Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Dec. 31, 2013 | Feb. 10, 2013 | |
Document And Entity Information | ' | ' |
Entity Registrant Name | 'CONCIERGE TECHNOLOGIES INC | ' |
Entity Central Index Key | '0001005101 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Dec-13 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--06-30 | ' |
Is Entity a Well-known Seasoned Issuer? | 'No | ' |
Is Entity a Voluntary Filer? | 'No | ' |
Is Entity's Reporting Status Current? | 'Yes | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 240,284,270 |
Document Fiscal Period Focus | 'Q2 | ' |
Document Fiscal Year Focus | '2014 | ' |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
CURRENT ASSETS: | ' | ' |
Cash & cash equivalents | $402 | $39,444 |
Accounts receivable, net allowance for doubtful accounts of $25,186 | 166,682 | 113,386 |
Due from related party | 11,589 | 11,084 |
Inventory, net | 272,484 | 190,281 |
Other current assets | 1,935 | 4,900 |
Total current assets | 453,092 | 359,095 |
Security deposits | 11,222 | 11,222 |
Property and equipment, net | 12,812 | 14,978 |
Total assets | 477,126 | 385,295 |
CURRENT LIABILITIES: | ' | ' |
Accounts payable and accrued expenses | 672,093 | 522,773 |
Advance from customers | 10,117 | 202 |
Notes payable - related parties | 38,000 | 28,000 |
Notes payable | 50,000 | ' |
Total current liabilities | 770,210 | 550,975 |
NON-CURRENT LIABILITIES: | ' | ' |
Related party convertible debenture, net | 204,700 | 204,700 |
Total liabilities | 974,910 | 755,675 |
STOCKHOLDERS' DEFICIT | ' | ' |
Preferred stock, 50,000,000 authorized par $0.001 Series A: 206,186 shares issued and outstanding at December 31, 2013 and June 30, 2013 | 206 | 206 |
Preferred stock, 50,000,000 authorized par $0.001 Series B: 9,498,409 shares issued and outstanding at at December 31, 2013 and June 30, 2013 | 9,498 | 9,498 |
Common stock, $0.001 par value; 900,000,000 shares authorized; 240,284,270 shares issued and outstanding at at December 31, 2013 and June 30, 2013 | 240,285 | 240,285 |
Additional paid-in capital | 3,953,521 | 3,953,521 |
Accumulated deficit | -4,701,294 | -4,573,889 |
Total Stockholders' deficit | -497,784 | -370,380 |
Total liabilities and Stockholders' deficit | $477,126 | $385,295 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
ASSETS | ' | ' |
Allowance for doubtful accounts | $25,186 | $25,186 |
Stockholders equity: | ' | ' |
Preferred stock Series A, par value | $0.00 | $0.00 |
Preferred stock Series A, authorized shares | 50,000,000 | 50,000,000 |
Preferred stock Series A, issued shares | 206,186 | 206,186 |
Preferred stock Series A, outstanding shares | 206,186 | 206,186 |
Preferred stock Series B, par value | $0.00 | $0.00 |
Preferred stock Series B, authorized shares | 50,000,000 | 50,000,000 |
Preferred stock Series B, issued shares | 9,498,409 | 9,498,409 |
Preferred stock Series B, outstanding shares | 9,498,409 | 9,498,409 |
Common stock, par value | $0.00 | $0.00 |
Common stock, authorized shares | 900,000,000 | 900,000,000 |
Common stock, issued shares | 240,284,270 | 240,284,270 |
Common stock, outstanding shares | 240,284,270 | 240,284,270 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income Statement [Abstract] | ' | ' | ' | ' |
Net revenue | $513,751 | $407,889 | $1,075,650 | $1,029,126 |
Cost of revenue | 296,794 | 227,054 | 648,352 | 582,743 |
Gross profit | 216,957 | 180,834 | 427,298 | 446,383 |
Operating expenses: | ' | ' | ' | ' |
General & administrative expenses | 291,831 | 309,720 | 600,378 | 530,164 |
Operating Loss | -74,874 | -128,886 | -173,080 | -83,781 |
Other income (expense) | ' | ' | ' | ' |
Other income | 3,699 | 2,852 | 53,148 | 6,191 |
Interest expense | -3,688 | -2,717 | -6,672 | -8,362 |
Beneficial conversion feature expense | ' | ' | ' | -9,439 |
Total other income (expense) | 11 | 135 | 46,476 | -11,610 |
Loss from continuing operations before income taxes | -74,863 | -128,751 | -126,604 | -95,391 |
Provision of income taxes | ' | 800 | 800 | 800 |
Loss from Continuing Operations | -74,863 | -129,551 | -127,404 | -96,191 |
Loss from Discontinued Operations : | ' | ' | ' | ' |
Loss from discontinued subsidiary | ' | -698 | ' | -44,640 |
Loss from Discontinued Operations | ' | -698 | ' | -44,640 |
Net Loss | -74,863 | -130,249 | -127,404 | -140,831 |
