Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Aug. 31, 2012 | Nov. 21, 2013 | Feb. 29, 2012 | |
Document and Entity Information | ' | ' | ' |
Entity Registrant Name | 'SINO PAYMENTS, INC. | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Aug-12 | ' | ' |
Amendment Flag | 'false | ' | ' |
Entity Central Index Key | '0001417664 | ' | ' |
Current Fiscal Year End Date | '--08-31 | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 26,566,930 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Document Fiscal Year Focus | '2012 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Public Float | ' | ' | $9,948,014.41 |
Balance_Sheets
Balance Sheets (USD $) | Aug. 31, 2012 | Aug. 31, 2011 |
Current Assets | ' | ' |
Cash | $0 | $0 |
Total Assets | 0 | 0 |
Current Liabilities | ' | ' |
Bank indebtedness | 0 | 9 |
Accounts payable and accrued liabilities | 128,492 | 97,495 |
Due to related party | 4,876 | 4,876 |
Line of credit - related party | 43,303 | 16,128 |
Total Liabilities | 176,671 | 118,508 |
Stockholders' Deficit | ' | ' |
Preferred stock, 100,000,000 shares authorized, $0.00001 par value; no shares issued and outstanding | 0 | 0 |
Common stock, 100,000,000 shares authorized, $0.00001 par value; 12,000,000 shares issued and outstanding | 120 | 120 |
Additional paid-in capital | 1,041,600 | 1,041,600 |
Deficit accumulated during the development stage | -1,218,391 | -1,160,228 |
Total Stockholders' Deficit | -176,671 | -118,508 |
Total Liabilities and Stockholders' Deficit | $0 | $0 |
Balance_Sheets_Parentheticals
Balance Sheets Parentheticals (USD $) | Aug. 31, 2012 | Aug. 31, 2011 |
Parentheticals | ' | ' |
Preferred stock, par value | $0.00 | $0.00 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Common Stock, par value | $0.00 | $0.00 |
Common Stock, shares authorized | 100,000,000 | 100,000,000 |
Common Stock, shares issued | 12,000,000 | 12,000,000 |
Common Stock, shares outstanding | 12,000,000 | 12,000,000 |
Statements_of_Operations
Statements of Operations (USD $) | 12 Months Ended | 62 Months Ended | |
Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2012 | |
REVENUES: | ' | ' | ' |
Revenue | $0 | $0 | $0 |
Operating Expenses | ' | ' | ' |
General and administrative | 54,953 | 203,996 | 1,177,758 |
Foreign exchange loss (gain) | 481 | -66 | 415 |
Loss on impairment of joint venture | 0 | 10,000 | 10,000 |
Total Operating Expenses | 55,434 | 213,930 | 1,188,173 |
Operating loss | -55,434 | -213,930 | -1,188,173 |
Other Expense | ' | ' | ' |
Interest expense | -2,729 | -1,315 | -6,381 |
Loss on settlement of debt | 0 | -15,868 | -23,838 |
Net loss | ($58,163) | ($231,113) | ($1,218,392) |
Net loss per share, basic and diluted | ($0.01) | ($0.02) | ' |
Weighted average number of shares outstanding | 12,000,000 | 10,191,345 | ' |
Statements_of_Cash_Flows
Statements of Cash Flows (USD $) | 12 Months Ended | 62 Months Ended | |
Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2012 | |
Operating Activities | ' | ' | ' |
Net loss for the year | ($58,163) | ($231,113) | ($1,218,392) |
Adjustments to reconcile net loss to net cash used In operating activities: | ' | ' | ' |
Accretion expense | 0 | 0 | 3,600 |
Loss on settlement of debt. | 0 | 15,868 | 23,838 |
Loss on impairment of joint venture | 0 | 10,000 | 10,000 |
Shares issued for services | 0 | 29,150 | 637,995 |
Warrants issued for services | 0 | 0 | 2,938 |
Changes in operating assets and liabilities: | ' | ' | ' |
Accounts payable and accrued liabilities | 30,988 | 155,975 | 350,675 |
Line of credit - related party | 27,175 | 0 | 27,175 |
Net cash used in operating activities | 0 | -20,120 | -162,172 |
Financing Activities | ' | ' | ' |
Proceeds from issuance of common stock | 0 | 0 | 85,130 |
Proceeds from convertible notes payable | 0 | 0 | 7,200 |
Proceeds from promissory note payable | 0 | 3,982 | 30,517 |
Proceeds from related parties, net | 0 | 16,128 | 39,325 |
Net cash provided by financing activities | 0 | 20,110 | 162,172 |
Decrease in cash | 0 | -10 | 0 |
Cash, beginning of period | 0 | 10 | 0 |
Cash, end of period | 0 | 0 | 0 |
