While the concept and the Woodford involvement look good here at first glance. I think that the big problem may be the cost of advertising.
For a small company to promote itself throughout Europe selling an item that is just an occasional purchase is a big ask.
Also I am not sure about the concept of one mattress fits all.
I have now rejected investing here and have chosen another Woodford company ITX instead as a long term hold.
RE: phew! we're under starters orders..26 Jul 2017 21:10
Yes, excellent news!
I only brought in last Friday after selling another Woodford funded business - PURP.
Some of their luck has hopefully transferred to ITX. The potential here looks very promising over the long term.
This is another Woodford backed disruptive technology company.
The trouble is that is it a PURP or a RM2?
I was hoping that this mornings RNS would shed light but no go - I guess the figures due out in September may help?
Best to wait and see - SP could be 30p 0r £2.00 by December - who knows???
Great set of results for a young fast growing company!!!
I am quite content to sit with a modest holding and wait for a lower entry point to add.
The SP does I think contain a high element of frothy sentiment - a good entry point would be around £3.20.
I guess the Liverpool loan was just the straw that broke the camels back.
We just have to hope that the pipeline is good enough for someone to want to save the company, but that doesn't just mean propping it up, but providing lots of new cash going forward - a tough ask!!!
I guess the viability depends more on potential in this case and that will be on the assessment of the larger institutional investors.
Also it may depend on the current management making way for a new management team.
sain
Point taken, but these are things that bricks can work on as their business matures.
Looking back they have already improved their service considerably since the early days.
The fact is that Bricks do negotiate to get the best price - my niece sold her house via bricks and the LPE pushed the buyer up £1,000, all on a Saturday evening.
Personally I think that in the long term bricks will grab a dominant share and become the biggest player in the housing market and that its fees will gradually increase as its acceptance and reputation rises.
The large nationwide groups like Countrywide will probably end up with a very similar business model to bricks internally but will try and maintain their brands with local regional offices but they will still loose out.
The small local agents will only survive if they excel with their services and stay small and local.