Excellent point Don. What are the best ways to find out patents/rights? Is there a link that you know of where we can research patents? I guess this would definitely be the point to see if there are any major issues.
For example, Don and I have both done quite a bit of work on Rushnet (RSHN). I don't know about him, but I bought RSHN and did not find out until later that they really didn't own the main product, Ginseng Rush. Actually, the CEO Bob Corr owns the formula, and RSHN just has a "licensing agreement" meaning they get to distribute the product where ever they can. So, the the agreement says that RSHN get 66% of the revenues that are producted by Ginseng Rush. Bob Corr gets the other 34%. That sounds OK at first glance, but really it's not. We all know who's paying the production and distribution costs...RSHN....so, the profit for the company is going to be what's left over after paying all the bills. Bob, meanwhile, get's to pocket all of his 34%(and hopefully pay taxes on it). Anyway, this would have been good info to know BEFORE buying the stock(this info along with the other "reg flags" I found, would have been enough to just scratch them from my list). Point is, we can find something better.
GodBless-ND
cris |
