Sollensys (SOLS) 10-Q 9 Nov 20 2020 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Sep. 30, 2020	Nov. 09, 2020
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2020
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2020
Current Fiscal Year End Date	--03-31
Entity File Number	333-174581
Entity Registrant Name	SOLLENSYS CORP.
Entity Central Index Key	0001519177
Entity Incorporation, State or Country Code	NV
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		99,183,962

Balance Sheets

Balance Sheets - USD ($)	Sep. 30, 2020	Mar. 31, 2020
Current assets:
Cash and cash equivalents	$ 45,485	$ 0
Inventory	90,000	0
Total current assets	135,485	0
Total assets	135,485	0
Current liabilities:
Accrued expenses	0	31,429
Advance from stockholder	0	54,342
Accounts payable related party	135,000	0
Loans payable related party	0	26,100
Total current liabilities	135,000	111,871
Total liabilities	135,000	111,871
Stockholders' equity (deficit):
Preferred stock, Series A, $0.001 par value, 25,000,000 shares authorized, 19,000,000 and -0- shares issued and outstanding as of September 30, 2020, and March 31, 2020, respectively	19,000	0
Common stock, $0.001 par value, 300,000,000 shares authorized; 4,183,962 issued and outstanding as of September 30, 2020, and March 31, 2020, respectively	4,184	4,184
Paid in capital	2,426,334	497,891
Accumulated deficit	(2,449,033)	(613,946)
Total stockholders' equity (deficit)	485	(111,871)
Total liabilities and equity	$ 135,485	$ 0

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2020	Mar. 31, 2020
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, authorized	25,000,000	25,000,000
Preferred stock, issued	19,000,000	0
Preferred stock, outstanding	19,000,000	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, authorized	300,000,000	300,000,000
Common stock, issued	4,183,962	4,183,962
Common stock, outstanding	4,183,962	4,183,962

Statements of Operations

Statements of Operations - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Statement [Abstract]
Revenue	$ 135,000	$ 0	$ 135,000	$ 0
Cost of sales	45,000	0	45,000	0
Gross profit	90,000	0	90,000	0
Operating expenses:
General and administrative	98,440	0	2,010,858	0
Total operating expenses	98,440	0	2,010,858	0
Loss from operations	(8,440)	0	(1,920,858)	0
Other income:
Gain on the extinguishment of debt	0	0	85,771	0
Total other income	0	0	85,771	0
Net loss	$ (8,440)	$ 0	$ (1,835,087)	$ 0
Basic and diluted loss per common share	$ 0	$ .00	$ (0.44)	$ .00
Weighted-average number of common shares outstanding:
Basic and diluted	4,183,962	4,183,962	4,183,962	4,183,962

