Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | ||
Aug. 31, 2014 | Nov. 06, 2014 | Feb. 28, 2014 | |
Document Information [Line Items] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Aug-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'MCTC | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 53,864,600 | ' |
Entity Registrant Name | 'MICROCHANNEL TECHNOLOGIES CORP | ' | ' |
Entity Central Index Key | '0001413488 | ' | ' |
Current Fiscal Year End Date | '--08-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Public Float | ' | ' | $256,725 |
BALANCE_SHEETS
BALANCE SHEETS (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
ASSETS | ' | ' |
Cash and cash equivalents | $51,744 | $21,135 |
Prepaid expenses | 0 | 241 |
Total current assets | 51,744 | 21,376 |
Total assets | 51,744 | 21,376 |
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) | ' | ' |
Accounts payable | 3,315 | 816 |
Total current liabilities | 3,315 | 816 |
Accrued interest | 3,141 | 0 |
Note payable to shareholder | 70,000 | 0 |
Total liabilities | 76,456 | 816 |
Stockholders' equity (deficit) | ' | ' |
Common stock: $0.0001 par value; 300,000,000 shares authorized, 53,864,600 issued and outstanding at August 31, 2014 and August 31, 2013 | 5,386 | 5,386 |
Additional paid-in capital | 556,711 | 556,711 |
Retained earnings (deficit) | -586,809 | -541,537 |
Total stockholders' equity (deficit) | -24,712 | 20,560 |
Total liabilities and stockholders' equity (deficit) | $51,744 | $21,376 |
BALANCE_SHEETS_Parenthetical
BALANCE SHEETS (Parenthetical) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
Common Stock, Par or Stated Value Per Share | $0.00 | $0.00 |
Common Stock, Shares Authorized | 300,000,000 | 300,000,000 |
Common Stock, Shares, Issued | 53,864,600 | 53,864,600 |
Common Stock, Shares, Outstanding | 53,864,600 | 53,864,600 |
STATEMENTS_OF_OPERATIONS
STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | |
Aug. 31, 2014 | Aug. 31, 2013 | |
Revenue | $0 | $0 |
Operating expenses | ' | ' |
Director and officer fees | 9,000 | 9,000 |
Professional fees | 31,424 | 31,860 |
Other operating expenses | 1,707 | 2,581 |
Total operating expenses | 42,131 | 43,441 |
Loss from operations | -42,131 | -43,441 |
Other income (expense) | ' | ' |
Interest expense | -3,141 | 0 |
Total other income (expense) | -3,141 | 0 |
Net loss | ($45,272) | ($43,441) |
Net loss per common share: basic | $0 | $0 |
Weighted average number of common shares outstanding: basic | 53,864,600 | 53,864,600 |
STATEMENTS_OF_STOCKHOLDERS_EQU
STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT) (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained earnings (deficit) [Member] |
Balance at Aug. 31, 2012 | $64,001 | $5,386 | $556,711 | ($498,096) |
Balance (in shares) at Aug. 31, 2012 | ' | 53,864,600 | ' | ' |
Net loss | -43,441 | 0 | 0 | -43,441 |
Balance at Aug. 31, 2013 | 20,560 | 5,386 | 556,711 | -541,537 |
Balance (in shares) at Aug. 31, 2013 | ' | 53,864,600 | ' | ' |
Net loss | -45,272 | 0 | 0 | -45,272 |
Balance at Aug. 31, 2014 | ($24,712) | $5,386 | $556,711 | ($586,809) |
Balance (in shares) at Aug. 31, 2014 | ' | 53,864,600 | ' | ' |
STATEMENTS_OF_CASH_FLOWS
STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |
Aug. 31, 2014 | Aug. 31, 2013 | |
Cash flows from operating activities | ' | ' |
Net loss | ($45,272) | ($43,441) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' |
Decrease in prepaid expenses | 241 | 547 |
Increase (decrease) in accounts payable | 2,499 | -2,583 |
Increase in accrued interest | 3,141 | 0 |
Net cash used in operating activities | -39,391 | -45,477 |
Cash flows from financing activities | ' | ' |
Proceeds from the issuance of note payable to shareholder | 70,000 | 0 |
Net cash provided by financing activities | 70,000 | 0 |
Increase (decrease) in cash and cash equivalents | 30,609 | -45,477 |
Cash and cash equivalents at beginning of period | 21,135 | 66,612 |
Cash and cash equivalents at end of period | 51,744 | 21,135 |
Supplemental disclosure of cash flow information: | ' | ' |
Income taxes paid in cash | $0 | $0 |
Organization_and_Description_o
Organization and Description of Business | 12 Months Ended |
Aug. 31, 2014 | |
Organization and Description Of Business [Abstract] | ' |
Organization and Description of Business | ' |
Note 1. Organization and Description of Business | |
MicroChannel Technologies Corporation (the “Company”) was formed as a wholly-owned subsidiary of New Energy Technologies, Inc. (“New Energy”). New Energy spun off its issued and outstanding shares to New Energy’s shareholders on December 18, 2007. The Company was incorporated under the name MultiChannel Technologies Corporation on February 28, 2005 in the State of Nevada, and changed to its existing name on April 4, 2005. | |
The Company is not currently engaged in any business operations. It is, however, in the process of attempting to identify, locate, and if warranted, acquire new commercial opportunities. | |
Going_Concern_Uncertainties
Going Concern Uncertainties | 12 Months Ended |
Aug. 31, 2014 | |
Going Concern Uncertainties [Abstract] | ' |
