FonU2 (FONU) 10-Q 19 Feb 15 2015 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Dec. 31, 2014
Document and Entity Information:
Entity Registrant Name	FONU2 Inc.
Document Type	10-Q
Document Period End Date	31-Dec-14
Amendment Flag	FALSE
Entity Central Index Key	1168325
Current Fiscal Year End Date	-21
Entity Common Stock, Shares Outstanding	15,019,357
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	Yes
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q1

FONU2_Inc_and_Subsidiary_Conso

FONU2, Inc. and Subsidiary - Consolidated Balance Sheets (USD $)	Dec. 31, 2014	Sep. 30, 2014
Current assets
Cash	$44,793	$15,643
Inventory	7,510	9,007
Prepaid expenses	10,263	31,516
Total current assets	62,566	56,166
Property and Equipment, net	13,029	14,157
Other Assets
Film production contract		0
Security deposits	2,285	2,285
Total Other Assets	2,502,285	2,285
Total Assets	2,577,880	72,608
Current liabilities
Accounts payable and accrued expenses	15,342	7,866
Accrued interest payable	30,689	32,208
Payroll and payroll tax liabilities	11,662	10,002
Derivative liability	43,568	247,880
Notes payable		19,000
Convertible notes payable, net	61,887	195,320
Related party payable	18,000	18,000
Total Current Liabilities	270,148	530,276
Non-Current Liabilities
Notes payable	25,000	25,000
Total Non-Current Liabilities	25,000	25,000
Total Liabilities	295,148	555,276
Stockholders' Equity
Preferred stock series A; 20,000,000 shares authorized, at $0.01 par value, 0 and 0 shares issued and outstanding, respectively	0	0
Preferred stock series B; 20,000,000 shares authorized, at $0.01 par value, 6,250 and 0 shares issued and outstanding, respectively		0
Common stock; 2,000,000,000 shares authorized, at $0.001 par value, 2,703,924 and 312,284 shares issued and outstanding, respectively	2,704	312
Additional Paid-In Capital	43,112,009	39,918,053
Deficit accumulated during the development stage	-40,831,987	-40,401,033
Total stockholders' equity	2,282,732	-482,668
Total liabilities and stockholders' equity	2,577,880	72,608
Unaudited
Current assets
Cash	44,793
Inventory	7,510
Prepaid expenses	10,263
Total current assets	62,566
Property and Equipment, net	13,029
Other Assets
Film production contract	2,500,000
Security deposits	2,285
Total Other Assets	2,502,285
Total Assets	2,577,880
Current liabilities
Accounts payable and accrued expenses	15,342
Accrued interest payable	30,689
Payroll and payroll tax liabilities	11,662
Derivative liability	43,568
Notes payable	89,000
Convertible notes payable, net	61,887
Related party payable	18,000
Total Current Liabilities	270,148
Non-Current Liabilities
Notes payable	25,000
Total Non-Current Liabilities	25,000
Total Liabilities	295,148
Stockholders' Equity
Preferred stock series A; 20,000,000 shares authorized, at $0.01 par value, 0 and 0 shares issued and outstanding, respectively	0
Preferred stock series B; 20,000,000 shares authorized, at $0.01 par value, 6,250 and 0 shares issued and outstanding, respectively	6
Common stock; 2,000,000,000 shares authorized, at $0.001 par value, 2,703,924 and 312,284 shares issued and outstanding, respectively	2,704
Additional Paid-In Capital	43,112,009
Deficit accumulated during the development stage	-40,831,987
Total stockholders' equity	2,282,732
Total liabilities and stockholders' equity	$2,577,880

