Trycera Financial 10-Q 24 Nov 15 2015 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Nov. 23, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	Trycera Financial, Inc.
Document Type	10-Q
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		15,858,007
Amendment Flag	false
Entity Central Index Key	1,117,045
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Smaller Reporting Company
Entity Well-known Seasoned Issuer	No
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3

Balance Sheets

Balance Sheets - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Current Assets
Cash	$ 250	$ 0
Prepaid expenses and other current assets	16,913	190,649
Total Current Assets	17,163	190,649
Property & Equipment, net	3,164	4,759
Total Fixed Assets	3,164	4,759
Total Assets	20,327	195,408
Current Liabilities
Checks drawn in excess of bank balance	0	348
Accounts payable	315,408	749,666
Accounts payable - related parties	137,145	179,565
Portfolio reserves	0	34,774
Accrued expenses	1,048,000	2,180,765
Debt settlement liability, net	147,500	141,355
Derivative liability	19,000	100,000
Unsecured notes, current maturities	222,478	94,448
Convertible notes payable, net of discounts, current maturities	638,042	713,042
Total Current Liabilities	2,527,573	4,193,963
Long-term Liabilities
Unsecured notes, less current maturities	10,000	138,030
Total Long-term Liabilities	10,000	138,030
Total Liabilities	2,537,573	4,331,993
Stockholders’ Deficit
Preferred stock, 20,000,000 shares authorized, $.001 par value; none issued and outstanding	0	0
Common stock, 500,000,000 shares authorized at $.001 par value; 15,858,007 and 667,673 shares issued and outstanding, respectively	15,858	668
Additional paid in capital	23,214,064	11,086,696
Accumulated deficit	(25,747,168)	(15,223,949)
Total Stockholders’ Deficit	(2,517,246)	(4,136,585)
Total Liabilities & Stockholders’ Deficit	$ 20,327	$ 195,408

Balance Sheets (Parentheticals)

Balance Sheets (Parentheticals) - $ / shares	Sep. 30, 2015	Dec. 31, 2014
Preferred stock, par value (in Dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	20,000,000	20,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in Dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares issued	15,858,007	667,673
Common stock, shares outstanding	15,858,007	667,673

Statement of Operations (Unaudi

Statement of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenues	$ 237	$ 4,907	$ 10,152	$ 16,483
	237	4,907	10,152	16,483
Cost of Sales	313	133	554	812
Gross Profit (loss)	(76)	4,774	9,598	15,671
Expenses
Salaries and wages	23,840	125,280	9,769,237	396,437
Professional fees	3,574	9,015	115,803	27,015
Other selling, general and administrative	49,697	14,258	246,014	103,740
Total Expenses	77,111	148,553	10,131,054	527,192
Loss from Operations	(77,187)	(143,779)	(10,121,456)	(511,521)
Other Income (Expense)
Derivative liability income (loss)	(2,815)	0	81,000	0
Gain (loss) on extinguishment of debt	580,413	0	(407,359)	0
Interest expense	(23,302)	(25,948)	(75,404)	(76,395)
Total Other Income (Expense)	554,296	(25,948)	(401,763)	(76,395)
Income (loss) before taxes	477,109	(169,727)	(10,523,219)	(587,916)
Income tax provision	0	0	0	0
Net Loss	$ 477,109	$ (169,727)	$ (10,523,219)	$ (587,916)
Income (Loss) Per Share:
Income (loss) per share - diluted (in Dollars per share)	$ 0.03	$ (0.26)	$ (1)	$ (0.91)
Income (loss) per share - basic (in Dollars per share)	$ 0.03	$ (0.26)	$ (1)	$ (0.91)
Weighted Average Shares (in Shares)	15,855,040	658,126	10,552,947	648,069

Statements of Cash Flows (Unaud

Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash Flows from Operating Activities
Net Loss	$ (10,523,219)	$ (587,916)
Adjustments to reconcile net loss to net cash used by operations:
Depreciation and amortization	1,595	1,597
Amortization of prepaid stock - consultants	9,025	67,671
Amortization of prepaid stock - employees	164,711	275,040
Amortization of discount on note payable	6,145	118
(Gain) Loss on extinguishment of debt	407,359	0
Derivative liability (income) expense	(81,000)	0
Stock issued for services	9,601,480	120,881
Changes in operating assets and liabilities:
Increase (decrease) in accounts payable – related party	(42,420)	0
Increase (decrease) in accounts payable	111,381	(1,793)
Increase (decrease) in accrued expenses	(29,459)	32,167
Net Cash provided by (used by) Operating Activities	(374,402)	(92,235)
Cash Flows from Financing Activities
Proceeds from sale of common stock	375,000	0
Proceeds from issuance of notes payable – related party	7,000	0
Repayments of notes payable – related party	(7,000)	0
Proceeds from issuance of notes payable	10,000	88,030
Repayments of notes payable	(10,000)	0
(Increase) decrease in checks drawn in excess of bank balance	(348)	361
Net Cash Provided (Used by) Financing Activities	374,652	88,391
Net Increase (Decrease) in Cash and Cash Equivalents	250	(3,844)
Cash and Cash Equivalents at Beginning of Period	0	4,031
Cash and Cash Equivalents at End of Period	250	187
Cash Paid For:
Interest	0	0
Income Taxes	0	0
Non-Cash Financing Activities:	$ 0	$ 0

