Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 30, 2016 | Aug. 12, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | eBullion, Inc. | |
Entity Central Index Key | 1,573,766 | |
Amendment Flag | false | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Current Fiscal Year End Date | --03-31 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 512,600,000 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) |
Current Assets | ||
Cash | $ 1,015,143 | $ 1,109,465 |
Commissions receivable | 31,916 | 100,493 |
Deposits and prepaid expenses | 39,898 | 29,819 |
Prepaid income taxes | 147,468 | 147,556 |
Total current assets | 1,234,425 | 1,387,333 |
Noncurrent Assets | ||
Deposits and prepaid expenses | 186,373 | 141,084 |
Equipment, net | 280,894 | 253,807 |
Loan receivable from Global Long | 773,332 | 773,793 |
Deferred income taxes | 101,900 | 101,960 |
Total noncurrent assets | 1,342,499 | 1,270,644 |
Total assets | 2,576,924 | 2,657,977 |
Current Liabilities | ||
Bank Overdraft | 1,088 | 30,645 |
Accounts payable and accrued liabilities | 33,326 | 33,684 |
Customer deposits | 189,503 | 187,037 |
Total current liabilities | 223,917 | 251,366 |
Noncurrent Liabilities | ||
Deferred income taxes | 4,251 | 5,517 |
Total noncurrent liabilities | 4,251 | 5,517 |
Total liabilities | 228,168 | 256,883 |
Commitments | ||
Shareholders' Equity | ||
Common stock, $0.0001 par value, 1,000,000,000 shares authorized, 512,600,000 shares issued and outstanding | 51,260 | 51,260 |
Additional paid in capital | 1,477,404 | 1,477,404 |
Retained earnings | 823,015 | 873,954 |
Accumulated other comprehensive loss | (2,923) | (1,524) |
Total shareholders' equity | 2,348,756 | 2,401,094 |
Total liabilities and shareholders' equity | $ 2,576,924 | $ 2,657,977 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2016 | Mar. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 512,600,000 | 512,600,000 |
Common stock, shares outstanding | 512,600,000 | 512,600,000 |
Unaudited Condensed Consolidate
Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
REVENUES | ||
Commission revenue | $ 473,261 | $ 534,141 |
EXPENSES | ||
General and administrative | 345,510 | 363,229 |
Employee compensation and benefits | 174,420 | 165,905 |
Depreciation and amortization | 18,895 | 20,171 |
Total expenses | 538,825 | 549,305 |
LOSS FROM OPERATIONS | (65,564) | (15,164) |
OTHER INCOME | ||
Rental income | 9,030 | |
Interest income, net | 13,363 | 9,711 |
Total other income | 13,363 | 18,741 |
INCOME (LOSS) BEFORE INCOME TAXES | (52,201) | 3,577 |
INCOME TAX PROVISION (BENEFIT) | ||
Current | 4,180 | |
Deferred | (1,262) | (2,650) |
Total income tax provision (benefit) | (1,262) | 1,530 |
NET INCOME (LOSS) | (50,939) | 2,047 |
OTHER COMPREHENSIVE INCOME (LOSS) | ||
Foreign currency translation | (1,399) | 1,621 |
COMPREHENSIVE INCOME (LOSS) | $ (52,338) | $ 3,668 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING | ||
Basic and diluted | 512,600,000 | 512,600,000 |
BASIC AND DILUTED EARNINGS PER COMMON SHARE | ||
Basic and diluted earnings per common share | $ 0 | $ 0 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Shareholders' Equity - USD ($) | Total | Common Stock | Additional Paid in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Beginning balance at Mar. 31, 2015 | $ 2,911,148 | $ 51,260 | $ 1,477,404 | $ 1,383,704 | $ (1,220) |
Beginning balance, shares at Mar. 31, 2015 | 512,600,000 | ||||
Net loss | (509,750) | (509,750) | |||
Foreign currency translation adjustment | (304) | (304) | |||
Ending balance at Mar. 31, 2016 | 2,401,094 | $ 51,260 | 1,477,404 | 873,954 | (1,524) |
Ending balance, shares at Mar. 31, 2016 | 512,600,000 | ||||
Net loss | (50,939) | (50,939) | |||
Foreign currency translation adjustment | (1,399) | (1,399) | |||
Ending balance at Jun. 30, 2016 | $ 2,348,756 | $ 51,260 | $ 1,477,404 | $ 823,015 | $ (2,923) |
Ending balance, shares at Jun. 30, 2016 | 512,600,000 |
Unaudited Condensed Consolidat6
Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
OPERATING ACTIVITIES: | ||
Net income (loss) | $ (50,939) | $ 2,047 |
Adjustments to reconcile net income (loss) to net cash used in operating activities | ||
Depreciation and amortization | 18,895 | 20,171 |
Changes in operating assets and liabilities: | ||
Commissions receivable | 68,502 | (292,932) |
Deposits and prepaid expenses | (55,457) | 258 |
Accounts payable and accrued liabilities | (389) | (15,962) |
Customer deposits | 2,577 | 45,190 |
Income taxes payable | 4,180 | |
Deferred income taxes | (1,262) | (2,650) |
Net cash used in operating activities | (18,073) | (239,698) |
INVESTING ACTIVITIES: | ||
Loan receivable from Global Long | (774,020) | |
Purchase of equipment | (46,132) | |
Net cash used in investing activities | (46,132) | (774,020) |
FINANCING ACTIVITIES: | ||
Bank overdraft | (29,533) | |
Net cash used in financing activities | (29,533) | |
NET DECREASE IN CASH | (93,738) | (1,013,718) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH | (584) | 655 |
Cash, beginning of period | 1,109,465 | 2,513,423 |
Cash, end of period | 1,015,143 | 1,500,360 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||
Cash paid during the period for income taxes | ||
Cash paid during the year for interest |
Nature of Operations and Basis
Nature of Operations and Basis of Presentation | 3 Months Ended |
Jun. 30, 2016 | |
Nature of Operations and Basis of Presentation [Abstract] | |
Nature of Operations and Basis of Presentation | 1. Nature of Operations and Basis of Presentation eBullion, Inc. (“eBullion” or “the Company”) was incorporated in Delaware on January 28, 2013. On April 3, 2013, the Company’s shareholders exchanged 100% of their shares for 100% of the shares of Man Loong Bullion Company Limited (“Man Loong”) a company which was incorporated in Hong Kong in 1974, and in 2007, was re-registered under Hong Kong law as a limited liability company. Upon completion of this transaction, Man Loong became a 100% owned subsidiary of eBullion. This transaction was accounted for as a reverse take-over. The Company provides trading services for gold and silver trading positions on Man Loong’s proprietary, 24-hour electronic trading platform, and its telephone transaction system located in Hong Kong. The Company is licensed through the Chinese Gold and Silver Exchange Society (“CGSE”) a self-regulatory organization located in Hong Kong which acts as an exchange for the trading of Kilo gold and Loco London gold and silver price indices quoted on the London Metals Exchange. The Company is not a counter party for trades entered through its trading platform and telephone transaction system, and instead, contracts with agents who pay Man Loong a fixed commission on each trade that the Company executes for its agents and their customers. In April 2016, Man Loong received a license from the CGSE to trade gold contracts in the new Qian Hai trade zone in Shenzhen, China. Concurrent with receiving the license, Man Loong registered a new subsidiary, Shenzhen Qian Hai Man Loong Bullion Company Ltd. (“Shenzhen Qian Hai”) organized as a Wholly Foreign Owned Enterprise under PRC law. The