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Microcap & Penny Stocks : Bid.com International (BIDS) -- Ignore unavailable to you. Want to Upgrade?


To: Cameron who wrote (26993)4/27/1999 2:44:00 PM
From: Rajiv  Read Replies (2) | Respond to of 37507
 
In terms of working capital, the firm is a cash based business. Cash based businesses are almost licenses to print money. Working capital will increase in direct proportion to revenue. This should not be an area of concern at all.


I think you have got it wrong. Any company with -ve gross margins will be burning more cash with higher revenues.

BIDS is not cash flow positive and hence does not have a license to print cash.

Regards.
Rajiv