FONU2_Inc_and_Subsidiary_Conso1

FONU2, Inc. and Subsidiary - Consolidated Statement of Operations - For the Three Months Ended December 31, 2014 and 2013 - (Unaudited) (USD $)	3 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Income statement
Revenue	$117,285	$85,096
Cost of sales	42,955	32,864
Gross profit	74,330	52,232
Operating expenses:
Depreciation	1,128	1,128
Product development	4,124	235,819
Compensation	42,052	38,870
Professional fees	59,217	108,385
General and administrative	56,412	26,829
Total operating expenses	162,933	411,031
Loss from operations	-88,603	-358,799
Other Expenses
Interest expenses	-104,615	-112,623
Gain on settlement of debt	2,090	5,719
Gain (loss) on derivative liability	-239,826	673,835
Total Other Expenses	-342,351	566,931
Income (loss) Before Income Taxes	-430,954	208,132
Taxation (Benefit)	0	0
Net (loss)	($430,954)	$208,132
Basic and Diluted Income (Loss) Per Share	($0.37)	$1.19
Weighted Average Number of Common Shares Outstanding	1,172,298	174,831

FONU2_Inc_and_Subsidiary_Conso2

FONU2, Inc. and Subsidiary - Consolidated Statements of Cash Flows - For the Three Months Ended December 31, 2014 and 2013 - (Unaudited) (USD $)	3 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Cash flows from operating activities
Net (loss)	($430,954)	$208,132
Adjustments to reconcile loss to cash flows from operating activities:
Depreciation	1,128	1,128
Amortization of debt discount	98,904	89,320
Gain on derivative liability	239,826	-673,835
Stock-based compensation	14,739	0
Gain on settlement of debt	-2,090	-5,719
Changes in operating assets and liabilities
Inventory	1,497	0
Prepaid expenses	21,344	70,274
Accounts payable and accrued liabilities	14,756	2,208
Net cash used in operating activities	-40,850	-308,492
Cash flows used in investing activities
Purchase of fixed assets	0	-4,919
Net cash provided by investing activities	0	-4,919
Cash flows from financing activities
Cash received on convertible notes payable	0	0
Repayments on convertible notes payable	0	-53,000
Cash received on notes payable	70,000	195,000
Common stock issued on exercise of warrants	0	90,000
Common and preferred stock issued for cash	0	130,000
Net cash provided by financing activities	70,000	362,000
Net increase / (decrease) in cash	29,150	48,589
Cash at beginning of the year	15,643	54,197
Cash at end of year	44,793	102,786
Supplemental cash flow information: Cash Paid For:
Interest	0	0
Income taxes	0	0
Non-Cash Investing Activities:
Common stock issued for convertible notes payable and other debts	237,477	0
Write off of derivative liability into additional paid in capital	444,138	0
Preferred stock issued in acquisition of subsidiary	$2,500,000	$0

Note_1_Condensed_Financial_Sta

Note 1 - Condensed Financial Statements	3 Months Ended
	Dec. 31, 2014
Notes
Note 1 - Condensed Financial Statements	NOTE 1 - CONDENSED FINANCIAL STATEMENTS
	The accompanying financial statements have been prepared by the Company without audit.  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at December 31, 2014 and for all periods presented herein, have been made.
	Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted.  It is suggested that these condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company's September 30, 2014 audited financial statements.  The results of operations for the periods ended December 31, 2014 are not necessarily indicative of the operating results for the full year.

Note_2_Going_Concern

Note 2 - Going Concern	3 Months Ended
	Dec. 31, 2014
Notes
Note 2 - Going Concern	NOTE 2 - GOING CONCERN
	The Company's financial statements are prepared using generally accepted accounting principles in the United States of America applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern.  During the three months ended December 31, 2014 the Company realized a net loss of $(430,954), used $(40,850) in cash from operating activities and had a working capital deficit of $207,582. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain adequate capital, it could be forced to cease operations.
	In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management's plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking equity and/or debt financing. However management cannot provide any assurances that the Company will be successful in accomplishing any of its plans.
	The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

