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What a nice little homily.
You failed to mention how much money you took from your neighbours to fund your ham fisted attempts at growing the peach tree.
Your tale begins with you telling us that you used to live in a warm country , but, by the end, the implication is you still live there. A tad confusing - you're not responsible for writing Syme's RNS are you?
The transactions effected by Syme are true sales are they not? How then is this relevant?
What concept has been proved? It escapes me.
Peakhope, you wrote:
"Best decision I ever made was to use the filter - I was stubborn before and now I’ve done it I realise I was stupid not to have done it before :)"
A small tweak to this sentence would have rendered it far more sensible. I shall oblige:
"Best decision I ever made was to sell - I was stubborn before and now I’ve sold I realise I was stupid not to have done it before :)"
My interpretation of the unique concept that Syme offers is that funding raised against inventory can be recorded by the borrower as a true sale - in effect, a potentially illiquid asset - inventory - is replaced by a liquid asset - money in the bank.
The problem I have is that the funding received will be surely be less than the cost of the inventory. The true sale will, therefore, be made at a loss and that loss will be reflected in the profit and loss account of the borrowing company.
Is Syme not really just marketing an Accounting Standard Avoidance Tool? Accounting Standards are not set in stone and, in the unlikely event that the funding need not be reflected in the balance sheet as a creditor as Accounting Standards currently stand, those Standards will be amended accordingly. It happens all the time with Tax Avoidance schemes where tax law is amended to render such schemes ineffective.
Syme's USP - permitting companies to record borrowing in a way that does not reflect reality - is likely to be short lived.
It is effectively encouraging companies to pull the wool over the eyes of their investors and creditors. It's not too much of a stretch to think that a company (Syme) setting out to engage in such a nefarious practice might be capable of trying to pull the wool over the eyes of its own investors.
I think you can disregard a so called accountant who refers to EY as E & Y. The firm is called EY, not E & Y and not Ernst and Young - simply, EY. He even had the arrogance to patronise someone who correctly referred to it as EY.
The chap is clearly a twit.
Parm,
You wrote:
"DYOR.. it pays, trust me... Don't be swayed by faceless posters on the bb."
You pose a bit of a conundrum as you are a faceless poster.
Randelbo,
I'm afraid your anger has caused you to both misread and misinterpret my post. I don't quite know how to allay your suspicions as I'm sure they will only be heightened by any attempt I make. My apologies if I have caused you upset.
Syme ought to have prepared accounts for the period ended 30 December 2019 NOT 31 December 2019.
Quite simply, it made a complete cod of the change of accounting dates. Companies House is certainly expecting accounts drawn up to 30 December.
The companies that have signed up for this revolutionary funding arrangement are being remarkably patient.
Who knows whether they may have come up with an alternative method of monetizing their stock - perhaps something off the wall like selling it. Thereafter, they might even consider implementing a sound stock ordering system where they would not have capital unnecessarily tied up in stock.
Much more likely, however, is that they have continued to accumulate surplus stock which they can then monetize through Syme's wizardry.
The changes to the dates do not appear to make sense.
Syme now has an accounting period ending 30 December 2019 with the following period ending on 31 December 2019. I suspect they will have to file an alteration to this which is quite clearly a nonsense. Additionally, a company cannot change its accounting date as frequently as Syme has sought to do.
I am invested here and have huge faith in the company moving forward. That said, I was sitting with 18,500 shares which represented almost the whole of my investment portfolio. It was also a sum of money that I quite simply could not afford to lose.
I set two stop losses this morning - one at 450 for 5,000 shares and one at 440 for 3,500 shares. No sooner had they be set when the share price dropped and the stop losses triggered.
I am still sitting with 10,000 shares and intend to hold these for the denouement.
Just thought I would let people know that the drop is not necessarily indicative of anything untoward but rather people like me whose feet were getting a bit cold.
You surprise me, oh Great One.
I find the opprobrium directed towards Sefton to be somewhat bewildering as I can find no fault with anything he has written.
I would love to know from those who have subjected him to personal abuse as to what gives you the right to do so. No part of any response addressed the message, preferring instead to lambast the messenger - unacceptable and arrogant.
They could soften the blow by saying, "It's no great, Sheikhs".
Better to be sad than vicious, I would suggest.
The charlatan in charge of this outfit would at least be able to sell it. Australia then Alaska - I'm guessing the next drill will be Antarctica. Remote enough that no one can sensibly monitor it and it keeps the "A" theme going. So does "Anywhere" which is where this outfit seems to drill.
I am in a similar position to hotchips and would like to echo his sentiments. I am truly grateful to all of those on this bulletin board whose knowledge may yet just have saved my investment bacon. Thank you.
The share price is of no consequence to the principal investors - it is not by reference to the market that they will receive their rewards. Similarly, it is not by reference to the share price - at least not as determined by the market - that private investors will get their reward.
This current drop has no logic whatsoever to it; it certainly does not represent a valuation of the company. It can, therefore, be disregarded. Short term trading aside, or the need to realise your investment, the only price that matters is the one that exists when CO plays its end game.
I predict in any event that the share price will recover today. That said, my investments would suggest I may be more Mug than Maestro.
Did you not formerly post as "EmptyBarrels"?