Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Apr. 13, 2018 | Jun. 30, 2017 | |
Document And Entity Information | |||
Entity Registrant Name | Greenpro Capital Corp. | ||
Entity Central Index Key | 1,597,846 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Public Float | $ 45,405,687 | ||
Entity Common Stock, Shares Outstanding | 53,233,960 | ||
Trading Symbol | GRNQ | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2,017 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets | ||
Cash and cash equivalents (including $166,610 of restricted cash at December 31, 2017) | $ 1,162,394 | $ 1,021,351 |
Accounts receivable, net | 345,734 | 384,418 |
Prepaids and other current assets (includes due from related parties of $1,761 and $30,215 as of December 31, 2017 and 2016, respectively) | 270,760 | 115,180 |
Deferred costs of revenue | 74,990 | 75,207 |
Total current assets | 1,853,878 | 1,596,156 |
Property and equipment, net | 3,266,829 | 38,531 |
Real Estate investments: | ||
Real estate held for sale | 3,430,641 | 3,747,732 |
Real estate held for investment, net | 868,984 | 801,514 |
Intangible assets, net | 251,655 | 472,320 |
Goodwill | 1,211,863 | 1,646,730 |
Other investments (includes investments in related party of $51,613) | 130,457 | 108,253 |
TOTAL ASSETS | 11,014,307 | 8,411,236 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 768,994 | 241,786 |
Current portion of loans secured by real estate | 928,147 | 13,042 |
Due to related parties | 1,813,930 | 1,509,492 |
Income tax payable | 68,008 | 18,077 |
Deferred revenue | 345,000 | 215,000 |
Total current liabilities | 3,924,079 | 1,997,397 |
Long term portion of loans secured by real estate | 1,842,840 | 554,128 |
Total liabilities | 5,766,919 | 2,551,525 |
Commitments and contingencies | ||
Stockholders' Equity: | ||
Preferred stock, $0.0001 par value; 100,000,000 shares authorized; no shares issued and outstanding | ||
Common stock, $0.0001 par value; 500,000,000 shares authorized; 53,233,960 and 52,387,759 shares issued and outstanding, respectively | 5,323 | 5,239 |
Additional paid in capital | 8,465,294 | 6,628,901 |
Accumulated other comprehensive loss | (40,199) | (111,818) |
Accumulated deficit | (3,266,313) | (981,754) |
Total Greenpro Capital Corp. common stockholders' equity | 5,164,105 | 5,540,568 |
Noncontrolling interests in consolidated subsidiaries | 83,283 | 319,143 |
Total Stockholders' equity | 5,247,388 | 5,859,711 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 11,014,307 | $ 8,411,236 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Restricted cash | $ 166,610 | |
Due from related parties | 1,761 | 30,215 |
Investments in related party | $ 51,613 | $ 51,613 |
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 53,233,960 | 52,387,759 |
Common stock, shares outstanding | 53,233,960 | 52,387,759 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
REVENUES: | ||
Service revenue (including $281,962 and $399,792 of service revenue from related parties, respectively) | $ 3,313,819 | $ 2,991,592 |
Sale of properties | 423,871 | |
Rental revenue (including $47,683 and $6,839 of rental revenue from related parties, respectively) | 178,682 | 100,143 |
Total revenues | 3,916,372 | 3,091,735 |
OPERATING COSTS AND EXPENSES: | ||
Cost of service revenue | (1,071,910) | (1,086,393) |
Cost of properties sold | (347,479) | |
Cost of rental revenue | (68,412) | (48,914) |
General and administrative | (3,350,896) | (1,924,293) |
Impairment of goodwill and intangible assets | (1,898,721) | |
Total operating costs and expenses | (6,737,418) | (3,059,600) |
INCOME (LOSS) FROM OPERATIONS | (2,821,046) | 32,135 |
OTHER INCOME (EXPENSE) | ||
Other income | 22,901 | 12,063 |
Loss on other investments | (196,082) | (9,007) |
Interest expense | (54,310) | (67,398) |
INCOME (LOSS) BEFORE INCOME TAX | (3,048,537) | (32,207) |
Income tax expense | (68,372) | (7,459) |
NET INCOME (LOSS) | (3,116,909) | (39,666) |
Net (income) loss attributable to noncontrolling interest | 832,350 | (11,149) |
NET INCOME (LOSS) ATTRIBUTED TO COMMON STOCKHOLDERS | (2,284,559) | (50,815) |
Other comprehensive loss: | ||
Foreign currency translation income (loss) | 71,619 | (11,022) |
COMPREHENSIVE LOSS | $ (2,212,940) | $ (61,837) |
NET LOSS PER SHARE, BASIC AND DILUTED | $ (0.04) | $ 0 |
WEIGHTED AVERAGE NUMBER OF COMMON STOCK OUTSTANDING, BASIC AND DILUTED | 53,060,323 | 52,125,008 |
Consolidated Statements of Ope5
Consolidated Statements of Operations and Comprehensive Loss (Parenthetical) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Statement [Abstract] | ||
Service revenue from related parties | $ 281,962 | $ 399,792 |
Rental revenue from related parties | $ 47,683 | $ 6,839 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Stockholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Deficit [Member] | Non-Controlling Interest [Member] | Total |
Balance beginning at Dec. 31, 2015 | $ 5,196 | $ 5,917,237 | $ (100,795) | $ (930,939) | $ 307,896 | $ 5,198,595 |
Balance beginning, shares at Dec. 31, 2015 | 51,963,755 | |||||
Shares issued for cash | $ 43 | 711,664 | 711,707 | |||
Shares issued for cash, shares | 424,004 | |||||
Sale of interest in subsidiary | 98 | 98 | ||||
Foreign currency translation, as restated | (11,023) | (11,022) | ||||
Net Income (loss) for the period, as restated | (50,815) | 11,149 | (39,666) | |||
Balance ending at Dec. 31, 2016 | $ 5,239 | 6,628,901 | (111,818) | (981,754) | 319,143 | 5,859,711 |
Balance ending, shares at Dec. 31, 2016 | 52,387,759 | |||||
Shares issued for cash | $ 50 | 984,814 | 984,864 | |||
Shares issued for cash, shares | 505,556 | |||||
Foreign currency translation, as restated | 71,619 | 71,619 | ||||
Shares issued for acquisition | $ 34 | 851,579 | 851,613 | |||
Shares issued for acquisition, shares | 340,645 | |||||
Noncontrolling interest related to acquisition | 567,742 | 567,742 | ||||
Acquisition of common controlled company | 28,748 | 28,748 | ||||
Net Income (loss) for the period, as restated | (2,284,559) | (832,350) | (3,116,909) | |||
Balance ending at Dec. 31, 2017 | $ 5,323 | $ 8,465,294 | $ (40,199) | $ (3,266,313) | $ 83,283 | $ 5,247,388 |
Balance ending, shares at Dec. 31, 2017 | 53,233,960 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | ||
Net loss | $ (3,116,909) | $ (39,666) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 188,487 | 167,204 |
Impairment of goodwill and intangible assets | 1,898,721 | |
Gain on sale of real estate held for sale | (76,392) | |
Provision for bad debts | 21,381 | 54,799 |
Write off of other receivables (includes write off of related party receivable of $28,340) | 121,906 | |
Increase in cash surrender value on life insurance | (19,285) | (19,226) |
Loss on other investments | 196,082 | 9,007 |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | (180,281) | (288,962) |
Prepaids and other current assets | (76,146) | 151,036 |
Deferred costs of revenue | 217 | 88,994 |
Accounts payable and accrued liabilities | 419,676 | (178,295) |
Income tax payable | 49,832 | 10,228 |
Deferred revenue | 130,000 | (455,347) |
Net cash used in operating activities | (442,711) | (500,228) |
Cash flows from investing activities: | ||
Purchase of property and equipment | (3,152,539) | (16,126) |
Purchase of intangible assets | (1,058) | (600) |
Proceeds from real estate held for sale | 393,483 | |
Purchase of investments | (199,109) | |
Cash acquired on acquisition of business | 145,354 | |
Net cash used in investing activities | (2,813,869) | (16,726) |
Cash flows from financing activities: | ||
Proceeds from shares issued for cash | 984,864 | 711,707 |
Proceeds from loans secured by real estate | 2,368,085 | |
Principal payments of loans secured by real estate | (272,034) | (13,860) |
Advances from related parties | 286,343 | 42,901 |
Repayment of advances from related parties | (787,008) | |
Proceeds from sale of interest in subsidiary | 98 | |
Net cash provided by (used in) financing activities | 3,367,258 | (46,162) |
Effect of exchange rate changes in cash and cash equivalents | 30,365 | (3,394) |
NET CHANGE IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH | 141,043 | (566,510) |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF YEAR | 1,021,351 | 1,587,861 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, END OF YEAR | 1,162,394 | 1,021,351 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||
Cash paid for income tax | 7,417 | |
Cash paid for interest | 69,337 | 27,162 |
NON-CASH INVESTING AND FINANCING ACTIVITIES | ||
Acquisition of lease deposit in settlement of accounts receivable | 105,000 | |
Shares issued for acquisition of business | $ 851,613 |
Consolidated Statements of Cas8
Consolidated Statements of Cash Flows (Parenthetical) | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Statement of Cash Flows [Abstract] | |
Write off of related party receivable | $ 28,340 |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Summary of Significant Accounting Policies | NOTE 1 – NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Greenpro Capital Corp. (the “Company” or “GRNQ”) was incorporated on July 19, 2013 in the state of Nevada. On May 6, 2015, the Company changed its name to Greenpro Capital Corp. The Company currently provides a wide range of business consulting and corporate advisory services including cross-border listing advisory services, tax planning, advisory and transaction services, record management services, and accounting outsourcing services. As part of our business consulting and corporate advisory business segment, Greenpro Venture Capital Limited provides a business incubator for start-up and high growth companies during their critical growth period, and focuses on investments in select start-up and high growth potential companies. In addition to our business consulting and corporate advisory business segment, we operate another business segment that focuses on the acquisition and rental of real estate properties held for investment and the acquisition and sale of real estate properties held for sale. Our focus is on companies located in Asia and Southeast Asia including Hong Kong, Malaysia, China, Thailand, and Singapore. Going Concern The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal course of business. As reflected in the accompanying financial statements, for the year ended December 31, 2017, the Company incurred a net loss of $3,116,909 and used cash in operating activities of $442,711, and at December 31, 2017, the Company had a working capital deficiency of $2,070,201. These factors raise substantial doubt about the Company’s ability to continue as a going concern within one year of the date that the financial statements are issued. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. The Company’s ability to continue as a going concern is dependent upon improving its profitability and the continuing financial support from its shareholders. Management believes the existing shareholders or external financing will provide the additional cash to meet the Company’s obligations as they become due. No assurance can be given that any future financing, if needed, will be available or, if available, that it will be on terms that are satisfactory to the Company. Even if the Company is able to obtain additional financing, if needed, it may contain undue restrictions on its operations, in the case of debt financing, or cause substantial dilution for its stock holders, in the case of equity financing. Basis of presentation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries and majority-owned subsidiaries over which the Company exercises control, and entities for which the Company is the primary beneficiary. The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America. The Company’s consolidated financial statements are expressed in U.S. Dollars. All inter-company accounts and transactions have been eliminated in consolidation. At December 31, 2017, the Company’s holds 60% of the shareholdings of Forward Win International Limited, Yabez (Hong Kong) Company Limited, Greenpro Wealthon Sdn Bhd, Billion Sino Holdings Limited, and Parich Wealth Management Limited (Hong Kong). At December 31, 2017, the Company holds 51% of the shareholdings of Greenpro Capital Village Sdn Bhd and Greenpro Family Office Limited. Use of estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Significant accounting estimates include certain assumptions related to, among others, the allowance for doubtful accounts receivable, impairment analysis of real estate assets and other long term assets including goodwill, valuation allowance on deferred income taxes, and the accrual of potential liabilities. Actual results may differ from these estimates. Cash, cash equivalents, and restricted cash Cash consists of funds on hand and held in bank accounts. Cash equivalents includes demand deposits placed with banks or other financial institutions and all highly liquid investments with original maturities of three months or less, including money market funds. Restricted cash represents cash restricted for the loan collateral requirements as defined in a loan agreement, and also the minimum paid-up share capital requirement for insurance brokers specified under the Insurance Ordinance of Hong Kong. At December 31, 2017 and 2016, cash included funds held by employees of $32,673 and $51,283, respectively and was held to facilitate payment of expenses in local currencies and to facilitate third-party online payment platforms which the Company had not set up corporate accounts for (Wechat Pay and Alipay). December 31, 2017 December 31, 2016 Cash, cash equivalents, and restricted cash Denominated in United States Dollars $ 283,674 $ 529,563 Denominated in Hong Kong dollars 568,008 211,776 Denominated in Renminbi 239,502 131,081 Denominated in Malaysian Ringgit 71,210 148,931 Cash, cash equivalents, and restricted cash $ 1,162,394 $ 1,021,351 Accounts receivable Accounts receivable are recorded at the invoiced amount less an allowance for any uncollectible accounts. Management reviews the adequacy of the allowance for doubtful accounts on an ongoing basis, using historical collection trends and aging of receivables. Management also periodically evaluates individual customer’s financial condition, credit history, and the current economic conditions to make adjustments in the allowance when it is considered necessary. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The allowance for uncollectible accounts at December 31, 2017 and 2016 was $76,180 and $54,799 respectively. Property and equipment, net Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Categories Expected useful life Residual value Office leasehold 27 years Furniture and fixtures 3 - 10 years 5 % Office equipment 3 - 10 years 5% - 10 % Leasehold improvement Over the shorter of estimated useful life or term of lease - Office leasehold represents three adjoining office units used by the Company located in a commercial building in Shenzhen, China. The office leasehold is subject to a 50 years land lease with a remaining term of 27 years, and is being amortized over the remaining lease term. Expenditures for maintenance and repairs are expensed as incurred. Management assesses the carrying value of property and equipment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If there is indication of impairment, management prepares an estimate of future cash flows expected to result from the use of the asset and its eventual disposition. If these cash flows are less than the carrying amount of the asset, an impairment loss is recognized to write down the asset to its estimated fair value. For the year ended December 31, 2017, the Company determined there were no indicators of impairment of its property and equipment. Depreciation and amortization expense, classified as operating expenses, was $21,992 and $15,292 for the years ended December 31, 2017 and 2016, respectively. Real estate held for sale Real estate held for sale is reported at the lower of its carrying amount or fair value, less estimated costs to sell. The cost of real estate held for sale includes the purchase price of property, legal fees, improvement costs to the building structure, and other acquisition costs. Project wide costs such as land and building acquisition and certain development costs are allocated to the specific units based upon their relative fair value before construction. We continue to actively market all properties that are designated as held for sale. Real estate held for sale is not depreciated. In conducting its reviews for indicators of impairment, the Company evaluates, among other things, the margins on units already sold within the project, margins on units under contract but not closed (none as of December 31, 2017), and projected margin on future unit sales. The Company pays particular attention to discern if the real estate held for sale is moving at a slower than expected pace or where margins are trending downward. As at December 31, 2017, the Company determined there were no indicators of impairment of its real estate held for sale. Real estate held for investment, net Real estate held for investment is stated at cost less accumulated depreciation. Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Categories Expected useful life Residual value Office leasehold 50 years - Furniture and fixtures 3 – 10 years 5 % Office equipment 3 – 10 years 5% - 10 % Leasehold improvement Shorter of the estimated useful life or term of lease - The cost of office leasehold includes the purchase price of property, legal fees, and other acquisition costs. Depreciation and amortization expense, classified as cost of rental, was $30,570 and $30,050 for the years ended December 31, 2017 and 2016, respectively. As at December 31, 2017, the Company determined there were no indicators of impairment of its real estate held for investment. Intangible assets, net Intangible assets are stated at cost less accumulated amortization. Intangible assets represented customer lists and order backlogs acquired in business combinations and certain trademarks registered in Hong Kong, the PRC, and Malaysia. Intangible assets are amortized on a straight-line basis over their estimated useful life’s ranging from five to ten years. Amortization expense for the years ended December 31, 2017 and 2016 were $135,925 and $121,862, respectively. The Company follows ASC 360 in accounting for intangible assets, which requires impairment losses to be recorded when indicators of impairment are present and the undiscounted cash flows estimated to be generated by the assets are less than the assets’ carrying amounts. At December 31, 2017, the Company recorded an impairment of intangible assets of $164,337. There were no impairments recorded at December 31, 2016 Goodwill Goodwill is the excess of cost of an acquired entity over the fair value of amounts assigned to assets acquired and liabilities assumed in a business combination. Under the guidance of ASC 350, goodwill is not amortized, rather it is tested for impairment annually, and will be tested for impairment between annual tests if an event occurs or circumstances change that would indicate the carrying amount may be impaired. An impairment loss generally would be recognized when the carrying amount of the reporting unit’s net assets exceeds the estimated fair value of the reporting unit and would be measured as the excess carrying value of goodwill over the derived fair value of goodwill. The Company’s policy is to perform its annual impairment testing for its reporting units on December 31, of each fiscal year. At December 31, 2017, based on its annual impairment testing, the Company recorded impairment of goodwill of $1,734,384. There were no impairments recorded at December 31, 2016 Impairment of long-lived assets Long-lived assets primarily include real estate held for investment, property and equipment and intangible assets. In accordance with the provision of ASC 360, the Company generally conducts its annual impairment evaluation to its long-lived assets, usually in the fourth quarter of each year, or more frequently if indicators of impairment exist, such as a significant sustained change in the business climate. The recoverability of long-lived assets is measured at the reporting unit level. If the total of the expected undiscounted future net cash flows is less than the carrying amount of the asset, a loss is recognized for the difference between the fair value and carrying amount of the asset. As at December 31, 2017, the Company determined there were no indicators of impairment of its real estate held for investment and its property and equipment. Comprehensive income Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. The Company’s accumulated other comprehensive income consists of cumulative foreign currency translation adjustments. Revenue recognition The Company recognizes its revenue in accordance with ASC 605, “ Revenue Recognition (a) Service revenue Revenue from the provision of (i) business consulting and advisory services and (ii) company secretarial, accounting and financial review services are recognized when there is (i) an existence of contract or an arrangement (ii) services are rendered, (iii) the service price is fixed or determinable, and (iv) collectability is reasonable assured. For certain service contracts, the completed performance method is applied. Revenue, expenses and gross profit are deferred until the performance obligation is complete and collectability is reasonably assured. For contracts where performance is not completed, deferred costs related to revenue are recorded as incurred and deferred revenue is recorded for any payments received on such yet to be completed performance obligations. When all contractual performance obligations have been met, revenue and expenses will be recorded. Deferred revenue related to contracts where performance was not completed was $345,000 and $215,000 as of December 31, 2017 and 2016, respectively. Deferred costs related to such contracts was $74,990 and $75,207 as of December 31, 2017 and 2016, respectively. On an ongoing basis, management monitors these contracts for profitability and when needed may record a liability if a determination is made that costs will exceed revenue. For other service contracts such as company secretarial, accounting and financial review services, revenue is recognized as services are rendered. (b) Rental revenue Revenue from rental of leasehold land and buildings is recognized as earned based upon amounts that are currently due from tenants, collectability is reasonably assured, and the tenant has taken possession or controls the physical use of the leased assets. The Company leases its commercial office premises in Malaysia and Hong Kong under various non-cancelable operating leases with terms of two to three years and contains renewal options. For the year ended December 31, 2017, the Company recorded $178,682 in rental revenue. (c) Sale of properties Revenue from the sale of properties is recognized at the time each unit is delivered and title and possession are transferred to the buyer. Specifically, the Company utilizes the full accrual method where recognition occurs when (i) the collectability of the sales price is reasonably assured, (ii) the seller is not obligated to perform significant activities after the sale, (iii) the initial investment from the buyer is sufficient, and (iv) the Company recognizes revenue when it satisfies a performance obligation by transferring control of a promised property to a customer. Cost of revenues Costs of service revenue primarily consists of employee compensation and related payroll benefits, company formation cost and other professional fees directly attributable to the services rendered. Cost of rental revenue primarily includes costs associated with repairs and maintenance, property insurance, depreciation and other related administrative costs. Property management fees and utility expenses are paid directly by tenants. Cost of properties sold primary consist of the purchase price of property, legal fees, improvement costs to the building structure, and other acquisition costs. Selling and advertising costs are expensed as incurred. Income taxes The Company accounts for income taxes using an asset and liability approach which allows for the recognition and measurement of deferred tax assets based upon the likelihood of realization of tax benefits in future years. Under the asset and liability approach, deferred taxes are provided for the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. The Company conducts major businesses in Hong Kong, Malaysia and China and is subject to tax in these jurisdictions. As a result of its business activities, the Company will file separate tax returns that are subject to examination by the foreign tax authorities. Income (loss) per Share Basic income (loss) per share is computed by dividing the net income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted net loss per share is calculated by dividing the net loss by the weighted average number of common shares outstanding during the period plus any potentially dilutive shares related to the issuance of stock options, shares from the issuance of stock warrants, shares issued from the conversion of redeemable convertible preferred stock and shares issued for the conversion of convertible debt. At December 31, 2017 and 2016, there were no potentially dilutive shares outstanding. Foreign currencies translation The reporting currency of the Company is the United States Dollars (“US$”) and the accompanying consolidated financial statements have been expressed in US$. In addition, the Company’s operating subsidiaries maintain their books and records in their respective local currency, which consists of the Malaysian Ringgit (“MYR”), Renminbi (“RMB”), and Hong Kong Dollars (“HK$”), which is also the respective functional currency of subsidiaries. In general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not the US$ are translated into US$ using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the period. The gains and losses resulting from translation of financial statements of a foreign subsidiary are recorded as a separate component of accumulated other comprehensive loss within equity. Translation of amounts from the local currencies of the Company into US$ has been made at the following exchange rates for the respective periods: As of and for the years ended December 31, 2017 2016 Period-end MYR : US$1 exchange rate 4.05 4.48 Period-average MYR : US$1 exchange rate 4.28 4.14 Period-end RMB : US$1 exchange rate 6.51 6.95 Period-average RMB : US$1 exchange rate 6.74 6.66 Period-end / average HK$ : US$1 exchange rate 7.75 7.75 Related parties Parties are considered to be related to the Company if the parties that, directly or indirectly, through one or more intermediaries, control, are controlled by, or are under common control with the Company. Related parties also include principal owners of the Company, its management, members of the immediate families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. Transactions with related parties are disclosed in the financial statements. Fair value of financial instruments The Company follows the guidance of the ASC 820-10, “ Fair Value Measurements and Disclosures ● Level 1 ● Level 2 ● Level 3 There were no assets or liabilities measured at fair value on a recurring basis subject to the disclosure requirements of ASC 820 as of December 31, 2017 or 2016. The Company believes the carrying amount reported in the balance sheet for cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, deferred revenue, and due to related parties, approximate at their fair values because of the short-term nature of these financial instruments. Concentrations of risks For the year ended December 31, 2017, no customer accounted for 10% or more of the service revenue or accounts receivable at year-end. For the year ended December 31, 2016, the two customers that accounted for 10% or more of the service income and one customer that accounted for 24% of trade accounts receivable are presented as follows: For the year ended December 31, 2016 As of December 31, 2016 Revenues Percentage of revenues Trade accounts receivable Customer A $ 361,200 12 % $ 106,800 Customer B 503,500 16 % - Total: $ 864,700 27 % $ 106,800 For the years ended December 31, 2017 and 2016, no vendor accounted for 10% or more of the Company’s cost of revenues, or accounts payable at year-end. Exchange rate risk The reporting currency of the Company is US$. To date the majority of the revenues and costs are denominated in MYR and RMB and a significant portion of the assets and liabilities are denominated in MYR and RMB. As a result, the Company is exposed to foreign exchange risk as its revenues and results of operations may be affected by fluctuations in the exchange rate between US$, MYR and RMB. If MYR and RMB depreciates against US$, the value of MYR and RMB revenues and assets as expressed in US$ financial statements will decline. The Company does not hold any derivative or other financial instruments that expose it to substantial market risk. Economic and political risks Substantially all of the Company’s services are conducted in Malaysia, the PRC and Asian region. The Company’s operations are subject to various political, economic, and other risks and uncertainties inherent in Malaysia. Among other risks, the Company’s operations are subject to the risks of restrictions on transfer of funds; export duties, quotas, and embargoes; domestic and international customs and tariffs; changing taxation policies; foreign exchange restrictions; and political conditions and governmental regulations in Malaysia. The Company’s operations in the PRC are subject to special considerations and significant risks not typically associated with companies in North America and Western Europe. These include risks associated with, among others, the political, economic and legal environment and foreign currency exchange. The Company’s results may be adversely affected by changes in the political and social conditions in the PRC, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion, remittances abroad, and rates and methods of taxation. Recent accounting pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 is a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. Under ASU 2014-09, revenue is recognized when a customer obtains control of promised goods or services and is recognized in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The FASB has recently issued ASU 2016-08, ASU 2016-10, ASU 2016-11, ASU 2016-12, ASU 2016-20, and ASU 2017-05, all of which clarify certain implementation guidance within ASU 2014-09. ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017. The standard can be adopted either retrospectively to each prior reporting period presented (full retrospective method), or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial application (the cumulative catch-up transition method). The Company will adopt the provisions of this statement in the first quarter of fiscal 2018, using the modified retrospective approach. We have assessed the impact adoption of this standard will have on our consolidated financial statements and related disclosures. Based on our assessment, the adoption of this standard will not have a material impact on our revenue recognition policies for our service revenues. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). This update will require the recognition of a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, for all leases with terms longer than 12 months. For operating leases, the asset and liability will be expensed over the lease term on a straight-line basis, with all cash flows included in the operating section of the statement of cash flows. For finance leases, interest on the lease liability will be recognized separately from the amortization of the right-of-use asset in the statement of comprehensive income and the repayment of the principal portion of the lease liability will be classified as a financing activity while the interest component will be included in the operating section of the statement of cash flows. ASU 2016-02 is effective for annual and interim reporting periods beginning after December 15, 2018 for public business entities. Early adoption is permitted. Upon adoption, leases will be recognized and measured at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently evaluating the impact of the adoption of ASU 2016-02 on its financial statements and related disclosures. In January 2017, the FASB issued Accounting Standards Update No. 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment (ASU 2017-04), which eliminates step two from the goodwill impairment test. Under ASU 2017-04, an entity should recognize an impairment charge for the amount by which the carrying amount of a reporting unit exceeds its fair value up to the amount of goodwill allocated to that reporting unit. ASU 2017-04 is effective for annual and interim reporting periods beginning after December 15, 2019 for public business entities. Early adoption is permitted. The Company early adopted ASU 2017-04 during the fourth quarter of 2017. Other recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company’s present or future financial statements. |
Restatement of Previously Issue
Restatement of Previously Issued Consolidated Financial Statements | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Changes and Error Corrections [Abstract] | |
Restatement of Previously Issued Consolidated Financial Statements | NOTE 2 – RESTATEMENT OF PREVIOUSLY ISSUED CONSOLIDATED FINANCIAL STATEMENTS The financial statements for the year ended December 31, 2016 have been restated. On March 15, 2018, our management determined the following: ● that the Company’s method of recognizing revenue on service contracts was erroneously accounted for when billed. ● that the Company erroneously used an incorrect exchange rate in the translation of fixed assets into the Company’s reporting currency. ● that the Company’s accounting for the acquisition of Yabez (Hong Kong) in 2015 was erroneously recorded using the partial goodwill method. ● that the Company erroneously did not record an allowance for uncollectible accounts receivable at December 31, 2016. The effects on the previously issued financial statements are as follows: (A) In 2017, the Company corrected its method of recognizing revenue from certain service contracts to use of the performance completion method. Previously the Company had recognized revenues upon billings. The cumulative effect of the correction of the error was to increase accumulated deficit by $366,099 at December 31, 2015. The Company restated its consolidated financial statements as of and for the year ended December 31, 2016 to reflect the correction of the error. The restatement resulted in the Company recording $315,300 of additional service revenue, $88,992 of additional costs, and additional net income of $226,307 for 2016. (B) At December 31, 2015, the Company erroneously calculated the cost of real estate held for investment due to an incorrect exchange rate used for translation of amounts from the local currencies of the Company’s operating subsidiaries into the reporting currency of the Company. In preparing its financial statements for the year ended December 31, 2017, the Company determined that the incorrect exchange rate was used and corrected it. The cumulative effect of the correction of the error was to decrease real estate held for investment by $173,352 and decrease accumulated other comprehensive income by $175,298 at December 31, 2015. The Company restated its consolidated financial statements as of and for the year ended December 31, 2016 to reflect the correction of the error and real estate held for investment was decreased by $212,775 and accumulated other comprehensive income was decreased $214,716. In addition, the Company erroneously calculated the noncontrolling interest of Yabez (Hong Kong) for the year ended December 31, 2015. The cumulative effect of the correction of the error was to increase the accumulated deficit and decrease the noncontrolling interest by $3,088. The Company restated its consolidated financial statements as of and for the year ended December 31, 2016 to reflect the correction of the error, and accumulated deficit was increased by $3,088 while the noncontrolling interest was decreased by $3,088. There was no effect on net income for 2016. (C) In September 2015, the Company acquired Yabez (Hong Kong) and calculated goodwill using the partial goodwill method. In preparing its financial statements for the year ended December 31, 2017, the Company determined that the full goodwill method is required by US GAAP. The cumulative effect of the correction of the error was to increase goodwill by $174,001 and noncontrolling interest by $174,001 at December 31, 2015. The Company restated its consolidated financial statements as of and for the year ended December 31, 2016 to reflect the correction of the error, and goodwill and noncontrolling interest were increased by $174,001. There was no effect on net loss for 2016. (D) In preparing its financial statements for the year ended December 31, 2016, the Company erroneously did not record an allowance for uncollectible accounts and bad debts. The Company restated its consolidated financial statements as of and for the year ended December 31, 2016 to reflect an allowance for uncollectible accounts and bad debts, and accounts receivable was decreased by $54,799 and