As losses mount, RealBiz Media Group’s parent company has renegotiated the terms on nearly $7 million in debt it owes to an investor, which could give RealBiz breathing room to continue pursuing its growth strategy.

A provider of virtual and video tours to the real estate industry, RealBiz operates the video-on-demand platform HomeTourNetwork and video-centric listing site and agent directory, NestBuilder.com.

In the last year, the company has signed clients including franchisor ERA Real Estate, St. Louis-based brokerage Prudential Select Properties and California-based Century 21 Hometown Realty.

But in its latest quarterly report to investors, RealBiz said it posted a net loss of $1.4 million for the quarter ending Jan. 31, up from a net loss of $278,637 during the same quarter a year ago.

The company said the jump in net loss was largely the result of “an increase in consulting fees incurred in raising capital of $670,297, an increase in the amortization of intangible assets of $344,337 and to a lesser extent an increase in investor relations of $128,358.”

Revenue for the quarter also declined 10 percent from a year ago, to $246,054, “due to the loss of a broker with significant monthly revenues, as well as photographer inactivity during the holiday season,” the company said.

As of Jan. 31, the company reported a working capital deficit of nearly $1.58 million and an accumulated deficit of more than $11.95 million.

“It is management’s opinion that these facts raise substantial doubt about the company’s ability to continue as a going concern without additional debt or equity financing,” the company said. “In order to meet its working capital needs through the next 12 months, the company may consider plans to raise additional funds through the issuance of additional shares of common stock and or through the issuance of debt instruments.”

On Feb. 24, RealBiz’s parent company, Next 1 Interactive Inc., entered into a note amendment with Mark A. Wilton extending the maturity date of eight promissory notes totaling more than $6.86 million held by Wilton until Dec. 1, 2015. In a regulatory filing disclosing the agreement, which was countersigned by RealBiz, the company said it also issued a warrant to Wilton giving him the right to purchase 12 million shares of RealBiz common stock at an exercise price of $0.50 per share.

RealBiz did not respond to requests for comment.

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