U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report under Section 13 or 15(d) of
The Securities Act of 1934
For the quarterly period ended September 30, 2008
Commission File Number 333-147169
Promodoeswork.com, Inc.
(Exact name of registrant as specified in its charter)
Nevada 98-0521484
(State of (IRS Employer
Incorporation) (ID Number)
6972 Coach Lamp Drive
Chilliwack, British Columbia, Canada V2R 2Y7
Telephone: 604-858-0172
(Address and telephone number of principal executive offices)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15 (d) of the Securities Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes X
No ____
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a small reporting compamy. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer | [ ] | Accelerated Filer | [ ] |
Non-accelerated Filer | [ ](Do not check if a smaller reporting company) | Smaller Reporting Company | [ ] |
Indicate by check whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes X
No ______
As of October 31, 2008, the registrant had 8,800,000 shares of common stock, $0.001 par value, issued and outstanding.
ITEM 1. FINANCIAL STATEMENTS
The accompanying condensed unaudited financial statements of Promodoeswork.com, Inc., a Nevada corporation are condensed and, therefore, do not include all disclosures normally required by accounting principles generally accepted in the United States of America. These statements should be read in conjunction with the Company's most recent annual financial statements for the year ended June 30, 2008 included in our Annual Report on Form 10K filed with the U.S. Securities and Exchange Commission (“SEC”) on September 29, 2008. In the opinion of management, all adjustments necessary for a fair presentation have been included in the accompanying condensed financial statements and consist of only normal recurring adjustments. The results of operations presented in the accompanying condensed financial statements for the period ended September 30, 2008 are not necessarily indicative of the operating results that may be expected for the full year ending June 30, 2009.
2
Promodoeswork.com, Inc.
(A Development Stage Company)
CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending
September 30, 2008
3
Promodoeswork.com, Inc.
(A Development Stage Company)
INDEX TO CONDENSED FINANCIAL STATEMENTS (UNAUDITED)
For the Three Months ending September 30, 2008
Page(s)
Condensed Balance Sheets as of September 30, 2008 and
June 30, 2008 (Fiscal year end)
1
Condensed Statements of Operations for the Three Months ending
September 30, 2008 and 2007 (With cumulative totals since inception)
2
Condensed Statements of Cash Flows for the Three Months ending
September 30, 2008 and 2007 (With cumulative totals since inception)
3
Notes to Financial Statements
4-11
4
Promodoeswork.com, Inc.
(A Development Stage Company)
CONDENSED BALANCE SHEETS
Current Assets |
| ||||
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|
| September 30, |
| June 30, 2008, |
|
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| 2008 |
| Fiscal year end |
ASSETS |
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| (Unaudited) |
| (Audited) |
Current Assets |
|
|
|
|
|
Cash and cash equivalents |
|
| $ 11,572 |
| $ 19,484 |
Accounts receivable |
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| 300 |
| 300 |
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|
|
|
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|
Total Current Assets |
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| 11,872 |
| 19,784 |
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|
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|
TOTAL ASSETS |
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| $ 11,872 |
| $ 19,784 |
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LIABILITIES AND STOCKHOLDERS' EQUITY |
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LIABILITIES |
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Current Liabilities |
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Accounts payable |
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| 1,943 |
| 2,412 |
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Total Current Liabilities |
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| 1,943 |
| 2,412 |
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Total Liabilities |
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| 1,943 |
| 2,412 |
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STOCKHOLDERS' EQUITY |
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Common stock, par value $.001, 100,000,000 shares authorized and |
|
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8,800,000 shares issued and outstanding |
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| 8,800 |
| 8,800 |
Additional paid-in capital |
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| 43,200 |
| 43,200 |
Deficit accumulated during the development stage |
|
| (42,071) |
| (34,628) |
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|
|
|
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Total Stockholders' Equity |
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| 9,929 |
| 17,372 |
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
|
| $ 11,872 |
| $ 19,784 |
The accompanying notes are an integral part of these financial statements.
