SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Microcap & Penny Stocks : VLVT (was CSMA) -- Ignore unavailable to you. Want to Upgrade?


To: charles messick who wrote (4115)12/31/1997 2:16:00 AM
From: IRVINESULLY  Respond to of 11708
 
Thanks for an update Chuck. Lots of excitement building, and the first of the year is just two days away. Things seem to be falling in place one by one.



To: charles messick who wrote (4115)12/31/1997 2:29:00 AM
From: TraderGreg  Read Replies (2) | Respond to of 11708
 
If I might add some reinforcement to Charles' post, let's look at the four components of CSMA:

o AdHatters--the original income producer. If I may be so bold as to make this comparison, AdHatters is to CSMA what Thomas Alva's light bulb was to GE. But with all due respect, AdHatters is not why we invested in Coconino.

o Oil/gas operations-We all know the loooooooooong lead times in this sector. It has a greater capital intensive aspect associated with it and far greater risk of coming up with a dry well (pun intended)

o EnviroTec-A real potential here, given the well passes environmental review AND the legislature approves it AND the governor signs it AND compliance rates are sufficient. Not to downplay this, but there are time factors to consider BEFORE the revenues appear.

o LPS-While it is impossible to even venture the wildest guess as to what this operation can generate, we do know this. In November, the infrastructure was formulated to utilize 3,000 insurance agents and a large number of credit/labor unions and trade associations representing 500,000 members(!) to market financial programs to their clients/members. The management fees that can accrue can be quite significant, depending on the sign up rates that these representatives can achieve and the amount of the annual fee that is charged.

What makes LPS significantly different from either EnviroTec or the oil/gas ventures is the ramp up time. IMHO, it is significantly shorter. EnviroTec can not realistically process a single ounce of Class V waste before May; oil/gas may hit a gusher soon but the failure rate and cost of operations must always be considered. LPS, on the other hand, has quickly added on a very large sales force to market its product nationwide. To the best of my knowledge, this is not MLM but rather a very broad based operation with diverse players(insurance agents, union reps, credit unions, even pastors!). As I said, it is ludicrous to even guesstimate since many won't actively participate, we don't know what the average investment will be nor the specifics of the management fees that can be charged.

The key about LPS is that the framework is here now... And if 10 % of the reps sign up 1 client a week(from an already existing client base!!!) who invests $10,000 and they collect 1/2 % management fee, not to mention yearly residuals, and future year investments from both new and existing clients. Hell, LPS may be to CSMA what GE Capital is to GE !!...there I go again. Somebody slap me.

TG