Good post Morley, but I think you are too cautious on valuation.
HTI should be a high margin business, growth potential is huge, and no reason they cant be making $2-3m profit within the next 18 months.
The only thing holding back HTI is that it floated in 2007 and disappointed people. If it was floating today, it would easily be valued at $25m, IMO, based on its growth profile.