The accompanying notes are an integral part of these unaudited condensed financial statements.

FORGE INNOVATION DEVELOPMENT CORP. AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

(Unaudited)

The accompanying notes are an integral part of these unaudited condensed financial statements.

Forge Innovation Development Corp. and Subsidiary

Notes to the unauditedconsolidated financial statements

Note 1 - Organization and Description of Business

Forge Innovation Development Corp. (individually “Forge” and collectively with its subsidiary, the “Company”), was initially incorporated in the State of Nevada on January 15, 2016 under the name of You-Go Enterprises, LLC (the “Company Predecessor”). On November 3, 2016, Forge filed an amendment toamended its Articles of Incorporation in the State of Nevada to change the Company Predecessor’s name to Forge Innovation Development Corp. Our current principle executive office is located at 6280 Mission Blvd Unit 205, Jurupa Valley, CA 92509. Tel: 626-986-4566. The Company’s main business focuses on real estate development, land purchasing and selling and property management. The Company’s common stock is currently traded on OTCQB under the symbol “FGNV”.

On August 17, 2020, the Company established a wholly owned subsidiary, Forge Network Inc, in the State of California. Forge Network Inc is mainly engaged in online retail underbusiness. As of March 31, 2022, we have not generated any income from the website: http://www.ez2go.us. The website has been formally launchedsubsidiary yet which is mainly due to the continuously Covid-19 pandemic impacts. Meanwhile, we are also looking for other business opportunities which could potentially increase the profits of Company in January 2021.the year of 2022.

Note 2 - Summary of Significant Accounting Policies

The accompanying unaudited interim financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission, and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s most recent Annual Financial Statements filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim period presented have been reflected herein. The results of operations for the interim period are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements which would substantially duplicate the disclosures contained in the audited financial statements for the most recent fiscal period, as reported in the Form 10-K, have been omitted.

Use of Estimates

The preparation of consolidated financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. In the opinion of management, all adjustments necessary in order to make the consolidated financial statements not misleading have been included. Actual results could differ from those estimates.

Revenue Recognition

TheOn January 1, 2018, the Company adopted ASU 2014-09, (ASC 606), Revenue from Contracts with Customers, using the modified retrospective approach, on January 1, 2018.which applies the new standard to contracts that are not completed as of the date of adoption. Under the new standard, revenue is recognized upon transfer of control of promised goods and services to customers in an amount that reflects the consideration the Company expects to receive in exchange for those goods and services. The Company concluded that the adoption of the new standard requires an adjustment to increase the opening balance of retained earnings in an amount of $ 26,667 since control of real estate was transferred and profit on a real estate sale should be recognized under the new standard.

Revenue streams that are scoped into ASU 2014-09 include:

Property management services: theThe Company deals directly with prospects and tenants for the owners of properties, which mainly includes marketing property, collecting rent, handling maintenance, repairing issues and responding to tenant complaints. The Company recognizes revenue as earned on a monthly basis and has concluded this is appropriate under ASC 606.the new standard.

Real estate sales: The Company accounts for the sale of real estate assets and any related gain recognition in accordance with the accounting guidance applicable to sales of real estate, which establishes standards for recognition of profit on all real estate sales transactions, other than retail land sales. The Company recognizes the sale, and associated gain or loss from the disposition, provided that the earnings process is complete, and the Company does not have significant continuing involvement. Subsequent to the adoption of the new standard, the Company may recognize a gain on a real estate disposition that previously did not qualify as a sale or for full profit recognition due to the timing of the transfer of control.

Recently Issued Accounting Pronouncements Not Yet Adopted

In June 2016, the FASB issued ASU No. 2016-13, (FASB ASC Topic 326), Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments which amends the current accounting guidance and requires the use of the new forward-looking “expected loss” model, which requires all expected losses to be determined based on historical experience, current conditions and reasonable and supportable forecasts, rather than the “incurred loss” model. This guidance amends the accounting for credit losses for most financial assets and certain other instruments including trade and other receivables, held-to-maturity debt securities, loans and other instruments. The effective date of ASU No. 2016-13 for smaller reporting companies is postponed to fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company believes the adoption of ASU No. 2016-13 will not have a material impact on its financial position and results of operations.

The management does not believe that other than disclosed above, the recently issued but not yet adopted accounting pronouncements will have a material impact on its financial position results of operations or cash flows.

Note 3 - Going Concern

The accompanying consolidated financial statements were prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of obligations in the normal course of business. However, the Company has suffered recurring losses from operations since inception, resulting in an accumulated deficit of $1,404,7221,562,224 as of June 30, 2021.March 31, 2022. These conditions raise substantial doubt about the ability of the Company to continue as a going concern.

