Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2016 | Nov. 15, 2016 | |
Document And Entity Information Abstract | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2016 | |
Entity Registrant Name | Ystrategies Corp. | |
Entity Central Index Key | 1,510,891 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,016 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Units Outstanding | 14,837,915 | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | No | |
Entity Current Reporting Status | Yes |
BALANCE SHEETS
BALANCE SHEETS - USD ($) | Sep. 30, 2016 | Dec. 31, 2015 |
Current assets | ||
Cash | $ 2,141 | $ 1,766 |
Accounts receivable | 7,090 | |
Prepaid expenses | 12,165 | |
Total current assets | 14,306 | 8,856 |
Long term assets | ||
Property and equipment, net | 357 | |
Total long term assets | 357 | |
Total assets | 14,306 | 9,213 |
Current liabilities | ||
Accounts payable and accrued liabilities | 59,653 | 37,798 |
Notes payable, related party | 4,500 | 4,500 |
Total current liabilities | 64,153 | 42,298 |
Long term liabilities | ||
Convertible notes payable-related parties, net | 9,115 | |
Total long term liabilities | 9,115 | |
Total liabilities | 73,268 | 42,298 |
Stockholders' deficit | ||
Common stock $0.001 par value; 75,000,000 shares authorized; 14,837,915 and 5,007,916 shares issued outstanding, respectively | 14,838 | 5,008 |
Additional paid-in capital | 2,642,262 | 707,470 |
Accumulated deficit | (2,716,062) | (745,563) |
Total stockholders' deficit | (58,962) | (33,085) |
Total liabilities and stockholders' deficit | $ 14,306 | $ 9,213 |
BALANCE SHEETS (Parenthetical)
BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2016 | Dec. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Common stock, par value per share | $ 0.001 | $ 0.001 |
Common Stock, shares authorized | 75,000,000 | 75,000,000 |
Common stock, shares issued | 13,532,915 | 5,007,916 |
Common Stock, shares outstanding | 13,532,915 | 5,007,916 |
STATEMENTS OF OPERATIONS
STATEMENTS OF OPERATIONS - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Revenue | ||||
Consulting fees | $ 7,500 | |||
Commissions | 22,327 | 8,580 | 22,327 | |
Total revenue | 22,327 | 8,580 | 29,827 | |
Operating expenses | ||||
Costs of revenues | 3,966 | 1,779 | ||
General and administrative | 22,213 | 21,906 | 1,973,343 | 79,251 |
Total operating expenses | 22,213 | 21,906 | 1,977,309 | 81,030 |
Net operating loss | (22,213) | 421 | (1,968,729) | (51,203) |
Other expense | ||||
Change in derivative liability | 15 | |||
Loss on extinguishment of debt | (116,687) | |||
Interest expense | 845 | 556 | 1,770 | 1,560 |
Total other expense | 845 | 556 | 1,770 | 118,262 |
Loss before provision for income taxes | (23,058) | (135) | (1,970,499) | (169,465) |
Net loss | $ (23,058) | $ (135) | $ (1,970,499) | $ (169,465) |
Net loss per common share - basic and diluted | $ 0 | $ 0 | $ (0.21) | $ (0.04) |
Weighted average common shares outstanding - basic and diluted | 13,589,654 | 5,007,916 | 9,174,138 | 4,654,653 |
STATEMENTS OF CASH FLOWS
STATEMENTS OF CASH FLOWS - USD ($) | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Cash flows from operating activities: | ||
Net loss | $ (1,970,499) | $ (169,465) |
Adjustments to reconcile net loss to net cash provided by (used in) by operating activities: | ||
Amortization of prepaid expenses | 27,625 | |
Amortization of debt discount | 60 | |
Change in derivative liability | 15 | |
Common stock issued or to be issued for services | 1,901,677 | |
Depreciation | 357 | 1,293 |
Loss on extinguishment of debt | (116,687) | |
Changes in operating assets and liabilities: | ||
Accounts payable and accrued liabilities | 21,855 | 14,060 |
Accounts receivable | 7,090 | |
Change in prepaid expenses | (165) | |
Refund of rental deposit | 280 | |
Net cash used by operating activities | (39,625) | (9,505) |
Cash flows from financing activities: | ||
Proceeds from sale of convertible notes | 10,000 | |
Proceeds from sale of common stock | 30,000 | |
Net cash provided by financing activities | 40,000 | |
Net change in cash | 375 | (9,505) |
Cash, beginning of period | 1,766 | 10,713 |
Cash, end of period | 2,141 | 1,208 |
Non-cash investing and financing activities: | ||
Stock issued for settlement of debt and derivative liability | 166,702 | |
Beneficial conversion feature | 945 | |
Common stock issued for prepaid expenses | $ 12,000 |
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS | 9 Months Ended |
