> This is something that can't realistically happen for a furniture plant. You can't pile up furniture up to the sky without paying your wood suppliers.
Have you ever seen $300MM worth of wood? I specifically said the owner had pumped a huge amount of money in the company.
Well, I'm not sure about wood, indeed, but I guess specials species can cost a lot. But I definitely saw $300MM of metal in a single stocking rack, not even speaking in terms of machines and buildings.
> I specifically said the owner had pumped a huge amount of money in the company.
Yes, I read that but I put it apart a bit too quickly, apologies. I would love to be pointed to real cases where huge amount of cash were invested in finished-good producing plants with no sales whatsoever. Off the top of my head I can think that Tesla's industrial activity can come close to the description for the investment story, however they do sell - their problem is more of meeting the production target.
I've seen with my eyes plants coming out of nowhere [0] with banks backed cash, but they definitely had customers commands already passed.
So Evernote spent that much and they didn't even make any furniture, so their wood costs were very very low. Zero even. They still spent that much money?
Have you ever seen $300MM worth of wood? I specifically said the owner had pumped a huge amount of money in the company.