Statements of Change in Stockho

Statements of Change in Stockholders' Equity (Deficit) - USD ($)	Preferred Stock Series A	Common Stock	Paid-in Capital	Accumulated Deficit	Total
Beginning balance, shares at Mar. 31, 2019	0	4,183,962
Beginning balance, amount at Mar. 31, 2019	$ 0	$ 4,184	$ 497,891	$ (587,846)	$ (85,771)
Net income (loss)				0	0
Ending balance, shares at Jun. 30, 2019	0	4,183,962
Ending balance, amount at Jun. 30, 2019	$ 0	$ 4,184	497,891	(587,846)	(85,771)
Beginning balance, shares at Mar. 31, 2019	0	4,183,962
Beginning balance, amount at Mar. 31, 2019	$ 0	$ 4,184	497,891	(587,846)	(85,771)
Net income (loss)					0
Related party loans reclassified as capital contribution					0
Capital contributions from shareholder					0
Ending balance, shares at Sep. 30, 2019	0	4,183,962
Ending balance, amount at Sep. 30, 2019	$ 0	$ 4,184	497,891	(587,846)	(85,771)
Beginning balance, shares at Jun. 30, 2019	0	4,183,962
Beginning balance, amount at Jun. 30, 2019	$ 0	$ 4,184	497,891	(587,846)	(85,771)
Net income (loss)				0	0
Ending balance, shares at Sep. 30, 2019	0	4,183,962
Ending balance, amount at Sep. 30, 2019	$ 0	$ 4,184	497,891	(587,846)	(85,771)
Beginning balance, shares at Mar. 31, 2020	0	4,183,962
Beginning balance, amount at Mar. 31, 2020	$ 0	$ 4,184	497,891	(613,946)	(111,871)
Stock-based compensation, shares	19,000,000
Stock-based compensation, amount	$ 19,000		1,881,000		19,000,000
Net income (loss)				(1,826,647)	(1,826,647)
Ending balance, shares at Jun. 30, 2020	19,000,000	4,183,962
Ending balance, amount at Jun. 30, 2020	$ 19,000	$ 4,184	2,378,891	(2,440,593)	(38,518)
Beginning balance, shares at Mar. 31, 2020	0	4,183,962
Beginning balance, amount at Mar. 31, 2020	$ 0	$ 4,184	497,891	(613,946)	(111,871)
Net income (loss)					(1,835,087)
Related party loans reclassified as capital contribution					46,943
Capital contributions from shareholder					500
Ending balance, shares at Sep. 30, 2020	19,000,000	4,183,962
Ending balance, amount at Sep. 30, 2020	$ 19,000	$ 4,184	2,426,334	(2,449,033)	485
Beginning balance, shares at Jun. 30, 2020	19,000,000	4,183,962
Beginning balance, amount at Jun. 30, 2020	$ 19,000	$ 4,184	2,378,891	(2,440,593)	(38,518)
Net income (loss)				(8,440)	(8,440)
Related party loans reclassified as capital contribution			46,943		46,943
Capital contributions from shareholder			500		500
Ending balance, shares at Sep. 30, 2020	19,000,000	4,183,962
Ending balance, amount at Sep. 30, 2020	$ 19,000	$ 4,184	$ 2,426,334	$ (2,449,033)	$ 485

Statements of Cash Flows

Statements of Cash Flows - USD ($)	6 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities of continuing operations:
Net loss	$ (1,835,087)	$ 0
Adjustments to reconcile net loss to cash provided by operating activities:
Stock-based compensation	1,900,000	0
Gain on the extinguishment of debt	(85,771)	0
Changes in operating assets and liabilities
Inventory	(90,000)	0
Related party payables	155,843	0
Net cash provided by operating activities	44,985	0
Cash flows from financing activities:
Capital contributions	500	0
Net cash provided by financing activities	500	0
Net increase in cash and cash equivalents	45,485	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	45,485	0
Supplemental disclosure of cash flow information:
Cash paid for interest	0	0
Cash paid for income taxes	0	0
Supplemental disclosure of noncash activities:
Expenses paid on behalf of the Company by related party	20,843	0
Related party loans reclassified as capital contributions	$ 46,943	$ 0

