Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Jul. 31, 2014 | Sep. 22, 2014 | |
Document And Entity Information | ' | ' |
Entity Registrant Name | 'ValueSetters Corp | ' |
Entity Central Index Key | '0001414767 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Jul-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--04-30 | ' |
Is Entity a Well-known Seasoned Issuer? | 'No | ' |
Is Entity a Voluntary Filer? | 'No | ' |
Is Entity's Reporting Status Current? | 'No | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 500,000,000 |
Document Fiscal Period Focus | 'Q1 | ' |
Document Fiscal Year Focus | '2015 | ' |
Balance_Sheets
Balance Sheets (USD $) | Jul. 31, 2014 | Apr. 30, 2014 |
Current assets: | ' | ' |
Cash and cash equivalents | $374 | $1,623 |
Prepaid expenses | 271,176 | ' |
Total current assets | 271,550 | 1,623 |
Non-current prepaid expenses | 234,300 | ' |
Investments | 75,000 | ' |
Total assets | 580,850 | 1,623 |
Current liabilities: | ' | ' |
Accounts payable - Trade | 73,224 | 74,592 |
Accounts payable - Related party | 113,340 | 110,985 |
Accrued expenses | 10,255 | 15,536 |
Deferred revenue | 62,752 | 3,217 |
Derivative Liability | 362,136 | ' |
Notes payable- related parties | 15,848 | 17,050 |
Loan payable - bank | 47,817 | 48,469 |
Other notes | 17,377 | 16,000 |
Total current liabilities | 702,749 | 285,849 |
Long-term related party note payable | 333,066 | 333,066 |
Long-term secured note payable to related party | 98,179 | 93,219 |
Total Liabilities | 1,133,994 | 712,134 |
Stockholders' deficit: | ' | ' |
Common stock, $.001 par value; 500,000,000 shares authorized, 500,000,000 shares issued and outstanding | 500,000 | 500,000 |
Capital in excess of par value | 424,268 | 420,968 |
Accumulated deficit | -1,477,412 | -1,631,479 |
Total stockholders' deficit | -553,144 | -710,511 |
Total liabilities and stockholders' deficit | $580,850 | $1,623 |
Balance_Sheets_Parenthetical
Balance Sheets (Parenthetical) (USD $) | Jul. 31, 2014 | Apr. 30, 2014 |
Statement of Financial Position [Abstract] | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 500,000,000 | 500,000,000 |
Common stock, shares outstanding | 500,000,000 | 500,000,000 |
Statements_of_Operations
Statements of Operations (USD $) | 3 Months Ended | |
Jul. 31, 2014 | Jul. 31, 2013 | |
Income Statement [Abstract] | ' | ' |
Revenues | $16,676 | $2,146 |
Costs and expenses: | ' | ' |
Costs of services | 259 | 649 |
Selling, general and administrative | 186,114 | 5,217 |
Total costs and expenses | 186,373 | 5,866 |
(Loss) from operations | -169,697 | -3,720 |
Other income (expense): | ' | ' |
Change in fair market value of derivative liabilities | 329,043 | ' |
Interest expense | -5,279 | -4,482 |
Net income (loss) before taxes | 154,067 | -8,202 |
Income taxes | ' | ' |
Net income (loss) | $154,067 | ($8,202) |
Basic and diluted loss per share | $0 | $0 |
Weighted average number of shares outstanding | 500,000,000 | 500,000,000 |
Statements_of_Cash_Flows
Statements of Cash Flows (USD $) | 3 Months Ended | |
Jul. 31, 2014 | Jul. 31, 2013 | |
Operating activities: | ' | ' |
Net income (loss) | $154,067 | ($8,202) |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ' | ' |
Stock-based compensation | 175,703 | ' |
Change in fair market value of derivatives | -329,043 | ' |
Non-cash revenue | -15,000 | ' |
Amortization of debt discount | 177 | ' |
Changes in operating assets and liabilities: | ' | ' |
Accounts payable | 2,947 | ' |
Accrued expenses | -5,281 | 588 |
Deferred revenue | -465 | ' |
Derivative liability | 10,000 | ' |
Net cash used in operating activities: | -6,895 | -7,614 |
Financing activities: | ' | ' |
Payments on bank loan | -652 | ' |
Payments on other notes payable | -1,000 | ' |
Payments on note payable- related party | -2,202 | ' |
Proceeds from demand notes payable | 5,500 | ' |
Proceeds from notes payable- related party | 1,000 | ' |
