BOS Global board 'committed' as working capital position worsens

Cloud-based software developer BOS GLOBAL updated the market on its current position on Thursday, reporting that it has continued to incur operational and overhead costs as it continues its product development and sales and marketing work.

The AIM-traded firm was not yet, however, generating significant revenue from purchase orders for its products.

As a result, the company's working capital position had tightened “considerably” and it was now exploring its options for securing additional funding above the instalment schedule provided for in the convertible loan note with Innovation Corporation, from which it recently received additional funds totalling approximately £0.22m.

“In addition to assessing its funding options, the company has been implementing a significant cost reduction program over recent months to manage its working capital position,” the board said in its statement.

“A key element of this cost reduction program is the pursuit of a revised strategy initially targeting a more focused product offering in a narrower geographical range, with the BOS Time product and the UK and Australian markets being the primary focus.”

The board said it remained committed to seeing the company through the period, and establishing a “sustainable and profitable” business for the benefit of all BOS GLOBAL shareholders and other stakeholders.

It would update the market on further progress on its financial position as information became available, and continued to work towards publishing its annual accounts for the financial year ending 30 June by no later than the end of December.