Note_3_Convertible_Notes_Payab

Note 3 - Convertible Notes Payable	3 Months Ended
	Dec. 31, 2014
Notes
Note 3 - Convertible Notes Payable	NOTE 3 – CONVERTIBLE NOTES PAYABLE
	As of December 31, 2014 and September 30, 2014, the Company had total of $61,887 and $195,320 in outstanding convertible notes payable respectively:
				31-Dec-14								30-Sep-14
	Convertible Debt	Note Date	Maturity Date	Face value						Net		Face value						Net
						Discount								Discount
	Loan #1	11/6/13	8/8/14	$	-	$	-			$	-	$	51,560	$	-			$	51,560
	Loan #2	1/24/14	10/28/14		16,265		-				16,265		78,500			(23,290	)		55,210
	Loan #3	4/11/14	4/11/14		29,500		(12,122		)		17,378		103,000			(54,463	)		48,537
	Loan #4	11/13/13	11/12/15		49,948			(21,704	)		28,244		-			-			-
	Long-term
	Loan # 5				-			-			-		94,990			(54,977	)		40,013
				$	95,713	$		(33,826	)	$	61,887	$	328,050	$		(132,730	)	$	195,320
	On November 6, 2013 the Company entered into a convertible promissory note with an unrelated third party whereby the Company borrowed $128,500, with initial debt discount of $18,500.  The principal accrues interest at a rate of eight percent per annum and is due in full on August 8, 2014.  The note became convertible on May 5, 2014 at a 42 percent discount to the average of the three lowest closing prices during the ten day period prior to conversion.  The note will accrue interest at a rate of 22 percent per annum should the Company default. The Company analyzed the conversion option for derivative accounting consideration under ASC 815-15 “Derivatives and Hedging” and determined that the derivative instrument should be classified as a liability once the conversion option becomes effective due to there being no explicit limit to the number of shares to be delivered upon settlement of the above conversion options.  During the year ended September 30, 2014 the lender converted $76,940 of the note principal into 15,415,891 shares of the Company’s common stock.  As of September 30, 2014 the remaining principal balance on this note was $51,560.  During the three months ended December 31, 2014 the lender converted the remaining $51,560 note principal plus $5,140 in accrued interest into a total of 115,816,546 shares of the Company’s common stock.  Pursuant to this transaction, the Company recorded a gain on settlement of debt in the amount of $2,090.
	On November 13, 2013 the Company entered into a promissory note with an unrelated third party whereby the Company agreed to borrow a maximum of $300,000.  Each borrowing under the terms of the note, along with specific accrued interest is due two years from the date the specific funds are received by the Company. All borrowings under the terms of this note are subject to a 10% original issue discount such that the consideration due back to the lender is equal to cash proceeds actually received plus ten percent of the amount borrowed. Through September 30, 2014, the Company had borrowed $137,500, with initial debt discount of $12,500 pursuant to this promissory note. The note is exempt from interest for the 90 days after the note date; after 90 days the unpaid principal balance shall accrue interest at a rate of 12 percent per annum.  The note became convertible into shares of the Company’s common stock on May 12, 2014 at 60 percent of the lowest trade price in the 25 trading days previous to the conversion. The Company analyzed the conversion option for derivative accounting consideration under ASC 815-15 “Derivatives and Hedging” and determined that the derivative instrument should be classified as a liability once the conversion option becomes effective due to there being no explicit limit to the number of shares to be delivered upon settlement of the above conversion options.  During the year ended September 30, 2014 the lender converted $42,510 of the note principal into 9,700,000 shares of the Company’s common stock.  As of September 30, 2014 the remaining principal balance on this note was $94,990.  During the three months ended December 31, 2014 the lender converted $45,042 of note principal into 185,700,000 shares of the Company’s common stock.  As of December 31, 2014 the remaining principal balance of the note was $49,948, with $10,661 in accrued interest.
	On April 11, 2014 the Company entered into a convertible promissory note with an unrelated third party, wherein the Company borrowed $103,000. The principal accrues interest at a rate of eight percent per annum and is due in full on April 11, 2015.  The note is convertible at the option of the holder at any point after the note date at a 40 percent discount to the average of the three lowest closing prices during the ten day period prior to conversion.  The note will accrue interest at a rate of 22 percent per annum should the Company default. The Company analyzed the conversion option for derivative accounting consideration under ASC 815-15 “Derivatives and Hedging” and determined that the derivative instrument should be classified as a liability when the conversion option became effective after the note date due to there being no explicit limit to the number of shares to be delivered upon settlement of the above conversion options.  As of September 30, 2014 the principal balance on this note remained at $103,000.  During the three months ended December 31, 2014, the lender converted $73,500 in note principal into 283,529,413 shares of common stock.  As of December 31, 2014 the remaining principal balance on the note was $29,500, with $1,336 in accrued interest.
	On January 24, 2014 the Company entered into a Securities Purchase Agreement with an unrelated third-party entity in connection with a convertible note whereby the Company borrowed $78,500.  The note principal bears interest at a rate of eight percent per annum and will accrue interest at a rate of 22 percent per annum should the Company default.  The note principal and any unpaid accrued interest is due in full on or before October 28, 2014.  The note is convertible at the option of the holder at any point at least 180 days from the note date at a 42 percent discount to the average of the three lowest closing prices during the ten day period prior to conversion.  As of September 30, 2014 the full principal balance, along with accrued interest of $4,284, remained outstanding.  During the three months ended December 31, 2014, the lender converted $62,235 in note principal into 341,825,080 shares of common stock.  As of December 31, 2014, the remaining principal balance of the note was $16,265, with $5,240 in accrued interest.
	During the year ended September 30, 2014, the Company recorded debt discounts totaling $516,794, and amortized a total $416,125 to interest expense, leaving total unamortized debt discounts of $132,730 as of September 30, 2014.  During the three months ended December 31, 2014, the Company recorded no new debt discounts and amortized a total of $98,904 to interest expense, leaving total unamortized debt discounts of $33,826 as of December 31, 2014.