In view of these matters, continuation as a going concern is dependent upon several factors, including the availability of debt or equity funding upon terms and conditions acceptable to the Company and ultimately achieving profitable operations. Management believes that the Company’s business plan provides it with an opportunity to continue as a going concern. However, management cannot provide assurance that the Company will meet its objectives and be able to continue in operation.

The consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the possible inability of Forge Innovation Development Corp. to continue as a going concern.

Note 4 - Income Taxes

The Company has not recognized an income tax benefit for its operating losses generated based on uncertainties concerning its ability to generate taxable income in future periods. The tax benefit for the period presented is offset by a valuation allowance established against deferred tax assets arising from the net operating losses, the realization of which could not be considered more likely than not. In future periods, tax benefits and related deferred tax assets will be recognized when management considers realization of such amounts to be more likely than not.

For the sixthree months ended June 30,March 31, 2022 and 2021, and 2020, the Company has incurred a net loss before tax of $135,689 30,757and $153,37454,562, respectively. Net operation losses (“NOLs”) willcan be expired in 2036.carried forever based on the 2017 Tax Cuts and Jobs Act. As of June 30, 2021March 31, 2022 and December 31, 2020,2021, deferred tax assets resulted from NOLs of approximately $391,371 437,950and $346,932430,783, which was fully off-set by valuation allowance reserved.

Note 5 - Concentration of Risk

The Company maintains cash in two accounts within two local commercial banks located in Southern California. The standard insurance amount is $250,000 per depositors under the FDIC’s general deposit insurance rules. On March 31, 2021 and December 31, 2020, there was 0 uninsured cash balances for the Company.

For the three months and six months ended June 30, 2021 and 2020, the Company’s revenue generated from one customer in the amount of $9,000and $18,000, respectively. As of June 30, 2021 and December 31, 2020, the Company had $Nil and $3,000 accounts receivable from the customer, respectively.

Note 65 - Related Party Transactions

During the sixthree months ended June 30,March 31, 2022 and 2021, and 2020, Mr. Liang, the Company’s CEO, paid operating expenses on behalf of the Company in the amount of $1,038nil and $Nil,$754, respectively. As of June 30, 2021March 31, 2022 and December 31, 2020,2021, the Company had payable balance to Mr. Liang in the amount of $2848,212 and $Nil,$284, respectively.

On January 4, 2021, the Company purchased a vehicle from Patrick Liang, the President of the Company, for daily business operation, in the amount of $22,861, which equaled to the remaining vehicle loan balance with 7.11% interest rate annum for a period of 41 monthsand monthly installment of $558. As of June 30, 2021, the loan paymentsMarch 31, 2022, $6,691 will be due within the next 12 months, isout of $6,69114,497. loan balance. The title of the car is under the process of transferring as of June 30, 2021 and car loan balance was $19,515 as of June 30, 2021.March 31, 2022.

During the sixthree months ended June 30,March 31, 2022 and 2021, and 2020, the Company incurred a $6,000 monthly professional fee with Speedlight Consulting Services Inc., whose owner, has beenMr. Hengjiang Pang, is our director starting November 9, 2020, in the amount of $36,000 9,800and $36,00014,000, respectively. On June 30, 2021March 31, 2022 and December 31, 2020,2021, the Company had balance of due to Speedlight Consulting Services Inc.Inc in the amount of $39,000 60,000and $24,00063,000, respectively.

Note 7 - Notes Receivable

On March 17, 2017, the Company entered into a Land Transaction Agreement with Steven Zhi Qin, a third party individual. Pursuant to the agreement, the Company sold the undeveloped land located in Desert Hot Spring with value of $283,333, to Steven Zhi Qin in exchange for a Promissory Note in the amount of $310,000. The Promissory Note is secured by a Deed of Trust to Chicago Title Company, a California corporation and an independent institution insuring the Company’s collection right, and was due on March 17, 2018, with interest at the rate of 2% per annum, payable in monthly installment of interest only, in the amount of $517. The Promissory Note also applies to Steven Zhi Qin’s personal property located at 1715 East Cortez Street, West Covina, CA 91791 as additional collateral, of which a lien was recorded against said property. On March 6, 2018, the Company reached an agreement with Steven Zhi Qin, pursuant to which the Company agreed and approved the amendment of the Promissory Note to extend maturity date to March 17, 2019. On March 12, 2019, the Company reached another agreement with Steven Zhi Qin, pursuant to which the Company agreed and approved amendment of the Promissory Note to extend maturity date to June 30, 2019. On June 26, 2019, the Company reached the third amendment with Steven Zhi Qi, pursuant to which the Company agreed and approved amendment of the Promissory Note to extend maturity date to September 30, 2019, and the remaining $110,000 was due on September 30, 2019. On September 30, 2019, the Company reached the fourth amendment with Steven Zhi Qi, pursuant to which the Company agreed and approved amendment of the Promissory Note to extend maturity date to December 31, 2019, and the remaining $110,000 was due on December 31, 2019. On March 12, 2020, the Company received the repayment of the note in the amount of $110,000.

