Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended |
Jun. 30, 2014 | |
Document And Entity Information | |
Entity Registrant Name | ADVANCED CREDIT TECHNOLOGIES INC |
Entity Central Index Key | 1437517 |
Document Type | 10-Q |
Document Period End Date | 30-Jun-14 |
Amendment Flag | FALSE |
Current Fiscal Year End Date | -19 |
Is Entity a Well-known Seasoned Issuer? | No |
Is Entity a Voluntary Filer? | No |
Is Entity's Reporting Status Current? | Yes |
Entity Filer Category | Smaller Reporting Company |
Entity Common Stock, Shares Outstanding | 22,654,333 |
Document Fiscal Period Focus | Q2 |
Document Fiscal Year Focus | 2014 |
Balance_Sheets
Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Assets | ||
Cash in bank | $1,394 | $2,973 |
Account receivable | ||
Total assets | 1,394 | 2,973 |
Liabilities and stockholders' deficit | ||
Current Liabilities | 150,000 | 100,000 |
Accrued expenses-Other | 15,000 | 15,000 |
Notes payable - Related parties | 17,699 | 18,200 |
Accrued interest | 732 | 732 |
Due to related parties | 0 | 0 |
Total liabilities | 183,431 | 133,932 |
Stockholders' deficit | ||
Common stock 100,000,000, $.001 par value shares authorized, 22,654,333 and 21,236,165 issued and outstanding | 22,654 | 22,467 |
Additional paid-in capital | 762,391 | 747,578 |
Common stock subscriptions received | 0 | 0 |
Deficit accumulated during the development stage | -901,003 | -901,003 |
Net income(loss) | -66,079 | |
Total stockholders' deficit | -182,037 | -130,959 |
Total liabilities and stockholders' deficit | $1,394 | $2,973 |
Balance_Sheets_Parenthetical
Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 |
Statement of Financial Position [Abstract] | |
Common stock - par value | $0.00 |
Common stock - shares authorized | 100,000,000 |
Common stock - shares issued | 22,654,333 |
Common stock - shares outstanding | 22,654,333 |
Statements_of_Operations
Statements of Operations (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Income Statement [Abstract] | ||
Revenues | $10,250 | $19,441 |
Commissions paid | 0 | 624 |
Gross margin | 10,250 | 18,817 |
Operating expenses | ||
Professional fee | 6,745 | 1,599 |
Interest Expense | 300 | 1,363 |
Officer's compensation | 48,479 | 41,070 |
Travel and entertainment | 169 | 89 |
Rent | 100 | 625 |
Computer and internet | 825 | 1,200 |
Research and development | 16,225 | 3,100 |
Office supplies and expenses | 2,017 | 7,285 |
Other operating expenses | 1,469 | 20,840 |
Total operating expenses | 76,329 | 77,171 |
Loss from operations | -66,079 | -58,354 |
Interest Income | 0 | 0 |
Interest expense | 0 | 0 |
Net loss | ($66,079) | ($58,354) |
Earnings per share Weighted Average | ($0.00) | ($0.00) |
Weighted average shares outstanding | -22,560,583 | -21,153,498 |
Shareholders_Equity
Shareholders Equity (USD $) | Common Stock | Additional Paid-In Capital | Deficit Accumulated during development stage | Total |
Beginning Balance, Amount at Dec. 31, 2013 | ($130,959) | |||
Net Loss | -66,079 | -66,079 | ||
Ending Balance, Amount at Jun. 30, 2014 | $22,654 | $762,391 | ($967,382) | ($182,037) |
Ending Balance, Shares at Jun. 30, 2014 | 22,654,333 |
Statements_of_Cash_Flows
Statements of Cash Flows (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Cash flows used by operating activities: | ||
Net loss | ($66,079) | ($58,354) |
Adjustments to reconcile net loss to net cash provided by operations | ||
Stock issued for consulting services | 0 | 0 |
Changes in liabilities | 49,500 | -25,500 |
Accounts Receivable | 3,200 | |
Accrued interest | 0 | -499 |
Net cash provided by operations | -16,579 | -81,153 |
Cash flows from financing activities: | ||
Proceeds from common stock issuance | 15,000 | 84,197 |
Repayment of related party loans | 0 | 0 |
Proceeds from related party loans | 0 | 0 |
Cash flows from financing activities | 15,000 | 84,197 |
Increase/Decrease in cash | -1,579 | 3,044 |
Cash-Beginning | 2,973 | -15 |
Cash-Ending | $1,394 | $3,029 |
Nature_of_Business
Nature of Business | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | |
Nature of Business | A. NATURE OF BUSINESS |
Advanced Credit Technologies, Inc. (the “Company” or “ACT”) is a development stage company which has commenced operations . The Company was organized under the laws of the state of Nevada on February 25, 2008. We formed our Company for the purpose of offering an easy to- use technology platform that streamlines the credit management process. We also intend to offer additional e-books and Facebook applications for other financial products to compliment our system. We have launched our products and are generating minimal revenues. Our primary source of revenue initially will be generated business to business from the wholesale industry whereby third parties would pay us a monthly fee for access to our software which will be white labeled for them. This is intended to create brand loyalty by offering customers access to our credit management platform. Our retail portal and social media applications will take longer to generate revenue. Marketing to individual clients and individual end users requires more time and one to one communication. | |