Supplemental disclosures: | ' | ' | ' |
Interest paid | 0 | 0 | 0 |
Income taxes paid | 0 | 0 | 0 |
Non-cash investing and financing activities: | ' | ' | ' |
Beneficial conversion expense of convertible notes | 0 | 0 | 3,600 |
Shares issued for joint venture | 0 | 10,000 | 10,000 |
Shares issued to settle notes payable | $0 | $18,314 | $41,017 |
Statement_of_Stockholders_Equi
Statement of Stockholders' Equity (Deficit) (USD $) | Common Stock Shares | Common Stock Par Value | Additional Paid-in Capital | Accumulated Deficit | Total |
USD ($) | USD ($) | USD ($) | USD ($) | ||
Balance at Jun. 26, 2007 | 0 | 0 | 0 | 0 | 0 |
Shares for cash at $0.00002 per share | 6,500,000 | 65 | 65 | 0 | 130 |
Net loss for the period | ' | $0 | $0 | ($10,570) | ($10,570) |
Balance at Aug. 31, 2007 | 6,500,000 | 65 | 65 | -10,570 | -10,440 |
Shares for cash at $0.10 per share | 810,000 | 8 | 80,992 | 0 | 81,000 |
Net loss for the year. | ' | 0 | 0 | -64,592 | -64,592 |
Balance at Aug. 31, 2008 | 7,310,000 | 73 | 81,057 | -75,162 | 5,968 |
Shares for settlement of debt | 772,441 | 8 | 446,262 | 0 | 446,270 |
Beneficial conversion on notes payable | ' | 0 | 3,600 | 0 | 3,600 |
Net loss for the year. | ' | 0 | 0 | -548,174 | -548,174 |
Balance at Aug. 31, 2009 | 8,082,441 | 81 | 530,919 | -623,336 | -92,336 |
Return to treasury | -186,667 | -2 | 2 | 0 | 0 |
Fair value of warrants issued | ' | 0 | 2,938 | 0 | 2,938 |
Shares for settlement of debt | 138,669 | 1 | 38,664 | 0 | 38,665 |
Shares issued for services. | 1,052,427 | 11 | 169,863 | 0 | 169,874 |
Net loss for the year. | ' | 0 | 0 | -305,779 | -305,779 |
Balance at Aug. 31, 2010 | 9,086,870 | 91 | 742,386 | -929,115 | -186,638 |
Shares issued for joint venture. | 166,667 | 2 | 9,998 | 0 | 10,000 |
Shares for settlement of liabilities | 2,304,796 | 23 | 260,070 | 0 | 260,093 |
Shares issued for services. | 441,667 | 4 | 29,146 | 0 | 29,150 |
Net loss for the year. | ' | 0 | 0 | -231,113 | -231,113 |
Balance at Aug. 31, 2011 | 12,000,000 | 120 | 1,041,600 | -1,160,228 | -118,508 |
Net loss for the year. | ' | $0 | $0 | ($58,163) | ($58,163) |
Balance at Aug. 31, 2012 | 12,000,000 | 120 | 1,041,600 | -1,218,391 | -176,671 |
Nature_of_Operations_and_Conti
Nature of Operations and Continuance of Business | 12 Months Ended |
Aug. 31, 2012 | |
Nature of Operations and Continuance of Business | ' |
Nature of Operations and Continuance of Business | ' |
1 | |
Nature of Operations and Continuance of Business | |
Sino Payments Inc. (the “Company”) was incorporated in the State of Nevada on June 26, 2007. The Company is a Development Stage Company, as defined by Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 915, Development Stage Entities. The Company’s principal business is to provide credit and debit card processing services to multinational retailers in Asia. | |
Going Concern | |
These financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has not generated significant revenues since inception and is unlikely to generate significant revenue or earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon the continued financial support from its shareholders, the ability of the Company to obtain necessary equity financing to continue operations, and the attainment of profitable operations. As at August 31, 2012, the Company has a working capital deficiency of $176,671 and has accumulated losses totaling $1,218,391 since inception. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended |
Aug. 31, 2012 | |
Summary of Significant Accounting Policies | ' |
Summary of Significant Accounting Policies | ' |
2 | |
Summary of Significant Accounting Policies | |
a) | |
Basis of Presentation | |
These financial statements and related notes are presented in accordance with accounting principles generally accepted in the United States, and are expressed in U.S. dollars. The Company’s fiscal year end is August 31. | |
b) | |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. | |
c) | |
Cash and Cash Equivalents | |
The Company considers all highly liquid instruments with maturity of three months or less at the time of issuance to be cash equivalents. | |
