Document_and_Entity_Informatio
Document and Entity Information (USD $) | 6 Months Ended | |
Jul. 31, 2014 | Sep. 15, 2014 | |
Document and Entity Information: | ' | ' |
Entity Registrant Name | '3D MAKERJET, INC. | ' |
Document Type | '10-KT | ' |
Document Period End Date | 31-Jul-14 | ' |
Amendment Flag | 'false | ' |
Entity Central Index Key | '0001458023 | ' |
Current Fiscal Year End Date | '--01-31 | ' |
Entity Common Stock, Shares Outstanding | ' | 10,200,000 |
Entity Public Float | $0 | ' |
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 | '2015 | ' |
Document Fiscal Period Focus | 'FY | ' |
BALANCE_SHEETS
BALANCE SHEETS (USD $) | Jul. 31, 2014 | Jan. 31, 2014 | Jan. 31, 2013 |
Current Assets: | ' | ' | ' |
Cash | $19,923 | $0 | $2 |
Inventory | 62,000 | 0 | 0 |
Total Current assets | 81,923 | 0 | 2 |
Property and equipment, net of accumulated depreciation of $3,370 | 23,963 | 0 | 0 |
Lease security deposit and other asset | 7,234 | 0 | 0 |
Total Assets | 113,120 | 0 | 2 |
Current Liabilities | ' | ' | ' |
Accounts payable and accrued liabilities | 54,751 | 18,950 | 10,902 |
Convertible notes payable, net of discount of $223,435, $0 and $0, respectively | 15,743 | 38,000 | 38,000 |
Loan payable | 0 | 7,220 | 7,220 |
Due to related parties | 62,000 | 30,307 | 30,307 |
Total liabilities | 132,494 | 94,477 | 86,429 |
Stockholders' Deficit | ' | ' | ' |
Preferred stock; $0.001 par value; 10,000,000 shares authorized; none issued or outstanding | 0 | 0 | 0 |
Common stock $0.001 par value; 300,000,000 shares authorized; 10,200,000 and 10,200,000 shares issued and outstanding at July 31, 2014 and January 31, 2014 and 2013 | 10,200 | 10,200 | 10,200 |
Additional paid in capital | 280,285 | 10,800 | 10,800 |
Accumulated deficit | -309,859 | -115,477 | -107,427 |
Total Stockholders' Deficit | -19,374 | -94,477 | -86,427 |
Total Liabilities and Stockholders' Deficit | $113,120 | $0 | $2 |
BALANCE_SHEETS_PARENTHETICALS
BALANCE SHEETS PARENTHETICALS (USD $) | Jul. 31, 2014 | Jan. 31, 2014 | Jan. 31, 2013 |
Parentheticals | ' | ' | ' |
Property and equipment, accumulated depreciation | $3,370 | $0 | $0 |
Convertible notes payable, discount | $223,435 | $0 | $0 |
Preferred Stock, par value | $0.00 | $0.00 | $0.00 |
Preferred Stock, shares authorized | 10,000,000 | 10,000,000 | 10,000,000 |
Common Stock, par value | $0.00 | $0.00 | $0.00 |
Common Stock, shares authorized | 300,000,000 | 300,000,000 | 300,000,000 |
Common Stock, shares issued | 10,200,000 | 10,200,000 | 10,200,000 |
Common Stock, shares outstanding | 10,200,000 | 10,200,000 | 10,200,000 |
STATEMENTS_OF_OPERATIONS
STATEMENTS OF OPERATIONS (USD $) | 6 Months Ended | 12 Months Ended | ||
Jul. 31, 2014 | Jul. 31, 2013 | Jan. 31, 2014 | Jan. 31, 2013 | |
REVENUE: | ' | ' | ' | ' |
REVENUES | $0 | $0 | $0 | $9,078 |
OPERATING EXPENSES | ' | ' | ' | ' |
General and administrative | 212,044 | 6,500 | 7,002 | 601 |
Compensation | 12,200 | 0 | 0 | 37,421 |
TOTAL OPERATING EXPENSES | 224,244 | 6,500 | 7,002 | 38,022 |
LOSS FROM OPERATIONS | -224,244 | -6,500 | -7,002 | -28,944 |
OTHER INCOME (EXPENSE) | ' | ' | ' | ' |
Gain on forgiveness of debt | 48,287 | 0 | 0 | 0 |
Interest expense | -18,425 | -524 | -1,048 | -1,048 |
TOTAL OTHER INCOME (EXPENSE) | 29,862 | -524 | -1,048 | -1,048 |
PROVISION FOR INCOME TAXES | 0 | 0 | 0 | 0 |
NET LOSS | ($194,382) | ($7,024) | ($8,050) | ($29,992) |
NET LOSS PER SHARE: BASIC AND DILUTED | ($0.02) | $0 | $0 | $0 |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING: BASIC AND DILUTED | 10,200,000 | 10,200,000 | 10,200,000 | 10,200,000 |
STATEMENT_OF_STOCKHOLDERS_DEFI
STATEMENT OF STOCKHOLDER'S DEFICIT (USD $) | Preferred Stock Shares | Preferred Stock Amount | Common Stock Shares | Common Stock Amount | Additional Paid-in Capital | Deficit Accumulated During the Development Stage | Total |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||
Balance at Jan. 31, 2012 | 0 | 0 | 10,200,000 | 10,200 | 10,800 | -77,435 | -56,435 |
Net loss for the year ended January 31, 2013 | ' | $0 | $0 | $0 | $0 | ($29,992) | ($29,992) |
Balance at Jan. 31, 2013 | 0 | 0 | 10,200,000 | 10,200 | 10,800 | -107,427 | -86,427 |
Net loss for the year ended January 31, 2014 | ' | 0 | 0 | 0 | 0 | -8,050 | -8,050 |
Balance at Jan. 31, 2014 | 0 | 0 | 10,200,000 | 10,200 | 10,800 | -115,477 | -94,477 |
Forgiveness of loan from company president | ' | 0 | 0 | 0 | 30,307 | 0 | 30,307 |
Beneficial conversion feature related to convertible promissory notes | ' | 0 | 0 | 0 | 239,178 | 0 | 239,178 |
Net loss for the six months ended July 31, 2014 | ' | $0 | $0 | $0 | $0 | ($194,382) | ($194,382) |
Balance at Jul. 31, 2014 | 0 | 0 | 10,200,000 | 10,200 | 280,285 | -309,859 | -19,374 |
STATEMENTS_OF_CASH_FLOWS
STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | 12 Months Ended | ||