Sep. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS | NOTE 1 DESCRIPTION OF BUSINESS Ystrategies Corp., located in Pittsburgh PA, was incorporated, on January 19, 2011, under the laws of the state of Nevada as India Ecommerce Corporation,. On March 9, 2016, India Ecommerce Corporation completed a merger with its wholly owned subsidiary, Ystrategies Corp., a Nevada corporation, which was incorporated solely to effect a change of name. As a result, the Company changed its name from India Ecommerce Corporation to Ystrategies Corp. The Company has modified its business model to include the management of interests in technology platforms and growth businesses with strong intellectual property positions. Ystrategies accelerates commercialization for early stage businesses with significant development and strategy support, guidance and management. Our focus is long term ownership positions in intellectual property driven businesses with strong technical leadership and proven, scalable value for clearly identified customer segments. Our ideal investments drive aggressively to revenue through high quality strategic partner driven sales with recurring revenue developed by a compelling intellectual property value proposition. The Ystrategies team will work with motivated scientist-entrepreneurs identified by its senior management and will utilize proven market based analysis to deliver quality investments. The Company will provide strategic support to portfolio businesses as they accelerate growth through important partnerships and build sales momentum with high quality customers. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited interim financial statements of Ystratergies have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission, and should be read in conjunction with the audited financial statements and notes thereto for the years ended December 31, 2015 and 2014 contained in the Company's Form 10-K originally filed with the Securities and Exchange Commission on April 13, 2016. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements which would substantially duplicate the disclosure contained in the audited consolidated financial statements for years ended December 31, 2015 and 2014 as reported in the Company's Form 10-K have been omitted. Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America 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. A change in managements' estimates or assumptions could have a material impact on the Company's financial condition and results of operations during the period in which such changes occurred. Actual results could differ from those estimates. The Company's financial statements reflect all adjustments that management believes are necessary for the fair presentation of their financial condition and results of operations for the periods presented. Cash and Cash Equivalents For purposes of the statements of cash flows, cash equivalents include all highly liquid investments with original maturities of three months or less which are not securing any corporate obligations. The Company maintains its cash in bank deposit accounts, which, at times, may exceed federally insured limits. The Company has not experienced any losses in such accounts. Property and Equipment Property and equipment are carried at cost. Expenditures for maintenance and repairs are charged against operations. Renewals and betterments that materially extend the life of the assets are capitalized. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts, and any resulting gain or loss is reflected in income for the period. Depreciation is computed for financial statement purposes on a straight-line basis over estimated useful lives of the related assets. The estimated useful lives of depreciable assets are: Estimated Classification Useful Lives Furniture and fixtures 5-7 years Computers and office equipment 3-5 years Revenue Recognition The Company recognizes revenue for its professional services when persuasive evidence of an arrangement exists, performance of services has occurred, the sales price is fixed or determinable and collectability is probable. Revenue, from the sale of products, is recognized upon receipt from the internet vendor of the month's transactions. Consulting revenue is earned by providing intellectual internet oriented professional services on a contractual basis, usually paid for in advance. If the scope of the engagement exceeds the Company's abilities, part or all of the project may be outsourced to a third party that possess the necessary disciplines. Other revenue is generated through the sale of products, in which case, the Company will purchase inventory and resell it over the Internet. During the nine months ended September 30, 2016, the Company earned no revenue from consulting services, provided to clients, and $8,580 for Internet based product sales generated through an Amazon web site. Because the Company utilized an independent third party as a partner in this product sales venture, the Company recorded, only, its share of the revenue and deducted the inventory cost as cost of sales. Subsequent to September 30, 2016, the Company is no longer receiving revenue from Amazon.com. That source of revenue was in addition to the Company's overall business plan and there are no immediate plans to reinstate that activity. Impairment of Long-lived Assets the asset is determined not to be recoverable, a write-down to fair value is recorded. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as applicable. The Company reviews long-lived assets for impairment at the individual asset or the asset group level for which the lowest level of independent cash flows can be identified. No impairment expense has been recorded on long-lived assets for the nine months ended September 30, 2016 and September 30, 2015, respectively. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. The Company also follows the guidance related to accounting for income tax uncertainties. In accounting for uncertainty in income taxes, the Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. For tax positions meeting the more likely than not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority. No liability for unrecognized tax benefits was recorded as of September 30, 2016 or December 31, 2015. Fair Value Measurements The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial assets are marked to bid prices and financial liabilities are marked to offer prices. Fair value measurements do not include transaction costs. A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values. Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is defined into the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities Level 2: Observable market-based inputs or inputs that are corroborated by market data Level 3: Unobservable inputs that are not corroborated by market data Stock-Based Compensation The Company records stock-based compensation at fair value as of the date of grant and recognizes the corresponding expense over the requisite service period (usually the vesting period), utilizing the Black-Scholes option-pricing model. The volatility component of the calculation is based on the historic volatility of the Company's stock or the expected future volatility. The expected life assumption is primarily based on historical exercise patterns and employee post-vesting termination behavior. The risk-free interest rate for the expected term of the option is based on the U.S. Treasury yield curve in effect at the time of grant. Reclassifications Certain prior year amounts have been reclassified to conform to the current year presentation. Loss per Common Share Basic earnings per share are calculated dividing income available to common stockholders by the weighted average number of common shares outstanding. Diluted earnings per share are based on the assumption that all dilutive convertible shares and stock options and warrants were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, warrants and options are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. There were potentially, 326,184 dilutive shares outstanding as of September 30, 2016. Recently Adopted 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 pronouncements that have been issued that might have a material impact on its financial position or results of operations. |
GOING CONCERN
GOING CONCERN | 9 Months Ended |
Sep. 30, 2016 | |
GOING CONCERN [Abstract] | |
GOING CONCERN | NOTE 3 GOING CONCERN The accompanying financial statements have been prepared on a going concern basis which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As shown in the financial statements, during the nine months ended September 30, 2016, the Company incurred a net loss of $1,970,499 which included a deduction for stock based compensation and consulting fees of $1901,677 and as of the same date has an accumulated deficit of $2,716,062. If the Company is unable to generate profits and is unable to continue to obtain financing for its working capital requirements, it may have to curtail its business sharply or cease business altogether. These factors raise substantial doubt about the Company's ability to continue as a going concern. The financial statements do not include any adjustment relating to the recoverability and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. The Company is taking certain steps to provide the necessary capital to continue its operations. These steps include, but are not limited to: 1) develop a new business model which will provide sufficient revenue to become profitable; 2) focus on sales to minimize the need for capital; 3) raise equity financing; 4) continuous focus on reductions in cost where possible. |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 9 Months Ended |