Proceeds from secured note payable- related party | 3,000 | 5,797 |
Net cash provided by financing activities | 5,646 | 5,797 |
(Decrease) in cash and cash equivalents | -1,249 | -1,817 |
Cash and cash equivalents at beginning of period | 1,623 | 3,075 |
Cash and cash equivalents at the end of period | 374 | 1,258 |
Supplemental disclosure of cash flow information: | ' | ' |
Cash paid during the period for: Income taxes | ' | ' |
Cash paid during the period for: Interest | 787 | 1,113 |
Non cash financing information: | ' | ' |
Fair value of derivative liabilities | 681,179 | ' |
Debt discount due to beneficial conversion feature | 3,300 | ' |
Investments acquired for deferred revenue | $60,000 | ' |
Note_1_Basis_of_Presentation
Note 1- Basis of Presentation | 3 Months Ended |
Jul. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Note 1- Basis of Presentation | ' |
Note 1– Basis of Presentation | |
The accompanying unaudited condensed financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and in accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three-month period ended July 31, 2014, are not necessarily indicative of the results that may be expected for the year ended April 30, 2015. For further information, refer to the audited financial statements and footnotes thereto in our Annual Report on Form 10-K for the year ended April 30, 2014. |
Note_2_Going_Concern_Matters_a
Note 2 - Going Concern Matters and Realization of Assets | 3 Months Ended | ||
Jul. 31, 2014 | |||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||
Note 2 - Going Concern Matters and Realization of Assets | ' | ||
Note 2 – Going Concern Matters and Realization of Assets | |||
The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the ordinary course of business. However, the Company has sustained recurring losses from its continuing operations and as of July 31, 2014, had negative working capital of $431,199 and a stockholders’ deficit of $553,144. In addition, the Company is unable to meet its obligations as they become due and sustain its operations. The Company believes that its existing cash resources are not sufficient to fund its continuing operating losses, capital expenditures, lease and debt payments and working capital requirements. | |||
The Company may not be able to raise sufficient additional debt, equity or other cash on acceptable terms, if at all. Failure to generate sufficient revenues, achieve certain other business plan objectives or raise additional funds could have a material adverse effect on the Company’s results of operations, cash flows and financial position, including its ability to continue as a going concern, and may require it to significantly reduce, reorganize, discontinue or shut down its operations. | |||
In view of the matters described above, 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 meet its financing requirements on a continuing basis, and to 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 and classification of liabilities that might be necessary should the Company be unable to continue in its existence. | |||
Management’s plans include: | |||
1 | Seek to raise debt or equity for working capital purposes and to pay off existing debt balances. With sufficient additional cash available to the Company, it can begin to make marketing expenditures and hire people to generate more revenues, and consequently cut monthly operating losses. | ||
2 | Continue to look for software niches and other digital products that can be sold via an Internet-based store. Various acquisition opportunities may help us generate the revenues we are seeking and be a quicker path to profitability than organic growth. | ||
