Once upon a time there was a company called Managed Support Services PLC which was listed on the AIM Cesspit. It went tits up. Well almost. Its operations were sold but the shell remained intact with a few liabilities and a tiny but of cash. It became Kennedy Ventures (KENV), an investing company, and it shows the idiocy and unsustainability of this whole AIM game.
Kennedy published its report for the six months to December 31st on March 27 2013. It showed cash of £134,000 and trade payables of £85,000. There were a few prepayments but essentially net cash was £49,000. With directors hauling out £4,000 a month in fees and other PLC costs to consider on top and only one investment (an illiquid unquoted one) you might think that there was a bit of a going concern issue.
Could the auditors state that this company had enough cash to keep going for 12 months? Fear not.
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