accumulated deficit was increased by $54,799. The following table presents the effect of the restatements on the Company’s previously issued consolidated balance sheet: As of December 31, 2016 As Previously Reported Adjustments Notes As Restated Accounts receivable $ 439,217 $ (54,799 ) D $ 384,418 Deferred costs related to revenue - 75,207 A 75,207 Real estate held for investment, net 1,014,289 (212,775 ) B 801,514 Goodwill 1,472,729 174,001 C 1,646,730 Deferred revenue - 215,000 A 215,000 Additional paid in capital 6,626,958 1,943 B 6,628,901 Accumulated other comprehensive income 102,898 (175,298 ) B (111,818 ) (39,418 ) B Accumulated deficit (790,254 ) (191,500 ) A (981,754 ) Noncontrolling interests in consolidated subsidiaries $ 148,230 $ 170,913 C $ 319,143 The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of operations and comprehensive loss: For the year ended December 31, 2016 As Previously Reported Adjustments Notes As Restated Service revenue $ 2,676,292 $ 315,300 A $ 2,991,592 Cost of service revenue (997,401 ) (88,992 ) A (1,086,393 ) General and administrative (1,869,494 ) (54,799 ) D (1,924,293 ) Net income (loss) attributable to common shareholders (222,324 ) 171,509 (50,815 ) Foreign currency translation income (loss) 28,395 (39,418 ) B (11,023 ) Comprehensive loss $ (193,928 ) $ 132,091 $ (61,837 ) Net loss per share, basic and diluted $ (0.00 ) $ (0.00 ) The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of stockholder’s equity: Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Accumulated Deficit Non- Controlling Interest Total Equity Balance as of December 31, 2015, as previously reported $ 5,915,294 $ 74,503 $ (567,931 ) $ 136,983 $ 5,564,045 Prior Period revisions Correction of errors 1,943 (175,298 ) (363,008 ) 170,913 (365,450 ) Balance as of December 31, 2015, as restated $ 5,917,237 $ (100,795 ) $ (930,939 ) $ 307,896 $ 5,198,595 The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of cash flows: For the year ended December 31, 2016 As Previously Reported Adjustments Notes As Restated Cash flows from operating activities: Net (loss) income $ (211,175 ) $ 171,509 A $ (39,666 ) Provision for bad debts - 54,799 D 54,799 Changes in operating assets and liabilities: Accounts receivable, net (254,462 ) (34,500 ) A, D (288,962 ) Deferred revenue (174,547 ) (280,800 ) A (455,347 ) Deferred costs - 88,994 A 88,994 Net cash used in operating activities $ (502,388 ) $ 2,160 $ (500,228 ) Net cash used in investing activities $ (14,566 ) $ (2,160 ) $ (16,726 ) The information herein amends and supersedes the information contained in our Annual Report on Form 10-K for the year ended December 31, 2016. The affected financial statements and related financial information contained in our previously filed reports for those periods should no longer be relied upon and should be read only in conjunction with the restated financial information set forth herein. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Business Combinations | NOTE 3 - BUSINESS COMBINATIONS On April 25, 2017, the Company completed the purchase of a 60% equity interest and assets of Billion Sino Holdings Limited (“BSHL”). The Company acquired BSHL to expand insurance services. BSHL, through its wholly owned subsidiary Parich Wealth Management Limited (Hong Kong), provides insurance intermediary business in Hong Kong and services include long term and general insurance. Due to the thinly traded market of the Company’s common stock, the purchase price consideration was based on the latest offering price in a contemporaneous private placement to a third party, which was $2.50 per share of common stock and the total purchase consideration of $851,613. As of the acquisition date, the allocations of the purchase price are stated as follows: BSHL Cash and cash equivalents $ 145,354 Deposits 3,481 Amount due to a director (16,597 ) Accrued expenses (90,939 ) Intangible assets 94,057 Deferred tax liabilities (15,519 ) Goodwill 1,299,518 Fair value of BSHL 1,419,355 Noncontrolling interest (567,742 ) Total purchase consideration $ 851,613 The following unaudited pro forma information presents the combined results of operations as if the acquisition of BSHL had been completed on January 1, 2016, the beginning of the comparable prior annual reporting period. These unaudited pro forma results are presented for informational purpose only and are not necessarily indicative of what the actual results of operations of the combined company would have been if the acquisition had occurred at the beginning of the period presented, nor are they indicative of future results of operations: For the years ended December 31 2017 2016 (unaudited) (unaudited) Revenue $ 4,204,075 $ 3,302,198 Gross profit 2,438,003 2,070,759 Operating income (loss) (2,839,246 ) 32,282 Net income (loss) $ (2,939,808 ) $ (38,919 ) Net income (loss) per share $ (0.06 ) $ (0.00 ) Subsequent to the acquisition of Billion Sino Holdings Limited (“BSHL”), the operating performance of the BSHL reporting unit decreased and began to be affected by reduced margins as a result of certain regulatory changes. Specifically, the Chinese government introduced certain capital controls that curtailed certain types of revenue in the insurance market. As a result of this decline, particularly in future expected cash flows, along with comparable fair value information, management concluded that the carrying value of goodwill of $1,299,518 and intangible asset of $68,087 for BSHL exceeded its fair value. In addition, at December 31, 2017, the Company determined that $434,865 of goodwill and $96,250 of an intangible asset recorded in 2015 arising from the acquisition of Yabez (Hong Kong) Company Limited was impaired. Accordingly, at December 31, 2017, the Company recorded a total impairment of goodwill and intangible assets of $1,898,720. On July 21, 2017, Greenpro Resources Limited, the wholly owned subsidiary of the Company, acquired 51% of the shareholdings of Greenpro Family Office Limited (“GFOL”). Loke Che Chan Gilbert, our Chief Financial Officer, was the sole shareholder of GFOL before the transaction and the acquisition is accounted for as a transfer among entities under common control. GFOL had net assets of $1 at the time of the transaction. |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | NOTE 4 – PROPERTY AND EQUIPMENT, NET As of As of December 31, 2017 December 31, 2016 Office leasehold $ 3,194,858 $ - Furniture and fixtures 46,890 26,048 Office equipment 43,076 31,890 Leasehold improvement 41,340 13,586 3,326,164 71,524 Less: Accumulated depreciation and amortization (59,335 ) (32,993 ) Total $ 3,266,829 $ 38,531 Office leasehold represents three adjoining office units used by the Company located in a commercial building in Shenzhen, China. The office leasehold is subject to a 50 years land lease with a remaining term of 27 years, and is being amortized over the remaining lease term. Depreciation and amortization expense, classified as operating expenses, was $21,992 and $15,292 for the years ended December 31, 2017 and 2016, respectively. At December 31, 2017, the Company’s office leasehold was pledged to banks as security collateral for loans of $1,383,360 (see Note 10). |
Real Estate Held For Sale
Real Estate Held For Sale | 12 Months Ended |
Dec. 31, 2017 | |
Real Estate [Abstract] | |
Real Estate Held For Sale | NOTE 5 - REAL ESTATE HELD FOR SALE At December 31, 2017 and 2016, real estate held for sale totaled $3,430,641 and $3,747,732, respectively. Real estate held for sale represents multiple units in a building located in Hong Kong. During the year ended December 31, 2017, the Company sold three units for $423,871, with related costs of sales of $347,479. The property was developed for resale on a unit by unit basis and is stated at the lower of cost or estimated fair value, less estimated costs to sell. Real estate held for sale represents properties for which a committed plan to sell exists and an active program to market such properties has been initiated. Real estate held for sale is stated at cost less costs to sell unless the inventory is determined to be impaired in which case the impaired inventory is written down to fair value. At December 31, 2017, the Company’s real estate held for sale was pledged to a non-banking lender as security collateral for loans of $774,194 (see Note 10). |
Real Estate Held For Investment
Real Estate Held For Investment | 12 Months Ended |
Dec. 31, 2017 | |
Real Estate Investment Property, Net [Abstract] | |
Real Estate Held For Investment | NOTE 6 - REAL ESTATE HELD FOR INVESTMENT As of As of December 31, 2017 December 31, 2016 Office leasehold $ 851,120 $ 766,674 Furniture and fixtures 57,814 48,174 Office equipment 15,378 9,989 Leasehold improvement 75,210 65,334 999,522 890,171 Less: Accumulated depreciation and amortization (130,538 ) (88,657 ) Total $ 868,984 $ 801,514 Real estate held for investment represents three office units located in two commercial buildings in Kuala Lumpur, Malaysia. Two adjoining offices in one building are used or rented by the Company, and one office in another building is rented. Depreciation and amortization expense, classified as cost of rental, was $30,570 and $30,050 for the years ended December 31, 2017 and 2016, respectively. At December 31, 2017, the Company’s real estate held for investment was pledged to banks as security collateral for loans of $613,433 (see Note 10). |
Other Investments
Other Investments | 12 Months Ended |
Dec. 31, 2017 | |
Other Investments [Abstract] | |
Other Investments | NOTE 7 – OTHER INVESTMENTS As of As of December 31, 2017 December 31, 2016 (A) Investment in Greenpro Trust Limited – related party $ 51,613 $ 51,613 (B) Investments in unconsolidated subsidiaries 3,500 582 Cash surrender value of life insurance, net of policy loan 75,344 56,058 Total $ 130,457 $ 108,253 (A) At December 31, 2017 and 2016, the Company had an investment in Greenpro Trust Limited of $51,613, which is approximately 12% of the equity interest of Greenpro Trust Limited and is accounted for under the cost method of accounting. Greenpro Trust Limited is a company incorporated in Hong Kong and Mr. Lee Chong Kuang and Mr. Loke Che Chan, Gilbert are common directors of Greenpro Trust Limited and the Company. (B) At December 31, 2017, the Company had investments in two unconsolidated entities with investment amounts aggregating $3,500. The Company’s ownership was less than 5% in each investment and each investment is accounted for under the cost method of accounting. At December 31, 2016, the Company had investments in two other unconsolidated entities aggregating $582. During 2017, the Company invested $196,082 into an investment fund. At December 31, 2017, the Company determined that the investment was impaired and recorded a loss on other investments of $196,082. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | NOTE 8 – INTANGIBLE ASSETS As of As of December 31, 2017 December 31, 2016 Trademarks $ 6,186 $ 5,127 Customer Lists and order backlog 703,037 624,500 709,223 629,627 Less: Accumulated amortization (293,231 ) (157,307 ) Less: Impairment (164,337 ) - Total $ 251,655 $ 472,320 Amortization expense for the years ended December 31, 2017 and 2016 were $135,925 and $121,862, respectively. At December 31, 2017, the Company’s management determined that an impairment indicator was present for intangible assets acquired from BSHL and Yabez (Hong Kong) Company Limited. Based on the results of managements impairment analysis, it was determined that customer lists of $96,250 and order backlog of $68,087 were impaired, resulting in an impairment charge of $164,337. At December 31, 2016, there were no impairments of intangible assets recorded. Amortization for each of the five years and thereafter following December 31, 2017 are as follows: Year ending December 31: 2018 $ 90,000 2019 90,000 2020 69,055 Thereafter 2,600 Total $ 251,655 |
Due to Related Parties
Due to Related Parties | 12 Months Ended |
Dec. 31, 2017 | |
Due to Related Parties [Abstract] | |
Due to Related Parties | NOTE 9 - DUE TO RELATED PARTIES As of As of December 31, 2017 December 31, 2016 Due to noncontrolling interests $ 1,617,241 $ 1,441,548 Due to shareholders 3,993 4,880 Due to directors 85,212 46,109 Due to related companies 107,484 16,955 Total $ 1,813,930 $ 1,509,492 At December 31, 2017 and 2016, $1,441,548, was due to the noncontrolling interest in Forward Win International Limited, and is unsecured, bears no interest, is payable upon demand, and related to the initial acquisition of the Company’s real estate held for sale property. At December 31, 2017, $175,693 was due to the noncontrolling interest in BSHL, and is unsecured, bears no interest, and is payable upon demand. Due to shareholders, directors, and related companies represents expenses paid by the related companies or shareholder or director to third parties on behalf of the Company, are non-interest bearing, and are due on demand. |
Loans Secured by Real Estate
Loans Secured by Real Estate | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Loans Secured by Real Estate | NOTE 10 – LOANS SECURED BY REAL ESTATE As of As of December 31, 2017 December 31, 2016 (A) Standard Chartered Saadiq Berhad, Malaysia $ 363,974 $ 337,464 (B) United Overseas Bank (Malaysia) Berhad 249,459 229,706 (C) Bank of China Limited, Shenzhen, PRC 1,383,360 - (D) Loan from non-banking lender, Hong Kong 774,194 - 2,770,987 567,170 Less: current portion (928,147 ) (13,042 ) Loans secured by real estate, net of current portion $ 1,842,840 $ 554,128 (A) In May 2013, the Company obtained a loan in the principal amount of MYR1,629,744 (approximately $495,170) from Standard Chartered Saadiq Berhad, a financial institution in Malaysia to finance the acquisition of leasehold office units at Skypark One City, Selangor in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.1% per annum (6.7% at December 31, 2017 and 2016) with 300 monthly installments of MYR9,287 (approximately $2,840) each and will mature in May 2038. The mortgage loan is secured by (i) the first legal charge over the property, (ii) personally guaranteed by Mr. Lee Chong Kuang and Mr. Loke Che Chan Gilbert, the directors of the Company, and (iii) guaranteed by a related corporation which is controlled by the directors of the Company. (B) In August 2013, the Company, through Mr. Lee Chong Kuang, the director of the Company, obtained a loan in the principal amount of MYR1,074,696 (approximately $326,530) from United Overseas Bank (Malaysia) Berhad, a financial institution in Malaysia to finance the acquisition of a leasehold office unit at Northpoint, Mid Valley City in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.2% per annum (6.81% at December 31, 2017 and 2016) with 360 monthly installments of MYR5,382 (approximately $1,645) each and will mature in August 2043. The mortgage loan is secured by the first legal charge over the property. (C) In December 2017, the Company obtained a loan in the principal amount of RMB 9,000,000 (approximately $1,383,360) from Bank of China Limited, a financial institution in China to finance the acquisition of leasehold office units of approximately 5,000 square feet at the Di Wang Building (Shun Hing Square), Shenzhen, China (the Property). The loan bears interest at a 25% premium above the 5-year-or-above RMB base lending rate per annum (6.125% at December 31, 2017) with 120 monthly installments and will mature in December 2027. The monthly installment will be determined by the sum of (i) a 25% premium above the 5-year-or-above RMB base lending rate per annum on the 20 th (D) In September, 2017, the Company borrowed HKD 8,000,000 (approximately $1,032,258) from Laboratory JaneClare Limited, a non-banking lender located in Hong Kong. The loan is secured by the Company’s real estate held for sale, bears interest at 8.4% per annum, and is due September 12, 2018. Maturities of the loan secured by real estate for each of the five years and thereafter are as follows: Year ending December 31: 2018 $ 928,147 2019 154,703 2020 155,413 2021 156,311 2022 157,175 Thereafter 1,219,238 Total $ 2,770,987 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Stockholders' Equity | NOTE 11 – STOCKHOLDERS’ EQUITY Our authorized capital consists, of 600,000,000 shares, of which 500,000,000 shares are designated as shares of common stock, par value $0.0001 per share, and 100,000,000 shares are designated as shares of preferred stock, par value $0.0001 per share. No shares of preferred stock are currently outstanding. Shares of preferred stock may be issued in one or more series, each series to be appropriately designated by a distinguishing letter or title, prior to the issuance of any shares thereof. The voting powers, designations, preferences, limitations, restrictions, relative, participating, options and other rights, and the qualifications, limitations, or restrictions thereof, of the preferred stock are to be determined by the Board of Directors before the issuance of any shares of preferred stock in such series. In 2016, the Company sold a total of 424,004 shares of common stock in private placements at prices ranging from $1.60 to $1.80 per share, for aggregate gross proceeds of $711,707. In 2017, the Company sold a total of 505,556 shares of common stock in private placements at prices ranging from of $1.80 to $2.50 per share, for aggregate gross proceeds of $984,864. On April 25, 2017, the Company completed the acquisition of a 60% equity interest and assets of Billion Sino Holdings Limited (“BSHL”) and issued 340,645 shares of its restricted common stock at $2.50 per share to the stockholders of BSHL for consideration of $851,613. Due to the thinly traded market of the Company’s common stock, the purchase price consideration was based on the latest offering price in a contemporaneous private placement to a third party. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 12 - INCOME TAXES The income (loss) before income taxes of the Company for the years ended December 31, 2017 and 2016 were comprised of the following: For the years ended December 31, 2017 2016 Tax jurisdictions from: – Local $ (723,141 ) $ (817,722 ) – Foreign, representing: Hong Kong (2,174,011 ) 12,846 The PRC 114,443 (42,092 ) Malaysia (172,593 ) (65,776 ) Other (primarily nontaxable jurisdictions) (93,235 ) 880,537 Loss before income taxes $ (3,048,537 ) $ (32,207 ) Provision for income taxes consisted of the following: For the years ended December 31, 2017 2016 Current: – Local $ - $ - – Foreign: Hong Kong 20,286 7,459 The PRC 48,086 - Deferred: – Local - - – Foreign - - $ 68,372 $ 7,459 Effective and Statutory Rate Reconciliation The following table summarizes a reconciliation of the Company’s blended statutory income tax rate to the Company's effective tax rate as a percentage of income from continuing operations before taxes: For the years ended December 31, 2017 2016 Statutory blended tax rate (24 )% (24 )% Goodwill impairment 16 % - Increase in valuation allowance 10 % 47 % – Foreign Effective tax rate 2 % 23 % The effective tax rate in the periods presented is the result of the mix of income earned in various tax jurisdictions that apply a broad range of income tax rates. During the periods presented, the Company has a number of subsidiaries that operates in different countries and is subject to tax in the jurisdictions in which its subsidiaries operate, as follows: United States of America The Company (GRNQ) is registered in the State of Nevada and is subject to United States of America tax law. As of December 31, 2017, the operations in the United States of America incurred $1,899,797 of cumulative net operating losses (NOL’s) which can be carried forward to offset future taxable income. The NOL carryforwards begin to expire in 2037, if unutilized. The Company has provided for a full valuation allowance of approximately $398,957 against the deferred tax assets on the expected future tax benefits from the net operating loss carryforwards as the management believes it is more likely than not that these assets will not be realized in the future. Hong Kong The Company’s subsidiaries operating in Hong Kong are subject to the Hong Kong Profits Tax at the statutory income tax rate of 16.5% on its assessable income for its tax year. For the year ended December 31, 2017, certain subsidiaries in Hong Kong incurred an aggregate operating loss of $2,323,953 (including goodwill and impairment loss of $1,898,721), while other subsidiaries generated aggregate operating income of $149,942. For the year ended December 31, 2016, certain subsidiaries in Hong Kong incurred an aggregate operating loss of $32,514, while other subsidiaries generated aggregate operating income of $45,360. As of December 31, 2017, the cumulative operating losses and cumulative operating income for operations in Hong Kong was $3,154,457 and $140,779 respectively. The cumulative operating losses can be carried forward to offset future taxable income. The Company has provided for a full valuation allowance against the deferred tax assets of $520,486 (including goodwill and intangibles of $313,289) on the expected future tax benefits from the net operating loss carryforwards as the management believes it is more likely than not that these assets will not be realized in the future. The PRC GMC(SZ), SZ Falcon and GSNSZ are operating in the PRC subject to the Corporate Income Tax governed by the Income Tax Law of the People’s Republic of China with a unified statutory income tax rate of 25%. For the year ended December 31, 2017, GMC(SZ), SZ Falcon and GSNSZ recorded aggregate operating income of $77,851. For the year ended December 31, 2016, GMC(SZ) and SZ Falcon recorded an aggregate operating loss of $42,092. As of December 31, 2017, the operations in the PRC had $162,985 of cumulative net operating losses which can be carried forward to offset future taxable income. The net operating loss carryforwards begin to expire in 2023, if unutilized. The Company has provided for a full valuation allowance against the deferred tax assets of $40,747 on the expected future tax benefits from the net operating loss carryforwards as the management believes it is more likely than not that these assets will not be realized in the future. Malaysia GRSB, GCVSB and GWSB are subject to the Malaysia Corporate Tax Laws at a progressive income tax rate starting from 20% on the assessable income for its tax year. For the years ended December 31, 2017 and 2016, GRSB, GCVSB and GWSB incurred an aggregate operating loss of $174,998 and $65,776, respectively, which can be carried forward indefinitely to offset its taxable income. As of December 31, 2017, the operations in Malaysia incurred $403,224 of cumulative net operating losses which can be carried forward to offset future taxable income. The net operating loss can be carried forward indefinitely. The Company has provided for a full valuation allowance against the deferred tax assets of $80,645 on the expected future tax benefits from the net operating loss carryforwards as the management believes it is more likely than not that these assets will not be realized in the future. The following table sets forth the significant components of the aggregate deferred tax assets of the Company as of December 31, 2017 and December 31, 2016: As of As of December 31, 2017 December 31, 2016 Deferred tax assets: Goodwill and intangibles $ 313,389 $ - Net operating loss carryforwards – United States of America 398,857 431,009 – Hong Kong 207,197 26,506 – The PRC 40,747 60,209 – Malaysia 80,645 45,645 1,040,835 563,369 Less: valuation allowance (1,040,835 ) (563,369 ) Deferred tax assets $ - $ - Management believes that it is more likely than not that the deferred tax assets will not be fully realizable in the future. Accordingly, the Company provided for a full valuation allowance against its deferred tax assets of $1,040,835 as of December 31, 2017. For the year ended December 31, 2017, the valuation allowance increased by $477,466, primarily relating to the impairment of goodwill and intangible assets and loss carryforwards from the various tax regimes. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 13 - RELATED PARTY TRANSACTIONS For the years ended December 31, 2017 2016 Revenue from related parties is comprised of the following: Service revenue - Related party A $ 10,065 $ 1,500 - Related party B 181,696 196,621 - Related party C - 44,216 - Related party D - 1,688 - Related party E - 446 - Related party F 90,201 155,321 Total $ 281,962 $ 399,792 Rental revenue - Related party A $ 3,484 $ 2,323 - Related party F 44,199 4,516 Total $ 47,683 $ 6,839 Related parties A and E is under common control of Mr. Loke Che Chan, Gilbert, a director of the Company. Related party B represent companies where Greenpro Venture Capital Limited owns a certain percentage of their company shares. Related party C is under common control of Ms. Chen Yanhong, the director of GMC(SZ), a wholly-owned subsidiary of the Company. Related party D is both under common control of Mr. Lee Chong Kuang and Mr. Loke Che Chan, Gilbert, the directors of the Company. Related party F represents companies that we have determined that we can significantly influence based on our common business relationships. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | NOTE 14 - SEGMENT INFORMATION ASC 280, “Segment Reporting” establishes standards for reporting information about operating segments on a basis consistent with the Company’s internal organization structure as well as information about services categories, business segments and major customers in financial statements. The Company has two reportable segments that are based on the following business units: service business and real estate business. In accordance with the “Segment Reporting” Topic of the ASC, the Company’s chief operating decision maker has been identified as the Chief Executive Officer and President, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. Existing guidance, which is based on a management approach to segment reporting, establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products and services, major customers, and the countries in which the entity holds material assets and reports revenue. All material operating units qualify for aggregation under “Segment Reporting” due to their similar customer base and similarities in: economic characteristics; nature of products and services; and procurement, manufacturing and distribution processes. The Company operates two reportable business segments: ● Service business – provision of corporate advisory and business solution services ● Real estate business – leasing and trading of commercial real estate properties in Hong Kong and Malaysia The Company had no inter-segment sales for the periods presented. Summarized financial information concerning the Company’s reportable segments is shown as below: (a) By Categories For the year ended December 31, 2017 Real estate business Service business Corporate Total Revenues $ 602,553 $ 3,313,819 $ - $ 3,916,372 Cost of revenues (415,891 ) (1,071,910 ) (1,487,801 ) Depreciation and amortization 20,091 155,681 12,715 188,487 Net income (loss) 99,181 (2,300,881 ) (915,209 ) (3,116,909 ) Total assets 3,549,950 7,282,745 181,612 11,014,307 Capital expenditures for long-lived assets $ - $ 3,109,152 $ 44,445 $ 3,153,597 For the year ended December 31, 2016 Real estate business Service business Corporate Total Revenues $ 100,143 $ 2,991,592 $ - $ 3,091,735 Cost of revenues (48,914 ) (1,086,393 ) - (1,135,307 ) Depreciation and amortization 30,050 136,671 483 167,204 Net income (loss) (73,366 ) 98,060 (64,360 ) (39,666 ) Total assets 4,648,141 3,601,943 161,152 8,411,236 Capital expenditures for long-lived assets $ 10,076 $ 6,050 $ 600 $ 16,726 (b) By Geography* For the year ended December 31, 2017 Hong Kong Malaysia China Total Revenues $ 2,705,182 $ 604,112 $ 607,078 $ 3,916,372 Cost of revenues (1,207,775 ) (224,963 ) (55,063 ) (1,487,801 ) Depreciation and amortization 89,360 32,184 66,943 188,487 Net income (loss) (3,191,830 ) 9,113 65,808 (3,116,909 ) Total assets 5,396,075 1,203,016 4,415,216 11,014,307 Capital expenditures for long-lived assets $ 45,503 $ 12,805 $ 3,095,289 $ 3,153,597 For the year ended December 31, 2016 Hong Kong Malaysia China Total Revenues $ 2,449,225 $ 494,743 $ 147,767 $ 3,091,735 Cost of revenues (980,442 ) (107,996 ) (46,869 ) (1,135,307 ) Depreciation and amortization 71,524 31,600 64,080 167,204 Net income (loss) (69,725 ) 88,979 (58,920 ) (39,666 ) Total assets 7,210,984 1,134,046 66,206 8,411,236 Capital expenditures for long-lived assets $ 3,422 $ 10,583 $ 2,721 $ 16,726 *Revenues and costs are attributed to countries based on the location of customers. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 15 - COMMITMENTS AND CONTINGENCIES The Company’s subsidiaries lease an office in Hong Kong under a non-cancellable operating lease that expires in April 2021. In addition, the Company’s subsidiaries lease certain office premises in the PRC under a non-cancellable operating lease that expired in December 2017. The aggregate lease expense for the years ended December 31, 2017 and 2016 were $474,741 and $273,949, respectively. As of December 31, 2017, the Company has future minimum rental payments for office premises due under non-cancellable operating leases are as follows: Year ending December 31: 2018 $ 270,732 2019 271,104 2020 260,645 2021 87,742 Thereafter - Total $ 890,223 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 16 - SUBSEQUENT EVENTS In February and March 2018, Greenpro Venture Capital Limited (“GPVC”) entered into stock purchase agreements to sell an aggregate number of 14,900,000 shares of its investment in an unconsolidated subsidiary, Rito Group Corp., for total consideration of $300,000, resulting in a gain of $300,000. As of April 13, 2018, we still hold 100,000 shares of Rito Group Corp. |
Nature of Operations and Summ25
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Going Concern | Going Concern The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal course of business. As reflected in the accompanying financial statements, for the year ended December 31, 2017, the Company incurred a net loss of $3,116,909 and used cash in operating activities of $442,711, and at December 31, 2017, the Company had a working capital deficiency of $2,070,201. These factors raise substantial doubt about the Company’s ability to continue as a going concern within one year of the date that the financial statements are issued. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. The Company’s ability to continue as a going concern is dependent upon improving its profitability and the continuing financial support from its shareholders. Management believes the existing shareholders or external financing will provide the additional cash to meet the Company’s obligations as they become due. No assurance can be given that any future financing, if needed, will be available or, if available, that it will be on terms that are satisfactory to the Company. Even if the Company is able to obtain additional financing, if needed, it may contain undue restrictions on its operations, in the case of debt financing, or cause substantial dilution for its stock holders, in the case of equity financing. |
Basis of Presentation | Basis of presentation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries and majority-owned subsidiaries over which the Company exercises control, and entities for which the Company is the primary beneficiary. The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America. The Company’s consolidated financial statements are expressed in U.S. Dollars. All inter-company accounts and transactions have been eliminated in consolidation. At December 31, 2017, the Company’s holds 60% of the shareholdings of Forward Win International Limited, Yabez (Hong Kong) Company Limited, Greenpro Wealthon Sdn Bhd, Billion Sino Holdings Limited, and Parich Wealth Management Limited (Hong Kong). At December 31, 2017, the Company holds 51% of the shareholdings of Greenpro Capital Village Sdn Bhd and Greenpro Family Office Limited. |
Use of Estimates | Use of estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Significant accounting estimates include certain assumptions related to, among others, the allowance for doubtful accounts receivable, impairment analysis of real estate assets and other long term assets including goodwill, valuation allowance on deferred income taxes, and the accrual of potential liabilities. Actual results may differ from these estimates. |
Cash, Cash Equivalents, and Restricted Cash | Cash, cash equivalents, and restricted cash Cash consists of funds on hand and held in bank accounts. Cash equivalents includes demand deposits placed with banks or other financial institutions and all highly liquid investments with original maturities of three months or less, including money market funds. Restricted cash represents cash restricted for the loan collateral requirements as defined in a loan agreement, and also the minimum paid-up share capital requirement for insurance brokers specified under the Insurance Ordinance of Hong Kong. At December 31, 2017 and 2016, cash included funds held by employees of $32,673 and $51,283, respectively and was held to facilitate payment of expenses in local currencies and to facilitate third-party online payment platforms which the Company had not set up corporate accounts for (Wechat Pay and Alipay). December 31, 2017 December 31, 2016 Cash, cash equivalents, and restricted cash Denominated in United States Dollars $ 283,674 $ 529,563 Denominated in Hong Kong dollars 568,008 211,776 Denominated in Renminbi 239,502 131,081 Denominated in Malaysian Ringgit 71,210 148,931 Cash, cash equivalents, and restricted cash $ 1,162,394 $ 1,021,351 |
Accounts Receivable | Accounts receivable Accounts receivable are recorded at the invoiced amount less an allowance for any uncollectible accounts. Management reviews the adequacy of the allowance for doubtful accounts on an ongoing basis, using historical collection trends and aging of receivables. Management also periodically evaluates individual customer’s financial condition, credit history, and the current economic conditions to make adjustments in the allowance when it is considered necessary. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The allowance for uncollectible accounts at December 31, 2017 and 2016 was $76,180 and $54,799 respectively. |
Property and Equipment, Net | Property and equipment, net Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Categories Expected useful life Residual value Office leasehold 27 years Furniture and fixtures 3 - 10 years 5 % Office equipment 3 - 10 years 5% - 10 % Leasehold improvement Over the shorter of estimated useful life or term of lease - Office leasehold represents three adjoining office units used by the Company located in a commercial building in Shenzhen, China. The office leasehold is subject to a 50 years land lease with a remaining term of 27 years, and is being amortized over the remaining lease term. Expenditures for maintenance and repairs are expensed as incurred. Management assesses the carrying value of property and equipment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If there is indication of impairment, management prepares an estimate of future cash flows expected to result from the use of the asset and its eventual disposition. If these cash flows are less than the carrying amount of the asset, an impairment loss is recognized to write down the asset to its estimated fair value. For the year ended December 31, 2017, the Company determined there were no indicators of impairment of its property and equipment. Depreciation and amortization expense, classified as operating expenses, was $21,992 and $15,292 for the years ended December 31, 2017 and 2016, respectively. |
Real Estate Held for Sale | Real estate held for sale Real estate held for sale is reported at the lower of its carrying amount or fair value, less estimated costs to sell. The cost of real estate held for sale includes the purchase price of property, legal fees, improvement costs to the building structure, and other acquisition costs. Project wide costs such as land and building acquisition and certain development costs are allocated to the specific units based upon their relative fair value before construction. We continue to actively market all properties that are designated as held for sale. Real estate held for sale is not depreciated. In conducting its reviews for indicators of impairment, the Company evaluates, among other things, the margins on units already sold within the project, margins on units under contract but not closed (none as of December 31, 2017), and projected margin on future unit sales. The Company pays particular attention to discern if the real estate held for sale is moving at a slower than expected pace or where margins are trending downward. As at December 31, 2017, the Company determined there were no indicators of impairment of its real estate held for sale. |
Real Estate Held for Investment, Net | Real estate held for investment, net Real estate held for investment is stated at cost less accumulated depreciation. Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Categories Expected useful life Residual value Office leasehold 50 years - Furniture and fixtures 3 – 10 years 5 % Office equipment 3 – 10 years 5% - 10 % Leasehold improvement Shorter of the estimated useful life or term of lease - The cost of office leasehold includes the purchase price of property, legal fees, and other acquisition costs. Depreciation and amortization expense, classified as cost of rental, was $30,570 and $30,050 for the years ended December 31, 2017 and 2016, respectively. As at December 31, 2017, the Company determined there were no indicators of impairment of its real estate held for investment. |