There can be no assurance that the Company will be able to achieve its business plan objectives or be able to achieve or maintain cash-flow-positive operating results. If the Company is unable to generate adequate funds from operations or raise sufficient additional funds, the Company may not be able to repay its existing debt, continue to operate its business network, respond to competitive pressures or fund its operations. As a result, the Company may be required to significantly reduce, reorganize, discontinue or shut down its operations. The financial statements do not include any adjustments that might result from this uncertainty. |
Note_3_Loss_Per_Common_Share
Note 3 - Loss Per Common Share | 3 Months Ended | ||||||||
Jul. 31, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Note 3 - Loss Per Common Share | ' | ||||||||
Note 3 – Income (Loss) Per Common Share | |||||||||
Income (Loss) per common share data was computed as follows: | |||||||||
31-Jul-14 | 31-Jul-13 | ||||||||
Net income (loss) | $ | 154,067 | $ | (8,202 | ) | ||||
Weighted average common shares outstanding | 500,000,000 | 500,000,000 | |||||||
Effect of dilutive securities | 6,500,000 | — | |||||||
Weighted average dilutive common shares outstanding | 506,500,000 | 500,000,000 | |||||||
Income (Loss) per common share – basic | $ | 0 | $ | (.00 | ) | ||||
Income (Loss) per common share – diluted | $ | 0 | $ | (.00 | ) | ||||
As of July 31, 2014, the weighted average diluted common shares outstanding exceeds the number of authorized common shares of the Company. This excess has no effect on diluted net income per common share for the three months ended July 31, 2013. See Note 9 for the derivative liabilities recorded as a result of the shortfall in authorized shares. |
Note_4_Principal_Financing_Arr
Note 4 - Principal Financing Arrangements | 3 Months Ended | ||||||||||||
Jul. 31, 2014 | |||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||
Note 4 - Principal Financing Arrangements | ' | ||||||||||||
Note 4 – Principal Financing Arrangements | |||||||||||||
The following table summarizes components of debt as of July 31, 2013 and April 30, 2013: | |||||||||||||
31-Jul-14 | 30-Apr-14 | Interest Rate | |||||||||||
Secured lender (majority shareholder) | $ | 98,179 | $ | 93,219 | 8 | % | |||||||
Demand notes payable – related parties | 348,914 | 350,116 | 0.0% - 3.0 | % | |||||||||
Other notes payable | 17,377 | 16,000 | 0 | % | |||||||||
Due to bank | 47,817 | 48,469 | 5.5 | % | |||||||||
Total Debt | $ | 512,287 | $ | 507,804 | |||||||||
As of July 31, 2014 and April 30, 2014, the Company owed its principal lender (“Lender”) $98,179 and $93,219, respectively, under a loan and security agreement (“Loan”) dated April 28, 2011, that was amended on July 26, 2014 to change the maturity date to June 30, 2017. The maximum amount of the Loan is $250,000. The Lender is also the majority shareholder of the Company, owning 271,673,207 shares of common stock, or 54% of the 500,000,000 shares issued and outstanding. | |||||||||||||
In connection with the financing, the Company has agreed to certain restrictive covenants, including, among others, that the Company may not convey, sell lease, transfer or otherwise dispose of any part of its business or property, except as permitted in the agreement, dissolve, liquidate or merge with any other party unless, in the case of a merger, the Company is the surviving entity, incur any indebtedness except as defined in the agreement, create or allow an lien on any of its assets or collateral that has been pledge to the Lender, make any loans to any person, except for prepaid items or deposits incurred in the ordinary course of business, or make any material capital expenditures | |||||||||||||
To secure the payment of all obligations to the lender, the Company granted to the lender a continuing security interest and first lien on all of the assets of the Company. | |||||||||||||
