Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 30, 2016 | Jun. 30, 2015 | |
Document And Entity Information | |||
Entity Registrant Name | Home Treasure Finders, Inc. | ||
Entity Central Index Key | 1,527,102 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2015 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Is Entity a Well-known Seasoned Issuer? | No | ||
Is Entity a Voluntary Filer? | No | ||
Is Entity's Reporting Status Current? | Yes | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Public Float | $ 99,163 | ||
Entity Common Stock, Shares Outstanding | 13,205,450 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2,015 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Current Assets: | ||
Cash | $ 45,210 | $ 36,848 |
Rent receivable | 500 | |
Prepaid expenses | 706 | $ 753 |
Total current assets | 46,416 | 37,601 |
Property and equipment, net | 843,106 | 867,547 |
Other assets: | ||
Security deposits | 1,050 | 1,050 |
Total assets | $ 890,572 | 906,198 |
Liabilities: | ||
Accounts payable | 9,462 | |
Accrued wages | $ 18,612 | 18,612 |
Accrued liabilities | 68,187 | 52,128 |
Accrued interest | 2,781 | 2,025 |
Note payable, current portion | 13,265 | 13,003 |
Related party note payable | 9,193 | 8,693 |
Total current liabilities | 112,038 | 103,923 |
Long term debt | 811,654 | 824,919 |
Total liabilities | 923,692 | 928,842 |
Shareholders' equity (deficit): | ||
Common stock, no par value; 100,000,000 shares authorized, 13,205,450 and 13,205,450 shares issued and outstanding, respectively | 215,267 | 215,267 |
Additional paid in capital | 96,476 | 96,476 |
Accumulated deficit | (344,863) | (334,387) |
Total shareholders' equity (deficit) | (33,120) | (22,644) |
Total liabilities and shareholders' equity (deficit) | $ 890,572 | $ 906,198 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Stockholders Equity | ||
Common Stock par value | $ .00 | $ 0 |
Common Stock Authorized | 100,000,000 | 100,000,000 |
Common Stock Issued | 13,205,450 | 13,205,450 |
Common Stock Outstanding | 13,205,450 | 13,205,450 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | ||
Commission income | $ 192,415 | $ 122,549 |
Property and rental management income | 198,326 | 66,841 |
Revenue | 390,741 | 189,390 |
Operating expenses: | ||
Commision expense | 82,111 | 47,351 |
Professional fees | 32,594 | 29,485 |
General and Administrative | 227,463 | 244,510 |
Total operating expenses | 342,168 | 321,346 |
Operating profit (loss) | $ 48,573 | (131,956) |
Other Income (expense) | ||
Other income | 3,047 | |
Interest expense | $ (59,049) | (10,573) |
Total other income | (59,049) | (7,526) |
Loss before income taxes | $ (10,476) | $ (139,482) |
Income tax expense | ||
Net loss | $ (10,476) | $ (139,482) |
Basic and diluted loss per share | $ 0 | $ (0.01) |
Basic and diluted weighted average common shares outstanding | 13,205,450 | 12,735,947 |
Shareholders Equity
Shareholders Equity - USD ($) | Common Stock | Additional Paid-In Capital | Deficit Accumulated During Development Stage | Total |
Beginning Balance, shares at Dec. 31, 2013 | 11,725,800 | |||
Beginning Balance, value at Dec. 31, 2013 | $ 57,302 | $ 96,476 | $ (194,905) | $ (41,127) |
Common stock issued for cash, shares | 1,396,000 | |||
Common stock issued for cash, value | $ 149,600 | 149,600 | ||
Common stock issued for services, shares | 83,650 | |||
Common stock issued for services, value | $ 8,365 | 8,365 | ||
Net loss | (139,482) | (139,482) | ||
Ending Balance, shares at Dec. 31, 2014 | 13,205,450 | |||
Ending Balance, value at Dec. 31, 2014 | $ 215,267 | 96,476 | (334,387) | $ (22,644) |
Common stock issued for services, value | ||||
Net loss | (10,476) | $ (10,476) | ||
Ending Balance, shares at Dec. 31, 2015 | 13,205,450 | |||
Ending Balance, value at Dec. 31, 2015 | $ 215,267 | $ 96,476 | $ (344,863) | $ (33,120) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | ||
Net loss | $ (10,476) | $ (139,482) |
Adjustments to reconcile net loss to net cash provided (used) by operating activities: | ||
Depreciation and amortization | $ 26,025 | 8,378 |
Common stock issued for services | $ 8,365 | |
Changes in operating assets and liabilities: | ||
(Increase) in rent receivable | $ (500) | |
(Increase) decrease in prepaid expense and other asset | 47 | $ (1,803) |