Jul. 31, 2014 | Jul. 31, 2013 | Jan. 31, 2014 | Jan. 31, 2013 | |
Operating Activities | ' | ' | ' | ' |
Net loss | ($194,382) | ($7,024) | ($8,050) | ($29,992) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' | ' | ' |
Amortization of debt discount | 15,743 | 0 | 0 | 0 |
Gain on forgiveness of debt | -48,287 | 0 | 0 | 0 |
Depreciation & amortization expense | 3,370 | 0 | 0 | 0 |
Changes in operating assets and liabilities: | ' | ' | ' | ' |
Inventory | -62,000 | 0 | 0 | 0 |
Lease security deposit and other current assets | -7,234 | 0 | 0 | 0 |
Accounts payable and accrued liabilities | 38,868 | 7,024 | 8,048 | 1,048 |
Net Cash Used in Operating Activities | -253,922 | 0 | -2 | -28,944 |
Investing Activities | ' | ' | ' | ' |
Purchase of property and equipment | -27,333 | 0 | 0 | 0 |
Net Cash Used in Investing Activities | -27,333 | 0 | 0 | 0 |
Financing Activities | ' | ' | ' | ' |
Proceeds from related party | 62,000 | 0 | 0 | 28,943 |
Proceeds from convertible debt | 239,178 | 0 | 0 | 0 |
Net Cash Provided by Financing Activities | 301,178 | 0 | 0 | 28,943 |
Net Increase (Decrease) in Cash | 19,923 | 0 | -2 | -1 |
Cash at Beginning of Period | 0 | 2 | 2 | 3 |
Cash at End of Period | 19,923 | 2 | 0 | 2 |
Supplemental Cash Flow Information: | ' | ' | ' | ' |
Interest paid | 0 | 0 | 0 | 0 |
Income taxes paid | 0 | 0 | 0 | 0 |
Non-Cash Financing Transactions: | ' | ' | ' | ' |
Issuance of shares to settle accrued expenses | 0 | 0 | 0 | 12,800 |
Issuance of convertible debt to settle accrued expenses | 0 | 0 | 0 | 38,000 |
Increase in additional paid-in capital due to forgiveness of loan payable to company president | 30,307 | 0 | 0 | 0 |
Discount on convertible promissory notes due to beneficial conversion feature | $239,178 | $0 | $0 | $0 |
ORGANIZATION
ORGANIZATION | 6 Months Ended |
Jul. 31, 2014 | |
ORGANIZATION | ' |
ORGANIZATION | ' |
NOTE 1 – ORGANIZATION | |
3D MakerJet, Inc. (the Company), formerly known as American Business Change Agents, Inc. was incorporated under the laws of the State of Nevada on January 12, 2009. | |
On March 21, 2014, Edward A. Sundberg, our former officer and director, sold an aggregate of 9,000,000 shares of his common stock in our company to Market Milestones, Inc., in a private transaction. As consideration for the shares, Market Milestones, Inc. paid a total purchase price of $200,000 from its personal funds. Immediately upon the closing of the transaction, Market Milestones, Inc. became the majority shareholder of our company and beneficially owned stock representing 88% of the outstanding voting shares of our company. | |
On May 4, 2014, the name of the Company was changed to 3D MakerJet, Inc. and the Company’s total authorized capital stock was increased from 75,000,000 shares to 310,000,000 shares, consisting of 300,000,000 shares of common stock, par value $0.001 per share, and 10,000,000 shares of preferred stock, par value $0.001 per share. | |
The Company is developing a business plan focused on the sale of 3D printers, scanners and ancillary equipment. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended | ||
Jul. 31, 2014 | |||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||
NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||
Change in Fiscal Year End | |||
On September 9, 2014, the Board approved the change of our fiscal year end from January 31 to July 31, beginning with July 31, 2014. References to any of our previous fiscal years mean the fiscal years ended on January 31. This transition report on Form 10-K/T covers the transition period beginning on February 1, 2014 through July 31, 2014, and annual reports on Form 10-K covering fiscal years ending July 31 will be filed thereafter. As a result of the change in fiscal year end, the financial statements include the Company’s financial results for the six month transition period from February 1, 2014 to July 31, 2014 (the “transition period”). The comparative six month information provided for the period ended July 31, 2013 is unaudited as it represented an interim period during the fiscal year ended January 31, 2014. | |||
Accounting Basis | |||
These financial statements are prepared on the accrual basis of accounting in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). | |||
Use of Estimates | |||
The preparation of financial statements in conformity with accounting principles generally accepted in the U.S. GAAP 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. Actual results could differ from those estimates. | |||
Fair Value Measurements | |||