As of July 31, 2014 and April 30, 2014, the Company’s related-party unsecured notes payable totaled $348,914 and $350,116, respectively. The majority of this debt is owed to a former board member, who is a 10% shareholder, for a $314,000 note payable dated April 30, 2011. In July 2014, this note was renegotiated to a 3% term loan due on June 30, 2017. The same person has personally guaranteed a bank line of credit under which the Company owes $47,817 and $48,469 and as of July 31, 2014 and April 30, 2014, respectively. The Company pays approximately $220 a month in principal payments on the outstanding balance, plus the monthly interest expense, which is calculated at a rate of 5.5% per annum. | |||||||||||||
Other notes payable totaled $17,377 and $16,000 at July 31, 2014 and April 30, 2014, respectively. |
Note_5_Investments
Note 5- Investments | 3 Months Ended |
Jul. 31, 2014 | |
Investments, Debt and Equity Securities [Abstract] | ' |
Note 5-Investments | ' |
Note 5 – Investments | |
During the first quarter of fiscal 2015, the Company acquired a 5% interest in two early-stage companies, Zelgor Inc. and NetCapital Systems LLC, as payment for consulting and advisory services provided to the companies. The investment is recorded at the value of the services provided by the Company. |
Note_6_Income_Taxes
Note 6 - Income Taxes | 3 Months Ended |
Jul. 31, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Note 6 - Income Taxes | ' |
Note 6 – Income Taxes | |
At July 31, 2014, the Company had net operating loss carryforwards for federal income tax purposes of approximately $1,060,000 that expire in the years 2015 through 2030. The Company has provided an allowance for the full value of the related deferred tax asset since it is more likely than not that none of such benefit will be realized. Utilization of the net operating losses may be subject to annual limitations provided by Section 382 of the Internal Revenue Code and similar state provisions. | |
Due to the availability of the tax loss carryforward for the three-month period ended July 31, 2014 and the loss for the three-month period ended July 31, 2013, the Company has recorded no income tax expense in either of these three-month periods. |
Note_7_Related_Party_Transacti
Note 7 - Related Party Transactions | 3 Months Ended |
Jul. 31, 2014 | |
Related Party Transactions [Abstract] | ' |
Note 7 - Related Party Transactions | ' |
Note 7 – Related Party Transactions | |
The Company’s majority shareholder is also its principal lender. As of July 31, 2014 and April 30, 2014, the Company owed its majority shareholder, under a secured lending agreement, $98,179 and $93,219, respectively. The maximum amount of the loan is $250,000, and the loan matures on June 30, 2017. The majority shareholder of the Company owns 271,673,207 shares of common stock, or 54% of the 500,000,000 shares issued and outstanding. | |
A former director of the Company and founder of Valuesetters, Inc., which merged with the Company in December 2003, has personally guaranteed bank debt of $47,817 and $48,469, as of July 31, 2014 and April 30, 2014 and credit card debt of $21,579 and $22,947 as of July 31, 2014 and April 30, 2014, respectively. In addition to the personal guarantees, the Company owes him $421,774 and $419,895 as of July 31, 2013 and April 30, 2013, respectively, for loans, interest payable and unpaid expenses. | |
The Company owes a second director $31,680 as of July 31, 2014 and April 30, 2014. | |
The Company owes a third director $15,000 as of July 31, 2014 and April 30, 2014. | |
The Company owes its Chief Executive Officer and Chairman of the board of directors $848 and $2,050 as of July 31, 2014 and April 30, 2014, respectively. |
Note_8_Stockholders_Deficit
Note 8 - Stockholders' Deficit | 3 Months Ended |
Jul. 31, 2014 | |
Equity [Abstract] | ' |
Note 8 - Stockholders' Deficit | ' |
Note 8 – Stockholders’ Deficit | |