NOTE 1 - GENERAL

NOTE 1 - GENERAL	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]	NOTE 1 – GENERAL The accompanying condensed financial statements of the Company have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations. These condensed financial statements reflect all adjustments (consisting only of normal recurring adjustments) that, in the opinion of management, are necessary to present fairly the results of operations of the Company for the periods presented. These condensed financial statements should be read in conjunction with the financial statements and the notes thereto included in the Company’s Form 10-K for the year ended December 31, 2014. The results of operations for the nine months ended September 30, 2015, are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2015. The preparation of the financial statements in conformity with generally accepted accounting principles, in the United States of America, require management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Debt Extinguishment Income The Company recognized gains from the extinguishment of debt to creditors for negotiated settlements as well as the lapsing of the statute of limitations as debt extinguishment income in the period of the settlement or the period in which the statute of limitations expires. Income (Loss) per Share Basic earnings per share amounts are calculated based on the weighted average number of shares of common stock outstanding during each period. Diluted earnings per share is based on the weighted average numbers of shares of common stock outstanding for the periods, including dilutive effects of stock options, warrants granted and convertible preferred stock. Dilutive options and warrants that are issued during a period or that expire or are canceled during a period are reflected in the computations for the time they were outstanding during the periods being reported. Effects of Recently Issued Accounting Pronouncements The Company has reviewed all recently issued accounting pronouncements noting that they do not affect the financial statements.

NOTE 2 - GOING CONCERN

NOTE 2 - GOING CONCERN	9 Months Ended
	Sep. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Substantial Doubt about Going Concern [Text Block]	NOTE 2 – GOING CONCERN The Company has had recurring operating losses since inception and is dependent upon financing to continue operations. These factors indicate that the Company may be unable to continue in existence should immediate and short term financing options not be available. These 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 the Company cannot continue its existence. These financial statements do not include any adjustments that might result from the outcome of this uncertainty. Currently the Company has minimal cash on hand and few material assets outside key intellectual property. In addition, the Company has not established or maintained a recurring source of revenues to sufficiently cover or offset any current, anticipated or planned operating costs to allow it to continue as a going concern. It is the intent of the Company to find additional capital funding, grow revenues organically through new program launches and marketing campaigns, and/or a profitable business venture to acquire or merge.

NOTE 3 - CONTINGENCIES

NOTE 3 - CONTINGENCIES	9 Months Ended
	Sep. 30, 2015
Loss Contingency [Abstract]
Contingencies Disclosure [Text Block]	NOTE 3 – CONTINGENCIES The Company has not accrued various employee base salaries approximating $800,000 during 2014, and $450,000 during the nine months ended September 30, 2015. This was primarily due to either a voluntary furlough, or implied breach of contract by the employees and the Company, as the respective employees had not worked forty hours per week (as required by the employment agreements) because the work had not been available due to the Company’s inability to sustain consistent, profitable operations. Management has assessed the likelihood of the employees pursuing and successfully claiming base salaries as reasonably possible, and has thus elected to disclose but not record these salaries, in accordance with ASC 450-20 Loss Contingencies. In January 2012, the Company received Notices of Claim from two former employees seeking back-wages of approximately $240,000 pursuant to the Company’s alleged breach of their employment agreements. In October 2013, the Company filed counter claims against the employees claiming, among other violations, breach of contract and fraud. The Company is seeking damages in excess of the back-wages, and cannot determine at this time, the amount or likelihood of any gains or losses that may result from these claims. On June 30, 2015, the Company and one of the two former employees reached a Settlement Agreement and reduced the outstanding liability by approximately $122,000 dollars leaving an approximate liability totaling $118,000 plus any interest and penalties.

NOTE 4 - SUBSEQUENT EVENTS

NOTE 4 - SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2015
Subsequent Events [Abstract]
Subsequent Events [Text Block]	NOTE 4 – SUBSEQUENT EVENTS Pursuant to FASB ASC 855-10-50-1, the Company has evaluated subsequent events through the date these financial statements to be issued. Accordingly the following material events occurred subsequent to the quarter ended September 30, 2015: None.

Accounting Policies, by Policy

Accounting Policies, by Policy (Policies)	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Debt, Policy [Policy Text Block]	Debt Extinguishment Income The Company recognized gains from the extinguishment of debt to creditors for negotiated settlements as well as the lapsing of the statute of limitations as debt extinguishment income in the period of the settlement or the period in which the statute of limitations expires.
Earnings Per Share, Policy [Policy Text Block]	Income (Loss) per Share Basic earnings per share amounts are calculated based on the weighted average number of shares of common stock outstanding during each period. Diluted earnings per share is based on the weighted average numbers of shares of common stock outstanding for the periods, including dilutive effects of stock options, warrants granted and convertible preferred stock. Dilutive options and warrants that are issued during a period or that expire or are canceled during a period are reflected in the computations for the time they were outstanding during the periods being reported.
New Accounting Pronouncements, Policy [Policy Text Block]	Effects of Recently Issued Accounting Pronouncements The Company has reviewed all recently issued accounting pronouncements noting that they do not affect the financial statements.

NOTE 3 - CONTINGENCIES (Details

NOTE 3 - CONTINGENCIES (Details) - USD ($)	Jun. 30, 2015	Jan. 31, 2012	Sep. 30, 2015	Dec. 31, 2014
Accrued Base Salaries [Member]
NOTE 3 - CONTINGENCIES (Details) [Line Items]
Loss Contingency, Estimate of Possible Loss			$ 800,000	$ 450,000
Loss Contingency, Not Accrued, Description			employees had not worked forty hours per week (as required by the employment agreements) because the work had not been available due to the Company’s inability to sustain consistent, profitable operations
Back Wages [Member]
NOTE 3 - CONTINGENCIES (Details) [Line Items]
Loss Contingency, Estimate of Possible Loss			$ 118,000
Loss Contingency, Damages Sought		$ 240,000
Loss Contingency Accrual, Period Increase (Decrease)	$ 122,000