Note 8 - LeaseLeases

The Company has operating lease for its lease’sleased an office space from a third party Puente Hills Business Center II, L.P. (“PHBC-II”), which on December 2017 for four-year term with the Company vacated the premisesexpiration date on or about September 29, 2020.January 14, 2022. We determined ifthe lease is an arrangement is aoperating lease inceptionupon adoption of the contract and whether a contract is or contains a lease by determining whether it conveys the right to control the use of identified asset for a period of time. The contract provides us the right to obtain substantially all the economic benefits from the use of the identified asset and the right to direct use of the identified asset, we consider it to be, or contain, a lease.

Leases is classified as operating at inception of the lease.ASC 842 on January 1, 2019. Operating leases result in the recognition of ROU assets and lease liabilities on the balance sheet. ROU assets and operating lease liabilities are recognized based on the present value of lease payments over the lease term as of the commencement date. Because our leases do not provide an explicit or implicit rate of return, we use oursheet with 5.5% incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments on an individual lease basis. Our incremental borrowing rate for a lease is the rate of interest we would have to pay on a collateralized basis to borrow an amount equal to the lease payments for the asset under similar term, which is 5.5%.used. Lease expense for these leases is recognized on a straight-line basis over the lease term.

Our leases do not contain any residual value guarantees or material restrictive covenants. Leases with a lease term of 12 months or less are not recorded on the balance sheet and lease expense is recognized on a straight-line basis over the lease term. The remaining term as of December 31, 2020 is 12 months. We currently have no finance leases.

During the sixthree months ended June 30,March 31, 2022 and 2021, and 2020, cash paid for amounts included in the measurement of lease liabilities- operating cash flows from operating lease wereCompany recorded $Nilnil and $32,19616,107 , respectively.rent expenses, respectively, and 0lease payments made during the quarters. As of June 30, 2021March 31, 2022 and December 31, 2020,2021, the Company had $33,10683,070 and $63,456 lease liability were outstanding underrent payable toward the lease agreement, respectively. On October 22, 2020, PHBC-II filed a lawsuit against the Company and its guarantor, Mr. Liang. No judgment has been rendered as of June 30, 2021, and the litigation is in its infancy stage. The Company has retained legal counsel to address the matter. As of June 30, 2021 and December 31, 2020, the lease payable under the lease agreement amounted $49,584 and $16,098, respectively.agreement.

The components of lease expense consist of the following:

Schedule of Lease Expense

Balance sheet information related to leases consists of the following:

Schedule of Balance Sheet Information Related to Leases

Cash flow information related to leases consists of the following:

Schedule of Cash Flow Information Related to Leases

Future minimum lease payment under non-cancellable lease as of June 30, 2021 are as follows:

Schedule of Future Minimum Lease Payment Under Non-cancellable Lease

Note 98 –PPP and SBA Loans

On April 16, 2020, the Company received a Promissory Note (the “Note”) in the amount of $19,400 under the Paycheck Protection Program (the “PPP Loan”) through East West Bank (the “Lender”). The interest rate on this Note is a fixed rate of 1.00% per annum. The Company will pay this loan in one payment of all outstanding principal plus all accrued unpaid interest on that date that is two years after the date of this Note (“Maturity Date”). In addition, the Company will pay regular monthly payments in an amount equal to one month’s accrued interest commencing on that date that is seven months after the date of this Note, with all subsequent interest payments to be due on the same day of each month after that. All interest which accrues during the initial six months of the loan period will be deferred to and payable on the Maturity Date. Unless otherwise agreed or required by applicable law, payments will be applied first to any accrued unpaid interest; then to principal.

According to SBA’s PPP Loan description, the PPP loan will be fully forgiven if the funds are used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 75% of the forgiven amount must have been used for payroll). Loan payments will also be deferred for six months. No collateral or personal guarantees are required. Neither the government nor lenders will charge small businesses any fees. Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease.