Note_4_Notes_Payable

Note 4 - Notes Payable	3 Months Ended
	Dec. 31, 2014
Notes
Note 4 - Notes Payable	NOTE 4 – NOTES PAYABLE
	As of December 31, 2014 and September 30, 2014, the Company had total of $89,000 and $19,000 in outstanding notes payable respectively.
				31-Dec-14					30-Sep-14
	Notes Payable	Note Date	Maturity Date	Face value		Discount	Net		Face value		Discount	Net
	Current
	Loan # 1	5/1/12	Demand		19,000	-		19,000		19,000	-		19,000
	Loan # 2	12/22/14	12/22/15		50,000	-		50,000		-	-		-
	Loan # 3	12/31/14	12/31/15		20,000	-		20,000		-	-		-
	Long-Term
	Loan # 4	8/26/14	8/25/17		25,000	-		25,000		25,000	-		25,000
					89,000	-		89,000		19,000	-		19,000
	On May 1, 2012 the Company entered into a loan agreement with an unrelated third party. The note principal bears interest at a rate of 10 percent per annum and due on demand. At September 30, 2014 the entire $19,000 principal balance remained outstanding, along with $3,800 in accrued interest.  As of December 31, 2014 accrued interest on the note totaled $4,758.
	On December 22, 2014 the Company entered into a Convertible Redeemable Note Agreement with an unrelated third party.  Pursuant to the terms of the note, the Company borrowed $50,000 from the lender, which accrues interest at a rate of eight percent per annum, and is due on December 22, 2015.  The note is convertible at the option of the lender at any time after the six month anniversary of the note, at the lower of 70 percent of the thirty-day volume weighted average trading price of the Company’s common stock, or $0.0003 per share.  As of December 31, 2014 the outstanding principal balance on the note was $50,000, with accrued interest of $99 .
	On December 31, 2014 the Company entered into a Convertible Redeemable Note Agreement with an unrelated third party.  Pursuant to the terms of the note, the Company borrowed $20,000 from the lender, which accrues interest at a rate of eight percent per annum, and is due on December 31, 2015.  The note is convertible at the option of the lender at any time after the six month anniversary of the note, at $0.001 per share.  As of December 31, 2014 accrued interest on the note totaled $39 .  Accrued interest on convertible redeemable note agreement with an unrelated third party
	On August 26, 2014 the Company entered into a $25,000 convertible debenture note agreement with an unrelated third party.  The note accrues interest at a rate of 12 percent per annum and is due on August 25, 2017.  Pursuant to the terms of the note, the principal can be converted into shares of the Company’s common stock, at the option of the lender, at any time after six months and up to one year from the note date at a 20 percent discount to the market price of the shares.  The discount will be 25 percent if converted between one and two years, and will be 30 percent if converted after two years.  The maximum conversion price will be $0.50 per share.  As of December 31, 2014, the entire principal balance remained outstanding and accrued interest on the note totaled $379.