Intangible Assets, Net | Intangible assets, net Intangible assets are stated at cost less accumulated amortization. Intangible assets represented customer lists and order backlogs acquired in business combinations and certain trademarks registered in Hong Kong, the PRC, and Malaysia. Intangible assets are amortized on a straight-line basis over their estimated useful life’s ranging from five to ten years. Amortization expense for the years ended December 31, 2017 and 2016 were $135,925 and $121,862, respectively. The Company follows ASC 360 in accounting for intangible assets, which requires impairment losses to be recorded when indicators of impairment are present and the undiscounted cash flows estimated to be generated by the assets are less than the assets’ carrying amounts. At December 31, 2017, the Company recorded an impairment of intangible assets of $164,337. There were no impairments recorded at December 31, 2016 |
Goodwill | Goodwill Goodwill is the excess of cost of an acquired entity over the fair value of amounts assigned to assets acquired and liabilities assumed in a business combination. Under the guidance of ASC 350, goodwill is not amortized, rather it is tested for impairment annually, and will be tested for impairment between annual tests if an event occurs or circumstances change that would indicate the carrying amount may be impaired. An impairment loss generally would be recognized when the carrying amount of the reporting unit’s net assets exceeds the estimated fair value of the reporting unit and would be measured as the excess carrying value of goodwill over the derived fair value of goodwill. The Company’s policy is to perform its annual impairment testing for its reporting units on December 31, of each fiscal year. At December 31, 2017, based on its annual impairment testing, the Company recorded impairment of goodwill of $1,734,384. There were no impairments recorded at December 31, 2016. |
Impairment of Long-lived Assets | Impairment of long-lived assets Long-lived assets primarily include real estate held for investment, property and equipment and intangible assets. In accordance with the provision of ASC 360, the Company generally conducts its annual impairment evaluation to its long-lived assets, usually in the fourth quarter of each year, or more frequently if indicators of impairment exist, such as a significant sustained change in the business climate. The recoverability of long-lived assets is measured at the reporting unit level. If the total of the expected undiscounted future net cash flows is less than the carrying amount of the asset, a loss is recognized for the difference between the fair value and carrying amount of the asset. As at December 31, 2017, the Company determined there were no indicators of impairment of its real estate held for investment and its property and equipment. |
Comprehensive Income | Comprehensive income Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. The Company’s accumulated other comprehensive income consists of cumulative foreign currency translation adjustments. |
Revenue Recognition | Revenue recognition The Company recognizes its revenue in accordance with ASC 605, “ Revenue Recognition (a) Service revenue Revenue from the provision of (i) business consulting and advisory services and (ii) company secretarial, accounting and financial review services are recognized when there is (i) an existence of contract or an arrangement (ii) services are rendered, (iii) the service price is fixed or determinable, and (iv) collectability is reasonable assured. For certain service contracts, the completed performance method is applied. Revenue, expenses and gross profit are deferred until the performance obligation is complete and collectability is reasonably assured. For contracts where performance is not completed, deferred costs related to revenue are recorded as incurred and deferred revenue is recorded for any payments received on such yet to be completed performance obligations. When all contractual performance obligations have been met, revenue and expenses will be recorded. Deferred revenue related to contracts where performance was not completed was $345,000 and $215,000 as of December 31, 2017 and 2016, respectively. Deferred costs related to such contracts was $74,990 and $75,207 as of December 31, 2017 and 2016, respectively. On an ongoing basis, management monitors these contracts for profitability and when needed may record a liability if a determination is made that costs will exceed revenue. For other service contracts such as company secretarial, accounting and financial review services, revenue is recognized as services are rendered. (b) Rental revenue Revenue from rental of leasehold land and buildings is recognized as earned based upon amounts that are currently due from tenants, collectability is reasonably assured, and the tenant has taken possession or controls the physical use of the leased assets. The Company leases its commercial office premises in Malaysia and Hong Kong under various non-cancelable operating leases with terms of two to three years and contains renewal options. For the year ended December 31, 2017, the Company recorded $178,682 in rental revenue. (c) Sale of properties Revenue from the sale of properties is recognized at the time each unit is delivered and title and possession are transferred to the buyer. Specifically, the Company utilizes the full accrual method where recognition occurs when (i) the collectability of the sales price is reasonably assured, (ii) the seller is not obligated to perform significant activities after the sale, (iii) the initial investment from the buyer is sufficient, and (iv) the Company recognizes revenue when it satisfies a performance obligation by transferring control of a promised property to a customer. |
Cost of Revenues | Cost of revenues Costs of service revenue primarily consists of employee compensation and related payroll benefits, company formation cost and other professional fees directly attributable to the services rendered. Cost of rental revenue primarily includes costs associated with repairs and maintenance, property insurance, depreciation and other related administrative costs. Property management fees and utility expenses are paid directly by tenants. Cost of properties sold primary consist of the purchase price of property, legal fees, improvement costs to the building structure, and other acquisition costs. Selling and advertising costs are expensed as incurred. |
Income Taxes | Income taxes The Company accounts for income taxes using an asset and liability approach which allows for the recognition and measurement of deferred tax assets based upon the likelihood of realization of tax benefits in future years. Under the asset and liability approach, deferred taxes are provided for the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. The Company conducts major businesses in Hong Kong, Malaysia and China and is subject to tax in these jurisdictions. As a result of its business activities, the Company will file separate tax returns that are subject to examination by the foreign tax authorities. |
Income (Loss) Per Share | Income (loss) per Share Basic income (loss) per share is computed by dividing the net income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted net loss per share is calculated by dividing the net loss by the weighted average number of common shares outstanding during the period plus any potentially dilutive shares related to the issuance of stock options, shares from the issuance of stock warrants, shares issued from the conversion of redeemable convertible preferred stock and shares issued for the conversion of convertible debt. At December 31, 2017 and 2016, there were no potentially dilutive shares outstanding. |
Foreign Currencies Translation | Foreign currencies translation The reporting currency of the Company is the United States Dollars (“US$”) and the accompanying consolidated financial statements have been expressed in US$. In addition, the Company’s operating subsidiaries maintain their books and records in their respective local currency, which consists of the Malaysian Ringgit (“MYR”), Renminbi (“RMB”), and Hong Kong Dollars (“HK$”), which is also the respective functional currency of subsidiaries. In general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not the US$ are translated into US$ using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the period. The gains and losses resulting from translation of financial statements of a foreign subsidiary are recorded as a separate component of accumulated other comprehensive loss within equity. Translation of amounts from the local currencies of the Company into US$ has been made at the following exchange rates for the respective periods: As of and for the years ended December 31, 2017 2016 Period-end MYR : US$1 exchange rate 4.05 4.48 Period-average MYR : US$1 exchange rate 4.28 4.14 Period-end RMB : US$1 exchange rate 6.51 6.95 Period-average RMB : US$1 exchange rate 6.74 6.66 Period-end / average HK$ : US$1 exchange rate 7.75 7.75 |
Related Parties | Related parties Parties are considered to be related to the Company if the parties that, directly or indirectly, through one or more intermediaries, control, are controlled by, or are under common control with the Company. Related parties also include principal owners of the Company, its management, members of the immediate families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. Transactions with related parties are disclosed in the financial statements. |
Fair Value of Financial Instruments | Fair value of financial instruments The Company follows the guidance of the ASC 820-10, “ Fair Value Measurements and Disclosures ● Level 1 ● Level 2 ● Level 3 There were no assets or liabilities measured at fair value on a recurring basis subject to the disclosure requirements of ASC 820 as of December 31, 2017 or 2016. The Company believes the carrying amount reported in the balance sheet for cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, deferred revenue, and due to related parties, approximate at their fair values because of the short-term nature of these financial instruments. |
Concentrations of Risks | Concentrations of risks For the year ended December 31, 2017, no customer accounted for 10% or more of the service revenue or accounts receivable at year-end. For the year ended December 31, 2016, the two customers that accounted for 10% or more of the service income and one customer that accounted for 24% of trade accounts receivable are presented as follows: For the year ended December 31, 2016 As of December 31, 2016 Revenues Percentage of revenues Trade accounts receivable Customer A $ 361,200 12 % $ 106,800 Customer B 503,500 16 % - Total: $ 864,700 27 % $ 106,800 For the years ended December 31, 2017 and 2016, no vendor accounted for 10% or more of the Company’s cost of revenues, or accounts payable at year-end. |
Exchange Rate Risk | Exchange rate risk The reporting currency of the Company is US$. To date the majority of the revenues and costs are denominated in MYR and RMB and a significant portion of the assets and liabilities are denominated in MYR and RMB. As a result, the Company is exposed to foreign exchange risk as its revenues and results of operations may be affected by fluctuations in the exchange rate between US$, MYR and RMB. If MYR and RMB depreciates against US$, the value of MYR and RMB revenues and assets as expressed in US$ financial statements will decline. The Company does not hold any derivative or other financial instruments that expose it to substantial market risk. |
Economic and Political Risks | Economic and political risks Substantially all of the Company’s services are conducted in Malaysia, the PRC and Asian region. The Company’s operations are subject to various political, economic, and other risks and uncertainties inherent in Malaysia. Among other risks, the Company’s operations are subject to the risks of restrictions on transfer of funds; export duties, quotas, and embargoes; domestic and international customs and tariffs; changing taxation policies; foreign exchange restrictions; and political conditions and governmental regulations in Malaysia. The Company’s operations in the PRC are subject to special considerations and significant risks not typically associated with companies in North America and Western Europe. These include risks associated with, among others, the political, economic and legal environment and foreign currency exchange. The Company’s results may be adversely affected by changes in the political and social conditions in the PRC, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion, remittances abroad, and rates and methods of taxation. |
Recent Accounting Pronouncements | Recent accounting pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 is a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under current U.S. GAAP and replace it with a principle based approach for determining revenue recognition. Under ASU 2014-09, revenue is recognized when a customer obtains control of promised goods or services and is recognized in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The FASB has recently issued ASU 2016-08, ASU 2016-10, ASU 2016-11, ASU 2016-12, ASU 2016-20, and ASU 2017-05, all of which clarify certain implementation guidance within ASU 2014-09. ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017. The standard can be adopted either retrospectively to each prior reporting period presented (full retrospective method), or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial application (the cumulative catch-up transition method). The Company will adopt the provisions of this statement in the first quarter of fiscal 2018, using the modified retrospective approach. We have assessed the impact adoption of this standard will have on our consolidated financial statements and related disclosures. Based on our assessment, the adoption of this standard will not have a material impact on our revenue recognition policies for our service revenues. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). This update will require the recognition of a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, for all leases with terms longer than 12 months. For operating leases, the asset and liability will be expensed over the lease term on a straight-line basis, with all cash flows included in the operating section of the statement of cash flows. For finance leases, interest on the lease liability will be recognized separately from the amortization of the right-of-use asset in the statement of comprehensive income and the repayment of the principal portion of the lease liability will be classified as a financing activity while the interest component will be included in the operating section of the statement of cash flows. ASU 2016-02 is effective for annual and interim reporting periods beginning after December 15, 2018 for public business entities. Early adoption is permitted. Upon adoption, leases will be recognized and measured at the beginning of the earliest period presented using a modified retrospective approach. The Company is currently evaluating the impact of the adoption of ASU 2016-02 on its financial statements and related disclosures. In January 2017, the FASB issued Accounting Standards Update No. 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment (ASU 2017-04), which eliminates step two from the goodwill impairment test. Under ASU 2017-04, an entity should recognize an impairment charge for the amount by which the carrying amount of a reporting unit exceeds its fair value up to the amount of goodwill allocated to that reporting unit. ASU 2017-04 is effective for annual and interim reporting periods beginning after December 15, 2019 for public business entities. Early adoption is permitted. The Company early adopted ASU 2017-04 during the fourth quarter of 2017. Other recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company’s present or future financial statements. |
Nature of Operations and Summ26
Nature of Operations and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Schedule of Cash, Cash Equivalents, and Restricted Cash | December 31, 2017 December 31, 2016 Cash, cash equivalents, and restricted cash Denominated in United States Dollars $ 283,674 $ 529,563 Denominated in Hong Kong dollars 568,008 211,776 Denominated in Renminbi 239,502 131,081 Denominated in Malaysian Ringgit 71,210 148,931 Cash, cash equivalents, and restricted cash $ 1,162,394 $ 1,021,351 |
Summary of Property and Equipment | Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Categories Expected useful life Residual value Office leasehold 27 years Furniture and fixtures 3 - 10 years 5 % Office equipment 3 - 10 years 5% - 10 % Leasehold improvement Over the shorter of estimated useful life or term of lease - |
Schedule of Real Estate Held for Investment | Depreciation is calculated on the straight-line basis over the following expected useful lives from the date on which they become fully operational and after taking into account their estimated residual values: Categories Expected useful life Residual value Office leasehold 50 years - Furniture and fixtures 3 – 10 years 5 % Office equipment 3 – 10 years 5% - 10 % Leasehold improvement Shorter of the estimated useful life or term of lease - |
Schedule of Foreign Currencies Translation | Translation of amounts from the local currencies of the Company into US$ has been made at the following exchange rates for the respective periods: As of and for the years ended December 31, 2017 2016 Period-end MYR : US$1 exchange rate 4.05 4.48 Period-average MYR : US$1 exchange rate 4.28 4.14 Period-end RMB : US$1 exchange rate 6.51 6.95 Period-average RMB : US$1 exchange rate 6.74 6.66 Period-end / average HK$ : US$1 exchange rate 7.75 7.75 |
Schedule of Concentrations of Risks | For the year ended December 31, 2016, the two customers that accounted for 10% or more of the service income and one customer that accounted for 24% of trade accounts receivable are presented as follows: For the year ended December 31, 2016 As of December 31, 2016 Revenues Percentage of revenues Trade accounts receivable Customer A $ 361,200 12 % $ 106,800 Customer B 503,500 16 % - Total: $ 864,700 27 % $ 106,800 |
Restatement of Previously Iss27