Increase (decrease) in accounts payable | $ (9,462) | 3,151 |
Increase (decrease) in accrued salary | 4,000 | |
Increase in accrued liabilities | $ 16,059 | 23,908 |
Increase (decrease) in accrued interest | 756 | 779 |
Net cash provided by (used in) operating activities | 22,449 | (92,704) |
Cash flows used in investing activities: | ||
Investment in fixed assets | (1,584) | (875,925) |
Cash flows used in investing activities | $ (1,584) | (875,925) |
Cash flows used in financing activities: | ||
Proceeds from common stock sales | 149,600 | |
Proceeds from long term debt | 840,000 | |
Payment of long term debt | $ (13,003) | (2,078) |
Proceeds from related party payable | 1,500 | 11,250 |
Payment on related party payable | (1,000) | (7,500) |
Net cash provided by (used in) financing activities | (12,503) | 991,272 |
Net change in cash | 8,362 | 22,643 |
Cash, beginning of year | 36,848 | 14,205 |
Cash, end of year | $ 45,210 | $ 36,848 |
Supplemental disclosure of cash flow information: | ||
Cash paid during the period for Income taxes | ||
Cash paid during the period for Interest | $ 58,293 | $ 9,794 |
1 ORGANIZATION AND SUMMARY OF S
1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1 -ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES a. Organization Home Treasurer Finders, Inc. (the "Company") was initially incorporated on July 28, 2008 in the State of Colorado. The Company has two subsidiaries, Ambermax III, Inc. and HTMF Cannabis Holdings, Inc. On January 28, 2008 Ambermax III, Inc. became our wholly subsidiary through a merger consummated as a share exchange. The purpose of the merger was to obtain $12,676 in cash held by Ambermax III, Inc. The Company is in the business of operating a real estate business and operates in Colorado as a State Licensed "Employing Broker" number 1000021235 issued on February 13, 2012. Effective April 1, 2013, all property management activities, revenues and expenses in connection with CW Properties, a property management company owned by the CEO, were transferred to a wholly owned subsidiary of Home Treasure Finders, Inc. All net revenue earned by CW Properties has been booked as consolidated revenue of Home Treasure Finders, Inc. On March 3, 2014 the Company formed a wholly subsidiary, HMTF Cannabis Holdings, Inc. The purpose of the subsidiary is to purchase Colorado properties that qualify for legal cultivation of cannabis. The properties will then be improved and leased to licensed third party growers. The Company generates income from its real estate holdings. On September 15, 2014 the Company acquired a vacant warehouse property in Denver zoned for cannabis cultivation. On November 5 and December 1, 2014 the Company leased the warehouse to unrelated licensed growers. The Company's tenants have invested cash to improve their respective leaseholds per lease terms utilizing architectural and engineering documents we procured and provided. b. Accounting Method The Company's financial statements are prepared using the accrual method of accounting. The Company has elected a December 31 year-end. c. Estimates The preparation of financial statements in conformity with generally accepted accounting principles 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. Actual results could differ from those estimates. d. Income Taxes Deferred taxes are provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. Net deferred tax assets consist of the following components as of December 31, 2015 and 2014: 2015 2014 Deferred tax assets: NOL carryover $ 122,100 $ 62,600 Accrued expense 25,900 10,100 Deferred tax liabilities: Depreciation (5,400 ) (1,500 ) Valuation allowance (142,600 ) (71,200 ) Net deferred tax asset $ - $ - The income tax provision differs from the amount of income tax determined by applying the U.S. income tax rate to pretax income from continuing operations for the year ended December 31, 2015 and 2014 due to the following: 2015 2014 Book income $ (2,100 ) $ (27,400 ) Depreciation 100 Accrued expenses (1,200 ) 2,400 Stock for services - 1,600 Valuation allowance 3,200 (23,400 ) $ - - At December 31, 2015, the Company had net operating loss carryforwards of approximately $313,000 that may be offset against future taxable income as long as the "continuity of ownership" test is met. No tax benefit has been reported in the December 31, 2015 financial statements since the potential tax benefit is offset by a valuation allowance of the same amount. Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carryforwards for Federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur, net operating loss carryforwards may be limited as to use in future years. The Company has analyzed filing positions in all of the federal and state jurisdictions where it is required to file income tax returns, as well as all open tax years in these jurisdictions. The Company has identified its federal tax return and its state tax return in Colorado as "major" tax jurisdictions, as defined. All years are open to examination by the IRS. No reserves for uncertain tax positions have been recorded. The Company adopted changes issued by FASB which prescribed a recognition threshold and measurement attribute for financial statement recognition and measurement of an uncertain tax position taken or expected to be taken in a tax return. Under the guidance, an uncertain income tax position must be recognized at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant taxing authority. e. Loss per Common Share The Company reports net loss per share using a dual presentation of basic and diluted loss per share. Basic net loss per share excludes the impact of common stock equivalents. Diluted net loss per share utilizes the average market price per share when applying the treasury stock method in determining common stock equivalents. At December 31, 2015 and 2014 there were no variances between the basic and diluted loss per share as there were no potentially dilutive securities outstanding. The computation of loss per common share is based on the weighted average number of shares outstanding for the years ended December 31, 2015 and 2014 as follows: For the Year Ended December 31, 2015 2014 Net loss (numerator) $ (10,476 ) $ (139,482 ) Shares (denominator) 13,205,450 13,205,450 Net loss per share $ (0.00 ) $ (0.01 ) f. Revenue Recognition Revenue is recognized when services are provided and collection is reasonably assured. Revenue is recognized in a real estate transaction when the closing occurs on the home sale and commissions are received. For the property management activities, revenue is recognized when rent is received from the tenant. For rental income, revenue is recognized when the services are provided, and collection is reasonably assured. g. Newly Adopted Accounting Pronouncements The Company has reviewed all recently issued, but not yet adopted, accounting standards in order to determine their effects, if any, on its results of operation, financial position or cash flows. Based on that review, the Company believes that none of these pronouncements will have a significant effect on its current or future earnings or operations. h. Principles of consolidations The consolidated financial statements include the accounts of the Company and its subsidiaries. All material intercompany accounts and transactions are eliminated in consolidation. |
2 PROPERTY AND EQUIPMENT
2 PROPERTY AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | NOTE 2 PROPERTY AND EQUIPMENT The Company's capital assets consist of warehouse units, computer equipment, office furniture and leasehold improvements for its offices. Depreciation and amortization is calculated using the straight-line method over the estimated useful life of the asset, ranging from 18 months to 39 years. Expenditures for additions and improvements are capitalized, while repairs and maintenance costs are expensed as incurred. The cost and related accumulated depreciation of any capital assets that are sold or otherwise disposed of are removed from the accounts and any gain or loss is recorded in the year of disposal. Fixed assets and related depreciation for the year ended December 31, 2015 are as follows: Computer equipment $ 5,672 Furniture and fixtures 6,837 Leasehold improvements 4,000 Warehouse units 861,000 Accumulated amortization and depreciation (34,403 ) Total fixed assets $ 843,106 Depreciation expense was $23,581 and amortization expense was $2,444 for the year ended December 31, 2014. |
3 LONG-TERM DEBT