The Company submit its application forreceived the forgiveness of the full amount $19,400 PPP Loan and received the approval letter from SBA on March 10, 2021. The2021 and the Company recognized government grantunder other income in the amount of $19,400 for the sixthree months ended June 30, 2021.March 31, 2021, accordingly.

On July 14, 2020, the Company entered into a loan agreement with Thethe U.S. Small Business Administration (SBA)(“SBA”), pursuant to which the Company obtainobtained a loan in the amount of $14,000with the term of 30years and at the interest rate of 3.75%, payable monthly including principal and interest in the amount $69. The Company receivedAs of March 31, 2022 and December 31, 2021, the outstanding loan amount ofbalances were $14,00013,123 from SBA on July 20, 2020.and $13,330, respectively.

Note 109 – Contingencies

On December 8, 2017, the Company entered into a lease agreement with Puente Hills Business Center II, L.P. (“PHBC-II”) for a lease term of forty-eight months, and which was scheduled to expireexpired on January 14, 2022, at monthly rent of $4,962, subject to increase. On or about September 29, 2020, the Company vacated the premises. On October 22, 2020, PHBC-II filed a lawsuit against the Company and its guarantor, Mr. Liang.Liang for default on rent payments. No judgment has been rendered as of June 30,December 31, 2021, and the litigationcase is in its infancythe pre-trial stage. The Company has retained legal counsel to address the matter.matter and the Court has scheduled the trial date on January 31, 2023.

Note 1110 - Subsequent Event

TheOn April 2, 2022, the Company has evaluated all other subsequent events throughentered into a Property Management Agreement (the “PMA”) with Legend Investment International, LP (“Legend Investment”) for a period of nine months. Pursuant to the date these consolidated financial statements were issuedPMA, the Company will charge $5,000 per month for the management services for Legend Investment, which includes to rent, lease, operate and determine that there were no other subsequent events or transactions that require recognition or disclosures inmanage the consolidated financial statements.properties located at 6240, 6260 and 6280 Mission Blvd, Jurupa Valley, CA 92509.

Item 2. Management’s Discussion and Analysis or Plan of Operation

This 10−Q contains forward-looking statements. Our actual results could differ materially from those set forth as a result of general economic conditions and changes in the assumptions used in making such forward-looking statements. The following discussion and analysis of our financial condition and results of operations should be read together with the audited consolidated financial statements and accompanying notes and the other financial information appearing elsewhere in this report. The analysis set forth below is provided pursuant to applicable Securities and Exchange Commission regulations and is not intended to serve as a basis for projections of future events.

Overview

Forge Innovation Development Corp. is a development stage company and was incorporated in the State of Nevada in January 2016. The Company’s primary objective is commercial and residential land development, including the purchase and sale of real estate, targeting properties primarily in Southern California. We also intend to manage properties we own, and properties owned by unaffiliated third parties. Our activities will include securing acquisition rights to properties, obtaining zoning and other entitlements for the properties, securing financing for purchase of the properties, improving the properties’ infrastructure and amenities and selling the properties to homeowner and commercial owners for restaurants, offices and small businesses. Our first property acquisition was 29 acres in the city of Desert Hot Springs in Southern California. Due to problems with permits and adjacent landowners, rather than getting involved in protracted negotiations, the Company sold the property to an independent third party for a profit.

On August 17, 2020, the Company established a wholly owned subsidiary, Forge Network Inc, in the State of California. Forge Network Inc is mainly engaged in online retail underbusiness. As of March 31, 2022, we have not generated any income from the website: http://www.ez2go.us. The website has been formally launchedsubsidiary yet which is mainly due to the continuously Covid-19 pandemic impacts. Meanwhile, we are also looking for other business opportunities which could potentially increase the profits of Company in January 2021.the year of 2022.

Results of Operation for the three months ended June 30,March 31, 2021 and 2020

��

During the three months ended June 30,March 31, 2022 and 2021, and 2020, the Company generated $9,000$15,604 and $9,000 of revenues respectively; the revenue was generated from property management service. The corresponding cost of revenue was $0.service, respectively. During the three months ended June 30,March 31, 2022 and 2021, and 2020, the Company incurred general and administrative expenses of $90,127$46,361 and $86,251,$82,962, respectively. The increasedecrease was mainly due to the increasedecrease in salary expense.payroll expense and professional fees incurred during the three months ended March 31, 2022. For the three months ended June 30,March 31, 2022 and 2021, and 2020, our net loss was $81,127losses were $30,757 and $77,251, respectively.$54,562, respectively The increasedecrease in net loss was mainly due to the increase in general and administrative expense for the three months ended June 30, 2021, compared to the same period in last year.

