Epcylon (PRFC) 10-Q 28 Oct 13 2013 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Aug. 31, 2013	Oct. 18, 2013
Document and Entity Information [Abstract]
Entity Registrant Name	Epcylon Technologies, Inc.
Entity Central Index Key	1464766
Amendment Flag	FALSE
Current Fiscal Year End Date	-26
Document Type	10-Q
Document Period End Date	31-Aug-13
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q1
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		164,425,222

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Aug. 31, 2013	31-May-13
CURRENT ASSETS:
Cash	$6,578	$180,955
Local tax receivable	70,408	66,226
Prepaid expense	26,313	55,813
TOTAL CURRENT ASSETS	103,300	302,995
Property and equipment, net	1,255	1,742
TOTAL ASSETS	104,554	304,736
CURRENT LIABILITIES:
Accounts payable and accrued expenses	435,493	468,370
Notes payable - related party	358,489	300,839
CURRENT LIABILITIES AND TOTAL LIABILITIES	793,982	769,210
STOCKHOLDER'S DEFICIENCY:
Common stock, par value $0.0001, 300,000,000 shares authorized 164,425,222 and 164,125,222 issued and outstanding as of August 31, 2013 and May 31, 2013	16,441	16,411
Additional paid-in capital	5,760,857	5,697,526
Other comprehensive income	458	458
Accumulated deficit	-6,467,184	-6,178,868
TOTAL STOCKHOLDERS' DEFICIENCY	-689,428	-464,474
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIENCY	$104,554	$304,736

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Aug. 31, 2013	31-May-13
Balance Sheet [Abstract]
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	164,425,222	164,425,222
Common stock, shares outstanding	164,125,222	164,125,222

Consolidated_Statement_of_Oper

Consolidated Statement of Operations (USD $)	3 Months Ended		59 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013
Statement of Operations [Abstract]
REVENUE	$363		$106,972
EXPENSES
General and administrative expenses	285,317	412,298	6,029,095
Write off of note receivable from related party			477,798
OPERATING LOSS	284,954	412,298	6,399,921
OTHER EXPENSE
Interest expense - related party	3,362	7,341	80,855
NET LOSS	$288,316	$419,639	$6,480,777
Net loss per common share	$0	$0
Basic and fully diluted weighted average common shares outstanding	164,252,396	154,334,903

Consolidated_Statement_of_Cash

Consolidated Statement of Cash Flow (USD $)	3 Months Ended		59 Months Ended
	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2013
OPERATING ACTIVITIES:
Net loss	($288,316)	($419,639)	($6,480,777)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation	487	2,010	29,805
Stock based compensation		59,500	826,660
Common stock issued for services			605,467
Inducement charge on debt settled via Common stock		-662,423	185,953
Cancellation of Common stock issued for services			-140,167
Cancellation of shares			102,312
Accrued Interest to related party	3,362		73,080
Other			13,592
Changes in operating assets and liabilities:
Prepaid expenses	30,038	-37,560	-25,775
Local tax receivable	-4,182	27,675	-70,408
Accounts payable and accrued expenses	-32,878	59,824	435,181
NET CASH USED IN OPERATING ACTIVITIES	-291,489	-970,613	-4,445,077
INVESTING ACTIVITIES:
Acquisition of property & equipment			-31,060
NET CASH USED IN INVESTING ACTIVITIES			-31,060
FINANCING ACTIVITIES:
Issuance (net of redemption) of common stock	60,000	1,879,930	4,190,649
Proceeds from related party loans	57,650		1,043,772
Repayments of note payable to related party		-125,370	-752,598
NET CASH PROVIDED BY INVESTING ACTIVITIES	117,650	1,754,560	4,481,823
Effect of exchange rates on cash	-538	-971	892
INCREASE (DECREASE) IN CASH	-174,377	782,976	6,578
CASH - BEGINNING OF PERIOD	180,955	30,907
CASH - END OF PERIOD	$6,578	$813,883	$6,578