Restatement of Previously Issued Consolidated Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of Restated Statements | The following table presents the effect of the restatements on the Company’s previously issued consolidated balance sheet: As of December 31, 2016 As Previously Reported Adjustments Notes As Restated Accounts receivable $ 439,217 $ (54,799 ) D $ 384,418 Deferred costs related to revenue - 75,207 A 75,207 Real estate held for investment, net 1,014,289 (212,775 ) B 801,514 Goodwill 1,472,729 174,001 C 1,646,730 Deferred revenue - 215,000 A 215,000 Additional paid in capital 6,626,958 1,943 B 6,628,901 Accumulated other comprehensive income 102,898 (175,298 ) B (111,818 ) (39,418 ) B Accumulated deficit (790,254 ) (191,500 ) A (981,754 ) Noncontrolling interests in consolidated subsidiaries $ 148,230 $ 170,913 C $ 319,143 The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of operations and comprehensive loss: For the year ended December 31, 2016 As Previously Reported Adjustments Notes As Restated Service revenue $ 2,676,292 $ 315,300 A $ 2,991,592 Cost of service revenue (997,401 ) (88,992 ) A (1,086,393 ) General and administrative (1,869,494 ) (54,799 ) D (1,924,293 ) Net income (loss) attributable to common shareholders (222,324 ) 171,509 (50,815 ) Foreign currency translation income (loss) 28,395 (39,418 ) B (11,023 ) Comprehensive loss $ (193,928 ) $ 132,091 $ (61,837 ) Net loss per share, basic and diluted $ (0.00 ) $ (0.00 ) The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of stockholder’s equity: Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Accumulated Deficit Non- Controlling Interest Total Equity Balance as of December 31, 2015, as previously reported $ 5,915,294 $ 74,503 $ (567,931 ) $ 136,983 $ 5,564,045 Prior Period revisions Correction of errors 1,943 (175,298 ) (363,008 ) 170,913 (365,450 ) Balance as of December 31, 2015, as restated $ 5,917,237 $ (100,795 ) $ (930,939 ) $ 307,896 $ 5,198,595 The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of cash flows: For the year ended December 31, 2016 As Previously Reported Adjustments Notes As Restated Cash flows from operating activities: Net (loss) income $ (211,175 ) $ 171,509 A $ (39,666 ) Provision for bad debts - 54,799 D 54,799 Changes in operating assets and liabilities: Accounts receivable, net (254,462 ) (34,500 ) A, D (288,962 ) Deferred revenue (174,547 ) (280,800 ) A (455,347 ) Deferred costs - 88,994 A 88,994 Net cash used in operating activities $ (502,388 ) $ 2,160 $ (500,228 ) Net cash used in investing activities $ (14,566 ) $ (2,160 ) $ (16,726 ) |
Business Combinations (Tables)
Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Schedule of Fair Value of Assets Acquired and Liabilities | As of the acquisition date, the allocations of the purchase price are stated as follows: BSHL Cash and cash equivalents $ 145,354 Deposits 3,481 Amount due to a director (16,597 ) Accrued expenses (90,939 ) Intangible assets 94,057 Deferred tax liabilities (15,519 ) Goodwill 1,299,518 Fair value of BSHL 1,419,355 Noncontrolling interest (567,742 ) Total purchase consideration $ 851,613 |
Schedule of Proforma Information of Operations | These unaudited pro forma results are presented for informational purpose only and are not necessarily indicative of what the actual results of operations of the combined company would have been if the acquisition had occurred at the beginning of the period presented, nor are they indicative of future results of operations: For the years ended December 31 2017 2016 (unaudited) (unaudited) Revenue $ 4,204,075 $ 3,302,198 Gross profit 2,438,003 2,070,759 Operating income (loss) (2,839,246 ) 32,282 Net income (loss) $ (2,939,808 ) $ (38,919 ) Net income (loss) per share $ (0.06 ) $ (0.00 ) |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | As of As of December 31, 2017 December 31, 2016 Office leasehold $ 3,194,858 $ - Furniture and fixtures 46,890 26,048 Office equipment 43,076 31,890 Leasehold improvement 41,340 13,586 3,326,164 71,524 Less: Accumulated depreciation and amortization (59,335 ) (32,993 ) Total $ 3,266,829 $ 38,531 |
Real Estate Held For Investme30
Real Estate Held For Investment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Real Estate Investment Property, Net [Abstract] | |
Schedule of Real Estate Held For Investment | As of As of December 31, 2017 December 31, 2016 Office leasehold $ 851,120 $ 766,674 Furniture and fixtures 57,814 48,174 Office equipment 15,378 9,989 Leasehold improvement 75,210 65,334 999,522 890,171 Less: Accumulated depreciation and amortization (130,538 ) (88,657 ) Total $ 868,984 $ 801,514 |
Other Investments (Tables)
Other Investments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Investments [Abstract] | |
Schedule of Other Investments | As of As of December 31, 2017 December 31, 2016 (A) Investment in Greenpro Trust Limited – related party $ 51,613 $ 51,613 (B) Investments in unconsolidated subsidiaries 3,500 582 Cash surrender value of life insurance, net of policy loan 75,344 56,058 Total $ 130,457 $ 108,253 (A) At December 31, 2017 and 2016, the Company had an investment in Greenpro Trust Limited of $51,613, which is approximately 12% of the equity interest of Greenpro Trust Limited and is accounted for under the cost method of accounting. Greenpro Trust Limited is a company incorporated in Hong Kong and Mr. Lee Chong Kuang and Mr. Loke Che Chan, Gilbert are common directors of Greenpro Trust Limited and the Company. (B) At December 31, 2017, the Company had investments in two unconsolidated entities with investment amounts aggregating $3,500. The Company’s ownership was less than 5% in each investment and each investment is accounted for under the cost method of accounting. At December 31, 2016, the Company had investments in two other unconsolidated entities aggregating $582. |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | As of As of December 31, 2017 December 31, 2016 Trademarks $ 6,186 $ 5,127 Customer Lists and order backlog 703,037 624,500 709,223 629,627 Less: Accumulated amortization (293,231 ) (157,307 ) Less: Impairment (164,337 ) - Total $ 251,655 $ 472,320 |
Schedule of Amortization Expense of Intangible Assets | Amortization for each of the five years and thereafter following December 31, 2017 are as follows: Year ending December 31: 2018 $ 90,000 2019 90,000 2020 69,055 Thereafter 2,600 Total $ 251,655 |
Due to Related Parties (Tables)
Due to Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Due to Related Parties [Abstract] | |
Schedule of Amounts Due to Related Parties | As of As of December 31, 2017 December 31, 2016 Due to noncontrolling interests $ 1,617,241 $ 1,441,548 Due to shareholders 3,993 4,880 Due to directors 85,212 46,109 Due to related companies 107,484 16,955 Total $ 1,813,930 $ 1,509,492 |
Loans Secured by Real Estate (T
Loans Secured by Real Estate (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Long Term Bank Loans | As of As of December 31, 2017 December 31, 2016 (A) Standard Chartered Saadiq Berhad, Malaysia $ 363,974 $ 337,464 (B) United Overseas Bank (Malaysia) Berhad 249,459 229,706 (C) Bank of China Limited, Shenzhen, PRC 1,383,360 - (D) Loan from non-banking lender, Hong Kong 774,194 - 2,770,987 567,170 Less: current portion (928,147 ) (13,042 ) Loans secured by real estate, net of current portion $ 1,842,840 $ 554,128 (A) In May 2013, the Company obtained a loan in the principal amount of MYR1,629,744 (approximately $495,170) from Standard Chartered Saadiq Berhad, a financial institution in Malaysia to finance the acquisition of leasehold office units at Skypark One City, Selangor in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.1% per annum (6.7% at December 31, 2017 and 2016) with 300 monthly installments of MYR9,287 (approximately $2,840) each and will mature in May 2038. The mortgage loan is secured by (i) the first legal charge over the property, (ii) personally guaranteed by Mr. Lee Chong Kuang and Mr. Loke Che Chan Gilbert, the directors of the Company, and (iii) guaranteed by a related corporation which is controlled by the directors of the Company. (B) In August 2013, the Company, through Mr. Lee Chong Kuang, the director of the Company, obtained a loan in the principal amount of MYR1,074,696 (approximately $326,530) from United Overseas Bank (Malaysia) Berhad, a financial institution in Malaysia to finance the acquisition of a leasehold office unit at Northpoint, Mid Valley City in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.2% per annum (6.81% at December 31, 2017 and 2016) with 360 monthly installments of MYR5,382 (approximately $1,645) each and will mature in August 2043. The mortgage loan is secured by the first legal charge over the property. (C) In December 2017, the Company obtained a loan in the principal amount of RMB 9,000,000 (approximately $1,383,360) from Bank of China Limited, a financial institution in China to finance the acquisition of leasehold office units of approximately 5,000 square feet at the Di Wang Building (Shun Hing Square), Shenzhen, China (the Property). The loan bears interest at a 25% premium above the 5-year-or-above RMB base lending rate per annum (6.125% at December 31, 2017) with 120 monthly installments and will mature in December 2027. The monthly installment will be determined by the sum of (i) a 25% premium above the 5-year-or-above RMB base lending rate per annum on the 20 th (D) In September, 2017, the Company borrowed HKD 8,000,000 (approximately $1,032,258) from Laboratory JaneClare Limited, a non-banking lender located in Hong Kong. The loan is secured by the Company’s real estate held for sale, bears interest at 8.4% per annum, and is due September 12, 2018. |
Schedule of Maturities of Long-term Bank Loans | Maturities of the loan secured by real estate for each of the five years and thereafter are as follows: Year ending December 31: 2018 $ 928,147 2019 154,703 2020 155,413 2021 156,311 2022 157,175 Thereafter 1,219,238 Total $ 2,770,987 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income (loss) Before Income Taxes | The income (loss) before income taxes of the Company for the years ended December 31, 2017 and 2016 were comprised of the following: For the years ended December 31, 2017 2016 Tax jurisdictions from: – Local $ (723,141 ) $ (817,722 ) – Foreign, representing: Hong Kong (2,174,011 ) 12,846 The PRC 114,443 (42,092 ) Malaysia (172,593 ) (65,776 ) Other (primarily nontaxable jurisdictions) (93,235 ) 880,537 Loss before income taxes $ (3,048,537 ) $ (32,207 ) |
Schedule of Provision for Income Taxes | Provision for income taxes consisted of the following: For the years ended December 31, 2017 2016 Current: – Local $ - $ - – Foreign: Hong Kong 20,286 7,459 The PRC 48,086 - Deferred: – Local - - – Foreign - - $ 68,372 $ 7,459 |
Schedule of Effective Income Tax Rate | The following table summarizes a reconciliation of the Company’s blended statutory income tax rate to the Company's effective tax rate as a percentage of income from continuing operations before taxes: For the years ended December 31, 2017 2016 Statutory blended tax rate (24 )% (24 )% Goodwill impairment 16 % - Increase in valuation allowance 10 % 47 % – Foreign Effective tax rate 2 % 23 % |
Schedule of Components of Deferred Tax Assets | The following table sets forth the significant components of the aggregate deferred tax assets of the Company as of December 31, 2017 and December 31, 2016: As of As of December 31, 2017 December 31, 2016 Deferred tax assets: Goodwill and intangibles $ 313,389 $ - Net operating loss carryforwards – United States of America 398,857 431,009 – Hong Kong 207,197 26,506 – The PRC 40,747 60,209 – Malaysia 80,645 45,645 1,040,835 563,369 Less: valuation allowance (1,040,835 ) (563,369 ) Deferred tax assets $ - $ - |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Schedule of Related Parties Transactions | For the years ended December 31, 2017 2016 Revenue from related parties is comprised of the following: Service revenue - Related party A $ 10,065 $ 1,500 - Related party B 181,696 196,621 - Related party C - 44,216 - Related party D - 1,688 - Related party E - 446 - Related party F 90,201 155,321 Total $ 281,962 $ 399,792 Rental revenue - Related party A $ 3,484 $ 2,323 - Related party F 44,199 4,516 Total $ 47,683 $ 6,839 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Summarized Financial Information | The Company had no inter-segment sales for the periods presented. Summarized financial information concerning the Company’s reportable segments is shown as below: (a) By Categories For the year ended December 31, 2017 Real estate business Service business Corporate Total Revenues $ 602,553 $ 3,313,819 $ - $ 3,916,372 Cost of revenues (415,891 ) (1,071,910 ) (1,487,801 ) Depreciation and amortization 20,091 155,681 12,715 188,487 Net income (loss) 99,181 (2,300,881 ) (915,209 ) (3,116,909 ) Total assets 3,549,950 7,282,745 181,612 11,014,307 Capital expenditures for long-lived assets $ - $ 3,109,152 $ 44,445 $ 3,153,597 For the year ended December 31, 2016 Real estate business Service business Corporate Total Revenues $ 100,143 $ 2,991,592 $ - $ 3,091,735 Cost of revenues (48,914 ) (1,086,393 ) - (1,135,307 ) Depreciation and amortization 30,050 136,671 483 167,204 Net income (loss) (73,366 ) 98,060 (64,360 ) (39,666 ) Total assets 4,648,141 3,601,943 161,152 8,411,236 Capital expenditures for long-lived assets $ 10,076 $ 6,050 $ 600 $ 16,726 (b) By Geography* For the year ended December 31, 2017 Hong Kong Malaysia China Total Revenues $ 2,705,182 $ 604,112 $ 607,078 $ 3,916,372 Cost of revenues (1,207,775 ) (224,963 ) (55,063 ) (1,487,801 ) Depreciation and amortization 89,360 32,184 66,943 188,487 Net income (loss) (3,191,830 ) 9,113 65,808 (3,116,909 ) Total assets 5,396,075 1,203,016 4,415,216 11,014,307 Capital expenditures for long-lived assets $ 45,503 $ 12,805 $ 3,095,289 $ 3,153,597 For the year ended December 31, 2016 Hong Kong Malaysia China Total Revenues $ 2,449,225 $ 494,743 $ 147,767 $ 3,091,735 Cost of revenues (980,442 ) (107,996 ) (46,869 ) (1,135,307 ) Depreciation and amortization 71,524 31,600 64,080 167,204 Net income (loss) (69,725 ) 88,979 (58,920 ) (39,666 ) Total assets 7,210,984 1,134,046 66,206 8,411,236 Capital expenditures for long-lived assets $ 3,422 $ 10,583 $ 2,721 $ 16,726 *Revenues and costs are attributed to countries based on the location of customers. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Operating Lease Payments | As of December 31, 2017, the Company has future minimum rental payments for office premises due under non-cancellable operating leases are as follows: Year ending December 31: 2018 $ 270,732 2019 271,104 2020 260,645 2021 87,742 Thereafter - Total $ 890,223 |
Nature of Operations and Summ39
Nature of Operations and Summary of Significant Accounting Policies (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Net loss | $ 3,116,909 | $ 39,666 |
Cash used in operating activities | 442,711 | 500,228 |
Working capital deficiency | 2,070,201 | |
Funds held by employees | 32,673 | 51,283 |
Allowance for uncollectible accounts | 76,180 | 54,799 |
Depreciation expense, classify as operating expenses | 21,992 | 15,292 |
Depreciation expenses, classified as cost of rental | 30,570 | 30,050 |
Amortization expense | 135,925 | 121,862 |
Impairment of intangible assets | 164,337 | |
Impairment of goodwill | $ 1,898,721 | |
Lease description | The Company leases its commercial office premises in Malaysia and Hong Kong under various non-cancelable operating leases with terms of two to three years and contains renewal options. | |
Deferred revenue | $ 345,000 | 215,000 |
Deferred costs | 74,990 | 75,207 |
Rental revenue | $ 178,682 | $ 100,143 |
Potentially antidilutive shares outstanding | ||
Major Customer [Member] | ||
Concentration risk, percentage | 10.00% | |
Two Customer [Member] | ||
Concentration risk, percentage | 10.00% | |
One Customer [Member] | ||
Concentration risk, percentage | 24.00% | |
Major Vendor [Member] | ||
Concentration risk, percentage | 10.00% | 10.00% |
Office Leasehold [Member] | ||
Property, plant and equipment, useful life | 50 years | |
Remaining life term of property, plant and equipment | 27 years | |
Win International Limited, Yabez (Hong Kong) Company Limited, Greenpro Wealthon Sdn Bhd, Billion Sino Holdings Limited, and Parich Wealth Management Limited (Hong Kong) [Member] | ||
Percentage of holds of shareholdings | 60.00% | |
Greenpro Capital Village Sdn Bhd and Greenpro Family Office Limited [Member] | ||
Percentage of holds of shareholdings | 51.00% |
Nature of Operations and Summ40
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | $ 1,162,394 | $ 1,021,351 |
United States Dollars [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | 283,674 | 529,563 |
Hong Kong Dollar [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | 568,008 | 211,776 |
Renminbi [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | 239,502 | 131,081 |
Malaysian Ringgit [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | $ 71,210 | $ 148,931 |
Nature of Operations and Summ41
Nature of Operations and Summary of Significant Accounting Policies - Summary of Property and Equipment (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Office Leasehold [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 50 years |
Office Leasehold [Member] | Plant And Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 27 years |
Office Leasehold [Member] | Real Estate Held for Investment [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 50 years |
Furniture and Fixtures [Member] | Plant And Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Residual Value | 5.00% |
Furniture and Fixtures [Member] | Plant And Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 3 years |
Furniture and Fixtures [Member] | Plant And Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 10 years |
Furniture and Fixtures [Member] | Real Estate Held for Investment [Member] | |
Property, Plant and Equipment [Line Items] | |
Residual Value | 5.00% |
Furniture and Fixtures [Member] | Real Estate Held for Investment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 3 years |
Furniture and Fixtures [Member] | Real Estate Held for Investment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 10 years |
Office Equipment [Member] | Plant And Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 3 years |
Residual Value | 5.00% |
Office Equipment [Member] | Plant And Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 10 years |
Residual Value | 10.00% |
Office Equipment [Member] | Real Estate Held for Investment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 3 years |
Residual Value | 5.00% |
Office Equipment [Member] | Real Estate Held for Investment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life | 10 years |
Residual Value | 10.00% |
Leasehold Improvements [Member] | Plant And Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life, description | Over the shorter of estimated useful life or term of lease |