Accounting Standards Codification (“ASC”) 820-10, Fair Value Measurements, defines fair value, establishes a framework for measuring fair value under generally accepted accounting principles and enhances disclosures about fair value measurements. Fair value is defined under ASC 820-10 as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the Note principal or the most advantageous market for an asset or liability in an orderly transaction between participants on the measurement date. Valuation techniques used to measure fair value under ASC 820-10 must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes a fair value hierarchy based on the levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value which are the following: | |||
• | |||
Level 1 - Quoted prices in active markets for identical assets or liabilities. | |||
• | |||
Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or corroborated by observable market data or substantially the full term of the assets or liabilities. | |||
• | |||
Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the value of the assets or liabilities | |||
Cash Equivalents | |||
The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. | |||
Inventory | |||
Inventory is valued at cost using the first-in, first-out cost flow assumption. All inventory consists of finished products ready for sale. | |||
Extinguishment of debt | |||
The company accounts for debt extinguishment pursuant FASB ASC 470-50-40 Debt Modifications and Extinguishments - Derecognition which provides that the net carrying amount of extinguished debt shall be recognized currently in income of the period of extinguishment as losses or gains and moreover, extinguishment transaction between related entities can be in capital transaction and should be identified as a separate item. | |||
Beneficial Conversion Features | |||
From time to time, the Company may issue convertible notes that may contain an imbedded beneficial conversion feature. A beneficial conversion feature exists on the date a convertible note is issued when the fair value of the underlying common stock to which the note is convertible into is in excess of the remaining unallocated proceeds of the note after first considering the allocation of a portion of the note proceeds to the fair value of warrants, if related warrants have been granted. The intrinsic value of the beneficial conversion feature is recorded as a debt discount with a corresponding amount to additional paid in capital. The debt discount is amortized to interest expense over the life of the note using the effective interest method. | |||
Revenue Recognition | |||
The Company applies paragraph 605-10-S99-1 of the FASB Accounting Standards Codification for revenue recognition. The Company recognizes revenue when it is realized or realizable and earned less an amount for estimated future doubtful accounts. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the services have been rendered, (iii) the sales price for the services is fixed or determinable, and (iv) collectability is reasonably assured. | |||
Income Taxes | |||
The Company accounts for income taxes pursuant to FASB ASC 740—Income Taxes, which requires recognition of deferred income tax liabilities and assets for the expected future tax consequences of events that have been recognized in the financial statements or tax returns. The Company provides for deferred taxes on temporary differences between the financial statements and tax basis of assets using the enacted tax rates that are expected to apply to taxable income when the temporary differences are expected to reverse. | |||
FASB ASC 740 establishes a more-likely-than-not threshold for recognizing the benefits of tax return positions in the financial statements. Also, the statement implements a process for measuring those tax positions that meet the recognition threshold of being ultimately sustained upon examination by the taxing authorities. There are no uncertain tax positions taken by the Company on its tax returns. The Company files tax returns in the U.S. and states in which it has operations and is subject to taxation. Tax years subsequent to 2008 remain open to examination by U.S. federal and state tax jurisdictions. | |||
Fair value of financial instruments | |||
3D Makerjet’s financial instruments consist of payables and short-term debt. The carrying amount of payables approximates fair value because of the short-term nature of these items. The carrying amount of short-term debt approximates fair value due to the relationship between the interest rate on debt and 3D Makerjet’s incremental risk adjusted borrowing rate. | |||
Net Loss Per Common Share | |||
