If you think the above is controversial, you are obviously not familiar with Tuffnell Ltd. (OTC:TUFF
, TUFF message board
). This is the only company with a CEO working for $3 per hour, or $500 per month. At least, this was the case with the former CEO. Now, they have a new one, and he gets the real deal - $4 thousand per month. Yes, this is the same company that claims its Arizona property has the potential to host up to 1.0 million oz of gold. However, before we go into the bright future, lets focus on the present.
The last 10 days were treated the shareholders of Tuffnell quite well. There was a 50% increase in price, which is likely to continue. There were also some heavy trading activity over the last few days, due to the latest 10-Q statement and other announcements from the company. It was obvious, however, that most investors did know that the 10-Q came out, but forgot to read it before putting their money at stake.
To determine the risk and potential of Tuffnell, a person should first understand what the company actually looks like. A brief glance at its history would reveal very peculiar facts. First of all, this is a UK company, operating in Arizona. It has no revenues, and according to the same 10-Q report from yesterday it has cash just enough to pay the salary of its CEO for 2011. Well, when $300k are spent on promotions in the past, it is hard to have enough cash for the present. Besides that, we should not worry about Mr. George Dory. Despite the low salary, he owns 33 million shares out of 58 total outstanding, which he bought at a sub-penny price. Keep this in mind when considering the future development of the company.
On the other hand, there is still some hope among investors. It is a development stage company with a property, located in a region where gold mining did take place in the past. If Tuffnell manages to find the right spot, it would no longer raise substantial doubt as to the very reason why the company exists.
Yet, this is a forward-thinking statement. The current one is more likely to be - check what you are willing to lose before you start dreaming of what you may earn. There is thick fog lying on the future path of Tuffnell Ltd.