Sep. 30, 2016 | |
Property, Plant and Equipment, Net [Abstract] | |
PROPERTY AND EQUIPMENT | NOTE 4 PROPERTY AND EQUIPMENT Property and equipment consisted of the following as of September 30, 2016 and December 31, 2015: September 30, December 31, 2016 2015 Computers and office equipment $ 8,614 $ 8,614 less: accumulated depreciation (8,614 ) (8,257 ) Equipment - net $ - $ 357 Depreciation expense included as a charge to income of $357 for the nine months ended September 30, 2016 and $1,293 for the nine months ended September 30, 2015. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 9 Months Ended |
Sep. 30, 2016 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 5 RELATED PARTY TRANSACTIONS On February 29, 2016, the Company resolved to sell 600,000 post-split common shares to, each of, two individuals, for a total consideration of $30,000 cash, which was received on March 3, 2016. On March 10, 2016, the Board of Directors appointed Messrs. Jim Kiles and Paul Overby to the two vacant positions on the Company's Board of Directors. Mr. Kiles was also appointed President and Chief Executive Officer in the place of Ashish Badjatia, who resigned as President and CEO. Mr. Overby was appointed Chief Strategy Officer. On June 3, 2016 the Company issued 7,249,999 of its common restricted shares to seven individuals for past services provided as directors, officers and employees. The shares were recorded, based on the fair market value of the stock on that day, of $0.26, each, for a total cost of $1,885,000. On April 1, 2016, the Board of Directors passed a resolution to pay Ashish Badjatia, a director and chief operating officer, $3,000 per month as compensation for services to be rendered. On September 30, 2016, Mr. Badjatia was owed a total of $30,500 in unpaid compensation. On July 21, August 4 and August 5, 2016 two directors and two consultants, each, purchased convertible notes of $2,500 each, repayable on or before January 1, 2019, bearing interest of 5% per annum and convertible into common shares at a cost of $0.135 per share after 180 days, at the holder's option. Three of the four notes contained beneficial conversion features resulting in $945 being recorded to additional paid in capital with an offset to debt discount. |
NOTES PAYABLE
NOTES PAYABLE | 9 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE | September 30, December 31, 2016 2015 Convertible notes payable -5% interest due January 1, 2019 - net $ 9,115 $ - $ 9,115 $ - |
STOCKHOLDERS' DEFICIT
STOCKHOLDERS' DEFICIT | 9 Months Ended |
Sep. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS' EQUITY | NOTE 8 STOCKHOLDERS' DEFICIT Between February 23, 2015 and March 23, 2015 the Company issued 13,959,989 pre-reverse split and 139,600 post reverse split of its restricted common shares to convert a note payable of $50,000 and $116,702 of derivative liability. The shares were issued at an average price of $0.0036 per share pre-reverse split and $0.36 per share post reverse split.. The total number of common shares authorized that may be issued by the Company is 75,000,000 shares with a par value of $0.001 per share. There are no preferred shares authorized to be issued. There were 13,532,915 and 5,007,916 shares of post-split common stock issued and outstanding at June 30, 2016 and December 31, 2015, compared to 50,079,156 outstanding pre-reverse stock split at December 31, 2015. On March 3, 2016 the Company received a cash payment of $30,000, for the sale of 12,000,000 pre-reverse split shares at a cost of $0.0025 per share or 1,200,000 post-reverse common shares, at a cost of $0.025 per share. On June 3, 2016, the Company issued 7,249,999 common restricted shares to seven individuals, officers and directors, to compensate them for past services. The shares were recorded at a cost of $0.26 per share for a total cost of $1,885,000. On June 3, 2016, the Company approved the issuance of 50,000 common restricted shares to a consultant for services provided and to be provided. The shares were recorded at a cost of $0.26 for a total cost of $13,000. On June 30, 2016 the Company issued 25,000 common restricted shares to the same consultant for services rendered, recorded at a cost of $0.1051 or a total cost of $2,628. |