1. ORGANIZATION AND DESCRIPTION

1. ORGANIZATION AND DESCRIPTION OF BUSINESS	6 Months Ended
	Sep. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION AND DESCRIPTION OF BUSINESS	Sollensys Corp. (“Sollensys” or the “Company”) was formerly a development stage company, incorporated in Nevada on September 29, 2010, under the name Health Directory, Inc. Initial plans included organization and incorporation, target market identification, marketing plans, and capital formation. A substantial portion of the Company’s efforts involved developing a business plan and establishing contacts and visibility in the marketplace. The Company had not generated any revenues before the current period. Effective July 30, 2012, the holder of 3,000,000 shares, or approximately 79.8% of the Company’s then outstanding voting securities, executed a written consent in accordance with Section 78.320 of the Nevada Revised Statutes approving an amendment to the Articles of Incorporation to change the Company’s name to Sollensys Corp., increase the number of authorized common shares to 1,500,000,000, increase the number of authorized preferred shares to 25,000,000, and to split each outstanding share of common stock into 131.69 shares of common stock. The Company had been dormant since September 30, 2012. On December 27, 2019, the Eighth Judicial District Court of Clark County, Nevada (the “Court”), pursuant to Case number A-19-805633-B appointed Custodian Ventures, LLC (“Custodian Ventures”) as the custodian of Sollensys Corp. David Lazar, who controls Custodian Ventures was subsequently named the only interim officer and director of the Company and is considered a related party for the purpose of financial statement presentation. On June 16, 2020, Custodian Ventures filed a motion with the Court asking the Court to enter an order concluding and terminating the custodianship of the Company. On July 20, 2020, the Court entered an order terminating custodianship and barring non-asserted claims against the Company. Effective August 5, 2020, David Lazar, the interim Chief Executive Officer, President, Secretary, Treasurer, and sole director of the Company and the beneficial owner, through his ownership of Custodian Ventures of 19,000,000 shares of Series A Preferred Stock, representing 100% of the Company’s issued and outstanding shares of preferred stock, entered into a Stock Purchase Agreement by and among Eagle Lake Laboratories, Inc., a Florida corporation (“Eagle”); (ii) the Company; and (iii) Custodian Ventures. The Stock Purchase Agreement is referred to herein as the “SPA.” Pursuant to the terms of the SPA, Eagle agreed to purchase, and Custodian Ventures agreed to sell, 19,000,000 shares of the Company’s Series A Preferred Stock in exchange for payment by Eagle to Custodian Ventures of $230,000 (collectively with the other transactions in the SPA, the “Stock Purchase”). The Stock Purchase closed on August 5, 2020. The shares of Series A Preferred Stock, par value $0.001 per share, of the Company are convertible into shares of common stock, par value $0.001 per share, of the Company (the “Common Stock”) at a rate of 50 shares of Common Stock per share of Series A Preferred Stock, and has voting power on an as-converted basis (voting with the Common Stock as one class) and thus represents 65.4% of the voting power of all shares of stock of the Company. In connection with the closing of the Stock Purchase, on August 5, 2020, Mr. Lazar, the then-sole member of the Board of Directors (the “Board”) of the Company, pursuant to the power granted to the Board in the Company’s bylaws, increased the size of the Company’s Board to two members. Simultaneously, Mr. Lazar, as the sole Board member, appointed Donald Beavers as a director to fill the newly created Board vacancy. At the same time, Mr. Lazar appointed Donald Beavers as Chief Executive Officer and Secretary of the Company. Also on August 5, 2020, following the above officer and director appointments and effective on the closing of the Stock Purchase, Mr. Lazar resigned from any and all officer and director positions with the Company. Mr. Lazar’s resignation is not the result of a disagreement with the Company on any matter relating to the Company’s operations, policies, or practices. Eagle is a Florida based science, technology, and engineering solutions corporation offering products that ensure their clients data integrity through collection, storage, and transmission. Eagle intends to merge with the Company; however, there can no assurances, that this will occur. Currently, Eagle personnel are managing the Company. New management will be steering the Company toward commercialization of proprietary data platforms as the Company moves away from touch screen manufacturing. The Company expects to generate revenue with Eagle’s innovative flagship product, the Blockchain Archive Server™ that can be utilized to protect client data from ransomware. Blockchain technology is a leading-edge tool for data security, providing an added layer of security against data loss due to malware. During the period subsequent to August 5, 2020, Eagle sold nine servers that contained custom software to the Company who then sold three of those servers to an unrelated third party for $135,000. Prior to August 4, 2020, we were classified as a “shell” company as defined by under the Securities Exchange Act of 1934, as amended. The Company believes it has taken all steps necessary and disclosed all required information with the SEC so as to allow us to no longer be considered a “shell” company. Pursuant to SEC rules, our Common Stock is now eligible for the exemption from registration provided by Rule 144, effective August 5, 2020. The Company’s accounting year-end is March 31. Reverse Stock Split On November 2, 2020, the Company effected a 1-for-120 reverse stock split (the “Reverse Split”) of its issued and outstanding common stock $0.001 par value common stock. Accordingly, effective November 2, 2020, every 120 shares of the Company’s issued and outstanding common stock will be converted into one share of common stock, without any change in the par value per share. No fractional shares of common stock will be issued in connection with the Reverse Split. If, as a result of the Reverse Split, a shareholder would otherwise hold a fractional share, the shareholder will receive, in lieu of the issuance of such fractional share, one whole share of common stock. In connection with the Reverse Split, immediately after the Reverse Split became effective on November 2, 2020, the Company also effected a decrease in the number of authorized shares of Company common stock from 12,000,000,000 shares to 300,000,000 shares following the Reverse Split, with no change in the par value thereof. The Company’s financial statements in this Report for 2020 and 2019 and all references thereto have been retroactively adjusted to reflect the split unless specifically stated otherwise.

