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<p>[QUOTE="GoldFinger1969, post: 2072007, member: 73489"]If have high OPEX, you cut staff. You have fixed and variable costs, the fixed costs are the problem. Those should not relate to the price of gold or silver UNLESS he was taking excess inventory and using it to speculate on the future price -- and this time got burned.</p><p><br /></p><p>Think about it...what would he need in 2013 that he didn't need in 2003 or 1993 ? Order processing is the same...shipping is the same....phones, staff, real estate needs the same....only thing that might change is an Internet web site and response team vs. 15-20 years ago.</p><p><br /></p><p><b><span style="color: #ff0000">Businesses go out of business for 3 reasons: lack of demand for their product, too much debt, or fraud. </span></b>There appeared to be good business demand....debt needs should not have increased relative to years ago (unless he chose to take on debt for some hidden purpose)....and fraud is self-explanatory.</p><p><br /></p><p>The fact that he hasn't offered an explanation along the lines of "business turned down...X, Y, or Z happened.....etc etc." leads me to logically believe he is hiding something he doesn't want divulged.[/QUOTE]</p><p><br /></p>
[QUOTE="GoldFinger1969, post: 2072007, member: 73489"]If have high OPEX, you cut staff. You have fixed and variable costs, the fixed costs are the problem. Those should not relate to the price of gold or silver UNLESS he was taking excess inventory and using it to speculate on the future price -- and this time got burned. Think about it...what would he need in 2013 that he didn't need in 2003 or 1993 ? Order processing is the same...shipping is the same....phones, staff, real estate needs the same....only thing that might change is an Internet web site and response team vs. 15-20 years ago. [B][COLOR=#ff0000]Businesses go out of business for 3 reasons: lack of demand for their product, too much debt, or fraud. [/COLOR][/B]There appeared to be good business demand....debt needs should not have increased relative to years ago (unless he chose to take on debt for some hidden purpose)....and fraud is self-explanatory. The fact that he hasn't offered an explanation along the lines of "business turned down...X, Y, or Z happened.....etc etc." leads me to logically believe he is hiding something he doesn't want divulged.[/QUOTE]
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