new license will allow Man Loong to provide its trading platform and trading services to its existing and new customers who are citizens of the PRC to trade gold contracts through Shenzhen Qian Hai. Man Loong intends to charge a fee to facilitate such trades placed in Qian Hai and is in the process of defining its business and marketing strategies and processes for trades placed through Shenzhen Qian Hai. Basis of Presentation The Company’s and Man Loong’s fiscal year end is March 31. Principles of Consolidation |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Jun. 30, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Use of Estimates The preparation of these unaudited condensed consolidated financial statements in conformity with U.S. GAAP 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 unaudited consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Changes in these estimates are recorded when known. Significant estimates made by management include: ● Valuation of assets and liabilities ● Useful lives of equipment ● Accounting for transactions with variable interest entities ● Other matters that affect the reported amounts and disclosures of contingencies in the consolidated financial statements. Actual results could differ from those estimates. Reclassifications Certain reclassifications have been made to amounts reported in the previous periods to conform to the current presentation. Such reclassifications had no effect on net income (loss). Revenue Recognition The Company recognizes revenue in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 605, Revenue Recognition Advertising Advertising costs are incurred for the production and communication of advertising, as well as other marketing activities. The Company expenses the cost of advertising as incurred. The Company did not capitalize any production costs associated with advertising for the three months ended June 30, 2016 and 2015. The total amount charged to advertising expense was $229 and $1,878 for the three months ended June 30, 2016 and 2015, respectively. Cash and cash equivalents Cash and cash equivalents consist primarily of cash on deposit, certificates of deposits, money market accounts, and investment grade commercial paper that are readily convertible to cash and purchased with original maturities of three months or less. As of June 30, 2016 and March 31, 2016, the Company had no cash equivalents. Fair Value of Financial Instruments ASC 820, “Fair Value Measurements The standard establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy defined by the standard are as follows: Level 1 - Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of financial instruments such as exchange-traded derivatives, listed equities and U.S. government treasury securities. Level 2 - Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors, and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. Instruments in this category include non-exchange-traded derivatives such as over the counter forwards, options and repurchase agreements. Level 3 - Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value from the perspective of a market participant. Level 3 instruments include those that may be more structured or otherwise tailored to customers’ needs. Commissions Receivable Commissions receivable represent commissions to be collected from agents for their customers’ trades executed across Man Loong’s electronic trade platform and telephone transaction system through the balance sheet date. Commissions receivable are typically remitted to the Company within 30 days of trade execution. The Company has not historically incurred credit losses on these commissions receivable. As of June 30, 2016 and March 31, 2016, the Company has no reserve for credit losses nor has it incurred any bad debts for the three months ended June 30, 2016 and 2015. Deposits and Prepaid Expenses The Company records goods and services paid for but not received until a future date as deposits and prepaid expenses. These primarily include deposits and prepayments for occupancy related expenses. Deposit or prepaid expenses which will be realized more than 12 months past the balance sheet date are classified as non-current assets in the accompanying unaudited condensed consolidated balance sheets. Equipment Equipment is stated at cost. The cost of an asset consists of its purchase price and any directly attributable costs of bringing the asset to its present working condition and location for its intended use. Equipment is depreciated using the straight-line method over the estimated useful lives of the assets as follows: Office equipment 5 years Furniture and fixtures 5 years Computer equipment 5 years Expenditures for maintenance and repairs are charged to expense as incurred. Additions, renewals and betterments are capitalized. Gain or loss on disposal of equipment is the difference between net sales proceeds and the carrying amount of the relevant assets, if any, and is recognized as income or loss in the accompanying unaudited condensed consolidated statements of comprehensive income (loss). Variable Interest Entity A variable interest entity (“VIE”) is a legal entity, other than an individual, used for business purposes that either (a) has equity investors that do not provide sufficient financial resources for the entity to support its activities, or (b) the equity investors lack any one of the following three criteria: ● The power to direct activities that most significantly impact the entity’s economic performance ● The obligation to absorb the expected losses of the entity ● The right to receive the expected residual returns. A VIE is required to be consolidated by a reporting entity if it has a controlling financial interest in the VIE. A reporting entity is deemed to have a controlling financial interest in a VIE if it both has the power to direct the activities that most significantly impact the VIE’s economic performance and the obligation to absorb the losses or the right to receive economic benefits from the VIE that could potentially be significant to the VIE. The Company did not have a VIE as of June 30, and March 31, 2016 and for the three months ended June 30, 2016 and 2015. Reporting Currency and Foreign Currency Translation As of June 30 and March 31, 2016 and for the three months ended June 30, 2016 and 2015, the accounts of the Company were maintained in their functional currencies, which is the U.S. dollar for eBullion and the Hong Kong dollar ("HK dollar") for Man Loong. The financial statements of Man Loong have been translated into U.S. dollars which is its reporting currency. All assets and liabilities of Man Loong are translated at the exchange rate on the balance sheet date, shareholders’ equity is translated at historical rates and the statements of comprehensive income (loss), and statements of cash flows are translated at the weighted average exchange rate for the periods. The resulting translation adjustments for the period are reported under other comprehensive income (loss) and accumulated translation adjustments are reported as a separate component of shareholders’ equity. Foreign exchange rates at June 30 and March 31, 2016 and for the three months ended June 30, 2016 and 2015 are as follows: 2016 2015 Year end March 31, 2016 USD/HKD exchange rate 7.7540 - Period end USD/HKD exchange rate 7.7586 7.7522 Average USD/HKD exchange rate: 7.7604 7.7517 Long-Lived Assets The Company periodically evaluates the carrying value of long-lived assets when events and circumstances warrant such review. The carrying value of a long-lived asset is considered impaired when the anticipated undiscounted cash flow from such an asset is less than its carrying value. In that event, a loss is recognized in the amount by which the carrying value exceeds the fair market value of the long-lived asset. The Company has identified no such impairment losses. Accounts payable and accrued liabilities Accounts payable and accrued liabilities at June 30, 2016 and March 31, 2016 primarily consist of accrued statutory bonus payable to employees in Hong Kong, audit fees payable to the Company’s auditors and accountants and legal fees payable to the Company’s legal counsel. Customer Deposits Customer deposits at June 30, 2016 and March 31, 2016 were accepted pursuant to the Company’s agreements with certain of its independent agents. Under terms of those agreements, the Company accepts margin deposits for certain of the agents’ customers who prefer that the Company hold those deposits. If an agent’s customer suffers a trading loss equaling 80% or more of the customers’ deposit balance, the customer is required to increase the balance of his deposit or the customer’s trading position is closed and the remaining deposit balance is remitted to the agent in order to fund the customer’s trading losses. Accordingly, the Company had no risk of loss related to customer deposits at June 30, 2016 and March 31, 2016. Accumulated Other Comprehensive Loss The Company’s accumulated other comprehensive loss as June 30, and March 31, 2016 consist of adjustments resulting from translating Man Loong’s functional currency, the HK dollar, to its reporting currency, the U.S. dollar. Rental Income Rental income consisted of rent charged for a portion of Man Loong’s office facility which was leased on a short term lease arrangement. Agreed rental payments were $4,514 per month from January 1, 2015 until March 31, 2015 when the lease arrangement expired. Though not subject to a formal lease agreement, in April 2015, Man Loong extended the lease arrangement for a further 2 months. For the three months ended June 30, 2016 and 2015, Man Loong recognized $0 and $9,030, respectively of rental income in the accompanying unaudited condensed consolidated statements of comprehensive income (loss). Income Taxes The Company utilizes ASC 740, Income Taxes The Company has adopted the provisions of the interpretation, of ASC 740, Accounting for Uncertainty in Income Taxes Historically, the Company has not provided for U.S. income and foreign withholding taxes on Man Loong’s undistributed earnings, because such earnings have been retained and reinvested by Man Loong. The Company does not intend to require Man Loong to pay dividends for the foreseeable future and so additional income taxes and applicable withholding taxes that would result from the repatriation of such earnings are not practicably determinable. Earnings (Loss) per Share The Company computes earnings (loss) per share (“EPS”) in accordance with ASC 260, Earnings Per Share Diluted EPS is similar to basic EPS but presents the dilutive effect on a per share basis of contracts to issue ordinary common shares (e.g., convertible securities, options and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. The computation of diluted EPS includes the estimated impact of the exercise of contracts to purchase common stocks using the treasury stock method and the potential shares of converted common stock associated with the convertible debt using the if-converted method. Potential common shares that have an anti-dilutive effect (i.e., those that increase earnings per share or decrease loss per share) are excluded from the calculation of diluted EPS. The Company does not have any securities that may potentially dilute its basic earnings (loss) per share. Comprehensive Income (Loss) Comprehensive income (Loss) is comprised of net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) includes unrealized gains or losses resulting from translating Man Loong’s functional currency, the HK dollar, to its reporting currency, the U.S. dollar. Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13 Financial Instruments – Credit Losses (Topic 326) Measurement of Credit on Financial Instruments In May 2016, the FASB issued ASU 2016-12 Revenue From Contracts (Topic 606) Narrow Scope Improvements and Practical Expedients In February 2016, the FASB issued ASU 2016-02 Leases (Topic 842). ASU 2016-02 establishes new guidance for the recording and disclosure of assets and liabilities that arise from leasing activity. ASU 2016-02 will require most lessees to record lease assets and lease liabilities that arise from leases on the statement of financial condition and disclose qualitative and quantitative information related to lease transactions such as variable lease payments and options to renew and terminate leases. ASU 2016-02 is effective for years beginning after December 18, 2018 and early adoption is permitted. The Company is evaluating ASU 2016-02 to determine its impact, if any, on the unaudited condensed consolidated financial statements. In January 2016, the FASB issued ASU 2016-01 Financial Instruments Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Liabilities In August 2015, the FASB issued ASU 2015-14 Revenue From Contracts With Customers (Topic 606) Deferral of the Effective Date In November 2015, the FASB issued ASU 2015-17 Income Taxes (Topic 740) Balance Sheet Classification of Deferred Taxes. Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the American Institute of Certified Public Accountants, and the SEC did not or are not believed by management to have a material impact on the Company’s present or future unaudited condensed consolidated financial statements. |
Deposits and Prepaid Expenses
Deposits and Prepaid Expenses | 3 Months Ended |
Jun. 30, 2016 | |
Deposits and Prepaid Expenses [Abstract] | |
Deposits and Prepaid Expenses | 3. Deposits and Prepaid Expenses Deposits and prepaid expenses consisted of the following as of June 30, 2016 and March 31, 2016: Unaudited June 30, 2016 March 31, Current Prepaid rent and occupancy expenses $ 39,898 $ 29,819 Noncurrent Rent and occupancy deposits 186,373 141,084 Total deposits and prepaid expenses $ 226,271 $ 170,903 |
Loan Receivable from Global Lon
Loan Receivable from Global Long | 3 Months Ended |
Jun. 30, 2016 | |
Loan Receivable from Global Long [Abstract] | |