Loss attributable to Non-controlling interest | ' | -57,209 | ' | -31,375 |
Net Loss attributable to Concierge Technologies | ($74,863) | ($73,040) | ($127,404) | ($109,456) |
Weighted average shares of common stock | ' | ' | ' | ' |
Basic | 240,284,270 | 235,617,610 | 240,284,270 | 235,617,610 |
Diluted | 240,284,270 | 244,915,200 | 240,284,270 | 244,915,200 |
Net loss per common share - continuing operations | ' | ' | ' | ' |
Basic and Diluted | $0 | $0 | $0 | $0 |
Net loss per common share - discontinued operations | ' | ' | ' | ' |
Basic & Diluted | $0 | $0 | $0 | $0 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net Loss | ($127,404) | ($109,456) |
Adjustments to reconcile net loss to net cash used in operating activities | ' | ' |
Non-controlling interest | ' | -31,375 |
Depreciation | 3,592 | 1,697 |
Allowance for bad debt | ' | 13,440 |
Beneficial conversion feature expense | ' | 9,439 |
Amortization of debt issuance cost | ' | 1,888 |
(Increase) decrease in current assets: | ' | ' |
Accounts receivable | -53,296 | 101,969 |
Inventory | -82,203 | -164,540 |
Other current assets | 2,965 | ' |
Increase (decrease) in current liabilities: | ' | ' |
Accounts payable & accrued expenses | 149,320 | 39,940 |
Accounts payable - related parties | ' | -1,318 |
Advances from customers | 9,915 | 100 |
Net cash provided by (used in) operating activities - continuing operations | -97,111 | -138,216 |
Net cash used in operating activities | -97,111 | -138,216 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Purchase of equipment | -1,426 | -3,427 |
Due from related party | -505 | -504 |
Net cash used in investing activities - continuing operations | -1,931 | -3,931 |
Net cash used in investing activities | -1,931 | -3,931 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Proceeds from related party notes payable | 10,000 | ' |
Proceeds from notes payable | 50,000 | ' |
Net cash provided by financing activities - continuing operations | 60,000 | ' |
Net cash provided by financing activities - discontinued operations | ' | 57,500 |
Net cash provided by (used in) financing activities | 60,000 | 57,500 |
NET DECREASE IN CASH & CASH EQUIVALENTS | -39,042 | -84,646 |
CASH & CASH EQUIVALENTS, BEGINNING BALANCE | 39,444 | 114,433 |
CASH & CASH EQUIVALENTS, ENDING BALANCE | 402 | 29,788 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ' | ' |
Interest paid | ' | ' |
Income taxes paid | ' | ' |
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | ' | ' |
Series B preferred shares issued for debt and accrued interest | ' | 112,000 |
Forgiveness of accounts payable-related parties | ' | ($75,450) |
1_ORGANIZATION_AND_DESCRIPTION
1. ORGANIZATION AND DESCRIPTION OF BUSINESS | 6 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
ORGANIZATION AND DESCRIPTION OF BUSINESS | ' |
Concierge Technologies, Inc., (the “Company”), a Nevada corporation, was originally incorporated in California on August 18, 1993 as Fanfest, Inc. On March 20, 2002, the Company changed its name to Concierge Technologies, Inc. The Company’s principal operations include the purchase and sale of digital equipment through its wholly owned subsidiary Wireless Village doing business as Janus Cam |
2_ACCOUNTING_POLICIES
2. ACCOUNTING POLICIES | 6 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
ACCOUNTING POLICIES | ' |
Accounting Principles | |
In the opinion of management, the accompanying balance sheets and related interim statements of income and comprehensive income, and cash flows include all adjustments, consisting only of normal recurring items, necessary for their fair presentation in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Interim results are not necessarily indicative of results for a full year. The information included in this Form 10-Q should be read in conjunction with information included in the Company’s 2013 Form 10-K filed on October 15, 2013 with the U.S. Securities and Exchange Commission. | |
Principles of Consolidation | |
The accompanying consolidated financial statements include the accounts of Concierge Technologies, Inc. (parent), and its wholly owned subsidiary, Wireless Village. All significant inter-company transactions and accounts have been eliminated in consolidation. A wholly owned subsidiary of the Company, Planet Halo was disposed during the year ended June 30, 2013 and has been eliminated from the three and six-month periods ending December 31, 2012 of the accompanying Condensed Consolidated Financial Statements for comparison purposes. | |
