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Subject: Update

From: "Paul Schreiber" <synth1@...>
Date: 2004-10-04

a) received 107 stuffed (with resistors and the axial caps) MOTM-480 pc boards.
This next weekend I will make the "golden sample" and start on the manual. I'll
probably do like the '510: the first 35 or so will be paper manuals.

b) shipments have picked up greatly the last 2 weeks, but still lag behind last
year. Of course, some of you may recall I was unemployed last year :)

Shipments-to-date for 2003 was 741 (!) while in 2004 it is 493. However, the
backlog for just 510/480/485 is about 175 left to ship, so it's a time-limited
deal, not a "business" issue.

c) shipments the last 2 weeks PLUS the upcoming 2 weeks are very focused on 1
thing: paying off my supplier invoices. For the entire 2004 colander year, I am
running right now about ∗negative∗ $17,000. In fact, I haven't paid myself since
March 1st. All the income has immediately been used to by more parts for the
backlog. The good news is that within 2 weeks, I should be able to ship enough
modules to pay off the current bills. THEN, I can start shipping modules to 'pay
against' the $17,000. After that (now I'm into Nov), modules I ship will be
PROFIT. So, what it's looking like is what I can ship for Nov/Dec will be my
profit for the YEAR.

So, what does this mean to you, gentle reader?

1 - I know it's bugging you to death, but please please please don't "ask where
my order is". It's right here in a violet folder (kits) or a yellow folder
(assembled). Based on the backlog, there is a 0.375% chance that on any day,
∗your∗ order is being worked on. Yes, I know "this is no way to run a business!"
OK, point taken :)

2 - What I will do is first look at what kits are in stock TODAY, then start
scanning the backlog. I then look to see what orders I can "clear off", meaning
if someone orders 2 modules and I have both, I can ship and "clear it". If
someone orders 5 modules and I only have 1, unless that's a '510, then that
order gets put aside until I scan it again.Yes, I know "this is no way to run a
business!" OK, point taken :)

The reason I do it this way is to ship as MANY modules as possible, to the MOST
PEOPLE, as fast as I can. The drawback is everyone has to tolerate my "business
model" until my cash flow is positive.

I have every order right here, going back to .....lesseee.....Dec 3, 2002 :)

Lastly: I've been concentrating all weekend on shipping 1 set of 14 assembled
modules, which is 1/3rd of 1 order placed in early 2003. What can I
say.........sigh..........

Meanwhile, you folks with the blue WaveWarpers, let's HEAR SOME SOUND FILES!!!!

Paul S.