti-shorting, and redemption clauses to protect the company and shareholders. These are easy financing that typically are used by desperate companies in need of cash. Once signed the company and shareholders are nailed. These type-financing options are typically the death of a company and not what Bart is looking for to grow the company because they will only kill the company.
How will CBQ be able to capitalize on its first mover advantage without financial resources?
Financial resources are being sought. Thus Bart is seeking real bank financing and credit lines. He is not considering any financing that is equity based that I am aware of at this time.
Does CBQ need a distribution network?
Yes, Bart fully intends to be a leading distributor of the Chinese products in the U.S. market through Networkland
and other options including in-house or alliances. Thus CBQ products will be distributed to dealers, VARs, and computer retail outlets, which should have their own distribution networks.
to be continued
CIIR cash & Restricted stock
Gary Swancey |