3 LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | NOTE 3 LONG-TERM DEBT On September 15, 2014, the Company entered into a promissory note for $840,000 on the purchase three warehouse units known as 4420, 4430 and 4440 Garfield Street, Denver, Colorado. The Company is leasing each of the three separate units to licensed third party growers for cannabis cultivation. The terms of the variable interest 25 year amortization note carried by the seller of the property call for payments to seller as follows: 1 First and Second year interest rate at 7% with 25 year amortization payment at $5,936.95 per month. 2. Third and Fourth year at 8% with 25 year amortization payment at $6,277.73 per month. 3. Fifth year at 9% with 25 year amortization payment at $6,639.64 per month. 4. Balloon payment of $777,255.49 due at end of the fifth year. The note to seller is secured by the three warehouse units. As of December 31, 2015, the balance of the note was $824,919 and the annual maturities of the long-term debt were: Year Ending December 31, 2016 $ 13,265 2017 10,790 2018 11,090 2019 789,774 $ 824,919 |
4 COMMON STOCK TRANSACTIONS
4 COMMON STOCK TRANSACTIONS | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
COMMON STOCK TRANSACTIONS | NOTE 4 -COMMON STOCK TRANSACTIONS On March 13, 2014 the Company completed a private placement of restricted common shares priced at $0.10 per share. This placement of our restricted common stock generated $119,600 to be utilized as general working capital. The shares were issued March 31, 2014. On March 31, the Company also issued 83,650 shares of common stock valued at $0.10 per share to pay for services received. On October 8, 2014, the Company issued 200,000 restricted shares of the Company's common stock at a price of $0.15 per share. The cash received was utilized for general working capital and in connection with the Company's Garfield street warehouse. |
5 RELATED PARTY TRANSACTIONS
5 RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 5 - RELATED PARTY TRANSACTIONS During the year ended December 31, 2015, the related party payable had a net increase of $500. The balance of the related party payable was $9,193 and $8,693 as of December 31, 2015 and 2014, respectively. This payable is due on demand and has an interest rate of 8%. Accrued interest on this payable was $2,781 and $2,025 at December 31, 2015 and 2014, respectively. Beginning in 2013, the Company began accruing compensation of $5,500 per month to the CEO for his services. Effective April 14, 2014, the base compensation to be paid to the CEO increased to $6,000 per month. The balance accrued at December 31, 2015 and 2014 was $18,612. |
6 COMMITMENTS AND CONTINGENCIES
6 COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
6 COMMITMENTS AND CONTINGENCIES | NOTE 6 COMMITMENTS AND CONTINGENCIES Operating Lease The Company leases its office space under a non-cancelable lease agreement accounted for as an operating lease. We are leasing this facility for $13,800 for the term of the lease which ends on May 31, 2016. At that time we shall have the option of extending the lease term. Rent expense was $13,300 and $11,825 for the years ended December 31, 2015, and 2014, respectively. Minimum rental payments under the non-cancelable operating leases are as follows: Years ending December 31, Amount 2016 $ 5,750 Thereafter - $ 5,750 |
7 GOING CONCERN
7 GOING CONCERN | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GOING CONCERN | NOTE 7 - 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 accompanying financial statements, the Company has not yet generated sufficient net income. This factor, among others, indicates that there is substantial doubt that the Company will be able to continue as a going concern for a reasonable period of time. The financial statements do not include any adjustments relating to the recoverability and classification of assets and liabilities that might be necessary should the Company be unable to continue as a going concern. The Company's continuation as a going concern is dependent upon its ability to generate sufficient cash flow to meet its obligations on a timely basis and ultimately to attain profitability. The Company intends to seek additional funding through equity offerings to fund its business plan. There is no assurance that the Company will be successful in raising additional funds. |