1
Promodoeswork.com, Inc.
(A Development Stage Company)
CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
|
| Three months |
| Three months |
| January 24, 2007 |
|
| ending |
| ending |
| (Inception) to |
|
| September 30, |
| September 30, |
| September 30, |
|
| 2008 |
| 2007 |
| 2008 |
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INCOME |
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| |
| Operating revenues | $ - |
| $ - |
| $ - |
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|
OPERATING EXPENSES |
|
|
|
|
| |
| Organization costs | - |
| - |
| 905 |
| Accounting | 5,000 |
| 5,000 |
| 17,500 |
| Legal expenses | 1,943 |
| - |
| 11,114 |
| Other services | 500 |
| - |
| 12,377 |
| Taxes and licenses | - |
| - |
| 175 |
| Total Operating Expenses | 7,443 |
| 5,000 |
| 42,071 |
|
|
|
|
|
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NET LOSS | $ (7,443) |
| $ (5,000) |
| $ (42,071) | |
|
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|
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LOSS PER BASIC AND DILUTED COMMON SHARE | $ (0.00) |
| $ (0.00) |
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| |
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WEIGHTED AVERAGE NUMBER OF COMMON |
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| |
SHARES OUTSTANDING | 8,800,000 |
| 8,800,000 |
|
| |
The accompanying notes are an integral part of these financial statements.
2
Promodoeswork.com, Inc.
(A Development Stage Company)
CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
| Three Months |
| Three Months |
| Cumulative total, |
| ending |
| ending |
| January 24, 2007, |
| September 30, |
| September 30, |
| (Inception) to |
| 2008 |
| 2007 |
| September 30, 2008 |
|
|
|
|
|
|
OPERATING ACTIVITIES |
|
|
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Net loss | $ (7,443) |
| $ (5,000) |
| $ (42,071) |
Adjustments to reconcile net loss to cash (used) in operating activities: |
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(used in) operating activities: |
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Changes in assets and liabilities: |
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(Increase) in accounts receivable | - |
| - |
| (300) |
(Increase) in prepaid expenses | - |
| (5,000) |
|
|
Increae (decrease) in accounts payable | (469) |
|
|
| 1,943 |
Total adjustments | (469) |
| (5,000) |
| 1,643 |
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Net cash (used in) operating activities | (7,912) |
| (10,000) |
| (40,428) |
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INVESTING ACTIVITES |
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Net cash (used in) investing activities | - |
| - |
| - |
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FINANCING ACTIVITES |
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Sale of common stock | - |
| - |
| 52,000 |
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Net cash provided by financing activities | - |
| - |
| 52,000 |
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NET INCREASE (DECREASE) IN |
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CASH AND CASH EQUIVALENTS | (7,912) |
| (10,000) |
| 11,572 |
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CASH AND CASH EQUIVALENTS - |
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BEGINNING OF PERIOD | 19,484 |
| 51,095 |
| - |
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CASH AND CASH EQUIVALENTS - END OF PERIOD | $ 11,572 |
| $ 41,095 |
| $ 11,572 |
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SUPPLEMENTAL CASH FLOW INFORMATION: |
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During the period, cash was paid for the following: |
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Income taxes | $ - |
| $ - |
| $ - |
Interest | $ - |
| $ - |
| $ - |
The accompanying notes are an integral part of these financial statements.
3
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 1-
ORGANIZATION AND BASIS OF PRESENTATION
The condensed unaudited interim financial statements included herein have been prepared, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The condensed financial statements and notes are presented as permitted on Form 10-Q and do not contain information included in the Company’s annual statements and notes. 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 pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. It is suggested that these condensed financial statements be read in conjunction with the June 30, 2008 audited financial statements and the accompanying notes thereto. While management believes the procedures followed in preparing these condensed financial statements are reasonable, the accuracy of the amounts are in some respects dependent upon the facts that will exist, and procedures that will be accomplished by the Company later in the year.
