RE: RE: Cost of capsules2 Dec 2018 14:14
Reasonably straightforward way to settle it.
Provide the posts where anyone claimed that the H&B launch was a turning point, instead of a welcome development for Provexis Retail, or accept that you were wrong. My own view at the time was that it may well consume more cash as higher stock levels would be required to support it. The DSM contribution for marketing may have taken that in to account, or the full amount, and possibly more, was passed on the H&B. You and Colb think it will fail, I think H&B are no mugs and will have researched well before deciding to add it to their range. It looks like it would be the financial year after the current one before anyone could make any educated guess. Until then I'm expecting a lot more uneducated guesses.
As far as finance requirements goes, should H&B develop a more predictable demand, further factors such as bank funding or invoice factoring are an option, which would ease pressure of shareholder funding. Mr Ford acknowledged those suggestions, describing them as helpful thoughts. As DSM are very obviously still weighing out funds to support brand launches, I'm unsure what level of revenue will be forthcoming from them. Gixer posted evidence of their continuing promotion of Fruitflow awareness to producers. The milestones referred to in the AA may well be dependant on maturing brands which were supported at launch but which are now net contributors. And that is just my speculation based on what we do know of marketing activity to date