Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Nov. 27, 2013 | Feb. 28, 2013 | |
Document And Entity Information | ' | ' | ' |
Entity Registrant Name | 'General Sales & Leasing, Inc. | ' | ' |
Entity Central Index Key | '0001534525 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Aug-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--08-31 | ' | ' |
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 | ' | ' | $525,000 |
Entity Common Stock, Shares Outstanding | ' | 135,000,000 | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Balance_Sheets
Balance Sheets (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
Current assets: | ' | ' |
Cash | $53,222 | $32,005 |
Accounts receivable | 10,501 | 99,108 |
Prepaid expenses | 9,220 | ' |
Total current assets | 72,943 | 131,113 |
Property, plant and equipment, net of accumulated amortization and depreciation of $58,026 and $19,481, respectively | 413,866 | 193,019 |
Total assets | 486,809 | 324,132 |
Current liabilities: | ' | ' |
Accounts payable and accrued expenses | 429,693 | 190,667 |
Accrued interest | 26,383 | 13,560 |
Total current liabilities | 456,076 | 204,227 |
Long-term debt | 212,813 | 212,813 |
Total liabilities | 668,889 | 417,040 |
Stockholders' (deficit) | ' | ' |
Preferred stock, $0.001 par value; 10,000,000 shares authorized, no shares issued and outstanding at August 31, 2013 and 2012, respectively | ' | ' |
Common stock, $0.001 par value; 300,000,000 shares authorized, 135,000,000 shares issued and outstanding at August 31, 2013 and 2012, respectively | 135,000 | 135,000 |
Additional paid-in capital | ' | ' |
Accumulated deficit | -317,080 | -227,908 |
Total stockholders' (deficit) | -182,080 | -92,908 |
Total liabilities and stockholders' (deficit) | $486,809 | $324,132 |
Balance_Sheets_Parenthetical
Balance Sheets (Parenthetical) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
Statement of Financial Position [Abstract] | ' | ' |
Preferred Stock, Par Value | $0.00 | $0.00 |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Preferred Stock, Issued and outstanding | 0 | 0 |
Common Stock, Par Value | $0.00 | $0.00 |
Common Stock, Shares Authorized | 300,000,000 | 300,000,000 |
Common Stock, Issued and outstanding | 135,000,000 | 135,000,000 |
Accumulated Amortization and Depreciation, property and plant equipment | $19,481 | $40,733 |
Statements_of_Operations
Statements of Operations (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Aug. 31, 2012 | |
Income Statement [Abstract] | ' | ' |
Revenue, net of cost of sales | $96,900 | $112,786 |
Operating expenses: | ' | ' |
Aircraft maintenance and fee | 9,880 | 36,186 |
Fuel and oil | 8,435 | 27,270 |
Management fees | 4,853 | 19,793 |
Officer compensation | 15,000 | ' |
Professional fees | 78,406 | 126,692 |
Depreciation and amortization | 38,545 | 19,481 |
Administrative fees | 7,338 | 25 |
Total operating expenses | 162,457 | 229,447 |
Net loss from operations | -65,557 | -116,661 |
Other income (expense) | ' | ' |
(Gain) loss on settlement | -10,668 | ' |
Interest expense | -12,947 | -13,012 |
Total other income (expense) | -23,615 | -13,012 |
Net income (loss) | ($89,172) | ($129,673) |
Basic and diluted loss per share | $0 | ($0.01) |
Weighted average shares outstanding | 135,000,000 | 144,153,010 |
Statements_of_Cash_Flows
Statements of Cash Flows (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Aug. 31, 2012 | |
Cash flows from operating activities: | ' | ' |
Net (loss) | ($89,172) | ($89,172) |
Adjustments to reconcile net loss to net cash used in operations: | ' | ' |
Depreciation and amortization | 38,545 | 19,481 |
(Gain) loss on settlement | 10,668 | ' |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | 77,939 | -99,108 |
Prepaid expenses | -9,220 | ' |
Accounts payable | 239,026 | 183,293 |
Accrued interest | 12,823 | 13,012 |
Net cash provided by operating activities | 280,609 | -12,995 |
Cash flows from investing activities: | ' | ' |
Amortizable overhaul of aircraft | -259,392 | ' |
Net cash (used) in investing activities | -259,392 | ' |
Cash flows from financing activities: | ' | ' |
Proceeds from loan payable | ' | ' |
Common stock issued for cash | ' | 35,000 |
Net cash provided by financing activities | ' | 35,000 |
Net increase in cash | 21,217 | 22,005 |
Cash at beginning of period | 32,005 | 10,000 |
Cash at end of period | 53,222 | 32,005 |
Supplemental disclosure of cash flow information: | ' | ' |
Cash paid for interest | ' | ' |
Cash paid for taxes | ' | ' |
Shareholders_Equity_Unaudited