Loan receivable from Global Long | 4. Loan receivable from Global Long On April 3, 2015, Man Loong loaned Global Long Inc. Limited (“Global Long”) $773,332 (HKD$6,000,000). Global Long is registered in Hong Kong and through its subsidiary in the Peoples Republic of China, eBullion Trade Company Limited (“eBullion Trade”), is engaged in trading silver contracts as an electronic trading member of the Guangdong Precious Metal Exchange (“GPME”). The loan bears interest at a 6% annual rate, matures on its 5th anniversary and is secured by a first right of claim on a bank deposit held by eBullion Trade. Under the terms of the loan, interest is payable to Man Loong quarterly and Global Long has the right to repay the loan at any time before the maturity date. Until all principal and accrued interest are repaid on the loan, Global Long may not enter into additional borrowings without Man Loong’s written permission, and upon certain events of default, the Loan becomes due on demand. The purpose of the loan was to establish a relationship with Global Long with the intent of becoming their first choice for Global Long’s customers who wish to trade in gold trading positions through the CGSE. The Company determined that the loan to Global Long does not give the Company a variable interest in Global Long and that Global Long is not a variable interest entity (“VIE”) because Man Loong does not have the power to direct any of the activities of Global Long or eBullion Trade that significantly impact their economic performance. Accordingly, the Company has not consolidated Global Long into its consolidated financial statements. |
Equipment
Equipment | 3 Months Ended |
Jun. 30, 2016 | |
Equipment [Abstract] | |
Equipment | 5. Equipment Equipment, including leasehold improvements, consisted of the following as of June 30, 2016 and March 31, 2016: Unaudited June 30, 2016 March 31, 2016 Office equipment $ 206,222 $ 206,345 Computer equipment 59,883 59,919 Furniture and fixtures 111,877 65,774 377,982 332,038 Less: Accumulated depreciation (97,088 ) (78,231 ) Equipment, net $ 280,894 $ 253,807 Depreciation expense was $18,895 and $20,171 for the three months ended June 30, 2016 and 2015, respectively, and was recorded as depreciation and amortization expense in the accompanying unaudited condensed consolidated statements of comprehensive income. |
Customer Deposits
Customer Deposits | 3 Months Ended |
Jun. 30, 2016 | |
Customer Deposits [Abstract] | |
Customer Deposits | 6. Customer Deposits Customer deposits were $189,503 and $187,037 at June 30, 2016 and March 31, 2016, respectively, and were recorded as a current liability in the accompanying unaudited condensed consolidated balance sheets. |
General and Administrative Expe
General and Administrative Expenses | 3 Months Ended |
Jun. 30, 2016 | |
General and Administrative Expenses [Abstract] | |
General and Administrative Expenses | 7. General and Administrative Expenses General and administrative expenses consist of the following for the three months ended June 30, 2016 and 2015. Unaudited Unaudited 2016 2015 Marketing expenses $ 114,847 $ 87,350 Trading platform rent 36,783 44,281 Transportation 1,139 17,348 Internet 4,861 4,454 Travel and entertainment 356 3,151 Computers and software 14,203 7,795 Legal and professional 64,758 26,266 Licenses 3,424 1,896 Occupancy 89,537 149,540 Advertising 229 1,878 Other 15,373 19,270 Total general and administrative expenses $ 345,510 $ 363,229 |
Income Taxes
Income Taxes | 3 Months Ended |
Jun. 30, 2016 | |
Income Taxes [Abstract] | |
Income Taxes | 8. Income Taxes Income (loss) before income taxes as shown in the accompanying unaudited condensed consolidated statements of comprehensive income (loss) is summarized below for the three months ended June 30, 2016 and 2015. Unaudited Unaudited 2016 2015 United States $ (8,901 ) $ (9,644 ) Hong Kong (43,300 ) 13,221 Income (loss) before income taxes $ (52,201 ) $ 3,577 Under Hong Kong Profits Tax Law the Company is subject to profits tax at a statutory rate of 16.5% on income reported in its statutory financial statements after appropriate tax adjustments. The income tax provision (benefit) consists of the following for the three ended June 30, 2016 and 2015: Unaudited Unaudited 2016 2015 Current: United States $ - $ - Hong Kong - 4,180 Total current provision - 4,180 Deferred: United States - - Hong Kong (1,262 ) (2,650 ) Total deferred benefit (1,262 ) (2,650 ) Total income tax provision (benefit) $ (1,262 ) $ 1,530 The reconciliation of the income tax provision (benefit)to the amount computed by applying the U.S. statutory federal income tax rate to income before income taxes is as follows: Unaudited Unaudited 2016 2015 Income tax provision (benefit) at the U.S. statutory tax rate $ (7,830 ) $ 537 Valuation allowance on U.S. net operating loss carryforwards 1,335 1,447 Impact of foreign operations 7,577 (2,314 ) Other (2,344 ) 1,860 Total income tax provision (benefit) $ (1,262 ) $ 1,530 At June 30, 2016, we had U.S. net operating loss carryforwards of approximately $379,000 which expire in 2035. Based on the available evidence, it is uncertain whether future U.S. taxable income will be sufficient to offset the estimated net loss carryforwards, accordingly, we have recorded a valuation allowance of approximately $129,000 as of June 30 2016. At June 30, 2016, we had Hong Kong net operating loss carryforwards of approximately $43,000 which expire in 2032. Based on the available evidence, it is uncertain whether future Hong Kong taxable income will be sufficient to offset the estimated net loss carryforwards, accordingly, we have recorded a valuation allowance of approximately $8,000 as of June 30 2016. As June 30 and March 31, 2016, the Company’s and Man Loong’s differences between the book and tax basis of equipment gave rise to deferred income tax assets of $101,900 and $101,961, respectively which are recorded as noncurrent in the accompanying condensed consolidated balance sheets. The Company had no other differences between the book and tax basis of assets and liabilities as June 30 and March 31, 2016. As a result of the implementation of ASC 740, Accounting for Income Taxes |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 3 Months Ended |
Jun. 30, 2016 | |
Earnings (Loss) Per Share [Abstract] | |
Earnings (Loss) Per Share | 9. Earnings (Loss) Per Share Earnings (Loss) per share (“EPS”) information for the three months ended June 30, 2016 and 2015 was determined by dividing net income for the period by the weighted average number of both basic and diluted shares of common stock and common stock equivalents outstanding. As of and for the three months ending June 30, 2016 and 2015, the Company did not have any securities that may potentially dilute the basic earnings (loss) per share. Therefore basic and diluted earnings (loss) per share for the respective periods are the same. Unaudited Unaudited 2016 2015 Numerator Net income (loss) attributable to common shareholders $ (50,939 ) $ 2,047 Denominator Weighted average shares of common stock (basic and diluted) 512,600,000 512,600,000 Basic and diluted earnings (loss) per share $ 0.00 $ 0.00 |
Related Party Transactions and
Related Party Transactions and Balances | 3 Months Ended |
Jun. 30, 2016 | |
Related Party Transactions and Balances [Abstract] | |