With the ongoing problems in the overall economy ( unemployment at 7.5 % as of March 31st 2013 according to the Labor Dept. ) combined with tightening underwriting and credit criteria from those who lend monies to the public at large we are marketing a common sense solution to these problems. In October of 2012 the Company launched its phase II software platform as a solution to both business and consumers to assist them in understanding the credit ratings system, and offer these solutions at a very minimal cost to all parties concerned. Our current retail portal (www.turnscor.com ) and our wholesale portal (www.turnscorpro.com ) are now live. The Company is well aware that everyone ( business owners/consumers ) learns at a different pace, which is why our phase II has a complete “Training Center” to assist the wholesale/retail users of the various products to successfully navigate the software. We have developed a personalized e-book, a complete “video” series, and finally a “live” application demonstration of the software to empower success by all those that use the application. | |
Wholesale Application: The Company has developed ( www.turnscorpro.com ) to assist large, medium, and small businesses across the country to offer a solution to clients who want to purchase a product or service but cannot due to a sub par credit rating. Most business owners have no alternative but to let these clients leave without offering a solution. The Company developed (www.turnscorpro.com) to solve this problem. By “giving” away a complimentary software license they( company ) now have an opportunity to help not only the potential client, but to get referrals from that client. In addition to that, the software gives the company the ability to communicate with them via the portal ( www.turnscorpro.com ) and offer coaching solutions to keep them on task. The Company believes that based on the difficult economy that many businesses are losing sales everyday based on the poor credit ratings of the public at large, thus opening a small window for the wholesale market. From auto, independent insurance, real estate, to mortgage lending. These companies paying a small monthly license fee to access a “white label” software (The Company software that is a licensed opportunity option that can be branded on their company’s name) to offer “free” (software access) to the public at large is the cornerstone of our wholesale model. By educating the business owner about credit and its importance to the economy at large the Company believes it will have a positive impact and be in line with its mission statement. | |
Retail Application: The Company has developed ( www.turnscor.com ) to assist the average everyday consumer to understand the credit ratings system and the effects it has on their ability to access credit. The first thing that needed to be addressed was the regulatory framework that is the ( Fair Credit Reporting Act ) and how it affects a personal credit profile. The Company has provided links inside of the “Training Center” to all of the regulatory aspects of the (FCRA). The basic structure says that “creditors” and the 3 major reporting agencies ( Trans Union, Experian, and Equifax ) must provide a true and accurate picture of your personal credit profile, in essence, it must be 100% accurate and verifiable to stay posted in your file. This information is what determines your personal credit score ( FICO ), which determines your “cost of borrowing”. The Company software simply provides a narrative for the average consumer to understand, get access, and force the “creditors” and 3 major credit bureaus to update their credit file to reflect accurate, current data. All items that are outdated, erroneous, and not factual must be removed. Typically the FCRA allows for 30 days for this process to be completed. Once the consumer ( end user ) has access to the portal they can begin the process. The software provides the following: ( a personalized e-book, video tutorials, and a “live” demonstration of the actual software are provided to enhance the user experience ). The first step in the process is to “access” your personal credit profile, we provide links to ( www.annualcreditreport.com ) which is sponsored by the FTC and is free, as well as ( www.privacyguard.com )which is a fee based site but gives you a comprehensive view of your personal credit profile from all 3 repositories as well as your credit scores. Complete descriptions are provided in the “Training Center” as to a consumers options and benefits. Once the consumer has accessed a copy of his/her personal credit profile they will need to identify errors, outdated information, and erroneous items and then input them into the “system”. Once this is completed the auto selection mechanism will select items to submit to the repositories ( credit bureaus ) and create all of the documentation you will need to correct your personal credit profile. The “system” will send you automated reminders on a scheduled basis so that you follow the guidelines set forth in the FCRA. The auto selection mechanism developed into the software will allow the consumer to follow a specific schedule without having to “remember” a specific date, or procedure to be compliant with the FCRA. The Company believes that this is a highly beneficial feature and will be a great benefit to the end users ( consumers ). In addition to this feature, the “Training Center” has many additional features to assist the consumer. How to set up a “monthly budget”, FAQ's, Video Library Q&A, and a direct e-mail for customer support. All in an effort to empower the average consumer to get back on track financially, and becoming a positive productive part of his/her community. In conclusion, ( www.turnscor.com ) allows the average everyday consumer to understand the ( FCRA ) and follow specific steps to remove outdated, erroneous, and inaccurate items from his/her personal credit profiles. The Company believes that providing a simple, safe, secure software platform with a basic narrative so everyone can understand the process that it will have a positive impact on our society as a whole and provide a steady stream of income for the Company. | |