These condensed unaudited financial statements reflect all adjustments, including normal recurring adjustments which, in the opinion of management, are necessary to present fairly the operations and cash flows for the periods presented.
Promodoeswork.com, Inc. (the Company) was incorporated on January 24, 2007 under the laws of the State of Nevada. The business purpose of the Company is to market promotional apparel via the Internet. The Company has elected June 30 as its fiscal year end.
NOTE 2-
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Development Stage Company
The Company is considered to be in the development stage as defined in Statement of Financial Accounting Standards (SFAS) No. 7, “Accounting and Reporting by Development Stage Enterprises.” The Company is devoting substantially all of its efforts to development of business plans and preparation for implementation of its plans.
4
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 2-
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires 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.
Cash and Cash Equivalents
Cash and cash equivalents consists principally of currency on hand, demand deposits at commercial banks, and liquid investment funds having a maturity of three months or less at the time of purchase. The Company had $11,572 and $41,095, respectively, in cash and cash equivalents as of September 30, 2008 and 2007.
Start-up Costs
In accordance with the American Institute of Certified Public Accountants Statement of Position 98-5, “Reporting on the Costs of Start-up Activities”, the Company expenses all costs incurred in connection with the start-up and organization of the Company.
Advertising
Advertising is expensed as incurred. The Company has had no advertising expense since inception.
Common Stock Issued For Other Than Cash
Services purchased and other transactions settled in the Company's common stock are recorded at the estimated fair value of the stock issued if that value is more readily determinable than the fair value of the consideration received.
Revenue Recognition
Revenue will be recognized when the following conditions are met: persuasive evidence of an arrangement exists; delivery has occurred in accordance with the terms of the arrangement; the price is fixed or determinable; and collectability is reasonable assured.
5
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 2-
SUMMARYOF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)
Net Income or (Loss) Per Share of Common Stock
The following table sets forth the computation of basic and diluted earnings per share:
|
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| THREE MONTHS |
| THREE MONTHS |
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|
| ENDING |
| ENDING |
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| SEPTEMBER 30, |
| SEPTEMBER 30, |
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| 2008 |
| 2007 |
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Net income (loss) |
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| $ (7,443) |
| $ (5,000) | ||
Weighted average common shares |
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|
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outstanding (Basic) |
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| 8,800,000 |
| 8,800,000 | ||
| Options |
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|
| - |
| - |
| Warrants |
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| - |
| - |
Weighted average common shares |
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outstanding (Diluted) |
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| 8,800,000 |
| 8,800,000 | ||
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Net loss per share (Basic and Diluted) | $ (0.001) |
| $ (0.001) | ||||
The Company has no potentially dilutive securities, such as options or warrants, currently issued and outstanding.
Recent Accounting Pronouncements
In September, 2006 the FASB issued SFAS No. 157, “Fair Value Measurements,” which provides a definition of fair value, establishes a frame-
work for measuring fair value and requires expanded disclosures about fair value measurements. SFAS No. 157 is effective for financial statements issued for fiscal years beginning after November 15, 2007 and interim periods within those fiscal years. The provisions of SFAS No. 157 should be applied prospectively. The Company’s transactions are reported at fair value due to the short-term cash nature of its transactions.
6
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 2-
SUMMARYOF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)
Recent Accounting Pronouncements (Continued)
In September, 2006, the FASB issued SFAS No. 158, “Employers’ Accounting for Defined Benefit Pension and Other Post-retirement Plans,” which amends SFAS No. 87, “Employers’ Accounting for Pensions,”SFAS No. 88, “Employers’ Accounting for Settlements and Curtailments of Defined Benefit Plans and for Termination Benefits,”SFAS No. 106, “Employers’ Accounting for Postretirement Benefits Other Than Pensions,”and SFAS No. 123R, “Employers’ Disclosures about Pensions and Other Post-retirement Benefits(revised 2003).” This statement requires companies to recognize an asset or liability for the over-funded or under-funded status of their benefit plans in their financial statements. SFAS No. 158 also requires the measurement date for plan assets and liabilities to coincide with the sponsor’s year end. The standard provides two transition alternatives related to the change in measurement date provisions. The recognition of an asset or liability related to the funding status provision is effective for fiscal years ending after December 15, 2006 and the change in measurement date provisions is effective for fiscal years ending after December 15, 2008. This pronouncement has no effect on the Company at this time.