Going Concern Uncertainties | ' |
Note 2. Going Concern Uncertainties | |
The Company has not generated any revenues, has an accumulated deficit of $586,809 as of August 31, 2014, and does not have positive cash flows from operating activities. The Company expects to incur additional losses as it continues to identify and develop new commercial opportunities. The Company will be subject to the risks, uncertainties, and difficulties frequently encountered by early-stage companies. The Company may not be able to successfully address any or all of these risks and uncertainties. Failure to adequately do so could cause the Company’s business, results of operations, and financial condition to suffer. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. | |
The Company’s ability to continue as a going concern is an issue due to its net losses and negative cash flows from operations, and its need for additional financing to fund future operations. Management plans to identify commercial opportunities and to obtain necessary funding from outside sources. There can be no assurance that such funds, if available, can be obtained on terms reasonable to the Company. The accompanying financial statements have been prepared assuming that the Company will continue as a going concern and do not include any adjustments that may result from the outcome of this uncertainty. Based on the Company’s current level of expenditures, management believes that cash on hand is adequate to fund operations for at least the next twelve months. | |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended |
Aug. 31, 2014 | |
Significant Accounting Policies [Abstract] | ' |
Significant Accounting Policies | ' |
Note 3. Summary of Significant Accounting Policies | |
Basis of Presentation | |
The accompanying financial statements have been prepared in accordance with U.S. GAAP. | |
Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and expenses during the reporting period. On an on-going basis, the Company evaluates its estimates. Actual results and outcomes may differ materially from the estimates as additional information becomes known | |
Cash and Cash Equivalents | |
Cash and cash equivalents includes highly liquid investments with original maturities of three months or less. On occasion, the Company has amounts deposited with financial institutions in excess of federally insured limits. | |
Fair Value of Financial Instruments | |
The Company measures certain financial assets and liabilities at fair value based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The carrying value of cash and cash equivalents and accounts payable approximate their fair value because of the short-term nature of these instruments and their liquidity. The fair value of note payable to shareholder is $70,000. Management is of the opinion that the Company is not exposed to significant interest or credit risks arising from these financial instruments. | |
Income Taxes | |
Deferred income tax assets and liabilities are determined based on the estimated future tax effects of net operating loss and credit carryforwards and temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts measured at the current enacted tax rates. The Company records an estimated valuation allowance on its deferred income tax assets if it is not more likely than not that these deferred income tax assets will be realized. | |
The Company recognizes a tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. As of August 31, 2014 and 2013, the Company has not recorded any unrecognized tax benefits. See Note 6. Income Taxes. | |
Segment Reporting | |
The Company’s business currently operates in one segment. | |
Net Loss per Share | |
The computation of basic net loss per common share is based on the weighted average number of shares that were outstanding during the year. The computation of diluted net loss per common share is based on the weighted average number of shares used in the basic net loss per share calculation plus the number of common shares that would be issued assuming the exercise of all potentially dilutive common shares outstanding using the treasury stock method. See Note 4. Net Loss Per Share. | |
Recently Issued Accounting Pronouncements | |
The Company reviews new accounting standards as issued. Although some of these accounting standards issued or effective after the end of the Company’s previous fiscal year may be applicable to the Company, it has not identified any standards that it believes merit further discussion. The Company does not expect the adoption of any recently issued accounting pronouncements to have a significant impact on its financial position, results of operations, or cash flows. | |
The Company adopted Accounting Standards Update (“ASU”) 2014-10, Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements during the quarter ended May 31, 2014, thereby no longer presenting or disclosing any information required by Topic 915. | |
Net_Loss_Per_Share
Net Loss Per Share | 12 Months Ended |
Aug. 31, 2014 | |
Net Loss Per Share [Abstract] | ' |
Net Loss Per Share | ' |