2. SUMMARY OF SIGNIFICANT ACCOU

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Basis of Presentation The accompanying unaudited financial statements have been prepared in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”), which is the source of authoritative accounting principles recognized by the FASB to be applied by nongovernmental entities in the preparation of financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States. Management’s Representation of Interim Financial Statements The accompanying unaudited financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These unaudited financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These unaudited financial statements should be read in conjunction with the audited financial statements for the fiscal years ended March 31, 2020, and 2019, as presented in the Company’s Annual Report on Form 10-K filed on April 29, 2020, with the SEC. Going Concern The accompanying unaudited financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business for the twelve-month period following the date of these unaudited financial statements. The Company has incurred significant operating losses since inception. As of September 30, 2020, the Company had a working capital surplus of $485 and negative retained earnings of $2,449,033. Because the Company does not expect that existing operational cash flow will be sufficient to fund presently anticipated operations, this raises substantial doubt about the Company’s ability to continue as a going concern. Therefore, the Company will need to raise additional funds and is currently exploring alternative sources of financing. Historically, the Company has raised capital through private placements, as an interim measure to finance working capital needs and may continue to raise additional capital through the sale of common stock or other securities and obtaining some short-term loans. The Company will be required to continue to do so until its operations become profitable. Currently, all of the Company’s funding is coming from Eagle, a related party. There can be no assurance that Eagle will continue to provide funding, and currently, the Company has no other sources of financing. The Company may attempt to raise capital in the near future through the sale of equity or through debt financing; however, there can be assurances the Company will be successful in doing so. There can be no assurance that such additional financing will be available to the Company on acceptable terms or at all. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of expenses during the reporting period. The most significant estimates relate to income taxes and contingencies. The Company bases its estimates on historical experience, known or expected trends, and various other assumptions that are believed to be reasonable given the quality of information available as of the date of these unaudited financial statements. The results of these assumptions provide the basis for making estimates about the carrying amounts of assets and liabilities that are not readily apparent from other sources. Actual results could differ from these estimates. Revenue Recognition Revenues are accounted for in accordance with the Financial Accounting Standards Board issued ASU 2014-09 (Revenue from Contracts with Customers (Topic 606)). The amount of revenue recognized reflects the consideration which the Company expects to be entitled to receive in exchange for the products and/or services. To achieve this principle, the Company applies the following five steps: 1. Identify the contract with the customer; 2. Identify the performance obligations in the contract; 3. Determine the transaction price; 4. Allocate the transaction price to performance obligations in the contract, and 5. Recognize revenue when or as the Company satisfies a performance obligation. The Company recognizes revenue when the control of the products is transferred to the Company’s customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for these products. Control is generally transferred when products are delivered. The Company’s revenue contracts generally represent a single performance obligation to sell its products to customers. Cash and cash equivalents The Company considers all highly liquid temporary cash investments with an original maturity of three months or less to be cash equivalents. On September 30, 2020, and March 31, 2020, the Company’s cash equivalents totaled $45,485 and $0, respectively. Stock-based Compensation The Company accounts for stock-based compensation using the fair value method following the guidance outlined in Section 718-10 of the FASB ASC for disclosure about stock-based compensation. This section requires a public entity to measure the cost of employee and non-employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). That cost will be recognized over the period during which service is provided.. No compensation cost is recognized for equity instruments for which service is nor provided or rendered. Net Loss per Share Net loss per common share is computed by dividing net loss by the weighted average common shares outstanding during the period as defined by ASC Topic 260, “Earnings per Share.” Basic earnings per common share calculations are determined by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the year. Diluted earnings per common share calculations are determined by dividing net income (loss) by the weighted average number of common shares and dilutive common share equivalents outstanding. As of September 30, 2020 common shares equivalents were comprised of 19,000,000 preferred shares convertible to 95,000,000 shares of common stock. These equivalents were excluded from the calculation of diluted earnings (loss) per share because their inclusion would be anti-dilutive. Inventory The Company inventory comprised of finished goods is valued at the lower of cost or net realizable value. Inventory cost is determined using the first-in, and first-first out basis. As of September 30, 2020, no inventory allowance for obsolescence or impairment was deemed necessary by the Company’s management. Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) Codification Improvements Codification Improvements to Topic 842, Leases (Topic 842) Targeted Improvements, We adopted ASC 842 on April 1, 2019. The adoption of this guidance did not have any impact on our financial statements.