Residual Value | |
Leasehold Improvements [Member] | Real Estate Held for Investment [Member] | |
Property, Plant and Equipment [Line Items] | |
Expected useful life, description | Shorter of the estimated useful life or term of lease |
Residual Value | |
Office Leasehold Improvement [Member] | Real Estate Held for Investment [Member] | |
Property, Plant and Equipment [Line Items] | |
Residual Value |
Nature of Operations and Summ42
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Foreign Currencies Translation (Details) | Dec. 31, 2017 | Dec. 31, 2016 |
Period-End MYR : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 4.05 | 4.48 |
Period-Average MYR : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 4.28 | 4.14 |
Period-End RMB : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 6.51 | 6.95 |
Period-Average RMB : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 6.74 | 6.66 |
Period-End /Average HK$ : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 7.75 | 7.75 |
Nature of Operations and Summ43
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Concentrations of Risks (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | ||
Revenues | $ 3,916,372 | $ 3,091,735 |
Sales Revenue, Net [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Revenues | $ 864,700 | |
Percentage of revenues | 27.00% | |
Sales Revenue, Net [Member] | Customer A [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Revenues | $ 361,200 | |
Percentage of revenues | 12.00% | |
Sales Revenue, Net [Member] | Customer B [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Revenues | $ 503,500 | |
Percentage of revenues | 16.00% | |
Accounts Receivable [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Trade accounts receivable | $ 106,800 | |
Accounts Receivable [Member] | Customer A [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Trade accounts receivable | 106,800 | |
Accounts Receivable [Member] | Customer B [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Trade accounts receivable |
Restatement of Previously Iss44
Restatement of Previously Issued Consolidated Financial Statements (Details Narrative) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Increase accumulated deficit | $ 3,266,313 | $ 981,754 | |
Additional service revenue | 2,991,592 | ||
Additional costs | 1,071,910 | 1,086,393 | |
Additional net income | (2,284,559) | (50,815) | |
Decrease real estate held for investment | (868,984) | (801,514) | |
Decrease accumulated other comprehensive income | 40,199 | 111,818 | |
Increase goodwill | 1,211,863 | 1,646,730 | |
Minority interest | 83,283 | 319,143 | |
Decreased in allowance for uncollectible accounts and bad debts and accounts receivable | $ 76,180 | 54,799 | |
Restatement Adjustment [Member] | |||
Increase accumulated deficit | 191,500 | $ 366,096 | |
Additional service revenue | 315,300 | ||
Additional costs | 88,992 | ||
Additional net income | 171,509 | ||
Decrease real estate held for investment | 212,775 | 173,352 | |
Decrease accumulated other comprehensive income | 175,298 | 175,298 | |
Increase decrease in stockholders' equity | 3,088 | ||
Increase goodwill | 174,001 | 174,001 | |
Minority interest | 170,913 | $ 174,001 | |
Decreased in allowance for uncollectible accounts and bad debts and accounts receivable | $ 54,799 |
Restatement of Previously Iss45
Restatement of Previously Issued Consolidated Financial Statements - Schedule of Restated Statements (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts receivable | $ 345,734 | $ 384,418 | |
Deferred costs | 74,990 | 75,207 | |
Real estate held for investment, net | 868,984 | 801,514 | |
Goodwill | 1,211,863 | 1,646,730 | |
Deferred costs related to revenue | 345,000 | 215,000 | |
Additional paid in capital | 8,465,294 | 6,628,901 | |
Accumulated other comprehensive income | (40,199) | (111,818) | |
Total liabilities | 5,766,919 | 2,551,525 | |
Accumulated deficit | (3,266,313) | (981,754) | |
Non-controlling interests in consolidated subsidiaries | 83,283 | 319,143 | |
Service revenue | 2,991,592 | ||
Cost of service revenue | (1,071,910) | (1,086,393) | |
General and administrative | (3,350,896) | (1,924,293) | |
Net income (loss) attributable to common shareholders | (2,284,559) | (50,815) | |
Foreign currency translation income (loss) | 71,619 | (11,022) | |
Comprehensive loss | $ (2,212,940) | $ (61,837) | |
Net loss per share, basic and diluted | $ (0.04) | $ 0 | |
Net (loss) income | $ (3,116,909) | $ (39,666) | |
Provision for bad debts | 21,381 | 54,799 | |
Accounts receivable, net | (180,281) | (288,962) | |
Deferred revenue | 130,000 | (455,347) | |
Deferred costs | 217 | 88,994 | |
Net cash used in operating activities | (442,711) | (500,228) | |
Net cash used in investing activities | (2,813,869) | (16,726) | |
Balance as of December 31, 2015 | 5,247,388 | 5,859,711 | $ 5,198,595 |
Additional Paid-in Capital [Member] | |||
Foreign currency translation income (loss) | |||
Net (loss) income | |||
Balance as of December 31, 2015 | 8,465,294 | 6,628,901 | 5,917,237 |
Accumulated Other Comprehensive Income (Loss) [Member] | |||
Foreign currency translation income (loss) | 71,619 | (11,023) | |
Net (loss) income | |||
Balance as of December 31, 2015 | (40,199) | (111,818) | (100,795) |
Accumulated Deficit [Member] | |||
Foreign currency translation income (loss) | |||
Net (loss) income | (2,284,559) | (50,815) | |
Balance as of December 31, 2015 | (3,266,313) | (981,754) | (930,939) |
Non-Controlling Interest [Member] | |||
Foreign currency translation income (loss) | |||
Net (loss) income | (832,350) | 11,149 | |
Balance as of December 31, 2015 | $ 83,283 | 319,143 | 307,896 |
Scenario, Previously Reported [Member] | |||
Accounts receivable | 439,217 | ||
Deferred costs | |||
Real estate held for investment, net | 1,014,289 | ||
Goodwill | 1,472,729 | ||
Deferred costs related to revenue | |||
Additional paid in capital | 6,626,958 | ||
Accumulated other comprehensive income | 102,898 | ||
Accumulated deficit | (790,254) | ||
Non-controlling interests in consolidated subsidiaries | 148,230 | ||
Service revenue | 2,676,292 | ||
Cost of service revenue | (997,401) | ||
General and administrative | (1,869,494) | ||
Net income (loss) attributable to common shareholders | (222,324) | ||
Foreign currency translation income (loss) | 28,395 | ||
Comprehensive loss | $ (193,928) | ||
Net loss per share, basic and diluted | $ 0 | ||
Net (loss) income | $ (211,175) | ||
Provision for bad debts | |||
Accounts receivable, net | (254,462) | ||
Deferred revenue | (174,547) | ||
Deferred costs | |||
Net cash used in operating activities | (502,388) | ||
Net cash used in investing activities | (14,566) | ||
Balance as of December 31, 2015 | 5,564,045 | ||
Scenario, Previously Reported [Member] | Additional Paid-in Capital [Member] | |||
Balance as of December 31, 2015 | 5,915,294 | ||
Scenario, Previously Reported [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | |||
Balance as of December 31, 2015 | 74,503 | ||
Scenario, Previously Reported [Member] | Accumulated Deficit [Member] | |||
Balance as of December 31, 2015 | (567,931) | ||
Scenario, Previously Reported [Member] | Non-Controlling Interest [Member] | |||
Balance as of December 31, 2015 | 136,983 | ||
Restatement Adjustment [Member] | |||
Accounts receivable | (54,799) | ||
Deferred costs | 75,207 | ||
Real estate held for investment, net | (212,775) | (173,352) | |
Goodwill | 174,001 | 174,001 | |
Deferred costs related to revenue | 215,000 | ||
Additional paid in capital | 1,943 | 1,943 | |
Accumulated other comprehensive income | (175,298) | (175,298) | |
Total liabilities | (39,418) | ||
Accumulated deficit | (191,500) | (366,096) | |
Non-controlling interests in consolidated subsidiaries | 170,913 | 174,001 | |
Service revenue | 315,300 | ||
Cost of service revenue | (88,992) | ||
General and administrative | (54,799) | ||
Net income (loss) attributable to common shareholders | 171,509 | ||
Foreign currency translation income (loss) | (39,418) | ||
Comprehensive loss | 132,091 | ||
Net (loss) income | 171,509 | ||
Provision for bad debts | 54,799 | ||
Accounts receivable, net | (34,500) | ||
Deferred revenue | (280,800) | ||
Deferred costs | 88,994 | ||
Net cash used in operating activities | 2,160 | ||
Net cash used in investing activities | $ (2,160) | ||
Balance as of December 31, 2015 | (365,450) | ||
Restatement Adjustment [Member] | Additional Paid-in Capital [Member] | |||
Accumulated other comprehensive income | (1,943) | ||
Balance as of December 31, 2015 | 1,943 | ||
Restatement Adjustment [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | |||
Balance as of December 31, 2015 | (175,298) | ||
Restatement Adjustment [Member] | Accumulated Deficit [Member] | |||
Balance as of December 31, 2015 | (363,008) | ||
Restatement Adjustment [Member] | Non-Controlling Interest [Member] | |||
Balance as of December 31, 2015 | $ 170,913 |
Business Combinations (Details
Business Combinations (Details Narrative) - USD ($) | Dec. 31, 2017 | Jul. 21, 2017 | Apr. 25, 2017 | Dec. 31, 2016 |
Goodwill | $ 1,211,863 | $ 1,646,730 | ||
Yabez (Hong Kong) Company Limited [Member] | ||||
Goodwill | 434,865 | |||
Intangible assets | 96,250 | |||
Billion Sino Holdings Limited [Member] | ||||
Purchase of equity interest and assets percentage | 60.00% | |||
Goodwill | 1,299,518 | |||
Intangible assets | 68,087 | |||
Impairment of goodwill and intangible assets | $ 1,898,720 | |||
Billion Sino Holdings Limited [Member] | Third Party [Member] | Private Placement [Member] | ||||
Business acquisition price per share | $ 2.50 | |||
Total purchase consideration | $ 851,613 | |||
Greenpro Family Office Limited [Member] | ||||
Purchase of equity interest and assets percentage | 51.00% | |||
Net assets | $ 1 |
Business Combinations - Schedul
Business Combinations - Schedule of Fair Value of Assets Acquired and Liabilities (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Goodwill | $ 1,211,863 | $ 1,646,730 |
Billion Sino Holdings Limited [Member] | ||
Cash and cash equivalents | 145,354 | |
Deposits | 3,481 | |
Amount due to a director | (16,597) | |
Accrued expenses | (90,939) | |
Intangible assets | 94,057 | |
Deferred tax liabilities | (15,519) | |
Goodwill | 1,299,518 | |
Fair value of BSHL | 1,419,355 | |
Non controlling interest | (567,742) | |
Total purchase consideration | $ 851,613 |
Business Combinations - Sched48
Business Combinations - Schedule of Proforma Information of Operations (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Business Combinations [Abstract] | ||
Revenue | $ 4,204,075 | $ 3,302,198 |
Gross profit | 2,438,003 | 2,070,759 |
Operating income (loss) | (2,839,246) | 32,282 |
Net income (loss) | $ (2,939,808) | $ (38,919) |
Net income (loss) per share | $ (0.06) | $ 0 |
Property and Equipment, Net (De
Property and Equipment, Net (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Depreciation expense, classify as operating expenses | $ 21,992 | $ 15,292 |
Office leasehold pledged to banks as collateral security | $ 1,383,360 | |
Office Leasehold [Member] | ||
Property, plant and equipment, useful life | 50 years | |
Remaining life term of property, plant and equipment | 27 years |
Property and Equipment, Net - S
Property and Equipment, Net - Schedule of Property, Plant and Equipment (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | $ 3,326,164 | $ 71,524 |
Less: Accumulated depreciation and amortization | (59,335) | (32,993) |
Total | 3,266,829 | 38,531 |
Office Leasehold [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | 3,194,858 | |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | 46,890 | 26,048 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | 43,076 | 31,890 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | $ 41,340 | $ 13,586 |
Real Estate Held For Sale (Deta
Real Estate Held For Sale (Details Narrative) | 12 Months Ended | |
Dec. 31, 2017USD ($)Integer | Dec. 31, 2016USD ($) | |
Real Estate [Abstract] | ||
Real estate held for sale | $ 3,430,641 | $ 3,747,732 |
Number of units sold in real estate | Integer | 3 | |
Sale of properties | $ 423,871 | |
Cost of properties sold | 347,479 | |
Real estate held for sale pledged as security collateral for loans | $ 774,194 |
Real Estate Held for Investme52
Real Estate Held for Investment (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Real Estate Investment Property, Net [Abstract] | ||
Depreciation and amortization expense | $ 30,570 | $ 30,050 |
Real estate held for investment pledged to banks as security collateral | $ 613,433 |
Real Estate Held for Investme53
Real Estate Held for Investment - Schedule of Real Estate Held For Investment (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Real estate investment property, Gross | $ 999,522 | $ 890,171 |
Less: Accumulated depreciation and amortization | (130,538) | (88,657) |
Real estate investment property, Net | 868,984 | 801,514 |
Office Leasehold [Member] | ||
Real estate investment property, Gross | 851,120 | 766,674 |
Furniture and Fixtures [Member] | ||
Real estate investment property, Gross | 57,814 | 48,174 |
Office Equipment [Member] | ||
Real estate investment property, Gross | 15,378 | 9,989 |
Leasehold Improvements [Member] | ||
Real estate investment property, Gross | $ 75,210 | $ 65,334 |
Other Investments - Schedule of
Other Investments - Schedule of Other Investments (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash surrender value of life insurance, net of policy loan | $ 75,344 | $ 56,058 | |
Total | 130,457 | 108,253 | |
Greenpro Trust Limited Related Party [Member] | |||
Investments | [1] | 51,613 | 51,613 |
Unconsolidated entities [Member] | |||
Investments | [2] | $ 3,500 | $ 582 |
[1] | At December 31, 2017 and 2016, the Company had an investment in Greenpro Trust Limited of $51,613, which is approximately 12% of the equity interest of Greenpro Trust Limited and is accounted for under the cost method of accounting. Greenpro Trust Limited is a company incorporated in Hong Kong and Mr. Lee Chong Kuang and Mr. Loke Che Chan, Gilbert are common directors of Greenpro Trust Limited and the Company. | ||
[2] | At December 31, 2017, the Company had investments in two unconsolidated entities with investment amounts aggregating $3,500. The Company’s ownership was less than 5% in each investment and each investment is accounted for under the cost method of accounting. At December 31, 2016, the Company had investments in two other unconsolidated entities aggregating $582. |
Other Investments - Schedule 55
Other Investments - Schedule of Other Investments (Details) (Parenthetical) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Loss on other investments | $ 196,082 | $ 9,007 | |
Greenpro Trust Limited Related Party [Member] | |||
Investments | [1] | $ 51,613 | $ 51,613 |
Equity ownership interest | 12.00% | 12.00% | |
Two Unconsolidated Entities [Member] | |||
Investments | $ 3,500 | ||
Unconsolidated Entities [Member] | |||
Investments | [2] | $ 3,500 | $ 582 |
Unconsolidated Entities [Member] | Maximum [Member] | |||
Equity ownership interest | 5.00% | ||
Two Other Unconsolidated Entities [Member] | |||
Investments | $ 582 | ||
[1] | At December 31, 2017 and 2016, the Company had an investment in Greenpro Trust Limited of $51,613, which is approximately 12% of the equity interest of Greenpro Trust Limited and is accounted for under the cost method of accounting. Greenpro Trust Limited is a company incorporated in Hong Kong and Mr. Lee Chong Kuang and Mr. Loke Che Chan, Gilbert are common directors of Greenpro Trust Limited and the Company. | ||
[2] | At December 31, 2017, the Company had investments in two unconsolidated entities with investment amounts aggregating $3,500. The Company’s ownership was less than 5% in each investment and each investment is accounted for under the cost method of accounting. At December 31, 2016, the Company had investments in two other unconsolidated entities aggregating $582. |
Intangible Assets (Details Narr
Intangible Assets (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Amortization expense | $ 135,925 | $ 121,862 |
Impairment of intangible assets | 164,337 | |
Customer Lists [Member] | ||
Impairment of intangible assets | 96,250 | |
Backlog [Member] | ||
Impairment of intangible assets | $ 68,087 |
Intangible Assets - Schedule of
Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Total intangible assets, gross | $ 709,223 | $ 629,627 |
Less: Accumulated amortization | (293,231) | (157,307) |
Less: Impairment | (164,337) | |
Total intangible assets, net | 251,655 | 472,320 |
Trademarks [Member] | ||
Total intangible assets, gross | 6,186 | 5,127 |
Customer Lists and Order Backlog [Member] | ||
Total intangible assets, gross | $ 703,037 | $ 624,500 |
Intangible Assets - Schedule 58
Intangible Assets - Schedule of Amortization Expense of Intangible Assets (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2,018 | $ 90,000 | |
2,019 | 90,000 | |
2,020 | 69,055 | |
Thereafter | 2,600 | |
Total intangible assets, net | $ 251,655 | $ 472,320 |
Due to Related Parties (Details
Due to Related Parties (Details Narrative) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Due to Related Parties [Abstract] | ||
Amount due to non-controlling interest | $ 1,441,548 | $ 1,441,548 |
Amount due to another non-controlling interest | $ 175,693 |
Due to Related Parties - Schedu
Due to Related Parties - Schedule of Amounts Due to Related Parties (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Due to Related Parties [Abstract] | ||
Due to non-controlling interest | $ 1,617,241 | $ 1,441,548 |
Due to shareholders | 3,993 | 4,880 |
Due to directors | 85,212 | 46,109 |
Due to related companies | 107,484 | 16,955 |
Total | $ 1,813,930 | $ 1,509,492 |
Loans Secured by Real Estate -
Loans Secured by Real Estate - Schedule of Long Term Bank Loans (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | Aug. 31, 2013 | May 31, 2013 | |||
Bank loans from financial institutions | $ 2,770,987 | $ 567,170 | |||||
Less: current portion | (928,147) | (13,042) | |||||
Loans secured by real estate, net of current portion | 1,842,840 | 554,128 | |||||
Standard Chartered Saadiq Berhad [Member] | |||||||
Bank loans from financial institutions | 363,974 | [1] | 337,464 | [1] | $ 495,170 | ||
United Overseas Bank (Malaysia) Berhad [Member] | |||||||
Bank loans from financial institutions | 249,459 | [2] | 229,706 | [2] | $ 326,530 | ||
Bank of China Limited [Member] | |||||||
Bank loans from financial institutions | [3] | 1,383,360 | |||||
Loan From Non Banking Lender [Member] | |||||||
Bank loans from financial institutions | [4] | $ 774,194 | |||||
