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Microcap & Penny Stocks : TSIG.com TIGI (formerly TSIG) -- Ignore unavailable to you. Want to Upgrade?

To: JRSwails who wrote (28741)	5/22/1999 7:43:00 PM
From: ztect	Read Replies (2) \| Respond to of 44908

JRSwails... Thanks for your response... I will call the contact number you provided sometime next week. Hope you don't mind some additional questions. In your prior posts you wrote you grossed approx. $5 per card with net revenues of about $2 to $2.50 per card. Here you wrote the Platinum membership costs $30,000 w/o guaranty of potential income. First question then, is this $30,000 a one time cost? I'm assuming it is based on the amount. Is this Platinum membership also going to include leads? What do you mean by a 1,000,000 population? Are they selling distributorships based on the size of potential markets? Second, not accounting for reloads, distributors must sell somewhere between 12,000 to 15,000 cards just to recoup their initial $30,000 investment. Based on your prior experience of selling only 2,000 cards, you must believe that this 12,000 to 15,000 number is easily obtainable. Your 2,000 sales look like they occurred in a relatively short time, however you mentioned these sales were in part to schools. Are you not concerned that national deals like the one with LifeTime learning will infringe upon some of your prior sales potential and markets? Based on Conrad's one deal, Conrad Accola has made back his investment. 21,000 cards exceeds the 15,000 threshold. Obviously you are equally confident about generating enough card sales. Is this a fair assessment? Is your upfront money due upon signing your contract? Thanks again for taking the time to answer my prior questions. "IF" the 30-35 dealers you're aware of are "Platinum" distributors, TSIG looks like they will have at least $1 mill in the sales of distributorships to show in the first quarter. These distributors obviously will be motivated to sell more than 15,000 cards, though the time frame may vary and thus sales can't be immediately accounted for this forthcoming quarter. Say each distributor sells 2,000 this fiscal quarter, then that's 70,000 cards...plus the 21,000 for Conrad or 91,000 cards. So revenues from these card sales may be as high $450,000 this quarter from known distributors. Figure just 2 cd's sold per card for this quarter at $1.00 per cd, then that's another $182,000 SO maybe just from this distribution network TSIG is looking at conservatively approx. $1.5 mil to show in the books. Now we also really need to get a REAL sense of how many Babe Ruth League Cards are being sold along with a better understanding of how and how much revenues will be generated from the Signature deal this quarter to determine how quickly TSIG is ramping up. Again, revenues in the first quarter were minimal. Second quarter revenues will be much more indicative of whether the company is executing. The key for the business will be to continue to contain costs. The company to fulfill its ambitious b-plan will need additional personal which will add to the overhead since all salaries can't be differed in the form of options. If revenues are over $4 mill that will signify a 40 fold (approx. 4000%) increase in revenues which will attract a lot of attention even though it is basically a statistical anomaly. The dissolution of VSI gave an positive EPS from a one time event for this quarter. Increased revenues for the second quarter may not provide enough for earnings, but the balance sheet will look a whole lot better when one doesn't factor in "events". Unless there are agreements with recognizable entities ie. "players", the demonstration of increased revenues in a quarterly report may be the events necessary to cause the stock price to increase. However, if Gohlin/Harris can start to tell the MyMusicCard "story" and get third party coverage of how the "card" is being used to generate funds for charities, then more investors may understand how the revenues will be generated prior to the numbers being revealed in the next quarterly report, and thus the price may go up sooner. Time will tell. z (spelling not checked)