'A fund raising before June 2020 looks a certainty unless very, very rapid progress is made with sign-ups'. I fully agree with this statement made above. I estimate with running cost of £1.5m pa excluding promotion costs it will require a minimum of 1500 restaurants to break even. If this number is not achieved by FY end (March 2020) then fundraising and dilution is inevitable.
RE: "Once regular payments are demonstrated"20 Oct 2019 15:06
The question here, and probably depressing the SP is whether VOG are going to need more funding/dilution. Assuming payments from ENEO are received without further delay, they should have around $5m operational cash flow this year. They then have update to processing plant and Well 108 recovery costs to fund which are unknowns. They may well have payments re legal case. It could be a close call and that does not include an Matanda obligations further down the line. I do believe that we now have better management in place. Hopefully we have seen the worst here.
Concentrating on signing up restaurants is fine, but without punters ie App downloads in the respective areas it will be a waste of time Ie restaurants will get disillusioned and drop off the site . Bigdish will need to promote their App in the respective areas to get punters onboard. To what extent Bigdish are advertising is not be clear. They only have limited funds available which will restrict their promotion efforts and hence their rate of growth. Restaurants are obviously interested in the concept otherwise would not sign up in the first place. The attractiveness of the business model will be dependent to a large extent in the variable/fixed cost proportion of total costs. This could vary from region to region to region, country to country and could explain why this model has not been much of a success in the Philippines.
Cannot imagine why they chose to halve dividend and buy back shares. This was an income investment for many investors. If I was cynical I might suggest increasing earnings growth is better for directors bonuses or share options. Only surmising.
'It is hard to believe that Altalto would have proceeded with the planning application without the belief that sufficient funding would be available.' It doesn't cost much money to put in a planning application.
It is my understanding that they were intending being selective in restaurants they included on Bigdish the is not conducive to self sign up. Whether this will change remains to be seen. However software would need to be downloaded to the restaurant computer system and there may be instructions necessary on how to use it. I think it also worth pointing out that Area Managers will need some training after recruitment and will not be 'on the street' immediately as some posters on here seem to think.
RE: Biggs re what the chocolotola?05 Aug 2019 17:27
Options are a racket and should be banned....No downside at all. Usually given when shares are near an all time low and if they don't rise the options are not taken up and just allowed to expire. Give credit to Dik in this case he has taken some of his options up @ 14p and therefore has some skin in the game.
You have to take into account earnings from existing restaurants over period after fy end which on current turnover could have been £20k. Secondly as senior management and directors are taking salaries in shares, expenditure would have been quite low.
RE: Worrying only 13 restaurants in 3months now down to 11125 Jul 2019 07:27
Why would restaurants offer discounts in middle of holiday season. For many of the locations on Bigdish at the moment this will be the peak season so restaurants in these areas are not going to maintain a presence on the App or sign up at this time. I believe Bigdish are following a sound expansion programme which requires a balance between customer acquisition through advertising spend, restaurant signups and staff recruitment whilst keeping cash flow under control. Ask yourselves would Bigdish have gone for all out UK expansion if they were experiencing serious problems in their current locations. I would also add that at this point in Bigdish development it is important that they are not perceived as a sure thing or 'disrupter' as this might attract competition or early takeover from one of the big boys. So in this respect keep up the good work Ronald.
RE: Two more self driving accidents21 Jul 2019 11:28
The problem with autonomous driving software, it will never be able to anticipate events like a human brain. For example dog at one side of a road observing a cat at the other side. The human driver will probably anticipate the possibility of the dog running across the road to chase the cat. An autonomous vehicle could never be expected to do that because to pre-program responses to many similar situations like this example is not feasible. Another example is a partly obscured or damaged sign post. A human driver will be able to make a better interpretation of its likely meaning than an autonomous vehicle by taking into account all surrounding clues. The accident described above occurred while a person was using a mobile phone. a human driver may well have anticipated this accident. The human brain will always be more flexible than pre-programmed software therefore improved road safety will always be effected by assisting the human driver rather than replacing the driver altogether. Hence DMS and other driver assistant technology must be the way forward on road systems as they exist today . I am sure I am preaching to the converted on this BB however.