Net loss per common share is computed pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic net loss per share is computed by dividing net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by dividing net loss by the weighted average number of shares of common stock and potentially outstanding shares of common stock during each period. There were no potentially dilutive shares outstanding as of January 31, 2014 or 2013. There are no shares included in the earnings per share calculation for the years ended January 31, 2014 or 2013 or the six months ended July 31, 2014 related to the Company's convertible note outstanding because the Company’s average stock price did not exceed the conversion price and, accordingly, there is no conversion spread. The company has incurred losses for all periods, the impact of the common stock equivalents would be antidilutive and therefore are not included in the calculation. | |||
Property and Equipment | |||
Property and equipment are recorded at cost and depreciated or amortized using the straight-line method over the estimated useful life of the asset or the underlying lease term for leasehold improvements, whichever is shorter. The estimated useful life by asset description is noted in the following table: | |||
Asset Description | Estimated Useful | ||
Life (years) | |||
Showroom equipment | 2 | ||
Additions are capitalized and maintenance and repairs are charged to expense as incurred. Gains and losses on dispositions of equipment are reflected in other income. | |||
Subsequent Events | |||
The Company follows the guidance in Section 855-10-50 of the FASB Accounting Standards Codification for the disclosure of subsequent events. The Company evaluates subsequent events from the date of the balance sheet through the date when the financial statements are issued. Pursuant to ASU 2010-09 of the FASB Accounting Standards Codification, the Company as an SEC filer considers its financial statements issued when they are widely distributed to users, such as through filing them with the SEC on the EDGAR system. | |||
Recently Issued Accounting Standards | |||
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 financial position or results of operations. | |||
GOING_CONCERN
GOING CONCERN | 6 Months Ended |
Jul. 31, 2014 | |
GOING CONCERN | ' |
GOING CONCERN | ' |
NOTE 3 – GOING CONCERN | |
The Company was formed in January 2009. It has incurred cumulative losses since inception, has negative working capital and a net stockholders’ deficit of $19,374 at July 31, 2014 and recurring negative cash flows from operations. While the Company is attempting to raise both debt and equity capital, expand operations and produce revenues, the Company’s cash position may not be significant enough to support the Company’s daily operations. Management intends to seek funds from outside business contacts as needed. There can be no assurances to that its business plan will succeed. Accordingly, there is doubt that the Company will be able to realize its assets and liquidate its liabilities in the normal course of business operations. | |
The ability of the Company to continue as a going concern is dependent upon the Company’s ability to further implement its business plan and generate revenues. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. |
PROPERTY_AND_EQUIPMENT
PROPERTY AND EQUIPMENT | 6 Months Ended | ||
Jul. 31, 2014 | |||
PROPERTY AND EQUIPMENT | ' | ||
PROPERTY AND EQUIPMENT | ' | ||
NOTE 4– PROPERTY AND EQUIPMENT | |||
Property and equipment consists of the following at July 31: | |||
July 31,2014 | |||
3D Printers & scanning equipment | $ | 27,333 | |
Less: accumulated depreciation and amortization | -3,370 | ||
Property & equipment, Net | $ | 23,963 | |
Depreciation expense for the six months ended July 31, 2014 amounted to $3,370. |
LOANS_PAYABLE
LOANS PAYABLE | 6 Months Ended |
Jul. 31, 2014 | |
LOANS PAYABLE | ' |
LOANS PAYABLE | ' |
NOTE 5 – LOANS PAYABLE | |
As of January 31, 2014, the Company had loans payable of $45,220 due to an unrelated party and a loan payable to its former President with a principal balance of $30,307. Both loans payable were forgiven in March 2014. Accrued interest on the unrelated party notes and the related party note was $3,067 and $0, respectively, on the date of forgiveness. The Company recognized a gain of $48,287 upon the forgiveness of the unrelated party notes and related accrued interest and recorded an increase in additional paid capital of $30,307 related to the forgiveness of the related party debt and related party debt. As a result, the balance in notes payable at July 31, 2014 was $0. |
CONVERTIBLE_PROMISSORY_NOTES
CONVERTIBLE PROMISSORY NOTES | 6 Months Ended |
Jul. 31, 2014 | |
CONVERTIBLE PROMISSORY NOTES | ' |
CONVERTIBLE PROMISSORY NOTES | ' |
NOTE 6 – CONVERTIBLE PROMISSORY NOTES | |
On various dates from June 16, 2014 through July 27, 2014, the Company issued convertible promissory notes totaling $239,178, including $131,631 to an employee. The notes mature between June 24, 2015 and July 31, 2015, carry interest at 15%, and are convertible into the common stock of the Company at a conversion price of $0.001 per share. At the time of issuance, the notes were evaluated and were determined to contain a beneficial conversion feature. As a result, a discount on convertible promissory notes totaling $239,178, including $131,631 to the related party, was recorded with a corresponding credit to additional paid-in capital. Discount amortization for the six months ended July 31, 2014 totaled $15,743. |