The Company is authorized to issue 500,000,000 shares of its common stock, par value $0.001. 500,000,000 shares were outstanding as of July 31, 2014 and April 30, 2014, and no shares were issued during the three-month period ended July 31, 2014 or during the fiscal year ended April 30, 2014. | |
On May 7, 2014, the Company granted 5-year stock options that fully vest over a three year period to three consultants. Each consultant was granted an option to purchase up to 6 million shares of the Company’s common stock at a price of $0.03 per share. | |
On July 5, 2014, the Company agreed to issue 6,000,000 shares of restricted common stock in exchange for investor awareness services for the period of July 10, 2014 to December 31, 2014. The shares are issuable after the Company increases its authorized shares. | |
On July 24, 2014, the Company signed a three-year consulting agreement in exchange for 6,000,000 shares of common stock to be issued after the Company increases its authorized shares. |
Note_9_Derivative_Liabilities
Note 9 - Derivative Liabilities | 3 Months Ended |
Jul. 31, 2014 | |
Notes to Financial Statements | ' |
Note 9 - Derivative Liabilities | ' |
Note 9 – Derivative Liabilities | |
The Company evaluated its stock options and stock-based payment agreements pursuant to ASC 815 and due to there being no authorized shares of common stock available to issue to satisfy the terms of the agreements, the Company determined the agreements were derivative liabilities. The Company valued the stock option derivatives using the Black-Scholes valuation model, and the stock-based payment agreements using the actual trading prices of the Company’s common stock. | |
On May 7, 2014, the Company estimated the fair value of the stock option derivatives using the Black-Scholes valuation method with assumptions including: (1) term of 5 years; (2) a computed volatility rate of 213% (3) a discount rate of 1.65% and (4) zero dividends. | |
At July 31, 2014, the Company estimated the fair value of the derivatives using the Black-Scholes valuation method with assumptions including: (1) term of 4.75 years; (2) a computed volatility rate of 211% (3) a discount rate of 1.65% and (4) zero dividends. | |
On May 7, 2014, the Company accepted a stock subscription agreement for the purchase of 500,000 shares of common stock at $0.02 per share. The agreement was recorded as a $10,000 derivative liability on May 7, 2014 and was valued at July 31, 2014 at the closing price of the Company’s common stock, $0.0121 per share. | |
On July 5, 2014, the Company signed an investor awareness agreement that required the issuance of 6,000,000 shares of common stock. The agreement was recorded as a derivative liability on July 5, 2014 at a price of $0.0149 and was valued at July 31, 2014 at the closing price of the Company’s common stock, $0.0121 per share. | |
On July 24, 2014, the Company signed a consulting agreement that required the issuance of 6,000,000 shares of common stock. The agreement was recorded as a derivative liability on July 24, 2014 at a price of $0.0101 and was valued at July 31, 2014 at the closing price of the Company’s common stock, $0.0121 per share. | |
All of the aforementioned derivatives were recorded on the day the agreements were effective and were revalued at July 31, 2014. Any changes in the value of the derivative liabilities were recorded as a gain or loss in the income statement for the three months ended July 31, 2014. | |
The net gain recorded for the change in value of the derivatives for the three month-period ended July 31, 2014 was $329,043. There were no derivatives in the three month-period ended July 31, 2013. |
Note_10_Fair_Value
Note 10 - Fair Value | 3 Months Ended | ||||||||||||||||
Jul. 31, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Note 10 -Fair Value | ' | ||||||||||||||||
Note 10 – Fair Value | |||||||||||||||||