Note 4. Net Loss Per Share | |
During the years ended August 31, 2014 and 2013, the Company recorded a net loss. The Company does not have any potentially dilutive securities outstanding. Therefore, basic and diluted net loss per share is the same for those periods. | |
Note_Payable_to_Shareholder
Note Payable to Shareholder | 12 Months Ended |
Aug. 31, 2014 | |
Debt Disclosure [Abstract] | ' |
Note Payable to Shareholder | ' |
Note 5. Note Payable to Shareholder | |
On January 9, 2014, the Company issued a $70,000 note payable to a shareholder of the Company. The note payable bears interest at an annual rate of 7%. Principal and accrued interest on the note payable are due on January 9, 2016. The outstanding balance of principal and accrued interest may be prepaid without penalty. During the year ended August 31, 2014, the Company recorded interest expense of $3,141 related to the note payable. Accrued interest at August 31, 2014 related to the note payable was $3,141. At August 31, 2014, the original principal balance of $70,000 on the note payable remained outstanding. | |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||
Aug. 31, 2014 | ||||||||
Income Tax Disclosure [Abstract] | ' | |||||||
Income Tax | ' | |||||||
Note 6. Income Taxes | ||||||||
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets at August 31, 2014 and 2013 are as follows: | ||||||||
Year Ended | ||||||||
August 31, | ||||||||
2014 | 2013 | |||||||
Deferred tax assets: | ||||||||
Net operating loss carryforwards | $ | 147,538 | $ | 130,566 | ||||
Capitalized research and development | 5,737 | 7,317 | ||||||
Research and development credit carry forward | 1,963 | 1,963 | ||||||
Total deferred tax assets | 155,238 | 139,846 | ||||||
Less: valuation allowance | -155,238 | -139,846 | ||||||
Net deferred tax asset | $ | — | $ | — | ||||
The net increase in the valuation allowance for deferred tax assets was $15,392 and $14,770 for the years ended August 31, 2014 and 2013. The Company evaluates its valuation allowance on an annual basis based on projected future operations. When circumstances change and this causes a change in management’s judgment about the realizability of deferred tax assets, the impact of the change on the valuation allowance is reflected in current operations. | ||||||||
For federal income tax purposes, the Company has net U.S. operating loss carry forwards at August 31, 2014 available to offset future federal taxable income, if any, of $433,936, which will fully expire by the fiscal year ended August 31, 2034. Accordingly, there is no current tax expense for the years ended August 31, 2014 and 2013. In addition, the Company has research and development tax credit carry forwards of $1,963 at August 31, 2014, which are available to offset federal income taxes and fully expire by August 31, 2028. | ||||||||
The utilization of the tax net operating loss carry forwards may be limited due to ownership changes that have occurred as a result of sales of common stock. | ||||||||
The effects of state income taxes were insignificant for the years ended August 31, 2014 and 2013. | ||||||||
The following is a reconciliation between expected income tax benefit and actual, using the applicable statutory income tax rate of 34% for the years ended August 31, 2014 and 2013: | ||||||||
Year Ended | ||||||||
August 31, | ||||||||
2014 | 2013 | |||||||
Income tax benefit at statutory rate | $ | 15,392 | $ | 14,770 | ||||
Change in valuation allowance | -15,392 | -14,770 | ||||||
$ | - | $ | - | |||||
The fiscal years 2012 through 2014 remain open to examination by federal authorities and other jurisdictions in which the Company operates. | ||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Aug. 31, 2014 | |
Significant Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The accompanying financial statements have been prepared in accordance with U.S. GAAP. | |
Estimates | ' |
Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and expenses during the reporting period. On an on-going basis, the Company evaluates its estimates. Actual results and outcomes may differ materially from the estimates as additional information becomes known | |
Cash and Cash Equivalents | ' |
Cash and Cash Equivalents | |
Cash and cash equivalents includes highly liquid investments with original maturities of three months or less. On occasion, the Company has amounts deposited with financial institutions in excess of federally insured limits. | |
Fair Value of Financial Instruments | ' |
Fair Value of Financial Instruments | |
The Company measures certain financial assets and liabilities at fair value based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The carrying value of cash and cash equivalents and accounts payable approximate their fair value because of the short-term nature of these instruments and their liquidity. The fair value of note payable to shareholder is $70,000. Management is of the opinion that the Company is not exposed to significant interest or credit risks arising from these financial instruments. | |
Income Taxes | ' |
Income Taxes | |