STOCKHOLDERS_DEFICIT
STOCKHOLDERS' DEFICIT | 6 Months Ended |
Jul. 31, 2014 | |
STOCKHOLDERS' DEFICIT | ' |
STOCKHOLDERS' DEFICIT | ' |
NOTE 7 – STOCKHOLDERS’ DEFICIT | |
The Company is authorized to issue 300,000,000 shares of common stock and 10,000,000 shares of preferred stock. | |
There were 9,000,000 shares of common stock issued at incorporation. | |
The Company incurred $50,000 of legal costs relating to the registration of shares of its common stock in a Registration Statement on Form S-1 that became effective in September 2010. This amount was included in Accrued Expenses at January 31, 2011. That obligation was satisfied in full in February 2011 when the Company (i) issued 1,200,000 registered shares of common stock and (ii) entered into a $38,000 convertible note payable with its outside counsel to satisfy the obligation. The convertible note is payable on demand, bears interest at 2% per annum, and is convertible into shares of the Company’s common stock at a price per share equal to the par value of the shares. Conversion can be in whole or in any portion of the outstanding principal balance at the option of the holder. The convertible note payable was forgiven in March 2014. | |
After the 1,200,000 shares were issued, there were 10,200,000 common shares outstanding. No shares of preferred stock have been issued. | |
In March 2014, the Company recorded an increase in additional paid-in capital of $30,307 related to the forgiveness of related party debt. | |
On various dates in June and July 2014, the Company recorded increases to additional paid-in capital of $239,178 related to beneficial conversion features on convertible promissory notes. |
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jul. 31, 2014 | |
RELATED PARTY TRANSACTIONS | ' |
RELATED PARTY TRANSACTIONS | ' |
NOTE 8 – RELATED PARTY TRANSACTIONS | |
In March 2014, the former president forgave $30,307 of debt. The forgiveness amount is recorded as additional paid in capital. | |
During the six months ended July 31, 2014, 3D MakerJet Asia, Ltd. purchased inventory valued at $62,000 on behalf of the Company. This amount is outstanding as of July 31, 2014. |
INCOME_TAXES
INCOME TAXES | 6 Months Ended | ||
Jul. 31, 2014 | |||
INCOME TAXES | ' | ||
INCOME TAXES | ' | ||
NOTE 9– INCOME TAXES | |||
The company had a change in ownership on March 21, 2014. Because of the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards for Federal income tax reporting purposes are subject to annual limitations. The change in Company ownership described in Note 1 limits the use of the net operating loss of prior ownership change carry forwards in future years. | |||
As of July 31, 2014, the Company has net operating loss carry forwards of approximately $125,121. This loss carry forward expires according to the following schedule: | |||
Year Ending July 31, | Amount | ||
2034 | $ | 125,121 | |
Total | $ | 125,121 | |
The income tax provision differs from the amount of income tax determined by applying the federal income tax rate to pre-tax income from continuing operations for the years ended July 31, 2014, due to the following: | |||
Amount | |||
Computed "expected" tax expense (benefit) | $ | -43,792 | |
Valuation allowance | 43,792 | ||
Income tax expense (benefit) | $ | - | |
Unrealized deferred tax assets at July 31, 2014 are comprised of net operating loss carry forwards. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended | ||
Jul. 31, 2014 | |||
COMMITMENTS AND CONTINGENCIES | ' | ||
COMMITMENTS AND CONTINGENCIES | ' | ||
NOTE 10 – COMMITMENTS AND CONTINGENCIES | |||
The Company leases office space at 4303 Vineland Rd. F2, Orlando, Florida 32011. The term of the lease is June 1, 2014 through August 31, 2017. | |||
The Company accounts for the lease on the straight-line basis and is recording monthly rent expense of $2,045. Total rent expense for the six months ended July 31, 2014 was $4,091. | |||
Minimum future lease commitments are as follows: | |||
Year Ending July 31, | Amount | ||
2015 | $ | 23,607 | |
2016 | 26,518 | ||
2017 | 27,313 | ||
2018 | 2,332 | ||
Total | $ | 79,770 |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jul. 31, 2014 | |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | ' |
NOTE 11 – SUBSEQUENT EVENTS | |
The Company has evaluated all events that occurred after the balance sheet date of January 31, 2014 through September 15, 2014, the date when the financial statements were issued. The Management of the Company determined that there were no reportable events that occurred during that subsequent period to be disclosed or recorded other than the transaction described in Note 2 regarding the change in our fiscal year. |