STOCK PURCHASE WARRANTS
STOCK PURCHASE WARRANTS | 9 Months Ended |
Sep. 30, 2016 | |
Notes to Financial Statements | |
STOCK PURCHASE WARRANTS | NOTE 10 STOCK PURCHASE WARRANTS During the year ended December 31, 2014, the Company issued 1,666,667 warrants to creditors to acquire its common stock. In applying the Black-Scholes options pricing model to the options and warrant grants, the fair value of our share-based awards granted were estimated using the following assumptions. Risk-free interest rate 1.52% Expected options life 2.50 Expected dividend yield - Expected price volatility 701% A summary of the status of the Company's stock options as of September 30, 2016 and changes during the nine months ended September 30, 2016 is presented below: Number of Warrants Outstanding at December 31, 2015 1,666,667 Warrants exercised - Warrants forfeited or expired - Outstanding at September 30, 2016 1,666,667 Exercisable at September 30, 2016 1,666,667 The following table summarizes information about options and warrants as of September 30, 2016: Warrants Outstanding Warrants Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.06 1,666,667 2.25 $ 0.06 1,666,667 $ 0.06 1,666,667 2.25 $ 0.06 1,666,667 $ 0.06 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 11 SUBSEQUENT EVENTS On October 17, 2016, the Company entered into an Intellectual Property Agreement with Alliance for Sustainable Energy LLC ("Alliance"), operator of the National Renewable Energy Laboratory, to secure an option, at a cost of $15,000, for an exclusive license to certain intellectual property belonging to Alliance. An initial payment of $5,000 was made on October 17, 2016. Additional payments of $5,000 each are due on November 15, and November 30, 2016. A final Exclusive License Agreement will be, during the option period, negotiated within the Field of Use based upon Key Commercial Terms. |
CONVERTIBLE NOTES PAYABLE
CONVERTIBLE NOTES PAYABLE | 9 Months Ended |
Sep. 30, 2016 | |
Notes to Financial Statements | |
CONVERTIBLE NOTES PAYABLE | NOTE 7 CONVERTIBLE NOTES PAYABLE September 30, December 31, 2016 2015 Convertible notes payable -5% interest due January 1, 2019 - net $ 9,115 $ - $ 9,115 $ - On July 21, 2016 the Company issued a convertible promissory note for $2,500, bearing annual interest of 5%, with principal and interest due and payable on or before January 1, 2019. The note has a conversion feature for common shares at $0.135 per share. Because the trading price of our stock was less than the stated conversion rate of the note, there was no beneficial conversion feature. On August 4, 2016, the Company issued a convertible promissory note for $2,500, bearing an annual interest rate of 5%. The principal amount of the note and all accrued interest is due and payable on or before January 1, 2019. The note has a conversion feature for common shares at $0.135 per share. Due to the fact that the trading price of our stock was greater than the stated conversion rate of the note, the Company calculated the effective conversion price of the note based on the relative fair value allocated to the debt to determine the fair value of any beneficial conversion feature, in accordance with ASC 470-20-30. A discount of $315 for the beneficial conversion was recorded against this note and will be amortized against interest expense through the life of the note. As of September 30, 2016 interest expense of $20 was recorded as part of the amortization of the beneficial conversion feature of the note. On August 5, 2016, the Company issued two convertible promissory notes for $2,500 each. Both notes have an annual interest rate of 5%. The principal amount of the notes and all accrued interest is due and payable on or before January 1, 2019. The notes have a conversion feature for common shares at $0.135 per share. Due to the fact that the trading price of our stock was greater than the stated conversion rate of the note, the Company calculated the effective conversion price of the note based on the relative fair value allocated to the debt to determine the fair value of any beneficial conversion feature, in accordance with ASC 470-20-30. A discount of $315 each for the beneficial conversion was recorded against these notes and will be amortized against interest expense through the life of the notes. As of September 30, 2016 interest expense of $20 each was recorded as part of the amortization of the beneficial conversion feature of these notes. |
STOCKHOLDERS' DEFICIT16
STOCKHOLDERS' DEFICIT | 9 Months Ended |
Sep. 30, 2016 | |
Stockholders' deficit | |