Use of Estimates | |
The preparation of consolidated financial statements is in conformity with accounting principles generally accepted in the United States of America which 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 financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |
Recent Accounting Pronouncements | |
Accounting Standards Update No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists: An unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. For example, an entity should not evaluate whether the deferred tax asset expires before the statute of limitations on the tax position or whether the deferred tax asset may be used prior to the unrecognized tax benefit being settled. The amendments in this Update do not require new recurring disclosures. ASU Topic No. 2013 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of this guidance is not expected to have a material impact on our consolidated financial statements. | |
Accounting Standards Update No. 2013-05, Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity: This ASU addresses the accounting for the cumulative translation adjustment when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. ASU Topic No. 2013-05 is effective for our fiscal year 2014, although early adoption is permitted. The adoption of this guidance is not expected to have a material impact on our consolidated financial statements. | |
FASB Accounting Standards Update No. 2013-02 | |
In February 2013, the FASB issued ASU No. 2013-02, which amends the authoritative accounting guidance under ASC Topic 220 “Comprehensive Income.” The amendments do not change the current requirements for reporting net income or other comprehensive income in financial statements. However, the amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under generally accepted accounting principles in the United States of America (“GAAP”) to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under GAAP that provide additional detail about those amounts. The amendments in this update are effective prospectively for reporting periods beginning after December 15, 2013. Early adoption is permitted. Adoption of this update is not expected to have a material effect on the Company’s consolidated results of operations or financial condition. |
3_GOING_CONCERN
3. GOING CONCERN | 6 Months Ended |
Dec. 31, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
GOING CONCERN | ' |
The accompanying financial statements have been prepared in conformity with generally accepted accounting principles, which contemplate continuation of the Company as a going concern. The Company has an accumulated deficit of $4,701,294 as of December 31, 2013, including a net loss of $127,404 during the six-month period ended December 31, 2013. The historical losses have adversely affected the liquidity of the Company. Although losses are expected to be curtailed during the current fiscal year due to increased product sales, the Company faces continuing significant business risks, which include, but are not limited to, its ability to maintain vendor and supplier relationships by making timely payments when due, continue product research and development efforts, and successfully compete for customers. | |
In view of the matters described in the preceding paragraph, recoverability of a major portion of the recorded asset amounts shown in the accompanying balance sheet is dependent upon continued operations of the Company, which in turn is dependent upon the Company’s ability to increase profitability from operations, obtain financing, and succeed in its future operations. The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts or classification of liabilities that might be necessary should the Company be unable to continue as a going concern. | |