Accounting_Policies_Policies
Accounting Policies (Policies) | 6 Months Ended | ||
Jul. 31, 2014 | |||
Accounting Policies (Policies) | ' | ||
Change in Fiscal Year End | ' | ||
Change in Fiscal Year End | |||
On September 9, 2014, the Board approved the change of our fiscal year end from January 31 to July 31, beginning with July 31, 2014. References to any of our previous fiscal years mean the fiscal years ended on January 31. This transition report on Form 10-K/T covers the transition period beginning on February 1, 2014 through July 31, 2014, and annual reports on Form 10-K covering fiscal years ending July 31 will be filed thereafter. As a result of the change in fiscal year end, the financial statements include the Company’s financial results for the six month transition period from February 1, 2014 to July 31, 2014 (the “transition period”). The comparative six month information provided for the period ended July 31, 2013 is unaudited as it represented an interim period during the fiscal year ended January 31, 2014. | |||
Accounting Basis | ' | ||
Accounting Basis | |||
These financial statements are prepared on the accrual basis of accounting in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). | |||
Use of Estimates | ' | ||
Use of Estimates | |||
The preparation of financial statements in conformity with accounting principles generally accepted in the U.S. GAAP 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. Actual results could differ from those estimates. | |||
Fair Value Measurements | ' | ||
Fair Value Measurements | |||
Accounting Standards Codification (“ASC”) 820-10, Fair Value Measurements, defines fair value, establishes a framework for measuring fair value under generally accepted accounting principles and enhances disclosures about fair value measurements. Fair value is defined under ASC 820-10 as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the Note principal or the most advantageous market for an asset or liability in an orderly transaction between participants on the measurement date. Valuation techniques used to measure fair value under ASC 820-10 must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes a fair value hierarchy based on the levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value which are the following: | |||
• | |||
Level 1 - Quoted prices in active markets for identical assets or liabilities. | |||
• | |||
Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or corroborated by observable market data or substantially the full term of the assets or liabilities. | |||
• | |||
Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the value of the assets or liabilities | |||
Cash Equivalents | |||
The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. | |||
Inventory | |||
Inventory is valued at cost using the first-in, first-out cost flow assumption. All inventory consists of finished products ready for sale. | |||
Cash Equivalents | ' | ||
Cash Equivalents | |||
The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. | |||
Inventory, Policy | ' | ||
Inventory | |||
Inventory is valued at cost using the first-in, first-out cost flow assumption. All inventory consists of finished products ready for sale. | |||
Extinguishment of debt policy | ' | ||
Extinguishment of debt | |||
The company accounts for debt extinguishment pursuant FASB ASC 470-50-40 Debt Modifications and Extinguishments - Derecognition which provides that the net carrying amount of extinguished debt shall be recognized currently in income of the period of extinguishment as losses or gains and moreover, extinguishment transaction between related entities can be in capital transaction and should be identified as a separate item. | |||
Beneficial Conversion Features Policy | ' | ||
Beneficial Conversion Features | |||
From time to time, the Company may issue convertible notes that may contain an imbedded beneficial conversion feature. A beneficial conversion feature exists on the date a convertible note is issued when the fair value of the underlying common stock to which the note is convertible into is in excess of the remaining unallocated proceeds of the note after first considering the allocation of a portion of the note proceeds to the fair value of warrants, if related warrants have been granted. The intrinsic value of the beneficial conversion feature is recorded as a debt discount with a corresponding amount to additional paid in capital. The debt discount is amortized to interest expense over the life of the note using the effective interest method. | |||
Revenue Recognition | ' | ||
Revenue Recognition | |||