Related Party Transactions and Balances | 10. Related Party Transactions and Balances The Company engaged in related party transactions with certain shareholders, and a company under common control as described below. On May 27, 2011, the Company entered into an agreement with a company under common control, True Technology Company Limited (“True Technology”), under which True Technology hosts the Company’s servers and provides a connection between the customer’s servers and the internet using True Technology’s public network connections. The fee for these services was $12,894 per month through April 2013 when the fee was reduced to $3,868 per month and is recorded as trading platform rent as a component of general and administrative expenses. Included in trading platform rental fees in the accompanying unaudited condensed consolidated statements of comprehensive income for the three months ended June 30, 2016 and 2015, are rental fees which were paid to True Technology of $11,597 and $11,610 respectively. Included in employee compensation and benefits in the accompanying unaudited condensed consolidated statements of comprehensive income for the three months ending June 30, 2016 and 2015, are salaries and director compensation of $7,732 and $7,740 respectively, which were paid to two of the Company’s directors and shareholders. |
Commitments
Commitments | 3 Months Ended |
Jun. 30, 2016 | |
Commitments [Abstract] | |
Commitments | 11. Commitments The Company leases office space under non-cancellable operating lease agreements that expire on various dates through 2019. In December 2012, the Company entered into a lease agreement on approximately 10,000 square feet of office space which replaced its previous office facilities. The Company occupied the space in January 2013. Under terms of the lease, the Company paid approximately $192,000 in lease deposits and was committed to lease and management fee payments of approximately $46,647 per month for 29 months. In September 2015, the Company entered into a new lease agreement on approximately 5,500 square feet of office space which replaced its previous office facilities. The Company occupied the space in December 2015. Under terms of the lease, the Company paid approximately $147,397 in lease deposits and was committed to lease and management fee payments of approximately $27,209 per month for 35 months. In May 2016, the Company entered into a new lease agreement for additional office space. The Company occupied the space in July 2016. Under terms of the lease, the Company paid approximately $44,155 in lease deposits and is committed to lease and management fee payments of approximately $10,645 per month for 29 months. In May 27, 2011, the Company entered into an agreement with True Technology, a company under common control under which True Technology hosts the Company’s servers and provides a connection between the customer’s servers and the internet using True Technology’s public network connections. The fees paid to True Technology were approximately $12,894 per month for 12 months after which the fees were reduced to $3,868 per month for 24 months. In April 2015, the trading platform lease with True Technology was renewed for 2 years with monthly payment of approximately $3,868 until March 31, 2017. Years ending June 30, 2017 360,858 2018 326,066 2019 95,103 $ 782,026 |
Summary of Significant Accoun18
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Jun. 30, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of these unaudited condensed consolidated financial statements in conformity with U.S. GAAP 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 unaudited consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Changes in these estimates are recorded when known. Significant estimates made by management include: ● Valuation of assets and liabilities ● Useful lives of equipment ● Accounting for transactions with variable interest entities ● Other matters that affect the reported amounts and disclosures of contingencies in the consolidated financial statements. Actual results could differ from those estimates. |
Reclassifications | Reclassifications Certain reclassifications have been made to amounts reported in the previous periods to conform to the current presentation. Such reclassifications had no effect on net income (loss). |
Revenue Recognition | Revenue Recognition The Company recognizes revenue in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 605, Revenue Recognition |
Advertising | Advertising Advertising costs are incurred for the production and communication of advertising, as well as other marketing activities. The Company expenses the cost of advertising as incurred. The Company did not capitalize any production costs associated with advertising for the three months ended June 30, 2016 and 2015. The total amount charged to advertising expense was $229 and $1,878 for the three months ended June 30, 2016 and 2015, respectively. |
Cash and cash equivalents | Cash and cash equivalents Cash and cash equivalents consist primarily of cash on deposit, certificates of deposits, money market accounts, and investment grade commercial paper that are readily convertible to cash and purchased with original maturities of three months or less. As of June 30, 2016 and March 31, 2016, the Company had no cash equivalents. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments ASC 820, “Fair Value Measurements The standard establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy defined by the standard are as follows: Level 1 - Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of financial instruments such as exchange-traded derivatives, listed equities and U.S. government treasury securities. Level 2 - Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors, and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. Instruments in this category include non-exchange-traded derivatives such as over the counter forwards, options and repurchase agreements. Level 3 - Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value from the perspective of a market participant. Level 3 instruments include those that may be more structured or otherwise tailored to customers’ needs. |
Commissions Receivable | Commissions Receivable Commissions receivable represent commissions to be collected from agents for their customers’ trades executed across Man Loong’s electronic trade platform and telephone transaction system through the balance sheet date. Commissions receivable are typically remitted to the Company within 30 days of trade execution. The Company has not historically incurred credit losses on these commissions receivable. As of June 30, 2016 and March 31, 2016, the Company has no reserve for credit losses nor has it incurred any bad debts for the three months ended June 30, 2016 and 2015. |
Deposits and Prepaid Expenses | Deposits and Prepaid Expenses The Company records goods and services paid for but not received until a future date as deposits and prepaid expenses. These primarily include deposits and prepayments for occupancy related expenses. Deposit or prepaid expenses which will be realized more than 12 months past the balance sheet date are classified as non-current assets in the accompanying unaudited condensed consolidated balance sheets. |