d) | |
Financial Instruments | |
Pursuant to ASC 820, Fair Value Measurements and Disclosures, an entity is required to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 prioritizes the inputs into three levels that may be used to measure fair value: | |
Level 1 | |
Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. | |
Level 2 | |
Level 2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. | |
Level 3 | |
Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. | |
The Company’s financial instruments consist principally of cash, and amounts due to related parties. Pursuant to ASC 820, the fair value of our cash is determined based on “Level 1” inputs, which consist of quoted prices in active markets for identical assets. We believe that the recorded values of all of our other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations. | |
e) | |
Loss per Share | |
The Company computes net loss per share in accordance with ASC 260, Earnings per Share. ASC 260 requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing net loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti dilutive. | |
f) | |
Revenue Recognition | |
The Company recognizes revenue from its processing services in accordance with ASC 605, Revenue Recognition. Revenue is recognized only when the price is fixed or determinable, persuasive evidence of an arrangement exists, the service has been provided, and collectability is reasonably assured. | |
g) | |
Comprehensive Loss | |
ASC 220, Comprehensive Income, establishes standards for the reporting and display of comprehensive loss and its components in the financial statements. As at August 31, 2012 and 2011, the Company has no items that represent a comprehensive loss and, therefore, has not included a schedule of comprehensive loss in the financial statements. | |
h) | |
Foreign Currency Translation | |
Transactions in foreign currencies are translated into the currency of measurement at the exchange rates in effect on the transaction date. Monetary balance sheet items expressed in foreign currencies are translated into United States dollars at the exchange rates in effect at the balance sheet date. The resulting exchange gains and losses are recognized in income. Foreign currency transactions are primarily undertaken in Hong Kong dollars. | |
i) | |
Stock-based Compensation | |
The Company records stock-based compensation in accordance with ASC 718, Compensation – Stock Compensation using the fair value method. All transactions in which goods or services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. Equity instruments issued to employees and the cost of the services received as consideration are measured and recognized based on the fair value of the equity instruments issued. | |
j) | |
Recent Accounting Pronouncements | |
The Company has implemented all new accounting pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its consolidated financial statements. | |
k) | |
Reclassification | |
Certain amounts in the balance sheet have been reclassified in the prior year to conform to the current year presentation. |
Investment_in_Joint_Venture
Investment in Joint Venture | 12 Months Ended |
Aug. 31, 2012 | |
Investment in Joint Venture | ' |
Investment in Joint Venture | ' |
3 | |
Investment in Joint Venture | |
On November 26, 2010, the Company entered into a joint venture agreement with TAP e-Payment Services (H.K.) Ltd. (TAP) and agreed to issue 1,000,000 common shares of the Company with a fair value of $10,000 in exchange for 51% interest of TAP. As at August 31, 2012, the Company’s interest in the joint venture was a net loss of $5,758 (2011 - $40,887), of which $10,000 was reflected against the investment in joint venture. |
Loan_Payablerelated_party
Loan Payable-related party | 12 Months Ended |
Aug. 31, 2012 | |
Loan Payable-related party | ' |
Loan Payable-related party | ' |
4 | |
Loan Payable-related party | |
a) | |
As at August 31, 2012, the Company owes $43,303 (2011 - $16,128) to a related party for payment of operating expenditures. The amount owing is unsecured, due interest at 8% per annum, and due on demand. Accrued interest of $2,568 (2011 - $328) has been recorded in accrued liabilities. | |