Management has taken the following steps to revise its operating and financial requirements, which it believes are sufficient to provide the Company with the ability to continue as a going concern. Management devoted considerable effort from inception through the period ended December 31, 2013, towards (i) establishment of sales distribution channels for its products, (ii) management of accrued expenses and accounts payable, (iii) initiation of the business strategy of its subsidiary, and (vi) acquisition of suitable synergistic partners for business opportunities in mobile incident reporting that generate immediate revenues. | |
Management believes that the above actions will allow the Company to continue operations for the next 12 months. |
4_PROPERTY_AND_EQUIPMENT
4. PROPERTY AND EQUIPMENT | 6 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
PROPERTY AND EQUIPMENT | ' | ||||||||
Property and equipment consisted of the following as of December 31, 2013 and June 30, 2013: | |||||||||
31-Dec-13 | June 30, 2013 | ||||||||
Furniture & Office Equipment | $ | 15,392 | $ | 15,392 | |||||
Network Hardware & Software | 29,854 | 28,428 | |||||||
Total Fixed Assets | 45,246 | 43,820 | |||||||
Accumulated Depreciation | (32,434 | ) | (28,842 | ) | |||||
Total Fixed Assets, Net | $ | 12,812 | $ | 14,978 | |||||
Depreciation expense amounted to $3,592 and $1,697 for the six-month periods ended December 31, 2013 and 2012, respectively. | |||||||||
5_RELATED_PARTY_TRANSACTIONS
5. RELATED PARTY TRANSACTIONS | 6 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Related Party Transactions [Abstract] | ' | ||||||||
RELATED PARTY TRANSACTIONS | ' | ||||||||
Due from Related Party | |||||||||
Notes receivable from related party is comprised of two notes of $5,000 each and the related accrued interest receivable. The principal of these notes were due and payable on or before May 1, 2012. The notes are unsecured and non-interest bearing until maturity, after which time interest is calculated at 10% per annum. Total interest was $1,589 as of December 31, 2013 and $1,084 as of December 31, 2012. | |||||||||
Notes Payable - Related Parties | |||||||||
Current related party notes payable consist of the following: | |||||||||
31-Dec-13 | 30-Jun-13 | ||||||||
Notes payable to director/shareholder, noninterest-bearing, unsecured and payable on demand | 8,500 | 8,500 | |||||||
Notes payable to shareholder, interest rate of 10%, unsecured and payable on July 31, 2004 | 5,000 | 5,000 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 3,500 | 3,500 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 5,000 | 5,000 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 5,000 | 5,000 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 1,000 | 1,000 | |||||||
Notes payable to director/shareholder, interest rate of 6%, unsecured and payable on January 25, 2014 | 10,000 | - | |||||||
$ | 38,000 | $ | 28,000 | ||||||
On September 8, 2010 we entered into a loan agreement containing certain conversion features whereby the note holder could convert the principal amount of the loan, $100,000, together with accrued interest at the rate of 6% per annum, into shares of our Series B Convertible, Voting, Preferred stock at the conversion rate of $0.20 per share. The Series B Convertible, Voting, Preferred stock could then be further converted to common stock at a ratio of 1:20 after being held for a minimum period of 270 days from the date of issuance. The result of the conversion to common stock would be the issuance of 10,000,000 shares with a fair market value set at the date of the debenture at $0.025 creating a beneficial conversion feature to the debenture equal to $100,000. The cost of the beneficial conversion feature was amortized over the 2-year life of the debenture and is listed on the Statement of Operations as “Beneficial conversion feature expense”. A total of $9,439 was amortized for the six-month period ended December 31, 2012 with no balance remaining thereafter. | |||||||||
On January 1, 2013 we consolidated all outstanding notes payable due a related party into one loan agreement containing certain conversion features whereby the note holder could convert the principal amount of the loan, $204,700 comprised of the sum total of the principal amounts of the individual notes, $122,000, plus $82,700 in accrued interest applicable to those notes, together with accrued interest at the rate of 4.944% per annum, into shares of our common stock at the conversion rate of $0.02 per share. The note is unsecured and becomes due and payable on January 1, 2015. The accrued interest on this $204,700 convertible debenture as of December 31, 2013 was $10,120. There was no beneficial conversion feature involved in the new note. | |||||||||