The Fair Value Measurements Topic of the FASB Accounting Standards Codification establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to measurements involving significant unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows: | |||||||||||||||||
Level 1: inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the company has the ability to access at the measurement date. | |||||||||||||||||
Level 2: inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. | |||||||||||||||||
Level 3: inputs are unobservable inputs for the asset or liability. | |||||||||||||||||
Under the Fair Value Measurements Topic of the FASB Accounting Standards Codification, we base fair value on 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. It is our policy to maximize the use of observable inputs and minimize the use of unobservable inputs when developing fair value measurements, in accordance with the fair value hierarchy. Fair value measurements for assets and liabilities where there exists limited or no observable market data and, therefore, are based primarily upon management’s own estimates, are often calculated based on current pricing policy, the economic and competitive environment, the characteristics of the asset or liability and other such factors. Therefore, the results cannot be determined with precision and may not be realized in an actual sale or immediate settlement of the asset or liability. Additionally, there may be inherent weaknesses in any calculation technique, and changes in the underlying assumptions used, including discount rates and estimates of future cash flows that could significantly affect the results of current or future value. | |||||||||||||||||
Derivative Liability | |||||||||||||||||
The table below presents the amounts of liabilities measured at fair value on a recurring basis as of July 31, 2014 and April 30, 2014. | |||||||||||||||||
The fair value of the derivatives that are traded in less active over-the counter markets are generally measured using pricing models with market observable inputs such as interest rates and equity index levels. These measurements are classified as Level 2 within the fair value of hierarchy. | |||||||||||||||||
Total | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||
31-Jul-14 | |||||||||||||||||
Derivative liability | $ | 362,136 | $ | 151,250 | $ | 210,886 | — | ||||||||||
30-Apr-13 | |||||||||||||||||
Derivative liability | — | — | — | — | |||||||||||||
Note_11_StockBased_Compensatio
Note 11- Stock-Based Compensation Plans | 3 Months Ended |
Jul. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' |
Note 11- Stock-Based Compensation Plans | ' |
Note 11 – Stock-Based Compensation Plans | |
The Company entered consulting agreements to issue common stock and options to purchase common stock, and recorded the applicable non-cash expense in accordance with the authoritative guidance of the Financial Accounting Standards Board. For the three-month periods ended July 31, 2014 and July 31, 2013, the Company recorded $175,703 and $0, respectively, in stock-based compensation expense. As of July 31, 2014, there was $505,476 of prepaid stock-based compensation expense, $271,176 of which is current and $234,300 of which is non-current. |
Note_12_Subsequent_Events
Note 12 - Subsequent Events | 3 Months Ended |
Jul. 31, 2014 | |
Subsequent Events [Abstract] | ' |
Note 10 - Subsequent Events | ' |
Note 12 – Subsequent Events | |
The Company purchased a consulting firm on September 11, 2014 for a purchase price of $200,000. The Company issued a three-year note at 2% interest per annum, which can be converted into a maximum of 20,000,000 shares of common stock of the Company. | |
On August 8, 2014, the Company signed a six-month consulting agreement in exchange for 2,000,000 shares of common stock to be issued after the Company increases its authorized shares. | |