Results of Operation for the six months ended June 30, 2021 and 2020

During the six months ended June 30, 2021 and 2020, the Company generated $18,000 and $18,000 of revenues, respectively; the revenue was generated from property management service. The corresponding cost of revenue was $0. Duringgenerated, and the six months ended June 30, 2021 and 2020, the Company incurred general and administrative expenses of $173,089 and $171,374, respectively. The increasedecrease in general and administrative expenses was mainly due to the increase in salary expense. For the six months ended June 30, 2021 and 2020, our net loss was $135,689 and $153,374, respectively. The increase in net loss was mainly due to the increase in general and administrative expenses, partially offset by the $19,400 PPP loan forgiven decrease in government grants in the amount of $19,400 for the sixthree months ended June 30, 2021, compared to the same period in last year.March 31, 2022.

Equity and Capital Resources

We have incurred losses since inception of our business in 2016 and, as of June 30, 2021,March 31, 2022, we had an accumulated deficit of $1,404,722.$1,562,224. As of June 30, 2021,March 31, 2022, we had cash of $136,382$11,789 and a negative working capital of $10,001,$131,360, compared to cash of $236,586$60,364 and a negative working capital of $117,751 on$95,686 as of December 31, 2020.2021. The decrease in the working capital was primarily due to cash used to pay for operating expenses.

Going Concern Assessment

The Company demonstrates adverse conditions that raise substantial doubt about the Company’s ability to continue as a going concern. These adverse conditions are negative financial trends, specifically cash outflow from operating activities, operating losses, accumulated deficit and other adverse key financial ratios.

Management’s plan to alleviate the substantial doubt about the Company’s ability to continue as a going concern include attempting to improve its business profitability, its ability to generate sufficient cash flow from its operations and execute the business plan of the Company in order to meet its operating needs on a timely basis. However, there can be no assurance that these plans and arrangements will be sufficient to fund the Company’s ongoing capital expenditures and other requirements.

The consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts and classification of liabilities that might be necessary in the event that the Company cannot continue as a going concern.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to stockholders.

Critical Accounting Policies

The consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States. The preparation of these consolidated financial statements requires making estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. The estimates are based on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis of making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

The critical accounting policies are discussed in further detail in the notes to the audited consolidated financial statements appearing elsewhere in this report. Management believes that the application of these policies on a consistent basis enables us to provide useful and reliable financial information about our operating results and financial condition.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

As a “small reporting company” we are not required to provide this information under this item pursuant to Regulation S-K.

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

As of the end of the period covered by this report on Form 10-Q, our President (principal executive officer) and our Chief Financial Officer performed an evaluation of the effectiveness of and the operation of our disclosure controls and procedures as defined in Rule 13a-15(e) or Rule 15d-15(e) under the Exchange Act. Based on that evaluation, our President and Chief Financial Officer each concluded that as of the end of the period covered by this report on Form 10-Q, our disclosure controls and procedures were not effective in timely alerting them to material information relating to Forge Innovation Development Corp. required to be included in our Exchange Act filings.

Changes in Internal Control over Financial Reporting

There were no changes in our internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Rule 13a-15 or Rule 15d-15 under the Exchange Act that occurred during the quarter ended June 30, 2021March 31, 2022 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

PART II — OTHER INFORMATION

Item 1. Legal Proceedings.

On December 8, 2017, the Company entered into a lease agreement with Puente Hills Business Center II, L.P. (“PHBC-II”) for a lease term of forty-eight months, and which was scheduled to expireexpired on January 14, 2022, at monthly rent of $4,962, subject to increase. On or about September 29, 2020, the Company vacated the premises. On October 22, 2020, PHBC-II filed a lawsuit against the Company and its guarantor, Mr. Liang.Liang for default on rent payments. No judgment has been rendered as of August 12,December 31, 2021, and the litigationcase is in its infancythe pre-trial stage. The Company has retained legal counsel to address the matter.matter and the Court has scheduled the trial date on January 31, 2023.

Item 1A. Risk Factors.

As a “smaller reporting company”, we are not required to provide this information under this item pursuant to Regulation S-K.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

None

Item 3. Defaults Upon Senior Securities.

None

Item 4. Mine Safety Disclosures.

Not applicable.

Item 5. Other Information.

None

Item 6. Exhibits.

(a) Exhibits.

* Filed herewith.

SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

EXHIBIT INDEX

* Filed herewith.