The Company applies paragraph 605-10-S99-1 of the FASB Accounting Standards Codification for revenue recognition. The Company recognizes revenue when it is realized or realizable and earned less an amount for estimated future doubtful accounts. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the services have been rendered, (iii) the sales price for the services is fixed or determinable, and (iv) collectability is reasonably assured. | |||
Income Taxes Policy | ' | ||
Income Taxes | |||
The Company accounts for income taxes pursuant to FASB ASC 740—Income Taxes, which requires recognition of deferred income tax liabilities and assets for the expected future tax consequences of events that have been recognized in the financial statements or tax returns. The Company provides for deferred taxes on temporary differences between the financial statements and tax basis of assets using the enacted tax rates that are expected to apply to taxable income when the temporary differences are expected to reverse. | |||
FASB ASC 740 establishes a more-likely-than-not threshold for recognizing the benefits of tax return positions in the financial statements. Also, the statement implements a process for measuring those tax positions that meet the recognition threshold of being ultimately sustained upon examination by the taxing authorities. There are no uncertain tax positions taken by the Company on its tax returns. The Company files tax returns in the U.S. and states in which it has operations and is subject to taxation. Tax years subsequent to 2008 remain open to examination by U.S. federal and state tax jurisdictions. | |||
Fair value of financial instruments | ' | ||
Fair value of financial instruments | |||
3D Makerjet’s financial instruments consist of payables and short-term debt. The carrying amount of payables approximates fair value because of the short-term nature of these items. The carrying amount of short-term debt approximates fair value due to the relationship between the interest rate on debt and 3D Makerjet’s incremental risk adjusted borrowing rate. | |||
Net Loss Per Common Share | ' | ||
Net Loss Per Common Share | |||
Net loss per common share is computed pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic net loss per share is computed by dividing net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by dividing net loss by the weighted average number of shares of common stock and potentially outstanding shares of common stock during each period. There were no potentially dilutive shares outstanding as of January 31, 2014 or 2013. There are no shares included in the earnings per share calculation for the years ended January 31, 2014 or 2013 or the six months ended July 31, 2014 related to the Company's convertible note outstanding because the Company’s average stock price did not exceed the conversion price and, accordingly, there is no conversion spread. The company has incurred losses for all periods, the impact of the common stock equivalents would be antidilutive and therefore are not included in the calculation. | |||
Property and Equipment, Policy | ' | ||
Property and Equipment | |||
Property and equipment are recorded at cost and depreciated or amortized using the straight-line method over the estimated useful life of the asset or the underlying lease term for leasehold improvements, whichever is shorter. The estimated useful life by asset description is noted in the following table: | |||
Asset Description | Estimated Useful | ||
Life (years) | |||
Showroom equipment | 2 | ||
Additions are capitalized and maintenance and repairs are charged to expense as incurred. Gains and losses on dispositions of equipment are reflected in other income. | |||
Subsequent Events | ' | ||
Subsequent Events | |||
The Company follows the guidance in Section 855-10-50 of the FASB Accounting Standards Codification for the disclosure of subsequent events. The Company evaluates subsequent events from the date of the balance sheet through the date when the financial statements are issued. Pursuant to ASU 2010-09 of the FASB Accounting Standards Codification, the Company as an SEC filer considers its financial statements issued when they are widely distributed to users, such as through filing them with the SEC on the EDGAR system. | |||
Recently Issued Accounting Standards | ' | ||
Recently Issued Accounting Standards | |||
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 financial position or results of operations. |
Schedule_of_Property_and_Equip
Schedule of Property and Equipment (Tables) | 6 Months Ended | ||
Jul. 31, 2014 | |||
Schedule of Property and Equipment | ' | ||
Schedule of Property and Equipment | ' | ||
Property and equipment consists of the following at July 31: | |||
July 31,2014 | |||
3D Printers & scanning equipment | $ | 27,333 | |
Less: accumulated depreciation and amortization | -3,370 | ||