In February, 2007 the FASB issued SFAS No. 159, “The Fair Value Option for Financial Assets and Liabilities,”including an amendment to SFAS No. 115, “Accounting for Certain Investments in Debt and Equity Securities,”applicable to all entities with available-for-sale and trading securities. SFAS No. 159 permits entities to measure many financial instruments and certain other items at fair value. Eligible items include recognized financial assets and liabilities other than investments or interests which an entity is required to consolidate, financial assets or liabilities recognized under leases, deposit liabilities of financial institutions, or financial instruments that are classified by the issuer as a component of shareholders’ equity. Also eligible are firm commitments that would otherwise not be recognized at inception and that involve only financial instruments, non-financial insurance contracts and warranties that the issuer can settle by paying a third party to provide those goods or services, and host financial instruments that
result from separation of an embedded non-financial derivative instrument from a non-financial hybrid instrument. SFAS No. 159 is effective as of the beginning of an entity’s fiscal year that begins after November 15, 2007. This pronouncement
has no effect on the Company at this time.
7
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 2-
SUMMARYOF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)
Recent Accounting Pronouncements (Continued)
In December, 2007, the Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standard (SFAS) No. 160, “Noncontrolling Interests in Consolidated Financial Statements”,an Amendment of ARB No. 51. SFAS No. 160 applies to “for profit” entities that prepare consolidated financial statements where there is an outstanding non-controlling interest in a subsidiary. The statement requires that the non-controlling interest be reported in the equity section of the consolidated balance sheet but identified separately from the parent. The amount of consolidated net income attributed to the non-controlling interest is required to be presented, clearly labeled for the parent and the non-controlling entity, on the face of the consolidated statement of income. When a subsidiary is deconsolidated, any retained non-controlling interest is to be measured at fair value. Gain or loss on deconsolidation is recognized rather than carried as the value of the retained investment. The statement is effective for fiscal years and interim periods beginning on or after December 15, 2008. It cannot be adopted earlier but, once adopted, it is to be applied retroactively. This pronouncement has no effect on this Company’s financial reporting at this time..
Also in December 2007, the FASB issued SFAS No. 141R,“Business Combinations”(“SFAS No. 141R”). SFAS No. 141R amends SFAS 141 and provides revised guidance for recognizing and measuring identifiable assets and goodwill acquired, liabilities assumed, and any non-controlling interest in the
acquiree. It also provides disclosure requirements to enable users of the financial statements to evaluate the nature and financial effects of the business combination. It is effective for fiscal years beginning on or after December 15, 2008 and will be applied prospectively. SFAS No. 141R has no effect on the Company’s financial reporting.
8
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 2-
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)
Recent Accounting Pronouncements (Continued)
In March of 2008 the Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards (SFAS) No. 161, “Disclosures about Derivative Instruments and Hedging Activities—an amendment of FASB Statement No. 133, “Accounting for Derivatives and Hedging Activities.” SFAS No. 161 has the same scope as Statement No. 133 but requires enhanced disclosures about (a) how and why an entity uses derivative instruments, (b) how derivative instruments and related hedged items are accounted for under Statement No. 133 and its related interpretations, and (c) how derivative instruments and related hedged items affect an entity’s financial position, financial performance, and cash flows. SFAS No. 161 is effective for financial statements issued for fiscal years and interim periods beginning after November 15, 2008, with early application encouraged. The statement encourages, but does not require, comparative disclosures for earlier periods at initial adoption. SFAS No. 161 has no effect on the Company’s financial position, statements of operations, or cash flows at this time.