Note_5_Related_Party_Notes_Pay

Note 5 - Related Party Notes Payable	3 Months Ended
	Dec. 31, 2014
Notes
Note 5 - Related Party Notes Payable	NOTE 5 – RELATED PARTY NOTES PAYABLE
	On August 5, 2014 the Company borrowed $18,000 from a related party in the form of a note payable.  The note accrues interest at a rate of 12 percent per annum, is unsecured, and is due on demand.

Note_6_Fair_Value_Measurements

Note 6 - Fair Value Measurements	3 Months Ended
	Dec. 31, 2014
Notes
Note 6 - Fair Value Measurements	NOTE 6 – FAIR VALUE MEASUREMENTS
	As defined in FASB ASC 820, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The Company utilized the market data of similar entities in its industry or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable. The Company classifies fair value balances based on the observability of those inputs. FASB ASC 820 establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurement) and lowest priority to unobservable inputs (level 3 measurement).
	The three levels of the fair value hierarchy are as follows:
	Level 1    –    Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of financial instruments such as exchange-traded derivatives, marketable securities and listed equities.
	Level 2    –    Pricing inputs are other than quoted prices in active markets included in level 1, which are either directly or indirectly observable as of the reported date.
	Level 3    –    Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value.
	The following table sets forth by level within the fair value hierarchy the Company’s financial assets and liabilities that were accounted for at fair value as December 31, 2014.
	Recurring Fair Value Measures	Level 1		Level 2		Level 3		Total
	LIABILITIES:
	Derivative liability		--		--		43,568		43,568

Note_7_Derivative_Instruments

Note 7 - Derivative Instruments	3 Months Ended
	Dec. 31, 2014
Notes
Note 7 - Derivative Instruments	NOTE 7 – DERIVATIVE INSTRUMENTS
	During 2013, the Company issued debt instruments that were convertible into common stock at a 42 percent discount to the average of the three lowest closing prices during the ten day period prior to conversion. During the year ended September 30, 2014 the Company issued additional debt instruments under the same terms, as well as additional debt instruments convertible into common stock at a 40% discount to the lowest trading price in the 25 trading days previous to conversion, 60% discount to the average of the three lowest closing prices during the ten day period prior to conversion.  The conversion options embedded in these instruments contain no explicit limit to the number of shares to be issued upon settlement and as a result are classified as liabilities under ASC 815. Additionally, because the number of shares to be issued upon settlement is indeterminate, all other share settle-able instruments must also be classified as liabilities. A debt discount of $168,902 was recorded as a result of these derivative liabilities, $136,841 of which was amortized into interest expense for the year ended September 30, 2013.  During the period ended September 30, 2014, debt discount of $516,794 was recorded as a result of new derivative liabilities, $416,125 of which was amortized into interest expense for the period ending September 30, 2014.  During the three months ended December 31, 2014, $98,904 of the debt discount was amortized to interest expense.
	During the year ended September 30, 2014 and the three months ended December 31, 2014, certain notes payable were converted resulting in settlement of the related derivative liabilities.  The Company re-measured the embedded conversion options at fair value on the date of settlement and recorded these amounts to additional paid-in capital.
	The following table summarizes the changes in the derivative liabilities during the period ended December 31, 2014:
	Ending balance as of September 30, 2014	$	247,880
	Additions due to new convertible debt and warrants issued		-
	Reclassification of derivative liabilities to additional paid-in capital due to conversion of debt		-444,138
	Change in fair value		239,826
	Ending balance as of December 31, 2014	$	43,568
	The Company uses the Black Scholes Option Pricing Model to value its derivatives based upon the following assumptions: dividend yield of -0-%, volatility of 196-472%, risk free rate of 0.11-0.18% and an expected term of 0.10 to one year.

