Great morning meeting. Eric and Sean started out and were touching base and coordinating on a big demo and a big feature release. They were planning release times, testing times, and fall back plans if needed. I thought that it was really good. They were also talking about different servers and plans per server, based on the demo and the extra functionality. For the demo, they may script it and use an outline (direct links) and/or screenshots of the two different pieces, in case we don't get everything all merged together before the demo.

Sean and I switched gears and were talking about SG&A costs and using expense/receipts (E/R's) vs PO's and capitalized inventory. Sean kept waking up last night and wrote down a number of ideas on a Word document (see attached). We went over the Word doc and drew pictures, made notes, and talked about options. It was just Sean and I, but we beat it up pretty good. See attached for some of the notes.

Here are a few of the notes, beyond what Sean had pitched (once again, see attached).

- E/R's is where it all starts. Maybe just keep it there vs going clear out to PO and capitalized inventory levels.

- E/R's already have a normal date and a due date. The difference between the two is already a built in date range - how long to track the life cycle of each E/R.

- In Sean's notes, he was talking about to the exact minute, second, etc. We will be sticking with a daily value to keep it more simple. Most likely, it will be scheduled at a certain time so that we get consistent results, it can handle weekends, holidays, and becomes a built-in procedure.

- I liked his idea of flagging each SG&A vendor with a special flag. That will help us treat expenses from that vendor in a different way.

- If we run it through the E/R side of things, it will be very minimal effort and input from the user. Most of it will be done and distributed behind the scenes.

- Inventory still in place, keeps get hanger costs. Once it sales, that hanger cost stops and it gets recorded. Otherwise, it is sort of in a state of flux.

- If we get to the tightest level that we are thinking, it will add value for owners and managers to see what it costs over time to keep bigger on hand inventories. Being able to see past what is on the shelf and what that costs. Pros and cons to different inventory stocking models.

- If we hang (add hanger costs) to an E/R, we could reference (key word reference) the PO, invoice, item, sub item (sub inventory), etc. It doesn't add any weight to the current flow, it would just be a reference to those other pieces and/or items.

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After Sean left, John and I were talking about some server stuff. I mentioned to John about getting him a higher percentage of adilas (as a co-owner) than what he currently has. He's playing an important role and doing server stuff, backend code, as well as frontend design stuff. I think that he is doing a good job. We will just keep refining things and playing well with others.

We ended up talking about servers, moving hardware to a new section within the Hostek environment. We also talked about internal developer training that is coming up, subjects, topics, and ideas. We really want the developers to virtually own or have ownership of and for their projects.