Shareholders Equity (Unaudited) (USD $) | Common Stock | Additional Paid-In Capital | Accumulated Deficit During the Development Stage | Total |
Beginning balance, amount at Aug. 08, 2011 | $100,000 | ' | ($98,235) | $1,765 |
Beginning balance, shares at Aug. 08, 2011 | 100,000,000 | ' | ' | ' |
Shares issued for cash, shares | 35,000,000 | ' | ' | ' |
Shares issued for cash, amount | 35,000 | ' | ' | 35,000 |
Net loss | ' | ' | -129,673 | -129,673 |
Ending balance, amount at Aug. 31, 2011 | 135,000 | ' | -227,908 | -92,908 |
Beginning balance, shares at Aug. 31, 2011 | 135,000,000 | ' | ' | ' |
Net loss | ' | ' | -89,172 | -89,172 |
Ending balance, amount at Aug. 31, 2012 | $135,000 | ' | ' | ($92,908) |
ORGANIZATION_AND_SUMMARY_OF_SI
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Aug. 31, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' |
(A) Nature of Business | |
General Sales and Leasing, Inc. (formerly known as General Aircraft, Inc.) (the “Company”) was incorporated in Nevada on August 9, 2011 and is engaged in the periodic rental of small aircrafts for personal and business use, in the Southern Nevada market. The Company is not limited to this activity and may, by executive decision, expand or alter its business activity at some future point. | |
For a nominal fee, the Company has acquired a wholly owned subsidiary named Shift It Media Company (a Nevada corporation) as of February 12, 2013. Shift It Media Company had no assets or liabilities as of the purchase date and all subsequent activity through the date of these financial statements has been properly consolidated. | |
As of February 13, 2013 the board of directors has consented and the State of Nevada has certified an amendment to the articles of incorporation to enable the company to change its name to General Sales and Leasing, Inc. The ticker symbol for General Sales and Leasing, Inc. will remain GAIF. | |
Effective February 25, 2013, the board of directors approved a forward split whereby each holder of record will receive ten shares for every one share held no later than February 28, 2013. | |
(B) Basis of Presentation | |
These financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America and include the have been consistently applied in the preparation of the financial statements on a going concern basis, which assumes the realization of assets and the discharge of liabilities in the normal course of operations for the foreseeable future. | |
The Company has adopted an August 31 year end. | |
(C) Principles of Consolidation | |
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary. Significant intercompany accounts and transactions have been eliminated. | |
(D) Use of Estimates | |
In preparing financial statements in conformity with generally accepted accounting principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and expenses during the reported period. Actual results could differ from those estimates. Changes in facts and circumstances may result in revised estimates, which are recorded in the period in which they become known. | |
(E) 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. At August 31, 2013 and 2012, the Company had no cash equivalents. | |
(F) Overhaul Costs | |
Overhaul requirements established by the Federal Aviation Administration, aircraft airframes and engines must be overhauled within specific intervals. The value and usefulness of an aircraft can be heavily dependent on its stage of overhaul. For accounting purposes, airframe and aircraft engine overhauls encompass all inspections or replacements of major components, which the civil air regulations require at specific maximum periodic intervals to recertify that the frame or engine is completely airworthy. The Company reports its overhaul costs in accordance with ASC Topic 908-360-30-1(b). Overhaul costs are recorded utilizing the deferral method which requires the capitalization of costs when they are incurred. Under the deferral method, the actual cost of each overhaul is amortized to the next overhaul. | |
(G) Property and Equipment | |
Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated using the straight-line method and with useful lives used in computing depreciation. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Expenditures for maintenance and repairs are charged to operations as incurred; additions, renewals and betterments are capitalized. | |
(H) Long-Lived Assets | |