In accordance with ASC 855-10, the Company has analyzed its operations subsequent to July 31, 2014 to the date these financial statements were issued, and has determined that it does not have any material subsequent events to disclose in these financial statements beyond the events described above. |
Note_1_Description_of_Business
Note 1 - Description of Business and Summary of Accounting Principles (Policies) | 3 Months Ended |
Jul. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Description of Business and Concentrations | ' |
Note 1– Basis of Presentation | |
The accompanying unaudited condensed financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and in accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three-month period ended July 31, 2014, are not necessarily indicative of the results that may be expected for the year ended April 30, 2015. For further information, refer to the audited financial statements and footnotes thereto in our Annual Report on Form 10-K for the year ended April 30, 2014. |
Note_3_Loss_Per_Common_Share_T
Note 3 - Loss Per Common Share (Tables) | 3 Months Ended | ||||||||
Jul. 31, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Earnings per share | ' | ||||||||
31-Jul-14 | 31-Jul-13 | ||||||||
Net income (loss) | $ | 154,067 | $ | (8,202 | ) | ||||
Weighted average common shares outstanding | 500,000,000 | 500,000,000 | |||||||
Effect of dilutive securities | 6,500,000 | — | |||||||
Weighted average dilutive common shares outstanding | 506,500,000 | 500,000,000 | |||||||
Income (Loss) per common share – basic | $ | 0 | $ | (.00 | ) | ||||
Income (Loss) per common share – diluted | $ | 0 | $ | (.00 | ) |
Note_4_Principal_Financing_Arr1
Note 4 - Principal Financing Arrangements (Tables) | 3 Months Ended | ||||||||||||
Jul. 31, 2014 | |||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||
Debt | ' | ||||||||||||
31-Jul-14 | 30-Apr-14 | Interest Rate | |||||||||||
Secured lender (majority shareholder) | $ | 98,179 | $ | 93,219 | 8 | % | |||||||
Demand notes payable – related parties | 348,914 | 350,116 | 0.0% - 3.0 | % | |||||||||
Other notes payable | 17,377 | 16,000 | 0 | % | |||||||||
Due to bank | 47,817 | 48,469 | 5.5 | % | |||||||||
Total Debt | $ | 512,287 | $ | 507,804 |
Note_10_Fair_Value_Tables
Note 10- Fair Value (Tables) | 3 Months Ended | ||||||||||||||||
Jul. 31, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Derivative Liability | ' | ||||||||||||||||
Total | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||
31-Jul-14 | |||||||||||||||||
Derivative liability | $ | 362,136 | $ | 151,250 | $ | 210,886 | — | ||||||||||
30-Apr-13 | |||||||||||||||||
Derivative liability | — | — | — | — |
Note_3_Loss_Per_Common_Share_D
Note 3 - Loss Per Common Share (Details) (USD $) | 3 Months Ended | |
Jul. 31, 2014 | Jul. 31, 2013 | |
Note 3 - Loss Per Common Share Details | ' | ' |
Net loss | $154,067 | ($8,202) |
Weighted average common shares outstanding | 500,000,000 | 500,000,000 |
Effect of dilutive securities | $6,500,000 | ' |
Weighted average dilutive common shares outstanding | 506,500,000 | 500,000,000 |
Loss per common share-basic | $0 | $0 |
Loss per common share-diluted | $0 | $0 |
Note_4_Principal_Financing_Arr2
Note 4 - Principal Financing Arrangements (Details) (USD $) | Jul. 31, 2014 | Apr. 30, 2014 |
Debt Disclosure [Abstract] | ' | ' |
Secured lender (majority shareholder) | $98,179 | $93,219 |
Notes payable- related parties | 348,914 | 350,116 |
Demand note payable | 17,377 | 16,000 |
Loan payable - bank | 47,817 | 48,469 |
Total Debt | $512,287 | $507,804 |
Note_4_Principal_Financing_Arr3
Note 4 - Principal Financing Arrangements (Details) (Parenthetical) (USD $) | Jul. 31, 2014 | Apr. 30, 2014 | Apr. 30, 2014 | Apr. 30, 2014 |
Secured lender (majority shareholder) | Demand note payable- related parties | Demand note payable | Due to bank | |
Interest Rate | 8.00% | 3.00% | 0.00% | 5.50% |
Borrowing amount | $250,000 | ' | ' | ' |
Common shares, held | 271,673,207 | ' | ' | ' |