3. RELATED PARTY TRANSACTIONS

3. RELATED PARTY TRANSACTIONS	6 Months Ended
	Sep. 30, 2020
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	As of September 30, 2020, and March 31, 2020, the balance of payables to related party were $135,000 and $-0-, respectively. The $135,000 was used to purchase nine computer servers from Eagle. Currently, Eagle is providing office space to Sollensys at no cost. Additionally, Eagle contributed $500 to the Company for administrative purposes. The related party loan balance as of September 30, 2020 and March 31, 2020 was $-0- and $26,100, respectively. The $26,100 was used to pay the operating expenses of the Company and were funded by the Company’s Court-appointed custodian, Custodian Ventures, LLC managed by David Lazar in the form of interest-free demand loans. Additional expenses of $20,843 were paid on behalf of the Company by David Lazar during the six months ended September 30, 2020. In connection with the August 5, 2020 change of control, the aggregate amount of $46,943 due to Mr. Lazar was forgiven and recognized as a capital contribution to the Company.

4. ACCRUED EXPENSES AND ADVANCE

4. ACCRUED EXPENSES AND ADVANCE FROM STOCKHOLDER	6 Months Ended
	Sep. 30, 2020
Accounts Payable and Accrued Liabilities, Current [Abstract]
ACCRUED EXPENSES AND ADVANCE FROM STOCKHOLDER	As of September 30, 2020, the balances of “accrued expenses” and “advance from stockholder” were $-0- and $-0-, respectively, compared to $31,429 and $54,342, respectively, on March 31, 2020. During the three months ended June 30, 2020, the Company received a legal opinion that the statute of limitations per Nevada law for any claims to be made relating to liabilities that had been recorded on the Company’s books and records dating back to 2013 and prior had expired. As a result, the Company determined it no longer had any liability for accrued expenses or an advance to stockholder and recorded “other income” as a gain on the extinguishment of debt of $85,771 on its statements of operations for the period ended September 30, 2020.

5. STOCKHOLDERS' EQUITY

5. STOCKHOLDERS' EQUITY	6 Months Ended
	Sep. 30, 2020
Stockholders' equity (deficit):
STOCKHOLDERS' EQUITY	Series A Preferred Stock On March 21, 2020, the Company filed a Certificate of Designation to authorize 25,000,000 shares of Series A preferred stock at a par value of $0.001. Among other rights, the holders of Series A preferred stock have the right to convert each share of Series A preferred stock into 50 shares of common stock. On April 1, 2020, the Company issued 19,000,000 shares of Series A preferred stock to the Company’s Chief Executive Officer, David Lazar. The fair value of the issuance was estimated at $1,900,000 and recorded as stock-based compensation. Common Stock The Company has authorized 300,000,000 shares of $0.001 common stock. As of September 30, 2020, and March 31, 2020, respectively, there were 4,183,962 shares of common stock issued and outstanding. These shares represent the 1 for 120 stock split that became effective on November 2, 2020