Note_8_Equity_Activity

Note 8 - Equity Activity	3 Months Ended
	Dec. 31, 2014
Notes
Note 8 - Equity Activity	NOTE 8 – EQUITY ACTIVITY
	Common Stock
	During the three months ended December 31, 2014, the Company issued an aggregate of 2,317,178 post-split shares (926,871,039 pre-split shares) of common stock of common stock upon the conversion and partial conversion of $237,477 in convertible debts.  In addition, the Company issued an aggregate of 74,463 post-split shares (29,785,000 pre-split shares) of common stock for $14,739 in services rendered.
	Preferred Stock
	On December 7, 2014 the Company authorized the creation of Series B preferred stock.  The Series B preferred stock has liquidation preference, and each share of Series B preferred stock carries voting rights equivalent to that of five hundred shares of common stock.  In addition, the Series B preferred stock is convertible into shares of common stock at the option of the shareholder at a rate of ten common shares for every share of Series B preferred stock.
	On December 7, 2014 the Company issued 6,250 post-split shares (2,500,000 pre-split shares) of Series B preferred stock in order to complete the acquisition of Studioplex City, LLC.  The shares were valued at $400 per post-split share ($1.00 per pre-split share).
	Reverse Stock-Split
	On December 22, 2014 the Company authorized a reverse-split of its outstanding common stock on a one-share-for-400-shares basis.  All references to common stock in these financial statements have been retroactively restated so as to account for the effects of this reverse-split.

Note_9_Acquisition_of_Studiopl

Note 9 - Acquisition of Studioplex City, Llc	3 Months Ended
	Dec. 31, 2014
Notes
Note 9 - Acquisition of Studioplex City, Llc	NOTE 9 – ACQUISITION OF STUDIOPLEX CITY, LLC
	On December 7, 2014 the Company acquired 100% of the outstanding membership interests of Sudioplex City, LLC (“Studioplex”).  The acquisition was consummated pursuant to an agreement whereby the Company’s wholly-owned subsidiary, Studioplex City Acquisition Corp (“Acquisition Corp”), purchased the membership interests of Studioplex for $2,500,000, which was paid in the form of 6,250 post-split shares (2,500,000 pre-split shares) of the Company’s Series B preferred stock.

Note_10_Subsequent_Events

Note 10 - Subsequent Events	3 Months Ended
	Dec. 31, 2014
Notes
Note 10 - Subsequent Events	NOTE 10 – SUBSEQUENT EVENTS
	On February 10, 2015 the Company entered into a Lease Purchase and Assignment Agreement with Medient Studios, Inc (a/k/a Moon River Studios) whereby the Company purchased a land lease relating to property predominantly in Effingham County, GA, along with various other assets of Medient.  As consideration for this purchase, the Company agreed to pay an aggregate of $10,000,000, payable by the issuance of ten million shares of the Company’s common stock, and the Company’s assumption of $10,000,000 of Medient liabilities.
	Subsequent to December 31, 2014 the Company issued 2,515,960 post-split shares of common stock upon the conversion and partial conversion of $55,603 in convertible notes payable.