b) | |
On January 10, 2011 the Company entered into a revolving line of credit with a related party for $100,000. During the year ended August 31, 2012, the Company borrowed a total of $0 and accrued interest expense of $0. |
Common_Shares
Common Shares | 12 Months Ended |
Aug. 31, 2012 | |
Common Shares | ' |
Common Shares | ' |
5 | |
Common Shares | |
All common share issuances for non-cash purposes are valued using the end-of-day trading price based on the date that the shares were issued or authorized by management, unless otherwise indicated. | |
a) | |
On May 11, 2011, the Company issued 5,827,158 common shares with a fair value of $116,545 to settle outstanding services of $87,005 resulting in a loss on settlement of debt of $29,540. | |
b) | |
On May 10, 2011, the Company issued 960,000 common shares with a fair value of $19,400 to settle outstanding directors’ fees. | |
c) | |
On January 28, 2011, the Company authorized the issuance of 2,656,250 common shares with a fair value of $53,125. The common shares were issued on March 28, 2011. | |
d) | |
On January 24, 2011, the Company authorized the issuance of 2,553,971 common shares to directors and officers with a fair value of $65,127 to settle outstanding balances owing of $66,071 resulting in a gain on settlement of debt of $944. The common shares were issued on April 1, 2011. | |
e) | |
On December 10, 2010, the Company authorized the issuance of 4,481,400 common shares with a fair value of $49,295 to settle outstanding notes payable and accrued interest of $18,824 at $0.01 per common share, and consulting services of $29,150, resulting in a loss on settlement of debt of $1,321. The common shares were issued on March 28, 2011. | |
f) | |
On December 10, 2010, the Company authorized the issuance of 1,000,000 common shares with a fair value of $10,000 as part of their interest in the joint venture agreement, as noted in Note 3. The common shares were issued on March 28, 2011. |
Note_Payable
Note Payable | 12 Months Ended |
Aug. 31, 2012 | |
Note Payable | ' |
Note Payable | ' |
6 | |
Note Payable | |
a) | |
As at August 31, 2012, the Company owes $4,876 (2011 - $4,876) to a third party (former director of the Company) for payment of general operating expenditures. The amounts owing are unsecured, due interest at 10% per annum, and due on demand. Accrued interest of $1,815 (2011 - $1,326) has been recorded in accrued liabilities. |
Income_Taxes
Income Taxes | 12 Months Ended | |||
Aug. 31, 2012 | ||||
Income Taxes | ' | |||
Income Taxes | ' | |||
7 | ||||
Income Taxes | ||||
The Company has $924,872 of net operating losses carried forward to offset taxable income in future years which expire commencing in fiscal 2027. The income tax benefit differs from the amount computed by applying the US federal income tax rate of 34% to net loss before income taxes for the years ended August 31, 2012 and 2011 as a result of the following: | ||||
2012 | 2011 | |||
$ | $ | |||
Net loss before taxes | -58,163 | -231,113 | ||
Statutory rate | 34% | 34% | ||
Expected tax recovery | -19,775 | -78,578 | ||
Non-deductible expenses | – | 5,395 | ||
Change in valuation allowance | 19,775 | 73,183 | ||
Income tax provision | – | – | ||
The significant components of deferred income tax assets and liabilities as at August 31, 2011 and 2010, after applying enacted corporate income tax rates, are as follows: | ||||
2012 | 2011 | |||
$ | $ | |||
Net operating losses carried forward | 314,456 | 294,483 | ||
Valuation allowance | -314,456 | -294,483 | ||
Net deferred tax asset | – | – | ||
The Company has incurred operating losses of $924,872 which, if unutilized, will expire through to 2032. Future tax benefits, which may arise as a result of these losses, have not been recognized in these financial statements, and have been offset by a valuation allowance. The following table lists the fiscal year in which the loss was incurred and the expiration date of the operating: | ||||