[1] | In May 2013, the Company obtained a loan in the principal amount of MYR1,629,744 (approximately $495,170) from Standard Chartered Saadiq Berhad, a financial institution in Malaysia to finance the acquisition of leasehold office units at Skypark One City, Selangor in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.1% per annum (6.7% at December 31, 2017 and 2016) with 300 monthly installments of MYR9,287 (approximately $2,840) each and will mature in May 2038. The mortgage loan is secured by (i) the first legal charge over the property, (ii) personally guaranteed by Mr. Lee Chong Kuang and Mr. Loke Che Chan Gilbert, the directors of the Company, and (iii) guaranteed by a related corporation which is controlled by the directors of the Company. | ||||||
[2] | In August 2013, the Company, through Mr. Lee Chong Kuang, the director of the Company, obtained a loan in the principal amount of MYR1,074,696 (approximately $326,530) from United Overseas Bank (Malaysia) Berhad, a financial institution in Malaysia to finance the acquisition of a leasehold office unit at Northpoint, Mid Valley City in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.2% per annum (6.81% at December 31, 2017 and 2016) with 360 monthly installments of MYR5,382 (approximately $1,645) each and will mature in August 2043. The mortgage loan is secured by the first legal charge over the property. | ||||||
[3] | In December 2017, the Company obtained a loan in the principal amount of RMB 9,000,000 (approximately $1,383,360) from Bank of China Limited, a financial institution in China to finance the acquisition of leasehold office units of approximately 5,000 square feet at the Di Wang Building (Shun Hing Square), Shenzhen, China (the Property). The loan bears interest at a 25% premium above the 5-year-or-above RMB base lending rate per annum (6.125% at December 31, 2017) with 120 monthly installments and will mature in December 2027. The monthly installment will be determined by the sum of (i) a 25% premium above the 5-year-or-above RMB base lending rate per annum on the 20th day of each month for the interest payment and (ii) RMB75,000 (approximately $11,528) for the fixed repayment of principal. The mortgage loan is secured by (i) the first legal charge over the Property, (ii) a restricted-cash fixed time deposit of RMB 1,000,000 (approximately $153,707) of the Company, (iii) the accounts receivable of Greenpro Management Consultancy (Shenzhen) Limited, (iv) corporate guaranteed by the Company and by a related company which is controlled by the Loke Che Chan Gilbert, and (v) personally guaranteed by Ms. Chen Yanhong, the legal representative of Greenpro Management Consultancy (Shenzhen) Limited and a shareholder of the Company. | ||||||
[4] | In September, 2017, the Company borrowed HKD 8,000,000 (approximately $1,032,258) from Laboratory JaneClare Limited, a non-banking lender located in Hong Kong. The loan is secured by the Company’s real estate held for sale, bears interest at 8.4% per annum, and is due September 12, 2018. |
Loans Secured by Real Estate 62
Loans Secured by Real Estate - Schedule of Long Term Bank Loans (Details) (Parenthetical) | Sep. 30, 2017USD ($) | Dec. 31, 2017USD ($)ft² | Aug. 31, 2013USD ($) | May 31, 2013USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | ||||
Bank loans from financial institutions | $ 2,770,987 | $ 2,770,987 | $ 567,170 | |||||||
Standard Chartered Saadiq Berhad [Member] | ||||||||||
Bank loans from financial institutions | 363,974 | [1] | $ 495,170 | $ 363,974 | [1] | $ 337,464 | [1] | |||
Interest rate on bank loans | 2.10% | |||||||||
Number of installments on bank loan | 300 monthly installments | |||||||||
Monthly installment of bank loan | $ 2,840 | |||||||||
Bank loan mature date | May 31, 2038 | |||||||||
Standard Chartered Saadiq Berhad [Member] | Base Rate [Member] | ||||||||||
Base lending rate per annum | 6.70% | 6.70% | ||||||||
Standard Chartered Saadiq Berhad [Member] | MYR [Member] | ||||||||||
Bank loans from financial institutions | $ 1,629,744 | |||||||||
Monthly installment of bank loan | $ 9,287 | |||||||||
United Overseas Bank (Malaysia) Berhad [Member] | ||||||||||
Bank loans from financial institutions | 249,459 | [2] | $ 326,530 | $ 249,459 | [2] | $ 229,706 | [2] | |||
Interest rate on bank loans | 2.20% | |||||||||
Number of installments on bank loan | 360 monthly installments | |||||||||
Monthly installment of bank loan | $ 1,645 | |||||||||
Bank loan mature date | Aug. 31, 2043 | |||||||||
United Overseas Bank (Malaysia) Berhad [Member] | Base Rate [Member] | ||||||||||
Base lending rate per annum | 6.81% | 6.81% | ||||||||
United Overseas Bank (Malaysia) Berhad [Member] | MYR [Member] | ||||||||||
Bank loans from financial institutions | $ 1,074,696 | |||||||||
Monthly installment of bank loan | $ 5,382 | |||||||||
Bank of China Limited [Member] | ||||||||||
Bank loans from financial institutions | [3] | $ 1,383,360 | $ 1,383,360 | |||||||
Interest rate on bank loans | 6.125% | |||||||||
Number of installments on bank loan | 5-year-or-above RMB base lending rate per annum with 120 monthly installments | |||||||||
Bank loan mature date | Dec. 31, 2027 | |||||||||
Acquisition of leasehold office units | ft² | 5,000 | |||||||||
Interest rate, effective percentage | 25.00% | 25.00% | ||||||||
Repayment of principal | $ 11,528 | |||||||||
Bank of China Limited [Member] | RMB [Member] | ||||||||||
Bank loans from financial institutions | 9,000,000 | $ 9,000,000 | ||||||||
Repayment of principal | 75,000 | |||||||||
Greenpro Management Consultancy (Shenzhen) Limited [Member] | Restricted-Cash Fixed Deposit [Member] | ||||||||||
Secured mortgage loan amount | 153,707 | 153,707 | ||||||||
Greenpro Management Consultancy (Shenzhen) Limited [Member] | RMB [Member] | Restricted-Cash Fixed Deposit [Member] | ||||||||||
Secured mortgage loan amount | $ 1,000,000 | $ 1,000,000 | ||||||||
Laboratory Jane Clare Limited [Member] | ||||||||||
Bank loans from financial institutions | $ 1,032,258 | |||||||||
Interest rate on bank loans | 8.40% | |||||||||
Bank loan mature date | Sep. 12, 2018 | |||||||||
Laboratory Jane Clare Limited [Member] | Hong Kong Dollar [Member] | ||||||||||
Bank loans from financial institutions | $ 8,000,000 | |||||||||
[1] | In May 2013, the Company obtained a loan in the principal amount of MYR1,629,744 (approximately $495,170) from Standard Chartered Saadiq Berhad, a financial institution in Malaysia to finance the acquisition of leasehold office units at Skypark One City, Selangor in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.1% per annum (6.7% at December 31, 2017 and 2016) with 300 monthly installments of MYR9,287 (approximately $2,840) each and will mature in May 2038. The mortgage loan is secured by (i) the first legal charge over the property, (ii) personally guaranteed by Mr. Lee Chong Kuang and Mr. Loke Che Chan Gilbert, the directors of the Company, and (iii) guaranteed by a related corporation which is controlled by the directors of the Company. | |||||||||
[2] | In August 2013, the Company, through Mr. Lee Chong Kuang, the director of the Company, obtained a loan in the principal amount of MYR1,074,696 (approximately $326,530) from United Overseas Bank (Malaysia) Berhad, a financial institution in Malaysia to finance the acquisition of a leasehold office unit at Northpoint, Mid Valley City in Kuala Lumpur, Malaysia which bears interest at the base lending rate less 2.2% per annum (6.81% at December 31, 2017 and 2016) with 360 monthly installments of MYR5,382 (approximately $1,645) each and will mature in August 2043. The mortgage loan is secured by the first legal charge over the property. | |||||||||
[3] | In December 2017, the Company obtained a loan in the principal amount of RMB 9,000,000 (approximately $1,383,360) from Bank of China Limited, a financial institution in China to finance the acquisition of leasehold office units of approximately 5,000 square feet at the Di Wang Building (Shun Hing Square), Shenzhen, China (the Property). The loan bears interest at a 25% premium above the 5-year-or-above RMB base lending rate per annum (6.125% at December 31, 2017) with 120 monthly installments and will mature in December 2027. The monthly installment will be determined by the sum of (i) a 25% premium above the 5-year-or-above RMB base lending rate per annum on the 20th day of each month for the interest payment and (ii) RMB75,000 (approximately $11,528) for the fixed repayment of principal. The mortgage loan is secured by (i) the first legal charge over the Property, (ii) a restricted-cash fixed time deposit of RMB 1,000,000 (approximately $153,707) of the Company, (iii) the accounts receivable of Greenpro Management Consultancy (Shenzhen) Limited, (iv) corporate guaranteed by the Company and by a related company which is controlled by the Loke Che Chan Gilbert, and (v) personally guaranteed by Ms. Chen Yanhong, the legal representative of Greenpro Management Consultancy (Shenzhen) Limited and a shareholder of the Company. |
Loans Secured by Real Estate 63
Loans Secured by Real Estate - Schedule of Maturities of Long-term Bank Loans (Details) | Dec. 31, 2017USD ($) |
Debt Disclosure [Abstract] | |
2,018 | $ 928,147 |
2,019 | 154,703 |
2,020 | 155,413 |
2,021 | 156,311 |
2,022 | 157,175 |
Thereafter | 1,219,238 |
Total | $ 2,770,987 |
Stockholders' Equity (Details N
Stockholders' Equity (Details Narrative) - USD ($) | Apr. 25, 2017 | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2016 |
Capital stock, shares authorized | 600,000,000 | 600,000,000 | |||
Preferred stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | |
Common stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | |
Common stock, shares authorized | 500,000,000 | 500,000,000 | 500,000,000 | 500,000,000 | |
Proceeds from issuance of common stock, gross | $ 984,864 | $ 711,707 | |||
Billion Sino Holdings Limited [Member] | |||||
Equity interest | 60.00% | ||||
Number of restricted shares issued | 340,645 | ||||
Shares issued price per share | $ 2.50 | ||||
Number of restricted shares issued, value | $ 851,613 | ||||
Private Placement [Member] | |||||
Number of common stock shares sold during period | 505,556 | 424,004 | |||
Proceeds from issuance of common stock, gross | $ 984,864 | $ 711,707 | |||
Private Placement [Member] | Minimum [Member] | |||||
Sale of stock price per share | $ 1.80 | $ 1.80 | $ 1.60 | $ 1.60 | |
Private Placement [Member] | Maximum [Member] | |||||
Sale of stock price per share | $ 2.50 | $ 2.50 | $ 1.80 | $ 1.80 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Valuation allowance deferred tax assets | $ 1,040,835 | $ 563,369 |
Statutory income tax rate | (24.00%) | 24.00% |
Goodwill impairment | $ (1,898,721) | |
Goodwill and intangible | 313,389 | |
United States of America [Member] | ||
Net operating loss carryforwards | $ 1,899,797 | |
Operating loss carryforwards expiration term | expire in 2037 | |
Valuation allowance deferred tax assets | $ 398,957 | |
Hong Kong [Member] | ||
Valuation allowance deferred tax assets | $ 520,486 | |
Statutory income tax rate | 16.50% | |
Operating loss on subsidiaries | $ 2,323,953 | 32,514 |
Goodwill impairment | 1,898,721 | |
Operating income on subsidiaries | 149,942 | 45,360 |
Cumulative net operating losses | 3,154,457 | |
Cumulative net operating income | $ 140,779 | |
The PRC [Member] | GMC (SZ), SZ Falcon and GSNSZ [Member] | ||
Operating loss carryforwards expiration term | expire in 2023 | |
Valuation allowance deferred tax assets | $ 40,747 | |
Operating loss on subsidiaries | 42,092 | |
Operating income on subsidiaries | 77,851 | |
Cumulative net operating losses | $ 162,985 | |
Income tax rate | 25.00% | |
Malaysia [Member] | ||
Valuation allowance deferred tax assets | $ 1,040,835 | |
Income tax rate | 20.00% | |
Valuation allowance increase | $ 477,466 | |
Malaysia [Member] | GRSB, GCVSB and GWSB [Member] | ||
Net operating loss carryforwards | 174,998 | $ 65,776 |
Valuation allowance deferred tax assets | 80,645 | |
Cumulative net operating losses | $ 403,224 |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income (loss) Before Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Loss before income taxes | $ (3,048,537) | $ (32,207) |
Local [Member] | ||
Loss before income taxes | (723,141) | (817,722) |
Hong Kong [Member] | ||
Loss before income taxes | (2,174,011) | 12,846 |
The PRC [Member] | ||
Loss before income taxes | 114,443 | (42,092) |
Malaysia [Member] | ||
Loss before income taxes | (172,593) | (65,776) |
Other [Member] | ||
Loss before income taxes | $ (93,235) | $ 880,537 |
Income Taxes - Schedule of Prov
Income Taxes - Schedule of Provision for Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Provision for income taxes local current | ||
Provision for income taxes deferred local | ||
Provision for income taxes deferred foreign | ||
Deferred Provision for income taxes | 68,372 | 7,459 |
Hong Kong [Member] | ||
Provision for income taxes current foreign | 20,286 | 7,459 |
The PRC [Member] | ||
Provision for income taxes current foreign | $ 48,086 |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate (Details) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes - Schedule Of Effective Income Tax Rate Details | ||
Statutory blended tax rate | (24.00%) | 24.00% |
Goodwill impairment | 16.00% | 0.00% |
Increase in valuation allowance – Foreign | 10.00% | 47.00% |
Effective tax rate | 2.00% | 23.00% |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Deferred Tax Assets (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Goodwill and intangibles | $ 313,389 | |
Deferred tax assets net operating loss carryforwards | 1,040,835 | 563,369 |
Less: valuation allowance | (1,040,835) | (563,369) |
Deferred tax assets | ||
United States of America [Member] | ||
Deferred tax assets net operating loss carryforwards | 398,857 | 431,009 |
Hong Kong [Member] | ||
Deferred tax assets net operating loss carryforwards | 207,197 | 26,506 |
Less: valuation allowance | (520,486) | |
The PRC [Member] | ||
Deferred tax assets net operating loss carryforwards | 40,747 | 60,209 |
Malaysia [Member] | ||
Deferred tax assets net operating loss carryforwards | $ 80,645 | $ 45,645 |
Related Party Transactions - Sc
Related Party Transactions - Schedule of Related Parties Transactions (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Business consulting and advisory service income | $ 281,962 | $ 399,792 |
Rental Revenue[Member] | ||
Business consulting and advisory service income | 47,683 | 6,839 |
Related Party A [Member] | ||
Business consulting and advisory service income | 10,065 | 1,500 |
Related Party A [Member] | Rental Revenue[Member] | ||
Business consulting and advisory service income | 3,484 | 2,323 |
Related Party B [Member] | ||
Business consulting and advisory service income | 181,696 | 196,621 |
Related Party C [Member] | ||
Business consulting and advisory service income | 44,216 | |
Related Party D [Member] | ||
Business consulting and advisory service income | 1,688 | |
Related Party E [Member] | ||
Business consulting and advisory service income | 446 | |
Related Party F [Member] | ||
Business consulting and advisory service income | 90,201 | 155,321 |
Related Party F [Member] | Rental Revenue[Member] | ||
Business consulting and advisory service income | $ 44,199 | $ 4,516 |
Segment Information (Details Na
Segment Information (Details Narrative) | 12 Months Ended |
Dec. 31, 2017OperatingSegments | |
Segment Reporting [Abstract] | |
Number of reportable operating segments | 2 |
Segment Information - Schedule
Segment Information - Schedule of Summarized Financial Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Revenues | $ 3,916,372 | $ 3,091,735 | |
Cost of revenues | (1,487,801) | (1,135,307) | |
Depreciation and amortization | 188,487 | 167,204 | |
Net (loss) income | (3,116,909) | (39,666) | |
Total assets | 11,014,307 | 8,411,236 | |
Capital expenditures for long-lived assets | 3,153,597 | 16,726 | |
Hong Kong [Member] | |||
Revenues | [1] | 2,705,182 | 2,449,225 |
Cost of revenues | [1] | (1,207,775) | (980,442) |
Depreciation and amortization | [1] | 89,360 | 71,524 |
Net (loss) income | [1] | (3,191,830) | (69,725) |
Total assets | [1] | 5,396,075 | 7,210,984 |
Capital expenditures for long-lived assets | [1] | 45,503 | 3,422 |
Malaysia [Member] | |||
Revenues | [1] | 604,112 | 494,743 |
Cost of revenues | [1] | (224,963) | (107,996) |
Depreciation and amortization | [1] | 32,184 | 31,600 |
Net (loss) income | [1] | 9,113 | 88,979 |
Total assets | [1] | 1,203,016 | 1,134,046 |
Capital expenditures for long-lived assets | [1] | 12,805 | 10,583 |
China [Member] | |||
Revenues | [1] | 607,078 | 147,767 |
Cost of revenues | [1] | (55,063) | (46,869) |
Depreciation and amortization | [1] | 66,943 | 64,080 |
Net (loss) income | [1] | 65,808 | (58,920) |
Total assets | [1] | 4,415,216 | 66,206 |
Capital expenditures for long-lived assets | [1] | 3,095,289 | 2,721 |
Real Estate Business [Member] | |||
Revenues | 602,553 | 100,143 | |
Cost of revenues | (415,891) | (48,914) | |
Depreciation and amortization | 20,091 | 30,050 | |
Net (loss) income | 99,181 | (73,366) | |
Total assets | 3,549,950 | 4,648,141 | |
Capital expenditures for long-lived assets | 10,076 | ||
Service Business [Member] | |||
Revenues | 3,313,819 | 2,991,592 | |
Cost of revenues | (1,071,910) | (1,086,393) | |
Depreciation and amortization | 155,681 | 136,671 | |
Net (loss) income | (2,300,881) | 98,060 | |
Total assets | 7,282,745 | 3,601,943 | |
Capital expenditures for long-lived assets | 3,109,152 | 6,050 | |
Corporate Business [Member] | |||
Revenues | |||
Cost of revenues | |||
Depreciation and amortization | 12,715 | 483 | |
Net (loss) income | (915,209) | (64,360) | |
Total assets | 181,612 | 161,152 | |
Capital expenditures for long-lived assets | $ 44,445 | $ 600 | |
[1] | Revenues and costs are attributed to countries based on the location of customers. |
Commitments and Contingencies73
Commitments and Contingencies (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Operating lease expiration date | Dec. 31, 2017 | |
Lease expense | $ 474,741 | $ 273,949 |
Hong Kong [Member] | ||
Operating lease expiration date | Apr. 30, 2021 |
Commitments and Contingencies -
Commitments and Contingencies - Schedule of Future Minimum Operating Lease Payments (Details) | Dec. 31, 2017USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,018 | $ 270,732 |
2,019 | 271,104 |
2,020 | 260,645 |
2,021 | 87,742 |
Thereafter | |
Total | $ 890,223 |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) - Subsequent Event [Member] - Rito Group Corp [Member] - USD ($) | Apr. 13, 2018 | Mar. 31, 2018 | Feb. 28, 2018 |
Number of common shares hold | 100,000 | ||
Stock Purchase Agreements [Member] | |||
Number of common stock shares sold | 14,900,000 | 14,900,000 | |
Number of common stock shares sold, consideration | $ 300,000 | $ 300,000 | |
Gain on investments | $ 300,000 | $ 300,000 |