STOCKHOLDERS' DEFICIT | NOTE 8 STOCKHOLDERS' DEFICIT Between February 23, 2015 and March 23, 2015 the Company issued 13,959,989 pre-reverse split and 139,600 post reverse split of its restricted common shares to convert a note payable of $50,000 and $116,702 of derivative liability. The shares were issued at an average price of $0.0036 per share pre-reverse split and $0.36 per share post reverse split.. The total number of common shares authorized that may be issued by the Company is 75,000,000 shares with a par value of $0.001 per share. There are no preferred shares authorized to be issued. There were 13,532,915 and 5,007,916 shares of post-split common stock issued and outstanding at June 30, 2016 and December 31, 2015, compared to 50,079,156 outstanding pre-reverse stock split at December 31, 2015. On March 3, 2016 the Company received a cash payment of $30,000, for the sale of 12,000,000 pre-reverse split shares at a cost of $0.0025 per share or 1,200,000 post-reverse common shares, at a cost of $0.025 per share. On June 3, 2016, the Company issued 7,249,999 common restricted shares to seven individuals, officers and directors, to compensate them for past services. The shares were recorded at a cost of $0.26 per share for a total cost of $1,885,000. On June 3, 2016, the Company approved the issuance of 50,000 common restricted shares to a consultant for services provided and to be provided. The shares were recorded at a cost of $0.26 for a total cost of $13,000. On June 30, 2016 the Company issued 25,000 common restricted shares to the same consultant for services rendered, recorded at a cost of $0.1051 or a total cost of $2,628. |
SUMMARY OF SIGNIFICANT ACCOUN17
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited interim financial statements of Ystratergies have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission, and should be read in conjunction with the audited financial statements and notes thereto for the years ended December 31, 2015 and 2014 contained in the Company's Form 10-K originally filed with the Securities and Exchange Commission on April 13, 2016. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements which would substantially duplicate the disclosure contained in the audited consolidated financial statements for years ended December 31, 2015 and 2014 as reported in the Company's Form 10-K have been omitted. |
Use of Estimates | Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America 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. A change in managements' estimates or assumptions could have a material impact on the Company's financial condition and results of operations during the period in which such changes occurred. Actual results could differ from those estimates. The Company's financial statements reflect all adjustments that management believes are necessary for the fair presentation of their financial condition and results of operations for the periods presented. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of the statements of cash flows, cash equivalents include all highly liquid investments with original maturities of three months or less which are not securing any corporate obligations. The Company maintains its cash in bank deposit accounts, which, at times, may exceed federally insured limits. The Company has not experienced any losses in such accounts. |
Deposits | Deposits Deposits include a security deposit for office space located in Pittsburgh, PA. |
Property and Equipment | Property and Equipment Property and equipment are carried at cost. Expenditures for maintenance and repairs are charged against operations. Renewals and betterments that materially extend the life of the assets are capitalized. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts, and any resulting gain or loss is reflected in income for the period. Depreciation is computed for financial statement purposes on a straight-line basis over estimated useful lives of the related assets. The estimated useful lives of depreciable assets are: Estimated Classification Useful Lives Furniture and fixtures 5-7 years Computers and office equipment 3-5 years |