6. SUBSEQUENT EVENTS

6. SUBSEQUENT EVENTS	6 Months Ended
	Sep. 30, 2020
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	On October 13, 2020, Eagle, the owner of 100% of the issued and outstanding shares of the Company’s Series A preferred stock converted its 19,000,000 shares of Series A preferred stock into shares of the Company’s common stock, resulting in the issuance to Eagle of 11,400,000,000 shares of common stock and resulting in Eagle holding approximately 95.8% of the Company’s issued and outstanding common stock. On October 14, 2020, the Company filed with the Secretary of State of Nevada a Certificate of Amendment to its Articles of Incorporation (the “Amendment”) to effect a 1-for-120 reverse stock split (the “Reverse Split”) of the Company’s issued and outstanding common stock, par value $0.001 per share (“Common Stock”). Pursuant to the Amendment, effective as of October 30, 2020, every one hundred and twenty (120) shares of the issued and outstanding Common Stock will be converted into one share of Common Stock, without any change in the par value per share. The 1 for 120 Reverse Split became effective on November 2, 2020. Following the effectiveness of the Reverse Split, on November 2, 2020, the number of authorized shares of common stock was reduced from 12,000,000,000 shares to 300,000,000. Additionally, following the Reverse Split, Eagle’s 11,400,000,000 common shares was adjusted to 95,000,000 shares and they continued to maintain 95.8% of the total of 99,193,962 common shares outstanding.