Ownership | 54.00% | 10.00% | ' | ' |
Note_4_Principal_Financing_Arr4
Note 4 - Principal Financing Arrangements (Details Narrative) (USD $) | 3 Months Ended | |
Jul. 31, 2014 | Apr. 30, 2014 | |
Debt Disclosure [Abstract] | ' | ' |
Note payable to Board Member | $314,000 | $314,000 |
Guaranteed line of credit | 50,000 | 50,000 |
Line of credit payable | 47,817 | 48,469 |
Principal payments | $220 | ' |
Interest rate | 5.50% | ' |
Note_5_Investments_Details_Nar
Note 5- Investments (Details Narrative) | Jul. 31, 2014 |
Investments, Debt and Equity Securities [Abstract] | ' |
Investment interest | 5.00% |
Note_6_Income_Taxes_Details_Na
Note 6 - Income Taxes (Details Narrative) (USD $) | 3 Months Ended |
Jul. 31, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Operating loss carryforward | $1,060,000 |
Expiration | 30-Apr-15 |
Note_7_Related_Party_Transacti1
Note 7 - Related Party Transactions (Details Narrative) (USD $) | Jul. 31, 2014 | Apr. 30, 2014 | Jul. 31, 2014 | Apr. 30, 2013 | Jul. 31, 2014 | Apr. 30, 2013 | Jul. 31, 2014 | Apr. 30, 2013 | Jul. 31, 2014 | Jul. 31, 2014 |
Director | Director | Second Director | Second Director | Third Director | Third Director | Chief Executive Officer and Chairman of the board of directors | Secured lender (majority shareholder) | |||
Secured lender (majority shareholder) | $98,179 | $93,219 | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowing amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250,000 |
Common shares, held | ' | ' | ' | ' | ' | ' | ' | ' | ' | 271,673,207 |
Ownership | ' | ' | ' | ' | ' | ' | ' | ' | ' | 54.00% |
Loan payable - bank | 47,817 | 48,469 | ' | ' | ' | ' | ' | ' | ' | ' |
Credit card debt | 21,579 | 22,947 | ' | ' | ' | ' | ' | ' | ' | ' |
Due to Related Party | $421,774 | $419,895 | $421,774 | $419,895 | $31,680 | $31,680 | $15,000 | $15,000 | $2,050 | ' |
Note_8_Stockholders_Equity_Def
Note 8 - Stockholders' Equity (Deficit) (Details Narrative) (USD $) | 3 Months Ended | |
Jul. 31, 2014 | Apr. 30, 2014 | |
Equity [Abstract] | ' | ' |
Common stock, authorized | 500,000,000 | 500,000,000 |
Common stock, par value | $0.00 | $0.00 |
Increase in Common stock, share | 6,000,000 | ' |
Note_9_Derivative_Liabilities_
Note 9 - Derivative Liabilities (Details Narrative) (USD $) | 0 Months Ended | 3 Months Ended | ||
Jul. 24, 2014 | Jul. 05, 2014 | 7-May-14 | Jul. 31, 2014 | |
Notes to Financial Statements | ' | ' | ' | ' |
Expected Life | ' | ' | '5 years | '4 years 7 months 5 days |
Volatility rate | ' | ' | 213.00% | 211.00% |
Discount rate | ' | ' | 1.65% | 1.65% |
Dividend Rate | ' | ' | 0.00% | 0.00% |
Stock subscription agreement | 6,000,000 | 6,000,000 | 500,000 | ' |
Derivative Liability | ' | ' | $10,000 | ' |
Share price | $0.01 | $0.01 | $0.02 | $0.01 |
Change in fair market value of derivatives | ' | ' | ' | ($329,043) |
Note_10_Fair_Value_Derivative_
Note 10- Fair Value - Derivative Liability (Details) (USD $) | Jul. 31, 2014 | Apr. 30, 2014 |
Derivative liability | $362,136 | ' |
Level 1 | ' | ' |
Derivative liability | 151,250 | ' |
Level 2 | ' | ' |
Derivative liability | 210,886 | ' |
Level 3 | ' | ' |
Derivative liability | ' | ' |
Note_11_StockBased_Compensatio1
Note 11- Stock-Based Compensation Plans (Details Narrative) (USD $) | 3 Months Ended | |
Jul. 31, 2014 | Jul. 31, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' |
Stock compensation expense | $175,703 | $0 |
Prepaid stock compensation expense | 505,476 | ' |
Current prepaid expense | 271,176 | ' |
Non-current prepaid expense | $234,300 | ' |
Note_12_Subsequent_Events_Deta
Note 12 - Subsequent Events (Details) (USD $) | 0 Months Ended | |
Sep. 11, 2014 | Aug. 08, 2014 | |
Note 12 - Subsequent Events Details | ' | ' |
Note Face Amount | $200,000 | ' |
Interest Rate | 21.00% | ' |
Shares for Acquistion | 2,000,000 | ' |
Shares issued for services | ' | 2,000,000 |