Equipment | Equipment Equipment is stated at cost. The cost of an asset consists of its purchase price and any directly attributable costs of bringing the asset to its present working condition and location for its intended use. Equipment is depreciated using the straight-line method over the estimated useful lives of the assets as follows: Office equipment 5 years Furniture and fixtures 5 years Computer equipment 5 years Expenditures for maintenance and repairs are charged to expense as incurred. Additions, renewals and betterments are capitalized. Gain or loss on disposal of equipment is the difference between net sales proceeds and the carrying amount of the relevant assets, if any, and is recognized as income or loss in the accompanying unaudited condensed consolidated statements of comprehensive income (loss). |
Variable Interest Entity | Variable Interest Entity A variable interest entity (“VIE”) is a legal entity, other than an individual, used for business purposes that either (a) has equity investors that do not provide sufficient financial resources for the entity to support its activities, or (b) the equity investors lack any one of the following three criteria: ● The power to direct activities that most significantly impact the entity’s economic performance ● The obligation to absorb the expected losses of the entity ● The right to receive the expected residual returns. A VIE is required to be consolidated by a reporting entity if it has a controlling financial interest in the VIE. A reporting entity is deemed to have a controlling financial interest in a VIE if it both has the power to direct the activities that most significantly impact the VIE’s economic performance and the obligation to absorb the losses or the right to receive economic benefits from the VIE that could potentially be significant to the VIE. The Company did not have a VIE as of June 30, and March 31, 2016 and for the three months ended June 30, 2016 and 2015. |
Reporting Currency and Foreign Currency Translation | Reporting Currency and Foreign Currency Translation As of June 30 and March 31, 2016 and for the three months ended June 30, 2016 and 2015, the accounts of the Company were maintained in their functional currencies, which is the U.S. dollar for eBullion and the Hong Kong dollar ("HK dollar") for Man Loong. The financial statements of Man Loong have been translated into U.S. dollars which is its reporting currency. All assets and liabilities of Man Loong are translated at the exchange rate on the balance sheet date, shareholders’ equity is translated at historical rates and the statements of comprehensive income (loss), and statements of cash flows are translated at the weighted average exchange rate for the periods. The resulting translation adjustments for the period are reported under other comprehensive income (loss) and accumulated translation adjustments are reported as a separate component of shareholders’ equity. Foreign exchange rates at June 30 and March 31, 2016 and for the three months ended June 30, 2016 and 2015 are as follows: 2016 2015 Year end March 31, 2016 USD/HKD exchange rate 7.7540 - Period end USD/HKD exchange rate 7.7586 7.7522 Average USD/HKD exchange rate: 7.7604 7.7517 |
Long-Lived Assets | Long-Lived Assets The Company periodically evaluates the carrying value of long-lived assets when events and circumstances warrant such review. The carrying value of a long-lived asset is considered impaired when the anticipated undiscounted cash flow from such an asset is less than its carrying value. In that event, a loss is recognized in the amount by which the carrying value exceeds the fair market value of the long-lived asset. The Company has identified no such impairment losses. |
Accounts payable and accrued liabilities | Accounts payable and accrued liabilities Accounts payable and accrued liabilities at June 30, 2016 and March 31, 2016 primarily consist of accrued statutory bonus payable to employees in Hong Kong, audit fees payable to the Company’s auditors and accountants and legal fees payable to the Company’s legal counsel. |
Customer Deposits | Customer Deposits Customer deposits at June 30, 2016 and March 31, 2016 were accepted pursuant to the Company’s agreements with certain of its independent agents. Under terms of those agreements, the Company accepts margin deposits for certain of the agents’ customers who prefer that the Company hold those deposits. If an agent’s customer suffers a trading loss equaling 80% or more of the customers’ deposit balance, the customer is required to increase the balance of his deposit or the customer’s trading position is closed and the remaining deposit balance is remitted to the agent in order to fund the customer’s trading losses. Accordingly, the Company had no risk of loss related to customer deposits at June 30, 2016 and March 31, 2016. |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The Company’s accumulated other comprehensive loss as June 30, and March 31, 2016 consist of adjustments resulting from translating Man Loong’s functional currency, the HK dollar, to its reporting currency, the U.S. dollar. |
Rental Income | Rental Income Rental income consisted of rent charged for a portion of Man Loong’s office facility which was leased on a short term lease arrangement. Agreed rental payments were $4,514 per month from January 1, 2015 until March 31, 2015 when the lease arrangement expired. Though not subject to a formal lease agreement, in April 2015, Man Loong extended the lease arrangement for a further 2 months. For the three months ended June 30, 2016 and 2015, Man Loong recognized $0 and $9,030, respectively of rental income in the accompanying unaudited condensed consolidated statements of comprehensive income (loss). |
Income Taxes | Income Taxes The Company utilizes ASC 740, Income Taxes The Company has adopted the provisions of the interpretation, of ASC 740, Accounting for Uncertainty in Income Taxes Historically, the Company has not provided for U.S. income and foreign withholding taxes on Man Loong’s undistributed earnings, because such earnings have been retained and reinvested by Man Loong. The Company does not intend to require Man Loong to pay dividends for the foreseeable future and so additional income taxes and applicable withholding taxes that would result from the repatriation of such earnings are not practicably determinable. |