The Company accounts for its long-lived assets in accordance with ASC Topic 360-10. ASC Topic 360-10 requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the historical cost carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of an asset by estimating the future net cash flows expected to result from the asset, including eventual disposition. If the future net cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset's carrying value and fair value or disposable value. | |
(I) Financial Instruments | |
Financial instruments consist of cash, accounts receivable, accounts payable, and notes payable. Recorded values of cash, receivables, payables and accrued liabilities approximate fair values due to the short maturities of such instruments. Recorded values for notes payable and related liabilities approximate fair values, since their stated or imputed interest rates are commensurate with prevailing market rates for similar obligations. | |
(J) Loss Per Share | |
The Company reports earnings (loss) per share in accordance with ASC Topic 260-10. Basic earnings (loss) per share is computed by dividing income (loss) available to common shareholders by the weighted average number of common shares available. Diluted earnings (loss) per share is computed similar to basic earnings (loss) per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive. As of August 31, 2013, there were no potential common shares underlying warrants or options. | |
(K) Revenue Recognition | |
Revenue is recognized in accordance with Staff Accounting Bulletin (“SAB”) No. 101, Revenue Recognition in Financial Statements, as revised by SAB No. 104. As such, the Company recognizes revenue when persuasive evidence of an arrangement exists, title transfer has occurred, the price is fixed or readily determinable and collectability is probable. Sales are recorded net of sales discounts. | |
Revenues, which do not require production, modification or customization and do not have multiple elements, are recognized when (i) persuasive evidence of an arrangement exists; (ii) service has occurred; (iii) the Company's fee is fixed and determinable; and (iv) collectability is probable. | |
The revenues of the Company’s wholly owned subsidiary are derived from online advertising sales. The Company recognizes revenue in accordance with Accounting Standard Codification (ASC) 605-10 (previously Securities and Exchange Commission Staff Accounting Bulletin No. 104, Revenue Recognition). Revenue is recognized only when the price is fixed or determinable, persuasive evidence of an arrangement exists, the service is performed and collectability of the resulting receivable is reasonably assured. | |
(L) Income Taxes | |
Income taxes are accounted for under the asset and liability method in accordance with ASC Topic 740-10. 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 carryforwards. 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. When it is considered to be more likely than not that a deferred tax asset will not be realized, a valuation allowance is provided for the excess. | |
(M) Recent Accounting Pronouncements | |
We do not believe there are any recently issued accounting standards that have not yet been adopted that will have a material impact on the Company’s financial statements. |
GOING_CONCERN
GOING CONCERN | 12 Months Ended |
Aug. 31, 2013 | |
Notes to Financial Statements | ' |
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. The Company has incurred a net loss of $317,080 for the period of August 9, 2011 (inception) to August 31, 2013, and it is expected that it will continue to have negative cash flows as the business plan is implemented. | |
These conditions give rise to doubt about the Company’s ability to continue as a going concern. These financial statements do not include adjustments relating to the recoverability and classification of reported asset amounts or the amount and classification of 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 obtain additional financing or sale of its common stock as may be required and ultimately to attain profitability. |
FIXED_ASSETS
FIXED ASSETS | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
FIXED ASSETS | ' | |||||||