Net | ||||
Loss | ||||
Period Incurred | $ | Expiry Date | ||
2007 | 10,571 | 2027 | ||
2008 | 64,592 | 2028 | ||
2009 | 281,592 | 2029 | ||
2010 | 294,709 | 2030 | ||
2011 | 215,245 | 2031 | ||
2012 | 58,163 | 2032 | ||
924,872 |
Subsequent_Events
Subsequent Events | 12 Months Ended |
Aug. 31, 2012 | |
Subsequent Events | ' |
Subsequent Events | ' |
8 | |
Subsequent Events | |
a) | |
On March 18, 2013, the Company and its Board of Directors authorized a one-for-six reverse stock split of the Company’s issued and outstanding common shares. The effects of the reverse stock split decreased the number of the issued and outstanding common shares from 72,000,000 common shares to 12,000,000 common shares after accounting for partial shares. The reverse stock split has been applied on a retroactive basis. | |
b) | |
On November 24, 2011, the Company entered into a share exchange agreement with TAP Investments Group Limited (“TIG”), a Hong Kong limited company, whereby the Company acquired the remaining 49% of Tap ePayment Services (HK) Limited from TIG in exchange for 50% of the issued and outstanding common shares of the Company. On April 8, 2013, the Company issued 12,000,000 common shares, representing 50% of the issued and outstanding common shares of the Company on the date of issuance, to TIG and enacted the share exchange agreement. | |
c) | |
On June 7, 2013, the Company issued 1,566,900 common shares at $0.18 per share for proceeds of $282,042. Mr Kenneth Tan incoming CEO as of Aug. 26, 2013 subscribed to this placement and received 1,424,500 shares purchased at $0.18 cents for cash received of $256,410. |
ACCOUNTING_POLICIES_Policies
ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Aug. 31, 2012 | |
ACCOUNTING POLICIES | ' |
Basis of Presentation | ' |
a) | |
Basis of Presentation | |
These financial statements and related notes are presented in accordance with accounting principles generally accepted in the United States, and are expressed in U.S. dollars. The Company’s fiscal year end is August 31. | |
Use of Estimates | ' |
b) | |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. | |
Cash and Cash Equivalents, Policy | ' |
c) | |
Cash and Cash Equivalents | |
The Company considers all highly liquid instruments with maturity of three months or less at the time of issuance to be cash equivalents. | |
Financial Instruments | ' |
d) | |
Financial Instruments | |
Pursuant to ASC 820, Fair Value Measurements and Disclosures, an entity is required to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 prioritizes the inputs into three levels that may be used to measure fair value: | |
Level 1 | |
Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. | |
Level 2 | |
Level 2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. | |
Level 3 | |
Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. | |
The Company’s financial instruments consist principally of cash, and amounts due to related parties. Pursuant to ASC 820, the fair value of our cash is determined based on “Level 1” inputs, which consist of quoted prices in active markets for identical assets. We believe that the recorded values of all of our other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations. | |
Loss per Share Policy | ' |
e) | |
Loss per Share | |
The Company computes net loss per share in accordance with ASC 260, Earnings per Share. ASC 260 requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing net loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti dilutive. | |
Revenue Recognition | ' |
f) | |
Revenue Recognition | |
The Company recognizes revenue from its processing services in accordance with ASC 605, Revenue Recognition. Revenue is recognized only when the price is fixed or determinable, persuasive evidence of an arrangement exists, the service has been provided, and collectability is reasonably assured. | |
Comprehensive Loss Policy | ' |
g) | |
Comprehensive Loss | |
