Frank 123
most of the cost of the installation would be the actual lights, lets assume that they buy these from there supplier at very good rates,because of the quantity they buy,they may also do deals with the supplier to extend payment terms over usual for the share and save deals,lets say out to 120 days which isn't uncommon,they would be billing the client quarterly you would think for power saving costs,so a fair bit of the install costs would come back in,depending on the quarterly bill and the cost saving which in the model I saw is only shared with the client.the client gets better lights,and doesn't have to pay for upfront,but doesn't save so much on the power bill.we don't know what deals they have done with their suppliers,the light suppliers may have prompted vivid to offer the share and save deal,and may actually take some of those profits quarterly,until the lights are paid for.who knows,I am sure the company wouldn't have gone into it with out some sort of deal sorted out with their suppliers and contractors.they are working with well respected clients,so its a win win for all of them
GER Price at posting:
6.9¢ Sentiment: Buy Disclosure: Held