Property & equipment, Net | $ | 23,963 |
SCHEDULE_OF_INCOME_TAXES_Table
SCHEDULE OF INCOME TAXES (Tables) | 6 Months Ended | ||
Jul. 31, 2014 | |||
SCHEDULE OF INCOME TAXES | ' | ||
Schedule of net operating loss carry forwards | ' | ||
Company has net operating loss carry forwards of approximately $125,121. This loss carry forward expires according to the following schedule: | |||
Year Ending July 31, | Amount | ||
2034 | $ | 125,121 | |
Total | $ | 125,121 | |
Schedule of income tax provision differs from the amount of income tax determined | ' | ||
The income tax provision differs from the amount of income tax determined by applying the federal income tax rate to pre-tax income from continuing operations for the years ended July 31, 2014, due to the following: | |||
Amount | |||
Computed "expected" tax expense (benefit) | $ | -43,792 | |
Valuation allowance | 43,792 | ||
Income tax expense (benefit) | $ | - |
Schedule_of_minimum_future_lea
Schedule of minimum future lease commitments (Tables) | 6 Months Ended | ||
Jul. 31, 2014 | |||
Schedule of minimum future lease commitments | ' | ||
Schedule of minimum future lease commitments | ' | ||
Minimum future lease commitments are as follows: | |||
Year Ending July 31, | Amount | ||
2015 | $ | 23,607 | |
2016 | 26,518 | ||
2017 | 27,313 | ||
2018 | 2,332 | ||
Total | $ | 79,770 |
ORGANIZATION_Details
ORGANIZATION (Details) (USD $) | 4-May-14 | Mar. 21, 2014 |
ORGANIZATION AS FOLLOWS: | ' | ' |
Former officer and director, sold an aggregate shares of common stock | ' | 9,000,000 |
Market Milestones, Inc. paid a total purchase price | ' | $200,000 |
Owned stock representing of the outstanding voting shares in percent | ' | 88.00% |
Total authorized capital stock increased shares | 310,000,000 | ' |
Shares of common stock | 300,000,000 | ' |
Shares of preferred stock | 10,000,000 | ' |
GOING_CONCERN_Details
GOING CONCERN (Details) (USD $) | Jul. 31, 2014 |
GOING CONCERN AS FOLLOWS: | ' |
Negative working capital and a net stockholders' deficit | $19,374 |
PROPERTY_AND_EQUIPMENT_Details
PROPERTY AND EQUIPMENT (Details) (USD $) | Jul. 31, 2014 |
Property and equipment consists of the following | ' |
3D Printers & scanning equipment | $27,333 |
Less: accumulated depreciation and amortization | -3,370 |
Property & equipment, Net | $23,963 |
LOANS_PAYABLE_Details
LOANS PAYABLE (Details) (USD $) | Jul. 31, 2014 | Jan. 31, 2014 |
LOANS PAYABLE AS FOLLOWS: | ' | ' |
Due to an unrelated party | ' | $45,220 |
Loan payable principal balance | 0 | 30,307 |
Accrued interest on unrelated party notes | 3,067 | ' |
Accrued interest on related party notes | 0 | ' |
Gain on forgiveness of unrelated party notes | 48,287 | ' |
Increase in additional paid capital related to the forgiveness of the related party debt | $30,307 | ' |
CONVERTIBLE_PROMISSORY_NOTES_D
CONVERTIBLE PROMISSORY NOTES (Details) (USD $) | Jul. 31, 2014 |
CONVERTIBLE PROMISSORY NOTES DETAILS | ' |
Issued convertible promissory notes totaling | $239,178 |
Notes carry interest | 15.00% |
Discount on convertible promissory notes | 239,178 |
Discount amortization | $15,743 |
CAPITAL_STOCK_TRANSACTIONS_Det
CAPITAL STOCK TRANSACTIONS (Details) (USD $) | Jul. 31, 2014 |
CAPITAL STOCK TRANSACTIONS: | ' |
Issued shares of common stock | 300,000,000 |
Issued shares of preferred stock | 10,000,000 |
Shares of common stock issued at incorporation | 9,000,000 |
Incurred legal costs relating to registration of shares of common stock | $50,000 |
Issued registered shares of common stock | 1,200,000 |
Convertible note payable | 38,000 |
Convertible note payable interest per annum | 2.00% |
Common shares outstanding | 10,200,000 |
Increases to additional paid-in capital related to beneficial conversion features on convertible promissory notes | $239,178 |
RELATED_PARTY_TRANSACTIONS_Det
RELATED PARTY TRANSACTIONS (Details) (USD $) | Jul. 31, 2014 | Mar. 31, 2014 |
RELATED PARTY TRANSACTIONS DETAILS | ' | ' |
Former president forgave of debt | ' | $30,307 |
Purchased inventory valued | $62,000 | ' |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | Jul. 31, 2014 |
INCOME TAXES DETAILS: | ' |
Net operating loss carry forwards | $125,121 |
Total | $125,121 |
Income_tax_provision_Details
Income tax provision (Details) (USD $) | 6 Months Ended |
Jul. 31, 2014 | |
Income tax provision: | ' |
Computed "expected" tax expense (benefit) | ($43,792) |
Valuation allowance | 43,792 |
Income tax expense (benefit) | $0 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | Jul. 31, 2014 |
Minimum future lease commitments are as follows: | ' |
Minimum future lease commitments 2015 | $23,607 |
Minimum future lease commitments 2016 | 26,518 |
Minimum future lease commitments 2017 | 27,313 |
Minimum future lease commitments 2018 | 2,332 |
Minimum Future Lease Commitments Total | $79,770 |