Earnings (Loss) per Share | Earnings (Loss) per Share The Company computes earnings (loss) per share (“EPS”) in accordance with ASC 260, Earnings Per Share Diluted EPS is similar to basic EPS but presents the dilutive effect on a per share basis of contracts to issue ordinary common shares (e.g., convertible securities, options and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. The computation of diluted EPS includes the estimated impact of the exercise of contracts to purchase common stocks using the treasury stock method and the potential shares of converted common stock associated with the convertible debt using the if-converted method. Potential common shares that have an anti-dilutive effect (i.e., those that increase earnings per share or decrease loss per share) are excluded from the calculation of diluted EPS. The Company does not have any securities that may potentially dilute its basic earnings (loss) per share. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Comprehensive income (Loss) is comprised of net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) includes unrealized gains or losses resulting from translating Man Loong’s functional currency, the HK dollar, to its reporting currency, the U.S. dollar. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13 Financial Instruments – Credit Losses (Topic 326) Measurement of Credit on Financial Instruments In May 2016, the FASB issued ASU 2016-12 Revenue From Contracts (Topic 606) Narrow Scope Improvements and Practical Expedients In February 2016, the FASB issued ASU 2016-02 Leases (Topic 842). ASU 2016-02 establishes new guidance for the recording and disclosure of assets and liabilities that arise from leasing activity. ASU 2016-02 will require most lessees to record lease assets and lease liabilities that arise from leases on the statement of financial condition and disclose qualitative and quantitative information related to lease transactions such as variable lease payments and options to renew and terminate leases. ASU 2016-02 is effective for years beginning after December 18, 2018 and early adoption is permitted. The Company is evaluating ASU 2016-02 to determine its impact, if any, on the unaudited condensed consolidated financial statements. In January 2016, the FASB issued ASU 2016-01 Financial Instruments Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Liabilities In August 2015, the FASB issued ASU 2015-14 Revenue From Contracts With Customers (Topic 606) Deferral of the Effective Date In November 2015, the FASB issued ASU 2015-17 Income Taxes (Topic 740) Balance Sheet Classification of Deferred Taxes. Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the American Institute of Certified Public Accountants, and the SEC did not or are not believed by management to have a material impact on the Company’s present or future unaudited condensed consolidated financial statements. |
Summary of Significant Accoun19
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Equipment is depreciated using the straight-line method over the estimated useful lives of the assets | Office equipment 5 years Furniture and fixtures 5 years Computer equipment 5 years |
Foreign exchange rates | 2016 2015 Year end March 31, 2016 USD/HKD exchange rate 7.7540 - Period end USD/HKD exchange rate 7.7586 7.7522 Average USD/HKD exchange rate: 7.7604 7.7517 |
Deposits and Prepaid Expenses (
Deposits and Prepaid Expenses (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Deposits and Prepaid Expenses [Abstract] | |
Schedule of deposits and prepaid expenses | Unaudited June 30, 2016 March 31, Current Prepaid rent and occupancy expenses $ 39,898 $ 29,819 Noncurrent Rent and occupancy deposits 186,373 141,084 Total deposits and prepaid expenses $ 226,271 $ 170,903 |
Equipment (Tables)
Equipment (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Equipment [Abstract] | |
Schedule of equipment, including leasehold improvements | Unaudited June 30, 2016 March 31, 2016 Office equipment $ 206,222 $ 206,345 Computer equipment 59,883 59,919 Furniture and fixtures 111,877 65,774 377,982 332,038 Less: Accumulated depreciation (97,088 ) (78,231 ) Equipment, net $ 280,894 $ 253,807 |
General and Administrative Ex22
General and Administrative Expenses (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
General and Administrative Expenses [Abstract] | |
Schedule of General and administrative expenses | Unaudited Unaudited 2016 2015 Marketing expenses $ 114,847 $ 87,350 Trading platform rent 36,783 44,281 Transportation 1,139 17,348 Internet 4,861 4,454 Travel and entertainment 356 3,151 Computers and software 14,203 7,795 Legal and professional 64,758 26,266 Licenses 3,424 1,896 Occupancy 89,537 149,540 Advertising 229 1,878 Other 15,373 19,270 Total general and administrative expenses $ 345,510 $ 363,229 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Income Taxes [Abstract] | |
Schedule of income (loss) before income taxes | Unaudited Unaudited 2016 2015 United States $ (8,901 ) $ (9,644 ) Hong Kong (43,300 ) 13,221 Income (loss) before income taxes $ (52,201 ) $ 3,577 |
Schedule of income tax provision (benefit) | Unaudited Unaudited 2016 2015 Current: United States $ - $ - Hong Kong - 4,180 Total current provision - 4,180 Deferred: United States - - Hong Kong (1,262 ) (2,650 ) Total deferred benefit (1,262 ) (2,650 ) Total income tax provision (benefit) $ (1,262 ) $ 1,530 |
Schedule of reconciliation of the income tax provision (benefit) | Unaudited Unaudited 2016 2015 Income tax provision (benefit) at the U.S. statutory tax rate $ (7,830 ) $ 537 Valuation allowance on U.S. net operating loss carryforwards 1,335 1,447 Impact of foreign operations 7,577 (2,314 ) Other (2,344 ) 1,860 Total income tax provision (benefit) $ (1,262 ) $ 1,530 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Earnings (Loss) Per Share [Abstract] | |
Schedule of basic and diluted earnings (loss) per share | Unaudited Unaudited 2016 2015 Numerator Net income (loss) attributable to common shareholders $ (50,939 ) $ 2,047 Denominator Weighted average shares of common stock (basic and diluted) 512,600,000 512,600,000 Basic and diluted earnings (loss) per share $ 0.00 $ 0.00 |
Commitments (Tables)
Commitments (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Commitments [Abstract] | |
Schedule of future annual minimum lease payments | Years ending June 30, 2017 360,858 2018 326,066 2019 95,103 $ 782,026 |
Nature of Operations and Basi26
Nature of Operations and Basis of Presentation (Details) | 3 Months Ended |
Jun. 30, 2016 | |
Nature of Operations and Basis of Presentation (Textual) | |
Entity Incorporation, Date of Incorporation | Jan. 28, 2013 |
Ownership description | Company's shareholders exchanged 100% of their shares for 100% of the shares of Man Loong Bullion Company Limited ("Man Loong") a company which was incorporated in Hong Kong in 1974, and in 2007, was re-registered under Hong Kong law as a limited liability company. Upon completion of this transaction, Man Loong became a 100% owned subsidiary of eBullion. |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Details) | 3 Months Ended |
Jun. 30, 2016 | |
Office equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Equipment estimated useful lives | 5 years |
Furniture and fixtures [Member] | |
Property, Plant and Equipment [Line Items] | |
Equipment estimated useful lives | 5 years |
Computer equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Equipment estimated useful lives | 5 years |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Details 1) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Year-end USD/HKD exchange rate [Member] | ||
Average foreign exchange rate | 7.7540 | |
Period end USD/HKD exchange rate [Member] | ||
Average foreign exchange rate | 7.7586 | 7.7522 |