Interest expense for all related party notes payable, including convertible debentures, for the six-month periods ended December 31, 2013 and 2012 amounted to $6,090 and $7,089. | |||||||||
6_NOTES_PAYABLE
6. NOTES PAYABLE | 6 Months Ended |
Dec. 31, 2013 | |
Debt Disclosure [Abstract] | ' |
NOTES PAYABLE | ' |
On November 8, 2013 Janus Cam entered into a short term note agreement with a non-affiliate individual for the amount of $50,000 that earns interest at 10% per annum payable in monthly installments until maturity at February 19, 2014. Proceeds from the loan were used to pay down vendor invoices and the loan is secured by an equal value of inventory. |
7_ACCOUNTS_PAYABLE_AND_ACCRUED
7. ACCOUNTS PAYABLE AND ACCRUED EXPENSES | 6 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Payables and Accruals [Abstract] | ' | ||||||||
ACCOUNTS PAYABLE AND ACCRUED EXPENSES | ' | ||||||||
Accounts payable and accrued expenses consisted of the following: | |||||||||
31-Dec-13 | 30-Jun-13 | ||||||||
Accounts payable | $ | 481,962 | $ | 279,992 | |||||
Sales Tax reserve | 3,981 | 44,881 | |||||||
Accrued judgment | 135,000 | 135,000 | |||||||
Accrued interest | 25,902 | 19,351 | |||||||
Accrued Expenses | 12,959 | 24,500 | |||||||
Payroll Tax Liability | 12,289 | 19,049 | |||||||
Total | $ | 672,093 | $ | 522,773 |
8_COMMITMENTS_AND_CONTINGENCIE
8. COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Dec. 31, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
COMMITMENTS AND CONTINGENCIES | ' |
Lease Commitment | |
During the prior fiscal year the Company, through its subsidiary Wireless Village dba/Janus Cam, restructured its office leases such that it is no longer a tenant but rather a sub-tenant on a month-to-month basis for facilities located at 31 Airport Blvd. Suites G2, G3 and H. Although on a month-to-month basis, Janus Cam has agreed with the sub-landlord to assume the obligations under the lease and to pay rent directly to the landlord for the duration of the lease term, which expires in November 2014. | |
Upon expiration of its leases, the Company does not anticipate any difficulty in obtaining renewals or alternative space. Rent expense amounted to $18,595 and $11,387 for the six-month periods ended December 31, 2013 and 2012, respectively. | |
Litigation | |
On May 6, 2002, a default judgment was awarded to Brookside Investments Ltd. against, jointly and severally, Concierge, Inc., Allen E. Kahn, and The Whitehall Companies in the amount of $135,000 plus legal fees. As of May 7, 2012, the judgment had lapsed due to the passage of time and the creditor’s failure to renew. Although a new court action would be required by the plaintiff in order to seek legal remedies, the Company has accrued the amount of $135,000 in the accompanying financial statements as accrued expenses as of December 31, 2013. |
9_MAJOR_CUSTOMERS
9. MAJOR CUSTOMERS | 6 Months Ended |
Dec. 31, 2013 | |
Risks and Uncertainties [Abstract] | ' |
MAJOR CUSTOMERS | ' |
During the three and six months ended December 31, 2013 we sold to one significant customer whose purchases comprised $90,600. Net accounts receivable from this customer at December 31, 2013 were $90,600. This customer is not related to or affiliated with us. | |
During the three and six month periods ending December 31, 2013 there was no single customer who represented 10% or more of the Company’s total revenue. |
10_SUBSEQUENT_EVENTS
10. SUBSEQUENT EVENTS | 6 Months Ended |
Dec. 31, 2013 | |
Subsequent Events [Abstract] | ' |
SUBSEQUENT EVENTS | ' |
On January 24, 2014, prior to the due date of a note payable to an affiliate in the amount of $10,000, the note holder agreed to extend the due date to February 25, 2014. The extension of the due date was granted without penalty or increase in the original interest rate of 6% per annum. |
2_SUMMARY_OF_SIGNIFICANT_ACCOU
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
Accounting Principles | ' |