Deferred income tax assets and liabilities are determined based on the estimated future tax effects of net operating loss and credit carryforwards and temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts measured at the current enacted tax rates. The Company records an estimated valuation allowance on its deferred income tax assets if it is not more likely than not that these deferred income tax assets will be realized. | |
The Company recognizes a tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. As of August 31, 2014 and 2013, the Company has not recorded any unrecognized tax benefits. See Note 6. Income Taxes. | |
Segment Reporting | ' |
Segment Reporting | |
The Company’s business currently operates in one segment. | |
Net Loss per Share | ' |
Net Loss per Share | |
The computation of basic net loss per common share is based on the weighted average number of shares that were outstanding during the year. The computation of diluted net loss per common share is based on the weighted average number of shares used in the basic net loss per share calculation plus the number of common shares that would be issued assuming the exercise of all potentially dilutive common shares outstanding using the treasury stock method. See Note 4. Net Loss Per Share. | |
Recently Issued Accounting Pronouncements | ' |
Recently Issued Accounting Pronouncements | |
The Company reviews new accounting standards as issued. Although some of these accounting standards issued or effective after the end of the Company’s previous fiscal year may be applicable to the Company, it has not identified any standards that it believes merit further discussion. The Company does not expect the adoption of any recently issued accounting pronouncements to have a significant impact on its financial position, results of operations, or cash flows. | |
The Company adopted Accounting Standards Update (“ASU”) 2014-10, Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements during the quarter ended May 31, 2014, thereby no longer presenting or disclosing any information required by Topic 915. | |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||
Aug. 31, 2014 | ||||||||
Income Tax Disclosure [Abstract] | ' | |||||||
Components of the Deferred Tax Assets | ' | |||||||
Significant components of the Company’s deferred tax assets at August 31, 2014 and 2013 are as follows: | ||||||||
Year Ended | ||||||||
August 31, | ||||||||
2014 | 2013 | |||||||
Deferred tax assets: | ||||||||
Net operating loss carryforwards | $ | 147,538 | $ | 130,566 | ||||
Capitalized research and development | 5,737 | 7,317 | ||||||
Research and development credit carry forward | 1,963 | 1,963 | ||||||
Total deferred tax assets | 155,238 | 139,846 | ||||||
Less: valuation allowance | -155,238 | -139,846 | ||||||
Net deferred tax asset | $ | — | $ | — | ||||
Income Tax Rate Reconciliation | ' | |||||||
The following is a reconciliation between expected income tax benefit and actual, using the applicable statutory income tax rate of 34% for the years ended August 31, 2014 and 2013: | ||||||||
Year Ended | ||||||||
August 31, | ||||||||
2014 | 2013 | |||||||
Income tax benefit at statutory rate | $ | 15,392 | $ | 14,770 | ||||
Change in valuation allowance | -15,392 | -14,770 | ||||||
$ | - | $ | - | |||||
Going_Concern_Uncertainties_De
Going Concern Uncertainties (Details Textual) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
Retained earnings (deficit) | ($586,809) | ($541,537) |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Details Textual) (USD $) | Aug. 31, 2014 |
Notes Payable, Fair Value Disclosure | $70,000 |
Note_Payable_to_Shareholder_De
Note Payable to Shareholder (Details Textual) (USD $) | 0 Months Ended | 12 Months Ended | |
Jan. 09, 2014 | Aug. 31, 2014 | Aug. 31, 2013 | |
Proceeds from Notes Payable | $70,000 | $70,000 | $0 |
Debt Instrument, Interest Rate, Stated Percentage | 7.00% | ' | ' |
Interest Expense, Debt | ' | 3,141 | 0 |
Other Accrued Liabilities, Noncurrent | ' | 3,141 | 0 |
Notes Payable, Noncurrent | ' | $70,000 | $0 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | Aug. 31, 2014 | Aug. 31, 2013 |
Deferred tax assets: | ' | ' |
Net operating loss carryforwards | $147,538 | $130,566 |
Capitalized research and development | 5,737 | 7,317 |
Research and development credit carry forward | 1,963 | 1,963 |
Total deferred tax assets | 155,238 | 139,846 |
Less: valuation allowance | -155,238 | -139,846 |
Net deferred tax asset | $0 | $0 |
Income_Taxes_Details_1
Income Taxes (Details 1) (USD $) | 12 Months Ended | |
Aug. 31, 2014 | Aug. 31, 2013 | |
Income tax benefit at statutory rate | $15,392 | $14,770 |
Change in valuation allowance | -15,392 | -14,770 |
Income tax expense (benefit) | $0 | $0 |
Income_Taxes_Details_Textual
Income Taxes (Details Textual) (USD $) | 12 Months Ended | |
Aug. 31, 2014 | Aug. 31, 2013 | |
Change in valuation allowance | $15,392 | $14,770 |
Deferred tax assets, operating loss carryforwards, state and local | 433,936 | ' |
Research and development credit carry forward | $1,963 | $1,963 |
Income tax benefit at statutory rate | 34.00% | ' |