LCRE Lecere Corporation (CE)

Software start-up Lecere Corporation's (Pink Sheets:LCRE) (www.lecere.com) CEO, Jim Morris, provides answers to some FAQs from shareholders and others.

1. Does Lecere have any prospects for more customers after Nepo 42?

Since we came out with the announcement of Apple iPad support and produced the YouTube video, we have gotten emails from restaurant owners of over forty restaurants. A new restaurant appears in our email inbox every couple of days. In addition to that, we have identified about ten restaurants in the Portland, OR area that are interested in becoming customers. A few of these fifty or so prospects may be tire-kickers, but after having talked at length with all fifty of them, we think most of the fifty are legitimate customer prospects. Most of them are small to moderate-sized restaurants that do not have a POS today or else are looking to replace an old POS system. Lecere's low upfront cost and relatively small monthly fee are very attractive to this kind of restaurant. We will start bringing on new customers as fast as we can. This is a learning process for us, and we need to develop some software processes to automate new restaurant registration. Thus bringing new customers online will start slowly, but eventually it will accelerate. Our goal within 2-3 months is to effectively automate the restaurant registration process. When this is available, restaurant management need only navigate to the new Lecere website, where they will create an account, supply a credit card for monthly billing, create their menu online, and then start using FIRMS!

2. Where does Lecere presently stand in the process of clearing up the caveat emptor.

An accountant has started work on organizing the financial data into QuickBooks. We have an attorney lined up to sign off on the financials, but PinkOTC requires me to meet face to face with the attorney. His office is in Fresno, CA, so I must travel to Fresno to meet the attorney face to face. There are several hoops like this that we have to jump through, but I believe we can get the caveat emptor removed by about the end of May.

3. Has Lecere found any new information regarding the reported short sales of Lecere's stock?

About a week ago, we formally asked the Market Regulation department of FINRA to look into what was going on with the massive amount of short sales in Lecere's stock during April. We talked to a person named Pat Clem in the Market Regulation department. Ms. Clem informed us that the only way anybody will ever know the truth of what happened is if the culprit is a member of FINRA and if disciplinary action is taken by FINRA. Otherwise, the information is proprietary to FINRA and we will likely never know what really happened.

4. What is the status of the pilot project?

We completed Phase one (see the May 12 press release) last week. Phase two is well under way. We are expecting to complete the pilot project pretty much on time at or very near the end of May.

5. Is Lecere going to improve the graphical user interface of the software?

We recently engaged with a Portland, OR graphics design firm to completely revamp our website and to redesign the graphical user interface for FIRMS.

6. Is Lecere going to patent the FIRMS software?

I have been involved as a consultant in a patent infringement case for the last five years. Here are some facts about patents that may surprise you: (1) The patent office spends an average of about 24 man-hours in total on each patent application. Consequently, it is relatively easy to get a patent. (2) If you don't plan on spending millions of dollars to defend your patent against infringers, then a patent is basically worthless, except as a merit badge. (3) Just because you obtain a patent does not mean you are out of the woods when you litigate against a potential infringer. The infringer can force you into a patent reexamination for almost no effort at all on the infringer's part. Unlike in the original patent application, prior art is examined under a microscope in the reexamination. You will spend hundreds of thousands of dollars proving validity in the patent reexamination, but the microscope ensures that the probability your patent's validity will be able to survive the reexamination is very low. I would rather win in the marketplace with superior marketing, sales, and technology (listed in order of importance for building a great company).

7. What are Lecere's plans for raising operating funds in the months ahead?

Lecere is a pink sheet company right now only because (1) we are a start-up company with no customers and no revenues and (2) we have no significant partnerships that will produce very large numbers of customers for us at this time. Once we have those two things in our pocket, we will be able to raise ample amounts of private placement capital, i.e. sales to investors of restricted shares, instead of free-trading shares. When this occurs, 504 investing will stop permanently. Once all of this happens, we will begin the process of moving to the OTCBB. Next step is NASDAQ, and we honestly feel we will get there someday.

About LecereTM Corporation

Lecere Corporation (Pink Sheets:LCRE) of Portland, Oregon develops and markets Lecere FIRMSTM, an integrated, Web-based suite of interactive restaurant management software that runs on handheld wireless devices. FIRMS helps restaurants reduce their operational costs while enhancing their customers' experiences for increased revenues and profits. 

Lecere and FIRMS are trademarks of Lecere Corporation. All other legal marks are the property of their respective owners.

CONTACT:  Lecere Corporation
          Jim Morris
          503-781-4828