2. SUMMARY OF SIGNIFICANT ACC_2

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation	The accompanying unaudited financial statements have been prepared in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”), which is the source of authoritative accounting principles recognized by the FASB to be applied by nongovernmental entities in the preparation of financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States.
Management's Representation of Interim Financial Statements	The accompanying unaudited financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These unaudited financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These unaudited financial statements should be read in conjunction with the audited financial statements for the fiscal years ended March 31, 2020, and 2019, as presented in the Company’s Annual Report on Form 10-K filed on April 29, 2020, with the SEC.
Going Concern	The accompanying unaudited financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business for the twelve-month period following the date of these unaudited financial statements. The Company has incurred significant operating losses since inception. As of September 30, 2020, the Company had a working capital surplus of $485 and negative retained earnings of $2,449,033. Because the Company does not expect that existing operational cash flow will be sufficient to fund presently anticipated operations, this raises substantial doubt about the Company’s ability to continue as a going concern. Therefore, the Company will need to raise additional funds and is currently exploring alternative sources of financing. Historically, the Company has raised capital through private placements, as an interim measure to finance working capital needs and may continue to raise additional capital through the sale of common stock or other securities and obtaining some short-term loans. The Company will be required to continue to do so until its operations become profitable. Currently, all of the Company’s funding is coming from Eagle, a related party. There can be no assurance that Eagle will continue to provide funding, and currently, the Company has no other sources of financing. The Company may attempt to raise capital in the near future through the sale of equity or through debt financing; however, there can be assurances the Company will be successful in doing so. There can be no assurance that such additional financing will be available to the Company on acceptable terms or at all.
Use of Estimates	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of expenses during the reporting period. The most significant estimates relate to income taxes and contingencies. The Company bases its estimates on historical experience, known or expected trends, and various other assumptions that are believed to be reasonable given the quality of information available as of the date of these unaudited financial statements. The results of these assumptions provide the basis for making estimates about the carrying amounts of assets and liabilities that are not readily apparent from other sources. Actual results could differ from these estimates.
Revenue Recognition	Revenues are accounted for in accordance with the Financial Accounting Standards Board issued ASU 2014-09 (Revenue from Contracts with Customers (Topic 606)). The amount of revenue recognized reflects the consideration which the Company expects to be entitled to receive in exchange for the products and/or services. To achieve this principle, the Company applies the following five steps: 1. Identify the contract with the customer; 2. Identify the performance obligations in the contract; 3. Determine the transaction price; 4. Allocate the transaction price to performance obligations in the contract, and 5. Recognize revenue when or as the Company satisfies a performance obligation. The Company recognizes revenue when the control of the products is transferred to the Company’s customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for these products. Control is generally transferred when products are delivered. The Company’s revenue contracts generally represent a single performance obligation to sell its products to customers.
Cash and Cash Equivalents	The Company considers all highly liquid temporary cash investments with an original maturity of three months or less to be cash equivalents. On September 30, 2020, and March 31, 2020, the Company’s cash equivalents totaled $45,485 and $0, respectively.
Stock-based Compensation	The Company accounts for stock-based compensation using the fair value method following the guidance outlined in Section 718-10 of the FASB ASC for disclosure about stock-based compensation. This section requires a public entity to measure the cost of employee and non-employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). That cost will be recognized over the period during which service is provided.. No compensation cost is recognized for equity instruments for which service is nor provided or rendered.
Net Loss per Share	Net loss per common share is computed by dividing net loss by the weighted average common shares outstanding during the period as defined by ASC Topic 260, “Earnings per Share.” Basic earnings per common share calculations are determined by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the year. Diluted earnings per common share calculations are determined by dividing net income (loss) by the weighted average number of common shares and dilutive common share equivalents outstanding. As of September 30, 2020 common shares equivalents were comprised of 19,000,000 preferred shares convertible to 95,000,000 shares of common stock. These equivalents were excluded from the calculation of diluted earnings (loss) per share because their inclusion would be anti-dilutive.
Inventory	The Company inventory comprised of finished goods is valued at the lower of cost or net realizable value. Inventory cost is determined using the first-in, and first-first out basis. As of September 30, 2020, no inventory allowance for obsolescence or impairment was deemed necessary by the Company’s management.
Recent Accounting Pronouncements	In February 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) Codification Improvements Codification Improvements to Topic 842, Leases (Topic 842) Targeted Improvements, We adopted ASC 842 on April 1, 2019. The adoption of this guidance did not have any impact on our financial statements.

2. SUMMARY OF SIGNIFICANT ACC_3

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	6 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019
Accounting Policies [Abstract]
Working capital surplus	$ 485	$ (38,518)	$ (111,871)	$ (85,771)	$ (85,771)	$ (85,771)
Retained earnings	(2,449,033)		(613,946)
Cash equivalents	45,485		$ 0
Inventory allowance for obsolescence or impairment	$ 0

3. RELATED PARTY TRANSACTIONS (

3. RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	Sep. 30, 2020	Mar. 31, 2020
Related Party Transactions [Abstract]
Accounts payable related party	$ 135,000	$ 0
Loans payable related party	$ 0	$ 26,100

4. ACCRUED EXPENSES AND ADVAN_2

4. ACCRUED EXPENSES AND ADVANCE FROM STOCKHOLDER (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Mar. 31, 2020
Accounts Payable and Accrued Liabilities, Current [Abstract]
Accrued expenses	$ 0		$ 0		$ 31,429
Advance from stockholder	0		0		$ 54,342
Gain on the extinguishment of debt	$ 0	$ 0	$ 85,771	$ 0

5. STOCKHOLDERS' EQUITY (Detail

5. STOCKHOLDERS' EQUITY (Details Narrative) - $ / shares	Sep. 30, 2020	Mar. 31, 2020
Stockholders' equity (deficit):
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, authorized	25,000,000	25,000,000
Preferred stock, issued	19,000,000	0
Preferred stock, outstanding	19,000,000	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, authorized	300,000,000	300,000,000
Common stock, issued	4,183,962	4,183,962
Common stock, outstanding	4,183,962	4,183,962