We own up. My wife and I are Darby and Joan dumb investors. We make small investments in companies in good faith hoping that the companies we invest in will exercise similar good faith and provide us return on our investment. We are naive when it comes to reading company accounts and balance sheets. The only tools we have is common sense. Therefore we're in a dilemma reading the Motopia Preliminary Report for the year ending 30 June 2017. Perhaps some kind fellow investor can help us?
As we read it in the two financial years 2016 and 2017 Motopia earned a total of $44,000 in revenue. During those two years the company spent +/- $2,300,000 in consulting and legal fees. Consulting on what? Not on how to make money as that just hasn't happened. Presumably the consultants and legal firms engaged have not been paid, or are they pressing to be paid. Cirralto appears to be the saviour for Motopia. Why would Cirralto sell out to a company like Motopia if Cirralto are on the verge, so we are told, of making big profits from contracts with Telstra? How can Motopia afford to engage a new CEO and be recruiting staff for a new Sydney office, which must involve renting premises and gearing the office with equipment and the rest, when Motopia had only $4,000 in the bank 2 months ago? Has Motopia raised enough money to purchase Cirralto? However much that may be. Help!!!
MOT Price at posting:
4.0¢ Sentiment: None Disclosure: Held