In May of 2008, the FASB issued Statement No. 162,“The Hierarchy of Generally Accepted Accounting Principles.” This statement identifies literature established by the FASB as the source for accounting principles to be applied by entities which prepare financial statements presented in conformity with generally accepted accounting principles (GAAP) in the United States. This statement is effective 60 days following approval by the SEC of the Public Company Accounting Oversight Board amendments to AU Section 411,“The Meaning of Present Fairly in Conformity With Generally Accepted Accounting Principles.” This statement will require no changes in the Company’s financial reporting practices.
In May of 2008 the Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards (SFAS) No. 163,“Accounting for Financial Guarantee Insurance – an interpretation of FASB Statement No. 60, Accounting and Reporting by Insurance Enterprises”. This statement requires that an insurance enterprise recognize a claim liability prior to an event of default (insured event) when there is evidence that credit deterioration has occurred in an insured financial obligation. This statement also clarifies how Statement 60 applies to financial guarantee insurance contracts. This statement is effective for fiscal years beginning after December 15, 2008. This statement has no effect on the Company’s financial reporting at this time.
9
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 3-
PROVISION FOR INCOME TAXES
The Company recognizes the tax effects of transactions in the year in which such transactions enter into the determination of net income regardless of when reported for tax purposes. Deferred taxes are provided in the financial statements under SFAS No. 109 to give effect to the temporary differences which may arise from differences in the bases of fixed assets, depreciation methods and allowances based on the income taxes expected to be payable in future years. Minimal development stage deferred tax assets arising as a result of net operating loss carry-forwards have been offset completely by a valuation allowance due to the uncertainty of their utilization in future periods. Operating loss carry-forwards generated during the period from January 24, 2007 (date of inception) through September 30, 2008 of approximately $42,071 will begin to expire in 2028. Accordingly, deferred tax assets of approximately $12,621 were offset by the valuation allowance.
NOTE 4 -
STOCKHOLDERS’ EQUITY
Common Stock
As of September 30, 2008 the Company has 100,000,000 shares of common stock with a par value of $.001 per share authorized and 8,800,000 shares issued and outstanding.
The following details the stock transactions for the Company:
On February 1, 2007 the Company issued 4,000,000 shares of its common stock to its founders for $.001 per share, totaling $4,000 cash, to be used for initial working capital.
During February and March of 2007 the Company sold 4,800,000 shares of its common stock at $.01 per share for $48,000 cash to be used for working capital and for the implementation of its business plan.
NOTE 5-
RELATED PARTY TRANSACTIONS
Services and facilities have been provided, without compensation, by officers and directors of the Company during its formation and for the initial sale of stock. No value has been assigned to the services nor has any expense and capital contribution been included in the financial statements.
10
Promodoeswork.com, Inc.
(A Development Stage Company)
NOTES TO CONDENSED FINANCIAL STATEMENTS
(UNAUDITED)
For the Three Months ending September 30, 2008
NOTE 6-
GOING CONCERN
The accompanying condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America, which contemplates continuation of the Company as a going concern.
The Company is in the development stage and has no recurring operating revenues. These items raise substantial doubt about the Company’s ability to continue as a going concern.
In view of these matters, realization of the assets of the Company is dependent upon the Company’s ability to meet its financial requirements and the success of future operations. These condensed financial statements do not include adjustments relating to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue in existence.
11
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Promodoeswork is a development stage company with no operations, no revenue, no financial backing and few assets. Our plan of operations is to build a business selling promotional apparel. We intend to do this by marketing directly to customers through the Internet. We will start by establishing an Internet storefront.
We have identified specific products and determined reliable suppliers and service providers that we intend to deal with once our company begins operations. Our President has a long standing working relationship with the companies we intend use. All of the suppliers and contractors we will be using are in Canada.
We have no plans to enter into fixed contractual relationships with any contractors or suppliers. We are not looking for exclusive marketing rights nor do we plan to enter into any agency agreements. Purchasing apparel will simply be a matter of placing an order with a manufacturer or distributor once we have made the sale.