ASC 220, Comprehensive Income, establishes standards for the reporting and display of comprehensive loss and its components in the financial statements. As at August 31, 2012 and 2011, the Company has no items that represent a comprehensive loss and, therefore, has not included a schedule of comprehensive loss in the financial statements. | |
Foreign Currency Translation Policy | ' |
h) | |
Foreign Currency Translation | |
Transactions in foreign currencies are translated into the currency of measurement at the exchange rates in effect on the transaction date. Monetary balance sheet items expressed in foreign currencies are translated into United States dollars at the exchange rates in effect at the balance sheet date. The resulting exchange gains and losses are recognized in income. Foreign currency transactions are primarily undertaken in Hong Kong dollars. | |
Share-based Compensation Policy | ' |
i) | |
Stock-based Compensation | |
The Company records stock-based compensation in accordance with ASC 718, Compensation – Stock Compensation using the fair value method. All transactions in which goods or services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. Equity instruments issued to employees and the cost of the services received as consideration are measured and recognized based on the fair value of the equity instruments issued. | |
Recent Accounting Pronouncements | ' |
j) | |
Recent Accounting Pronouncements | |
The Company has implemented all new accounting pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its consolidated financial statements. | |
Reclassification | ' |
k) | |
Reclassification | |
Certain amounts in the balance sheet have been reclassified in the prior year to conform to the current year presentation. |
Components_Of_Income_Tax_Expen
Components Of Income Tax Expense Benefit (Tables) | 12 Months Ended | |||
Aug. 31, 2012 | ||||
Components Of Income Tax Expense Benefit | ' | |||
Components of Income Tax Expense | ' | |||
The Company has $924,872 of net operating losses carried forward to offset taxable income in future years which expire commencing in fiscal 2027. The income tax benefit differs from the amount computed by applying the US federal income tax rate of 34% to net loss before income taxes for the years ended August 31, 2012 and 2011 as a result of the following: | ||||
2012 | 2011 | |||
$ | $ | |||
Net loss before taxes | -58,163 | -231,113 | ||
Statutory rate | 34% | 34% | ||
Expected tax recovery | -19,775 | -78,578 | ||
Non-deductible expenses | – | 5,395 | ||
Change in valuation allowance | 19,775 | 73,183 | ||
Income tax provision | – | – | ||
Significant components of deferred income tax assets and liabilities | ' | |||
The significant components of deferred income tax assets and liabilities as at August 31, 2011 and 2010, after applying enacted corporate income tax rates, are as follows: | ||||
2012 | 2011 | |||
$ | $ | |||
Net operating losses carried forward | 314,456 | 294,483 | ||
Valuation allowance | -314,456 | -294,483 | ||
Net deferred tax asset | – | – | ||
Following table lists the fiscal year in which the loss was incurred and the expiration date of the operating | ' | |||
The following table lists the fiscal year in which the loss was incurred and the expiration date of the operating: | ||||
Net | ||||
Loss | ||||
Period Incurred | $ | Expiry Date | ||
2007 | 10,571 | 2027 | ||
2008 | 64,592 | 2028 | ||
2009 | 281,592 | 2029 | ||
2010 | 294,709 | 2030 | ||
2011 | 215,245 | 2031 | ||
2012 | 58,163 | 2032 | ||
924,872 |
Going_Concern_Details
Going Concern (Details) (USD $) | Aug. 31, 2012 |
Going Concern: | ' |
Working capital deficiency | $176,671 |
Accumulated losses totaling | $1,218,391 |
Investment_in_Joint_Venture_As
Investment in Joint Venture As Follows (Details) (USD $) | Aug. 31, 2012 | Aug. 31, 2011 | Nov. 26, 2010 |
Investment in Joint Venture As Follows: | ' | ' | ' |
Entered into a joint venture agreement, agreed to issue common shares | ' | ' | 1,000,000 |
Common shares with a fair value | ' | ' | $10,000 |
Common shares with a fair value in exchange for interest | ' | ' | 51.00% |
Interest in the joint venture was a net loss | 5,758 | 40,887 | ' |
Reflected against the investment in joint venture | $10,000 | ' | ' |