8 SUBSEQUENT EVENTS
8 SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
SUBSEQUENT EVENTS | NOTE 5 - SUBSEQUENT EVENTS The Company has evaluated all subsequent events through the date the financial statements were issued, per the requirements of ASC Topic 855, and has determined that there are no additional events to report. |
1 ORGANIZATION AND SUMMARY OF15
1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
a. Organization | a. Organization Home Treasurer Finders, Inc. (the "Company") was initially incorporated on July 28, 2008 in the State of Colorado. The Company has two subsidiaries, Ambermax III, Inc. and HTMF Cannabis Holdings, Inc. On January 28, 2008 Ambermax III, Inc. became our wholly subsidiary through a merger consummated as a share exchange. The purpose of the merger was to obtain $12,676 in cash held by Ambermax III, Inc. The Company is in the business of operating a real estate business and operates in Colorado as a State Licensed "Employing Broker" number 1000021235 issued on February 13, 2012. Effective April 1, 2013, all property management activities, revenues and expenses in connection with CW Properties, a property management company owned by the CEO, were transferred to a wholly owned subsidiary of Home Treasure Finders, Inc. All net revenue earned by CW Properties has been booked as consolidated revenue of Home Treasure Finders, Inc. On March 3, 2014 the Company formed a wholly subsidiary, HMTF Cannabis Holdings, Inc. The purpose of the subsidiary is to purchase Colorado properties that qualify for legal cultivation of cannabis. The properties will then be improved and leased to licensed third party growers. The Company generates income from its real estate holdings. On September 15, 2014 the Company acquired a vacant warehouse property in Denver zoned for cannabis cultivation. On November 5 and December 1, 2014 the Company leased the warehouse unrelated licensed growers. The Company's tenants have invested cash to improve their respective leaseholds per lease terms utilizing architectural and engineering documents we procured and provided. |
b. Accounting Method | b. Accounting Method The Company's financial statements are prepared using the accrual method of accounting. The Company has elected a December 31 year-end. |
c. Estimates | c. Estimates The preparation of financial statements in conformity with generally accepted accounting principles 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. Actual results could differ from those estimates. |
d. Income Taxes | d. Income Taxes Deferred taxes are provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. Net deferred tax assets consist of the following components as of December 31, 2015 and 2014: 2015 2014 Deferred tax assets: NOL carryover $ 122,100 $ 62,600 Accrued expense 25,900 10,100 Deferred tax liabilities: Depreciation (5,400 ) (1,500 ) Valuation allowance (142,600 ) (71,200 ) Net deferred tax asset $ - $ - The income tax provision differs from the amount of income tax determined by applying the U.S. income tax rate to pretax income from continuing operations for the year ended December 31, 2015 and 2014 due to the following: 2015 2014 Book income $ (2,100 ) $ (27,400 ) Depreciation 100 Accrued expenses (1,200 ) 2,400 Stock for services - 1,600 Valuation allowance 3,200 (23,400 ) $ - - At December 31, 2015, the Company had net operating loss carryforwards of approximately $313,000 that may be offset against future taxable income as long as the "continuity of ownership" test is met. No tax benefit has been reported in the December 31, 2015 financial statements since the potential tax benefit is offset by a valuation allowance of the same amount. Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carryforwards for Federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur, net operating loss carryforwards may be limited as to use in future years. The Company has analyzed filing positions in all of the federal and state jurisdictions where it is required to file income tax returns, as well as all open tax years in these jurisdictions. The Company has identified its federal tax return and its state tax return in Colorado as "major" tax jurisdictions, as defined. All years are open to examination by the IRS. No reserves for uncertain tax positions have been recorded. The Company adopted changes issued by FASB which prescribed a recognition threshold and measurement attribute for financial statement recognition and measurement of an uncertain tax position taken or expected to be taken in a tax return. Under the guidance, an uncertain income tax position must be recognized at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant taxing authority. |