Note_3_Convertible_Notes_Payab1

Note 3 - Convertible Notes Payable: Schedule of Convertible Notes Payable (Tables)	3 Months Ended
	Dec. 31, 2014
Tables/Schedules
Schedule of Convertible Notes Payable
				31-Dec-14								30-Sep-14
	Convertible Debt	Note Date	Maturity Date	Face value						Net		Face value						Net
						Discount								Discount
	Loan #1	11/6/13	8/8/14	$	-	$	-			$	-	$	51,560	$	-			$	51,560
	Loan #2	1/24/14	10/28/14		16,265		-				16,265		78,500			(23,290	)		55,210
	Loan #3	4/11/14	4/11/14		29,500		(12,122		)		17,378		103,000			(54,463	)		48,537
	Loan #4	11/13/13	11/12/15		49,948			(21,704	)		28,244		-			-			-
	Long-term
	Loan # 5				-			-			-		94,990			(54,977	)		40,013
				$	95,713	$		(33,826	)	$	61,887	$	328,050	$		(132,730	)	$	195,320

Note_6_Fair_Value_Measurements1

Note 6 - Fair Value Measurements: Recurring Fair Value Measures (Tables)	3 Months Ended
	Dec. 31, 2014
Tables/Schedules
Recurring Fair Value Measures
	Recurring Fair Value Measures	Level 1		Level 2		Level 3		Total
	LIABILITIES:
	Derivative liability		--		--		43,568		43,568

Note_7_Derivative_Instruments_

Note 7 - Derivative Instruments: Changes in the derivative liabilities (Tables)	3 Months Ended
	Dec. 31, 2014
Tables/Schedules
Changes in the derivative liabilities
	Ending balance as of September 30, 2014	$	247,880
	Additions due to new convertible debt and warrants issued		-
	Reclassification of derivative liabilities to additional paid-in capital due to conversion of debt		-444,138
	Change in fair value		239,826
	Ending balance as of December 31, 2014	$	43,568

Note_2_Going_Concern_Details

Note 2 - Going Concern (Details) (USD $)	3 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Details
Net (loss)	($430,954)	$208,132
Net cash used in operating activities	-40,850	-308,492
Working capital deficit	$207,582

Note_3_Convertible_Notes_Payab2

Note 3 - Convertible Notes Payable (Details) (USD $)	3 Months Ended	12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014
Details
Outstanding convertible notes payable	$61,887	$195,320
Note principal converted into shares	51,560	76,940
Shares issued upon conversion of promissory note	115,816,546	15,415,891
Remaining principal balance on convertible promissory note		51,560
Note principal converted into shares for promissory note	45,042	42,510
Shares issued upon conversion of note	185,700,000	9,700,000
Remaining principal balance on promissory note		94,990
Principal balance outstanding for unrelated third party convertible promissory note		103,000
Accrued interest on convertible note		4,284
Total unamortized debt discounts		$132,730

Note_4_Notes_Payable_Details

Note 4 - Notes Payable (Details) (USD $)	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014
Details
Outstanding notes payable	$89,000	$19,000
Outstanding notes payable		19,000
Accrued interest	4,758		3,800
Outstanding Principal Balance on Convertible Redeemable Note Agreement	50,000
Accrued interest on convertible redeemable note agreement	99
Accrued interest on convertible redeemable note agreement with an unrelated third party	39
Principal balance and accrued interest outstanding on convertible debenture note	$379

Note_5_Related_Party_Notes_Pay1

Note 5 - Related Party Notes Payable (Details) (USD $)	Aug. 05, 2014
Details
Related party borrowings	$18,000

Note_7_Derivative_Instruments_1

Note 7 - Derivative Instruments (Details) (USD $)	3 Months Ended	12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Sep. 30, 2013
Details
Debt discount recorded		$516,794	$168,902
Debt discount amortized to interest expense	$98,904

Note_8_Equity_Activity_Details

Note 8 - Equity Activity (Details) (USD $)	3 Months Ended
	Dec. 31, 2014	Dec. 07, 2014
Details
Common stock issued for services	2,317,178
Value of Convertible Debts	$237,477
Common shares issued for services rendered	74,463
Value of services rendered	14,739
Preferred shares issued for acquisition		6,250
Value of preferred shares issued		$400

Note_10_Subsequent_Events_Deta

Note 10 - Subsequent Events (Details)	Dec. 31, 2014
Details
Common shares issued upon conversion of notes payable	2,515,960