Average USD/HKD exchange rate: [Member] | ||
Average foreign exchange rate | 7.7604 | 7.7517 |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Details Textual) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Summary of Significant Accounting Policies (Textual) | ||
Advertising expense | $ 229 | $ 1,878 |
Customer deposits description | If an agent's customer suffers a trading loss equaling 80% or more of the customers' deposit balance, the customer is required to increase the balance of his deposit or the customer's trading position is closed and the remaining deposit balance is remitted to the agent in order to fund the customer's trading losses. | |
Rental payment | $ 4,514 | |
Lease expiration date | Mar. 31, 2015 | |
Rental income | $ 9,030 |
Deposits and Prepaid Expenses30
Deposits and Prepaid Expenses (Details) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Current | ||
Prepaid rent and occupancy expenses | $ 39,898 | $ 29,819 |
Noncurrent | ||
Rent and occupancy deposits | 186,373 | 141,084 |
Total deposits and prepaid expenses | $ 226,271 | $ 170,903 |
Loan Receivable from Global L31
Loan Receivable from Global Long (Details) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Apr. 03, 2015USD ($) | Apr. 03, 2015HKD | Jul. 31, 2013USD ($) | Jul. 31, 2013CNY (¥) |
Loan receivable from Global Long (Textual) | ||||||
Loan receivable from Global Long | $ 773,332 | $ 773,793 | $ 997,572 | ¥ 6,100,000 | ||
Global Long [Member] | ||||||
Loan receivable from Global Long (Textual) | ||||||
Loan receivable from Global Long | $ 773,332 | HKD 6,000,000 | ||||
Interest rate on loan | 6.00% | 6.00% |
Equipment (Details)
Equipment (Details) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | $ 377,982 | $ 332,038 |
Less: Accumulated depreciation | (97,088) | (78,231) |
Equipment, net | 280,894 | 253,807 |
Office equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | 206,222 | 206,345 |
Computer equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | 59,883 | 59,919 |
Furniture and fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | $ 111,877 | $ 65,774 |
Equipment (Details Textual)
Equipment (Details Textual) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Equipment (Textual) | ||
Depreciation expense | $ 18,895 | $ 20,171 |
Customer Deposits (Details)
Customer Deposits (Details) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Customer Deposits (Textual) | ||
Customer deposits | $ 189,503 | $ 187,037 |
General and Administrative Ex35
General and Administrative Expenses (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
General and Administrative Expenses [Abstract] | ||
Marketing expenses | $ 114,847 | $ 87,350 |
Trading platform rent | 36,783 | 44,281 |
Transportation | 1,139 | 17,348 |
Internet | 4,861 | 4,454 |
Travel and entertainment | 356 | 3,151 |
Computers and software | 14,203 | 7,795 |
Legal and professional | 64,758 | 26,266 |
Licenses | 3,424 | 1,896 |
Occupancy | 89,537 | 149,540 |
Advertising | 229 | 1,878 |
Other | 15,373 | 19,270 |
Total general and administrative expenses | $ 345,510 | $ 363,229 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Income Taxes [Abstract] | ||
United States | $ (8,901) | $ (9,644) |
Hong Kong | (43,300) | 13,221 |
INCOME (LOSS) BEFORE INCOME TAXES | $ (52,201) | $ 3,577 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Current: | ||
United States | ||
Hong Kong | 4,180 | |
Total current provision | 4,180 | |
Deferred: | ||
United States | ||
Hong Kong | (1,262) | (2,650) |
Total deferred benefit | (1,262) | (2,650) |
Total income tax provision (benefit) | $ (1,262) | $ 1,530 |
Income Taxes (Details 2)
Income Taxes (Details 2) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Income Taxes [Abstract] | ||
Income tax provision (benefit) at the U.S. statutory tax rate | $ (7,830) | $ 537 |
Valuation allowance on U.S. net operating loss carryforwards | 1,335 | 1,447 |
Impact of foreign operations | 7,577 | (2,314) |
Other | (2,344) | 1,860 |
Total income tax provision (benefit) | $ (1,262) | $ 1,530 |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Mar. 31, 2016 | |
Income Tax (Textual) | ||
Statutory income tax rate | 16.50% | |
Deferred income taxes | $ 101,900 | $ 101,960 |
Hong Kong [Member] | ||
Income Tax (Textual) | ||
Operating loss carryforwards, expiration date | Mar. 31, 2032 | |
Operating loss carryforwards | $ 43,000 | |
Operating loss valuation allowance | $ 8,000 | |
U.S. [Member] | ||
Income Tax (Textual) | ||
Operating loss carryforwards, expiration date | Mar. 31, 2035 | |
Operating loss carryforwards | $ 379,000 | |
Operating loss valuation allowance | $ 129,000 |
Earnings (Loss) Per Share (Deta
Earnings (Loss) Per Share (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | Mar. 31, 2016 | |
Numerator | |||
Net income (loss) attributable to common shareholders | $ (50,939) | $ 2,047 | $ (509,750) |
Denominator | |||
Weighted average shares of common stock (basic and diluted) | 512,600,000 | 512,600,000 | |
Basic and diluted earnings (loss) per share | $ 0 | $ 0 |
Related Party Transactions an41
Related Party Transactions and Balances (Details) - USD ($) | 1 Months Ended | 3 Months Ended | ||
Apr. 30, 2013 | May 27, 2011 | Jun. 30, 2016 | Jun. 30, 2015 | |
True Technology [Member] | ||||
Related Party Transactions and Balances (Textual) | ||||
Related party internet service fees | $ 3,868 | $ 12,894 | $ 11,597 | $ 11,610 |
Director [Member] | ||||
Related Party Transactions and Balances (Textual) | ||||
Salaries and director compensation | $ 7,732 | $ 7,740 |
Commitments (Details)
Commitments (Details) | Jun. 30, 2016USD ($) |
Years ending December 31 | |
2,017 | $ 360,858 |
2,018 | 326,066 |
2,019 | 95,103 |
Future annual minimum lease payments | $ 782,026 |
Commitments (Details Textual)
Commitments (Details Textual) | 1 Months Ended | 3 Months Ended | |||||
May 31, 2016USD ($) | Sep. 30, 2015USD ($)ft² | Apr. 30, 2013USD ($) | Dec. 31, 2012USD ($)ft² | May 27, 2011USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | |
Commitments (Textual) | |||||||
Operating lease expiration date | Expire on various dates through 2019. | ||||||
Area of office space | ft² | 5,500 | 10,000 | |||||
Lease deposits | $ 44,155 | $ 147,397 | $ 192,000 | ||||
Description of leasing payments | Under terms of the lease, the Company paid approximately $44,155 in lease deposits and is committed to lease and management fee payments of approximately $10,645 per month for 29 months. | Under terms of the lease, the Company paid approximately $147,397 in lease deposits and was committed to lease and management fee payments of approximately $27,209 per month for 35 months. | Under terms of the lease, the Company paid approximately $192,000 in lease deposits and was committed to lease and management fee payments of approximately $46,647 per month for 29 months. | ||||
Lease expiration date | Mar. 31, 2015 | ||||||
True Technology [Member] | |||||||
Commitments (Textual) | |||||||
Internet service fees | $ 3,868 | $ 12,894 | $ 11,597 | $ 11,610 | |||
Renewal term | 2 years | ||||||
Monthly payment | $ 3,868 | ||||||
Lease expiration date | Mar. 31, 2017 |