On August 11, 2011, the Company entered into an Aircraft Purchase/Sales Agreement with an unrelated and unaffiliated third party for the acquisition of a 2002 Robinson R44 Raven II helicopter for the purchase price of $212,500. Pursuant to paragraph 7 of the agreement, the Seller warrants that the Aircraft is in airworthy condition and has a currently effective Standard Category airworthiness certificate issued by the Federal Aviation Administration (“FAA”) and that all Airworthiness Directives have been complied with. In September 2011, the Company engaged the services of an independent third party to perform the FAA required annual inspection without incident. The first mandatory FAA overhaul is required at 2,000 hobbs hours of operation has occurred in April 2013, the required overhaul is anticipated to take at least five months and keep the helicopter inoperable until December 2013. When completed the overhaul, which is anticipated to cost between $200,000 and $220,000 will increase the depreciable value of the asset and its hourly rental rate as well. The aircraft was placed in service on October 1, 2011 and is estimated to have a useful life of approximately 10 years. As of August 31, 2013, and 2012, the Company recorded depreciation expense of $21,252 and $19,481, respectively. | ||||||||
Fixed assets consist of the following: | ||||||||
31-Aug-13 | 31-Aug-12 | |||||||
Robinson R44 helicopter | $ | 212,500 | $ | 212,500 | ||||
Aircraft overhaul 2013 | 259,392 | — | ||||||
Total fixed assets | 471,892 | 212,500 | ||||||
Less: | ||||||||
Accumulated amortization | 17,293 | — | ||||||
Accumulated depreciation | 40,733 | 19,481 | ||||||
Total fixed assets, net | $ | 413,866 | $ | 193,019 |
CURRENT_LIABILITIES
CURRENT LIABILITIES | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
CURRENT LIABILITIES | ' | |||||||
Accrued liabilities consist of the following: | ||||||||
31-Aug-13 | 31-Aug-12 | |||||||
Accounts payable | $ | 429,693 | $ | 190,667 | ||||
Accrued interest | 26,383 | 13,560 | ||||||
Total accrued liabilities, net | $ | 456,076 | $ | 204,227 | ||||
LONGTERM_DEBT
LONG-TERM DEBT | 12 Months Ended |
Aug. 31, 2013 | |
Debt Disclosure [Abstract] | ' |
LONG-TERM DEBT | ' |
On August 11, 2011, the Company entered into a Purchase Money Promissory Note and Security Agreement in the amount of $212,813. The loan bears interest at a rate of 6% per annum, is secured by all the assets of the Company and matures on August 11, 2016. Pursuant to the terms of the agreement, the Company is required to make semi-annual interest only payments in the amount of $6,385 beginning on March 31, 2012 with the unpaid principal and accrued interest due at maturity on August 11, 2016. In addition, the agreement provides for one ninety-day extension at maturity upon the option of the holder. As of August 31, 2013 and 2012, the principal balance totaled $212,813 and accrued interest was $26,383 and $13,560, respectively. | |
On August 2, 2013 the Company entered into a Financing and Security Agreement for a line of credit to be solely used as direct payment for the 2013 overhaul of the Robinson R44 Raven II Helicopter. The line of credit has a $220,000 limit, is collateralized by all the assets of the Company and bears a 9.5% interest rate, it carries repayment terms of regular interest only payments due on a semi-annual basis beginning February 2, 2014. In addition, the agreement stipulates that the Company must make principal monthly payments of 25% of the helicopter’s net rental income due on the 10th of each month following service, beginning in the month the helicopter is placed back in service upon the completion of the overhaul. All principal and interest is payable on or before August 2, 2015. As of August 31, 2013 and 2012, accrued interest totaled $0 and 0, respectively. |
RELATED_PARTY_TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Aug. 31, 2013 | |
Related Party Transactions [Abstract] | ' |
RELATED PARTY TRANSACTIONS | ' |
On September 1, 2011, the Company entered into an Aircraft Use/Management Agreement with Elite Aviation VGT, LLC (“Elite”) Mr. Ian Johnson, our sole officer is an employee of Elite. The term of the agreement is on a month to month basis with a ninety-day notification period for termination. Elite is wholly owned by the Company’s former officers. Pursuant to the agreement, Elite has the authority to utilize the Company’s Robison R44 helicopter in its ordinary course of business for rental and training purposes in exchange, Elite agrees to provide hanger storage and maintenance services at industry standard rates. In addition, Elite Aviation VGT, LLC (“Elite”), through their industry experience and contacts, assisted the Company in locating the R44 Raven. Elite also introduced the Company to various lenders, one of which subsequently provided the financing for the acquisition of the aircraft. The Company may seek Elite’s assistance in connection the future purchase and/or financing of an additional aircraft. | |