In the opinion of management, the accompanying balance sheets and related interim statements of income and comprehensive income, and cash flows include all adjustments, consisting only of normal recurring items, necessary for their fair presentation in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Interim results are not necessarily indicative of results for a full year. The information included in this Form 10-Q should be read in conjunction with information included in the Company’s 2013 Form 10-K filed on October 15, 2013 with the U.S. Securities and Exchange Commission. | |
Principles of Consolidation | ' |
The accompanying consolidated financial statements include the accounts of Concierge Technologies, Inc. (parent), and its wholly owned subsidiary, Wireless Village. All significant inter-company transactions and accounts have been eliminated in consolidation. A wholly owned subsidiary of the Company, Planet Halo was disposed during the year ended June 30, 2013 and has been eliminated from the three and six-month periods ending December 31, 2012 of the accompanying Condensed Consolidated Financial Statements for comparison purposes. | |
Use of Estimates | ' |
The preparation of consolidated financial statements is in conformity with accounting principles generally accepted in the United States of America which 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 financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |
Recent Accounting Pronouncements | ' |
Accounting Standards Update No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists: An unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The assessment of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. For example, an entity should not evaluate whether the deferred tax asset expires before the statute of limitations on the tax position or whether the deferred tax asset may be used prior to the unrecognized tax benefit being settled. The amendments in this Update do not require new recurring disclosures. ASU Topic No. 2013 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of this guidance is not expected to have a material impact on our consolidated financial statements. | |
Accounting Standards Update No. 2013-05, Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity: This ASU addresses the accounting for the cumulative translation adjustment when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. ASU Topic No. 2013-05 is effective for our fiscal year 2014, although early adoption is permitted. The adoption of this guidance is not expected to have a material impact on our consolidated financial statements. | |
FASB Accounting Standards Update No. 2013-02 | |
In February 2013, the FASB issued ASU No. 2013-02, which amends the authoritative accounting guidance under ASC Topic 220 “Comprehensive Income.” The amendments do not change the current requirements for reporting net income or other comprehensive income in financial statements. However, the amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under generally accepted accounting principles in the United States of America (“GAAP”) to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under GAAP that provide additional detail about those amounts. The amendments in this update are effective prospectively for reporting periods beginning after December 15, 2013. Early adoption is permitted. Adoption of this update is not expected to have a material effect on the Company’s consolidated results of operations or financial condition. |
4_PROPERTY_AND_EQUIPMENT_Table
4. PROPERTY AND EQUIPMENT (Tables) | 6 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Property and equipment | ' | ||||||||
Property and equipment consisted of the following as of December 31, 2013 and June 30, 2013: | |||||||||
31-Dec-13 | June 30, 2013 | ||||||||
Furniture & Office Equipment | $ | 15,392 | $ | 15,392 | |||||
Network Hardware & Software | 29,854 | 28,428 | |||||||
Total Fixed Assets | 45,246 | 43,820 | |||||||
Accumulated Depreciation | (32,434 | ) | (28,842 | ) | |||||
Total Fixed Assets, Net | $ | 12,812 | $ | 14,978 | |||||
5_RELATED_PARTY_TRANSACTIONS_T
5. RELATED PARTY TRANSACTIONS (Tables) | 6 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Related Party Transactions [Abstract] | ' | ||||||||
Current related party notes payable | ' | ||||||||
Current related party notes payable consist of the following: | |||||||||
31-Dec-13 | 30-Jun-13 | ||||||||