We maintain a sophisticated back office component that can be accessed by anyone with minimal computer experience. Clients will see how simple the ACT software program is to use especially when compared to traditional routes of credit management. We believe this will establish a brand loyalty to any additional products we will offer in the future. |
Basis_of_Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | |
Basis of Presentation | B. BASIS OF PRESENTATION |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States of America generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q. Accordingly, the condensed consolidated financial statements do not include all of the information and footnotes required 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 six month period ending June 30, 2014 are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. The Balance Sheet as of December 31, 2013 was derived from the audited financial statements as of such date, but does not include all of the information and footnotes required by GAAP. For further information, refer to the Financial Statements and footnotes thereto included in our Form 10-K as of and for the year ended December 31, 2013. | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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. Actual results could differ from those estimates. Those estimates and assumptions include estimates for reserves of uncollectible accounts, accruals for potential liabilities and assumptions made in valuing stock instruments issued for services. | |
Going_Concern
Going Concern | 6 Months Ended |
Jun. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Going Concern | C. GOING CONCERN |
The accompanying financial statements have been prepared assuming the Company will continue as a going concern. During the three months ended June 30, 2014 the Company had a net loss of $66,079. On June 30, 2014 the Company had a working capital $1,394 and a stockholders’ deficiency of $(182,037). The Company believes its cash and fore casted cash flow from operations will not be sufficient to continue operations through fiscal 2014 without continued external investment. The Company will require additional funds to continue its operations through fiscal 2014 and to continue to develop its existing projects and plans to raise such funds by finding additional investors to purchase the Company’s securities, generating sufficient sales revenue, implementing dramatic cost reductions or any combination thereof. There is no assurance that the Company will be successful in raising such funds, generating the necessary sales or reducing major costs. Further, if the Company is successful in raising such funds from sales of equity securities, the terms of these sales may cause significant dilution to existing holders of common stock. The condensed consolidated financial statements do not include any adjustments that may result from this uncertainty. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | D. SIGNIFICANT ACCOUNTING POLICIES |
Net Loss per Common Share: | |
Basic earnings (loss) per share is computed by dividing the net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding during the year. | |
For the six months ended June 30, 2014 and 2013 the calculations of basic loss per share were (.001) and ( .001) for June 30, 2014 and 2013 respectively. | |
Recent Accounting Pronouncements | |
In May 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (ASU) No. 2011-04, “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs”. ASU No. 2011-4 does not require additional fair value measurements and is not intended to establish valuation standards or affect valuation practices outside of financial reporting. The ASU is effective for interim and annual periods beginning after December 15, 2011. The Company will adopt the ASU as required. The ASU will affect the Company’s fair value disclosures, but will not affect the Company’s results of operations, financial condition or liquidity. | |
In September 2011, the FASB issued ASU 2011-08, “Testing Goodwill for Impairment”, an update to existing guidance on the assessment of goodwill impairment. This update simplifies the assessment of goodwill for impairment by allowing companies to consider qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount before performing the two step impairment review process. It also amends the examples of events or circumstances that would be considered in a goodwill impairment evaluation. The amendments are effective for annual and interim goodwill impairment tests performed for fiscal years beginning after December 15, 2011. Early adoption is permitted. The Company is currently evaluating the affects adoption of ASU 2011-08 may have on its goodwill impairment testing. | |
Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the AICPA, and the Securities Exchange Commission (the "SEC") did not or are not believed by management to have a material impact on the Company's present or future consolidated financial statements. |
Notes_Payable
Notes Payable | 6 Months Ended |
Jun. 30, 2014 | |
Debt Disclosure [Abstract] | |
Notes Payable | E. NOTES PAYABLE |
The Company has incurred debt during of $49,500 this accounting period derived from a stockholder of the company in the form of a short term note. |
StockBased_Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | F. STOCK-BASED COMPENSATION |
There are no stock transactions issued for the 2nd quarter of 2014 as compensation for services. | |
Legal_Proceedings
Legal Proceedings | 6 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Proceedings | G. LEGAL PROCEEDINGS |