Revenue Recognition | Revenue Recognition The Company recognizes revenue for its professional services when persuasive evidence of an arrangement exists, performance of services has occurred, the sales price is fixed or determinable and collectability is probable. Revenue, from the sale of products, is recognized upon receipt from the internet vendor of the month's transactions. Consulting revenue is earned by providing intellectual internet oriented professional services on a contractual basis, usually paid for in advance. If the scope of the engagement exceeds the Company's abilities, part or all of the project may be outsourced to a third party that possess the necessary disciplines. Other revenue is generated through the sale of products, in which case, the Company will purchase inventory and resell it over the Internet. During the nine months ended September 30, 2016, the Company earned no revenue from consulting services, provided to clients, and $8,580 for Internet based product sales generated through an Amazon web site. Because the Company utilized an independent third party as a partner in this product sales venture, the Company recorded, only, its share of the revenue and deducted the inventory cost as cost of sales. Subsequent to September 30, 2016, the Company is no longer receiving revenue from Amazon.com. That source of revenue was in addition to the Company's overall business plan and there are no immediate plans to reinstate that activity. |
Impairment of Long-Lived Assets | Impairment of Long-lived Assets the asset is determined not to be recoverable, a write-down to fair value is recorded. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as applicable. The Company reviews long-lived assets for impairment at the individual asset or the asset group level for which the lowest level of independent cash flows can be identified. No impairment expense has been recorded on long-lived assets for the nine months ended September 30, 2016 and September 30, 2015, respectively. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. The Company also follows the guidance related to accounting for income tax uncertainties. In accounting for uncertainty in income taxes, the Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. For tax positions meeting the more likely than not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority. No liability for unrecognized tax benefits was recorded as of September 30, 2016 or December 31, 2015. |
Fair Value of Financial Instruments | Fair Value Measurements The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial assets are marked to bid prices and financial liabilities are marked to offer prices. Fair value measurements do not include transaction costs. A fair value hierarchy is used to prioritize the quality and reliability of the information used to determine fair values. Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is defined into the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities Level 2: Observable market-based inputs or inputs that are corroborated by market data Level 3: Unobservable inputs that are not corroborated by market data |
Stock-Based Compensation | Stock-Based Compensation The Company records stock-based compensation at fair value as of the date of grant and recognizes the corresponding expense over the requisite service period (usually the vesting period), utilizing the Black-Scholes option-pricing model. The volatility component of the calculation is based on the historic volatility of the Company's stock or the expected future volatility. The expected life assumption is primarily based on historical exercise patterns and employee post-vesting termination behavior. The risk-free interest rate for the expected term of the option is based on the U.S. Treasury yield curve in effect at the time of grant. |
Loss per Common Share | Loss per Common Share Basic earnings per share are calculated dividing income available to common stockholders by the weighted average number of common shares outstanding. Diluted earnings per share are based on the assumption that all dilutive convertible shares and stock options and warrants were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, warrants and options are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. There were potentially, 326,184 dilutive shares outstanding as of September 30, 2016. |
Recent Accounting Pronouncements | Recently Adopted 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 pronouncements that have been issued that might have a material impact on its financial position or results of operations. |
SUMMARY OF SIGNIFICANT ACCOUN18
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Schedule of Useful Lives | The estimated useful lives of depreciable assets are: Estimated Classification Useful Lives Furniture and fixtures 5-7 years Computers and office equipment 3-5 years |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Property, Plant and Equipment, Net [Abstract] | |
Schedule of Property and Equipment | September 30, December 31, 2016 2015 Computers and office equipment $ 8,614 $ 8,614 less: accumulated depreciation (8,614 ) (8,257 ) Equipment - net $ - $ 357 |