Notes payable to director/shareholder, noninterest-bearing, unsecured and payable on demand | 8,500 | 8,500 | |||||||
Notes payable to shareholder, interest rate of 10%, unsecured and payable on July 31, 2004 | 5,000 | 5,000 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 3,500 | 3,500 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 5,000 | 5,000 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 5,000 | 5,000 | |||||||
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 1,000 | 1,000 | |||||||
Notes payable to director/shareholder, interest rate of 6%, unsecured and payable on January 25, 2014 | 10,000 | - | |||||||
$ | 38,000 | $ | 28,000 |
7_ACCOUNTS_PAYABLE_AND_ACCRUED1
7. ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables) | 6 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Payables and Accruals [Abstract] | ' | ||||||||
Accounts payable and accrued expenses | ' | ||||||||
Accounts payable and accrued expenses consisted of the following: | |||||||||
31-Dec-13 | 30-Jun-13 | ||||||||
Accounts payable | $ | 481,962 | $ | 279,992 | |||||
Sales Tax reserve | 3,981 | 44,881 | |||||||
Accrued judgment | 135,000 | 135,000 | |||||||
Accrued interest | 25,902 | 19,351 | |||||||
Accrued Expenses | 12,959 | 24,500 | |||||||
Payroll Tax Liability | 12,289 | 19,049 | |||||||
Total | $ | 672,093 | $ | 522,773 |
3_GOING_CONCERN_Details_Narrat
3. GOING CONCERN (Details Narrative) (USD $) | 3 Months Ended | 6 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | |
Going Concern Details Narrative | ' | ' | ' | ' | ' |
Accumulated deficit | $4,701,294 | ' | $4,701,294 | ' | $4,573,889 |
Net Loss attributable to Concierge Technologies | ($74,863) | ($73,040) | ($127,404) | ($109,456) | ' |
4_PROPERTY_AND_EQUIPMENT_Detai
4. PROPERTY AND EQUIPMENT (Details) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
Property And Equipment Details | ' | ' |
Furniture & Office Equipment | $15,392 | $15,392 |
Network Hardware & Software | 29,854 | 28,428 |
Total Fixed Assets | 45,246 | 43,820 |
Accumulated Depreciation | -32,434 | -28,842 |
Total Fixed Assets, Net | $12,812 | $14,978 |
4_PROPERTY_AND_EQUIPMENT_Detai1
4. PROPERTY AND EQUIPMENT (Details Narrative) (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Property And Equipment Details Narrative | ' | ' |
Depreciation expense | $3,592 | $1,697 |
5_RELATED_PARTY_TRANSACTIONS_D
5. RELATED PARTY TRANSACTIONS (Details) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
Related Party Transactions Details | ' | ' |
Notes payable to director/shareholder, noninterest-bearing, unsecured and payable on demand | $8,500 | $8,500 |
Notes payable to shareholder, interest rate of 10%, unsecured and payable on July 31, 2004 | 5,000 | 5,000 |
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012Notes payable to shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 3,500 | 3,500 |
Notes payable to director/shareholder, interest rate of 8Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012%, unsecured and payable on December 31, 2012 | 5,000 | 5,000 |
Notes payable to shareholder, interest Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012rate of 8%, unsecured and payable on December 31, 2012 | 5,000 | 5,000 |
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on December 31, 2012 | 1,000 | 1,000 |
Notes payable to director/shareholder, interest rate of 6%, unsecured and payable on January 25, 2014 | 10,000 | ' |
Notes payable - related parties | $38,000 | $28,000 |
5_RELATED_PARTY_TRANSACTIONS_D1
5. RELATED PARTY TRANSACTIONS (Details Narrative) (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Related Party Transactions [Abstract] | ' | ' |
Interest expense | $6,090 | $7,089 |
7_ACCOUNTS_PAYABLE_AND_ACCRUED2
7. ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
Accounts Payable And Accrued Expenses Details | ' | ' |
Accounts payable | $481,962 | $279,992 |
Tax reserve | 3,981 | 44,881 |
Accrued judgment | 135,000 | 135,000 |
Accrued interest | 25,902 | 19,351 |
Accrued Expenses | 12,959 | 24,500 |
Payroll tax liability | 12,289 | 19,049 |
Total | $672,093 | $522,773 |
8_COMMITMENTS_AND_CONTINGENCIE1
8. COMMITMENTS AND CONTINGENCIES (Details Narrative) (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Commitments And Contingencies Details Narrative | ' | ' |
Rent expense | $18,595 | $11,387 |