On November 1, 2012, the Company terminated the Aircraft Use/Management Agreement with Elite Aviation VGT, LLC (“Elite”) and replaced it with a Helicopter Lease Agreement with the same company. The lease agreement provides for income at a rate of $185 per Hobbs hour, and stipulates that the lessee will be responsible for all maintenance and repairs, hangar parking fees, insurance fees, as well as fuel and oil costs in relation to the helicopter for the duration of the lease, which is the sooner of December 31, 2014 or the date upon which the helicopter reaches a Hobbs register reading of 2,200 hours. | |
During the first quarter of fiscal year 2013, Elite had the authority to adjust the end user rental rate from time to time to allow for fluctuations in operating costs. During the year ended August 31, 2013 the Company recognized average rental rate was $198.43. Prior to November 1, 2012, all repairs were at the Company’s expense and billed by Elite at a rate congruent with the average local rate, subsequent to November 1, 2012 the lessee paid for these expenses. Also prior to November 1, 2012, parts required to be purchased by Elite for repair and maintenance were charged back to the Company and subsequent to November 1, 2012 the lessee is responsible for these types of charges. In addition, the Company was responsible for payment of all debt service, applicable property and other taxes, license and registration fees; hangar parking rate of $350 per month; fuel and regular operating oil, calculated using the actual VGT field delivery rate of Elite prior to November 1, 2012. Also prior to November 1, 2012, management fees were paid as a percentage of gross revenue based upon the billable Hobbs hours each month as follows: 1) 0 to 10 hours % of gross revenue, 2) 11 to 25 hours %, and 3) 26 + hours %. During the year ended August 31, 2013, the Company recorded revenue from helicopter rentals of $88,260 as a result of its agreement with Elite. The related costs incurred for the year totaled $23,168 which is comprised of aircraft fees of $9,880, fuel $8,435 and management fees totaling $4,853. | |
The wholly owned subsidiary pays an officer of the parent compensation of $2,500 per month for his services as manager and operator. During the year ended August 31, 2013 the officer was paid $15,000. |
STOCKHOLDERS_EQUITY
STOCKHOLDERS EQUITY | 12 Months Ended |
Aug. 31, 2013 | |
Equity [Abstract] | ' |
STOCKHOLDERSb EQUITY | ' |
Effective February 25, 2013, the Company effectuated a ten –for – one forward stock split, whereby increasing the authorized capital to 300,000,000 $0.001 par value common stock and 10,000,000 $0.001 par value preferred stock. Preferred Stock may be issued in one or more series, with all rights and preferences being determined by the board of directors. All transactions have been retroactively re-stated to reflect the forward split. | |
Preferred Stock | |
The voting rights, rate of dividends preference in relation to other classes or series, and rights in the event of liquidation related to shares of Preferred Stock of any series are determined by the board of directors and may vary from time to time. | |
Common Stock | |
Holders of common stock have voting rights equal to one vote for each share of Common Stock held and are entitled to receive dividends when, and if declared by the board of directors subject to the rights of any Preferred Stock having preference as to dividends. In the event of liquidation or dissolution, subject to the rights of Preferred Stock | |
Holders’ are entitled to share ratably in the Corporations assets. Holders of Common Stock do not have conversion, redemption or preemptive rights. | |
On April 6, 2012, the Company sold a total of 35,000,000 shares of its common stock pursuant to its initial public offering for total proceeds of $35,000. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Aug. 31, 2013 | |
Subsequent Events [Abstract] | ' |
SUBSEQUENT EVENTS | ' |
As of August 31, 2013 the sole revenue earning asset of the parent company, General Sales and Leasing, Inc. remains out of operation for a mandatory overhaul which the Company anticipates will be completed early in December 2013 and cost between $200,000 and $220,000. This overhaul will increase the value of the asset as well as increase its hourly revenue earning rate. Thus, in months subsequent to April 2013 (the beginning of the overhaul) through the time the asset is returned to operations the parent company will have no revenue earning capability from its sole asset. | |
