WakeUpNow – Concerns About Financial Situation
WakeUpNow provides software solutions for a better life according to their website. Instead of traditional advertising, WakeUpNow spreads by word-of-mouth and pays Independent Business Owners (IBOs) a commission when they sell WakeUpNow products.
However it seems the company has burned $7.8 million in 2 year, is not profitable and lacks retail sales.
WakeUpNow’s Annual Disclosure Statement reveals that the above has translated into a loss of $3.3 million in 2012 and $4.5 million for 2013.
As WakeUpNow stated in a leaked report:
“Through December 31, 2013, the Company has accumulated a deficit of $10,401,439 and has a stockholders’ deficit of $4,646,260.
At December 31, 2013, the Company has a significant working capital deficit. These conditions raise substantial doubt about the Company’s ability to continue as a going concern.”
"Our operating results could be harmed if we and our distributor leaders do not generate sufficient interest in our business to retain existing distributors and attract new distributors.
"If the Company is unsuccessful in these efforts and does not attain sufficient sales to permit profitable operations or if it cannot obtain sufficient additional financing, it may be required to substantially curtail or terminate its operations.
WakeUpNow management also stated:
"Management believes that its efforts to develop a robust product offering with a compelling value proposition will continue to attract distributors both in the United States and abroad".
Time will learn.