Basis_of_Presentation

Basis of Presentation	3 Months Ended
	Aug. 31, 2013
Basis of Presentation [Abstract]
BASIS OF PRESENTATION	NOTE 1 – BASIS OF PRESENTATION
	The accompanying consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. As a result, certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted. The Company believes that the disclosures made are adequate to make the information presented not misleading. The consolidated financial statements reflect all adjustments which are, in the opinion of management, necessary to a fair statement of the results for the interim periods presented. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in the Company’s Form 10-K as filed with the Securities and Exchange Commission on or about October 16, 2013.
	Recent Accounting Pronouncements
	From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board or other standard setting bodies that may have an impact on the Company’s accounting and reporting. The Company believes that such recently issued accounting pronouncements and other authoritative guidance for which the effective date is in the future either will not have an impact on its accounting or reporting or that such impact will not be material to its financial position, results of operations, and cash flows when implemented.
	Epcylon Technologies, Inc., formerly known as Mobile Integrated Systems, Inc., is a development stage technology company that invests and operates across a wide variety of industry sectors.  The Company is a developmental stage technology company that operates within the financial services industry and the broader gaming industry. The Company is engaged, through its Stealth branded products, in the business of researching, developing and maintaining proprietary algorithmic securities trading systems. Furthermore, the Company, through its MOBI branded products, develops software and interactive games for use by charitable organizations and government regulated lotteries.
	On March 26, 2012, the Company changed its name from Loto Inc. to Mobile Integrated Systems, Inc. and on August 5, 2013, changed its name from Mobile Integrated Systems to Epcylon Technologies, Inc.

Going_Concern

Going Concern	3 Months Ended
	Aug. 31, 2013
Going Concern [Abstract]
GOING CONCERN	NOTE 2 – GOING CONCERN
	The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has generated revenues since inception, has an accumulated loss of $6,467,184, as at August 31, 2013 and is not unlikely to generate earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon, among other things, the continued financial support from its shareholders, the ability of the Company to obtain necessary equity or debt financing, and the attainment of profitable operations. These factors, among others, raise substantial doubt regarding the Company’s ability to continue as a going concern. There is no assurance that the Company will be able to generate revenues in the future. These financial statements do not give any effect to any adjustments that would be necessary should the Company be unable to continue as a going concern.

Accounts_Payable_and_Accrued_L

Accounts Payable and Accrued Liabilities	3 Months Ended
	Aug. 31, 2013
Accounts Payable and Accrued Liabilities [Abstract]
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES	NOTE 4 – ACCOUNTS PAYABLE AND ACCRUED LIABILITIES
		31-Aug-13		31-May-13
	Programming and systems testing	$	34,424	$	44,925
	Legal		173,612		176,539
	Audit		16,500		19,500
	Rent		–		–
	Consulting		48,624		12,594
	General and administrative		162,333		214,812
	Total	$	435,493	$	468,370

Notes_Payable_Related_Parties

Notes Payable - Related Parties	3 Months Ended
	Aug. 31, 2013
Notes Payable - Related Parties [Abstract]
NOTES PAYABLE - RELATED PARTIES	NOTE 5 – NOTES PAYABLE - RELATED PARTIES
		31-Aug-13		31-May-13
	Note payable due to related party with interest payable at 1% per annum, imputed to 5% maturity	$	300,839	$	300,839
	Note payable due to related party with interest payable at 5% per annum, due 365 days from August 19, 2013		50,000		–
	Loan payable due to related party with interest payable at 1% per annum, due in August 31st, 2015		7,650		–
		$	358,489	$	300,839

Stockholders_Deficiency

Stockholders' Deficiency	3 Months Ended
	Aug. 31, 2013
Stockholders' Deficiency [Abstract]
STOCKHOLDERS' DEFICIENCY	NOTE 6 – STOCKHOLDERS’ DEFICIENCY
	On July 23, 2013, the Company issued 300,000 shares of the Company’s common stock related to warrant exercises. All of the shares were issued at a price of $0.20 per share, in accordance with the terms of the warrant.

Commitments

Commitments	3 Months Ended
	Aug. 31, 2013
Commitments [Abstract]
COMMITMENTS	NOTE 7 – COMMITMENTS
	The Company is obligated under a lease agreement to lease the premises at 25 Adelaide Street in Toronto, Ontario, Canada until November 29, 2013.

Subsequent_Events

Subsequent Events	3 Months Ended
	Aug. 31, 2013
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 8 – SUBSEQUENT EVENTS
	Management has evaluated the subsequent events through the date the financial statements were issued, and has determined that there are no subsequent events that require recognition or disclosure.