The Company does not anticipate earning any additional revenue from its current lease agreement with Elite Aviation VGT, LLC, and will be negotiating a new lease agreement once the helicopter returns to operating capability. The new contract anticipates an hourly rate of $185-$200 with a monthly minimum of 40 hours. | |
On October 4, 2013 the Company withdrew $160,000 from its line of credit in order to make the first payment on the aircraft overhaul. The total amount of the overhaul was billed to the Company during fiscal year end 2013 and is included in accounts payable. | |
In accordance with ASC 855, management evaluated all activity of the Company through the issue date of the financial statements and concluded that no other subsequent events have occurred that would require recognition or disclosure in the financial statements. |
ORGANIZATION_AND_SUMMARY_OF_SI1
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Aug. 31, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Nature of Business | ' |
General Sales and Leasing, Inc. (formerly known as General Aircraft, Inc.) (the “Company”) was incorporated in Nevada on August 9, 2011 and is engaged in the periodic rental of small aircrafts for personal and business use, in the Southern Nevada market. The Company is not limited to this activity and may, by executive decision, expand or alter its business activity at some future point. | |
For a nominal fee, the Company has acquired a wholly owned subsidiary named Shift It Media Company (a Nevada corporation) as of February 12, 2013. Shift It Media Company had no assets or liabilities as of the purchase date and all subsequent activity through the date of these financial statements has been properly consolidated. | |
As of February 13, 2013 the board of directors has consented and the State of Nevada has certified an amendment to the articles of incorporation to enable the company to change its name to General Sales and Leasing, Inc. The ticker symbol for General Sales and Leasing, Inc. will remain GAIF. | |
Effective February 25, 2013, the board of directors approved a forward split whereby each holder of record will receive ten shares for every one share held no later than February 28, 2013. | |
Basis of Presentation | ' |
These financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America and include the have been consistently applied in the preparation of the financial statements on a going concern basis, which assumes the realization of assets and the discharge of liabilities in the normal course of operations for the foreseeable future. | |
The Company has adopted an August 31 year end. | |
Principles of Consolidation | ' |
The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary. Significant intercompany accounts and transactions have been eliminated. | |
Use of Estimates | ' |
In preparing financial statements in conformity with generally accepted accounting principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and expenses during the reported period. Actual results could differ from those estimates. Changes in facts and circumstances may result in revised estimates, which are recorded in the period in which they become known. | |
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. At August 31, 2013 and 2012, the Company had no cash equivalents. | |
Overhaul Costs, continued | ' |
Overhaul requirements established by the Federal Aviation Administration, aircraft airframes and engines must be overhauled within specific intervals. The value and usefulness of an aircraft can be heavily dependent on its stage of overhaul. For accounting purposes, airframe and aircraft engine overhauls encompass all inspections or replacements of major components, which the civil air regulations require at specific maximum periodic intervals to recertify that the frame or engine is completely airworthy. The Company reports its overhaul costs in accordance with ASC Topic 908-360-30-1(b). Overhaul costs are recorded utilizing the deferral method which requires the capitalization of costs when they are incurred. Under the deferral method, the actual cost of each overhaul is amortized to the next overhaul. | |
Property and Equipment | ' |
Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated using the straight-line method and with useful lives used in computing depreciation. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the respective accounts, and any gain or loss is included in operations. Expenditures for maintenance and repairs are charged to operations as incurred; additions, renewals and betterments are capitalized. | |
Long-Lived Assets | ' |
The Company accounts for its long-lived assets in accordance with ASC Topic 360-10. ASC Topic 360-10 requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the historical cost carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of an asset by estimating the future net cash flows expected to result from the asset, including eventual disposition. If the future net cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset's carrying value and fair value or disposable value. | |
Financial Instruments | ' |
Financial instruments consist of cash, accounts receivable, accounts payable, and notes payable. Recorded values of cash, receivables, payables and accrued liabilities approximate fair values due to the short maturities of such instruments. Recorded values for notes payable and related liabilities approximate fair values, since their stated or imputed interest rates are commensurate with prevailing market rates for similar obligations. | |
Loss Per Share | ' |
The Company reports earnings (loss) per share in accordance with ASC Topic 260-10. Basic earnings (loss) per share is computed by dividing income (loss) available to common shareholders by the weighted average number of common shares available. Diluted earnings (loss) per share is computed similar to basic earnings (loss) per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive. As of August 31, 2013, there were no potential common shares underlying warrants or options. | |
Revenue Recognition | ' |
Revenue is recognized in accordance with Staff Accounting Bulletin (“SAB”) No. 101, Revenue Recognition in Financial Statements, as revised by SAB No. 104. As such, the Company recognizes revenue when persuasive evidence of an arrangement exists, title transfer has occurred, the price is fixed or readily determinable and collectability is probable. Sales are recorded net of sales discounts. | |
Revenues, which do not require production, modification or customization and do not have multiple elements, are recognized when (i) persuasive evidence of an arrangement exists; (ii) service has occurred; (iii) the Company's fee is fixed and determinable; and (iv) collectability is probable. | |
The revenues of the Company’s wholly owned subsidiary are derived from online advertising sales. The Company recognizes revenue in accordance with Accounting Standard Codification (ASC) 605-10 (previously Securities and Exchange Commission Staff Accounting Bulletin No. 104, Revenue Recognition). Revenue is recognized only when the price is fixed or determinable, persuasive evidence of an arrangement exists, the service is performed and collectability of the resulting receivable is reasonably assured. | |
Income Taxes | ' |
Income taxes are accounted for under the asset and liability method in accordance with ASC Topic 740-10. 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 carryforwards. 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. When it is considered to be more likely than not that a deferred tax asset will not be realized, a valuation allowance is provided for the excess. | |
Recent Accounting Pronouncements | 'We do not believe there are any recently issued accounting standards that have not yet been adopted that will have a material impact on the Company’s financial statements., |
FIXED_ASSETS_Tables
FIXED ASSETS (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Schedule of Fixed Assets | ' | |||||||
31-Aug-13 | 31-Aug-12 | |||||||
Robinson R44 helicopter | $ | 212,500 | $ | 212,500 | ||||
Aircraft overhaul 2013 | 259,392 | — | ||||||
Total fixed assets | 471,892 | 212,500 | ||||||
Less: | ||||||||
Accumulated amortization | 17,293 | — | ||||||
Accumulated depreciation | 40,733 | 19,481 | ||||||
Total fixed assets, net | $ | 413,866 | $ | 193,019 |
CURRENT_LIABILITIES_Tables
CURRENT LIABILITIES (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Schedule of Current Liabilities | ' | |||||||
31-Aug-13 | 31-Aug-12 | |||||||
Accounts payable | $ | 429,693 | $ | 190,667 | ||||
Accrued interest | 26,383 | 13,560 | ||||||
Total accrued liabilities, net | $ | 456,076 | $ | 204,227 |
ORGANIZATION_AND_SUMMARY_OF_SI2
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Aug. 31, 2012 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' |
Date of Incorporation | 9-Aug-11 | ' |