We have already begun to design and build our website. Our domain name has been registered and it will be located atwww.promodoeswork.com. Within the next month, we will be placing a one-page introduction on the Internet. The page will be updated from time to time, as more information is available. The website will be fully operational by the end of fourth quarter 2008. We anticipate generating modest revenues from Internet sales shortly after the website is operational. The website hosting will be contracted from a local Internet Service Provider (ISP). We have not yet chosen an ISP, however we do not anticipate any problem in finding a supplier at a competitive cost.
Our website will be the initial contact medium for our customers. All orders will be placed though a “Shopping- Cart” system. Upon receipt of the order, the order will be checked and a confirmation will be returned to the customer. Art work will be confirmed; any necessary digitizing will be completed and the customer will be asked to approve a proof of the finished artwork. Once the customer approved digitized artwork is approved, the clothing items will be ordered and forwarded to a silk screen or embroidery shop along with the digitized artwork for finishing. Upon completion, the finished goods will be shipped directly. We will begin accepting and filling customer orders as soon as our website is functional.
We will not be selling or shipping our products outside of Canada, therefore all of the prices appearing on our website will be in Canadian dollars. There will be an explanation of this policy on our website. Orders from non-Canadian residents will be declined and the persons placing the order will be advised by e-mail.
During the first stage of the Company’s development, our officers and directors will provide their labor at no charge. They will undertake all administrative tasks, as well as oversee the website and conduct the day to day operations. They will also provide the office equipment and furniture necessary for the first year of operations. If sales revenues increase, we will re-evaluate the staffing situation. Future staffing considerations will be made on an as-needed basis. We do not anticipate hiring any staff until after the first year of operations.
We have found through limited discussions with suppliers and price comparisons with existing retailers that other retailers appear to be marking-up products by approximately 40 percent. We believe that by staying within the existing pricing range we will be able to effectively compete with our major competitors. Our marketing strategy will be to offer an extensive line of products covering the full range of quality levels.
How long we will be able to satisfy our cash requirements, and whether we will require additional outside funding in the next twelve months depends on how quickly we can generate sales revenue and how much revenue can be generated.
Although we have not been able to raise funding through the last stock offering on Form SB-2, we believe we have sufficient cash on hand to sustain operations for the first year of operations.
We have no plans to undertake product research and development. There are no plans or expectations to purchase or sell any plant and or significant equipment in the first year of operations. Management also has no intention of hiring any full time permanent employees during the first year of operations.
During the first year of operations, we will concentrate our efforts exclusively on building our Internet business within the Canadian marketplace. As we gain experience and develop sufficient revenues from sales, we will consider expanding our business outside of Canada.
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
No applicable to smaller reporting companies.
ITEM 4. CONTROLS AND PROCEDURES
Evaluation of Disclosure Controls and Procedures
Under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, we have conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Securities and Exchange Act of 1934, as of the end of the period covered by this report. Based on this evaluation, our principal executive officer and principal financial officer concluded as of the evaluation date that our disclosure controls and procedures were effective such that the material information required to be included in our Securities and Exchange Commission reports is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms relating to our company, particularly during the period when this report was being prepared.
Additionally, there were no significant changes in our internal controls or in other factors that could significantly affect these controls subsequent to the evaluation date. We have not identified any significant deficiencies or material weaknesses in our internal controls, and therefore there were no corrective actions taken.
PART II – OTHER INFORMATION
ITEM 6. EXHIBITS
Exhibit
Number
Description
31
Rule 13a-14(a)/15d-14a(a) Certifications
32
Section 1350 Certifications
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
November 11,2008
Promodoeswork.com, Inc., Registrant
By:
/s/ Louis Waldman
Louis Waldman
Director, President, Principal Executive Officer
By:
/s/ Derrick Waldman
Derrick Waldman
Principal Financial Officer
By:
:
/s/ John Spencer
John Spencer
Control/Principal Accounting Officer