Basis_of_Presentation_Policies

Basis of Presentation (Policies)	3 Months Ended
	Aug. 31, 2013
Basis of Presentation [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements
	From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board or other standard setting bodies that may have an impact on the Company’s accounting and reporting. The Company believes that such recently issued accounting pronouncements and other authoritative guidance for which the effective date is in the future either will not have an impact on its accounting or reporting or that such impact will not be material to its financial position, results of operations, and cash flows when implemented.
	Epcylon Technologies, Inc., formerly known as Mobile Integrated Systems, Inc., is a development stage technology company that invests and operates across a wide variety of industry sectors.  The Company is a developmental stage technology company that operates within the financial services industry and the broader gaming industry. The Company is engaged, through its Stealth branded products, in the business of researching, developing and maintaining proprietary algorithmic securities trading systems. Furthermore, the Company, through its MOBI branded products, develops software and interactive games for use by charitable organizations and government regulated lotteries.
	On March 26, 2012, the Company changed its name from Loto Inc. to Mobile Integrated Systems, Inc. and on August 5, 2013, changed its name from Mobile Integrated Systems to Epcylon Technologies, Inc.

Accounts_Payable_and_Accrued_L1

Accounts Payable and Accrued Liabilities (Tables)	3 Months Ended
	Aug. 31, 2013
Accounts Payable and Accrued Liabilities [Abstract]
Schedule of accounts payable and accrued liabilities
		31-Aug-13		31-May-13
	Programming and systems testing	$	34,424	$	44,925
	Legal		173,612		176,539
	Audit		16,500		19,500
	Rent		–		–
	Consulting		48,624		12,594
	General and administrative		162,333		214,812
	Total	$	435,493	$	468,370

Notes_Payable_Related_PartiesT

Notes Payable - Related Parties(Tables)	3 Months Ended
	Aug. 31, 2013
Notes Payable - Related Parties [Abstract]
Schedule of notes payable to related parties
		31-Aug-13		31-May-13
	Note payable due to related party with interest payable at 1% per annum, imputed to 5% maturity	$	300,839	$	300,839
	Note payable due to related party with interest payable at 5% per annum, due 365 days from August 19, 2013		50,000		–
	Loan payable due to related party with interest payable at 1% per annum, due in August 31st, 2015		7,650		–
		$	358,489	$	300,839

Going_Concern_Details

Going Concern (Details) (USD $)	Aug. 31, 2013	31-May-13
Going Concern [Abstract]
Accumulated loss	$6,467,184	$6,178,868

Accounts_Payable_and_Accrued_L2

Accounts Payable and Accrued Liabilities (Details) (USD $)	Aug. 31, 2013	31-May-13
Accounts Payable and Accrued Liabilities [Abstract]
Programming and systems testing	$34,424	$44,925
Legal	173,612	176,539
Audit	16,500	19,500
Rent
Consulting	48,624	12,594
General and administrative	162,333	214,812
Total	$435,493	$468,370

Notes_Payable_Related_Parties_

Notes Payable - Related Parties (Details) (USD $)	Aug. 31, 2013	31-May-13
Notes Payable
Notes payable - related party	$358,489	$300,839
Notes Payable [Member]
Notes Payable
Notes payable - related party	300,839	300,839
Notes Payable One [Member]
Notes Payable
Notes payable - related party	50,000
Notes Payable Two [Member]
Notes Payable
Notes payable - related party	$7,650

Notes_Payable_Related_Parties_1

Notes Payable - Related Parties (Detail Textuals) (Related Party [Member])	3 Months Ended
	Aug. 31, 2013
Notes Payable [Member]
Notes Payable Related Party (Textual) [Abstract]
Interest rate on notes payable	1.00%
Interest rate on notes payable due to related party, maximum	5.00%
Notes Payable Two [Member]
Notes Payable Related Party (Textual) [Abstract]
Debt instrument, Maturity period	365 days from August 19, 2013
Interest rate on notes payable	5.00%
Notes Payable Four [Member]
Notes Payable Related Party (Textual) [Abstract]
Debt instrument, Maturity date	31-Aug-15
Interest rate on notes payable	1.00%

Stockholders_Deficiency_Detail

Stockholders' Deficiency (Details) (USD $)	1 Months Ended
	Jul. 23, 2013
Stockholders' Deficiency (Textual)
Share price	$0.20
Common stock shares issued for private placement and related warrant exercise	300,000