e. Loss per Common Share | e. Loss per Common Share The Company reports net loss per share using a dual presentation of basic and diluted loss per share. Basic net loss per share excludes the impact of common stock equivalents. Diluted net loss per share utilizes the average market price per share when applying the treasury stock method in determining common stock equivalents. At December 31, 2014 and 2013 there were no variances between the basic and diluted loss per share as there were no potentially dilutive securities outstanding. The computation of loss per common share is based on the weighted average number of shares outstanding for the years ended December 31, 2014 and 2013 as follows: For the Year Ended December 31, 2014 2013 Net loss (numerator) $ (139,482 ) $ (4,790 ) Shares (denominator) 13,205,450 11,725,800 Net loss per share $ (0.01 ) $ (0.00 ) |
f. Revenue Recognition | f. Revenue Recognition Revenue is recognized when services are provided and collection is reasonably assured. Revenue is recognized in a real estate transaction when the closing occurs on the home sale and commissions are received. For the property management activities, revenue is recognized when rent is received from the tenant. For rental income, revenue is recognized when the services are provided, and collection is reasonably assured. |
g. Newly Adopted Accounting Pronouncements | g. Newly Adopted Accounting Pronouncements The Company has reviewed all recently issued, but not yet adopted, accounting standards in order to determine their effects, if any, on its results of operation, financial position or cash flows. Based on that review, the Company believes that none of these pronouncements will have a significant effect on its current or future earnings or operations. |
h. Principles of consolidations | h. Principles of consolidations The consolidated financial statements include the accounts of the Company and its subsidiaries. All material intercompany accounts and transactions are eliminated in consolidation. |
1 ORGANIZATION AND SUMMARY OF16
1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Net deferred tax assets | Net deferred tax assets consist of the following components as of December 31, 2015 and 2014: 2015 2014 Deferred tax assets: NOL carryover $ 122,100 $ 62,600 Accrued expense 25,900 10,100 Deferred tax liabilities: Depreciation (5,400 ) (1,500 ) Valuation allowance (142,600 ) (71,200 ) Net deferred tax asset $ - $ - |
Income tax provision | The income tax provision differs from the amount of income tax determined by applying the U.S. income tax rate to pretax income from continuing operations for the year ended December 31, 2015 and 2014 due to the following: 2015 2014 Book income $ (2,100 ) $ (27,400 ) Depreciation 100 Accrued expenses (1,200 ) 2,400 Stock for services - 1,600 Valuation allowance 3,200 (23,400 ) $ - - |
Loss per common share computation | The computation of loss per common share is based on the weighted average number of shares outstanding for the years ended December 31, 2015 and 2014 as follows: For the Year Ended December 31, 2015 2014 Net loss (numerator) $ (10,476 ) $ (139,482 ) Shares (denominator) 13,205,450 13,205,450 Net loss per share $ (0.00 ) $ (0.01 ) |
2 PROPERTY AND EQUIPMENT (Table
2 PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Depreciation | Fixed assets and related depreciation for the year ended December 31, 2015 are as follows: Computer equipment $ 5,672 Furniture and fixtures 6,837 Leasehold improvements 4,000 Warehouse units 861,000 Accumulated amortization and depreciation (34,403 ) Total fixed assets $ 843,106 |
6 COMMITMENTS AND CONTINGENCI18