We are not currently a party to any legal proceedings. ACT’s officers and directors have not been convicted in any criminal proceedings nor has they been permanently or temporarily enjoined, barred, suspended or otherwise limited from involvement in any type of business, securities or banking activities. | |
The Company’s officers and directors have not been convicted of violating any federal or state securities or commodities law. | |
There are no known pending legal or administrative proceedings against the Company. |
Agreements
Agreements | 6 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Agreements | H. AGREEMENTS |
With a limited advertising budget, the Company has begun to establish joint marketing partnerships with several established businesses in several key verticals. While in the infancy stage, we have established a need for our software as well as the product being embraced by the following companies. | |
Small business owners around the country readily will accept Visa/Master Card at their place of business. Some however don't qualify because of a poor credit profile. We have partnered with Capstone Merchant Bank Card to offer these business owners a solution. Www.capstonecreditfix.com | |
Capstone Institute is a nationally recognized Real Estate and Mortgage Training company founded in 1986. Education is a key component to getting the general public back on sound financial footing, our integration with Capstone offers all of the support and training to make that happen. Www.capstoneinstitute.com |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | |
Basis of Presentation | B. BASIS OF PRESENTATION |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States of America generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q. Accordingly, the condensed consolidated financial statements do not include all of the information and footnotes required 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 six month period ending June 30, 2014 are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. The Balance Sheet as of December 31, 2013 was derived from the audited financial statements as of such date, but does not include all of the information and footnotes required by GAAP. For further information, refer to the Financial Statements and footnotes thereto included in our Form 10-K as of and for the year ended December 31, 2014. | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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. Actual results could differ from those estimates. Those estimates and assumptions include estimates for reserves of uncollectible accounts, accruals for potential liabilities and assumptions made in valuing stock instruments issued for services. | |
Net Loss Per Share | Net Loss per Common Share: |
Basic earnings (loss) per share is computed by dividing the net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding during the year. | |
For the six months ended June 30, 2014 and 2013 the calculations of basic loss per share were (.001) and ( .001) for June 30, 2014 and 2013 respectively. | |
Recent Pronouncements | Recent Accounting Pronouncements |
In May 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (ASU) No. 2011-04, “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs”. ASU No. 2011-4 does not require additional fair value measurements and is not intended to establish valuation standards or affect valuation practices outside of financial reporting. The ASU is effective for interim and annual periods beginning after December 15, 2011. The Company will adopt the ASU as required. The ASU will affect the Company’s fair value disclosures, but will not affect the Company’s results of operations, financial condition or liquidity. | |
In September 2011, the FASB issued ASU 2011-08, “Testing Goodwill for Impairment”, an update to existing guidance on the assessment of goodwill impairment. This update simplifies the assessment of goodwill for impairment by allowing companies to consider qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount before performing the two step impairment review process. It also amends the examples of events or circumstances that would be considered in a goodwill impairment evaluation. The amendments are effective for annual and interim goodwill impairment tests performed for fiscal years beginning after December 15, 2011. Early adoption is permitted. The Company is currently evaluating the affects adoption of ASU 2011-08 may have on its goodwill impairment testing. | |
Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the AICPA, and the Securities Exchange Commission (the "SEC") did not or are not believed by management to have a material impact on the Company's present or future consolidated financial statements. |
Nature_of_Business_Details_Nar
Nature of Business (Details Narrative) | Jun. 30, 2014 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Unemployment rate | 7.50% |
Going_Concern_Details_Narrativ
Going Concern (Details Narrative) (USD $) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
Going Concern Details Narrative Usd | ||
Net loss | $66,079 | |
Working Capital | 1,394 | |
Total stockholders' deficit | ($182,037) | ($130,959) |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies - Earnings per share of common stock (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Accounting Policies [Abstract] | ||
Per Share Amount | ($0.00) | ($0.00) |
Notes_Payable_Stockholders_Det
Notes Payable - Stockholders (Details) (USD $) (USD $) | Jun. 30, 2014 |
Notes Payable - Stockholders Details Usd | |
Note payable to stockholder | $49,500 |