NOTES PAYABLE (Tables)
NOTES PAYABLE (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Notes Payable | The components of notes payable at June 30, 2016 are summarized in the table below: September 30, December 31, 2016 2015 Related party note payable 24% interest, unsecured and due January 2013 (1) $ 4,500 $ 4,500 $ 4,500 $ 4,500 |
STOCK PURCHASE WARRANTS (Tables
STOCK PURCHASE WARRANTS (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Other Liabilities Disclosure [Abstract] | |
Company stock options | Number of Warrants Outstanding at December 31, 2015 1,666,667 Warrants exercised - Warrants forfeited or expired - Outstanding at June 30, 2016 1,666,667 Exercisable at June 30, 2016 1,666,667 |
Summary of options and warrants | The following table summarizes information about options and warrants as of June 30, 2016: Warrants Outstanding Warrants Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.06 1,666,667 3.42 $ 0.06 1,666,667 $ 0.06 1,666,667 3.42 $ 0.06 1,666,667 $ 0.06 |
CONVERTIBLE NOTES PAYABLE (Tabl
CONVERTIBLE NOTES PAYABLE (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Notes to Financial Statements | |
Convertible notes payable | September 30, December 31, 2016 2015 Convertible notes payable -5% interest due January 1, 2019 - net $ 9,115 $ - $ 9,115 $ - |
SUMMARY OF SIGNIFICANT ACCOUN23
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) | 9 Months Ended |
Sep. 30, 2015 | |
Furniture and Fixtures [Member] | Minimum [Member] | |
Estimated useful life | 5 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Estimated useful life | 7 years |
Computers and Office Equipment [Member] | Minimum [Member] | |
Estimated useful life | 3 years |
Computers and Office Equipment [Member] | Maximum [Member] | |
Estimated useful life | 5 years |
GOING CONCERN (Details)
GOING CONCERN (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
GOING CONCERN [Abstract] | |||||
Net loss | $ (23,058) | $ (135) | $ (1,970,499) | $ (169,465) | |
Accumulated deficit | $ (2,716,062) | (2,716,062) | $ (745,563) | ||
stock based compensation and consulting fees | $ 1,901,677 |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details) - USD ($) | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Property, Plant and Equipment, Net [Abstract] | |||
Computer and office equipment | $ 8,614 | $ 8,614 | |
less: Accumulated depreciation | (8,614) | (8,257) | |
Property and equipment, net | $ 357 | ||
Depreciation | $ 357 | $ 1,293 |
NOTES PAYABLE (Details)
NOTES PAYABLE (Details) - USD ($) | Sep. 30, 2016 | Dec. 31, 2015 |
Debt Disclosure [Abstract] | ||
Note payable - 24% interest, unsecured and due January 2013 | $ 4,500 | $ 4,500 |
Total Notes Payable | $ 4,500 | $ 4,500 |
STOCKHOLDERS' DEFICIT (Details)
STOCKHOLDERS' DEFICIT (Details) | 9 Months Ended |
Sep. 30, 2016USD ($)$ / sharesshares | |
Stockholders' Equity Note [Abstract] | |
Number of common shares sold for cash | shares | 12,000,000 |
Price per share | $ / shares | $ 0.0025 |
Cash Proceeds | $ | $ 30,000 |
STOCK PURCHASE WARRANTS - Statu
STOCK PURCHASE WARRANTS - Status of options (Details) | 9 Months Ended |
Sep. 30, 2016shares | |
Notes to Financial Statements | |
Outstanding at December 31, 2015 | 1,666,667 |
Warrants exercised | |
Warrants forfeited or expired | |
Outstanding at June 30, 2016 | 1,666,667 |
Exercisable at June 30, 2016 | 1,666,667 |
STOCK PURCHASE WARRANTS - Summa
STOCK PURCHASE WARRANTS - Summary of options and warrants (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Sep. 30, 2016 | |
Notes to Financial Statements | ||
Exercise Price | $ 0.06 | |
Warrants Outstanding | $ 1,666,667 | |
Warrants Outstanding - Weighted Average Remaining Contractual Life (in years) | 4 years 6 months 5 days | |
Warrants Outstanding - Weighted Average Exercise Price | $ 0.06 | |
Warrants Exercisable | 1,666,667 | |
Warrants Exercisable - Weighted Average Exercise Price | $ 0.06 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) | 9 Months Ended |
Sep. 30, 2016USD ($)shares | |
Related Party Transactions [Abstract] | |
Number of common shares sold to each of two individuals | shares | 6,000,000 |
Amoount of cash received for all shares sold | $ | $ 30,000 |
CONVERTIBLE NOTES PAYABLE - Con
CONVERTIBLE NOTES PAYABLE - Convertible notes payable (Details) - USD ($) | Sep. 30, 2016 | Sep. 30, 2015 |
Notes to Financial Statements | ||
Convertible notes payable -5% interest due January 1, 2019 - net | $ 9,115 |
STOCKHOLDERS' DEFICIT (Details
STOCKHOLDERS' DEFICIT (Details Narrative) - shares | Sep. 30, 2016 | Dec. 31, 2015 |
Stockholders' deficit | ||
Shares issued | 13,532,915 | 5,007,916 |