6 COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Rental payments | Minimum rental payments under the non-cancelable operating leases are as follows: Years ending December 31, Amount 2016 $ 5,750 Thereafter - $ 5,750 |
1 ORGANIZATION AND SUMMARY OF19
1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Net deferred tax assets (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets: | ||
NOL carryover | $ 122,100 | $ 62,600 |
Accrued expense | 25,900 | 10,100 |
Deferred tax liabilities: | ||
Depreciation | (5,400) | (1,500) |
Valuation allowance | $ (142,600) | $ (71,200) |
Net deferred tax asset |
1 ORGANIZATION AND SUMMARY OF20
1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Income tax provision (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | ||
Book income | $ (2,100) | $ (27,400) |
Depreciation | 100 | |
Accrued expenses | $ (1,200) | $ 2,400 |
Stock for services | 1,600 | |
Valuation allowance | $ 3,200 | $ (23,400) |
Income tax provision |
1 ORGANIZATION AND SUMMARY OF21
1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Loss per common share computation (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | ||
Net loss (numerator) | $ (10,476) | $ (139,482) |
Shares (denominator) | 13,205,450 | 13,205,450 |
Net loss per share | (0.00%) | (1.00%) |
1 ORGANIZATION AND SUMMARY OF22
1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) | Dec. 31, 2015USD ($) |
Accounting Policies [Abstract] | |
Loss carryforwards - approximate | $ 313,000 |
4 COMMON STOCK TRANSACTIONS (De
4 COMMON STOCK TRANSACTIONS (Details Narrative) - USD ($) | Oct. 08, 2014 | Mar. 31, 2014 | Mar. 13, 2014 |
Equity [Abstract] | |||
Common shares issued for services | 200,000 | 83,650 | |
Cash received for restricted shares issued for working capital | $ 119,600 | ||
Value per share | $ 0.15 | $ 0.10 | $ 0.10 |
5 RELATED PARTY TRANSACTIONS (D
5 RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Related Party Transactions [Abstract] | ||
Increase in related party payable | $ 500 | |
Balance of the related party payable | 9,193 | $ 8,693 |
Accrued interest on this payable | 2,781 | 2,025 |
Monthly salary | 6,000 | 5,500 |
Accrued salary | $ 18,612 | $ 14,612 |
Interest Rate | 8.00% |
2 PROPERTY AND EQUIPMENT (Detai
2 PROPERTY AND EQUIPMENT (Details Narrative) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Property, Plant and Equipment [Abstract] | |
Depreciation expense | $ 23,581 |
Amortization expense | $ 2,444 |
2 PROPERTY AND EQUIPMENT - Depr
2 PROPERTY AND EQUIPMENT - Depreciation (Details) | Dec. 31, 2015USD ($) |
Property, Plant and Equipment [Abstract] | |
Computer equipment | $ 5,672 |
Furniture and fixtures | 6,837 |
Leasehold improvements | 4,000 |
Warehouse units | 861,000 |
Accumulated amortization and depreciation | (34,403) |
Total fixed assets | $ 843,106 |
3 LONG-TERM DEBT - (Details)
3 LONG-TERM DEBT - (Details) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Debt Disclosure [Abstract] | |
First and Second year interest rate | 7.00% |
First and Second year 25 year amortization monthly payment | $ 5,936 |
Third and Fourth year interest rate | 8.00% |
Third and Fourth year 25 year amortization monthly payment | $ 6,277 |
Fifth year interest rate | 9.00% |
Fifth year 25 year amortization monthly payment | $ 6,639 |
Balloon payment at end of the fifth year | $ 777,255 |
3 LONG-TERM DEBT - (Details Na
3 LONG-TERM DEBT - (Details Narrative) | Dec. 31, 2015USD ($) |
Debt Disclosure [Abstract] | |
2,016 | $ 13,265 |
2,017 | 10,790 |
2,018 | 11,090 |
2,019 | 789,774 |
Total maturities for note payable outstanding | $ 824,919 |
3 LONG-TERM DEBT (Details Narra
3 LONG-TERM DEBT (Details Narrative) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Debt Disclosure [Abstract] | |
Promissory note for purchase three warehouse units | $ 840,000 |
Length of time to pay off amortization note | 25 years |
Balance of the note | $ 824,919 |
6 COMMITMENTS AND CONTINGENCI30
6 COMMITMENTS AND CONTINGENCIES - (Details) | Dec. 31, 2015USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,016 | $ 5,750 |
Thereafter | |
Total | $ 5,750 |
6 COMMITMENTS AND CONTINGENCI31
6 COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Commitments and Contingencies Disclosure [Abstract] | ||
Lease balance | $ 13,800 | |
Rent expense | $ 13,300 | $ 11,825 |