Current Fiscal Year End Date | '--08-31 | ' |
Cash Equivialents | $0 | $0 |
GOING_CONCERN_Details_Narrativ
GOING CONCERN (Details Narrative) (USD $) | 1 Months Ended | 12 Months Ended | 25 Months Ended | |
Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | |
Notes to Financial Statements | ' | ' | ' | ' |
Net (loss) | ($129,673) | ($89,172) | ($89,172) | ($317,080) |
FIXED_ASSETS_Schedule_of_Fixed
FIXED ASSETS - Schedule of Fixed Assets (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
Property, Plant and Equipment [Abstract] | ' | ' |
Robinson R44 helicopter | $212,500 | $212,500 |
Aircraft overhaul 2013 | 259,392 | ' |
Total fixed assets | 471,892 | 212,500 |
Less: Accumulated amortization | 17,293 | ' |
Less: Accumulated depreciation | 19,481 | 40,733 |
Total fixed assets, net | $413,866 | $193,019 |
FIXED_ASSETS_Details_Narrative
FIXED ASSETS (Details Narrative) (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Aug. 31, 2012 | |
Integer | ||
Property, Plant and Equipment [Abstract] | ' | ' |
Date that the Aircraft Purchase Sales Agreement was entered | 11-Aug-11 | ' |
Payments To Acquire Property Plant And Equipment | $212,500 | ' |
Number of hobbs hours of operation | 2,000 | ' |
Useful Life of Property | '10 years | ' |
Accumulated Depreciation of Property | $21,525 | $19,481 |
CURRENT_LIABILITIES_Schedule_o
CURRENT LIABILITIES - Schedule of Current Liabilities (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
Payables and Accruals [Abstract] | ' | ' |
Accounts payable | $429,693 | $190,667 |
Accrued interest | 26,383 | 13,560 |
Total accrued liabilities, net | $456,076 | $204,227 |
LONGTERM_DEBT_Details_Narrativ
LONG-TERM DEBT (Details Narrative) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
Long-term Debt | $212,813 | $212,813 |
Prom Note and Security Agmt | ' | ' |
Date of Agreement | 11-Aug-11 | ' |
Long-term Debt | 212,813 | ' |
Long-term Debt Fixed Interest Rate | 6.00% | ' |
Maturity Date | 11-Aug-16 | ' |
Semi-Annual Interest Only Repayments Of Long Term Debt | 6,385 | ' |
Due Date Of First Semi-Annual Interest Only Repayments Of Long Term Debt | 31-Mar-12 | ' |
Long-term Debt Prinicpal Balance | 212,813 | ' |
Accrued Interest Of Long Term Debt | 26,383 | 13,560 |
Financing and Security Agmt | ' | ' |
Date of Agreement | 2-Aug-13 | ' |
Long-term Debt | 220,000 | ' |
Long-term Debt Fixed Interest Rate | 9.50% | ' |
Due Date Of First Semi-Annual Interest Only Repayments Of Long Term Debt | 2-Feb-14 | ' |
Long-term Debt Prinicpal Balance | 212,813 | ' |
Accrued Interest Of Long Term Debt | $0 | $0 |
RELATED_PARTY_TRANSACTIONS_Det
RELATED PARTY TRANSACTIONS (Details Narrative) (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Aug. 31, 2012 | |
Integer | ||
Number of hobbs hours of operation | 2,000 | ' |
Revenue | $96,900 | $112,786 |
Fuel | 8,435 | 27,270 |
Monthly Officer compensation | 2,500 | ' |
Officer compensation | 15,000 | ' |
Elite Aviation Use Mgnt Agmt | ' | ' |
Date that the Aircraft Use Management Agreement With Elite Aviation VGT Entered | 1-Sep-11 | ' |
Date that the Aircraft Use Management Agreement With Elite Aviation VGT LLC Terminated | 1-Nov-12 | ' |
Elite Aviation Lease Agmt | ' | ' |
Date that the Helicopter Lease Agreement Entered | 1-Nov-11 | ' |
Revenue Per Hobb Hour | 185 | ' |
Number of hobbs hours of operation | 2,200 | ' |
Average rental rate | 198 | ' |
Revenue | 88,260 | ' |
Aircraft fees | 9,880 | ' |
Fuel | 8,435 | ' |
Management fees | 4,853 | ' |
Costs of operations | $23,168 | ' |
STOCKHOLDERS_EQUITY_Details_Na
STOCKHOLDERS EQUITY (Details Narrative) (USD $) | Aug. 31, 2013 | Feb. 25, 2013 | Aug. 31, 2012 | Apr. 06, 2012 |
Equity [Abstract] | ' | ' | ' | ' |
Forward Split | ' | '10:1 | ' | ' |
Common Stock, Shares Authorized | 300,000,000 | 300,000,000 | 300,000,000 | ' |
Common Stock, Par Value | $0.00 | $0.00 | $0.00 | ' |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 | 10,000,000 | ' |
Preferred Stock, Par Value | $0.00 | $0.00 | $0.00 | ' |
Shares issued for cash, shares | 135,000,000 | ' | 135,000,000 | 35,000,000 |
Proceeds From Issuance Of Stock | ' | ' | ' | $35,000 |
SUBSEQUENT_EVENTS_Details_Narr
SUBSEQUENT EVENTS (Details Narrative) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2013 |
Financing and Security Agmt | Elite Aviation Lease Agmt | |||
Integer | ||||
Revenue Per Hobb Hour | ' | ' | ' | $185 |
Monthy Lease Hours, min | ' | ' | ' | 40 |
Long-term Debt | 212,813 | 212,813 | 220,000 | ' |
Withdrawal From Long Term Debt | ' | ' | $160,000 | ' |