Loan_Payablerelated_party_As_F
Loan Payable-related party As Follows (Details) (USD $) | Aug. 31, 2012 | Aug. 31, 2011 | Jan. 10, 2011 |
Loan Payable-related party As Follows: | ' | ' | ' |
Owes to a related party for payment of operating expenditures | $43,303 | $16,128 | ' |
Due interest rate at per annum | 8.00% | 8.00% | ' |
Accrued interest recorded in accrued liabilities | 2,568 | 328 | ' |
Revolving line of credit with a related party | ' | ' | 100,000 |
Borrowed a total | 0 | ' | ' |
Accrued interest expense | $0 | ' | ' |
Note_Payable_As_Follows_Detail
Note Payable As Follows (Details) (USD $) | Aug. 31, 2012 | Aug. 31, 2011 |
Note Payable As Follows: | ' | ' |
Owes to a to a third party | $4,876 | $4,876 |
Amounts owing are unsecured, due interest rate per annum | 10.00% | 10.00% |
Accrued interest recorded in accrued liabilities. | $1,815 | $1,815 |
Common_Shares_Transactions_Det
Common Shares Transactions (Details) (USD $) | Aug. 31, 2012 |
Common Shares Transactions On May 11, 2011: | ' |
Issued common shares on May 11, 2011 | 5,827,158 |
Issued common shares with a fair value | $116,545 |
Common shares to settle outstanding services | 87,005 |
Resulting loss on settlement of debt | 29,540 |
Common Shares Transactions On May 10, 2011: | ' |
Issued common shares on May 10, 2011 | 960,000 |
Common shares fair value | 19,400 |
Common Shares Transactions On January 28, 2011: | ' |
Issuance of common shares authorized on January 28, 2011 | 2,656,250 |
Issuance of common shares authorized with a fair value | 53,125 |
Common Shares Transactions On January 24, 2011: | ' |
Issuance of common shares authorized on January 24, 2011 | 2,553,971 |
Common shares to directors and officers with a fair value | 65,127 |
Settle outstanding balances owing | 66,071 |
Resulting in a gain on settlement of debt | 944 |
Common Shares Transactions On December 10, 2010: | ' |
Issuance of common shares authorized on December 10, 2010 | 4,481,400 |
Common shares authorized with a fair value | 49,295 |
Outstanding notes payable and accrued interest | 18,824 |
Outstanding notes payable and accrued interest per common share | $0.01 |
consulting services | 29,150 |
Resulting in a loss on settlement of debt | 1,321 |
Issuance of common shares authorized | 1,000,000 |
Authorized common shares fair value | $10,000 |
Income_Taxes_As_Follows_Detail
Income Taxes As Follows (Details) (USD $) | 12 Months Ended | |
Aug. 31, 2012 | Aug. 31, 2011 | |
Income Taxes As Follows: | ' | ' |
Net loss before taxes | ($58,163) | ($231,113) |
Statutory rate | 34.00% | 34.00% |
Expected tax recovery | -19,775 | -78,578 |
Non-deductible expenses | 0 | 5,395 |
Change in valuation allowance | 19,775 | 73,183 |
Income tax provision | $0 | $0 |
Components_of_deferred_income_
Components of deferred income tax assets and liabilities (Details) (USD $) | Aug. 31, 2012 | Aug. 31, 2011 |
Components of deferred income tax assets and liabilities: | ' | ' |
Net operating losses carried forward | $314,456 | $294,483 |
Valuation allowance | -314,456 | -294,483 |
Net deferred tax asset | $0 | $0 |
Loss_incurred_and_expiration_d
Loss incurred and expiration date of the operating (Details) (USD $) | 12 Months Ended |
Aug. 31, 2012 | |
Loss incurred and expiration date of the operating: | ' |
Period Incurred 2007 Expiry Date 2027 Net Loss | $10,571 |
Period Incurred 2008 Expiry Date 2028 Net Loss | 64,592 |
Period Incurred 2009 Expiry Date 2029 Net Loss | 281,592 |
Period Incurred 2010 Expiry Date 2030 Net Loss | 294,709 |
Period Incurred 2011 Expiry Date 2031 Net Loss | 215,245 |
Period Incurred 2012 Expiry Date 2032 Net Loss | 58,163 |
Incurred Operating Losses Total | $924,872 |
Subsequent_Events_Transactions
Subsequent Events Transactions (Details) (USD $) | Jun. 07, 2013 | Apr. 08, 2013 | Mar. 18, 2013 |
Subsequent Events Transactions: | ' | ' | ' |
Reverse stock split decreased number of the issued and outstanding common shares to | ' | ' | 12,000,000 |
Common shares, issued | 1,566,900 | 12,000,000 | ' |
Common shares, issued per share | $0.18 | ' | ' |
Common shares, issued for proceeds | $282,042 | ' | ' |